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Tuesday 14 January 2020
Rebecca Armell Pleads Guilty to Credit Card FraudRead the Press Release
The United States Attorney for the District of Vermont announced that Rebecca Armell, 46, of Shelburne, pleaded guilty yesterday in United States District Court in Burlington to a charge of credit card fraud. U.S. District Judge Christina Reiss released Armell on conditions pending sentencing, which has been scheduled for May 1.
On December 2, 2019, the United States Attorney filed a one-count information charging Armell with access device fraud. According to the information, in 2018, while employed at the Chimney Sweep in Shelburne, Armell misused the company’s Lowe’s credit card to obtain merchandise having a value in excess of $1000. Armell pleaded guilty to that charge yesterday.
During yesterday’s court hearing, the government proffered that for 20 years prior to December 2018, Armell had worked at the Chimney Sweep – the last ten as a bookkeeper who had check-signing authority. Beginning around 2016, Armell began stealing from the company. She wrote checks to petty cash that she cashed and pocketed the proceeds. She wrote checks to herself that she deposited, falsifying entries in the company’s books to make it appear the checks had been issued to fellow employees. She also misused the company credit card to benefit herself, and charged personal automobile repairs to the Chimney Sweep account. In the aggregate, the losses may total around $290,000.
Armell faces up to ten years of imprisonment and a fine of up to $250,000. The actual sentence would be determined with reference to federal sentencing guidelines.
The case was investigated by the U.S. Secret Service upon referral from the Shelburne Police Department.
Armell is represented by Brooks MacArthur. The prosecutor is Assistant U.S. Attorney Gregory Waples.
Russell Delano Miley-Cruz Sentenced for School Shooting ThreatRead the Press Release
Russell Delano Miley-Cruz, from Scranton, Pennsylvania, was sentenced today to 18 months in prison and three years of supervised release for transmitting a school shooting threat about Parma High School. He was also ordered to reimburse the Parma Police Department for overtime hours incurred responding to this hoax threat.
“Posting threats to disrupt a school day is unlawful conduct under any circumstances, but especially where, like here, the defendant was in another state and then lied about his conduct to law enforcement,” said U.S. Attorney Justin Herdman. “Ensuring the safety of students, faculty, and school employees is a top priority for law enforcement in Northern Ohio. This defendant deserves every day of this 18 month sentence of imprisonment.”
“Making threats to commit a school shooting are not taken lightly by law enforcement as evidenced by this sentence handed down today,” said FBI Special Agent in Charge Eric Smith. “Miley-Cruz induced fear in school personnel, students and their parents at Parma High School and wasted valuable law enforcement resources, and then he lied about being involved. Law enforcement would like to remind people to #thinkbeforeyoupost, hoax threats will be prosecuted.”
“After an exhaustive investigation conducted by members of the Parma Police Department as well as the FBI, we are hoping he receives a sentence which will send a message to others that this is not acceptable and this type of behavior will not be tolerated,” said Parma Police Chief Joseph M. Bobak.
According to evidence presented at sentencing, on April 11, 2018, Miley-Cruz, using the screenname “djravetastic,” sent a Snapchat message to a student he believed attended Parma High School, which stated: “Don’t go to Parma High School tomorrow friend, we are about to shoot that shit up alright man? Don’t tell the cops and you will be fine.” Miley-Cruz claimed to have received the threat himself and was merely forwarding it to the student. Five minutes later, Miley-Cruz sent the student another Snapchat message and told her to tell her friends “because it could save lives,” and added that two of his friends got the same message in Ohio and Tennessee, respectfully. Miley-Cruz sent multiple Snapchat messages urging the student to share the threat with her friends. The student shared the message containing the threat with a friend who then shared it via Snapchat. Thereafter, the threat spread among Parma High School students. The following day, April 12, 2018, approximately 1200 students called out of school with only 340 students attending out of 1553 total Parma High School students.
Prior to transmitting the threat, Miley-Cruz created an account on a virtual private network (VPN) site for encrypted communications. On April 10, 2018, a day before he transmitted the threat, Miley-Cruz searched for and installed an application on his phone that allowed him to mask and manipulate his caller ID to reflect a different phone number than his own. Approximately an hour later, Miley-Cruz received a text from a fake phone number. On April 10, 2018, Miley-Cruz searched “How to share other people’s snaps” and clicked on an article titled “Update: how to send other people’s snaps on snapchat.” Miley-Cruz visited the same article three times within three hours. On April 11, 2018, Miley-Cruz installed an application on his phone that deletes internet search history. Approximately three minutes later, Miley-Cruz search for “Snap History Eraser” and “Snapchat Message Eraser.”
During the investigation, Miley-Cruz provided a fake phone number to the Parma Police, denied knowing anyone who lived in Parma, and denied any knowledge of a school shooting threat to students at Parma High School. Within minutes after speaking with a Parma Police Detective, Miley-Cruz called the Detective back, claiming to have received another school shooting threat. This threat, like the original threat, came from a fake phone number. Finally, Miley-Cruz created a fake Facebook profile utilizing an actual Parma High School student’s image and commented on local media stories taking credit for the school shooting threat.
This case was investigated by the Parma Police Department, the Scranton, Pennsylvania Police Department and the Federal Bureau of Investigation. It was prosecuted by Assistant U.S. Attorneys John C. Hanley and Robert J. Patton.
Pittsburgh Resident Pleads Guilty to Conspiracy and Health Care FraudRead the Press Release
PITTSBURGH, Pa. – A resident of Pittsburgh, Pennsylvania, pleaded guilty in federal court yesterday to one count each of conspiracy to defraud the Pennsylvania Medicaid program and health care fraud, United States Attorney Scott W. Brady announced today.
Keith Scoggins, 54, pleaded guilty before United States District Judge Cathy Bissoon.
During his plea hearing, Scoggins admitted that between 2011 and 2017 he was an employee of Moriarty Consultants, Inc. (MCI), one of four related entities operating in the home health care industry. The other three entities were Activity Daily Living Services, Inc. (ADL), Coordination Care, Inc. (CCI), and Everyday People Staffing, Inc. (EPS). MCI, ADL, and CCI were approved under the Pennsylvania Medicaid program to offer certain services to qualifying Medicaid recipients ("consumers"), including personal assistance services (PAS), service coordination, and non-medical transportation, among other services. Between in and around January 2011 and in and around April 2017, MCI, ADL, and CCI, collectively, received more than $87,000,000 in Medicaid payments based on claims submitted for these services, with PAS payments accounting for more than $80,000,000 of the total amount.
During that time, Scoggins, who was employed in a supervisory position as PAS Director, admitted that he participated in a wide-ranging conspiracy to defraud the Pennsylvania Medicaid program for the purpose of obtaining millions of dollars in illegal Medicaid payments through the submission of fraudulent claims for services that were never provided to the consumers identified on the claims, or for which there was insufficient or fabricated documentation to support the claims. As part of the conspiracy, Scoggins admitted that he fabricated timesheets to reflect the provision of in-home PAS care that, in fact, he never provided to the consumer identified on the timesheets. Scoggins further admitted that he caused the submission of Medicaid claims in the name of a "ghost" employee—a close relative—for PAS care that was never provided to the consumer specified on the claims. Likewise, Scoggins admitted that he paid kickbacks to a consumer, totaling approximately $160 every two weeks, in exchange for the consumer’s cooperation in the fraudulent billing scheme. In total, Scoggins admitted causing losses to the Pennsylvania Medicaid program in excess of $100,000.
Judge Bissoon scheduled Scoggins’s sentencing for 2:15 p.m. on May 5, 2020.
The conspiracy and health care fraud charges each carry a maximum total sentence of not more than 10 years in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
To date, a total of sixteen defendants have been charged in connection with this investigation. Scoggins is the ninth defendant to enter a guilty plea. The remaining defendants are presumed innocent unless and until proven guilty.
Assistant United States Attorneys Eric G. Olshan and Special Assistant United States Attorney Edward Song are prosecuting this case on behalf of the government. The Federal Bureau of Investigation, Pennsylvania Office of the Attorney General – Medicaid Fraud Control Unit, Internal Revenue Service – Criminal Investigation, U.S. Department of Health and Human Services – Office of Inspector General, and United States Postal Inspection Service conducted the investigation of the defendants.
Pensacola Man Sentenced to 76 Months in Federal Prison for Possession of A Firearm by A Convicted FelonRead the Press Release
PENSACOLA, FLORIDA – A Pensacola man has been sentenced to more than six years in federal prison
after pleading guilty to possession of a firearm by a convicted felon. The 76-month sentence handed
down to Charleston Pierre Wiggins, 32, of Pensacola, was announced by Lawrence Keefe, United States
Attorney for the Northern District of Florida.On April 29, 2019, Pensacola Police Department (PPD) responded to a shots fired report in
Pensacola, Florida. As a result of its investigation, PPD learned that Wiggins, a convicted felon,
and another individual with whom he had a dispute, exchanged gunfire. During the exchange, Wiggins
was shot in the leg. The PPD officers who located Wiggins followed a blood trail that led them to
the pistol witnesses saw Wiggins carrying as he attempted to flee the area. The officers determined
that the firearm, a Smith and Wesson .40 caliber pistol, was stolen.“We will vigorously prosecute those whose actions recklessly endanger the public,” U.S. Attorney
Keefe said. “This convicted felon chose to arm himself with a firearm and now he will pay the heavy
consequences for his actions.”The case resulted from the investigation by the Pensacola Police Department and the Bureau of
Alcohol, Tobacco, Firearms and Explosives (ATF). It was prosecuted by Assistant United States
Attorney J. Ryan Love.“Reducing violent crime and protecting the public in the communities that we serve is a priority
for ATF”, said ATF Special Agent in Charge Daryl McCrary, “we will continue to work vigorously with
our law enforcement partners to make sure those individuals who commit violent crimes are
prosecuted to the fullest extent of the law.”This case is part of Project Guardian, the Department of Justice’s signature initiative to reduce
gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of
2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence;
enhances coordination of federal, state, local, and tribal authorities in investigating and
prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied
by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures
that federal resources are directed at the criminals posing the greatest threat to our communities. The United States Attorney’s Office prosecuted this case with support from Project Guardian
partners, the Pensacola Police Department, and the Bureau of Alcohol, Tobacco, Firearms and Explosives. For more information about Project Guardian, please visit:
https://www.justice.gov/usao-ndfl/pr/attorney-general-announces-launch-project-guardian-nationwide-strategic-plan-reduce-gun.The United States Attorney’s Office for the Northern District of Florida is one of 94 offices that
serve as the nation’s principal litigators under the direction of the Attorney General. To access
public court documents online, please visit the U.S. District Court for the Northern District of
Florida website. For more information about the United States Attorney’s Office, Northern District
of Florida, visit http://www.justice.gov/usao/fln/index.html.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.Parent Charged in College Admissions Case Indicted on Additional Tax Fraud ChargeRead the Press Release
BOSTON – A federal grand jury in Boston returned the fourth superseding indictment charging one of the 15 parents implicated in the college admissions case with tax offenses.
John Wilson, 59, of Lynnfield, Mass., was indicted on one count of filing a false tax return. It is alleged that Wilson paid a total of $220,000 to secure his son’s admission to the University of Southern California as a purported water polo recruit. Wilson then deducted the $220,000 from his 2014 tax returns as charitable donations and business expenses. According to the charging document, Wilson’s amended 2014 tax returns improperly deducted $220,000 in payments that he allegedly made in exchange for securing his son’s admission to the University of Southern California.
An arraignment date has not yet been scheduled. Case information, including the status of each defendant, charging documents and plea agreements are available here: https://www.justice.gov/usao-ma/investigations-college-admissions-and-testing-bribery-scheme.
The charge of filing a false tax return provides for a sentence of up to three years in prison, one year of supervised release and a fine of $100,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Kristina O’Connell, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston, made the announcement today. The Department of Education, Office of Inspector General provided assistance with the investigation. Assistant U.S. Attorneys Eric S. Rosen, Justin D. O’Connell, Leslie A. Wright and Kristen A. Kearney of Lelling’s Securities and Financial Fraud Unit are prosecuting the case.
The details contained in the charging documents are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Oklahoma Woman Sentenced to 6½ Years in Prison for Sex Trafficking of a ChildRead the Press Release
PITTSBURGH - A former resident of Tulsa, Oklahoma, has been sentenced in federal court to 78 months’ imprisonment and five years of supervised release on her conviction of violating the Mann Act by transporting a minor across state lines for the purpose of having the individual engage in prostitution and conspiracy, United States Attorney Scott W. Brady announced today.
