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20 February 2020
Justice Department Files Lawsuit Against the Village of Walthill, Nebraska, for Restrictions on Non-Denominational Christian Church Trying to Build a Place of WorshipRead the Press Release
The Justice Department today announced that it has filed a lawsuit against the Village of Walthill, Nebraska, alleging that the Village violated the Religious Land Use and Institutionalized Persons Act (RLUIPA) by denying Light of the World Gospel Ministries, a non-denominational, multi-ethnic Christian congregation, a permit to construct a new church in the Village. The suit alleges that the Village imposed a substantial burden on the church’s religious exercise without adequate justification and treated the church worse than comparable nonreligious assemblies and institutions.
“Treating places of worship less favorably than nonreligious assemblies is unlawful discrimination against religious exercise,” said Assistant Attorney General Eric Dreiband of the Civil Rights Division. “The Department of Justice is committed to ensuring that governments do not deny congregations their federally protected right to exercise their faith through construction of places of worship.”
“Walthill is obligated to treat religious assemblies and institutions on equal terms with nonreligious assemblies and institutions,” said Joe Kelly, United States Attorney for the District of Nebraska. “This complaint reflects our commitment to protect the religious liberties of all people in this district.”
The complaint, filed in the District of Nebraska, alleges that on Sept. 13, 2017, the Village of Walthill denied Light of the World’s application for a special use permit to construct a church on property it owns in a commercial district in downtown Walthill. During the same period, the Village approved construction of nonreligious places of assembly in the district, including a library and an education center.
The complaint alleges that the Village’s denial of Light of the World’s application for a special use permit to construct a church violates a provision of RLUIPA, known as the “equal terms” provision, that requires religious assemblies to be treated at least as well as nonreligious assemblies. The suit also alleges that the Village’s actions imposed a substantial burden on the church’s religious exercise in violation of another provision of the Act.
RLUIPA is a federal law that protects religious institutions from unduly burdensome or discriminatory land use regulations. In June 2018, the Justice Department announced its Place to Worship Initiative, which focuses on RLUIPA’s provisions protecting the rights of places of worship and other religious institutions to worship on their land. More information is available at www.justice.gov/crt/placetoworship.
In July 2018, the Department of Justice announced the formation of the Religious Liberty Task Force. The Task Force brings together Department components to coordinate their work on religious liberty litigation and policy, and to implement the Attorney General’s 2017 Religious Liberty Guidance.
Individuals who believe they have been subjected to discrimination in land use or zoning decisions may contact the Civil Rights Division Housing and Civil Enforcement Section at (800) 896-7743, or through the complaint portal on the Place to Worship Initiative website. More information about RLUIPA, including questions and answers about the law and other documents, may be found at http://www.justice.gov/crt/about/hce/rluipaexplain.php.
Jury convicts Helena woman of robbery over heroin traffickingRead the Press Release
HELENA—A jury on Thursday convicted a Helena woman accused of participating in an armed home invasion to rob a couple involved in trafficking heroin, U.S. Attorney Kurt Alme said.
The jury found Arielle Rose Cowser, 27, guilty of conspiracy to commit robbery affecting commerce and robbery affecting commerce. The jury acquitted Cowser of possession of a firearm in furtherance of a crime of violence. Cowser faces a maximum 20 years in prison, a $250,000 fine and up to five years of supervised release. The three-day trial began on Tuesday.
U.S. District Judge Donald W. Molloy presided. Sentencing is set for June 11. Cowser was released pending sentencing.
“Drug trafficking not only is illegal but also dangerous and leads to violence among those involved in the trade. We will prosecute drug-related robberies to the full extent of the law. I want to thank Assistant U.S. Attorney Tom Bartleson along with the FBI, Montana Regional Violent Crime Task Force, Lewis and Clark County Sheriff’s Office and Missouri River Drug Task Force for investigating and prosecuting this case,” U.S. Attorney Alme said.
In evidence presented at trial, the prosecution said the FBI learned of a home invasion robbery in Helena in which the victims, a couple, were involved in trafficking heroin. Co-defendant Kielan Brett Franklin, who has pleaded guilty, provided the couple money to travel to Washington to buy an ounce of heroin. The couple returned to Montana with less than an ounce. When the couple did not immediately turn over the heroin, Franklin sent them threatening text messages.
On March 8, 2019, Cowser went to the victims’ residence and asked to enter, saying she had broken up with Franklin. The female victim let Cowser inside and a few minutes later, Cowser let in Franklin and two other co-defendants, Gerald Allen Hiler and Morgan Victor Pitsch. Hiler and Pitsch, who have pleaded guilty, wore masks.
Hiler brandished a handgun and Pitsch possessed one during the robbery. The defendants fled when they realized the female victim had called 911. The robbers took a small amount of heroin, the female victim’s wedding ring, her cell phone and a purse.
Assistant U.S. Attorney Tom Bartleson is prosecuting the case, which was investigated by FBI, Montana Regional Violent Crime Task Force, Lewis and Clark County Sheriff’s Office and Missouri River Drug Task Force.
This case is part of Project Guardian, a Department of Justice initiative launched in the fall of 2019 to reduce gun violence and enforce federal firearms laws. Through Project Guardian, the U.S. Attorney’s Office in the District of Montana is working to enhance coordination of its federal, state, tribal and local law enforcement partners in investigating and prosecuting gun crimes. In addition, Project Guardian supports information sharing and taking action when individuals are denied a firearm purchase by the National Instant Criminal Background Check System for mental health reasons or because they are a prohibited person.
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Jury Convicts Man for Racketeering Conspiracy Involving MurderRead the Press Release
NORFOLK, Va. – A federal jury convicted a Portsmouth man today on charges of a racketeering conspiracy that included the murder of 23-year-old Delante Eley.
Rashaun Taylor, aka “Diablo”, 32, was convicted of racketeering conspiracy, discharge of a firearm resulting in death, felon in possession of a firearm, and distribution of heroin.
According to court records and evidence presented at trial, Taylor was a local leader of the Nine Trey Gangsters (NTG), a gang affiliated with the United Blood Nation. On March 11, 2014, after a series of incidents between Delante Eley and members of Taylor’s gang, Taylor followed Eley to his grandparents’ home, where Taylor shot and killed Eley. Two days later, Taylor and other NTG members were stopped by police while armed with a high-powered Romanian-made semi-automatic rifle. Portsmouth Police detectives executed a search warrant on Taylor’s house and recovered gang paraphernalia and his cell phone. The FBI analyzed Taylor’s phone, which had been turned off for the two hours surrounding the murder, and found that nearly two hundred calls placed between the time of the murder and the traffic stop had been deleted. A confidential informant later videotaped a gang meeting led by Taylor, and several days later Taylor was overheard by the FBI and Portsmouth Police via a wire transmitter admitting to the murder.
Taylor faces a mandatory minimum of 10 years and a maximum of life in prison when sentenced on May 20. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
The case was investigated as part of the Organized Crime Drug Enforcement Task Force (OCDETF) Operation Billy Club. The OCDETF program is a federal multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Martin Culbreth, Special Agent in Charge of the FBI’s Norfolk Field Office; and Angela Greene, Chief of Portsmouth Police, made the announcement after U.S. District Judge Raymond A. Jackson accepted the verdict. Assistant U.S. Attorneys John F. Butler, Andrew C. Bosse, and Joseph E. DePadilla are prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:19-cr-36.
Josephine County Man Pleads Guilty for Threatening Mass Shooting at YouTube HeadquartersRead the Press Release
MEDFORD, Ore.—William Gregory Douglas, 37, of Cave Junction, Oregon, pleaded guilty today for threatening to shoot YouTube employees at the company’s San Bruno, California headquarters after his account was removed for violating the video-sharing platform’s terms of service.
“Threatening a mass shooting is a serious crime whether or not an individual plans to act. This is a crime that undermines Americans’ fundamental right to live and work without fear,” said Billy J. Williams, U.S. Attorney for the District of Oregon. “We will continue to diligently respond to and prosecute criminal threats of violence to the fullest extent of the law.”
“Using social media outlets to threaten violence of any kind victimizes individuals and undermines the safety of our communities,” said Renn Cannon, Special Agent in Charge of the FBI in Oregon. “The FBI remains committed to working with our state and local partners to respond quickly to threats and keep our communities free from violence and intimidation.”
According to court documents, sometime on or before August 22, 2018, YouTube removed Douglas’ video channel for violating the platform’s terms of service. In response, on August 23, 2018, Douglas posted five tweets threatening violence against YouTube employees. In one of the tweets, Douglas threatened a “bigger mass casualty” event, appearing to reference a prior shooting incident at YouTube’s headquarters in April 2018 that injured three employees.
Later, on September 8, 2018, Douglas posted a tweet stating “Hey why do you guys keep ignoring me would it be better if I leave you with no other options like your [sic] leaving me…I’m beyond pissed…I wonder how I should deal with this frustration.” Finally, on September 17, 2018, Douglas tweeted a direct threat at one of YouTube’s senior leaders saying “…I’m coming for you today #pray.”
On October 4, 2018, a federal grand jury in Medford, Oregon returned a one-count indictment charging Douglas with cyberstalking. Later, on January 14, 2020, he was charged by criminal information with one count of making interstate communications with the intent to extort. Douglas pleaded guilty today to the latter charge.
As part of the plea agreement, Douglas has agreed to pay restitution in full to his victims as determined and ordered by the court at sentencing.
Douglas faces a maximum sentence of 5 years in prison, a $250,000 fine and three years’ supervised release. He will be sentenced on May 14, 2020 before U.S. District Court Judge Ann L. Aiken.
This case was investigated by the FBI and prosecuted by Judi R. Harper, Assistant U.S. Attorney for the District of Oregon.
Anyone with information about real or perceived threats of violence should call the FBI at (503) 224-4181 or submit a tip online at https://tips.fbi.gov. For immediate threats to life and safety, please call 9-1-1.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our department at www.Justice.gov/Celebrating150Years.
Harrisburg Man Charged with Mail Thefts and FraudRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Princeton Flagg-Garrett, age 28, of Harrisburg, Pennsylvania, was indicted on February 19, 2020, by a federal grand jury on bank fraud, aggravated identity theft and obstruction of correspondence charges.
According to United States Attorney David J. Freed, the indictment alleges that Flagg-Garrett opened mail intended to be delivered through the U.S. Postal Service, took checks out of that mail, altered the payee and amounts on checks, and deposited those checks, resulting in unauthorized withdrawals from victims’ bank accounts. The total loss amount is over $8,700.
The case was investigated by the United States Postal Inspection Service (USPIS) and the United States Postal Service – Office of Inspector General (OIG). Assistant U.S. Attorney James T. Clancy is prosecuting the case.
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 bank fraud is 30 years in prison; for aggravated identity theft, 2 years in prison consecutive to the prison term imposed for the underlying fraud; and for obstructing correspondence, 5 years in prison. Each offense also carries 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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Hancock County man admits to his role in a drug conspiracyRead the Press Release
WHEELING, WEST VIRGINIA – Antonio Dewayne Brown, of Weirton, West Virginia, has admitted to his role in a cocaine, crack cocaine, heroin, and fentanyl distribution operation, U.S. Attorney Bill Powell announced.
