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21 February 2020
Armed Career Criminal Sentenced to More Than 19 Years in Prison for Firearm and Narcotics ChargesRead the Press Release
Fort Myers, Florida – U.S. District Judge Thomas P. Barber has sentenced Jarquel Jenkins (28, Fort Myers) to 19 years and 7 months in federal prison for distributing a controlled substance, possession with the intent to distribute a controlled substance, and possessing a firearm as a convicted felon.
Jenkins had pleaded guilty on November 27, 2019.
According to court documents, on three separate occasions in January and February 2019, Jenkins sold controlled substances (heroin and cocaine) to confidential informants. In February 2019, following a controlled purchase of narcotics from Jenkins, law enforcement officers attempted to arrest Jenkins who fled from a parked vehicle. During the execution of a search warrant of the vehicle, officers seized various quantities of heroin, methamphetamine, and cocaine, as well as a loaded firearm from the vehicle’s cup holder. As a previously convicted felon, Jenkins is prohibited from possessing a firearm or ammunition under federal law.
This case was investigated by the Federal Bureau of Investigation and the Lee County Sheriff’s Office. 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.
Argentinian Man Pleads Guilty to Child Sexual Exploitation and Distribution of Child Pornography over the DarkwebRead the Press Release
LAS VEGAS, Nev. – Andres Rafael Viola, 36, an Argentine citizen who resides in Las Vegas, pleaded guilty to sexual exploitation of children and possession of child pornography, announced U.S. Attorney Nicholas A. Trutanich for the District of Nevada and Special Agent in Charge Frank Burrola for Homeland Security Investigations (HSI).
According to court documents, in May 2019, Yahoo, Inc. reported to the National Center for Missing and Exploited Children that one of its users received 14 images of child pornography from Viola, who was using the darkweb Tor network to distribute child pornography.
On June 7, 2019, federal law enforcement arrested Viola at his Las Vegas residence. Law enforcement determined that Viola had supervisory control over the child victim. A forensic examination of electronic devices that were seized from Viola’s home revealed nearly 350 child pornography images and video, including Viola’s sexual exploitation of the victim and a curated collection of child pornography from other victims. Evidence showed that Viola had used the darkweb to distribute, trade, and share the child pornography he created of the child victim.
For the hands-on offenses related to the child victim, Viola pleaded guilty in Nevada state court to one count of Sexual Assault of a Child under the Age of 14.
This case was the product of an investigation by HSI and the Las Vegas Metropolitan Police Department. Assistant U.S. Attorney Elham Roohani is prosecuting the case.
Viola is scheduled to be sentenced by U.S. District Judge Richard F. Boulware II on May 28, 2020. As part of his guilty plea, Viola has agreed to 35 years of imprisonment and he may face deportation from the United States. The statutory mandatory minimum sentence for sexual exploitation of children is 15 years in prison. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Department of Justice’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
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Alabama Man Sentenced to 60 Months for Multi-State Bank Robbery SpreeRead the Press Release
LEXINGTON, Ky. – An Alabama man, Maxwell Hayslip, 27, was sentenced to 60 months in federal prison and ordered to pay a $20,000 fine on Friday by Chief United States District Judge Danny C. Reeves, after previously admitting to robbing five banks by intimidation in Kentucky, Tennessee, and Georgia.
As part of his guilty plea, Hayslip and admitted that, between August 7 and November 13, 2018, he robbed banks in Lexington, Kentucky; Murfreesboro, Tennessee; Nashville, Tennessee; Bowling Green, Kentucky; and Carrollton, Georgia. Hayslip admitted that he wrongfully obtained over $14,000 over the course of his robbery spree, and he agreed to pay that total amount back in restitution. According to his plea agreement, he was captured by law enforcement in Alabama, soon after the Lexington robbery.
In addition to the prison sentence, Hayslip must pay $14,258 in restitution and a $20,000 fine imposed by the court. Under federal law, Hayslip must serve 85 percent of his prison sentence and will be under the supervision of the U.S. Probation Office for life.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; James Robert Brown, Jr., Special Agent in Charge, Federal Bureau of Investigation; Lawrence Weathers, Chief of the Lexington Police Department; Michael Bowen, Chief of the Murfreesboro Police Department; Steve Anderson, Chief of the Metropolitan Nashville Police Department; Doug Hawkins, Chief of the Bowling Green Police Department; and Joel Richards, Chief of the Carrollton Police Department, jointly announced the sentencing.
Local law enforcement agencies in each respective jurisdiction investigated Hayslip, and the federal investigation was directed by the Federal Bureau of Investigation. The United States was represented by Special Assistant U.S. Attorney James T. Chapman.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
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4Xon Gang Member Sentenced for Illegal Firearm PossessionRead the Press Release
RICHMOND, Va. – A Richmond gang member was sentenced today to five years in prison for possession of a firearm as a convicted felon.
According to court documents, in August 2019, Richmond Police Department (RPD) officers observed Terrell Clarke-Conley, 22, as the passenger in a vehicle on a traffic stop at the intersection of Westwood Avenue and Chamberlayne Avenue in Richmond. The officers identified Clarke-Conley as a wanted fugitive, and after being stopped, Clarke-Conley attempted to flee when officers asked him to step out of the vehicle. Following a brief struggle, RPD officers recovered a Glock, Model 19X, 9mm caliber, semi-automatic pistol, loaded with 19 rounds in a high-capacity magazine, in Clarke-Conley’s possession. At the time of his possession of the firearm, Clarke-Conley had previously been convicted of a felony.
During the sentencing, the Court determined that Clarke-Conley was a 4Xon gang member, a gang located in the Highland Park area of Richmond. In imposing a five-level upward sentencing variance, the Court focused on several other incidents involving Clarke-Conley’s firearm possession and his involvement in the 4Xon gang.
This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. Click here for more information about Project Guardian.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; David W. Archey, Special Agent in Charge of the FBI’s Richmond Field Office; and William C. Smith, Chief of Richmond Police, made the announcement after sentencing by Senior U.S. District Judge Henry E. Hudson. Assistant U.S. Attorney Erik S. Siebert prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:19-cr-129.
20 February 2020
‘SCO’ Gang Leader and 2 Associates Plead Guilty to Multiple ChargesRead the Press Release
PITTSBURGH, PA – Three former residents of Southwestern Pennsylvania pleaded guilty in federal court to charges related to drug trafficking in connection with a large-scale investigation conducted by the Greater Pittsburgh Safe Streets Task Force, United States Attorney Scott W. Brady announced today.
Howard McFadden, 30, formerly of Turtle Creek, PA, Donald Singleton, 48, formerly of Penn Hills, PA, and Chadlin Leavy, 31, of Pittsburgh, PA pleaded guilty this week to multiple counts related to their involvement in conspiracies to distribute controlled substances in Southwestern Pennsylvania.
In connection with the guilty pleas, the Court was advised that the Greater Pittsburgh Safe Streets Task Force conducted a long-term investigation of drug trafficking occurring in and around Braddock Borough and identified several members and associates of a neighborhood-based street gang, self-titled "SCO" that were responsible for distributing controlled substances in Western Pennsylvania, including SCO’s leader, Howard McFadden.
In January of 2019, investigators obtained authorization to conduct a federal wire investigation, which continued through May of 2019. Through the course of this investigation, the Court was informed that intercepted communications confirmed McFadden’s involvement in drug-trafficking as well as other members, associates and/or suppliers of McFadden – and SCO, including Singleton and Leavy.
As to McFadden, the Court was informed, that McFadden used younger SCO members and associates as runners and couriers to facilitate drug transactions with his drug customers. He also used a number of houses, throughout Braddock, including houses that he owned via his house-flipping business, H&M Home Solutions, as stash house locations. The Court was informed that on one occasion, McFadden and another member of the conspiracy were observed sitting in McFadden’s vehicle, parked on Seddon Avenue, placing a clear plastic baggie containing suspected narcotics on a scale located on the center armrest of McFadden’s vehicle.
In conjunction with his guilty plea McFadden also admitted that he unlawfully possessed a Glock 30, .45 caliber automatic pistol, which law enforcement seized at the time of McFadden’s arrest. On June 12, 2019, law enforcement seized from McFadden a Jeep Grand Cherokee, the Glock pistol, high-end jewelry and a total of $23,578. In conjunction with the change of plea, McFadden admitted to conspiring to distribute 1,128 grams of heroin, 2,546 grams of cocaine and 371.15 grams of cocaine base.
As to Singleton, the Court was informed that he was one of McFadden’s close associates and regularly talked with McFadden over the phone to discuss their drug-trafficking operations. Singleton, who maintained his own smaller customer base, admitted that in addition to providing McFadden with drug-trafficking advice and the names of individuals who could supply McFadden with controlled substances that he also let McFadden use an apartment in Penn Hills at the Wellington Square Apartment complex to process cocaine into cocaine base, more commonly known as crack. On June 12, 2019, law enforcement seized numerous items from this apartment indicative of drug-trafficking. In conjunction with the change of plea, Singleton admitted to conspiring to distribute 80 grams of heroin, 2,000 grams of cocaine and 84 grams of cocaine base.
As to Leavy, the Court was informed that Leavy was a heroin, cocaine and marijuana source of supply for McFadden, among others. The Court was informed that law enforcement stopped Leavy while he was en route to meet with his marijuana source of supply, Jared Eck, to purchase 25- 30 lbs of marijuana from Eck for $30,000. Law enforcement found the $30,000 in the vehicle and seized it. Additionally, the Court was advised that on June 12, 2019, law enforcement seized from Leavy’s residence a 2008 Mercedes Benz S550, $42,882, four firearms and related magazines and ammunition, and high-end jewelry. In conjunction with the change of plea, Leavy admitted to conspiring to distribute 585 grams of heroin, 1,526 grams of cocaine and 53 kilograms of marijuana.
Judge Schwab scheduled sentencing as to Leavy for May 21, 2020, at 9:00 AM, as to Singleton for July 15, 2020, at 10:00 AM, and as to McFadden for July 28, 2020, at 11:00 AM.
As to McFadden, the law provides for maximum sentence of not less than 15 years and not more than life in prison, a fine of not more than $20,000,000, or both. As to Leavy and Singleton, the law provides for a maximum sentence of not less than five and 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 offenses and the prior criminal history, if any, of the defendant. Leavy remains on bond pending sentencing in this matter.
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.
Yonkers Man Charged with Bronx KidnappingRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, William F. Sweeney Jr., the Assistant Director-in-Charge of the New York Office of the Federal Bureau of Investigation (“FBI”), and Dermot Shea, the Commissioner of the New York City Police Department (“NYPD”), announced the unsealing of an Indictment charging OWEN DRAIN, a/k/a “Whiteboy,” a/k/a “Tommy,” with the November 19, 2019, gunpoint kidnapping of a victim in the Bronx. The case has been assigned to United States District Judge Victor Marrero. DRAIN was arrested this afternoon, and will be presented today before United States Magistrate Judge Barbara C. Moses.
U.S. Attorney Geoffrey S. Berman said: “As alleged in the Indictment, the defendant kidnapped a victim in a car at gunpoint. Thanks to the outstanding work of the FBI and the NYPD, the defendant is now charged in federal court for this extremely serious crime.”
Police Commissioner Dermot Shea said: “This arrest and indictment reflects the hard work that members of the NYPD engage in each day to hold responsible the small number of individuals committing much of the violence in New York City. I commend the efforts of the NYPD investigators and our law enforcement partners involved in this investigation.”
As alleged in the Indictment unsealed today in Manhattan federal court[1]:
As alleged, on November 19, 2019, OWEN DRAIN kidnapped a victim at gunpoint and zip tied the victim during the course of the kidnapping.
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DRAIN, 35, of Yonkers, New York, is charged with kidnapping, which carries a maximum sentence of life imprisonment. The statutory maximum penalty is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendant would be determined by the judge.
Mr. Berman praised the outstanding investigative work of the NYPD and FBI.
This case is being handled by the Office’s Violent and Organized Crime Unit. Assistant United States Attorneys Ni Qian and Michael D. Longyear are in charge of the prosecution.
The charges contained in the Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Indictment and the description of the Indictment set forth herein constitute only allegations, and every fact described should be treated as an allegation.
Wilkinsburg Felon Admits Illegally Possessing Fentanyl, Heroin and a GunRead the Press Release
PITTSBURGH -A former resident of Wilkinsburg, PA pleaded guilty yesterday in federal court to charges of violating federal drug and firearms laws, United States Attorney Scott W. Brady announced today.
Jordan Thompson, 23, pleaded guilty to three counts before Chief United States District Judge Mark R. Hornak.
In connection with the guilty plea, the court was advised that on February 7, 2019, Thompson possessed with intent to distribute fentanyl and heroin. The court was further informed that Thompson unlawfully possessed a Glock .40 caliber firearm in furtherance of the drug trafficking offense, after having been convicted of multiple crimes punishable by more than one year in prison. Those convictions include one conviction for possession with intent to deliver a controlled substance, two convictions for receiving stolen property, and convictions for carrying a firearm without a license and being a person not to possess a firearm. Federal law prohibits anyone who has been convicted of a crime punishable by a term of imprisonment exceeding one year from possessing a firearm or ammunition.
Chief Judge Hornak scheduled sentencing for June 16, 2020, at 11:00 am. The law provides for a total sentence of up to life in prison, a fine of $2,500,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant. Thompson remains detained pending sentencing.