United States District Judge Cathy Bissoon imposed the sentence on Shelby Summer Brown, age 28.
On September 12, 2019, Brown pleaded guilty and admitted that she agreed and conspired with another individual, Oscar Carter, to commit an offense against the United States, that is, to knowingly persuade, induce, entice, and coerce an individual, Minor A (an individual who had not yet attained the age of 18 years) to travel in interstate commerce, from Ohio to Pennsylvania, to engage in prostitution and any sexual activity for which any person can be charged with a criminal offense, and did so, from March 6, 2018 through March 14, 2018.
"Stopping human trafficking is a critical part of our mission. Without the professional and coordinated efforts of the City of Pittsburgh Police, the Cranberry Police Department and the FBI, the child victim would not have been rescued and her traffickers brought to justice. The sex trafficking of children in the Western District of Pennsylvania will not be tolerated," said U.S. Attorney Brady.
Prior to imposing sentence, Judge Bissoon indicated that the sentence was sufficient but not greater than necessary given Brown’s active participation in this horrible crime. Judge Bissoon acknowledged that Brown’s criminal conduct is a reason that these crimes continue to flourish.
Assistant United States Attorney Heidi M. Grogan prosecuted this case on behalf of the government.
United States Attorney Brady commended the Federal Bureau of Investigation, the Cranberry Township Police, and the City of Pittsburgh Bureau of Police for the investigation leading to the successful prosecution of Brown.
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 United States 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.
North Carolina Man Convicted of Traveling to Nashville to Have Sex with 15 Year-Old Sentenced to 26 1/2 Years in PrisonRead the Press Release
NASHVILLE, Tenn. – January 14, 2020 – James Frei, 50, of Union Mills, North Carolina, was sentenced yesterday to 26 ½ years in prison for child exploitation and sex crimes, announced U.S. Attorney Don Cochran for the Middle District of Tennessee. A federal jury in February 2019, found Frei guilty of four counts of production of child pornography, one count of enticing a minor to engage in sexual conduct, two counts of traveling in interstate commerce for the purpose of engaging in illicit sexual conduct with a minor, and one count of transporting child pornography.
According to evidence and testimony at trial, in July 2016, the National Center for Missing and Exploited Children (NCMEC) received a cyber-tip from Facebook regarding an adult male engaging in sexually explicit conversations with a minor female, later identified as a 15 year-old living in Nashville. The conversations indicated that the adult may have already traveled to Nashville to have sex with the minor female. This information was relayed to the Metropolitan Nashville Police Department (MNPD) for further investigation.
A MNPD detective identified and interviewed the minor and learned that she had met the man, later identified as Frei, in May 2016 through a teen chat room on Facebook and that he had traveled to Nashville multiple times in May 2016 and went to her house after her father had left for work, where they engaged in sexual activity. The minor female was then driven to a nearby park where they again engaged in sexual activity. Frei returned to Nashville for a few days in June 2016 and on two occasions, he took the minor to a hotel near the airport and engaged in sexual activity. The detective also learned that Frei had recorded the sexual encounters with his cell phone.
A subsequent search warrant served at Frei’s North Carolina home resulted in the seizure and forensic examination of his cell phone, which was found to contain numerous images and videos of him engaging in sex with the minor female and over 500 images and videos of child pornography. The investigation also determined that Frei had been downloading child pornography for approximately 10 years and had participated in hundreds of conversations with underage children, which were sexual in nature. Frei had previously been convicted of criminal offenses involving minors in the states of North Carolina and Michigan.
This case was investigated by the Metropolitan Nashville Police Department and prosecuted by Assistant U.S. Attorneys Katy Risinger and Christopher Suedekum.
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New Haven Man Sentenced to 30 Months in Prison for Gun and Drug OffensesRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that MARIANO IRIZARRY, 36, of New Haven, was sentenced today by U.S. District Judge Jeffrey A. Meyer in New Haven to 30 months of imprisonment, followed by three years of supervised release, for firearm and drug offenses.
According to court documents and statements made in court, in the early morning hours of January 1, 2019, New Haven Police officers assigned to a New Year’s Eve crime prevention detail responded to a disturbance and a report of an individual with a gun in front of a nightclub on Hamilton Street in New Haven. At the scene, a bystander identified Irizarry as being in possession of a gun. After ignoring various commands from officers, Irizarry opened the driver’s side door of his vehicle and made furtive movements in the area of the steering wheel. He then closed the door and surrendered to officers. A subsequent search of the area beneath the steering wheel revealed a loaded .40 caliber Glock 27 pistol.
The firearm had been reported stolen in a residential burglary in New Haven in March 2015.
Irizarry’s criminal history includes felony drug convictions in 2000 and 2010, and a felony conviction in August 2000 for illegal sexual contact with a minor.
Irizarry was arrested on a federal criminal complaint on February 6, 2019, and was released on a $50,000 bond. On June 17, 2019, he sold four bags of heroin, some of which contained fentanyl, to an individual working with law enforcement. He has been detained since his arrest on June 27, 2019.
On September 30, 2019, Irizarry pleaded guilty to one count of possession of a firearm by a convicted felon, and one count of distributing a controlled substance while on pretrial release.
This matter was investigated by the Federal Bureau of Investigation, the Drug Enforcement Administration and the New Haven Police Department. The case was prosecuted by Assistant U.S. Attorney Michael J. Gustafson.
This prosecution has been brought through Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make neighborhoods safer for everyone.
New Haven Gang Member Sentenced to 12 Years in Federal PrisonRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, today announced that SEDALE PERVIS, also known as “Scope,” 27, of New Haven, was sentenced yesterday by U.S. District Judge Michael P. Shea in Hartford to 144 months of imprisonment, followed by three years of supervised release, for his role in a violent street gang.
According to court documents and statements made in court, in 2016, the New Haven Police Department’s Shooting Task Force and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) began investigating numerous unsolved shootings that had occurred in New Haven and Hamden. Ballistic examination of recovered cartridge cases determined that three firearms were used in 18 shootings committed in or around New Haven in 2016. The investigation revealed that the firearms were possessed by members and associates of the Goodrich Street Boys (“GSB”), a New Haven street gang, and that GSB members also were involved in a number of other shootings in 2016, many of them retaliatory against rival gang members.
On August 3, 2017, a grand jury in New Haven returned a 13-count indictment charging Pervis and five other GSB members with racketeering, attempted murder, firearm and narcotics trafficking offenses. The indictment alleged that, between September 2015 and May 2016, GSB members and associates were involved in six gang-related shootings that caused injuries to five individuals.
The investigation revealed that Pervis oversaw, managed and facilitated numerous shootings for which GSB members were responsible.
Pervis previously pleaded guilty to one count of conspiracy to engage in a pattern of racketeering activity and one count of possession of a firearm in furtherance of a drug trafficking crime. In pleading guilty, Pervis admitted that a firearm that he had been holding was going to used in two shootings. As to one of the shootings, Pervis and other GSB members conspired to kill an individual who they believed had been disrespectful to a GSB member. On May 27, 2016, GSB members ambushed the individual and his friend as the pair were walking on a busy street in New Haven. The individual, who survived the attack, identified GSB member Milton Westley as an assailant. Westley first shot the victim in the stomach. After the victim collapsed to the ground, Westley stood over him and shot him in the head. Another GSB member shot the second victim in the hand as he attempted to shield his face.
The victim who was shot in the stomach and head continues to recover from his injuries. He was in a coma for several weeks and had to learn to walk and talk again. This victim had been shot at by GSB members twice prior to May 27, 2016.
GSB members also shot at rival gang members on February 6, 2016, in a densely populated residential area; March 13, 2016, during a heavily attended St. Patrick’s Day parade in downtown New Haven; and July 21, 2016, during which an innocent bystander was shot in the chest through her bedroom window.
GSB members also used social media to post pictures and videos of themselves with firearms, and used social media to threaten rivals, including individuals who might cooperate with law enforcement.
The investigation further revealed that Pervis and other GSB members were involved in the acquisition and distribution of heroin, cocaine and marijuana.
Pervis has been detained since May 1, 2017.
Pervis is the fifth GSB member to be sentenced. On October 24, 2019, Michael Via, also known as “Mike Live,” was sentenced to 78 months in prison; on October 30, 2019, Michael Belle, also known as “MB,” was sentenced to 87 months in prison; on October 31, 2019, Milton Westley, also known as “Reese,” was sentenced to 156 months in prison, and on November 4, 2019, Clifford Brodie, also known as “Cliff G,” was sentenced to 168 months in prison. A sixth GSB member, Dejuan Ward, also known as “Hot Boi,” has pleaded guilty and awaits sentencing.
U.S. Attorney Durham noted that federal prisoners are required to serve at least 85 percent of their prison term and are not eligible for parole.
U.S. Attorney Durham further noted that federal law prohibits any retaliation against a federal witness. If persons retaliate against a federal witness “because of attendance at or testimony in a criminal case, the maximum term of imprisonment which may be imposed for the offense under this section shall be the higher of that otherwise provided by law or the maximum term that could have been imposed for any offense charged in that case.” Because the maximum term charged in the case was life imprisonment, anyone who tampers with a federal witness in this case faces life imprisonment.
This prosecution is a part of the Justice’s Department’s Project Safe Neighborhoods (PSN) program and Project Longevity. PSN is a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make neighborhoods safer for everyone. Project Longevity is a comprehensive initiative to reduce gun violence in Connecticut’s major cities. Through Project Longevity, community members and law enforcement directly engage with members of groups that are prone to commit violence and deliver a community message against violence, a law enforcement message about the consequences of further violence and an offer of help for those who want it.
This investigation is being conducted by ATF and the New Haven Police Department. The FBI, Hamden Police Department and New Haven State’s Attorney’s Office have provided critical assistance in the investigation.
An instrumental component of this investigation has been the work of the Connecticut State Crime Laboratory in utilizing the National Integrated Ballistic Information Network (NIBIN) to analyze ballistics evidence.
This matter is being prosecuted in the District of Connecticut by Assistant U.S. Attorneys Peter D. Markle, Rahul Kale and Jocelyn Courtney Kaoutzanis.
Nashua Man Pleads Guilty to Participating in Drug Trafficking Conspiracy in Nashua AreaRead the Press Release
CONCORD – William Greenleaf, 43, of Nashua, pleaded guilty in federal court to participating in a conspiracy to distribute crack cocaine, United States Attorney Scott W. Murray announced today.
According to court documents and statements made in court, Greenleaf was a member of a drug trafficking organization that distributed crack cocaine and other drugs to various customers in the Nashua area.
Greenleaf is scheduled to be sentenced on April 28, 2020.
“Crack cocaine is an illegal substance that endangers the lives of users and undermines the safety of our communities” said U.S. Attorney Murray. “Together with our federal, state, and local law enforcement partners, we continue to work toward ending the sale of dangerous drugs in New Hampshire. The action of the FBI and Nashua Police Department in this case, served to protect Granite Staters from the overall harmful impact of unlawful drug sales.”
"The investigation of this Nashua-based drug trafficking organization and its associates, including William Greenleaf, can only have a positive impact. It's our hope that lives will be saved, and that others are spared being introduced to the crack cocaine he either bought from the group and resold or helped bring into neighborhoods by driving its members to their own sales calls," said Joseph R. Bonavolonta, Special Agent in Charge of the FBI Boston Division. "While we are pleased by Mr. Greenleaf's acceptance of responsibility today, the FBI remains committed to fighting the battles still to be won against those profiting from illegal narcotics in the Granite State."
This matter was investigated by the Federal Bureau of Investigation and the Nashua Police Department. The case is being prosecuted by Assistant U.S. Attorneys Georgiana Konesky and Anna Krasinski.
This case was supported by the Organized Crime Drug Enforcement Task Force (OCDETF). The OCDETF program is a federal multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations.
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NDTX Round-Up January 14Read the Press Release
SENTENCING – SU Y AMOS MUN
On December 23, Su Y Amos Mun, was sentenced to 20 years in federal custody for maintaining a drug involved premises. Mun admitted to being the owner and manager of the HanGil Hotel Town between January 2018 and March 2019. He knowingly made rooms available for guests to be used for storing and distributing various illegal substances. He continued this practice, despite being informed of multiple heroin overdose deaths in his establishment. To read more about the HanGil Hotel case, click here. This case was investigated by the Drug Enforcement Administration, the Dallas Police Department, and the Coppell Police Department, and prosecuted by AUSA Rick Calvert.