Brown, age 35, pled guilty to one count of “Aiding and Abetting Distribution of Cocaine Base.” Brown admitted to working with others to distribute cocaine base, also known as “crack,” in August 2018 in Hancock County.Brown faces up to 20 years incarceration and a fine of up to $1,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorneys Danae DeMasi-Lemon and Robert H. McWilliams, Jr. are prosecuting the case on behalf of the government. The Drug Enforcement Administration; the Hancock-Brooke-Weirton Drug & Violent Crimes Task Force, a HIDTA-funded initiative; the West Virginia State Police; the Marshall County Drug & Violent Crimes task Force, a HIDTA-funded initiative; The Ohio Valley Drug & Violent Crimes task Force, a HIDTA-funded initiative; the Jefferson County, Ohio, Drug & Violent Crimes Task Force; the Hancock County Sheriff’s Office; the Brooke County Sheriff’s Office; the Weirton Police Department; and the West Virginia Division of Natural Resources Police investigated.
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.
U.S. Magistrate Judge James P. Mazzone presided.
Guatemala National Charged with Illegal ReentryRead the Press Release
BOSTON – A Guatemalan national, previously convicted of kidnapping and murder, was charged yesterday in federal court in Boston with illegal reentry.
Ingrid Corzo-Armas, a/k/a Ingrid Sanchez, 49, was charged with one-count of illegal reentry. Corzo, who was arrested by ICE on Feb. 17, 2020, will appear in federal court in Boston on Friday, Feb. 21, 2020, for an initial appearance.
According to the charging document, in 1993, Corzo-Armas was convicted in California of kidnapping and murder and sentenced to state prison. After serving her sentence, she was placed into removal proceedings and deported to Guatemala on June 15, 1999. Sometime after her deportation, it is alleged that Corzo-Armas illegally reentered the United States and was most recently living in Lynn under the alias Ingrid Sanchez. On Feb 17, 2020, immigration officials encountered Corzo-Armas in Lynn and through the use of fingerprints established that she was illegally present in the United States. During a subsequent interview with law enforcement, Corzo-Armas admitted her alienage, her prior removal, and that she had illegally reentered the United States.
The charging statute for illegal reentry provides for a sentence of up to 20 years in prison, three years of supervised release and a fine up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Todd Lyons, Acting Field Office Director, Enforcement and Removal Operations, U.S. Immigration and Customs Enforcement (ICE) Boston; and Jason Molina, Acting Special Agent in Charge of Homeland Security Investigations in Boston made the announcement today. Assistant U.S. Attorney Kenneth G. Shine of Lelling’s Major Crimes Unit is prosecuting the case.
The details contained in the charging document are allegations. The defendant is presumed innocent until and proven guilty beyond a reasonable doubt in a court of law.
Grove City Man Charged with Providing False Info During the Purchase of a FirearmRead the Press Release
PITTSBURGH, PA - A Mercer County resident has been indicted by a federal grand jury in Pittsburgh on a charge of violating the federal firearms law, United States Attorney Scott W. Brady announced today.
The one-count Indictment, returned on February 18, 2020, named Karl Alexander, 79, of Grove City, Pennsylvania, as the sole defendant.
According to the Indictment, on September 29, 2018, Alexander knowingly made a false statement to a licensed firearms dealer during the acquisition of a firearm, intending to deceive the dealer and purchase the firearm for another person.
The law provides for a maximum total sentence of not more than 10 years in prison, a fine of not more than $250,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Jessica Lieber Smolar is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation conducted the investigation leading to the Indictment in this case. This case was brought as part of Project Guardian. Reducing gun violence and enforcing federal firearms laws have always been among the Department of Justice’s highest priorities. Project Guardian serves as a complementary effort to the success of Project Safe Neighborhoods (PSN).
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Grant County man sentenced for methamphetamine distributionRead the Press Release
ELKINS, WEST VIRGINIA – Joshua Richard Lofton, of Petersburg, West Virginia, was sentenced today to 78 months incarceration for methamphetamine distribution, U.S. Attorney Bill Powell announced.
Lofton, age 34, pled guilty to one count of “Possession with Intent to Distribute Methamphetamine” in October 2019. Lofton admitted to having more than 50 grams of methamphetamine, also known as “crystal meth,” in Hardy county in October 2018.
Assistant U.S. Attorney Stephen D. Warner prosecuted the case on behalf of the government. The Hardy County Department of Natural Resources, the West Virginia State Police, and the Bureau of Alcohol, Tobacco, Firearms and Explosives investigated.
U.S. District Judge Thomas S. Kleeh presided.
Grand Jury - February 2020Read the Press Release
United States Attorney Joe Kelly announced the federal Grand Jury for the District of Nebraska has returned 28 Indictments charging 29 defendants. Indictments are charging documents that contain one or more individual counts that are merely accusations, and every defendant is presumed innocent unless and until proven guilty.
* Cesar Alcocer-Escamilla, age 34, is charged with illegal reentry after deportation following a felony conviction on or about February 11, 2020. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, a three-year term of supervised release, and a $100 special assessment.
* Felix Amaya, age 33, is charged with felon in possession of a firearm on or about February 14, 2020. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, a three-year term of supervised release, and a $100 special assessment.
* Arely Araus-Bonilla, age 43, is charged in a two-count Indictment. Count I charges the defendant with social security fraud on or about February 11, 2019. The maximum possible penalty if convicted is 5 years’ imprisonment, a $250,000 fine, a three-year term of supervised release, and a $100 special assessment. Count II charges the defendant with fraud and misuse of visas and other documents on or about February 11, 2019. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, a three-year term of supervised release, and a $100 special assessment
* William Douglas Bean, age 67, of Lincoln, Nebraska, is charged in a two-count Indictment. Count I charges the defendant with conspiracy to distribute and possession with intent to deliver 500 grams or more of methamphetamine (mixture) beginning in January 1, 2018, and continuing through September 19, 2019. The maximum possible penalty if convicted is life imprisonment, $10,000,000 fine, five-year term of supervised release, and a $100 special assessment. Count II charges the defendant with possession with intent to distribute 50 grams or more of methamphetamine (mixture) on or about September 19, 2019. The maximum possible penalty if convicted is life imprisonment, $10,000,000 fine, five-year term of supervised release, and a $100 special assessment.
* Vincente Camacho-Bustos, age 34, is charged with illegal reentry after deportation on or about February 6, 2020, following an aggravated felony conviction. The maximum possible penalty if convicted is 20 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment.
* Drake C. Chrastil, Sr., age 50, of Omaha, is charged in a two-count Indictment. Count I charges the defendant with production of child pornography on or about January 2011 and continuing to on or about June 2011. The offense carries a 15-year mandatory minimum sentence and a maximum possible penalty of 30 years’ imprisonment, a $250,000 fine, a Life term of supervised release, a $100 special assessment, and a $50,000 additional special assessment and $3,000 Restitution. Count II charges the defendant with possession of child pornography on or about May 8, 2019. The maximum possible penalty if convicted is 20 years’ imprisonment, a $250,000 fine, a Life term of supervised release, a $100 special assessment, and a $17,000 additional special assessment and $3,000 Restitution.
* Benjamin Delany, age 24, is charged with assaulting, resisting, or impeding certain officers or employees on or about May 22, 2019. The maximum possible penalty if convicted is 20 years’ imprisonment, a $250,000 fine, a three-year term of supervised release, and a $100 special assessment.
* Jesus Gallegos Aguirre, age 49, is charged with illegal reentry after deportation on or about January 27, 2020. The maximum possible penalty if convicted is 2 years’ imprisonment, a $250,000 fine, a one-year term of supervised release, and a $100 special assessment.
* Manuel Gama Echebeste, age 36, is charged with illegal reentry after deportation on or about February 4, 2020. The maximum possible penalty if convicted is 2 years’ imprisonment, a $250,000 fine, a one-year term of supervised release, and a $100 special assessment.
* Leonardo Gonzalez-Por, age 28, and Freddy Martinez-Ramos a/k/a Diego Gonzalez-Pol, age 35, are charged in a three-count Indictment. Count I charges Leonardo Gonzalez-Por with illegal reentry after deportation on or about January 31, 2020. The maximum possible penalty if convicted is 2 years’ imprisonment, a $250,000 fine, a one-year term of supervised release, and a $100 special assessment. Count II charges Freddy Martinez-Ramos a/k/a Diego Gonzalez-Pol with illegal reentry after deportation on or about January 31, 2020. The maximum possible penalty if convicted is 2 years’ imprisonment, a $250,000 fine, a one-year term of supervised release, and a $100 special assessment. Count III charges the defendants with forcibly assaulting/resisting/impeding/opposing the duties of a federal officer on or about January 31, 2020. The maximum possible penalty if convicted for each defendant is 1 year imprisonment, a $100,000 fine, a one-year term of supervised release, and a $100 special assessment.
* Tina Hardin, age 51, of Omaha, is charged with threatening federal officials on or about January 28, 2020. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, a three-year term of supervised release, and a $100 special assessment.
* Ramiro Hernandez-Rubacalba, age 37, is charged with illegal reentry after deportation following a felony conviction on or about February 11, 2020. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, a three-year term of supervised release, and a $100 special assessment.
* Cameron M. Hogan, age 43, of Omaha, is charged with misappropriation of postal funds on or about October 1, 2018 and continuing through on or about February 4, 2020. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, a three-year term of supervised release, and a $100 special assessment.
* Francisco Jacinto Rafael, age 31, is charged with illegal reentry after deportation on or about February 11, 2020. The maximum possible penalty if convicted is 2 years’ imprisonment, a $250,000 fine, a one-year term of supervised release, and a $100 special assessment.
* Tomas Jacinto Rafael, age 37, is charged with illegal reentry after deportation on or about February 11, 2020. The maximum possible penalty if convicted is 2 years’ imprisonment, a $250,000 fine, a one-year term of supervised release, and a $100 special assessment.
* Manuel de Jesus Lopez-Aquino, age 37, is charged with illegal reentry after deportation on or about February 11, 2020. The maximum possible penalty if convicted is 2 years’ imprisonment, a $250,000 fine, a one-year term of supervised release, and a $100 special assessment.
* Cesar Marino-Alarcon a/k/a Cesar A. Marino a/k/a Cesar Alcarcon-Juarez, age 60, is charged with illegal reentry after deportation on or about August 24, 2018, following an aggravated felony conviction. The maximum possible penalty if convicted is 20 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment.
* Juan Carlos Martinez-Perez, age 25, is charged with illegal reentry after deportation on or about January 23, 2020. The maximum possible penalty if convicted is 2 years’ imprisonment, a $250,000 fine, a one-year term of supervised release, and a $100 special assessment.
* Orlando Miranda De La Cruz, age 36, is charged in a three-count Indictment. Count I charges the defendant with illegal reentry after deportation following a felony conviction on or about January 27, 2020. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, a three-year term of supervised release, and a $100 special assessment. Counts II and III charge the defendant with assaulting/resisting/impeding a federal officer on or about January 27, 2020. The maximum possible penalty for each count if convicted is 8 years’ imprisonment, a $250,000 fine, a three-year term of supervised release, and a $100 special assessment for each.
* Jose Edwvijes Moreno, age 19, is charged with distribution of 500 grams or more of methamphetamine (mixture) on or about February 11, 2020. The maximum possible penalty if convicted is life imprisonment, $10,000,000 fine, five-year term of supervised release, and a $100 special assessment.
* Skye Parde, age 37, of Nebraska City, is charged in a two-count Indictment. Count I charges the defendant with obtaining controlled substance by misrepresentation between April 1, 2018 and November 13, 2018. The maximum possible penalty if convicted is 4 years’ imprisonment, $250,000 fine, one-year term of supervised release, and a $100 special assessment. Count II charges the defendant with possession of a controlled substance on or about April 1, 2018 and November 13, 2018. The maximum possible penalty if convicted is 1 year imprisonment, a $1,000 fine, a one-year term of supervised release, and a $100 special assessment.