Assistant United States Attorney Christy Criswell Wiegand is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Monroeville Police Department conducted the investigation that led to the prosecution of the defendant. The case was brought as part of Project Safe Neighborhoods. Project Safe Neighborhoods (PSN) is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Wetzel County man sentenced for firearms violationRead the Press Release
WHEELING, WEST VIRGINIA – Martin Anderson, of New Martinsville, West Virginia, was sentenced today to 18 months incarceration for a firearms violation, U.S. Attorney Bill Powell announced.
Anderson, age 31, pled guilty to one count of “Unlawful Possession of a Firearm” in October 2019. Anderson, a person prohibited from having firearms, is accused of possessing a .223 caliber rifle and two .22 caliber rifles in Wetzel County in June 2018.
This case was brought as part of Project Safe Neighborhoods (PSN). Project Safe Neighborhoods 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.
Assistant U.S. Attorney Shawn M. Adkins prosecuted the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated.
U.S. District Judge John Preston Bailey presided.
Western District of Louisiana U.S. Attorney's Office Collects More Than $44 Million in Civil and Criminal Actions for U.S. Taxpayers in Fiscal Year 2019Read the Press Release
SHREVEPORT/LAFAYETTE/ALEXANDRIA/LAKE CHARLES/MONROE, La. – United States Attorney David C. Joseph announced today that the U.S. Attorney’s Office for the Western District of Louisiana collected over $44 million in civil and criminal actions in Fiscal Year (FY) 2019. Of this amount, $24,561,613.58 was collected in civil actions, and $3,554,319.45 was collected in criminal actions handled solely by the Western District.
The office also worked with other U.S. Attorney’s Offices and components of the Department of Justice to collect an additional $16,094,499.63 in cases pursued jointly by these offices. Collections included $16,088,679.32 in civil actions and $5,820.31 in criminal actions.
The Financial Litigation Unit (FLU) of the U.S. Attorney’s Office collected $1,210,112.31 through garnishment actions filed by the FLU and $456,477.07 through the Treasury Offset Program, which allows for the offset of funds payable by the United States to certain delinquent debts owed to the United States.
Overall, the Justice Department collected a total of just over $9.3 billion in civil and criminal actions in the fiscal year ending September 30, 2019.
“The $44 million collected by our office is a credit to the outstanding work performed by our attorneys and staff, each of whom are deeply committed to finding and collecting monies owed to the United States and crime victims,” Joseph stated. “We look forward to continuing our work to recover any and all money owed to taxpayers and to those whose lives have been impacted by crime.
FY 2019 Collections Highlights
Evangeline Enterprises LLC of Carencro, Louisiana, a racehorse training-center operator, agreed to pay $300,000 in October 2018 in civil penalties to settle Clean Water Act claims filed by the U.S. Environmental Protection Agency (EPA) and the Louisiana Department of Environmental Quality (LDEQ). The settlement resolved claims by EPA and LDEQ that Evangeline illegally discharged process wastewater, contaminated with horse manure, urine, and other biological materials, from its facility into the Vermilion River and its tributary Francois Coulee, in violation of the Clean Water Act and the Louisiana Environmental Quality Act.
Press Release: https://www.justice.gov/usao-wdla/pr/carencro-race-horse-training-center-owner-will-pay-civil-penalties-and-perform
In January 2019, Sunoco Pipeline L.P. agreed to pay the United States $5 million in federal civil penalties, resulting from a joint federal-state Clean Water Act (CWA) enforcement action filed in the Western District of Louisiana, to resolve alleged CWA violations stemming from three crude oil spills in 2013, 2014, and 2015 in Texas, Louisiana and Oklahoma.
Press Release: https://www.justice.gov/usao-wdla/pr/sunoco-pipeline-lp-pay-more-54m-and-take-oil-spill-prevention-steps-settle-claims
In May 2019, Morrison & Dickson Company, LLC, the largest privately owned wholesale pharmaceutical distributor in the United States and the fourth largest in the country, entered into a settlement agreement with the United States in which Morris & Dickson agreed to pay $22 million in civil penalties to resolve claims that it violated the Controlled Substances Act. The claims against Morris & Dickson arose from a Drug Enforcement Administration Office of Diversion Control investigation into Morris & Dickson’s failure to report suspicious orders of hydrocodone and oxycodone. DEA Diversion agents identified more than 12,000 allegedly suspicious retail pharmacy orders that should have been reported since January 2014.
Press Release: https://www.justice.gov/usao-wdla/pr/us-attorney-david-c-joseph-announces-settlement-louisiana-drug-distributor-resolving
In September 2019, Biomedical Research Foundation of Northwest Louisiana and its related companies, and the Board of Supervisors of Louisiana State University and Agricultural and Mechanical College agreed to pay $531,241.74 in damages to resolve claims that they violated the False Claims Act and other laws while operating University Health Hospital in Shreveport. The Biomedical Research Foundation of Northwest Louisiana and LSU were alleged to have sought and obtained payment from Medicare for procedures that required reporting to a qualified registry. The procedures that they failed to report involved implantable automatic defibrillators, which are electronic devices designed to detect and treat life-threatening tachyarrhythmias. This settlement resolves allegations originally brought in a lawsuit filed under the qui tam, or whistleblower, provisions of the False Claims Act.
Press Release: https://www.justice.gov/usao-wdla/pr/qui-tam-lawsuit-and-federal-investigation-results-half-million-dollar-settlement
The U.S. Attorneys’ Offices, along with the department’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to the U.S. and criminal debts owed to federal crime victims. The law requires defendants to pay restitution to victims of certain federal crimes who have suffered a physical injury or financial loss. While restitution is paid to the victim, criminal fines and felony assessments are paid to the department’s Crime Victims’ Fund, which distributes the funds collected to federal and state victim compensation and victim assistance programs.
The U.S. Attorney’s Office is charged with enforcing federal criminal laws and representing the federal government in civil litigation. The Western District of Louisiana U.S. Attorney’s Office covers 42 of Louisiana’s 64 parishes and includes the cities of Shreveport, Lafayette, Alexandria, Lake Charles, and Monroe. The office is composed of approximately 40 Assistant U.S. Attorneys and approximately 41 staff members at offices in Shreveport and Lafayette.
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West Sacramento Man Indicted for Transporting 85 Pounds of MethamphetamineRead the Press Release
FRESNO, Calif. — A federal grand jury returned a one-count indictment today against Simeon Hernandez-Ortiz, 24, of West Sacramento, charging him with possessing methamphetamine with the intent to distribute it, U.S. Attorney McGregor W. Scott announced.
According to court documents, on Feb. 6, Hernandez-Ortiz was stopped by a law enforcement officer while traveling north on I-5 in Stanislaus County. Based upon the officer’s subsequent investigation, the vehicle was searched and the officer found 85 pounds of methamphetamine concealed in the trunk.
This case is the product of an investigation by the Drug Enforcement Administration and the California Highway Patrol, Stanislaus Investigative Unit. Assistant U.S. Attorney Kathleen A. Servatius is prosecuting the case.
If convicted, Hernandez faces a maximum statutory penalty of life in prison and a $10 million fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Utah Man Convicted on Hate Crime Charges After Attacking Three Men with a Metal PoleRead the Press Release
After a five-day trial, a federal jury in Salt Lake City, Utah, found defendant Alan Covington guilty on three hate crime charges stemming from an incident in which the defendant attacked three men with a metal pole because he believed the men were Mexican.
The verdicts were announced by Eric Dreiband, Assistant Attorney General for the Civil Rights Division; John W. Huber, United States Attorney for the District of Utah; and Paul H. Haertel, Special Agent in Charge of the Salt Lake City Field Office of the Federal Bureau of Investigation.
Evidence presented at trial established that on Nov. 27, 2018, Covington entered a tire store, shouted at employees that he wanted to “kill Mexicans,” and then struck an employee in the head with a metal pole. The father of the victim rushed to help his son, who had been knocked to the ground with a serious head injury. While the father cradled his son’s head, Covington used the metal pole to strike the father in the back. When a third man tried to intervene to chase off the defendant, Covington swung the metal pole in an attempt to injure him. Covington was apprehended by police near the tire store, with a metal pole and a hatchet in his possession.
A sentencing date has not yet been set by U.S. District Judge Howard C. Nielson Jr. Covington faces a maximum sentence of life in in prison and a $250,000 fine.
The case was investigated by the Salt Lake City Field Office of the FBI, with the cooperation of the Salt Lake City Police Department. The case is being prosecuted by Assistant U.S. Attorney J. Drew Yeates of the United States Attorney’s Office and Special Litigation Counsel Rose E. Gibson of the Civil Rights Division.
Utah Man Convicted on Hate Crime Charges After Attacking Three Men with A Metal PoleRead the Press Release
SALT LAKE CITY– After a five-day trial, a federal jury in Salt Lake City, Utah, found defendant Alan Covington guilty on three hate crime charges stemming an incident in which the defendant attacked three men with a metal pole because he believed the men were Mexican.
The verdicts were announced this afternoon by Eric Dreiband, Assistant Attorney General for the Civil Rights Division; John W. Huber, United States Attorney for the District of Utah; and Paul H. Haertel, Special Agent in Charge of the Salt Lake City Field Office of the Federal Bureau of Investigation.
“In America, we have the right to wake each day and pursue work and family activities without the fear of a violent assault because of our ethnicity or perceived national origin. When an offender violates this basic civil right, we will hold him accountable,” U.S. Attorney John W. Huber said today. “Today, a jury of his peers held Mr. Covington responsible for violating the civil rights of the victims in this case, who were physically injured and traumatized.”
"Hate has no place in our society, and as the victims in this case testified, the brutal assault against them has completely altered their lives forever," said Paul H. Haertel, Special Agent in Charge of the FBI's Salt Lake City Field Office. "Hate crimes are the highest priority of the FBI's Civil Rights program. They devastate not only the victims but an entire community, and we will aggressively investigate those whose biases motivate their crimes."
Evidence presented at trial established that on November 27, 2018, Covington entered a tire store, shouted at employees that he wanted to “kill Mexicans,” and then struck an employee in the head with a metal pole. The father of the victim rushed to help his son, who had been knocked to the ground with a serious head injury. While the father cradled his son’s head, Covington used the metal pole to strike the father in the back. When a third man tried to intervene to chase off the defendant, Covington swung the metal pole in an attempt to injure him. Covington was apprehended by police near the tire store, with a metal pole and a hatchet in his possession.
A sentencing date has not been set by U.S. District Judge Howard C. Nielson, Jr. Covington faces a maximum sentence of life in prison after the jury found that an enhancement for “attempt to kill,” associated with count one of the indictment, applied in the case.
The case was investigated by the Salt Lake City Field Office of the FBI, with the cooperation of the Salt Lake City Police Department. The case is being prosecuted by Assistant U.S. Attorney J. Drew Yeates of the United States Attorney’s Office and Special Litigation Counsel Rose E. Gibson of the Civil Rights Division.
Used Car Dealer Indicted for Bank Fraud, Aggravated ID TheftRead the Press Release
PROVIDENCE – A Massachusetts used car dealer was arraigned in U.S. District Court in Providence on Wednesday and ordered detained, charged by way of indictment with allegedly participating in a wide-reaching conspiracy to defraud financial institutions in several states by obtaining car loans secured with stolen personal identifying information and fraudulent documents.
It is alleged that Rolando E. Estrella, 32, of Dracut, Mass., conspired with others to defraud financial institutions in Rhode Island, Massachusetts, and numerous other states across the country.
It is alleged in the indictment that the scam employed by Estrella and others involved the theft and use of individuals’ personal identifying information to open bank accounts with major banks and smaller credit unions. Using that information along with counterfeited documents including automobile titles, Estrella and others applied for used car and truck loans which were then deposited into bank accounts opened in the “sellers’” names, after which the proceeds were quickly withdrawn.
Until recently, Estrella was the operator of Estrella National Auto, LLC, a used car dealership located in Lawrence, Massachusetts.
On December 17, 2019, an arrest warrant was issued for Estrella after a federal grand jury returned a ten-count indictment charging him with conspiracy to commit bank fraud, aggravated identity theft, fraudulent use of a Social Security number, and seven counts of bank fraud. He surrendered to the U.S. Marshals Service in Rhode Island on Wednesday and was arraigned before U.S. District Court Magistrate Judge Patricia A. Sullivan.
The indictment and arraignment of Estrella are announced by United States Attorney Aaron L. Weisman, Special Agent in Charge of the U.S. Secret Service Stephen Marks, and Scott E. Antolik, Special Agent in Charge of the Boston Field Office of the Social Security Administration, Office of the Inspector General/Office of Investigations.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
The case is being prosecuted by Assistant United States Attorney William J. Ferland.
Estrella’s arrest marks the latest in a series made by the Social Security Office of Inspector General and the United States Secret Service involving members of a fraud ring operating throughout the northeast United States.
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United States Attorney's Office for the District of Columbia and the Attorney General for the District of Columbia Announce Joinder of Trials in Fatal Kennedy Street Row House FireRead the Press Release
WASHINGTON – Superior Court of the District of Columbia Judge Ronna L. Beck granted on Tuesday a motion filed by the U.S. Attorney’s Office for the District of Columbia and the District of Columbia Office of the Attorney General to join their separate prosecutions of defendant James G. Walker, 61, the former owner of a row house at 708 Kennedy Street, N.W. The defendant did not object to joining the cases against him. Walker was previously indicted by a grand jury and arraigned on two counts of second degree murder and two counts of involuntary manslaughter. He was also arraigned on 41 criminal fire and housing code violations.