GUILTY PLEA – SOPHIA LIAO AND BOONCHAI DUMRONGSRI
On December 31, Sophia Liao, 62, and her husband, Boonchai Dumrongsri, 55, pled guilty to conspiracy to distribute methamphetamine. Both defendants face up to 20 years in federal custody. Liao sold a total of 86.2 grams of methamphetamine to an undercover officer on six occasions between June 2013 and February 2016. Dumrongsri also sold methamphetamine to an undercover officer. This case was investigated by the Drug Enforcement Administration and the Garland Police Department and is prosecuted by AUSA Phelesa Guy.
SENTENCING – JOSE GUADALUPE HERNANDEZ-SALDIVAR
On December 19, Jose Guadalupe Hernandez-Saldivar, 26, was sentenced to 17 years and 6 months in federal custody for conspiracy to distribute heroin. An undercover officer negotiated the purchase of multiple kilograms of heroin with the leaders of a drug trafficking organization in Mexico. The officer was put in contact with Hernandez-Saldivar who coordinated a meeting at a Fiesta Mart in Dallas to conduct the drug deal. Later, Hernandez-Saldivar was confronted by law enforcement about the delivery and admitted to directing the exchange and possessing more heroin in his Dallas residence. This case was investigated by the North Texas Strike Force and prosecuted by AUSA John Kull.
SENTENCING – CHARLES EDWARD GRANT
On December 18, Charles Edward Grant, 24, was sentenced to 3 years and 4 months for bank robbery. Grant entered a Bank of America and walked over to one of the tellers, presenting a note demanding money. The note stated, “It’s a robbery. No Police. No Tracking. No Ink… I have a gun.” The teller forfeited the money, fearing for his life. This case was investigated by the Dallas Police Department and the Federal Bureau of Investigation and prosecuted by AUSA Walt Junker.
SENTENCING – RALPH JAY ADAMS
On December 19, Ralph Jay Adams, 40, was sentenced to 30 years in federal prison for possession with intent to distribute methamphetamine. Adams sold 13.37 grams of methamphetamine to another individual, at least 5 grams of which was “actual methamphetamine.” He also admitted that this methamphetamine was imported into the United States from Mexico. This case was investigated by the Texas Department of Public Safety and the Dallas Police Department and prosecuted by AUSA PJ Meitl.
Mid-State Physician Charged in $7 Million Healthcare Fraud ConspiracyRead the Press Release
NASHVILLE, Tenn. – January 14, 2020 – James L. Crabb, M.D., 78, of Loretto, Tennessee, is facing federal charges for his role in a $7 million healthcare fraud conspiracy, announced U.S. Attorney Don Cochran for the Middle District of Tennessee. Crabb was charged in a criminal Information on December 20, 2019, and appeared before a U.S. Magistrate Judge yesterday.
According to the charging document, Crabb is a medical doctor, licensed to practice in the states of Tennessee and Mississippi, and operated as a consulting provider to a Florida-based telehealth and marketing company and a physician staffing company located in Georgia. As an enrolled and participating provider in Medicare, Crabb obtained access to Medicare patients through these companies, which recruited patients through advertising and telemarketing, regardless of medical necessity.
Part of the conspiracy involved unsigned orders and prescriptions for Durable Medical Equipment, which Crabb received from these companies and others. Crabb signed the orders and prescriptions in the absence of any pre-existing doctor-patient relationship and without a physical examination as required by Medicare. The charges also allege that Crabb frequently signed orders and prescriptions based only on a brief telephonic conversation or no conversation at all with the Medicare beneficiary. In other instances, Crabb assigned the signing of his name to an unlicensed assistant and paid this individual cash for each prescription signed – also impermissible under Medicare regulations. Crabb also signed orders and prescriptions for patients located in states where he was not licensed.
The Information alleges that during the period of February 2015 through August 2019, James Crabb and others caused the submission of approximately $7 million in false and fraudulent claims to Medicare. The prescribed DME was not medically necessary, was not provided as represented and not eligible for reimbursement, including because the orders and prescriptions were procured through the payment of kickbacks and bribes. The Information also contains a forfeiture allegation in the amount of $493,780.00 – the amount Crabb received in kickbacks resulting from the scheme.
Crabb made his initial appearance before a U.S. Magistrate Judge in Nashville yesterday and was released with certain conditions, including that he not be allowed to practice medicine.
If convicted, Crabb faces up to 10 years in prison and a $250,000 fine.
This case is being investigated by the U.S. Department of Health & Human Services-Office of Inspector General. Assistant U.S. Attorney Sarah K. Bogni is prosecuting the case.
The charge is merely an accusation. The defendant is presumed innocent until proven guilty in a court of law.
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Mexican national headed to prison for attempting to smuggle methRead the Press Release
LAREDO, Texas – A 42-year-old resident of Monterrey, Mexico, has been sentenced to federal prison following his conviction of conspiracy with intent to distribute meth, announced U.S. Attorney Ryan K. Patrick.
Juan Carlos Castillo-Cantu pleaded guilty Oct. 2, 2019.
Today, U.S. District Judge Marina Garcia Marmolejo ordered him to prison for a total of 96 months. Not a U.S. citizen, Castillo-Cantu is expected to face removal proceedings following the sentence.
On July 17, 2019, Castillo-Cantu drove a Dodge Ram pickup truck to the Lincoln-Juarez Bridge Port of Entry in Laredo. A K-9 then alerted to the presence of narcotics, after which an x-ray examination revealed anomalies in all four tires.
Ultimately, authorities removed a total of 24 bundles from aftermarket compartments in the wheels. They all tested positive for meth at a purity level of 98%. The drugs had a net weight of 69.7 kilograms.
Castillo-Cantu was to be paid $5,000 to drive the narcotics-laden truck to Dallas. There, he expected to receive specific instructions where to make final delivery of the vehicle. Someone would then remove the drugs, after which Castillo-Cantu would then drive the truck back to Mexico.
Castillo-Cantu was also supposed to recruit other drivers. However, they decided to back-out at the last minute.
Immigration and Customs Enforcement’s Homeland Security Investigations and Customs and Border Protection conducted the investigation. Assistant U.S. Attorney Michael Bukiewicz prosecuted the case.
Mexican National Pleads Guilty to Illegally Entering the United States Eight TimesRead the Press Release
KANSAS CITY, Mo. – A Mexican national pleaded guilty in federal court today to illegally entering the United States for the eighth time.
Jesus Vargas-Melendez, 40, pleaded guilty before U.S. Magistrate Judge John T. Maughmer to unlawfully reentering the United States after having been previously deported.
By pleading guilty today, Vargas-Melendez admitted that he illegally entered the United States eight times and had been deported on seven prior occasions. Vargas-Melendez was arrested on Oct. 17, 2019, and convicted of illegal dumping. He had been previously deported and removed on Sept. 10, 1998, Oct. 17, 2000, June 10, 2003, Oct. 2, 2009, Nov. 5, 2010, Jan. 22, 2011, and April 13, 2011.
Vargas-Melendez has two prior federal convictions for illegally entering the United States.
Under federal statutes, Vargas-Melendez is subject to a sentence of up to two years in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant 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 United States Probation Office.
This case is being prosecuted by Special Assistant U.S. Attorney Bradley Cooper. It was investigated by Immigration and Customs Enforcement's (ICE) Enforcement and Removal Operations.
Meth trafficking, firearms send Billings man to prisonRead the Press Release
BILLINGS—A Billings man was sentenced today to 13 years in prison and five years of supervised release after a traffic stop ultimately led to his conviction on methamphetamine trafficking and firearms crimes, U.S. Attorney Kurt Alme said.
Fred Lewis Cutsinger, 32, pleaded guilty in August to possession with intent to distribute meth and to possession of a firearm in furtherance of a drug trafficking crime.
Chief U.S. District Judge Dana L. Christensen presided.
In court documents filed in the case, the prosecution said that Cutsinger was wanted on a warrant from Utah when he was arrested in Butte in November 2018 in an unrelated case. Prior to his November 2018 arrest, a Montana Highway Patrol trooper in Jefferson County made a traffic stop in August 2018 of a truck being driven erratically on the interstate. Cutsinger and his girlfriend were in the truck. Both provided false identification and inconsistent stories. The girlfriend was arrested and the truck was impounded pending a search warrant. Cutsinger was released. Although the Utah warrant was active, the trooper did not realize at the time that Cutsinger had provided false identification.
During a search of the truck, law enforcement found methamphetamine and two stolen firearms. Prior to the August 2018 traffic stop, the Billings drug task force received information from a number of sources describing Cutsinger as a drug supplier and seller.
Assistant U.S. Attorney Lori Suek prosecuted the case, which was investigated by the FBI Transnational Organized Crime West task force.
This case is part of Project Guardian, the U.S. Department of Justice’s recent initiative to reduce gun violence and enforce federal firearms laws, and Project Safe Neighborhoods, the USDOJ’s initiative to reduce violent crime. According to the FBI’s Uniform Crime Reports, violent crime in Montana increased by 36% from 2013 through 2018. Through these initiatives, federal, tribal, state and local law enforcement partners in Montana focus on violent crime driven by methamphetamine trafficking, armed robbers, firearms offenses and violent offenders with outstanding warrants.
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Maryland Man Pleads Guilty to Making Multiple Threats to Injure and Kill HispanicsRead the Press Release
MIAMI - Eric Lin, 35, of Clarksburg, Maryland, pled guilty today in South Florida to a felony charging him with knowingly and intentionally transmitting a threatening communication in interstate commerce, in violation of Title 18, United States Code, Section 875(c). Lin made repeated on-line threatening communications that targeted Hispanics.
Ariana Fajardo Orshan, U.S. Attorney for the Southern District of Florida and George L. Piro, Special Agent in Charge of the FBI’s Miami Field Office made the announcement.
According to the facts admitted at the change of plea hearing, between May 30, 2019, and August 14, 2019, Eric Lin made multiple threatening communications via Facebook to injure and kill a South Florida resident and to kill all Hispanics in Miami and other places. Among the threatening communications that Lin admitted to making included: “I’m coming to Rape and kill you” and “I will stop at Nothing until you, your family, your friends,, your entire WORTHLESS LATIN RACE IS RACIALLY EXTERMINATED!” Lin also admitted that in his messages he discussed mass shootings of Hispanics and the idolization of Adolf Hitler.
Lin pled guilty before U.S. District Judge Federico A. Moreno (Case No. 19cr20551). Lin faces a maximum statutory term of five years in prison and three years of supervised release, when he is sentenced by Judge Moreno on March 30, 2020 at 9:45 a.m.
U.S. Attorney Fajardo Orshan commended the investigative efforts of the FBI and the City of Miami Police Department. The case is being prosecuted by Assistant U.S. Attorney Maria K. Medetis.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Man from Las Vegas, New Mexico pleads guilty to federal charge of possession with intent to distribute crack cocaineRead the Press Release
ALBUQUERQUE, N.M. – Anthony Paul Salazar, 23, of Las Vegas, New Mexico pleaded guilty in federal court in Albuquerque on Jan. 14 to a charge of possession with intent to distribute crack cocaine (cocaine base).
In Salazar’s plea agreement, he admitted committing this offense in San Miguel County on Sept. 19, 2019. Salazar stored 31 bundles of crack cocaine in a film container at his home in Las Vegas. He intended to sell this crack cocaine. The FBI and New Mexico State Police arrested Salazar and seized the drugs during the execution of a federal search warrant at his residence.
Salazar is currently out of custody awaiting sentencing. He faces up to 20 years in prison.
The FBI investigated this case with the New Mexico State Police. Assistant U.S. Attorneys from the Las Cruces Branch Office are prosecuting the case.
Man from Albuquerque sentenced to more than 20 years in federal prison for methamphetamine trafficking and firearm possessionRead the Press Release
ALBUQUERQUE, N.M. – Waldo Nahle, 37, of Albuquerque, New Mexico was sentended in federal court in Santa Fe, New Mexico on Jan. 10 to more than 20 years (250 months) in prison on three counts of distribution of methamphetamine, two counts of conspiracy to distribute methamphetamine, and one count of being a felon in possession of a firearm.
Nahle previously pleaded guilty to these offenses on July 22, 2019. According to public court documents, Nahle participated in sales of methamphetamine to an undercover agent on three different occasions in July 2016. Nahle conspired with his supplier and another methamphetamine trafficker in obtaining the drugs provided to the undercover agent in these transactions.