* Jose Luis Perez Aguilar, age 37, is charged with illegal reentry after deportation following a felony conviction on or about February 12, 2020. The maximum possible penalty if convicted is 10 years, imprisonment, a $250,000 fine, a three-year term of supervised release, and a $100 special assessment.
* Amalia Perez Gonzalez, age 49, is charged with fraud and misuse of visas and other documents on or about September 19, 2014. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, three-year term of supervised release, a $100 special assessment.
* Yuber Puc-Cisneros, age 43, is charged with illegal reentry after deportation on or about February 10, 2020. The maximum possible penalty if convicted is 2 years’ imprisonment, a $250,000 fine, a one-year term of supervised release, and a $100 special assessment.
* Eleazar Rodriguez Ramirez, age 45, is charged with illegal reentry after deportation following a felony conviction on or about September 19, 2014. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, three-year term of supervised release, a $100 special assessment.
* Marie Schaeffer, age 56, of Omaha, is charged with possession with intent to deliver 500 grams or more of methamphetamine (mixture) on November 16, 2019. The maximum possible penalty for each if convicted is life imprisonment, $10,000,000 fine, five-year term of supervised release, and a $100 special assessment.
* Jesse Shirley, age 38, of Omaha, is charged in a two-count Indictment. Count I charges the defendant with possession with intent to deliver methamphetamine (mixture) on December 24, 2019. The maximum possible penalty if convicted is 20 years’ imprisonment, $1,000,000 fine, three-year term of supervised release, and a $100 special assessment. Count II charges the defendant with using or possessing a firearm during a drug trafficking crime on or about December 24, 2019. The maximum possible penalty if convicted is life imprisonment consecutive to the methamphetamine charge, a $250,000 fine, a five-year term of supervised release, and a $100 special assessment.
Grain Valley Man Sentenced to 10 Years for Illegal FirearmRead the Press Release
JEFFERSON CITY, Mo. – A Grain Valley, Missouri, man was sentenced in federal court today for illegally possessing a firearm.
Matthew Scott Burr, 52, was sentenced by U.S. District Judge Stephen R. Bough to 10 years in federal prison without parole.
On Oct. 21, 2019, Burr pleaded guilty to possessing a firearm in furtherance of drug-trafficking crimes (the distribution of marijuana and cocaine).
Columbia, Missouri, police officers located Burr, who had active warrants for his arrest, at a Columbia apartment on Oct. 13, 2016. Two women at the apartment told officers that Burr was not living there, but had been staying there for the past week. One of the women told officers that Burr abused cocaine and talked about drug deals for thousands of dollars. She recalled Burr sitting at the kitchen table with another person with “lines of cocaine.”
After Burr was taken into custody, officers searched his duffel bag and found a loaded Hi-Point .45-caliber handgun and a dismantled cell phone with two SIM cards. The cell phone contained a series of text messages related to Burr’s distribution of cocaine and marijuana to at least three individuals in Boone County, Missouri.
According to court documents, Burr has a significant criminal history. On Oct. 27, 1986 (at age 18), he was convicted of felonies for selling marijuana and secobarbital. He had a felony conviction for driving while intoxicated at age 29, a felony conviction for unlawful use of a weapon (a golf club) at age 38, and another felony conviction for driving while intoxicated at age 41. He had a misdemeanor assault conviction at age 45, and received concurrent sentences for felony second degree burglary, felony stealing and felony possession of methamphetamine at age 46.
Burr also has a significant substance abuse history, according to court documents. He admitted that he began drinking and using marijuana as a teenager, and used or attempted to use methamphetamine from age 46 to the day of his arrest. He has also been a heavy user of cocaine.
This case was prosecuted by Assistant U.S. Attorney Lawrence E. Miller. It was investigated by the Columbia, Mo., Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Project Safe Neighborhoods
The U.S. Attorney’s Office is partnering with federal, state, and local law enforcement to specifically identify criminals responsible for significant violent crime in the Western District of Missouri. A centerpiece of this effort is Project Safe Neighborhoods, a program that brings together all levels of law enforcement to reduce violent crime and make neighborhoods safer for everyone. Project Safe Neighborhoods is an evidence-based program that identifies the most pressing violent crime problems in the community and develops comprehensive solutions to address them. As part of this strategy, Project Safe Neighborhoods focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.Ginseng Dealer Pleads Guilty to Multiple FeloniesRead the Press Release
[GREENEVILLE, Tenn.] —Michael Keith Turner of Hartford, Tennessee, pled guilty today before Senior United States District Judge R. Leon Jordan to three federal felony counts charging that Mr. Turner had created false records to conceal illegal purchases of ginseng made prior to the legal harvest season in 2015. The grand jury indictment charged that Mr. Turner had violated the Lacey Act, a federal law enacted to combat the illegal trafficking of plants and wildlife, while operating of his ginseng business, known as “High Mountain Ginseng.” This plea is the result of “Operation Green Gold,” a multi-jurisdiction investigation conducted by the U.S. Fish and Wildlife Service (USFWS) into the illegal harvesting, trafficking, and smuggling of American Ginseng.
As part of his plea agreement, Mr. Turner agreed to pay restitution to the State of Tennessee and perform 100 hours of community service. Sentencing is set for June 11, 2020, at 1:15 p.m., and Mr. Turner faces a maximum term of imprisonment of up to 15 years.
American Ginseng (Panax quinquefolius), is a slow-growing perennial species of plant found throughout the Northeast, Midwest, and Appalachian regions of the United States. Wild American Ginseng has substantial commercial value because there is a national and international market for its use as an ingredient in food, drinks, and traditional medicines. American Ginseng is protected under the Convention on International Trade in Endangered Species of Wild Fauna and Flora of 1973 (CITES) and the Endangered Species Act (ESA). The purpose of CITES is to monitor, control, and restrict, as necessary, the international trade of certain wild plant and animal species in an effort to prevent adverse impacts and ensure continued existence of those species in their natural habitat.
In Tennessee, the Tennessee Department of Environmental Conservation (TDEC) has responsibilities, under CITES, the ESA, and state law, to regulate and monitor the commercial harvest of wild American Ginseng and to ensure that populations are not imperiled. Accordingly, American Ginseng dealers are required to routinely submit paperwork to TDEC to document their ginseng purchases. Mr. Turner admitted to falsifying several of those documents in 2015 after purchasing American Ginseng before the opening of the established season for harvesting and purchasing American Ginseng. The USFWS investigates illegal ginseng trafficking associated with the international and interstate trade under the Lacey Act.
The guilty plea was announced today by Assistant Attorney General Jeffrey Bossert Clark for the Justice Department’s Environment and Natural Resources Division, the United States Attorney for the Eastern District of Tennessee, J. Douglas Overbey, and Assistant Director Edward Grace of the Office of Law Enforcement for the USFWS.
“By falsifying records in the manner he did, the defendant, and other Ginseng dealers like him, frustrate the regulatory system put in place by the USFWS, TDEC, and others making it impossible to effectively manage and protect an imperiled species. In doing so they are also fostering an interstate black market in protected wildlife and plants that is decimating this country’s natural resources. This felony plea sends a clear message that the United States will prosecute the kind of conduct Mr. Turner took responsibility for today,” stated Assistant Attorney General Bossert Clark.
The USFWS conducted the investigation in this case. The United States is represented in Court by Assistant United States Attorney Matthew T. Morris and Environmental Crimes Section Senior Trial Attorney Todd Gleason.
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Gettysburg Man Charged with Receipt and Possession of Child PornographyRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Daniel Lee Boose, age 37, of Gettysburg, Pennsylvania, was indicted on February 19, 2020, by a federal grand jury with receipt and possession of child pornography.
According to United States Attorney David J. Freed, the indictment alleges that between January 2016 and August 2019, Boose received and possessed images of child pornography, including images of prepubescent minors under the age of 12.
The case was investigated by the Federal Bureau of Investigation and the Gettysburg Borough Police Department. Assistant U.S. Attorney Christian Haugsby is prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc.
Indictments are only allegations. All persons charged 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 penalties under federal law for the offenses charged is 20 years of imprisonment, a term of up to lifetime 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 offenses charged is not an accurate indicator of the potential sentence for a specific defendant.
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Friend of Dayton mass shooter sentenced to prison for illegally possessing firearm, lying on federal firearms formRead the Press Release
DAYTON – Ethan Kollie, 24, of Kettering, a friend of the Dayton mass shooter Connor Betts, was sentenced in U.S. District Court today to 32 months in prison for illegally possessing firearms and lying on federal firearms form 4473.
Kollie pleaded guilty to the crimes in November 2019.
Federal agents interviewed Kollie on Aug. 4, 2019, in connection to the mass shooting earlier that day in Dayton.
During searches of Kollie and his residence, law enforcement officers recovered a micro Draco pistol, which was loaded with 30 rounds of ammunition, marijuana, psychedelic mushrooms, additional weapons, ammunition, drug paraphernalia and psychedelic mushroom grow equipment.
When purchasing the micro Draco pistol in May 2019, Kollie lied on an ATF form asking if he was an unlawful user of or addict to marijuana or any other controlled substance. Kollie answered no, when in fact he knew he was an unlawful user of marijuana and psychedelic mushrooms.
Kollie illegally possessed at various times four firearms in total, namely, the micro Draco pistol, a 9mm handgun, a 38 Special revolver, and an AM-15 semi-automatic rifle. The micro Draco pistol and the AM-15 are both semi-automatic weapons and could accept more than 15 rounds of ammunition.
Kollie helped Betts assemble the AM-15 used in the mass shooting and the two practiced firing the gun at a local shooting range. The assembly and practice shooting constitute two separate illegal possessions by Kollie of the gun.
“Kollie will forever be connected to the tragic events of August 4, 2019, in Dayton, Ohio,” said U.S. Attorney David M. DeVillers. “He bought the upper receiver to the AM-15, a 100-round double drum magazine and body armor for Betts. We will chase down the origins of all weapons used in violence and hold all accountable for their crimes.”
DeVillers is joined by Chris Hoffman, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division; Jonathan McPherson, Special Agent in Charge, U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF); and Dayton Police Chief Richard S. Biehl in announcing the sentence imposed today by Senior U.S. District Judge Thomas M. Rose. First Assistant United States Attorney Vipal J. Patel and Deputy Criminal Chief Dominick S. Gerace are representing the United States in this case.
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Fresno Man Charged with Distribution of Child PornographyRead the Press Release
FRESNO, Calif. — A federal grand jury returned a two-count indictment today against Gary Lee Briggs, 63, of Fresno, charging him with receipt and distribution of child pornography, U.S. Attorney McGregor W. Scott announced.
According to court documents, on Jan. 3, a concerned citizen reported to the police that Briggs appeared to be trying to lure an 8-year-old boy into Briggs’s apartment in Fresno. When officers confronted Briggs, he reported that he planned to test his ability to withstand urges that attracted him to the boy. Briggs also admitted that Facebook recently had terminated his account for having transmitted sexually explicit material. Facebook separately had notified the National Center for Missing & Exploited Children that Briggs’s Facebook account had been used to transmit sexually explicit images of minors from August through December 2019.
This case is the product of an investigation by the Central Valley Internet Crimes Against Children Task Force, specifically the Fresno Police Department, the Fresno County Sheriff’s Office, and Homeland Security Investigations. Assistant U.S. Attorney David Gappa is prosecuting the case.
If convicted, Briggs faces a maximum statutory penalty of 20 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.
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.