The joinder of trials was announced by U.S. Attorney Timothy J. Shea; District of Columbia Attorney General Karl A. Racine; Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Special Agent in Charge of the Washington Field Division Ashan M. Benedict; Chief of the Metropolitan Police Department (MPD) Peter Newsham; and Fire and EMS Chief Gregory M. Dean.
“The joinder of these cases for trial provides yet another opportunity for the U.S. Attorney’s Office for the District of Columbia and the Office of the Attorney General for the District of Columbia, along with our other local and federal partners, to join forces in the pursuit of justice on behalf of District residents,” said U.S. Attorney Timothy J. Shea for the District of Columbia.
"This prosecution demonstrates how the Office of the Attorney General fights every day for the safety and well-being of our most vulnerable residents," said Attorney General Karl A. Racine. These charges are the result of a comprehensive investigation and close partnership between our two respective offices. We are committed to bringing justice to this tragic case."
According to the indictment and related court documents, on August 18, 2019, Fitsum Kebebe, Yafet Solomen, and others resided at the row house on Kennedy Street owned by Walker. Although Walker used the row house as a boarding house, he did not have a certificate of occupancy for the building. During the morning of August 18, a fire broke out inside the row house. Kebebe and Solomen were in the basement at the time and were unable to exit the row house. They died from smoke inhalation. Following the indictment, Walker was arrested on January 15, 2020.
An indictment and an information are formal accusations of criminal conduct, not evidence of guilt. The defendant is presumed innocent unless proven guilty. If convicted, Walker faces a maximum sentence of 30 years in prison, a fine of up to $250,000, and five years of supervised release. If convicted of the fire and housing code violations, Walker faces a maximum penalty of more than 10 years or fines exceeding $50,000.
In announcing the court’s joinder of the cases, U.S. Attorney Shea, D.C. Attorney General Racine, ATF SAC Benedict, MPD Chief Newsham, and Fire and EMS Chief Dean commended the work of the ATF Arson and Explosives Task Force that investigated the case, including MPD, ATF, and Fire and EMS. Finally, they acknowledged the work of Assistant U.S. Attorney Vinet Bryant and Assistant Attorneys General Keith Ingram and Jeffrey Cargill who are prosecuting the cases now joined for trial.
Two New York Individuals Indicted for Passing Counterfeit CurrencyRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Daumoniqe Jackson, age 22, and Christopher De Codio, age 24, both of Brooklyn, New York, were indicted on February 19, 2020, by a federal grand jury for passing counterfeit U.S. currency.
According to United States Attorney David J. Freed, the indictment alleges that Jackson and De Codio passed $2,700 of counterfeit United States currency in businesses in Mifflin and Juniata Counties on December 11, 2019.
This case was investigated by the United States Secret Service. Prosecution is assigned to Assistant U.S. Attorney Christian T. Haugsby.
Indictments are only allegations. All persons charged by indictment are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
The maximum penalty under federal law for passing counterfeit currency is 20 years of imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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Two Men Sentenced to Prison for Federal Gun CrimesRead the Press Release
CHARLESTON, W.Va. – Two men were sentenced to prison for federal gun crimes, announced United States Attorney Mike Stuart.
Djuan Terrell Harris, 32, of Detroit, was sentenced to 41 months in prison. Harris was previously convicted of being a felon in possession of a firearm by a federal jury after a trial before United States District Judge Robert C. Chambers. On May 31, 2019, an officer with the Huntington Police Department located Harris walking towards his vehicle near the 1500 block of Madison Ave in Huntington. Upon investigation, the officer determined that Harris was carrying on his person a loaded Sig Sauer P229 .40 caliber handgun. Harris had been previously convicted of a felony drug offense out of Wayne County, Michigan. The Huntington Police Department, the Violent Crime and Drug Task Force West, and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) conducted the investigation. United States District Judge Robert C. Chambers imposed the sentence. Assistant United States Attorneys Ryan A. Keefe and Joseph F. Adams handled the prosecution.
Brandon Carter, 34, of Charleston, was sentenced to 30 months in prison for being a felon in possession of a firearm. Carter previously admitted that on January 12, 2019, at approximately 3:38 a.m., an officer with the Charleston Police Department initiated a traffic stop on a scooter operated by Brandon Carter because it was being operated on the sidewalk at Patrick Street near Fourth Avenue. The officer recognized Carter from a shooting incident that occurred on October 7, 2018, near Delaware Avenue. The officer knew that Carter is a prohibited person and Carter admitted to having three prior felonies that prohibit him from possessing firearms. Carter told the officer that he was currently out on bond relative to the incident from October 2018. Carter told the officer, prior to a pat-down, that he was in possession of a Kel-Tec .380 firearm. The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Charleston Police Department conducted the investigation. United States District Judge Joseph R. Goodwin imposed the sentence. Assistant United States Attorney Ryan A. Saunders handled the prosecution.
These cases are being prosecuted as part of the Project Safe Neighborhoods (PSN) program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
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Two Gary Men Charged with Federal Murder Charges Stemming from Killing of Pizza Delivery ManRead the Press Release
HAMMOND- Terryante Flournoy, 21, and Ciontay Wright, 20, both of Gary, Indiana, have been indicted for attempted robbery affecting interstate commerce, conspiracy to commit robbery, and murder resulting from the use and carrying of a firearm during and in relation to that attempted robbery, announced U.S. Attorney Kirsch. Flournoy has also been indicted for possessing a firearm as a previously convicted felon.
According to the indictment, on November 24, 2019, in Gary, Indiana, Terryante Flournoy and Cinotay Wright shot and killed David J. Shelton, a pizza delivery man, while in the process of trying to rob him.
U.S. Attorney Thomas L. Kirsch II said, “The murder of David Shelton was a senseless act of violence. Our federal, state and local law enforcement partners will continue to aggressively investigate and prosecute these type of crimes.”
An indictment is merely an allegation and the defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
If convicted, any specific sentence to be imposed will be determined by the judge after consideration of federal sentencing statutes and the Federal Sentencing Guidelines.
This case is being investigated by the FBI/GRIT Task Force along with the Lake County Metro Homicide Unit (Lake County Sheriff and Gary Police Department) and has received substantial assistance from the Lake County, Indiana Prosecutor’s Office. The case is being handled by Assistant U.S. Attorneys David J. Nozick and Caitlin M. Padula.
Two Brothers, Owners of Kennedy Industrial Electronics, Sentenced on Conspiracy ChargesRead the Press Release
Abingdon, VIRGINIA – The two brothers and owners of Kennedy Industrial Electronics, who were convicted of a payroll tax scheme that dated back at least 15 years and for defrauding the United States out of more than $907,000 of disability benefits, in addition to $148,000 in employment taxes, were sentenced last week to 12 months in prison. United States Attorney Thomas T. Cullen announced the sentence today.
In July 2019, Harold and Hollie Kenney each pled guilty to one count of conspiracy to defraud the United States and one count of failing to pay over and collect employment taxes.
According to court documents, the Kennedys conspired with Kennedy Industrial Electronics employees, and their wives, including Danny Hill, Geneva Hill, Gerald Stevens, Teena Charlene Stevens, and Ricky Allen Matney. Danny Hill, Gerald Stevens, and Ricky Matney were each receiving disability benefits from the Social Security Administration [SSA]. To hide the fact that Hill, Stevens, and Matney were fully capable of working and were, in fact, working, the Kennedys wrote checks payable to the wives of Hill and Stevens and a middle name for Matney.
Court documents also revealed that between 2001 and 2015 the defendants conspired to defraud the United States through a scheme in which Harold and Hollie Kennedy, the owners of Kennedy Industrial Electronics, failed to report to the IRS and SSA over $500,000 in wages resulting in more than $900,000 in disability payments being made that should not have been paid.
The investigation of the case was conducted by the Internal Revenue Service - Criminal Investigations, the Social Security Administration Office of the Inspector General, and the Russell County Sheriff’s Office. Assistant United States Attorney Lena Busscher prosecuted the case for the United States.
Two Blight Elimination Program Indictments UnsealedRead the Press Release
Hammond – Two criminal indictments were returned today for criminal violations related to the U.S. Treasury Department’s Blight Elimination Program, announced U.S. Attorney Kirsch.
Mahmoud Alshuaibi, 38, of Hickory Hills, Illinois, has been charged with wire fraud, theft from a local government receiving federal funds, and making a false and fraudulent statement. According to court documents, between January 2016 and March 2017, Alshuaibi, owner and officer of IESCO Construction, Inc., submitted false and fraudulent documents to support his claim for payment from the City of Hammond, Indiana, for demolition work through the Blight Elimination Program funded by the U.S. Treasury Department.
In a separate indictment, Gary Hayden, Sr., 60, of Logansport, Indiana has been charged with theft from a local government receiving federal funds. According to court documents in this case, between December 2015 and February 2016, Hayden, owner and officer of B&G Construction, submitted false and fraudulent documents to the City of Logansport, Indiana, in support of his claims for payment for demolition work through the Blight Elimination Program.
US Attorney Thomas L. Kirsch II said, “The Blight Elimination Program was designed to help stabilize communities. We will continue to work with SIGTARP and other law enforcement entities to investigate and prosecute individuals who commit acts of fraud against the Blight Elimination Program and any other program designed to help the communities in the Northern District of Indiana.”
“The Blight Elimination Program is part of the Troubled Asset Relief Program (TARP). The Office of the Special Inspector General for the Troubled Asset Relief Program (SIGTARP) investigates related fraud,” said Special Inspector General Christy Goldsmith Romero. “Those that defraud the program will be caught and prosecuted. I thank U.S. Attorney Thomas L. Kirsch II and Assistant U.S. Attorney Toi Houston for standing with SIGTARP in the fight against TARP-related crimes.”
The United States Attorney’s Office emphasized that an Indictment is merely an allegation and that all persons charged are presumed innocent until, and unless, proven guilty in court.
If convicted in court, any specific sentence to be imposed will be determined by the judge after a consideration of federal sentencing statutes and the Federal Sentencing Guidelines.
The case was the result of an investigation by SIGTARP and is being prosecuted by Assistant United States Attorney Toi Denise Houston.
Three Indicted for Conspiring to Traffic 20,000 Fentanyl Pills and 20 Pounds of MethamphetamineRead the Press Release
FRESNO, Calif. — Tirso Garcia-Valdez, 27, of Mexico, Misael Garcia-Carranza, 23, of Mexico, and Brenda Carmona-Venegas, 37, of Los Angeles, were indicted Thursday for conspiring and possessing with intent to distribute approximately 20,000 counterfeit oxycodone pills laced with fentanyl and approximately 20 pounds of methamphetamine, U.S. Attorney McGregor W. Scott announced.
According to court documents, on Jan. 9, in Kern County, Garcia-Valdez sold approximately 300 fentanyl-laced counterfeit oxycodone pills. Garcia-Carranza drove Garcia Valdez to the deal and was present in the vehicle as the deal occurred. On Jan. 30, Garcia-Valdez sold approximately 2,000 fentanyl-laced counterfeit oxycodone pills. Garcia-Carranza drove Garcia-Valdez to this deal. On Feb. 13, Garcia-Valdez, Garcia-Carranza and Carmona-Valdez conspired to possess with the intent to distribute approximately 20,000 fentanyl-laced counterfeit oxycodone pills and approximately 20 pounds of methamphetamine, which were seized by law enforcement.
This case is the product of an investigation by the Drug Enforcement Administration and the Kern County Sheriff’s Office. Assistant U.S. Attorney Angela Scott is prosecuting the case.
If convicted, defendants face a maximum statutory penalty of life in prison and a $10 million fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.
Texas Couple Sentenced to a Combined 140 Years in Prison for Conspiracy to Produce Child Pornography and Other Crimes Against ChildrenRead the Press Release
A husband and wife from Big Spring, Texas, were sentenced today to a combined 140 years in prison for crimes against multiple children.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S Attorney Erin Nealy Cox of the Northern District of Texas and Special Agent in Charge Ryan L. Spradlin of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI) made the announcement.
Christopher James Regan, 38, a former shipping logistics manager, was sentenced to 90 years in prison after pleading guilty in October 2019 to conspiracy to produce child pornography and two counts of producing child pornography. Tanya Marie Regan, 35, was sentenced to 50 years in prison after her October 2019 guilty plea to conspiracy to produce child pornography and possession of prepubescent child pornography. The sentences, which were imposed by U.S. District Judge Mark T. Pittman of the Northern District of Texas, also included lifetime terms of supervised release for both defendants.
According to court documents, Christopher and Tanya Regan sexually abused and produced child pornography of multiple children, and they possessed and distributed child pornography to one another as well. The Regans also engaged in graphic discussions about the sexual abuse of children over several online platforms.
In plea papers, the pair admitted that at Christopher Regan’s direction, Tanya Regan repeatedly videotaped herself sexually abusing children for Christopher Regan’s sexual gratification.
When law enforcement seized electronics from the home, several graphic videos had been deleted, but were still stored in the recycle bin or on unallotted space on various SD cards. Undeleted videos were stored in a computer folder titled “users\tanya_000\pictures\privatevids\minor.”
HSI’s San Angelo, Texas, office, the Howard County Sheriff’s Office and the High Technology Investigative Unit within the Criminal Division’s Child Exploitation and Obscenity Section (CEOS) investigated the case. Substantial assistance was provide by the HSI offices in Lubbock and Tyler, Texas, Tom Green County Sheriff’s Office, Texas Department of Public Safety, and the National Center for Mission and Exploited Children. Trial Attorney Kyle P. Reynolds of CEOS and Assistant U.S. Attorneys Ann Howey and Jeffrey R. Haag prosecuted the case along with former Assistant U.S. Attorney Russell H. Lorfing.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
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.