Nahle also sold a pistol to the undercover agent and a confidential informant during the first transaction. Nahle was prohibited from possessing any firearms at the time of this offense based on prior felony convictions for armed robbery with a deadly weapon, battery of a peace officer, being a felon in possession of a firearm and shooting from a motor vehicle.
Following Nahle’s arrest for these offenses, he committed an additional offense of assaulting and impeding a federal employee. According to public court records, he assaulted a guard at the Sandoval County Detention Center on May 11, 2017. Nahle held the guard while another inmate kicked and punched the guard. Nahle pleaded guilty to this offense on Aug. 23, 2018. He is awaiting sentencing in this matter.
The Bureau of Alcohol, Tobacco, Firearms, and Explosives investigated the case with assistance from the Drug Enforcement Administration. Assistant U.S. Attorneys Kimberly A. Brawley and Eva M. Fontanez prosecuted the case.
Man Pleads Guilty to Drug Trafficking and Firearms OffensesRead the Press Release
ALEXANDRIA, Va. – A Washington D.C. man pleaded guilty today to conspiracy to distribute heroin and fentanyl, in addition to armed drug trafficking.
According to court documents, Phillip Thurston Mace, 38, sold heroin and fentanyl to an undercover police detective in Fairfax county during the course of several months. Mace also purchased two Glock handguns. He was arrested shortly after taking possession of the handguns.
In October 2018, an individual was arrested for shoplifting in Fairfax County. During the search, law enforcement discovered the individual to be in possession of heroin. The individual agreed to cooperate with law enforcement and provide assistance in the investigation of the Mace drug trafficking organization. Law enforcement conducted multiple controlled buys of drugs from Mace. In September 2019, an undercover detective met with Mace where 28 grams of heroin and 28 grams of fentanyl were given to the undercover detective, in return the officer gave Mace over $3,000 and a toolbox with two Glock handguns. After this transaction, Mace noticed an undercover police vehicle and fled from the scene. He was arrested shortly afterwards and officers recovered the firearms.
Mace pleaded guilty to conspiracy to distribute heroin and 40 grams or more of fentanyl, and possession of a firearm in furtherance of drug trafficking. He faces a maximum penalty of 40 years to life in prison when sentenced on April 10. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
This case is part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. Click here for more information about Project Guardian.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Colonel Edwin C. Roessler Jr., Fairfax County Chief of Police, and Jesse R. Fong, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division, made the announcement after U.S. District Judge Leonie M. Brinkema accepted the plea. Assistant U.S. Attorney Michael P. Ben’Ary is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-341.
Los Angeles Woman Pleads Guilty to Transporting 60 Pounds of Meth to KansasRead the Press Release
WICHITA, KAN. – A woman from Los Angeles pleaded guilty in federal court Monday to transporting 60 pounds of methamphetamine to Kansas, U.S. Attorney Stephen McAllister said.
Maria Alvarez-Buenrostro, 46, Los Angeles, Calif., pleaded guilty to one count of possession with intent to distribute methamphetamine. In her plea, she admitted that the Kansas Highway Patrol stopped her car Feb. 12, 2019, in Ellis County, Kan. A trooper found the methamphetamine in heat-sealed bags hidden in a real quarter panel and in both rear doors.
Sentencing is set for April 16. She could face a sentence of not less than 10 years and a fine up to $10 million. McAllister commended the Kansas Highway Patrol, the Drug Enforcement Administration and Assistant U.S. Attorney Mona Furst for their work on the case.
Leupp Man Sentenced to 12.5 Years in Prison for AssaultRead the Press Release
PHOENIX, Ariz. – On January 13, 2020, Jarrett Michael Yazzie (42), of Leupp, Ariz. was sentenced by U.S. District Judge Douglas L. Rayes to 150 months in prison to run concurrent with his sentence of 120 months in prison, to be followed by five years of supervised release. Yazzie had previously pleaded guilty to assault resulting in serious bodily injury and assault by strangulation or suffocation by a spouse or intimate partner.
Between May 1, 2016 and April 20, 2018, Yazzie struck a minor victim in the face with his hand causing serious bodily injury. In July 2017, Yazzie strangled an adult victim two times, impeding the victim’s ability to breathe. The assaults happened on the Navajo Indian Reservation and Yazzie is a member of the Navajo Nation.
The investigation in this case was conducted by the Federal Bureau of Investigation and the Navajo Nation Division of Public Safety. The prosecution was handled by Christina J. Reid-Moore, Assistant U.S. Attorney, District of Arizona, Phoenix.
Las Vegas Man Sentenced to Prison for Selling Hundreds of Firearms Without A LicenseRead the Press Release
LAS VEGAS, Nev. – A Las Vegas man who sold nearly 200 firearms without a Federal Firearms License was sentenced today by U.S. District Judge Kent J. Dawson to two years and five months in prison to be followed by three years of supervised release, announced U.S. Attorney Nicholas A. Trutanich for the District of Nevada.
“Through Project Guardian, the Department of Justice is focused on preventing and prosecuting gun crimes,” said U.S. Attorney Trutanich. “Today’s sentence will help deter those who ‘lie and buy’ firearms that, all too often, are resold and then used by violent criminals.”
Sylvester Mitchell, 47, pleaded guilty to one count of dealing in firearms without a license. Mitchell pleaded guilty to the federal charge in October 2019.
According to court documents, between January 2017 and November 2017, Mitchell purchased approximately 226 pistols. Mitchell purchased firearms on a weekly basis and, on several occasions, went to multiple Federal Firearm Licensees on the same day to buy guns. A few days or weeks after purchasing those firearms, Mitchell — who did not have a license to sell firearms — would place online advertisements offering to sell them. Of those firearms, over 100 were subsequently recovered and found to have been illegally possessed, used in a crime, or suspected to have been used in a crime. As of today, five of the firearms Mitchell illegally sold were recovered in connection with homicides.
Between June 1, 2017 and September 14, 2017, law enforcement conducted multiple undercover firearms purchases from Mitchell based on his online advertisements. On November 7, 2017, during the execution of a search warrant, law enforcement seized 37 firearms, including eight that were advertised as being for sale at the time of the search warrant execution.
This case was the product of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Las Vegas Metropolitan Police Department. Assistant U.S. Attorney Christopher Burton prosecuted the case.
This case was part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see: https://www.justice.gov/projectguardian.
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Kenai Man Sentenced to Federal Prison for Threatening to Kill State Court Judge’s FamilyRead the Press Release
Anchorage, Alaska – U.S. Attorney Bryan Schroder announced that a Kenai man has been sentenced to federal prison for threatening in a 2017 court filing to kill the family of a Superior Court Judge with the State of Alaska.
Steven Bachmeier, 43, of Kenai, was sentenced on Friday, Jan. 10, 2020, by U.S. District Judge Sharon L. Gleason to serve five years in prison, which is the maximum sentence allowed by statute, followed by three years of supervised release. The defendant’s sentencing guideline range was 41 to 51 months’ imprisonment. After a three-day trial in January 2019, a federal jury convicted Bachmeier of one count of mailing a threatening communication.
According to court documents, during a May 2010 hearing, the Judge denied Bachmeier’s request to withdraw a guilty plea in a felony criminal case. In response, Bachmeier became angry and threatened to “carve the flesh” from the Judge’s children. Bachmeier was sentenced to eight years in prison for the charges to which he had pleaded guilty.
In January 2017, the judge was assigned to a new civil case, which Bachmeier initiated to have his name legally changed. Bachmeier was angry that the same judge had been assigned to preside over his request to change his name, and in response, he mailed in a pleading in which he wrote “I have told her in past I’m going to kill her family, which I still [entend] to do.” (Sic).
The Federal Bureau of Investigation (FBI) and the Alaska State Troopers, Division of Judicial Services conducted the investigation leading to the successful prosecution of this case. This case was prosecuted by Assistant U.S. Attorneys Anne Veldhuis and Aunnie Steward.
Jury convicts local man on cocaine chargesRead the Press Release
McALLEN, Texas – A federal jury has returned a guilty verdict against a 45-year-old Alton man for conspiracy to possess with intent to distribute more than five kilograms of cocaine, announced U.S. Attorney Ryan K. Patrick.
The jury deliberated for approximately six hours before convicting Rosbel Garcia following a one-day trial which included seven witnesses.
According to the testimony, authorities learned of a possible 20-kilogram cocaine transaction that would be occurring in the Houston area in January 2018.
At trial, the jury heard from Rene Ramos III who explained that he had been previously arrested in Houston while in possession of approximately 60 pounds of marijuana belonging to Garcia in 2012. He claimed that at the time of that arrest, he was also in possession of approximately $90,000 of Garcia’s drug trafficking proceeds.
In early January 2018, Ramos claimed Garcia contacted him and told him he had to begin working for him in order to reduce that drug debt. As part of that involvement, Ramos testified he directed his wife, Christy Leigh Wells, to deliver cocaine to individuals in Houston.
Testimony revealed Garcia traveled to Houston from the Rio Grande Valley in January 2018 along with Luby Janet Luna. Wells also testified and admitted she delivered 10 kilograms of cocaine to Luna and others Jan. 30, 2018.
The defense attempted to convince the jury that all involved were just cons who fabricated Garcia’s involvement in the scheme. The jury disagreed and found him guilty as charged.
Wells, 42, of Cypress, previously pleaded guilty to conspiracy to possess with the intent to distribute more than five kilograms of cocaine Nov. 28, 2018.
Luna, 33, of Mission, is a fugitive and a warrant remains outstanding for her arrest. Anyone with information about her whereabouts is asked to contact the United States Marshals at (956) 618-8025.
U.S. District Judge Micaela Alvarez presided over the trial and set sentencing for March 26 at 2 p.m. At that time, Garcia faces a minimum of 10 years and up to life in prison as well as a possible $10 million fine.
Previously released on bond, Garcia was ordered into custody pending that hearing.
The Drug Enforcement Administration conducted the investigation. Assistant U.S. Attorneys Roberto Lopez Jr. and M. Alexis Garcia prosecuted the case
Jefferson County man admits to drug conspiracyRead the Press Release
MARTINSBURG, WEST VIRGINIA – Derrick Hough, of Charles Town, West Virginia, has admitted to drug distribution, U.S. Attorney Bill Powell announced.
Hough, age 27, pled guilty to one count of “Conspiracy to Possess with Intent to Distribute and to Distribute Heroin, Cocaine Hydrochloride and Cocaine Base.” Hough admitted to working with others to distribute heroin, cocaine hydrochloride, and cocaine base from February 2019 to June 2019 in Berkeley County and elsewhere.Hough faces up to 20 years incarceration and a fine of up to $1,000,000. 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 Jeffrey A. Finucane is prosecuting the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Drug Enforcement Administration investigated.
U.S. Magistrate Judge Robert W. Trumble presided.
Jackson Man Sentenced to Five Years in Federal Prison under Project EJECT for Illegally Possessing a FirearmRead the Press Release
Jackson, Miss. – Jonathan Beasley, 28, of Jackson, was sentenced yesterday by Chief U.S. District Judge Daniel P. Jordan II to 60 months in federal prison, followed by three years of supervised release, for being a felon in possession of a firearm, announced U.S. Attorney Mike Hurst and Michelle A. Sutphin, Special Agent in Charge of the Federal Bureau of Investigation in Mississippi. Beasley was also ordered to pay a $1500 fine.
On December 20, 2016, Beasley was convicted of felonious possession with intent to distribute marijuana in Hinds County and was sentenced to time served. On March 19, 2017, just three months after his conviction, Beasley was found with a firearm in his possession after wrecking his car at a gas station in Hinds County. During a subsequent law enforcement interview, Beasley admitted to possessing the gun and to purchasing the gun off the street.
Beasley was found guilty pursuant to a jury verdict on October 17, 2019 following a two-day trial.
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.
The Federal Bureau of Investigation and Jackson Police Department investigated the case. The case was prosecuted by Assistant United States Attorneys Andrew W. Eichner and Theodore Cooperstein.
Indianapolis Men Charged with Illegal Possession of a FirearmRead the Press Release
INDIANAPOLIS – United States Attorney Josh J. Minkler announced today that Marvin Graves, 22, and Dominique Jones, 31, both of Indianapolis, were recently charged in separate complaints for federal firearm offenses.