Fraudster Sentenced to Three-And-A-Half Years in Prison for Romance ScamRead the Press Release
SAN FRANCISCO – Randall Elijah Shumpert, a/k/a Randall Turner, a/k/a Randy Goodman, a/k/a Randall Slaughter, a/k/a Rico Fitzgerald, was sentenced to 42 months in prison for wire fraud charges in connection with a romance fraud scheme, announced United States Attorney David L. Anderson and Federal Bureau of Investigation Special Agent in Charge John F. Bennett. The sentence was handed down by the Honorable Vince Chhabria, U.S. District Judge.
Shumpert pleaded guilty to the charges on November 5, 2019. According to the plea agreement, in 2015, Shumpert, 51, of Long Beach, CA, met an individual online using an alias on a dating website. Shumpert communicated with the victim who lived in Northern California on the phone, through text messages, and in person. Shumpert convinced the victim that she was in a romantic relationship with him and told her that he owned an entertainment company. Eventually, Shumpert solicited money from her, claiming he would use the money to fund projects undertaken by his company and that she would be repaid through the company’s proceeds. Shumpert admitted in the plea agreement that his representations to the victim were false. Specifically, he never told his victim his real name, he did not operate an entertainment company, he did not promote any of the musical events that he described, and he used the money he received from the victim to make purchases for his own benefit, and not for any business purposes.
In addition, Shumpert admitted he defrauded several other victims. The plea agreement describes how Shumpert met another woman online who resides in Southern California. Shumpert again convinced this victim she was in a romantic relationship with him and that he owned an entertainment company. This time, Shumpert told his Southern California victim that his first victim was his colleague at the entertainment company. After convincing his Northern California victim to send funds to the victim in Southern California, Shumpert eventually convinced his Southern California victim to forward to him both the money from the first victim and additional funds of her own. Shumpert acknowledged that he repeated this fraud scheme on no fewer than six occasions with no fewer than six separate female victims. According to the plea agreement, Shumpert agreed that his scheme caused victims to lose more than $550,000, causing substantial financial hardship to at least one of his victims.
A federal grand jury indicted Shumpert on December 4, 2018, charging him with three counts of wire fraud, in violation of 18 U.S.C. § 1343. Shumpert pleaded guilty to all three counts.
At the sentencing hearing, Judge Chhabria commented on Shumpert’s conduct describing it as a “campaign” to identify and defraud his victims. The government’s sentencing memorandum highlighted examples of how Shumpert emotionally manipulated his victims. For example, he told one of his victims that he bought her an engagement ring. The government’s memorandum also discussed examples of the real harm Shumpert’s scheme caused, including the fact that one victim lost over $380,000 and another victim lost all the money she had set aside for her young daughter’s education.
In addition to the prison term, Judge Chhabria ordered Shumpert to pay restitution in the amount of $679,181.74 and ordered Shumpert to serve a 3-year period of supervised release. Shumpert is in custody and will begin serving his prison term immediately.
Assistant U.S. Attorneys Sailaja Paidipaty and Patrick O’Brien are prosecuting this case with the assistance of Marina Ponomarchuk and Morgan Byrne. This prosecution is the result of an investigation by the FBI.
Four Baltimore Men Facing Fourteen-Count Federal Indictment Including Murder, Carjacking, and Racketeering Conspiracy ChargesRead the Press Release
Baltimore, Maryland – A federal grand jury has indicted Karon Foster, age 26; Rashaud Nesmith, age 19; Jamai Wells, age 30; and Daniel Williams, age 29, all of Baltimore, Maryland, on federal charges related to a racketeering conspiracy, resulting in numerous murders, carjacking, robberies, and firearms crimes in Baltimore City.
The indictment, returned on February 11, 2020, was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Timothy Jones of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Baltimore Field Division; Commissioner Michael Harrison of the Baltimore Police Department; and Baltimore City State’s Attorney Marilyn Mosby.
“We will not allow armed carjacking and robbery crews to threaten our neighborhoods and victimize our communities,” said U.S. Attorney Robert K. Hur. “Having allegedly used guns to bring fear and death to our streets, these defendants now face the prospect of years in federal prison. Police officers, federal agents, and state and federal prosecutors are united and determined to bring such violent offenders to justice together.”
“Citizens of Baltimore City deserve to feel that they can drive down this city’s streets and stand in their front yard without fear of gun violence or death,” said ATF Baltimore Field Division Special Agent in Charge Timothy Jones. “We are proud of the partnerships we have with both prosecutors and law enforcement that allows ATF Special Agents and Baltimore Police Task Force Officers to get violent offenders, especially those who use firearms to commit their crimes, off the street and brought to justice.”
“The Baltimore Police Department has a deep appreciation for the dedicated work of our federal partners for indicting the people responsible for these heinous crimes,” said Commissioner Michael Harrison. “We are extremely grateful for this partnership that brought this case to closure and ensuring that justice will be served. We will continue to work side-by-side with all of our law enforcement partners in identifying and apprehending repeat violent offenders and taking them off the streets of Baltimore.”
“This federal indictment sends a loud and clear message to anyone who wishes to foster an atmosphere of fear within our neighborhoods,” said Baltimore City State’s Attorney Marilyn Mosby. “This sort of reckless violence will not be tolerated by the community, law enforcement, nor my office. I applaud the work and ongoing partnership between my office and our federal partners. Collaboration and partnership like this is key to tackling the violence in our city to achieve the progress that we seek and that our city and state deserve.”
According to the indictment, Karon Foster and Rashaud Nesmith were part of a criminal organization whose members and associates engaged in acts of violence, including murders, attempted murders, robberies, carjackings, and using firearms during those acts of violence. The purpose of this was to intimidate others who would interfere with their enterprise and that they sought to gain a certain status in the community and on social media platforms, as well as generating profits for themselves.
It is specifically alleged that between April 19, 2019 and August 8, 2019, members of the conspiracy committed six armed carjackings and four armed robberies in Baltimore City. During the armed carjacking on June 12, 2019, one victim was murdered by Foster and others. The armed robberies on July 23, 2019 and August 1, 2019 resulted in the murder of two victims by Foster, Nesmith, and others. Additionally, an armed robbery by Foster and Nesmith on August 8, 2019 resulted in a non-fatal shooting of the victim. Jamai Wells and Daniel Williams are alleged to have participated with Foster and others in at least one armed carjacking.
Charges for each defendant include:
• Karon Foster – Conspiracy to Participate in Racketeering Activity; Carjacking Conspiracy; Conspiracy to Use and Carry a Firearm During and in Relation to a Crime of Violence; three counts of Carjacking; three counts of Use, Carry, and Brandish a Firearm During and in Relation to a Crime of Violence; Carjacking Resulting in Death; and Use, Carry, and Discharge a Firearm During and in Relation to a Crime of Violence
• Rashaud Nesmith - Conspiracy to Participate in Racketeering Activity; Carjacking Conspiracy; Conspiracy to Use and Carry a Firearm During and in Relation to a Crime of Violence; Carjacking; and Use, Carry, and Brandish a Firearm During and Relation to a Crime of Violence
• Jamai Wells - Carjacking Conspiracy; Conspiracy to Use and Carry a Firearm During and in Relation to a Crime of Violence; Carjacking; Use, Carry, and Brandish a Firearm During and in Relation to a Crime of Violence; and Possession of a Firearm by a Prohibited Person
• Daniel Williams - Carjacking Conspiracy; Conspiracy to Use and Carry a Firearm During and in Relation to a Crime of Violence; Carjacking; and Use, Carry, and Brandish a Firearm During and in Relation to a Crime of Violence
An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.
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 (ATF); and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see: https://www.justice.gov/projectguardian.
United States Attorney Robert K. Hur commended the ATF and Baltimore Police Department for their work in the investigation, and the Baltimore City State’s Attorney’s Office for their work during the state prosecution phase. Mr. Hur thanked Assistant U.S. Attorney Patricia C. McLane, who is prosecuting the case.
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Former tribal police officer admits child abuse on Fort Peck ReservationRead the Press Release
GREAT FALLS– A Wolf Point man and former tribal police officer accused of touching a child’s genitals on the Fort Peck Indian Reservation pleaded guilty on Wednesday to charges, U.S. Attorney Kurt Alme said.
Mychal Thomas Damon, 28, pleaded guilty to felony child abuse. Damon faces a maximum five years in prison, a $50,000 fine and three years of supervised release.
U.S. District Judge Brian M. Morris presided and set sentencing for June 18. Damon was detained.
The prosecution said in court records that the crime occurred in May 2018 when the victim, who was under the age of 14, and her mother spent the night at Damon’s house. During the night, the victim got up and sat with Damon on a recliner. Damon placed his hand inside the girl’s shorts and touched her in the genital area.
Assistant U.S. Attorneys Cassady Adams and Lori Suek are prosecuting the case, which was investigated by the FBI and the Wolf Point Police Department.
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Former Vallejo Elementary School Teacher Sentenced to 10 Years in Prison for Attempted Enticement of a MinorRead the Press Release
SACRAMENTO, Calif. — Andrew Stephen Lund, 38, of Vallejo, was sentenced today by United States District Judge Troy L. Nunley to 10 years in prison for attempted online enticement of a minor to engage in sexual activity, U.S. Attorney McGregor W. Scott announced.
According to court documents, in April 2018, Lund engaged in online sexual chats with a person whom he believed to be a 14-year-old girl, but who was in fact an undercover agent. Lund was an elementary school teacher in Vallejo at the time he attempted to entice the minor.
“Teachers hold a special position of trust in our communities, and we are committed to keeping our children safe by investigating and prosecuting those who try to sexually exploit them,” said U.S. Attorney Scott.
“Our communities expect their children to be kept safe from the sexual exploitation by online predators. Homeland Security Investigations will use every tool available to aggressively track down anyone who seeks to harm children,” said Tatum King, the Special Agent in Charge of the Homeland Security Investigations San Francisco Field Office.
This case was the product of an investigation by the Homeland Security Investigations and the Silicon Valley Internet Crimes Against Children Task Force. Assistant U.S. Attorney Amy Schuller Hitchcock is prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. Click on the “resources” tab for information about internet safety education.
Former Technology Company Employee Indicted for Scheme to Steal from Former EmployerRead the Press Release
SAN FRANCISCO – A federal grand jury indicted Kush Ghanshyam Patel for mail fraud in connection with an alleged scheme to defraud his former employer, announced United States Attorney David L. Anderson and United States Secret Service Special Agent in Charge Thomas C. Edwards.
According to the indictment, Patel, 28, of San Francisco, Calif., worked as an event coordinator from 2013 to 2016 at a streaming-video company headquartered in San Francisco. During his time at the company, and continuing for two years afterward, Patel engaged in a scheme to steal from his former employer. In 2014, the company’s Corporate Controller authorized Patel to make a single purchase with the company’s corporate credit card for a company marketing event. Beginning around March 2015, however, Patel started making additional unauthorized purchases. As alleged in the indictment, Patel used the corporate card to make a number of fraudulent purchases, including roundtrip international airline tickets to Milan, Italy, and high-end Air Jordan and Yeezy footwear. Patel’s unauthorized purchases allegedly continued until about August 2018—years after he left the company in 2016. According to information presented to the court at Patel’s initial appearance, the proceeds from Patel’s fraudulent scheme totaled more than $350,000.
The indictment, filed on January 9, 2020, charges Patel with two counts of mail fraud, in violation of 18 U.S.C. § 1341.
Patel was arrested in Munster, Ind. on January 30, 2020, and made his initial federal court appearance on February 14, 2018, in San Francisco. Patel was released on $100,000 bond. Patel’s next appearance is scheduled for March 31, 2020, before the Honorable William Alsup, United States District Judge.