Ten Defendants Charged with Illegally Conducting Multi-Million Dollar Sports Gambling BusinessRead the Press Release
CHICAGO — Ten defendants have been charged in federal court with conspiring to illegally conduct a multi-million dollar sports gambling business in the Chicago area.
VINCENT DELGIUDICE, also known as “Uncle Mick,” directed an operation that accepted wagers from as many as 1,000 gamblers on the outcome of professional and amateur sporting events, according to a nine-count indictment returned Wednesday in U.S. District Court in Chicago. Delgiudice paid a service fee to a foreign sportsbook for use of its platform, and recruited gamblers to place wagers on a website, www.unclemicksports.com, according to the charges. Delgiudice sometimes communicated with representatives of the sportsbook via an anonymous, end-to-end encrypted messaging application to ensure their communications remained secret, the indictment states.
The indictment alleges that Delgiudice also recruited several individuals to work on behalf of his gambling operation. These agents enlisted new gamblers and worked with Delgiudice to collect or pay out cash depending on the outcome of wagers, the indictment states. Delgiudice paid the agents a commission based on a percentage of losses incurred by the gamblers they recruited, the charges allege.
A law enforcement search of Delgiudice’s residence in Orland Park seized more than $1.06 million in cash; silver bars and jewelry valued at $347,895; and gold coins valued at $92,623. The indictment seeks forfeiture of these items, as well as Delgiudice’s residence. It also seeks a personal money judgment against Delgiudice of $8 million.
The indictment was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; Emmerson Buie, Jr., Special Agent-in-Charge of the Chicago office of the FBI; and Kathy A. Enstrom, Special Agent-in-Charge of the IRS Criminal Investigation Division in Chicago. The government is represented by Assistant U.S. Attorneys Ankur Srivastava, Terry Kinney, and Abigail Peluso.
The FBI’s Integrity in Sport and Gaming Initiative (ISG) is designed to tackle illegal sports gambling and combat threats of influence from criminal enterprises.
The indictment charges Delgiudice, 54, with one count of conspiracy to conduct an illegal gambling business, one count of conducting an illegal gambling business, one count of conspiracy to commit money laundering, and six counts of money laundering.
The indictment charges eight alleged agents of Delgiudice’s operation with one count of participating in the gambling conspiracy and one count of conducting an illegal gambling business: MATTHEW KNIGHT, also known as “Sweaters” and “McDougal,” 46, of Mokena; JUSTIN HINES, 40, of Algonquin; KEITH D. BENSON, 49, of Lemont; TODD BLANKEN, 43, of Cary; NICHOLAS STELLA, 42, of Chicago; MATTHEW NAMOFF, 23, of Midlothian; CASEY URLACHER, 40, of Libertyville; and VASILIOS PRASSAS, 37, of Chicago. The tenth defendant, EUGENE DELGIUDICE, also known as “Gino,” 84, of Orland Park, allegedly assisted in the collection or paying out of cash to gamblers recruited by Vincent Delgiudice. Eugene Delgiudice is charged with one count of participating in the gambling conspiracy and one count of conducting an illegal gambling business.
Arraignments in federal court in Chicago have not yet been scheduled.
The public is reminded that an indictment is not evidence of guilt. The defendants are presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt. Each money laundering count carries a maximum sentence of 20 years in federal prison, while the other counts in the indictment are each punishable by up to five years. If convicted, the Court must impose reasonable sentences under federal statutes and the advisory U.S. Sentencing Guidelines.
Taurean Edward Farrior Sentenced to 12 Years in Federal PrisonRead the Press Release
WILMINGTON – United States Attorney Robert J. Higdon, Jr. announced that in federal court, United States District Judge James C. Dever III sentenced TAUREAN EDWARD FARRIOR, 35, of Wilmington to 144 months imprisonment, followed by three years of supervised release.
FARRIOR was named in an Indictment filed on April 4, 2019 charging him with possession with the intent to distribute a quantity of cocaine base (crack); two counts of distribution of a quantity of heroin; distribution of a quantity of fentanyl; and possession with the intent to distribute a quantity of cocaine and a quantity of heroin. On September 24, 2019, FARRIOR pled guilty to distribution of a quantity of heroin and possession with the intent to distribute a quantity of cocaine and a quantity of heroin.
According to the investigation, on May 19, 2017, investigators in Wayne County detected the odor of marijuana emanating from a vehicle parked at a gas station in Goldsboro. The vehicle belonged to FARRIOR. A subsequent search of the vehicle revealed almost one ounce of crack cocaine, a quantity of marijuana, and approximately $1,300.00 cash. The Brunswick County Sheriff’s Department conducted four (4) controlled purchases of heroin/fentanyl mixtures from FARRIOR between August 2018 and December 2018. On January 10, 2019, law enforcement stopped FARRIOR for a traffic violation on Highway 74 in Leland, NC and investigators found him in possession of cocaine and marijuana. A subsequent search of FARRIOR’s residence in Wilmington, NC located multiple bindles of a heroin/fentanyl mixture. At sentencing, FARRIOR was found to be accountable for the distribution of approximately 4.5 kilograms of cocaine, as well as quantities of crack cocaine and a heroin/fentanyl mixture between January 2016 and January 2019.
This case is part of the Take Back North Carolina Initiative of The United States Attorney’s Office for the Eastern District of North Carolina. This initiative emphasizes the regional assignment of federal prosecutors to work with law enforcement and District Attorney’s Offices on a sustained basis in those communities to reduce the violent crime rate, drug trafficking, and crimes against law enforcement.
The Federal Bureau of Investigation, North Carolina State Bureau of Investigation, New Hanover County Sheriff’s Office, Brunswick County Sheriff’s Department, and Wayne County Sheriff’s Department participated in the investigation. Special Assistant United States Attorney Murphy Averitt represented the government.
Stamford Sex Offender Sentenced to 15 Years in Federal Prison for Child Pornography OffenseRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that BRIEN PENNELL, 31, of Stamford, was sentenced today by U.S. District Judge Robert N. Chatigny in Hartford to 180 months of imprisonment, followed by 10 years of supervised release, for using the internet to download and view child pornography.
According to court documents and statements made in court, in February 2008, Pennell was convicted in state court of sexual assault and possession of child pornography offenses. Pennell served 30 months in prison and was sentenced to 15 years of probation for those offenses.
On February 2, 2018, after an investigation revealed that an IP address registered to Pennell was being used to share images and videos of child pornography via the Kik application, Connecticut probation officers conducted a compliance search of Pennell’s residence and vehicle and seized various electronic media, including a smart phone and a tablet, both of which were located in a hidden compartment under the steering wheel of the vehicle.
Subsequent analysis of the seized electronic devices, Pennell’s Kik account and a Dropbox account he maintained, revealed 148 videos and 40 images of child pornography, some of which depict the sexual abuse of children younger than 12.
Pennell has been detained since his federal arrest on March 20, 2018. On June 26, 2019, he pleaded guilty to one count of receipt of child pornography.
Pennell faced an enhanced mandatory minimum prison term in this case based on his criminal history.
This matter was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI), with the assistance of Connecticut’s Office of Adult Probation and the Stamford Police Department. The case was prosecuted by Assistant U.S. Attorney Nancy V. Gifford.
This prosecution is part of the U.S. Department of Justice’s Project Safe Childhood Initiative, which is aimed at protecting children from sexual abuse and exploitation. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
To report cases of child exploitation, please visit www.cybertipline.com.
South Texas man on his way to prison for smuggling $1.7 million in methRead the Press Release
CORPUS CHRISTI, Texas – A 36-year-old Edinburg man has been ordered to federal prison for possession with the intent to distribute more than 25 kilograms of meth, announced U.S. Attorney Ryan K. Patrick.
Sarafin Rodriguez Pena pleaded guilty Aug. 29, 2019.
Today, U.S. District Judge David S. Morales handed Pena a 132-month sentence for to be immediately followed by five years of supervised release. In handing down the sentence, the court noted the defendant’s lack of prior criminal history but concluded the significant sentence was warranted given the quantity of drugs involved.
On July 7, 2019, Pena drove a white Ford Focus into the primary inspection area of the Border Patrol checkpoint near Falfurrias. A careful search of the vehicle revealed bundles of meth concealed within the speakers mounted in the car.
Laboratory analysis later confirmed the substance in the bundles was indeed meth.
The drugs weighed a total of 25.5 kilograms with a value of more than $1.7 million.
He has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
This Drug Enforcement Administration conducted the investigation with the assistance of Border Patrol. Assistant U.S. Attorney Robert D. Thorpe Jr. is prosecuting the case.
Serial Bank Robber SentencedRead the Press Release
Matthew D. Krueger, U.S. Attorney for the Eastern District of Wisconsin, announced that on February 18, 2020, Jason G. Burgett (age: 43) of, Wisconsin, appeared in federal court in Green Bay and was sentenced to 164 months in federal prison, was ordered to pay full restitution, and serve three years on supervised release following the completion of his federal sentence, for Bank Robbery, in violation of Title 18, United States Code, Section 2113(a).
As a condition of the plea agreement, Burgett acknowledged that he was responsible for the following bank robberies throughout Wisconsin: the Farmers State Bank in the Town of Fremont on June 3, 2019, the Stephenson National Bank and Trust in the Town of Pembine on July 8, 2019, and the Citizens Community Federal Bank in the Village of Lake Hallie on July 15, 2019. Burget also acknowledged attempting to rob the Northern United Federal Credit Union in Escanaba, Michigan, on July 5, 2019.
While handing down his sentence, Senior U.S. District Judge William C. Griesbach noted Burgett’s lengthy criminal history, including two prior bank robbery convictions from the late 1990s. Judge Griesbach called the robberies “frightening offenses” and highlighted the “terror” the defendant’s actions inflicted on the bank employees. Judge Griesbach determined that protection of the public was an important concern.
The case was investigated by the Waupaca County Sheriff’s Office, the Marinette County Sheriff’s Office, the Chippewa County Sheriff’s Office, the Escanaba Public Safety Department, and the Federal Bureau of Investigation. It was prosecuted by Assistant United States Attorney Daniel R. Humble.
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For Additional Information Contact:
Public Information Officer Kenneth Gales 414-297-1700
Savannah man pleads guilty to drug trafficking and prostitution conspiracies, possessing machine gunRead the Press Release
SAVANNAH, GA: A former California resident known for carrying a machine gun while perpetrating crimes has admitted operating a major drug-trafficking conspiracy.
Anthony Wilson Jackson, a/k/a “All Profit,” a/k/a “AP,” 49, of Savannah, pled guilty in U.S. District Court to Conspiracy to Possess with Intent to Distribute Marijuana; Conspiracy to Engage in Interstate Prostitution; Possession of a Firearm by a Convicted Felon; Illegal Possession of a Machine Gun; Possession of a Machine Gun in Furtherance of a Drug Trafficking Crime; and Money Laundering Conspiracy, said Bobby L. Christine, U.S. Attorney for the Southern District of Georgia.
The charges carry a minimum sentence of 30 years in prison and a maximum sentence of life in prison, substantial fines and – if not a life sentence – a period of supervised release after completion of the prison sentence. There is no parole in the federal system.
“Anthony Jackson is a gun-carrying pimp who sold human beings just as freely as he trafficked in narcotics,” said U.S. Attorney Christine. “His freedom, however, will now come to an end with substantial time in federal prison as his future.”
According to court documents and testimony, Jackson and two co-defendants – who also have admitted guilt in the case – operated a drug-trafficking operation that distributed thousands of pounds of marijuana throughout the Savannah area.
In addition, Jackson operated and advertised a prostitution business through an online classified advertising site that trafficked women in the Savannah area and in other cities including those in South Carolina, Virginia, California, Nevada, Maryland and Michigan.
Jackson, previously convicted of a felony, was known to carry firearms including a fully-automatic pistol while overseeing the drug trafficking and prostitution conspiracies.
“The plea today is another reminder that ATF and our local, state and federal partners will continue to work together and protect the safety of our citizens,” said Henry Countryman, Acting Assistant Special Agent in Charge of the Atlanta Field Office of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
“Jackson and his organization preyed upon the community, distributing poison and destroying lives, thankfully their reign of terror is over,” said acting Special Agent in Charge Robert Hammer, who oversees Homeland Security Investigations (HSI) operations in Georgia and Alabama. “HSI along with its partners will continue to work tirelessly to combat criminal organizations that threaten our communities.”
“This is just another step by law enforcement to stand up to the threat of human and drug trafficking organizations who deal dangerous substances on our streets, while also selling human beings,” said Andrew Thornton, Jr., Acting Special Agent in Charge IRS-Criminal Investigations, Atlanta Field Office. “IRS-CI will continue to work with our law enforcement partners in an effort to dismantle illegal narcotics and human trafficking organizations by following the money and leveraging our resources.”
“One of the main goals of the Savannah Police Department is to target those who are using firearms to commit crimes,” said Savannah Police Chief Roy Minter. “This case and conviction shows the hard stance we, and the U.S. Attorney’s Office, are taking in regard to these crimes and anyone who decides to jeopardize the safety of our city.”
The case was investigated by Homeland Security Investigations (HSI), IRS-CI, the ATF, the U.S. Postal Inspection Service (USPIS), and the Savannah Police Department, and prosecuted for the United States by Assistant U.S. Attorneys Tania Groover and E. Greg Gilluly.