"The U.S. Attorney’s Office is committed to reducing gun violence through its Project Guardian initiative," said Minkler. "If you are illegally in possession of a firearm, you will be prosecuted fully under federal law.
Marvin Graves was charged with possession of a firearm and/or ammunition by a prohibited person. On December 23, 2019, Graves was spotted by an Indianapolis Metropolitan Police Department (IMPD) officer. The officer knew that Graves was currently wanted for a parole violation for armed robbery in Marion County, Ind. The officer saw Graves go into a convenience store, return several minutes later, and drive away. Assisting officers in the area attempted a traffic stop. However, before officers could stop the car, Graves exited the moving car from the passenger side and fled on foot. While running, officers witnessed Graves holding his waistband. After continuing to run and ignoring officer commands to stop, Graves was apprehended. Graves did not have a firearm in his possession at the time he was taken into police custody. A witness later alerted to police that he had seen Graves discard a black object. The officers went to the exact location described by the witness and located a firearm. Graves has previous felony convictions in Marion County, Ind. for escape, pointing a firearm, and armed robbery.
Dominique Jones was charged with possession of a firearm by an unlawful user of a controlled substance. On January 3, 2020, IMPD SWAT executed a search warrant at a residence where Jones was located. Officers made announcements for the occupants to exit the house. Jones and a juvenile male exited the residence and were detained. Upon inquiring as to whether there were any firearms in the residence, for safety purposes, Jones admitted that he left his 9mm in the residence. During an interview with the officers, Jones advised there would be marijuana in his vehicle, which Jones stated was for his own "personal use." Officers searched the car and found marijuana and plastic baggies. Jones admitted to being a marijuana user and to selling marijuana and Percocet. He stated he carries the 9mm firearm for protection.
These cases are part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. The United States Attorney’s Office has prosecuted this case with support from the following Project Guardian partners: The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Indianapolis Metropolitan Police Department.
For more information about Project Guardian, please see: https://www.justice.gov/projectguardian.
"Working with our federal law enforcement partners to remove crime guns from our neighborhoods, as well as the individuals who seek to use them to perpetrate violence, remains a priority," said IMPD Chief Randal Taylor. "In 2019 alone, the Marion County Crime Lab processed more than 3,500 guns brought in by IMPD officers and detectives as they worked to make our community a safer place."
According to Assistant United States Attorney Lawrence D. Hilton, who is prosecuting the Graves case for the government, Graves faces up to 10 years in prison, if convicted.
According to Assistant United States Attorney Lindsay E. Karwoski, who is prosecuting the Jones case for the government, Jones faces up to 10 years in prison, if convicted.
A complaint is only a charge and is not evidence of guilt. A defendant is presumed innocent and is entitled to a fair trial at which the government must prove guilt beyond a reasonable doubt.
In October 2017, United States Attorney Josh J. Minkler announced a Strategic Plan designed to shape and strengthen the District’s response to its most significant public safety challenges. This prosecution demonstrates the office’s firm commitment to targeting the District’s most violent geographic areas for the adoption of reactive federal drug and firearm prosecutions. See United States Attorney’s Office, Southern District of Indiana Strategic Plan Section 2.2.
Illegal Alien from Mexico, Previously Deported Three Times, Sentenced for Unlawfully Reentering the United States after Previous RemovalRead the Press Release
Gulfport, Miss. – Luis Alberto Preza-Mendez, 31, an illegal alien from Mexico, was sentenced Friday by U.S. District Judge Sul Ozerden to 12 months and one day in federal prison, followed by one year of supervised release, for unlawful reentry by an alien after deportation or removal, announced U.S. Attorney Mike Hurst and William Joyce, Acting Field Office Director of Immigration and Customs Enforcement (ICE), Enforcement and Removal Operations in New Orleans.
On March 12, 2019, the Harrison County Sheriff’s Office notified ICE that the Defendant, Luis Alberto Preza-Mendez, had been arrested for a domestic disturbance and confessed to being an illegal alien from Mexico. Preza-Mendez was arrested and transported to the Gulfport ICE Office. He was positively identified via a fingerprint scan into the U.S. Department of Homeland Security computerized records system, which accessed his prior immigration records including photographs, fingerprints and prior removal documents. Electronic database queries confirmed that Preza-Mendez is a citizen of Mexico who had been physically removed pursuant to a lawful removal order and did not have permission to reenter the U.S.
Preza-Mendez had been officially ordered removed from the United States on October 13, 2013. After being physically removed based on this lawful order, he returned to the United States, and was again removed in 2014. Thereafter, he reentered the United States again, and was removed again on or about November 4, 2014. At the time of his most recent removal, Preza-Mendez was prohibited from entering, attempting to enter, being in the United States or applying for admission to the United States for a period of 20 years.
Preza-Mendez pled guilty on June 20, 2019, before Judge Ozerden.
U.S. Attorney Hurst praised the cooperation exhibited by the Department of Homeland Security, Immigration & Customs Enforcement, Enforcement Removal Operations, and the Harrison County Sheriff’s Department. Assistant United States Attorney Stan Harris was the prosecutor for this case.
IRS Service Center Employee Charged with Filing Hundreds of False Tax ReturnsRead the Press Release
BOSTON – An employee of the IRS Service Center in Andover was charged today with filing over 500 false tax returns for herself and other individuals.
Jennifer Beth True, 44, of Lawrence, was charged with wire fraud and aggravated identity theft. True will make an initial appearance today in federal court in Boston.
According to charging documents, True has been employed by the Internal Revenue Service for over 22 years. In her current position as a Lead Contact Representative, she assists team members in responding to difficult and complex taxpayer inquiries. Throughout her employment, True has been trained in tax law, ethics, information protection and disclosure, privacy, identity theft and identity protection.
It is alleged that True electronically filed over 590 tax returns for herself and other taxpayers between 2012 and 2017, in violation of IRS rules prohibiting employees from “Engaging in the preparation of tax returns for compensation, gift, or favor.” True received between $40 and $100 per return that she prepared, and prepared the vast majority of the tax returns on her personal computer using TaxAct software. The investigation revealed that between approximately February 2012 and April 15, 2018, True prepared at least 70 IRS Forms 1040 – U.S. Individual Income Tax Returns – for taxpayers that included materially false items such as false individual retirement account deductions, false medical expenses, false and inflated unreimbursed business expenses and/or false tax preparation fees. Some returns also included false child and dependent care credits. Additionally, True allegedly amended one taxpayer’s income tax returns for three prior years, in order to claim false deductions. Numerous taxpayers told investigators they had not provided True with the false information and that they did not know that True was including such false information on the returns she prepared.
In addition, on or about Feb. 15, 2015, True electronically filed her own personal IRS Form 1040 for the year 2014. True claimed seven dependents, including a taxpayer who was not True’s dependent and who had paid True to prepare and file her tax returns. As a result of claiming the taxpayer as a dependent, True’s tax obligation for 2014 was reduced. This taxpayer never gave True permission to claim her as a dependent.
The charge of wire fraud provides for a sentence of up to 20 years in prison, three years of supervised release and a $250,000 fine. The charging statute for aggravated identity theft provides for a mandatory sentence of two years in prison to be served consecutive to any other sentence imposed, up to one year of supervised release and a fine of up to$250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; William Kalb, Special Agent in Charge of the Treasury Inspector General for Tax Administration, New York Field; and Kristina O’Connell, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston, made the announcement today. Assistant U.S. Attorney Kristina E. Barclay, of Lelling’s Public Corruption Unit, is prosecuting the case.
The details contained in the charging document are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Guatemalan Man Who Used a Fraudulent Social Security Card Sentenced to PrisonRead the Press Release
A man who used a false identification document and someone else’s name and social security number was sentenced today more than two months in federal prison.
Diego Tomas-Mejia, age 22, a citizen of Guatemala illegally present in the United States and residing in Iowa, received the prison term after a November 21, 2019, guilty plea to one count of unlawful use of an identification document and one count of misuse of a social security number.
At the guilty plea, Tomas-Mejia admitted he used a fraudulent Social Security card when he completed employment and tax forms using someone else’s name and Social Security Number in January 2017 at a business in Tama, Iowa.
Tomas-Mejia was found by immigration agents in October 2019 at the Tama County Jail after he was arrested for public intoxication and providing a false name to law enforcement officers. Immigration fingerprint records showed that Tomas-Mejia had illegally entered the United States in August 2014 and was released on bond by the U.S. Border Patrol. Tomas-Mejia was ordered deported in absentia in December 2015 after he failed to appear for immigration proceedings and his whereabouts were unknown until the current arrest.
Tomas-Mejia was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Tomas-Mejia was sentenced to 72 days’ imprisonment. He must also serve a three-year term of supervised release after the prison term. There is no parole in the federal system.
Tomas-Mejia is being held in the United States Marshal’s custody until he can be turned over to immigration officials.
The case was prosecuted by Assistant United States Attorney Daniel C. Tvedt and investigated by Department of Homeland Security, Immigration and Customs Enforcement, Enforcement and Removal Operations.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 19-CR-116.
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Grand jury indicts Dayton man with shooting mail carrierRead the Press Release
DAYTON – A Dayton man has been charged federally after allegedly shooting a United States Postal Service mail carrier.
A federal grand jury has charged Christopher O. Gibson, 47, with assaulting and injuring a United States employee with a deadly weapon and using a firearm during a crime of violence. Gibson allegedly shot the postal worker as the worker delivered mail near Gibson’s home on Arlene Avenue in Dayton.
According to court documents, on Jan. 3, Gibson fired at the letter carrier three times, striking him once in the leg.
It is alleged that Gibson had threatened the postal worker in the past, causing a prior suspension of mail delivery to Gibson’s home.
The Dayton Police Department recovered video of the incident from a Ring doorbell camera located near the area of the shooting.
Gibson was charged by federal criminal complaint on Jan. 8 and indicted by a federal grand jury today. He remains in custody.
Forcibly assaulting an employee of the United States while engaged in official duties that inflicted bodily injury and committed with a deadly weapon is a federal crime punishable by up to 20 years in prison. Discharging a firearm during a crime of violence is punishable by at least 10 years and up to life in prison. Congress sets the maximum statutory sentence. Sentencing of the defendant will be determined by the Court based on the advisory sentencing guidelines and other statutory factors.
David M. DeVillers, United States Attorney for the Southern District of Ohio; Tommy D. Coke, Inspector in Charge, United States Postal Inspection Service; and Dayton Police Chief Richard S. Biehl announced the indictment returned today. Assistant United States Attorney Brent G. Tabacchi is representing the United States in this case.
An indictment merely contains allegations, and the defendant is presumed innocent unless proven guilty in a court of law.
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Gloucester County Man Admits Production of Child PornographyRead the Press Release
CAMDEN, N.J. – A Gloucester County, New Jersey, man today admitted producing and distributing images of child sexual abuse, U.S. Attorney Craig Carpenito announced.
James Thiel, 32, of Williamstown, New Jersey, pleaded guilty before U.S. District Judge Noel L. Hillman in Camden federal court to an information charging him with one count of sexual exploitation of a minor.
According to documents filed in this case and statements made in court:
From April 2019 through August 2019, Thiel used an email account and a file sharing site to send images and videos of child sexual abuse to other individuals. Thiel produced and appeared in several of these images and videos along with a pre-pubescent child.
The sexual exploitation of a minor charge to which Thiel pleaded guilty carries a mandatory minimum sentence of 15 years in prison, a maximum potential penalty of 30 years in prison, and a $250,000 fine. Thiel will be required to register as a sex offender. Sentencing is scheduled for April 23, 2020.
U.S. Attorney Carpenito credited special agents of Department of Homeland Security (DHS), Homeland Security Investigations (HSI), under the direction of Special Agent in Charge Brian A. Michael in Newark, and the Gloucester County Prosecutor’s Office, under the direction of Prosecutor Charles A. Fiore, with the investigation leading to today’s guilty plea.
The government is represented by Deputy U.S. Attorney Matthew J. Skahill and Assistant U.S. Attorney Daniel A. Friedman of the U.S. Attorney’s Office’s Criminal Division in Camden.
Defense counsel: Thomas Young Esq., Assistant Federal Public Defender, Camden
Fourth Conspirator Pleads Guilty to Participation in a Ponzi Scheme Involving $2.5B in Transactions and $1B in LossRead the Press Release
SACRAMENTO, Calif. — Ryan Guidry, 43, of Pleasant Hill, pleaded guilty today to participating in a massive fraud scheme involving a solar energy company in Benicia that defrauded investors of approximately $1 billion, U.S. Attorney McGregor W. Scott announced.