An indictment merely alleges that crimes have been committed, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt. If convicted, Patel faces a maximum sentence of 20 years in prison and a fine of $250,000, plus restitution, for each count of mail fraud. However, any sentence following conviction would be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Assistant U.S. Attorney Abraham Fine is prosecuting the case with the assistance Margoth Turcios. The prosecution is the result of an investigation by the United States Secret Service.
Former Substitute Teacher Sentenced for Possession of Child PornographyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Jeffrey Maciejewski, 26, of Penn Yan, NY, who was convicted of possession of child pornography involving prepubescent minors, was sentenced to serve 24 months in prison and five years supervised release by Chief U.S. District Judge Frank P. Geraci, Jr. The defendant will also be required to register as a sex offender, and was ordered to pay $15,000 in restitution to the victims who were depicted in the images that he possessed.
Assistant U.S. Attorney, Kyle Rossi, who handled the case, stated that in May 2018, the Los Angeles office of the FBI executed a federal search warrant at a residence in Solvang, California. Special agents seized a number of electronic items containing child pornography. A resident at that address admitted to using social networking sites such as Kik and Live.me to trade child pornography with others via the Internet. Based on that information, investigators identified several individuals, including the defendant, who were actively involved in the child pornography trade.
The information was sent to the Corning Office of the FBI, who, with the assistance of the Penn Yan Police Department, identified Maciejewski as a substitute teacher for the Penn Yan Central School District. Special agents acted quickly to obtain search warrants and locate Maciejewski, who was ultimately interviewed at the school district’s offices. During the interview, the defendant confessed that he in fact traded child pornography using social networking sites, including a cloud storage service, “Mega,” which is located in New Zealand.
With the help of the New Zealand Department of Internal Affairs, investigators obtained the contents of Maciejewski’s Mega account, which contained hundreds of images and videos of child pornography. The defendant’s electronic devices were also forensically examined. In total, Maciejewski possessed more than 600 images and videos of child pornography, some of which depicted the sexual abuse of infants and toddlers.
The sentencing is the result of an investigation by the Corning Office of the Federal Bureau of Investigation, Buffalo Division, under the direction of Special Agent-in-Charge Gary Loeffert; the Penn Yan Police Department, under the direction of Chief Thomas Dunham; and the New Zealand Department of Internal Affairs.
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Former President of Cecil Bank Facing Federal Indictment for A Bank Fraud Conspiracy, Receiving A Bribe, and Making False Statements in Bank Records and to Bank ExaminersRead the Press Release
Baltimore, Maryland – A federal grand jury has indicted the former President and Chief Executive Officer of Cecil Bank, Mary Beyer Halsey, age 59, of Rising Sun, Maryland, on the federal charges of conspiracy to commit bank fraud, bank fraud, receipt of a bribe by a bank official, false statement in bank records, and false statement to a bank examiner, in connection with an alleged straw purchase of a home in Rising Sun, Maryland, upon which Cecil Bank had foreclosed. The indictment was returned on February 13, 2020, and was unsealed at her initial appearance today.
The indictment was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Mark P. Higgins of Federal Housing Finance Agency, Office of Inspector General (FHFA-OIG), Mid-Atlantic Region; Inspector General Jay N. Lerner of Federal Deposit Insurance Corporation, Office of Inspector General (FDIC/OIG); Special Inspector General Christy Goldsmith Romero for the Troubled Asset Relief Program (SIGTARP); and Inspector General Hannibal “Mike” Ware of the Small Business Administration, Office of Inspector General (SBA/OIG).
“TARP bailed out banks to stabilize financial institutions, and SIGTARP is charged with investigating fraud in banks while the bank was in TARP,” said Special Inspector General Christy Goldsmith Romero. “Bankers that break the law to personally enrich themselves will be investigated, caught, and prosecuted. I thank U.S. Attorney Robert K. Hur and his team for standing with SIGTARP in the fight against TARP-related crime.”
Cecil Bank, located in Elkton, Maryland, had received $11,560,000 in federal taxpayer funds in 2008, under the Capital Purchase Program, as part of the Troubled Asset Relief Program. On April 20, 2011, Cecil Bank initiated the foreclosure of a single-family house located at 127 Ebenezer Church Road in Rising Sun. Later that year, Cecil Bank ordered an exterior-only appraisal of the property the showed a market value of $263,000. On September 10, 2012, Cecil Bank ordered a full appraisal of the property that showed a market value of $295,000.
According to the six-count indictment, from 2012 to 2013, Halsey conspired with Daniel Whitehurst, an employee of a real estate development company that did business in Maryland, to defraud Cecil Bank and another bank to purchase a home through false pretenses, representations and promises. Specifically, the indictment alleges that Halsey agreed to help Whitehurst to obtain a $650,000 line of credit from Cecil Bank, in exchange for Whitehurst agreeing to serve as the straw purchaser of 127 Ebenezer on behalf of Halsey.
The indictment alleges: that Halsey provided Whitehurst with her personal e-mail address, so that they could communicate about the plans to purchase 127 Ebenezer; Halsey and Whitehurst understated the physical condition of the property; and that they used inappropriate residential properties as comparables to justify the sale price of $150,000 for the property, which was less than its fair market value. Halsey sought authorization from Cecil Bank’s Board of Directors to sell 127 Ebenezer to Whitehurst, but allegedly did not disclose her personal interest in the property, nor Whitehurst’s role as her nominee to acquire the property on her behalf.
Specifically, the indictment alleges that on March 28, 2012, Halsey and Whitehurst met at a restaurant in Cecil County and Halsey agreed to review Whitehurst’s request for a $650,000 personal line of credit from Cecil Bank in return for Whitehurst agreeing to secretly buy 127 Ebenezer on Halsey’s behalf. On May 9, 2012, the indictment alleges that Halsey participated in a loan committee meeting at Cecil Bank that considered and approved a $650,000 line for credit for Whitehurst.
As detailed in the indictment, on May 23, 2012, Whitehurst e-mailed Cecil Bank his offer to purchase 127 Ebenezer for $145,000, which has previously been approved by Halsey. On the same day, during a meeting of the Cecil Bank Board of Directors, Halsey advised the Board that Whitehurst had made a purchase offer of $140,000 for 127 Ebenezer, $5,000 less the actual offer, and further noted that the property had “structural deficiencies and will require significant repairs.” The Board authorized Halsey to “negotiate the best price.” Thereafter, Whitehurst submitted a contract for him to purchase 127 Ebenezer from Cecil Bank for $150,000, which Halsey signed on August 17, 2012 on behalf of Cecil Bank.
According to the indictment, in October 2012, Whitehurst applied for and obtained a $100,000 loan from another bank to purchase 127 Ebenezer, fraudulently claiming that he was purchasing the property for himself. The indictment alleges that Halsey subsequently wired $75,000 to Whitehurst’s bank account prior to the settlement of 127 Ebenezer to cover the cost of the down payment as well as closing costs and upgrades to the property that Halsey directed Whitehurst to arrange. On November 21, 2012, the settlement of 127 Ebenezer was held with Halsey representing Cecil Bank as the seller, and Whitehurst as the purported purchaser, selling the property to Whitehurst for $150,000. In December 2012, in response to a question from a bank examiner for the Federal Reserve Bank of Richmond inquiring about the sale of the property to Whitehurst, Halsey falsely stated that she was “not totally familiar with [that] property” and that the bank had difficulty marketing the property and had not listed it with a realtor because of “issues with the county over the bonds outstanding.”
Finally, the indictment alleges that Halsey and Whitehurst exchanged e-mails concerning money Halsey owed Whitehurst for improving and maintaining 127 Ebenezer, including the monthly mortgage payment and loan fees on the $100,000 loan he had secured from Rosedale Federal to purchase the property for Halsey. Halsey allegedly issued three checks to Whitehurst totaling $60,000 in response to Whitehurst’s request.
If convicted, Halsey faces a maximum sentence of 30 years in federal prison for each offense (all 6 counts have maximum sentence of 30 years): 1 Count of Conspiracy to commit bank fraud; 2 Counts of Bank Fraud; 1 Count of Receipt of Bribe by Bank Official; 1 Count of False Statement in Records; and 1 Count of False Statement to a Bank Examiner. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors. At today’s initial appearance in U.S. District Court in Baltimore, U.S. Magistrate Judge Thomas DiGirolamo ordered that Halsey be released pending trial under the supervision of U.S. Pretrial Services.
An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.
Daniel Whitehurst, age 35, of Bel Air, Maryland, pleaded guilty under seal to mail fraud on April 6, 2018. His guilty plea was also unsealed today. Whitehurst faces a maximum sentence of 30 years in federal prison for conspiracy to commit bank fraud. U.S. District Judge Deborah K. Chasanow has not scheduled a date for sentencing.
United States Attorney Robert K. Hur commended the FHFA-OIG, Mid-Atlantic Region; FDIC/OIG; SIGTARP; and SBA/OIG for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorneys Martin J. Clarke and Harry M. Gruber, who are prosecuting the case.
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Former Head of Airline Sentenced to Prison for FraudRead the Press Release
NEWPORT NEWS, Va. – A Suffolk man was sentenced today to two years in prison for fraud in connection with the failure of People Express Airlines in 2014 and the filing of a false income tax return.
According to court documents, Michael Morisi, 59, was the former president of People Express Airlines, Inc. (PEX), which engaged in failed start-up operations at the Newport News/Williamsburg International Airport. Morisi led the push to get PEX operational, despite a failed track record of obtaining private investments and significant outstanding liabilities. A switch to a focus on the public commitment of funds led to PEX obtaining a $5 million loan from TowneBank that was guaranteed by the Peninsula Airport Commission (PAC). The loan was funded in June 2014. Within a month, PEX had drawn down nearly the entire loan amount. PEX operated for approximately three months before suspending service due. In the aftermath of the suspension of operations, various creditors sought repayment from PEX in 2014 and 2015.
At the same time, Morisi opened new bank accounts to receive insurance proceeds and avoid the seizure of funds. Morisi provided false representations to creditors (including the PAC, which paid over $4 million to satisfy the TowneBank loan) claiming that no funds were available. He made large purported back salary payments to himself and other executives in lieu of paying creditors. When the first bank account was made subject to a state tax lien, Morisi moved accounts again so that he could receive and divert additional insurance proceeds. He also filed false tax returns for three years omitting income and failed to file returns for two additional years.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Kelly R. Jackson, Special Agent in Charge, Washington, D.C. Field Office, IRS-Criminal Investigation (IRS-CI); and Colonel Gary T. Settle, Superintendent of Virginia State Police, made the announcement after sentencing by U.S. District Judge Arenda Wright Allen. Assistant U.S. Attorneys Lisa R. McKeel and Brain J. Samuels prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:19-cr-044.
Former Deputy Sheriff in Colfax County sentenced to 87 months in federal prison for drug trafficking and theft of government propertyRead the Press Release
ALBUQUERQUE, N.M. – The Honorable Judith C. Herrera, Senior United States District Judge, sentenced Vidal Sandoval, 50, of Cimarron, New Mexico, to 87 months in federal prison today for drug trafficking and theft of government property committed while Sandoval was a deputy sheriff in Colfax County, New Mexico.
In announcing the sentence, United States Attorney John C. Anderson said, “The defendant’s offenses represent a profound breach of a sacred public trust. The people of Colfax County entrusted defendant with the authority to enforce the laws and the responsibility to keep the public safe. The defendant turned around and used this authority to foster and facilitate the very type of crime he was sworn to prevent. In a day and age when service as a law enforcement officer is more challenging than ever, we will and we must ensure the integrity of law enforcement by holding accountable those few officers who betray the public trust for their personal gain.”