Sailor from Lemoore Charged with Child Sexual Exploitation OffensesRead the Press Release
FRESNO, Calif. — A federal grand jury returned a two-count indictment today against Christopher Jeorge Millican, 26, of Lemoore, charging him with one count of sexual exploitation of children and one count of receipt of child pornography, U.S. Attorney McGregor W. Scott announced.
According to court documents, on July 27, 2018, a parent contacted Snapchat and reported that someone, later identified as Millican, had been “flirting” with an 11-year-old girl and soliciting pictures of and location information for the child. Snapchat reviewed Millican’s account and discovered that he had been soliciting several minors for sexually explicit content.
This case is the product of an investigation by the Central Valley Internet Crimes Against Children Task Force, specifically the U.S. Naval Criminal Investigative Service, the Hanford Police Department, the Fresno office of Homeland Security Investigations, and several local police agencies across the United States. Assistant U.S. Attorney David Gappa is prosecuting the case.
If convicted, Millican faces a mandatory minimum prison term of 15 years and a maximum of 30 years for the sexual exploitation charge, a mandatory minimum prison term of five years and a maximum of 20 years for receipt of child pornography, and a fine up to $250,000 for each count. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. Click on the “resources” tab for information about internet safety education.
Prattville Man Pleads Guilty to Wire Fraud Charges and Transporting Stolen VehicleRead the Press Release
Montgomery, Alabama - On Tuesday, February 18, 2020, Robert Brandon Malone, 35, a resident of Prattville, Alabama pleaded guilty to three counts of federal wire fraud and one count of transporting a stolen vehicle, announced United States Attorney Louis V. Franklin, Sr., FBI Special Agent in Charge James Jewell, and Prattville Police Chief Mark Thompson. The federal charges arise from multiple schemes orchestrated by Malone to sell automobiles that did not belong to him.
According to court records, in April of 2017, Malone posted a Dodge Ram 1500 pickup truck for sale on the advertising website craigslist. However, the truck was actually a trade-in vehicle to the dealership for which he worked at the time. After the post, he was contacted by a potential buyer and represented to him that he was the actual owner. The buyer made the purchase, but returned the vehicle after learning that Malone did not own the truck. Malone did not refund his money.
Later, in January of 2018, Malone was working on a Chevrolet C-10 pickup truck for someone and was storing it at his shop. Once again, he created a craigslist post listing it for sale although the owner had not given him the authority to do so. A potential buyer contacted Malone and arranged a trade for another vehicle. Once he learned that Malone did not own the truck, it was returned to the rightful owner. However, the vehicle that was traded was not returned.
Finally, in November of 2018, Malone went to a car dealership in Georgia and was in the process of completing the paperwork to purchase an Audi R8. However, before the purchase was complete, he drove the vehicle off the lot and back to Prattville. He contacted someone that he knew was in the market for an Audi and they drove to Prattville to look at the vehicle. The purchaser gave him a down payment for the car and left his F-150 with Malone to hold temporarily until he could return to pick it up. Malone did not wait for the owner to return, instead, he listed the truck on Instagram and sold it to another individual. Ultimately, the Audi was returned to the dealership and the truck to the Audi purchaser. However, neither victim recovered their losses.
Malone will have a sentencing hearing scheduled in the next few months where he will face up to 20 years in prison. He also faces monetary penalties and restitution.
“Malone was motivated by greed and arrogance,” stated U.S. Attorney Franklin. “He carried out his schemes with no apparent fear of being caught and held accountable. However, thanks to our law enforcement partners, his victims will get the justice they deserve. This case is a stark reminder that we must always be vigilant and exercise caution when making purchases through online websites such as these.”
“These types of scam artists have become all too comfortable operating in the business world,” stated FBI Special Agent in Charge James Jewell. “It is imperative that the victims report these crimes to the authorities immediately so the FBI can work to assist our state and local partners bring justice to the victims that so often have a large monetary loss.”
“We certainly appreciate the cooperation and support we get from our federal partners,” stated Prattville Police Chief Mark Thompson. “This was a very in depth and widespread investigation that may not have been possible without the assets of the FBI and the U.S Attorney’s Office. Although his crimes may not have been violent, Malone’s actions financially hurt many people and I am glad that he will be held accountable.”
The Federal Bureau of Investigation (FBI) and the Prattville Police Department investigated this case. Assistant U.S. Attorney Brandon Bates is prosecuting this case.
Plymouth Man Sentenced to 102 Months’ Imprisonment for Heroin TraffickingRead the Press Release
SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced that on February 18, 2020, United States District Court Judge Malachy E. Mannion sentenced Floyd Powell III, age 36, of Plymouth, Pennsylvania, to 102 months’ imprisonment for heroin trafficking.
According to United States Attorney David J. Freed, Powell distributed between 100 and 400 grams of heroin between February and November 2017. That equates to between approximately 4,000 and 16,000 individual doses of heroin. Over 1,600 dosage bags were seized during the execution of a search warrant on Powell’s residence, along with $11,000 cash and an illegally-possessed handgun.
The case was investigated by the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Hanover Township Police Department, and the Kingston Police Department. Assistant U.S. Attorney Sean A. Camoni is prosecuting the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
This case was also brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin. Led by the United States Attorney’s Office, the Heroin Initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state, and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.
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One Indicted, One Sentenced for Firearms Offenses in Sacramento and FairfieldRead the Press Release
SACRAMENTO, Calif. — As part the U.S. Attorney’s Office for the Eastern District of California’s strategy to reduce violent crime by focusing on firearms prosecutions, U.S. Attorney McGregor W. Scott announced an indictment and a recent sentencing involving illegal firearms offenses.
Tommy Walker, 43, of Sacramento, was charged today with being a felon in possession of a firearm. According to court documents, on Nov. 22, 2019, law enforcement officers found a Jimenez Arms .380 semi-automatic handgun in Walker’s bedroom. Walker has several prior felony convictions—including four prior felon-in-possession-of-a-firearm convictions—which prohibit him from possessing a firearm. This case is the product of an investigation by the Federal Bureau of Investigation, the Sacramento County District Attorney’s Office, and the Sacramento Police Department. Assistant U.S. Attorney Aaron D. Pennekamp is prosecuting the case. (2:20-cr-039)
If convicted, Walker faces a maximum statutory penalty of 10 years in prison and a $250,000 fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Jedidiah Nathaniel Smith, 40, of Fairfield, was sentenced on Feb. 10 to two years and six months in prison for possessing a firearm as a felon. Smith pleaded guilty in April 2019. According to court records, on Dec. 5, 2018, law enforcement officers stopped a car Smith was traveling in for having an expired registration. After the officers spoke with Smith, they learned that he had four outstanding warrants for his arrest. The officers asked Smith to get out of the car, and he complied, but when he got out of the car, Smith was carrying a loaded revolver in his waistband. Smith cannot lawfully possess firearms or ammunition because he has previously been convicted of five felony offenses. This case was the product of an investigation by the Suisun City Police Department, with special assistance from the FBI’s Solano County Violent Crimes Task Force and the Solano County District Attorney’s Office. (2:19-cr-039)
These cases are part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime. To learn more about Project Safe Neighborhoods, go to www.justice.gov/psn.
The cases are also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see www.justice.gov/projectguardian.
Ohio man sentenced for cocaine chargeRead the Press Release
WHEELING, WEST VIRGINIA – Tajuan Smith, of Canal Winchester, Ohio, was sentenced today to 16 months incarceration for distributing cocaine, U.S. Attorney Bill Powell announced.
Smith, also known as “Poe,” age 20, pled guilty to one count of “Distribution of Cocaine Base Within 1,000 Feet of a Protected Location” in June 2019. Smith admitted to selling cocaine near Jensen Playground in Wheeling in June 2018.
Assistant U.S. Attorney Stephen L. Vogrin prosecuted the case on behalf of the government. The Ohio Valley Drug & Violent Crime Task Force, a HIDTA-funded initiative, and the West Virginia State Police investigated.
U.S. District Judge John Preston Bailey presided.
Oakland Man Sentenced to 30 Months in Prison for Possessing Former San Francisco Deputy Sheriff’s FirearmRead the Press Release
SAN FRANCISCO – Antoine Lamar Fowler was sentenced to 30 months in prison for being a felon in possession of a firearm, announced United States Attorney David L. Anderson and Federal Bureau of Investigation (FBI) Special Agent in Charge John F. Bennett. The sentence was handed down by the Honorable Richard Seeborg, U.S. District Judge.
Fowler, 34, of Oakland, Calif., pleaded guilty on May 14, 2019, to one count of being a felon in possession of a firearm, in violation of 18 U.S.C. § 922(g)(1). On June 26, 2019, a federal jury convicted Fowler’s co-defendant, former Deputy Sheriff April Myres, 55, of San Francisco, Calif., of mail and wire fraud following an eight-day trial. According to the evidence presented at Myres’ trial, Fowler was arrested while in possession of a firearm issued by the San Francisco Sheriff’s Department (SFSD) to Myres.
The evidence presented at trial demonstrated Myres and Fowler began a romantic relationship while Fowler was an inmate at the San Francisco County Jail and under Myres’ supervision. After Fowler was released from custody in January 2016, he moved in with Myres at her San Francisco home. On March 25, 2016, Myres reported a burglary of her home to the San Francisco Police Department. As part of her report to the police, she claimed numerous items were stolen, including her SFSD-issued firearm and radio and a number of luxury goods.
In May 2016, Myres filed an insurance claim under her homeowner’s insurance policy. Myres asserted in her insurance claim that she was entitled to over $67,000 in reimbursement for all of the items stolen. The evidence at trial demonstrated that Myres’ insurance claim included numerous false statements. For example, Myres falsely claimed she owned the SFSD-issued firearm and SFSD-issued radio that she claimed had been stolen; and she provided false details about the purchase prices and locations of the allegedly stolen items to bolster her claim. Myres also falsely claimed that three luxury items—a Louis Vuitton purse, a pair of Gucci boots, and a fox fur vest—were stolen; however, all three items were located in her house when the FBI conducted a search in February 2017. The FBI arrested Myres and Fowler on February 2, 2017. When Fowler was arrested, the FBI found Myres’ SFSD-issued firearm in his possession.
In addition to the prison term, Judge Seeborg ordered Fowler to serve three years of supervised release to begin after his prison term is concluded.
Judge Seeborg ordered Fowler released on a $50,000 bond until he surrenders to begin serving his prison term on or before March 31, 2020.
For her part in the events, Judge Seeborg sentenced Myres on November 19, 2019, to 14 months in prison for committing mail and wire fraud.
Assistant U.S. Attorneys Laura Vartain and Nicholas Walsh are prosecuting the case with the assistance of Helen Yee, Kimberly Richardson, Margoth Turcios, Rosario Calderon, Sutton Pierce, and Ian Meader. The prosecution is the result of an investigation by the FBI.
North Dakota Man Is Arrested on Multiple Federal Charges for Alleged Investment SchemeRead the Press Release
ASHEVILLE, N.C. – A criminal bill of indictment has been unsealed in federal court in Asheville following the arrest of Mark Nicholas Pyatt in North Dakota, announced Andrew Murray, U.S. Attorney for the Western District of North Carolina. The indictment charges the 40-year-old former resident of Haywood County with securities fraud, wire fraud, investment adviser fraud, and money laundering.
Ronnie Martinez, Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) in Charlotte; Robert Schurmeier, Director of the North Carolina State Bureau of Investigation; and Sheriff Greg Christopher of the Haywood County Sheriff’s Office join U.S. Attorney Murray in making today’s announcement.
According to allegations contained in the indictment, beginning as early as October 2017, and continuing through at least February 2019, Pyatt, often using the alias Daniel G. Randolph, solicited friends and acquaintances to invest their money in a “communal account,” or “fund,” held by his company, Winston Reed Investments, LLC (WRI). As alleged in the indictment, Pyatt represented to his victim-investors that he had made significant amounts of money through his own investing and day trading activities, and that he wanted to invest the victims’ money using a similar strategy so that they could experience the same wealth that he enjoyed.
The indictment alleges that, in order to induce the victims to part with their money, Pyatt made a number of false and fraudulent representations. Pyatt told the investors that he would make trades with the investors’ money on a daily basis, that he would be trading futures and forex, and that he would specialize in energy-related stocks. Pyatt also falsely promised large returns on investments, assuring victims that the “low average expected return on investments” would be 15% per month, with a goal of a return of 100% in three to four months. Pyatt represented to his victims that he would receive a fee for WRI’s services of just 10% of all gains, and that he would not charge his investors any fees if he did not make a profit.
According to the allegations in the indictment, contrary to the promises he made to his victim-investors, Pyatt simply stole the vast majority of the investors’ money. The indictment alleges that Pyatt misappropriated over $100,000 to pay for personal expenses, including jewelry, groceries, cigars, and a Chevrolet Corvette. Pyatt also withdrew tens of thousands of dollars in cash, and made several Ponzi-style payments to his investors, falsely implying that the returned funds were trading profits.
As alleged in the indictment, Pyatt perpetuated the fraud by making misrepresentations to victim-investors about the fund’s performance. For example, for months, Pyatt regularly provided his investors with false updates that purported to describe his trading activity and the considerable positive returns he was earning on their investments. Then, in February 2019, after reporting substantial monthly gains to his investors for more than a year, Pyatt allegedly notified his investors by email that a “complete and catastrophic” loss had occurred, and that their money was gone. Pyatt allegedly claimed that he was investigating the loss with the assistance of a forensics firm, and he told his investors that the loss was due to a technical oversight or failure by the brokerage firm holding the investment account. According to the indictment, all of these representations were false; in reality, the money was gone because Pyatt spent it.