Those losses resulted from investment transactions in solar energy hardware valued at approximately $2.5 billion. Guidry also pleaded guilty to aiding and abetting money laundering. Guidry is the fourth person to plead guilty to federal criminal charges relating to the fraud scheme since October.
According to court documents, between 2011 and 2018, the solar energy company manufactured mobile solar generator units (MSG), solar generators that were mounted on trailers. The company touted the versatility and environmental sustainability of the MSGs and claimed that they were used by cellphone companies to provide emergency power to cell towers in the case of a power failure. They were also claimed to be used to power lights at sporting and other events.
The company solicited investors by claiming that there were very favorable federal tax benefits associated with investments in alternative energy. The company structured the transactions in order to maximize the tax benefits to the investors. Investors would buy the MSGs without ever taking possession of them. They would pay a percentage of the sales price and finance the balance with the company. Then the investors would lease the MSGs back to the company, which in turn leased them to third parties. A portion of the lease revenue would be used to pay the investors’ debts to the company and to the investors. The third‑party leases, however, generated little income and the company paid early investors with funds contributed by later investors.
According to court documents, Guidry joined the company in 2012 and became its Vice President of Operations. Guidry and his co-conspirators used fraudulent financial statements and other false information to hide from investors the company’s use of later investor payments to pay financial obligations the company made to earlier investors — in a classic Ponzi scheme. Additionally, Guidry accepted $1 million from a co-conspirator to obtain an unauthorized signature on a false contract his co-conspirator later used to induce investments by victims. In another instance, Guidry accepted $20,000 from that co-conspirator to obtain a signature on a related false contract, which the co-conspirator also used to induce an investment by victims. Guidry and another conspirator signed that second contract using a fake name and shared the $20,000. During the conspiracy, Guidry also worked with co-conspirators to frustrate certain investors’ inspections of MSGs to conceal from those investors the fact that the company had not built the MSGs it sold to those investors. For example, in advance of an inspection, Guidry and certain co-conspirators scraped off VIN number stickers identifying MSGs sold to one investor and replaced them with VIN number stickers identifying MSGs sold to a later investor. On another occasion, Guidry and his co-conspirators coordinated the delivery of MSGs to field inspection sites before and on the day of an inspection to trick the inspectors into believing those MSGs had been deployed at those sites all along, when they had not.
Joseph W. Bayliss, 44, of Martinez, and Ronald J. Roach, of Walnut Creek, each pleaded guilty to related charges on Oct. 22, 2019. Robert A. Karmann, 53, of Clayton, pleaded guilty to related charges on Dec. 17, 2019. The investigation into the fraud remains ongoing.
This case is the product of an investigation by the Federal Bureau of Investigation, IRS‑Criminal Investigation, and the Federal Deposit Insurance Corporation Office of Inspector General. Assistant U.S. Attorneys André M. Espinosa and Kevin C. Khasigian are prosecuting the case.
Guidry is scheduled to be sentenced by U.S. District Judge John A. Mendez on April 21. Guidry faces a maximum statutory penalty of 15 years in prison. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Fort Myers Felon Sentenced to More Than Four Years in Federal Prison for Firearms OffenseRead the Press Release
Fort Myers, Florida – U.S. District Judge Thomas P. Barber has sentenced Johnny Lee Thornton, Jr. (27, Fort Myers) to four years and seven months in federal prison for possessing a firearm as a convicted felon. The court also ordered him to forfeit the firearm used in the offense. Thornton had pleaded guilty on October 23, 2019.
According to court documents, on February 8, 2019, officers from the Fort Myers Police Department located a loaded firearm under a parked vehicle that Thornton had been standing near. Subsequent forensic analysis of the firearm linked it to Thornton. As a previously convicted felon, Thornton is prohibited from possessing firearms or ammunition under federal law.
This case was jointly investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Fort Myers Police Department. It was prosecuted by Assistant United States Attorney Trent Reichling.
This is another case prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide, crime reduction strategy aimed at decreasing violent crime in communities. It involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts. In the Middle District of Florida, U.S. Attorney Maria Chapa Lopez coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.
Former Stony Brook University Professor Pleads Guilty to Stealing Cancer Research FundsRead the Press Release
Earlier today, in federal court in Central Islip, Geoffrey Girnun, a former Associate Professor in the Department of Pathology and Director of Cancer Metabolomics at the Renaissance School of Medicine at Stony Brook University (SBU), pleaded guilty to theft of government funds from cancer-related research grants issued by the National Institutes of Health (NIH). The plea proceeding was held before United States District Judge Denis R. Hurley. Girnun resigned his position at SBU in December 2019. When sentenced, Girnun faces up to 10 years in prison, as well as restitution, forfeiture and a fine to be determined.
Richard P. Donoghue, United States Attorney for the Eastern District of New York, announced the guilty plea.
“With today’s guilty plea, Girnun has been held accountable for his unconscionable scheme to embezzle for his personal use hundreds of thousands of dollars in government funds that were intended to help find a cure for cancer,” stated United States Attorney Donoghue. Mr. Donoghue thanked the Federal Bureau of Investigation, New York Field Office, and the Department of Health and Human Services, Office of Inspector General, for their investigative work on the case.
Between December 2013 and December 2017, Girnun stole approximately $78,000 in NIH funds that were earmarked for cancer research. He then used those funds to pay for personal expenses, including payments on his home mortgage. At his guilty plea proceeding today, Girnun agreed to pay restitution in the amount of $225,000, which includes the NIH funds and approximately $147,000 from SBU’s foundation and state-sponsored grants.
Girnun has a doctorate degree in cancer biology and while employed at SBU, served as a principal investigator for various research projects.
The government’s case is being handled by the Office’s Long Island Criminal Division. Assistant United States Attorney Erin E. Argo and Madeline O’Connor are in charge of the prosecution.
The Defendant:
GEOFFREY GIRNUN
Age: 49
Woodmere, New YorkE.D.N.Y. Docket No. 19-CR-416 (DJH)
Former Prison Guard and Mother of Inmate Sentenced to Federal Prison for Scheme to Smuggle Drugs into PrisonRead the Press Release
CHARLESTON, W.Va. – A former Huttonsville Correctional Center guard and the mother of a Huttonsville inmate were sentenced to federal prison for drug crimes, announced United States Attorney Mike Stuart. Mark Steven Taylor, 40, of Richwood, was sentenced to 24 months in prison for possession with intent to distribute methamphetamine and heroin. Pamela Gail Adkins, 44, of Oak Hill, was sentenced to 14 months in prison for distribution of methamphetamine and heroin.
“Sad and so tragic,” said United States Attorney Mike Stuart. “Since becoming United States Attorney, I’ve had many parents tell me they feel a sense of relief when their son or daughter is arrested because at least while incarcerated they won’t have access to drugs. Not Adkins. She wanted deadly meth and heroin delivered to her incarcerated son. And Taylor, a correctional officer who is supposed to uphold the law, totally betrayed public trust to make a little money on the side by smuggling drugs into the prison. Their drug smuggling scheme has them both headed to federal prison.”
Taylor previously admitted that on February 26, 2019, while employed as a Corrections Officer at the Huttonsville Correctional Center, Adkins gave him quantities of methamphetamine and heroin to smuggle into the prison. He further admitted that she paid him $500, and that he had smuggled drugs into Huttonsville on one prior occasion. Adkins admitted giving Taylor the drugs and paying him to smuggle them into the prison where her son was incarcerated.
After being alerted to the scheme by Huttonsville Correctional Center Investigators, members of the Central West Virginia Drug Task Force set up surveillance in Craigsville where they observed Adkins give Taylor the package containing methamphetamine and heroin. Task force officers arrested Taylor after finding him in possession of the drugs at the scene of the transaction. They arrested Adkins in a traffic stop a short distance away.
The Huttonsville Correctional Center and the Central West Virginia Drug Task Force conducted the investigation. Senior United States District Judge David A. Faber presided over the hearing. Assistant United States Attorney Joshua C. Hanks handled the prosecution.
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Former Police Officer Sentenced to 30 Months in Federal Prison for Possession of an Unregistered Fully Automatic FirearmRead the Press Release
Baltimore, Maryland – U.S. Circuit Judge Stephanie Thacker, sitting by designation in Baltimore, sentenced James Piccirilli, age 38, of Towson, Maryland, to 30 months in federal prison, followed by three years of supervised release, for possession of an unregistered fully automatic firearm. The sentence was imposed on January 13, 2020.
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur and Special Agent in Charge Rob Cekada of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Baltimore Field Division.
“This is not a case of someone using firearms to hunt, or to keep his family safe,” said U.S. Attorney Robert K. Hur. “This is a firearms expert who purposely manufactured highly dangerous, highly regulated firearms, and knowing the harm they could cause, attempted to illegally sell them. This conduct poses a significant risk to public safety and we take seriously any effort to violate laws regulating fully automatic weapons, which can wound and kill at an alarmingly high rate.”
The National Firearms Act regulates certain firearms, known as “NFA firearms,” such as short-barreled rifles; fully automatic firearms; firearms that can be readily made fully automatic; and parts that can make a firearm fully automatic. Individuals may not possess an NFA firearm that is not registered in the National Firearms Registration and Transfer Record (NFRTR), nor can a person sell or transfer an NFA firearm without the prior approval of the ATF.
According to his guilty plea, on October 5, 2018, Piccirilli took an MKE 5.56mm caliber firearm, which had been altered to convert it into a fully automatic short-barreled rifle, bringing the firearm under the regulation of the NFA, to the home of another individual, who was a licensed gun dealer in Maryland. As detailed in court documents, Piccirilli, formerly a police officer in Brunswick, Maryland, legally owned non-NFA firearms and had the skill and expertise to convert non-NFA firearms into NFA firearms. Piccirilli admitted that the firearm belonged to him, but it was not registered to him.
As detailed in his plea agreement, in November 2018, unbeknownst to Piccirilli, ATF seized the firearm. In December 2018, Piccirilli attempted to sell the firearm to an ATF undercover agent without ATF’s prior approval. According to information presented to the Court, Piccirilli tried to launder the unregistered firearm by attempting to get the gun dealer to register the illegal firearm and/or sell it, so that the sale of the gun would appear to be legal. This set up the sale with the ATF undercover agent. As documented through text messages and recorded telephone calls, Piccirilli used evasive language with the ATF undercover agent and tried to conceal the nature of the transaction. On December 14, 2018, as Piccirilli left his house to complete the transaction, he was apprehended by ATF agents. Investigators executed search warrants on his house and two vehicles, seizing 10 unregistered fully automatic firearms, one unregistered short-barreled rifle, and seven unregistered silencers.
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. 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.
This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives; 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 Patricia C. McLane and Brandon Moore, who prosecuted the case.
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Former Pittsburgh Resident Pleads Guilty to Heroin Trafficking as Part of Braddock Wiretap InvestigationRead the Press Release
PITTSBURGH - A former resident of Pittsburgh, Pennsylvania, pleaded guilty in federal court to a charge of narcotics trafficking, United States Attorney Scott W. Brady announced today.
Travis Moore, 26, pleaded guilty to one count of conspiracy to distribute and possess with intent to distribute 100 grams or more of heroin before United States District Judge Arthur J. Schwab.
In connection with the guilty plea, the court was advised that the Greater Pittsburgh Safe Streets Task Force conducted a long-term investigation of drug trafficking occurring in and around the Braddock section of Pittsburgh. Moore, and other individuals, were identified as members or associates of a neighborhood based street gang, self-titled "SCO", which illegally distributed controlled substances in the Greater Pittsburgh region. In January of 2019, investigators obtained authorization to conduct a federal wire investigation, which continued through May of 2019. Intercepted communications confirmed that Moore was an associate of co-defendant, Howard McFadden, and was as one of McFadden’s sources of supply for heroin. The court was further informed that on at least one occasion, in conjunction with intercepted communications, the defendant was observed via pole camera footage at a trap house location on Seddon Avenue in Braddock, PA, which was owned by McFadden and used by members of the conspiracy. As a result of today’s guilty plea, Moore has accepted responsibility for the distribution of at least 100 but less than 400 grams of heroin.
Judge Schwab scheduled sentencing for May 19, 2020, at 11:00 AM. The law provides for a total sentence of not less than 5 years, but not more than 40 years in prison, a fine of not more than $5,000,000, 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. Moore remains incarcerated pending sentencing.