“When law enforcement officers betray the communities they swore to protect, it overshadows the heroic work the majority of police, deputies, and agents perform on a daily basis,” said Special Agent in Charge James C. Langenberg of the FBI’s Albuquerque Division. “The FBI, working with partners like the New Mexico State Police and Colfax County Sheriff's Office, will pursue anyone who dishonors the badge and puts the public at risk.”
“I am proud of the role we played in identifying this defendant’s criminal behavior and holding him accountable,” said Tim Johnson, Chief of the New Mexico State Police. “His actions were an egregious violation of public trust. Thorough investigation and continuing cooperation between agencies again yielded just results.”
Sandoval pleaded guilty on July 13, 2016, to one count of attempted possession with intent to distribute cocaine and two counts of theft of government property. Sandoval did not enter into a plea agreement with the prosecution. According to public court records and statements made in court, Sandoval was employed as a deputy sheriff when he committed the charged offenses. He received training in how to properly handle evidence. Sandoval knew he was forbidden to keep money and other property he seized while executing his official duties.
While on duty on Dec. 15, 2014, Sandoval stole money from two motorists whom he believed to be drug traffickers transporting the proceeds from the sale of illegal drugs. After Sandoval found $8,000 in cash in the motorists’ vehicle during a traffic stop, he called a friend, Leon Herrera, and enlisted Herrera to tell the motorists that Herrera was a law enforcement officer. At the conclusion of the traffic stop, Sandoval retained $7,500 for his personal use and did not turn it into the sheriff’s department. He returned $500 to the motorists. Sandoval later learned that the cash belonged to the FBI and that the two motorists whom he suspected of being drug traffickers were actually undercover officers.
On Feb. 28, 2015, Sandoval accepted $10,000 in cash to escort a load of illegal drugs through Colfax County into Colorado. Sandoval traveled to Wagon Mound, New Mexico in his patrol car and while wearing his uniform, where he met a motorist whom he believed to be a drug trafficker. Sandoval accepted $5,000 from the motorist. During their conversation, the motorist displayed a box containing cocaine and Sandoval understood that the motorist was going to Colorado with the intention of selling the cocaine. After instructing the motorist to drive a few car lengths behind him, Sandoval drove through Colfax County and into Colorado, where he again met with the motorist and received another $5,000. Sandoval retained the $10,000 for his personal use instead of turning it into the Colfax County Sheriff’s Department. Sandoval later learned that the $10,000 belonged to the FBI and that the motorist whom he suspected of being a drug trafficker was actually an undercover officer. Sandoval also learned that the box displayed by the undercover officer contained two kilograms of cocaine and three kilograms of “sham” cocaine.
Sandoval must serve four years of supervised release following his term of imprisonment. He must also forfeit $19,500 in proceeds from his crimes.
The FBI investigated this case with the New Mexico State Police. Assistant U.S. Attorney Sean J. Sullivan prosecuted the case.
Former Delaware State University Officer Sentenced to 15 Months' Incarceration in Federal Bribery CaseRead the Press Release
WILMINGTON, Del. – David C. Weiss, United States Attorney for the District of Delaware, announced today that Crystal Martin, former Associate Registrar at Delaware State University, was sentenced to 15 months’ incarceration today by the Honorable Richard G. Andrews, United States District Judge for the District of Delaware.
According to court documents and statements made in open court, between 2013 and 2017, Martin accepted bribes from co-defendant Stephen Williams in order to change the registration status of hundreds of out-of-state students, falsely qualifying them for in-state tuition. Using forged residency documents prepared by her co-conspirator, Martin’s actions allowed these students to pay reduced tuition, when in fact, she knew these students should be paying the higher rate for out-of-state residents. The out-of-state students paid Williams for this fraudulent service, who in turn paid Martin, and during the scheme Martin personally collected thousands of dollars in bribe payments. The loss to Delaware State University in reduced tuition payments during this four-year-period exceeded $3 million.
U.S. Attorney Weiss stated, “The citizens of Delaware depend on public officials to perform their work honestly and to put the public interest first. The defendant did the opposite when she accepted bribe after bribe to change the registration status of out-of-state students and deprive a public institution of millions of dollars. How much she personally profited matters little. She sold out Delaware State University and the people of Delaware. With the help of our dedicated law enforcement partners, my office will continue to prosecute individuals who violate the public trust.”
“We look to our University leaders to stand for integrity and fairness, but the defendant violated that trust when she took part in this scheme to steal from the taxpayers of Delaware,” said Jennifer Boone, special agent in charge of the Baltimore Division of the FBI. “Today’s sentence shows those actions have severe consequences and the FBI stands ready to hold accountable anyone who abuses the system for their own personal gain.”
"With today’s action, the two people who perpetrated this fraud scam not only against Delaware State University but America’s taxpayers have now been sentenced and held accountable for their fraudulent actions,” said Geoffrey Wood, Special Agent in Charge of the U.S. Department of Education Office of Inspector General’s Eastern Regional Office. “I am proud of the contribution of OIG Special Agents and our law enforcement partners for their work in the case and commitment to protecting Federal education funds from such abuse.”
This case was investigated by the FBI Baltimore Division’s Wilmington Office, the United States Department of Education, and Delaware State Police, with assistance from the Delaware Attorney General’s Office. The case is being prosecuted by Assistant U.S. Attorneys Whitney C. Cloud and Laura D. Hatcher.
Former DIA Employee Pleads Guilty to Leaking Classified National Defense Information to JournalistsRead the Press Release
An employee of the Defense Intelligence Agency (DIA) pleaded guilty today to charges related to his disclosure of classified national defense information (NDI) to two journalists in 2018 and 2019.
“Frese violated the trust placed in him by the American people when he disclosed sensitive national security information for personal gain,” said Assistant Attorney General for National Security John C. Demers. “He alerted our country’s adversaries to sensitive national defense information, putting the nation’s security at risk. The government takes these breaches seriously and will use all the resources at our disposal to apprehend and prosecute those who jeopardize the safety of this country and its citizens.”
“Henry Kyle Frese was entrusted with Top Secret information related to the national defense of our country,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “Frese violated that trust, the oath he swore to uphold, and engaged in felonious conduct at the expense of our country. This case should serve as a clear reminder to all of those similarly entrusted with National Defense Information that unilaterally disclosing such information for personal gain, or that of others, is not selfless or heroic, it is criminal.”
“Mr. Frese violated his sworn oath to protect the American people and uphold the Constitution of the United States by using his access to the United States’ most sensitive information and steal state secrets for nothing more than personal gain,” said Robert Wells, Acting Assistant Director of the FBI's Counterintelligence Division. “The men and women of the FBI who investigated this case swore the same oath but unlike Mr. Frese, they chose to uphold it. I am proud of the work they did to hold Mr. Frese accountable for his actions.”
"By disseminating the same classified information he had pledged to protect, Henry Kyle Frese put the US and our national defense equities in danger," said Timothy R. Slater, Assistant Director in Charge of the FBI's Washington Field Office. "The US Government and the American public depend on trusted government employees to keep such information out of the hands of our adversaries, who could use it to cause us harm. The FBI's counterintelligence mission is to protect our country's information and secrets in order to safeguard our future; and the men and women of the FBI will continue to work hard to preserve that information."
According to court documents, Henry Kyle Frese, 31, of Alexandria, was employed by DIA as a counterterrorism analyst from February 2018 to October 2019, and held a Top Secret//Sensitive Compartmented Information security clearance. United States government agencies have confirmed that in the spring and summer of 2018, News Outlet 1 published eight articles, all authored by the same journalist (Journalist 1) that contained classified NDI that related to the capabilities of certain foreign countries’ weapons systems. These articles contained classified intelligence from five intelligence reports (the Compromised Intelligence Reports) made available to appropriately cleared recipients in the first half of 2018. The topic of all of these initial five Compromised Intelligence Reports – foreign countries’ weapons systems – was outside the scope of Frese’s job duties as an analyst covering CT topics. The media articles, and the intelligence reporting from which they were derived, both contained information that is classified up to the TS//SCI level, indicating that its unauthorized disclosure could reasonably be expected to result in exceptionally grave damage to the national security. The intelligence reporting was marked as such.
According to court documents, Frese and Journalist 1 lived together at the same residential address from January 2018 to November 2018. Throughout 2018 and 2019, Frese and Journalist 1 “followed” each other on Twitter, and on at least two occasions Frese re-Tweeted Journalist 1’s Tweets announcing the publications of articles containing NDI classified at the Top Secret level.
In or about April of 2018, Journalist 1 introduced Frese to a second journalist (Journalist 2). Subsequently, Frese began texting and speaking with Journalist 2 by telephone. Between mid-2018 and late September 2019, Frese orally transmitted NDI classified at the Top Secret level to Journalist 1 on 12 separate occasions, and orally transmitted NDI classified at the Secret level to Journalist 1 on at least four occasions. Frese knew the information was classified at the Secret and Top Secret levels because the intelligence products from which he had learned the classified information had visible classification markings as to the classification level of the information, and the intelligence products accessed by Frese were stored on secure, classified government information systems.
In relation to one of the 12 times Frese orally transmitted Top Secret NDI to Journalist 1, in or about mid-April to early May 2018, Frese accessed an intelligence report unrelated to his job duties on multiple occasions, which contained NDI classified at the Top Secret//SCI level (Intelligence Report l). A week after Frese accessed Intelligence Report 1 for the second time, Frese received an April 27, 2018 Twitter Direct Message (DM) from Journalist 1 asking whether Frese would be willing to speak with Journalist 2. Frese stated that he was “down” to help Journalist 2 if it helped Journalist 1 “progress.” During the same April 27, 2018, Twitter exchange, Journalist 1 indicated that a certain United States military official told Journalist 2 that the official was not aware of the subject matter discussed in Intelligence Report 1. Frese characterized the official’s denial as “weird” and commented on the source of information contained within Intelligence Report 1.
Several days after the April 27, 2018, Twitter exchange, Frese searched on a classified United States government computer system for terms related to the topics contained in Intelligence Report 1. A few hours after searching for terms related to the topic of Intelligence Report l, Frese spoke by telephone with Journalist 1, and several hours later he spoke by telephone with Journalist 2. Immediately after the call with Journalist 2, Journalist 1 called Frese. During at least one of the calls with Journalist 1 and Journalist 2, Frese orally passed Top Secret NDI derived from Intelligence Report 1. Approximately 30 minutes after Frese spoke with the two journalists, Journalist 1 published an article (Article 1) which contained Top Secret NDI, orally communicated by Frese and derived from Intelligence Report 1 classified at the Top Secret//SCI level.
On at least 30 separate occasions in 2018, Frese conducted searches on classified government systems for information regarding the classified topics he discussed with Journalists 1 and 2. On multiple occasions in 2018 and 2019, Frese conducted searches on classified government systems because of specific requests for information from Journalists 1 and 2.
Additionally, between early 2018 and October 2019, Frese communicated with an employee of an overseas CT consulting group (Consultant 1) via social media. On at least two occasions, Frese transmitted classified NDI related to CT topics to Consultant 1, using a social media site’s direct messaging feature.
Frese pleaded guilty to the willful transmission of Top Secret national defense information, and faces a maximum penalty of 10 years in prison when sentenced on June 18, 2020, at 9:30 am. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
Assistant U.S. Attorneys Neil Hammerstrom and Danya E. Atiyeh, and Trial Attorney Jennifer Kennedy Gellie of the National Security Division’s Counterintelligence and Export Control Section are prosecuting the case.
Former DIA Employee Pleads Guilty to Leaking Classified Information to JournalistsRead the Press Release
WASHINGTON – A former employee of the Defense Intelligence Agency (DIA) pleaded guilty today to charges related to his disclosure of classified national defense information (NDI) to two journalists in 2018 and 2019.