The indictment further alleges that, during at least a substantial portion of the scheme, Pyatt resided in Haywood County and targeted local victims. In total, the indictment alleges that Pyatt stole at least $218,000 from his victim investors, many of whom were at, or near, retirement age.
Pyatt had his initial appearance in the U.S. District Court in the District of North Dakota, and will have a court appearance in the Western District of North Carolina at a later date.
The wire fraud charge carries a maximum prison term of 20 years and a maximum fine that is the greatest of $250,000 or twice the gross gain or gross loss. The securities fraud charge carries a maximum prison term of 20 years and a maximum fine of $5,000,000. The maximum penalty for the investment adviser fraud charge is five years in prison and a $10,000 fine. The money laundering charge carries a maximum prison term of 10 years and a maximum fine that is the greater of $250,000 or twice the amount of criminally derived property involved in the transaction.
All charges contained in the indictment are allegations. The defendant is innocent until proven guilty beyond reasonable doubt in a court of law.
Today, the Commodity Futures Trading Commission (CFTC) and the U.S. Securities & Exchange Commission (SEC) also announced separate civil actions filed with the U.S. District Court in the Western District of North Carolina against WRI and Pyatt.
In making today’s announcement, U.S. Attorney Murray commended the Haywood County Sheriff’s Office, the SBI, and HSI for their aid in the investigation of the criminal case, and thanked the CFTC and SEC for their continued cooperation.
Assistant U.S. Attorney Daniel Bradley, of the U.S. Attorney’s Office in Asheville, is in charge of the prosecution.
In March 2019, Andrew Murray, U.S. Attorney for the Western District of North Carolina, announced the Office’s Elder Justice Initiative, which aims to combat elder financial exploitation by expanding efforts to investigate and prosecute financial scams that target seniors; educate older adults on how to identify scams and avoid becoming victims of financial fraud; and promote greater coordination with law enforcement partners. For more information please visit: /usao-wdnc/elder-justice-initiative
Norfolk Man Sentenced for Child Pornography and Methamphetamine OffensesRead the Press Release
United States Attorney Joe Kelly announced that Nicholas Weaver, 34, of Norfolk, Nebraska, was sentenced today in federal court in Omaha for receiving child pornography and distributing methamphetamine. Chief United States District Court Judge John M. Gerrard sentenced Weaver to 76 months’ imprisonment for receiving child pornography and a concurrent 70-month term for distributing methamphetamine. There is no parole in the federal prison system. After his release from prison, Weaver will serve an eight-year term of supervised release and will be required to register as a sex offender. Weaver was ordered to pay $8,000 in restitution to the four minor victims whose images were among the child pornography in his collection.
In September 2017, Weaver received images of child pornography through email. He also used an internet messaging service and responded to a Craigslist posting soliciting additional child pornography. In February 2018, he distributed 13 videos and 26 image files of child pornography using a cloud storage link. On December 10, 2018, Weaver was confronted by Homeland Security Investigations. His phone was seized and 200 images of child pornography were discovered.
In February 2019, Weaver was identified through a confidential informant as a methamphetamine dealer who had sold the informant 10 to 12 ounces of methamphetamine in the preceding month. A search warrant was served on Weaver’s home in Norfolk. Seventy grams of methamphetamine were found. Weaver admitted to receiving 6 pounds of methamphetamine in the course of the past year.
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 Attorney’s 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.
This case was investigated by Homeland Security Investigations and the Nebraska State Patrol.
Nashua Woman Pleads Guilty to Drug TraffickingRead the Press Release
CONCORD - Autumn St. John, 27, of Nashua, pleaded guilty in federal court on Wednesday to drug trafficking, United States Attorney Scott W. Murray announced today.
According to court documents and statements made in court, on November 29, 2018, a cooperating individual, at the direction of the Nashua Police Department, purchased fentanyl from St. John. Later, on June 3, 2019, a Nashua detective on patrol watched St. John make a hand-to-hand sale of fentanyl. After being arrested, St. John admitted that she had just sold drugs to a customer.
St. John is scheduled to be sentenced on May 27, 2020.
“Fentanyl is a dangerous drug that is damaging lives throughout New Hampshire,” said U.S. Attorney Murray. “Through Operation S.O.S., we are working with the Nashua Police Department and all of our law enforcement partners to identify and prosecute those who are distributing fentanyl and other deadly drugs in Hillsborough County.”
This matter was investigated by the Nashua Police Department. The case is being prosecuted by Assistant U.S. Attorney Joachim Barth.
This case is part of Operation Synthetic Opioid Surge (S.O.S.). In July of 2018, Attorney General Jeff Sessions announced the creation of S.O.S., which is being implemented in the District of New Hampshire and nine other federal districts. The goal of S.O.S. is to combat the large number of overdoses and deaths associated with fentanyl and other synthetic opioids. In New Hampshire, the U.S. Attorney’s Office is focusing its efforts on prosecuting synthetic opioid trafficking cases arising in Hillsborough County, which includes Manchester and Nashua.
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More Defendants, Charges Added to Heroin/Fentanyl ConspiracyRead the Press Release
SPRINGFIELD, Mo. – Additional charges and more defendants have been added to two federal indictments that now charge a total of 21 defendants for their roles in separate conspiracies to distribute heroin and fentanyl in the Springfield, Missouri, area, resulting in the overdose deaths of at least two people.
Most of the defendants were arrested in a coordinated law enforcement sweep in November 2019 and originally charged in a series of federal criminal complaints, which were followed up by initial indictments in December 2019. Among the defendants who were arrested and charged in November and December 2019, 19 defendants along with two new defendants were charged in two separate superseding indictments this week (six other defendants have been indicted in separate, but related, cases).
According to court documents, the Drug Enforcement Administration and local law enforcement partners launched an investigation into the drug-trafficking organization in June 2019. Affidavits cite numerous undercover and controlled drug purchases, as well as seizures of heroin, fentanyl, and large amounts of cash. Heroin and fentanyl, the affidavits say, were sold to Springfield residents by suppliers in Chicago, Illinois, and St. Louis, Missouri.
Two additional defendants were charged in one of the two separate, but related, superseding indictments returned by a federal grand jury in Springfield on Tuesday, Feb. 18, for a total of 21 defendants in those two cases. The superseding indictments also include additional charges against several defendants related to drug trafficking and illegally possessing firearms, including a new charge in each of the two cases related to overdose deaths that resulted from fentanyl trafficking.
Sheron Loggins, also known as “Bane,” 47, of Florissant, Missouri; Jerry Bedell, also known as “d’Andre,” 29, his father, Jerry Wheeler, also known as “Love,” 44, his significant other, Bethany Rice, 29, all of Springfield, Missouri, and his mother, Nichole Bedell, 48, of Nixa, Missouri; and Delante Worsham, 35, Crystal J. Hill, 23, William Leath, also known as “Chill,” 44, Marquise Martin, 29, Robin Roberts, 50, and Laurel J. Lindsey, also known as “Mama,” 47, all of Springfield, were among those charged in November and December 2019. They, along with additional defendants Solomon Hodges, also known as “Little Daddy,” 60, and Cordaroe D. Sims, 33, all of Springfield, were charged in a 30-count superseding indictment returned by a federal grand jury in Springfield.
Additionally, Worsham, Hill, and Hodges are charged together in one count of conspiracy to distribute fentanyl that caused the death of another person (who is not identified in court documents) and one count of distributing fentanyl on or about Sept. 23, 2018, that caused the death of this person.
In a separate but related case, Derrick E. Dailey, also known as “Cuzzo,” 34, William C. Farisse, also known as “Wack,” 33, Roderick L. Stewart, 35, Antwanae L. Morgan, 29, Robert D. Everette, 40, and Dominique Glosson, 26, all of Springfield, were among those charged in November and December 2019. All six are now named in a 16-count superseding indictment, which includes additional charges, returned by a federal grand jury in Springfield.
Additionally, Farisse and Everett also are charged together in one count of conspiracy to distribute fentanyl, the use of which caused the death of another person (who is not identified in court documents), and one count of distributing fentanyl on or about Oct. 17, 2019, which caused the death of this person.
USA v. Loggins, et al
The federal indictment charges each of the 15 defendants with participating in a conspiracy to distribute a kilogram or more of heroin and/or 400 grams or more of fentanyl in Christian and Greene counties from Sept. 23, 2018, to Nov. 14, 2019.
In addition to the conspiracy, Crawford is charged with three counts of possessing heroin or fentanyl with the intent to distribute, two counts of being a felon in possession of a firearm, and one count of possessing a firearm in furtherance of a drug-trafficking crime. Crawford allegedly possessed an Armscor of the Philippines 9mm semi-automatic pistol on Dec. 3, 2018, and a Lorcin .25-caliber semi-automatic pistol on Jan. 15, 2019.
Leath is also charged with possessing methamphetamine with the intent to distribute, possessing firearms in furtherance of drug-trafficking crimes, and being a felon in possession of a firearm. Leath allegedly possessed an RG .25-caliber semi-automatic pistol and a Ruger .380-caliber semi-automatic pistol on Dec. 14, 2018, and a Ruger 9mm semi-automatic pistol on May 22, 2019.
Martin is also charged with two counts related to distributing fentanyl. Worsham, Sims, and Lindsey are each also charged with one count of possessing heroin and/or fentanyl with the intent to distribute.
Hodges is also charged with one count of possessing fentanyl with the intent to distribute within 1,000 feet of a school. Hodges is also charged with one count of possessing fentanyl with the intent to distribute, one count of possessing a firearm in furtherance of drug-trafficking crimes, and one count of being a felon in possession of a firearm. Hodges allegedly possessed a Kel-Tec .380-caliber semi-automatic pistol on June 4, 2019.Bedell is also charged with two counts of distributing heroin and/or fentanyl, one count of possessing firearms in furtherance of drug-trafficking crimes, and one count of being a felon in possession of firearms. Bedell allegedly possessed a .223-caliber semi-automatic pistol without a serial number, a Springfield Armory .45-caliber semi-automatic pistol, and a Ruger .380-caliber semi-automatic pistol on Sept. 12, 2019.
Wheeler is also charged with possessing firearms in furtherance of drug-trafficking crimes and being a felon in possession of firearms. Wheeler allegedly possessed a Sig Sauer .40-caliber semi-automatic pistol, an Izhmash .308-caliber semi-automatic rifle, and a Hi-Point 9mm semi-automatic pistol on Nov. 14, 2019.
Hill is also charged with attempting to escape from the custody of a DEA agent after being arrested.
USA v. Dailey, et al
Each of the six defendants were charged with participating in a conspiracy to distribute a kilogram or more of heroin and/or 400 grams or more of fentanyl in Greene County from Mar. 27, 2018, to Nov. 14, 2019.
In addition to the drug-trafficking conspiracies, Farisse is charged with three counts of distributing heroin and/or fentanyl, two counts of possessing heroin and/or fentanyl with the intent to distribute, one count of possessing a firearm in furtherance of a drug-trafficking crime, and one count of being a felon in possession of a firearm. Farisse allegedly was in possession of a Ruger .380-caliber semi-automatic pistol on Nov. 14, 2019.
Glosson is also charged with one count of possessing heroin with the intent to distribute, one count of possessing firearms in furtherance of a drug-trafficking crime, and two counts of being an unlawful user of controlled substances (heroin) in possession of firearms. Glosson was allegedly in possession of a Springfield 9mm semi-automatic pistol and an SCCY 9mm semi-automatic pistol on March 7, 2019. Glosson was allegedly in possession of a Ruger 9mm semi-automatic pistol and a Glock 9mm semi-automatic pistol on Oct. 23, 2019.
Stewart is also charged with one count of distributing heroin and/or fentanyl.
Morgan is also charged with one count of being a felon in possession of a firearm. Morgan allegedly possessed an SCCY 9mm semi-automatic pistol on Nov. 14, 2019.
The indictment also contains a forfeiture allegation, which would require the defendants to forfeit to the government any property derived from the proceeds of the alleged drug-trafficking conspiracy, including $2,200 seized by law enforcement from Glosson’s residence on March 7, 2019; $11,266 seized by law enforcement from a vehicle occupied by Dailey and Morgan on Nov. 14, 2019; $5,214 seized by law enforcement from Farisse’s hotel room on Nov. 14, 2019; and $4,400 belonging to Dailey, which was seized by law enforcement during the search of a residence on Nov. 27, 2019.
The charges contained in these indictments are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
These cases are being prosecuted by Assistant U.S. Attorneys Byron H. Black and Josephine L. Stockard and Special Assistant U.S. Attorney Jessica R. Keller. It was investigated by the Drug Enforcement Administration Task Force; the Bureau of Alcohol, Tobacco, Firearms, and Explosives; the Springfield, Missouri, Police Department; the Greene County, Missouri, Sheriff’s Department; the Phelps County, Missouri, Sheriff’s Department; the Bourbon, Missouri, Police Department; and the Missouri State Highway Patrol.