Assistant United States Attorney Rebecca L. Silinski 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 Drug Enforcement Administration, Bureau of Alcohol, Tobacco, Firearms and Explosives, United States Marshals Fugitive Task Force, Allegheny County Sheriff’s Office, Allegheny County Police Department, Pennsylvania State Police, Pennsylvania Attorney General’s Office Bureau of Narcotics, and the Pittsburgh Bureau of Police. Other assisting agencies include the Monroeville Police Department, Penn Hills Police Department, Wilkinsburg Police Department, and Allegheny County Adult Probation.
The investigation was funded by the federal Organized Crime Drug Enforcement Task Force Program (OCDETF). The OCDETF program supplies critical federal funding and coordination that allows federal and state agencies to work together to successfully identify, investigate, and prosecute major interstate and international drug trafficking organizations and other criminal enterprises.
Former New Haven Tax Preparer is SentencedRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that DEVON WILLIAMS, 30, of Atlanta, Georgia, was sentenced today by U.S. District Judge Janet C. Hall in New Haven to eight months of imprisonment, followed by one year of supervised release, for preparing false tax returns
According to court documents and statements made in court, Williams formerly owned and operated Perfect Preparers, LLC, a tax preparation business based in New Haven. Between approximately 2014 and 2017, Williams prepared numerous federal tax returns for clients that contained inflated deductions, including false deductions for unreimbursed employee expenses, charitable donations, and mortgage interest. Some returns contained false Schedule C (sole proprietorship business) information. Losses suffered by the IRS as a result of his fraud totaled at least $550,000.
Judge Hall ordered Williams to pay restitution of $550,000.
On October 3, 2019, Williams pleaded guilty to one count of aiding and assisting the preparation of a false tax return.
As a result of Williams’ fraudulent conduct, many of his clients’ filed tax returns will need to be amended. Williams’ clients are required to resolve their own tax liability with the IRS.
Williams, who is released on a $150,000 bond, is required to report to prison on March 4, 2020.
This matter was investigated by the Internal Revenue Service – Criminal Investigation Division. The case was prosecuted by Assistant U.S. Attorney Jennifer R. Laraia.
Former Marin Boy Scout Leader Sentenced to 33 Months in Prison for Possession of Child PornographyRead the Press Release
SAN FRANCISCO – John Blecka was sentenced to 33 months in prison for possession of child pornography, announced United States Attorney David L. Anderson and Homeland Security Investigations (HSI) Special Agent in Charge Tatum King. The sentence was handed down today by the Honorable William Alsup, U.S. District Court Judge.
Blecka, 65, of San Rafael, Calif., pleaded guilty to the charge on October 1, 2019. In his plea agreement, Blecka admitted that in May 2019, he possessed more than 150 images and videos containing child pornography. At the time of the charged conduct, Blecka was a volunteer with the Boy Scouts of America and had served in a local leadership position with the organization.
A federal grand jury indicted Blecka on July 16, 2019, charging him with one count of possession of child pornography in violation of 18 U.S.C. §§ 2252(a)(4)(B) and (b)(2).
In addition to the term of imprisonment, Judge Alsup sentenced Blecka to a 10-year term of supervised release and also ordered him to pay $9,000 in restitution and to register as a sex offender. Judge Alsup ordered Blecka to begin serving his sentence on April 30, 2020.
Christina Liu and Ross Weingarten are the Assistant U.S. Attorneys who are prosecuting the case with the assistance of Margoth Turcios. The prosecution is the result of an investigation by HSI at the U.S. Department of Homeland Security, with the assistance of the San Rafael Police Department.
Following Facebook Tip, Balch Springs Woman Sentenced to 30 Years in Child Exploitation CaseRead the Press Release
A woman who videotaped as she forced a 9-year-old girl to perform sex acts on her husband has been sentenced to 30 years in federal prison, the statutory maximum sentence, announced U.S. Attorney for the Northern District of Texas Erin Nealy Cox.
Dawn Greenwood, 39, pleaded guilty in October to production of child pornography.
According to plea papers, Ms. Greenwood used a cell phone to videotape her husband, Shon Greenwood, and the 9-year-old child, who’d been living at the couple’s home.
The case came to light when Facebook notified the National Center for Missing and Exploited Children that Mr. Greenwood had posted sexually explicit images of minors on his account.
Following searches at both their Boone County, Missouri and Balch Springs, Texas residences, agents seized the Greenwoods’ phones, and found copies of the video on both devices.
The minor victim was immediately removed from the home and is being cared for by a guardian.
Mr. Greenwood pleaded guilty in December and is set to be sentenced in March.
The Boone County Sheriff’s Office, Dallas Police Department, Texas Department of Public Safety, and Homeland Security Investigations conducted the investigation. Assistant U.S. Attorney Camille Sparks is prosecuting the case. U.S. District Judge David Godbey handed down the sentence.
Florida Man Sentenced in ATM "Cash-out" SchemeRead the Press Release
PROVIDENCE – A Florida man who admitted to successfully conducting more than 100 ATM “cash-out scheme” withdrawals in two days in Rhode Island and Massachusetts in May 2019 using stolen identities and fraudulent ATM cards was sentenced today in U.S. District Court in Providence to 36 months in federal prison.
Dean Emmanuel Colin, 27, of Miami, was arrested outside a Santander Bank branch office by Seekonk, Mass., Police on May 23, 2019, after bank security officials notified the United States Secret Service that they were monitoring live video of an individual making repeated fraudulent withdrawals of large sums of cash using multiple cards. The Secret Service in turn notified the Seekonk Police Department who responded to the bank and detained Colin.
An investigation by the United States Secret Service and the Seekonk and Warwick Police Departments determined that Colin and others encoded blank ATM cards with individuals’ personal identifying and account information stolen during a data breach. The account holders had large or no limits on ATM cash withdrawals.
According to information presented to the Court, Colin travelled to Boston and rented a hotel room in Foxborough, Mass., on May 22, 2019. He spent the next two days traveling around Southeastern Massachusetts and Rhode Island conducting ATM withdrawals with the use of fraudulent ATM cards. Colin attempted to conduct 173 ATM fraudulent cash withdrawal transactions totaling $289,530. At least 112 of those transactions were successful, totaling $174,660.
At the time of his arrest, Colin was found to be carrying nine ATM cards. From inside his vehicle, law enforcement seized additional bank cards and a hotel room plastic key card. A court-authorized search of Colin’s hotel room resulted in the seizure of a sweatshirt Colin is seen on surveillance video wearing while visiting some of the ATMs, two bank cards, and $65,920 in cash.
Additionally, U.S Postal inspectors and Secret Service agents obtained a search warrant for a package sent by Colin from Warwick, R.I., to his residence in Miami. Inside the package was a cereal box containing several plastic bags of wrapped bundles of cash totaling $48,500, labelled with the names of co-conspirators.
Colin pleaded guilty on September 11, 2019, to bank fraud conspiracy and aggravated identity theft. He was sentenced today to 36 months in federal prison, 3 years supervised release. The Court will determine restitution at a later date.
Colin’s sentence, imposed today by U.S. District Court Chief Judge John J. McConnell, Jr., is announced by United States Attorney Aaron L. Weisman, Craig A. Marech, Resident Agent in Charge of the Providence Office of the United States Secret Service, Seekonk Police Chief Frank John, and Warwick Police Chief Colonel Rick Rathbun.
United States Attorney Weisman thanks the United States Postal Inspection Service and the Bristol County, Massachusetts, District Attorney’s Office for their assistance in the investigation of this matter.
The case was prosecuted by Assistant U.S. Attorney John P. McAdams.
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Five Area Residents Arrested on Federal Indictment Charging Major Drug Trafficking RingRead the Press Release
St. Louis, MO - The Drug Enforcement Administration, United States Marshals Service, and multiple law enforcement agencies arrested 15 people, including five St. Louis area residents, today on charges that they conspired to distribute methamphetamine, cocaine, heroin, and fentanyl. Among those charged were:
Miguel Silva-Torres, Jr., 31, of St. Ann;
Frank Stogsdill, Sr., 57, of O’Fallon, Missouri;
David Henderson, 58, of Bonne Terre;
Royce Spann, 35, of St. Louis; and
Randall Bryant, 48, of DeSoto.
The five men were added in a sealed Superseding Indictment dated January 9, 2020, that details the seizures of drugs, money, and firearms from the group. It was unsealed today following the arrests. They join Ramon Gonzalez, 47, of St. Peters, Missouri, who was charged in April 2019. According to the Superseding Indictment, the conspiracy reached nearly halfway across the country, and included significant seizures in St. Louis, Kansas City, and California. The investigation culminated in April and May 2019, with the seizure of more than $150,000 in May alone.
“As today’s unsealed indictment demonstrates, when someone chooses to sell drugs, support or join a drug trafficking organization that distributes drugs, there is an entire network of federal, state and local law enforcement officers ready to stop them,” said United States Attorney Jeffrey B. Jensen. “In the last year, this office has doubled the number of federal firearm- and drug-related prosecutions as a result of cooperative and wide-reaching investigations like this.”
“We know there is a correlation between drugs and violence in the St. Louis Metro area. This is the kind of drug and weapons trafficking criminal organization the DEA, along with our law enforcement partners, seek to dismantle,” said DEA St. Louis Field Division Special Agent in Charge William Callahan. “By taking out the entire organization with operations extending beyond Missouri’s borders, these charges today are another step toward making the St. Louis Metro area a safer place.”
St. Charles County Prosecuting Attorney Tim Lohmar added, “On behalf of the St. Charles County regional Drug Task Force, we are extremely proud to have worked in partnership with the DEA in bringing down one of the largest drug distribution networks in our region’s history.”
Echoing those sentiments was Chief Rick Struttmann of the St. Peters Police Department, who noted, “The St. Peters Police Department is appreciative of the collaborative efforts and partnership between the DEA and state and local law enforcement officers. Operations of this nature are a clear demonstration of how federal, state and local task forces work when it comes to identifying and arresting criminals who are willing to participate in the distribution of controlled substances in our communities. These investigative efforts have a great impact on making our communities safer.”
As is always the case, charges set forth in the indictment are merely accusations and do not constitute proof of guilt. Every defendant is presumed to be innocent unless and until proven guilty.
Final defendant gets life for meth distributionRead the Press Release
BROWNSVILLE, Texas – A 64-year-old Brownsville resident has been ordered to federal prison after admitting to running a drug distribution ring over a two-year period, announced U.S. Attorney Ryan K. Patrick.
Roberto Rosales Jr. pleaded guilty Feb. 21, 2019.
Today, U.S. District Judge Fernando Rodriguez Jr. ordered Rosales to serve the rest of his life in prison. At the hearing, the court noted his prior lengthy criminal history and that his is still involved in narcotics distribution at his age. Judge Rodriguez further stated that even after serving prior prison sentences, he reoffends and continues to sell narcotics as soon as he is released. He further noted Rosales is a danger to society, has large quantity Narcotics sales which indicates dangerous sources in Mexico and sees no chance of rehabilitation.
The court previously sentenced co-defendants Sarahi Hernandez, 22, and Mariella Ramirez, 25, both of Brownsville, to 87 and 60 months, respectively. They had admitted to possession and assisting in the sale of multiple narcotics and mailing them throughout the United States and Virgin Islands over a two-year-period.
At the time of his plea, Rosales admitted that for more than two years he would coordinate with individuals in Mexico to pick up methamphetamine smuggled through port of entries into the United States.
He ran the conspiracy from his residence in Brownsville, which served as a staging area for shipping methamphetamine, cocaine, heroin and marijuana via FedEx, United Parcel Service (UPS) and the U.S. Postal Service (USPS). Once the narcotics were at his house, he would package and produce labels in order to ship the methamphetamine to co-conspirators throughout the country.
Rosales would then drop off the parcels at the U.S. Post Office or UPS store. He utilized the unknowing services of UPS and USPS to ship narcotics-laden packages to multiple destinations in the U.S. and Virgin Islands.
Rosales would also sell methamphetamine and other narcotics in person to individuals he trusted which were taken to locations throughout the Rio Grande Valley and Corpus Christi for street distribution. During the course of the conspiracy, Rosales recruited multiple young women whom he paid with cash and narcotics and allowed them to socialize at his house for assisting in his distribution scheme.