“Henry Kyle Frese was entrusted with Top Secret information related to the national defense of our country,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “Frese violated that trust, the oath he swore to uphold, and engaged in felonious conduct at the expense of our country. This case should serve as a clear reminder to all of those similarly entrusted with National Defense Information that unilaterally disclosing such information for personal gain, or that of others, is not selfless or heroic, it is criminal.”
“Frese violated the trust placed in him by the American people when he disclosed sensitive national security information for personal gain,” said Assistant Attorney General for National Security John C. Demers. “He alerted our country’s adversaries to sensitive national defense information, putting the nation’s security at risk. The government takes these breaches seriously and will use all the resources at our disposal to apprehend and prosecute those who jeopardize the safety of this country and its citizens.”
“Mr. Frese violated his sworn oath to protect the American people and uphold the Constitution of the United States by using his access to the United States’ most sensitive information and steal state secrets for nothing more than personal gain,” said Robert Wells, Acting Assistant Director of the FBI's Counterintelligence Division. “The men and women of the FBI who investigated this case swore the same oath but unlike Mr. Frese, they chose to uphold it. I am proud of the work they did to hold Mr. Frese accountable for his actions.”
“By disseminating the same classified information he had pledged to protect, Henry Kyle Frese put the US and our national defense equities in danger,” said Timothy R. Slater, Assistant Director in Charge of the FBI's Washington Field Office. “The US Government and the American public depend on trusted government employees to keep such information out of the hands of our adversaries, who could use it to cause us harm. The FBI's counterintelligence mission is to protect our country's information and secrets in order to safeguard our future; and the men and women of the FBI will continue to work hard to preserve that information.”
According to court documents, Henry Kyle Frese, 31, of Alexandria, was employed by DIA as a counterterrorism analyst from February 2018 to October 2019, and held a Top Secret//Sensitive Compartmented Information security clearance. United States government agencies have confirmed that in the spring and summer of 2018, News Outlet 1 published eight articles, all authored by the same journalist (Journalist 1) that contained classified NDI that related to the capabilities of certain foreign countries’ weapons systems. These articles contained classified intelligence from five intelligence reports (the Compromised Intelligence Reports) made available to appropriately cleared recipients in the first half of 2018. The topic of all of these initial five Compromised Intelligence Reports – foreign countries’ weapons systems – was outside the scope of Frese’s job duties as an analyst covering CT topics. The media articles, and the intelligence reporting from which they were derived, both contained information that is classified up to the TS//SCI level, indicating that its unauthorized disclosure could reasonably be expected to result in exceptionally grave damage to the national security. The intelligence reporting was marked as such.
According to court documents, Frese and Journalist 1 lived together at the same residential address from January 2018 to November 2018. Throughout 2018 and 2019, Frese and Journalist 1 “followed” each other on Twitter, and on at least two occasions Frese re-Tweeted Journalist 1’s Tweets announcing the publications of articles containing NDI classified at the Top Secret level.
In or about April of 2018, Journalist 1 introduced Frese to a second journalist (Journalist 2). Subsequently, Frese began texting and speaking with Journalist 2 by telephone. Between mid-2018 and late September 2019, Frese orally transmitted NDI classified at the Top Secret level to Journalist 1 on 12 separate occasions, and orally transmitted NDI classified at the Secret level to Journalist 1 on at least four occasions. Frese knew the information was classified at the Secret and Top Secret levels because the intelligence products from which he had learned the classified information had visible classification markings as to the classification level of the information, and the intelligence products accessed by Frese were stored on secure, classified government information systems.
In relation to one of the 12 times Frese orally transmitted Top Secret NDI to Journalist 1, in or about mid-April to early May 2018, Frese accessed an intelligence report unrelated to his job duties on multiple occasions, which contained NDI classified at the Top Secret//SCI level (Intelligence Report l). A week after Frese accessed Intelligence Report 1 for the second time, Frese received an April 27, 2018 Twitter Direct Message (DM) from Journalist 1 asking whether Frese would be willing to speak with Journalist 2. Frese stated that he was “down” to help Journalist 2 if it helped Journalist 1 “progress.” During the same April 27, 2018, Twitter exchange, Journalist 1 indicated that a certain United States military official told Journalist 2 that the official was not aware of the subject matter discussed in Intelligence Report 1. Frese characterized the official’s denial as “weird” and commented on the source of information contained within Intelligence Report 1.
Several days after the April 27, 2018, Twitter exchange, Frese searched on a classified United States government computer system for terms related to the topics contained in Intelligence Report 1. A few hours after searching for terms related to the topic of Intelligence Report l, Frese spoke by telephone with Journalist 1, and several hours later he spoke by telephone with Journalist 2. Immediately after the call with Journalist 2, Journalist 1 called Frese. During at least one of the calls with Journalist 1 and Journalist 2, Frese orally passed Top Secret NDI derived from Intelligence Report 1. Approximately 30 minutes after Frese spoke with the two journalists, Journalist 1 published an article (Article 1) which contained Top Secret NDI, orally communicated by Frese and derived from Intelligence Report 1 classified at the Top Secret//SCI level.
On at least 30 separate occasions in 2018, Frese conducted searches on classified government systems for information regarding the classified topics he discussed with Journalists 1 and 2. On multiple occasions in 2018 and 2019, Frese conducted searches on classified government systems because of specific requests for information from Journalists 1 and 2.
Additionally, between early 2018 and October 2019, Frese communicated with an employee of an overseas CT consulting group (Consultant 1) via social media. On at least two occasions, Frese transmitted classified NDI related to CT topics to Consultant 1, using a social media site’s direct messaging feature.
Frese pleaded guilty to the willful transmission of Top Secret national defense information, and faces a maximum penalty of 10 years in prison when sentenced on June 18, 2020, at 9:30 am. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
Assistant U.S. Attorneys Neil Hammerstrom and Danya E. Atiyeh, and Trial Attorney Jennifer Kennedy Gellie of the National Security Division’s Counterintelligence and Export Control Section are prosecuting the case.
Former Chief Executive Officer of SEMAC Sentenced for Wire Fraud in Connection with His Theft of over $3.4 Million from SEMACRead the Press Release
Anthony Vespa, 55, was sentenced yesterday to 36 months in prison after having pleaded guilty to charges of Wire Fraud in connection with his employment as CEO of Southeast Michigan Accountable Care (SEMAC) announced United States Attorney Matthew Schneider
Schneider was joined in the announcement by Steven D’Antuono, Special Agent in Charge of the Detroit, Michigan office of the Federal Bureau of Investigation (FBI).
The Honorable David M. Lawson sentenced Anthony Vespa to serve 36 months in federal prison following his conviction for Wire Fraud by stealing $3,445,545.44 of SEMAC’s money. Following his release from prison, Vespa will serve a two year term of supervised release and was also ordered to pay restitution and forfeiture in the amount of $3,445,545.44 for the money he stole from SEMAC.
During the scheme to defraud, Anthony Vespa was employed as the executive director of SEMAC. SEMAC was founded in 2010 as an Accountable Care Organization and was a physician led network of physicians who partnered with Medicare to provide and improve healthcare for patients.
Included in SEMAC’s contract with Medicare was an agreement that SEMAC physicians would participate in Medicare’s shared savings program. This program provided a yearly payment to SEMAC physicians representing a percentage of the total amount SEMAC saved Medicare that year. The payment from Medicare to SEMAC for the calendar year 2016 was $3,947,000 paid on October 23, 2017. The vast majority of the money illegally taken by Vespa came from this payment.
Anthony Vespa’s scheme to defraud was uncovered during the summer of 2017 when an audit of SEMAC’s checking account was conducted and misappropriated funds were discovered. Vespa was terminated in August 2017, but in September 2017, without SEMAC’s knowledge or authority, he opened a new account for SEMAC. The new account information was communicated to Medicare and used by Medicare to transfer the 2016 shared savings bonus to SEMAC. All of this took place without SEMAC’s approval or knowledge. As soon as the Medicare bonus was deposited into his account Vespa wrote checks, wire transferred money out of the account and used most of the funds for his own benefit.
United States Attorney Matthew Schneider commended the outstanding work of the FBI in conducting a comprehensive criminal investigation into this scheme to defraud.
“Medicare’s shared savings program is intended to promote the effective delivery of medical services by rewarding physicians who provide excellent patient care in the most efficient way possible. The public has a right to trust that the tax dollars they pay to support Medicare programs are used for their intended purpose. This prosecution serves as a warning that we will relentlessly pursue anyone who steals Medicare funds for their own personal use.”
“The defendant had a fiduciary responsibility to safeguard the funds of the victims' who trusted him to that task. Even after his scheme to defraud was uncovered, the defendant continued his deceitful scheme to defraud which makes it even more reprehensible,” said FBI Special Agent in Charge D’Antuono. “Today’s sentence should send a clear message that the FBI will vigorously pursue those who seek to lie, cheat, and steal from our hardworking citizens.”
This case was investigated by special agents of the FBI and prosecuted by Assistant United States Attorney Karen Reynolds.
Former Camden County Deputy Sentenced for Child PornographyRead the Press Release
JEFFERSON CITY, Mo. – A former Camden County, Missouri, sheriff’s deputy was sentenced in federal court today for receiving child pornography.
Leonard Jerome Wilson, 41, formerly of Camdenton, Missouri, was sentenced by U.S. District Judge Stephen R. Bough to eight years in federal prison without parole. The court also sentenced Wilson to serve 10 years of supervised release following incarceration.
Under the terms of his plea agreement, Wilson was required to surrender his peace officer license and enter guilty pleas in two related state cases.
Wilson, who pleaded guilty on Oct. 17, 2019, was employed as a Camden County sheriff’s deputy at the time of the offenses. During an internal investigation for allegations of sexual misconduct and behavior while he was both on and off duty, deputies obtained a tablet and two cell phones used by Wilson. One cell phone contained a MicroSD card with 18 images of child pornography and 49 images of child erotica. All of the images were of infant, toddler, and prepubescent children.
This case was prosecuted by Assistant U.S. Attorneys Ashley S. Turner and Aaron M. Maness. It was investigated by the Camden County, Mo., Sheriff’s Department, the Missouri State Technical Assistance Team and Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI).
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."Florida Man Sentenced for Conspiracy to Re-Sell Diverted Pharmaceutical Products and Wire FraudRead the Press Release
NEW ORLEANS – U.S. Attorney Peter G. Strasser announced that DAVID RODRIGUEZ, age 49, a resident of Miami, Florida, was sentenced on Wednesday, February 19, 2020, after pleading guilty to conspiracy to commit theft of medical products and conspiracy to commit wire fraud.
RODRIGUEZ was sentenced to 36 months imprisonment with credit for time served, supervised release for a term of 3 years, and a $200.00 special assessment. RODRIGUEZ was also ordered to pay restitution in the amount of $203,000.
According to court documents, beginning sometime prior to December 2012, RODRIGUEZ and others conspired to use Marea Distributors and Logistics, LLC, in Louisiana and Marea Distributors, LLC, in Florida to re-sell fraudulently diverted pharmaceuticals. Working together, the defendants would collect dispensed drugs of known and unknown origin, counterfeit drugs, expired drugs, and drugs not authorized for resale and then fraudulently reintroduce them into the pre-retail, wholesale market for eventual sale under false pretenses to pharmacies and end users. As part of the conspiracy, the defendants created false invoices and documents of origin that were transmitted by wire to their customers.