OCDETF
This case is part of the Department of Justice’s Organized Crime and Drug Enforcement Task Force (OCDETF) program. The OCDETF program is the centerpiece of the Department of Justice’s drug supply reduction strategy. OCDETF was established in 1982 to conduct comprehensive, multilevel attacks on major drug trafficking and money laundering organizations. Today, OCDETF combines the resources and expertise of its member federal agencies in cooperation with state and local law enforcement. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking organizations, transnational criminal organizations, and money laundering organizations that present a significant threat to the public safety, economic, or national security of the United States.Monroe, N.C. Man Is Sentenced to More Than Eight Years for Firearms OffenseRead the Press Release
CHARLOTTE, N.C. – Chief U.S. District Judge Frank D. Whitney sentenced today Marcus Damar Massey, 34, of Monroe, N.C. to 100 months in prison, followed by two years of supervised release for a firearms offense, announced Andrew Murray, U.S. Attorney for the Western District of North Carolina.
Ronnie Martinez, Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) in Charlotte, and Chief J. Bryan Gilliard of the Monroe Police Department, join U.S. Attorney Murray in making today’s announcement.
On September 5, 2019, Massey pleaded guilty to possessing two firearms, a loaded 12 gauge shotgun, and a 9mm pistol. Massey has prior felony convictions and is prohibited from possessing a firearm and ammunition. At today’s sentencing hearing, Massey received an enhanced sentence in accordance with the United States Sentencing Guidelines, based on evidence presented by the government in support of an attempted murder enhancement. According to information contained in court documents and today’s sentencing hearing, Massey was found in possession of the two weapons on May 12, 2018. At the time, officers with the Monroe Police Department were investigating a shooting incident that occurred two weeks prior on April 29, 2018, at the intersection of Fairly Avenue and Morgan Mill Road, in Monroe. Law enforcement officers investigating the incident collected five 9mm shell casings at the scene, and observed three bullet holes in the passenger side of the vehicle driven by the victim. Over the course of the investigation, law enforcement identified Massey as the shooter and the 9mm pistol as the weapon used in the April 29th shooting.
Massey is currently in custody and will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility. Federal sentences are served without the possibility of parole.
In making today’s announcement, U.S. Attorney Murray thanked HSI and the Monroe Police Department for handling the investigation. Assistant U.S. Attorney William Bozin, of the U.S. Attorney’s Office in Charlotte, prosecuted the case.
Mississippi Tax Return Preparer Sentenced to Prison for Filing False Tax ReturnsRead the Press Release
A Macon, Mississippi, tax return preparer was sentenced to 16 months in prison today for aiding and assisting in the preparation and filing of a false tax return, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and U.S. Attorney Mike Hurst for the Southern District of Mississippi.
According to court documents and statements made in court, from approximately January 2012 through April 2016, Shelleen Ivory-Farmer managed ABS Tax Services, a tax preparation business in Macon, Mississippi. Through the firm, Ivory-Farmer falsified clients’ tax returns by claiming false education credits, itemized deductions, and business and farming losses to fraudulently increase client refunds paid by the Internal Revenue Service (IRS). The tax loss resulting from the false education credits alone was more than $870,000. The total tax loss caused by Ivory-Farmer was more than $1.1 million.
In addition to the term of imprisonment, U.S. District Judge Daniel P. Jordan III ordered Ivory-Farmer to serve one year of supervised release and to pay $236,887 in restitution to the United States.
Principal Deputy Assistant Attorney General Zuckerman and U.S. Attorney Hurst thanked special agents of IRS-Criminal Investigation, who conducted the investigation, and Trial Attorney William Montague of the Tax Division and Assistant U.S. Attorney Erin Chalk, who prosecuted the case.
Additional information about the Tax Division and its enforcement efforts may be found on the Division’s website.
Milledgeville, Georgia Tax Preparer Sentenced for Tax Fraud, Ordered to Repay $1 MillionRead the Press Release
MACON, Ga. – The former owner of Mr. Tax, Etc., a tax preparation business, was sentenced to prison and ordered to pay $1,000,000 in restitution after admitting he manipulated and falsified client information on filed tax returns, announced Charles “Charlie” Peeler, the United States Attorney for the Middle District of Georgia. Willie Moore, Jr., 48, of Braselton, Georgia, previously entered a guilty plea to one count of conspiracy to defraud the United States on Thursday, September 12, 2019 and was sentenced on Wednesday, February 12, 2020 by U.S. District Judge Tilman “Tripp” Self to 33 months in prison and ordered to pay $1,000,000 in restitution to the IRS. A co-defendant in the case, James Prather, 47, of Douglasville, Georgia, pleaded guilty to one count Conspiracy to Defraud the United States on May 8, 2019, causing a $1,000,000 loss to the United States Government. Prather faces a maximum five years in prison and will be sentenced on February 26, 2020. Both defendants agreed to no longer prepare or file federal tax returns for anyone other than themselves. There is no parole in the federal system.
“The punishment is steep for those who steal from the tax payers and the government,” said Charlie Peeler, the U.S. Attorney. “Protecting tax payers from government fraud is a priority of this office, and we will continue to work closely with the IRS, the Southeast Scheme Development Center and our many other law enforcement partners to investigate and prosecute fraud crimes across the Middle District of Georgia.”
“This sentence should serve as a warning to any tax return preparer considering exploiting their clients for profit: You will be caught, you will be prosecuted, and you will pay a steep price for your actions,” said Andrew Thornton, Jr., Acting Special Agent in Charge IRS Criminal Investigation, Atlanta Field Office. “IRS-CI remains committed to working with our law enforcement partners to bring those seeking to enrich themselves at the expense of the government and their clients, to justice.”
“Today’s sentence sends a strong message to those who abuse the bankruptcy system,” said Nancy J. Gargula, U.S. Trustee for Georgia, Florida, the Commonwealth of Puerto Rico and the U.S. Virgin Islands (Region 21). “Causing taxpayers to provide false tax returns and documents in connection with their bankruptcy cases undermines the integrity of the system and will not be tolerated. We appreciate the commitment of U.S. Attorney Peeler and our law enforcement partners to holding those who abuse the bankruptcy system accountable.”
Co-defendants and business partners Mr. Moore and Mr. Prather orchestrated a tax refund scheme through Mr. Moore’s tax return preparation business AMAB Enterprises, d/b/a/ Mr. Tax, Etc., a storefront location on North Columbia Street in Milledgeville, Georgia. Investigators identified a total of 5,529 suspicious federal income tax returns for the 2011, 2012, 2013, and 2014 tax years, and a high percentage of returns, 97%, receiving a refund. Mr. Moore admitted in his guilty plea agreement that to increase a client’s tax returns, he would manipulate the taxpayer’s returns by listing fraudulent businesses, profits, educational expenses, and household income. Most of the clients interviewed stated that their income tax returns were not explained to them nor were they reviewed with them. Some clients never even received a copy of their returns or were given partial copies missing pages, parts, or schedules. Bank records show more than $400,000 in transfers to the defendants, the profits of the tax refund scheme.
The case was investigated by the Internal Revenue Service’s (IRS) Criminal Investigation Division and the IRS’s Southeast Scheme Development Center. The charges resulted, in part, from a referral by the U.S. Trustee for Region 21 to the U.S. Attorney. The U.S. Trustee Program is the component of the Justice Department that protects the integrity of the bankruptcy system by overseeing case administration and litigating to enforce the bankruptcy laws. Region 21 is headquartered in Atlanta, with additional offices in Macon and Savannah, Georgia; Miami, Orlando, Tallahassee and Tampa, Florida; and San Juan, Puerto Rico.
Assistant U.S. Attorney Shanelle Booker prosecuted the case for the Government. Questions can be directed to Pamela Lightsey, Public Information Officer, United States Attorney’s Office, at (478) 621-2603 or Melissa Hodges, Public Affairs Director (Contractor), United States Attorney’s Office, at (478) 765-2362.
Metairie Man Sentenced in Connection with Guilty Plea to Conspiracy to Distribute OxycodoneRead the Press Release
NEW ORLEANS - U.S. Attorney Peter G. Strasser announced that AARON JEFFREY DENN, age 35, a resident of Metairie, Louisiana was sentenced on February 18, 2020 by U.S. District Judge Jay C. Zainey in connection with his guilty plea to conspiracy to distribute oxycodone to three years’ probation, with conditions that the first 12 months be served on home confinement and that DENN perform 100 hours of community service. Judge Zainey additionally imposed a fine of $6,000.
According to court documents, between March and April 2019, DENN admitted to conspiring to distribute oxycodone pills, which he obtained unlawfully on the black market. DENN admitted to selling oxycodone pills and charging approximately $25 to $35 per pill. On April 4, 2019, DENN admitted to selling pills for approximately $6,000. According to court documents, unbeknownst to DENN, those pills contained a mixture of heroin and tramadol. Additionally, DENN agreed to forfeit approximately $62,002.
U.S. Attorney Strasser praised the work of the Federal Bureau of Investigation, the Drug Enforcement Administration, the Department of Health and Human Services, and the Jefferson Parish Sheriff’s Office for their work investigating the case.
The case is being prosecuted by Jared Hasten of the Criminal Division’s Fraud Section and Assistant United States Attorney Myles Ranier.
Member of Eastern European Organized Crime Syndicate Sentenced to 198 Months’ Imprisonment for Racketeering and Other Violent CrimesRead the Press Release
Aleksey Tsvetkov, a leader of a violent, Brooklyn-based Eastern European organized crime syndicate that operated primarily in the Sheepshead Bay, Brighton Beach and Coney Island neighborhoods, was sentenced today in federal court in Brooklyn to 198 months’ imprisonment and ordered to pay $1,145,339.90 in restitution following his conviction for racketeering – including predicate acts of illegal gambling, extortion, arson and marijuana distribution – and wire fraud and pistol-whipping. Tsvetkov and co-defendant Leonid Gershman were convicted following a three-week jury trial in August 2018. Today’s proceeding was held before United States District Judge Brian M. Cogan.
Richard P. Donoghue, United States Attorney for the Eastern District of New York, Ray Donovan, Special Agent-in-Charge, Drug Enforcement Administration, New York Division (DEA), and Jonathan D. Larsen, Special Agent-in-Charge, Internal Revenue Service Criminal Investigation, New York (IRS-CI), announced the sentence.
“Today’s sentence appropriately punishes Tsvetkov, whose crime syndicate inflicted violence on three Brooklyn communities, including an arson that destroyed an occupied building and endangered its residents and New York City firefighters,” stated United States Attorney Donoghue. “This Office, together with our law enforcement partners, will continue to deploy all resources necessary to rid our neighborhoods of violent organized crime groups.”
“Last summer, Aleksey Tsvetkov and his co-defendant Leonid Gershman were convicted for a litany of violent crimes and racketeering that reached from Brooklyn to abroad,” stated DEA Special Agent-in-Charge Donovan. “This sentence exemplifies law enforcement’s commitment to saving lives by arresting and prosecuting members of criminal organizations who place neighborhoods in peril through violence, drug trafficking and criminal threats.”
“Organized criminal organizations like the one led by Tsvetkov negatively impact the standard of living for the citizens living in those areas where they operate, causing harm and fear in their neighborhoods,” stated IRS-CI Special Agent-in-Charge Larsen. “IRS Criminal Investigation and our law enforcement partners will continue to be relentless in our resolve to dismantle organized criminal groups and bring the criminals who run them to justice.”
Between 2011 and May 2017, Tsvetkov and his co-conspirators, born in states of the former Soviet Union, including Russia, Ukraine and Moldova, operated as a racketeering syndicate. The syndicate members were linked to high-level members of Russian organized crime, known as “thieves in law,” or “thieves,” who authorized syndicate members to use violence in the United States and abroad to protect their criminal activities.
As established at trial, in 2016, Tsvetkov partnered in an illegal high-stakes poker game on Coney Island Avenue that generated substantial profits for the syndicate. In the spring of 2016, Tsvetkov and other syndicate members enlisted two co-conspirators to set fire to a mixed-use a building on Voorhies Avenue that housed a rival poker game on the ground floor. Two residents of the building, including a young boy, were trapped inside by the resulting fire, and had to be rescued by firefighters. Both residents and firefighters suffered smoke inhalation, and one firefighter’s injuries required multiple surgeries. The families living in the building were displaced due to fire damage.
The syndicate also preyed upon extortion victims. For example, to find an extortion victim who owed the syndicate more than $40,000, a co-conspirator enlisted the help of “thieves” in Russia to track down the victim’s father in Moscow. Subsequently, after locating the victim, a co-conspirator was recorded on a wiretap stating, the “Thieves have found him . . . in Israel,” and “they were at [his] place today.” The co-conspirators regularly reported to Tsvetkov as debt payments were collected from the victim.
In connection with a separate extortion, the government recovered Tsvetkov’s cell phone and found a video of Tsvetkov beating the extortion victim into near unconsciousness. Tsvetkov kept the video as a souvenir.
In July 2012, Tsvetkov, Gershman and a co-conspirator beat a member of a rival criminal organization, known as the “Kafkaz Crew,” whom they suspected of stealing marijuana and thousands of dollars from the syndicate’s stash house on Ocean Avenue. Tsvetkov grabbed a handgun from the co-conspirator and jammed it in the victim’s mouth, knocking out several of his teeth. On December 3, 2019, Gershman was sentenced to 198 months’ imprisonment for racketeering.
Mr. Donoghue expressed his grateful appreciation to the members of DEA’s New York Organized Crime Drug Enforcement Strike Force, comprising agents and officers of the DEA; New York City Police Department; New York State Police; Immigration and Customs Enforcement – Homeland Security Investigations; IRS-CI; Bureau of Alcohol, Tobacco, Firearms and Explosives; U.S. Customs and Border Protection; U.S. Secret Service; U.S. Marshals Service; New York National Guard; Clarkstown Police Department; U.S. Coast Guard; Port Washington Police Department; and New York State Department of Corrections and Community Supervision for their roles in the investigation, and thanked the New York City Fire Department for its investigation of the arson and its heroic efforts in rescuing the residents who were trapped in the building during the fire.