During the investigation, authorities executed a search warrant at his residence, discovered evidence of a complex shipping organization and seized more than four kilograms of methamphetamine, one kilogram of heroin and 30 kilograms of marijuana as well as multiple different pills including Xanax and Ecstasy.
Present at his house at that time was Hernandez, who was in charge of the house and in possession of the narcotics.
Rosales has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The Drug Enforcement Administration conducted the investigation. Assistant U.S. Attorney Justin S. Dinsdale prosecuted the case.
Final Defendant Pleads Guilty in Mexican Timeshare Resale Fraud ProsecutionRead the Press Release
SACRAMENTO, Calif. — Juan Carlos Montalbo, 57, of San Antonio, Texas, pleaded guilty today to conspiracy to commit wire fraud in connection with a timeshare fraud in Mexico, U.S. Attorney McGregor W. Scott announced.
According to court documents, Montalbo, while working in the timeshare industry in Puerto Vallarta, Mexico, would tell timeshare owners that he could guarantee the sale of their existing timeshare vacation rentals, often to pay for other timeshare products Montalbo was attempting to sell them. He and his coconspirators would guarantee the sales and would represent that buyers were already arranged who were ready to pay for the timeshares. In truth, no buyers had actually been arranged. Instead, other coconspirators would convince the victims of the fraud to wire additional money from bank accounts in the United States and Canada to bank accounts in Mexico for alleged up-front payments including taxes, fees, and commissions to make the sale of the timeshare occur. The conspirators would assure victims that the non-existent buyers had already deposited money into trust accounts and that the sellers’ up-front fees would be fully reimbursed from those funds after the sale was complete.
This case is the product of an investigation by the Federal Bureau of Investigation. Assistant U.S. Attorneys Matthew G. Morris is prosecuting the case.
Montalbo is scheduled to be sentenced by U.S. District Judge John A. Mendez on April 21. Montalbo faces a maximum statutory penalty of 20 years in prison and a $250,000 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Co-defendant Marco Antonio Ramirez Zuno pleaded guilty in March 2017, and is scheduled for a status hearing regarding sentencing on March 17, 2020. Co-defendant Wayne Arthur York II pleaded guilty in November 2019, and is scheduled for a sentencing on March 3, 2020.
Ex-Fannie Mae Employee Gets over 6 Years in Prison for Bribery Scheme with Millions of Dollars in Corrupt Commissions and SalesRead the Press Release
SANTA ANA, California – A former Fannie Mae employee was sentenced today to 76 months in federal prison for a multimillion-dollar scheme to take bribes and to discount sales of Fannie Mae-owned properties to herself and to real estate brokers in exchange for cash kickbacks.
Shirene Hernandez, 47, of Corona, was sentenced by United States District Judge Andrew J. Guilford, who also ordered her to pay $982,516 in restitution to Fannie Mae.
After a five-day trial in February 2019, a jury found Hernandez guilty of two wire fraud counts involving deprivation of honest services in furtherance of her scheme, which resulted in more than $120 million in sales and more than $3 million in corrupt commissions to brokers. The brokers who benefited from the sales paid the bribes and kickbacks to Hernandez in cash, which sometimes was stuffed into envelopes and delivered in parking lots, airports and coffee shops.
The evidence at trial showed that the bribery scheme arose out of Hernandez’s misuse of her official position with the Federal National Mortgage Association (Fannie Mae), a government-sponsored entity under the conservatorship of the Federal Housing Finance Agency (FHFA). From 2010 until 2015, Hernandez worked as a sales representative for Fannie Mae at its Irvine office. As part of its operations, Fannie Mae acquires properties through foreclosures and other methods, and sales representatives then manage and sell those properties for Fannie Mae’s benefit.
As a sales representative, Hernandez was responsible for picking real estate brokers to whom she assigned Fannie Mae-owned property listings. Brokers sought the listings because they would obtain commissions on them when the properties were sold. In violation of Fannie Mae rules and federal law, Hernandez demanded and received bribes from the brokers as a condition of her assignment of properties to them. As part of the scheme, she also received bribes for approving below-market sale prices of Fannie Mae-owned properties to the corrupt brokers.
Hernandez – using intermediaries and alter egos – bought at least one Fannie Mae-owned property in Sonoma for herself at a below-market price. She ensured that multiple offers higher than her own below-market price were rejected. Hernandez then paid for the property using a duffel bag filled with $286,450 in cash, which she gave to her sister-in-law to bring to the sale’s closing.
Hernandez also helped family members become Fannie Mae-approved brokers, and then steered nearly $80 million in Fannie Mae listings to them, resulting in nearly $2 million in commissions in less than three years.
In total, Hernandez received more than $1 million in benefits, including the cash kickbacks and rent that she collected and equity that she built in the Fannie-Mae property she bought for herself.
“The crime that [Hernandez] committed was egregious,” prosecutors wrote in their sentencing memorandum. “Rather than act in the public’s best interests…she used her position to line her own pockets. [She] is unremorseful and unrepentant, and would seemingly do it all again if she could avoid being caught.”
The Federal Housing Finance Agency, Office of Inspector General investigated this matter.
This case was prosecuted by Assistant United States Attorneys Kerry L. Quinn of the Major Frauds Section, Ian V. Yanniello of the General Crimes Section, and Jonathan S. Galatzan of the Asset Forfeiture Section.
Erie Man Indicted for Violating Federal Laws Relating to the Sexual Exploitation of ChildrenRead the Press Release
ERIE, Pa. - A resident of Erie, Pennsylvania, has been indicted by a federal grand jury in Erie on charges of violating federal laws relating to the sexual exploitation of children, United States Attorney Scott W. Brady announced today.
The five-count Indictment named Jeffrey Adam Jepson, 38, as the sole defendant.
According to the Indictment presented to the court, Jepson took sexually explicit photos of a victim who was under the age of six. He also distributed those computer images depicting the minor victim to an undercover officer.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
The law provides for a maximum total sentence of 140 years in prison, a fine of $1,250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Christian A. Trabold is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation and the District of Columbia’s Metropolitan Police Department conducted the investigation leading to the Indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Dominican National Sentenced for Identity Theft OffensesRead the Press Release
BOSTON – A Dominical national, who has been arrested numerous times under a false identity for heroin offenses, was sentenced today for identity theft charges.
Marlon Suazo Santos, 31, a Dominican national who resided in Dorchester, was sentenced by U.S. Senior District Court Judge Mark L. Wolf to 30 months in prison to be served consecutively to a state drug conviction. Suazo Santos will face deportation proceedings upon completion on his sentence. In October 2019, Suazo Santos pleaded guilty to two counts of false representation of a Social Security number and one count of aggravated identity theft.
Suazo Santos used the identity of a U.S. citizen on more than a dozen applications submitted to the Massachusetts Registry of Motor Vehicles for driver’s licenses and other identification documents. Suazo Santos also used this identity on applications for MassHealth benefits and during booking when arrested for numerous heroin-related offenses and other crimes.
United States Attorney Andrew E. Lelling and Jason Molina, Acting Special Agent in Charge of Homeland Security Investigations in Boston made the announcement today. Assistant U.S. Attorney Bill Abely, Deputy Chief of Lelling’s Major Crimes Unit, prosecuted the case.
District Court Orders Michigan Seafood and Salad Processor to Comply with Food Safety RequirementsRead the Press Release
A federal court in eastern Michigan permanently enjoined a Hamtramck, Michigan, firm from processing or distributing ready-to-eat seafood salads as well as non-seafood salads, pierogis, and dips processed under insanitary conditions, the Department of Justice announced today.
In a complaint filed on Jan. 13, 2020, at the request of the U.S. Food and Drug Administration (FDA), the United States alleged that defendants Home Style Foods Inc., the company’s president, Michael J. Kowalski, and the company’s quality manager, Juan Valesquez, violated the Food, Drug and Cosmetic Act by processing and distributing fish products and other food, including salads, pierogis, and dips, in a facility where government inspectors previously found evidence of listeria contamination. The complaint also alleged violations of seafood safety regulations designed to mitigate hazards associated with the processing of fish and fishery products. According to the complaint, FDA issued a warning letter to Home Style Foods in April 2016.
“The Department of Justice is committed to safeguarding consumer health by rigorously enforcing America’s food safety laws,” said Assistant Attorney General Jody Hunt for the Justice Department’s Civil Division. “We will continue to work with FDA to ensure that companies take food sanitation and safety laws seriously.”
“Michigan’s food supply should always be safe, and that is why the Justice Department takes this case so seriously,” said U.S. Attorney Matthew Schneider for the Eastern District of Michigan. “There simply is no excuse for serving contaminated food products.”
“After repeated food safety violations, the FDA worked with DOJ to obtain this injunction in order to prevent potentially contaminated food from reaching consumers. The company failed to take the appropriate corrective actions resulting in this action,” said FDA Chief Counsel Stacy Cline Amin, J.D. “When a company fails to follow the law, the government will take action to protect the food supply.”
The defendants agreed to be bound by a consent decree filed with the complaint in U.S. District Court for the Eastern District of Michigan. The order entered by the Court permanently enjoins the defendants from violating the Food, Drug, and Cosmetic Act and requires Home Style Foods to stop processing and distributing its products unless it complies with specific remedial measures set forth in the injunction.
Trial Attorney Danielle Serbin of the Civil Division’s Consumer Protection Branch represented the United States with the assistance of Noah T. Katzen, Associate Chief Counsel, U.S. Department of Health and Human Services, Office of the General Counsel, Food and Drug Division, and the U.S. Attorney’s Office for the Eastern District of Michigan.
Additional information about the Consumer Protection Branch and its enforcement efforts may be found at www.justice.gov/civil/consumer-protection-branch. For more information about the U.S. Attorney’s Office for the Eastern District of Michigan, visit its website at www.justice.gov/usao-edmi.
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.
Department of Justice Antitrust Division to Co-Host Workshop on Venture Capital Investment and Antitrust Law with Stanford UniversityRead the Press Release
The Department of Justice and Stanford University will hold a public workshop on Feb. 12, 2020, to explore the intersection between venture capital and antitrust law. The full-day workshop will discuss trends in venture capital investment from the 1990s through present, with a focus on what antitrust enforcers can learn from investors about how to identify nascent competitors in markets dominated by technology platforms. The workshop will also address proposed solutions to concerns that competitive alternatives to the market-leading platforms are not attractive investment opportunities.
The Justice Department’s Antitrust Division and the Stanford Graduate School of Business will co-host the workshop, which will bring together venture capitalists, academics from both law and business, and other tech industry stakeholders. The Antitrust Division and Stanford intend to explore the practical considerations that early stage investors face when calculating the risks of investing in a startup and exit strategies.
“The Antitrust Division is excited to partner with Stanford University on this workshop to learn from participants in the venture capital industry, who must predict the future of technology markets on a daily basis,” said Assistant Attorney General Makan Delrahim of the Justice Department’s Antitrust Division. “Private investment plays a critical role in the dynamic competition that characterizes many technology markets, and it is fundamental to our mission at the Antitrust Division that we understand how market conditions today affect incentives for that investment.”
Assistant Attorney General Delrahim will open the workshop, followed by a fireside chat with Michael Moritz of Sequoia Capital regarding trends in venture capital investment. Next, Stanford Law Professor Doug Melamed will introduce the basic legal framework for venture capitalists to think about antitrust principles, and then a series of panels will examine: (1) kill zones; (2) monetizing data; and (3) investing in platform-dominated markets. Dean Jonathan Levin of the Stanford Graduate School of Business will open the workshop’s afternoon session, which will conclude with a roundtable discussion recapping the competitive concerns raised throughout the day and evaluating proposed solutions to those concerns.
The Department of Justice invites comments from the public on the topics covered by this workshop. Interested parties may submit public comments online now through March 14, 2020, at [email protected].
The workshop is free and open to the public and will take place at Paul Brest Hall, 555 Salvatierra Walk, Stanford University, from 9 a.m. Pacific Time to 5 p.m. Pacific Time. A recording of the workshop will be available on the Division’s website. Registration information, an agenda, directions to the event, and a list of speakers will be available in the near future on the event webpage. Please register in advance for the workshop at https://law.stanford.edu/event/public-workshop-on-venture-capital-and-antitrust/. Members of the press also should copy [email protected] on their registration email. Seating will be on a first-come, first-served basis.
Reasonable accommodations for people with disabilities are available upon request. If you need such an accommodation, please contact the Antitrust Division at [email protected]. Such requests should include a detailed description of the accommodations needed and a way to contact you if we need more information.
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.