The government’s case is being handled by the Office’s Organized Crime and Gangs Section. Assistant United States Attorneys Andrey Spektor and Sarah Evans are in charge of the prosecution.
The Defendant:
ALEKSEY TSVETKOV (also known as “Pelmin,” “Pulya,” “Lesha” and “Lyosha”)
Age: 40
Brooklyn, New YorkE.D.N.Y. Docket No. 16-CR-553 (S-4) (BMC)
Maryland Man Sentenced to Sixteen Months in Prison for Carrying Out A Fraud Scheme and Making A False Statement to the FBIRead the Press Release
WASHINGTON – James Benjamin, 58, of Ellicott City, Maryland, was sentenced Tuesday to sixteen months in prison and ordered to pay $74,500 in restitution by U.S. District Judge Paul L. Friedman of the District of Columbia. Following his prison term, Benjamin will serve a term of three years of supervised release.
The announcement was made Tuesday, February 18, 2020 by U.S. Attorney Timothy J. Shea and Timothy M. Dunham, Special Agent in Charge, FBI Washington Field Office.
Previously, on March 28, 2019, Benjamin pled guilty to engaging in a scheme with intent to defraud, and to thereby unlawfully obtaining over $100,000 for his own personal enrichment. Benjamin also pled guilty to making a false statement to the FBI, after the FBI had seized approximately $450,000 that Benjamin had obtained from investors. In connection with the guilty plea, Benjamin admitted that he had falsely told the FBI that the $450,000 had been “held in trust” for the benefit of an investor, when in fact Benjamin kept the funds in his own bank account.
The case was prosecuted by Assistant U.S. Attorney Demian Ahn of the U.S. Attorney’s Office for the District of Columbia. The case was investigated and indicted by Assistant U.S. Attorneys Demian Ahn and Thomas Swanton, with assistance from Paralegal Specialists Jessica McCormick and Chela Okonji.
Martinsburg man admits to failure to register as a sex offender chargeRead the Press Release
MARTINSBURG, WEST VIRGINIA – Andrew Reed Cumbie, of Martinsburg, West Virginia, has admitted to a failure to register charge, U.S. Attorney Bill Powell announced.
Cumbie, age 38, pled guilty to one count of “Failure to Register.” Cumbie, having been convicted of a sex offense in the Circuit Court of Melheur County, Oregon, admitted to traveling interstate commerce and not registering and updating his registration as a sex offender. The crime occurred in Berkeley County from November 16 to December 11, 2017.
Assistant U.S. Attorney Lara K. Omps-Botteicher is prosecuting the case on behalf of the government. The case was investigated by the United States Marshal Service.
U.S. Magistrate Judge Robert W. Trumble presided.Manchester Man Sentenced to Ten Years in Prison for Drug TraffickingRead the Press Release
CONCORD - Jai Britt, 45, of Manchester, was sentenced to 120 months in federal prison for drug trafficking on Wednesday, United States Attorney Scott W. Murray announced today.
According to court documents and statements made in court, in November, 2018, a cooperating individual disclosed to the Manchester Police Department that Britt had been selling the individual crack cocaine and heroin multiple times per week over the past month.
On November 29, 2018, at the direction of law enforcement officers, the cooperating individual made a call to Britt to purchase drugs and then purchased fentanyl from Britt at Britt’s apartment.
On December 11, 2018, Britt was arrested outside his apartment. During a search of his apartment, officers found approximately 135grams of crack cocaine, 194 grams of cocaine, and 1.5 grams of heroin.
“Drug traffickers cause tremendous damage to public health and safety,” said U.S. Attorney Murray. “Through Operation S.O.S., we are working with the Manchester Police Department and other law enforcement partners to identify, prosecute, and incarcerate the drug traffickers who are jeopardizing public safety with their unlawful conduct.”
This matter was investigated by the Manchester Police Department. The case was prosecuted by Assistant U.S. Attorney Joachim Barth.
This case is part of Operation Synthetic Opioid Surge (S.O.S.). In July of 2018, Attorney General Jeff Sessions announced the creation of S.O.S., which is being implemented in the District of New Hampshire and nine other federal districts. The goal of S.O.S. is to combat the large number of overdoses and deaths associated with fentanyl and other synthetic opioids. In New Hampshire, the U.S. Attorney’s Office is focusing its efforts on prosecuting synthetic opioid trafficking cases arising in Hillsborough County, which includes Manchester and Nashua.
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Man Sentenced for Threatening to Blow up his Apartment Building as a Means of IntimidationRead the Press Release
A man who threatened to destroy his apartment building by means of fire and explosive materials during a domestic dispute has been sentenced today in federal court, announced U.S. Attorney Trent Shores.
Chief U.S. District Judge John E. Dowdell sentenced Charles Michael Fox, 44, of Tulsa, to 35 months in federal prison to be followed by three years of supervised release. Fox pleaded guilty in December 2019, to receiving and transporting explosive materials with intent to intimidate.
“In an effort to intimidate his wife, Charles Fox sprayed propane on her and throughout his apartment, threatening to blow them up. This fit of domestic rage put at risk the lives of others and resulted in a nearly three year federal prison sentence,” said U.S. Attorney Trent Shores. “I especially want to commend the first responders who quickly and professionally handled this potentially life threatening situation. Job well done by the Tulsa Police Department’s Bomb Squad and Special Operations Division; Tulsa Fire Department’s Engine and Ladder 23 and HAZMAT crews; Emergency Medical Services Authority; and the ATF.”
The incident began on Sept. 29, 2019, at the French Villa Apartments, located on Harvard Avenue in Tulsa, and lasted until early the next morning. In his plea agreement, Fox admitted to possessing propane contained in two propane tanks, one of which was modified with a gas hose attached to a regulator valve, enabling it to spray propane. Fox took the propane tanks into his apartment where he sprayed the propane and threatened to blow up the apartment complex in an effort to intimidate his wife.
The Tulsa Police Department’s Bomb Squad and Special Operations Division; Tulsa Fire Department’s Engine and Ladder 23 and HAZMAT crews; Emergency Medical Services Authority (EMSA); and Oklahoma Natural Gas responded to the incident. The Tulsa Police Department and Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation.
Assistant U.S. Attorney Robert T. Raley prosecuted the case. AUSA Raley is the National Security Anti-Terrorism (ATAC) Prosecutor for the U.S. Attorney’s Office in the Northern District of Oklahoma.
Madison Man Sentenced to 150 Months for Robberies & Gun ChargesRead the Press Release
MADISON, WIS. - Scott C. Blader, United States Attorney for the Western District of Wisconsin, announced that Willie Champ, 19, Madison, Wisconsin, was sentenced today by U.S. District Judge William Conley to 150 months for two gun charges and 11 robberies. Champ pleaded guilty to these charges on October 30, 2019.
Between June 2018 and May 2019, Champ robbed eleven convenience and liquor stores in Madison, Fitchburg, and Oregon, Wisconsin. During 10 of those robberies, he brandished guns. After the last robbery, police stopped his vehicle and recovered a realistic looking AK-47 type airsoft gun that was used in five of the robberies. Police later searched his residence where they found a Taurus 9mm pistol that was used in four of the robberies.
In addition to the robbery charges, Champ was charged with brandishing and using a firearm in furtherance of a crime of violence. These gun charges carried a mandatory minimum of 12 years in federal prison. Champ was sentenced to an additional six months for the robberies.
At sentencing, Judge Conley noted the severity of these crimes, calling them terrifying offenses in which Champ targeted these businesses. Judge Conley recognized the effect of these crimes on the victims who experienced this violence and society as a whole living now in increased fear. Champ also faces charges for an additional nine robbery offenses in Dane County Circuit Court.
The charges against Champ were the result of an investigation conducted by the Madison, Fitchburg, Oregon, and Town of Madison Police Departments, the Federal Bureau of Investigation, and with the assistance of the Dane County District Attorney’s Office. Assistant U.S. Attorney Corey Stephan handled the prosecution.
This indictment has been brought as part of Project Safe Neighborhoods (PSN), the U.S. Justice Department’s program to reduce violent crime. The PSN approach emphasizes coordination between state and federal prosecutors and all levels of law enforcement to address gun crime, especially felons illegally possessing firearms and ammunition, and violent crimes and drug crimes that involve the use of firearms.
Leader of Mt. Morris Cocaine Trafficking Ring Pleads GuiltyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Carlos Garcia Rivero, 45, of Mt. Morris, NY, pleaded guilty before Chief U.S. District Court Judge Frank P. Geraci, Jr. to conspiring to possess with intent to distribute, and to distribute, 28 grams or more of crack cocaine and 500 grams or more of cocaine. The charges carry a mandatory minimum penalty of five years in prison, a maximum of 40 years, and a $5,000,000 fine.
Assistant U.S. Attorney Matthew T. McGrath, who is handling the case, stated that the defendant was the leader of a cocaine trafficking organization based in Mt. Morris, NY. Rivero obtained bulk quantities of powder cocaine to be distributed, at his direction, by a number of street level drug dealers as either powder or crack cocaine. The defendant would supply the street level drug dealers with pre-packaged quantities, which they would then sell to individual drug users.
Rivero was arrested by the FBI on February 20, 2019, as he arrived at JFK International Airport on a flight arriving from Colombia. Investigators located nearly 500 grams of powder cocaine hidden in the basement of the defendant’s residence on Chapel Street in Mt. Morris. Over $15,000 in cash was located at another premises utilized by the organization for its drug dealing activities.
The plea is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Gary Loeffert; the Livingston County Sheriff’s Office and the Livingston County Drug Task Force, under the direction of Sheriff Thomas Dougherty; and the Livingston County District Attorney’s Office, under the direction of Gregory J. McCaffrey.
Sentencing is scheduled for May 22, 2020, at 3:00 p.m. before Chief Judge Geraci.
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Lawrence Developer Sentenced for Violating Asbestos Disposal LawsRead the Press Release
TOPEKA, KAN. – A Lawrence developer was sentenced today to three months imprisonment for disposing of asbestos in violation of the Clean Air Act. In addition, the defendant was ordered to pay a $55,000 fine.
Thomas S. Fritzel, 54, Lawrence, Kan., was convicted on the following counts:
- Failing to notify authorities before removing asbestos (count two).
- Failing to keep asbestos wet during demolition to prevent air contamination (count three).
- Failing to dispose of asbestos in leak-tight containers (count four).
During trial, the government presented evidence that Fritzel violated federal laws for handling asbestos during demolition and renovations at the Alvamar Country Club in Lawrence. The government presented evidence to show that Fritzel knew that the roof of the country club contained 75 percent chrysotile asbestos. The previous owners, who sold the club to Fritzel in January 2016, had decided not to replace the roof because of the cost of abating the asbestos.
On October 19, 2016, the Kansas Department of Health and Environment told Fritzel to get a licensed asbestos contractor to remove asbestos from the site and dispose of it properly. On Oct. 25, 2016, KDHE inspected the site and determined asbestos debris had been removed and hauled to Hamm Landfill in Perry, Kan., which is not approved for asbestos disposal.
“The defendant was responsible for the safe – and legal – removal of material containing asbestos,” said Assistant Director Justin Oesterreich of EPA’s criminal enforcement program in Kansas. “The defendant ignored regulations on the safe management of asbestos, putting workers and the general public at risk.”
First Assistant U.S. Attorney Duston Slinkard commended the Environmental Protection Agency – Criminal Investigation Division and Assistant U.S. Attorney Richard Hathaway for their work on the case.
La Crosse Felon Sentenced to 50 Months for Possessing FirearmRead the Press Release
MADISON, WIS. - Scott C. Blader, United States Attorney for the Western District of Wisconsin, announced that Yovon C. Boyd, 34, La Crosse, Wisconsin, was sentenced today by U.S. District Judge William Conley to 50 months in prison for being a felon in possession of a firearm. Boyd pleaded guilty to this charge on November 21, 2019.
On October 16, 2018, at 4:00 a.m., La Crosse police officers were dispatched to a domestic disturbance call. When they arrived at the residence, it was dark and they saw Boyd in the front yard sitting in a lawn chair. The officers illuminated the area with flashlights and their body-worn cameras captured Boyd reach into his pocket, pull out a gun, and throw it under the chair. The Bersa .380 pistol was later found there by officers. Boyd was on probation for a felony child abuse conviction.
At sentencing, Judge Conley remarked that Boyd’s gun possession endangered all those present at the residence and the responding police officers. Boyd’s daily use of crack cocaine exacerbated this risk, and Judge Conley said the situation had the potential to turn into an officer-involved shooting with disastrous results. Judge Conley assessed Boyd’s lengthy criminal record, which included six domestic related offenses, and past sentences. Boyd asked for leniency, indicating he was ready to make changes in his life. Judge Conley asked if Boyd had ever given similar speeches to judges before. Boyd admitted that he had. Judge Conley then found that a significant sentence was warranted based on Boyd’s criminal history, drug use, and the seriousness of this offense.
The charge against Boyd were the result of an investigation conducted by the La Crosse Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Corey Stephan handled the prosecution.
This indictment has been brought as part of Project Safe Neighborhoods (PSN), the U.S. Justice Department’s program to reduce violent crime. The PSN approach emphasizes coordination between state and federal prosecutors and all levels of law enforcement to address gun crime, especially felons illegally possessing firearms and ammunition, and violent crimes and drug crimes that involve the use of firearms.