U.S. Attorney Strasser praised the work of the United States Drug Enforcement Administration, Internal Revenue Service, Food and Drug Administration, and the Miami Dade Police Department, in investigating this matter. The case was prosecuted by Assistant United States Attorneys Theodore R. Carter, III, and David Haller.
Fitchburg Man Charged in Fentanyl and Crack Cocaine ConspiracyRead the Press Release
BOSTON – A Fitchburg man was arrested yesterday and charged in federal court in Boston with participating in a fentanyl and crack cocaine trafficking conspiracy.
Alberto Nunez, 45, was charged with one count of conspiracy to distribute and possess with intent to distribute fentanyl and cocaine base, commonly known as crack cocaine. Following an initial appearance in federal court in Boston, Nunez was detained pending a detention hearing set for Feb. 26, 2020.
According to court documents, Nunez conspired with others to distribute and possess with intent to distribute both fentanyl and cocaine base between approximately November 2019 through February 2020, in Worcester County and elsewhere in Massachusetts.
The charge of conspiracy to distribute fentanyl or cocaine base provides for a sentence of up to 20 years in prison, at least three years of supervised release and a fine of up to $1 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
The operation was conducted by a multi-agency task force through the Organized Crime Drug Enforcement Task Force (OCDETF), a partnership between federal, state and local law enforcement agencies. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply. More information on the OCDETF program is available here: https://www.justice.gov/ocdetf/about-ocdetf.
United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Commissioner Carol Mici of the Massachusetts Department of Correction; and Colonel Christopher Mason, Superintendent of the Massachusetts State Police made the announcement today. The Fitchburg and Lunenburg Police Departments also provided valuable assistance with the investigation. Assistant U.S. Attorney Alathea Porter of Lelling’s Narcotics and Money Laundering Unit is prosecuting the case.
The details contained in the charging documents are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Federal Jury Convicts Terry Lee Gilbreath on Production of Child PornographyRead the Press Release
Knoxville, Tenn. – On February 19, 2020, following a two-day trial, Terry Lee Gilbreath, 57, of Madisonville, Tennessee, was convicted by a jury on two counts of production of child pornography in the United States District Court.
Sentencing is set for June 16, 2020, at 2:00p.m., in United States District Court at Knoxville. Terry Lee Gilbreath faces a sentence of 15 to 30 years in prison, a lifetime of supervision and placement on the sex offender registry.
The evidence presented at trial proved the defendant befriended an eight-year-old girl at a yard sale, drove her home, and immediately inserted himself into the lives of her vulnerable family. The proof further showed that within a month, the defendant videoed and photographed his sexual molestation of the eight-year-old child.
“Cases such as this offend the sensibilities of all decent persons. The perpetrators are reprehensible for their victimization of vulnerable and innocent children,” said United States Attorney J. Douglas Overbey. “Those who use and abuse our children for pornographic purposes and the gratification of their sexual perversions will be prosecuted to the full extent of the law and deserve the harshest of punishments.
Law enforcement agencies taking part in the joint investigation which led to indictment and subsequent conviction of Terry Lee Gilbreath included Homeland Security Investigations (HSI), Knoxville Police Department Internet Crimes Against Children Unit, Madisonville Police Department and Monroe County Sheriff’s office.
Assistant U.S. Attorney Jennifer Kolman represented the United States.
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Federal Indictment Charges Charlotte Man with Sex Trafficking A Minor and Child PornographyRead the Press Release
CHARLOTTE, N.C. – A bill of indictment was unsealed in federal court today, charging Bryan Lee Ragon, 43, of Charlotte, with sex trafficking of a minor, production of child pornography, transportation of a minor, and receipt of child pornography, announced Andrew Murray, U.S. Attorney for the Western District of North Carolina. The indictment was returned by a grand jury sitting in Charlotte on Tuesday, February 18, 2020, and was unsealed following Ragon’s arrest this morning.
Ronnie Martinez, Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) in Charlotte, and Robert Schurmeier, Director of the North Carolina State Bureau of Investigation, join U.S. Attorney Murray in making today’s announcement.
The criminal indictment charges Ragon with allegedly sex trafficking a minor in the Western District of North Carolina, Wisconsin, and elsewhere, from December 16, 2015, to December 31, 2015. The indictment also alleges that in December 2015, Ragon knowingly produced a visual depiction of the minor engaging in sexually explicit conduct, and that he knowingly transported the minor across state lines for the purpose of engaging in illegal sexual activity. The indictment further alleges that, in December 2015, Ragon received material containing child pornography.
Ragon had his initial appearance in federal court in Charlotte before U.S. Magistrate Judge David C. Keesler and remains in federal custody. Ragon’s next court hearing has been scheduled for Tuesday, February 25, 2020, at 11:35 a.m.
The sex trafficking of a minor charge carries a mandatory minimum penalty of 10 years and a maximum of life in prison. The production of child pornography charge carries a mandatory minimum penalty of 15 years and a maximum of 30 years in prison. The transportation of a minor charge carries a mandatory minimum penalty of 10 years and a maximum of life in prison. The receipt of child pornography charge carries a mandatory minimum of five years and a maximum of 20 years in prison.
The charges contained in the indictment are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
In making today’s announcement, U.S. Attorney Murray commended HSI and SBI for their investigation of this case, which led to the federal charges, and thanked the Charlotte-Mecklenburg Police Department for their assistance with Ragon’s arrest today. U.S. Attorney Murray also thanked the Wisconsin Department of Justice Division of Criminal Investigation for their invaluable assistance and the U.S. Attorney’s Office for the Western District of Wisconsin for their continued cooperation and coordination.
Assistant U.S. Attorney Emily Wasserman, of the U.S. Attorney’s office in Charlotte, is handling the prosecution.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Drug Traffickers Glorified in Narco Ballad Sentenced to 37 Years in Federal PrisonRead the Press Release
Two drug traffickers from Michoacán, Mexico were sentenced to a combined 37 years in federal prison today after prosecutors admitted into evidence a song glorifying their criminal lifestyle, announced U.S. Attorney for the Northern District of Texas Erin Nealy Cox.
Felix Giovanni Ruiz Mendoza, 27, pleaded guilty in November 2018 to conspiracy to possess with intent to distribute methamphetamine and was sentenced today by U.S. District Judge Sam A. Lindsay to 18 years imprisonment. His younger brother, coconspirator Gustavo Ruiz Mendoza, 24, pleaded guilty in January 2019 to the same charge and was sentenced today to 19 years imprisonment.
The brothers, who were in the United States illegally at the time of their arrests, were found in control of more than 90 kilograms of meth with a wholesale value of approximately $500,000 in June 2018.
In plea papers, the Ruiz Mendozas admitted they conspired to prepare and deal drugs out of two residences in Balch Springs, Texas. The elder brother admits that he used one property as a “methamphetamine conversion lab” and the other as a meth distribution house, and that some of the money he made from dealing was sent to Mexico to cover importation fees.
At the sentencing hearing today, prosecutors played a narco corrido, a narrative ballad used by the cartels to glorify their violent criminal lifestyle. The song, Guiovani Ruiz (listen here), is written from the perspective of the elder Mr. Ruiz Menodza, and details the law enforcement raid of his meth house and ensuing imprisonment: “The FBI, SWAT, police and other government dogs fell upon me,” the song says in Spanish. “I will pay them for my crime.”
Experts at the sentencing testified that the band – which is not accused of criminal activity – likely had to get permission from the at least one of the cartels in control of the area around Michoacán in order to write and perform the piece, which the drug traffickers used as propaganda glamorizing their way of life. (Cartel control of Michoacán has shifted back and forth over the years between La Familia Michoacán, Los Caballeros Templarios, Los Viagras, and Cartel Nueva Generación de Jalisco, or CJNG.)
The Federal Bureau of Investigation’s Dallas Field Office, the Dallas Police Department, Balch Springs Police Department, and IRS - Criminal Investigation conducted the investigation. Assistant U.S. Attorney George Leal prosecuted both cases.
The cases are part of an Organized Crime Drug Task Force (OCDETF) investigation. The OCDETF program was established in 1982 to attack and reduce the supply of illegal drugs entering the United States and to diminish violence and other criminal activity associated with the drug trade. The OCDETF program works with federal, state, and local law enforcement agencies to identify, disrupt, and dismantle, drug traffickers and drug trafficking networks.
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Dorchester Man Sentenced for Federal Narcotics and Firearms ChargesRead the Press Release
BOSTON – A Dorchester man was sentenced today in federal court in Boston for his role in a wide-ranging operation that distributed heroin and fentanyl throughout Cape Cod.
James Ramirez, 57, was sentenced by U.S. District Court Judge William G. Young to 66 months in prison and five years of supervised release. The Court also ordered forfeiture of Ramirez’s Boston condominium, his Ford F-150 truck and a money judgment of $250,000. In November 2017, Ramirez pleaded guilty to one count of conspiracy to distribute and possess with intent to distribute cocaine and 400 grams or more of fentanyl as well as possession of a firearm by a convicted felon.
Ramirez was one of four defendants arrested as part of a drug ring that shipped large quantities of fentanyl, cocaine and heroin from Boston to Cape Cod, where it was then redistributed. Ramirez and alleged co-defendant Kelvin Chalas, a/k/a Jose Solivan, supplied drugs to Alex and Kevin Fraga, brothers located on Cape Cod. On Aug. 16, 2017, Kevin and Alex Fraga were arrested by federal investigators after large quantities of fentanyl, heroin and cocaine were seized. Approximately one week later, Chalas and Ramirez were arrested, and law enforcement seized fentanyl pills and powdered fentanyl from a drug stash house in Dorchester, Ramirez’s home in Dorchester, and a safety deposit box at Santander Bank in Dorchester, where officers investigators also seized a pistol.
Alex Fraga was sentenced to 131 months in prison and Kevin Fraga was sentenced to 45 months in prison. Chala’s case remains pending and he is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
United States Attorney Andrew E. Lelling; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; Colonel Christopher Mason, Superintendent of the Massachusetts State Police; Kelly D. Brady, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives, Boston Field Division; Kristina O’Connell, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston; and Cape and Islands District Attorney Michael O’Keefe made the announcement today. The Brewster, Harwich, Sandwich, Mashpee, Chatham, Yarmouth, and Barnstable Police Departments and the Barnstable County Sheriff’s Department provided assistance with the investigation. Assistant U.S. Attorneys Alathea Porter, and Philip Cheng of Lelling’s Criminal Division prosecuted the case.
Dominican National Sentenced for Fentanyl Trafficking and Aggravated Identity TheftRead the Press Release
BOSTON – A Dominican national was sentenced today in federal court in Boston for fentanyl trafficking and using the Social Security number of a U.S. citizen to obtain a driver’s license.
Santo Patricio Lugo Santos, 43, was sentenced by U.S. District Court Judge Richard G. Stearns to 72 months in prison. Lugo Santos will be subject to deportation upon completion of his sentence. In October 2019, Lugo Santos pleaded guilty to two counts of distribution of and possession with intent to distribute more than 40 grams of fentanyl, one count of false representation of a Social Security number, and one count of aggravated identity theft. Lugo Santos has been in custody since his arrest on Feb. 14, 2019.
According to charging documents, Lugo Santos made two sales of fentanyl to a cooperating witness in October 2016 and January 2017. Additionally, in July 2018, he used the Social Security number of a U.S. citizen to obtain a Massachusetts driver’s license.
United States Attorney Andrew E. Lelling and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, made the announcement today. The case was investigated by the OCDETF Strike Force with assistance from the Suffolk County Sheriff’s Office and the Boston Police Department. Assistant U.S. Attorney Stephen W. Hassink of Lelling’s Narcotics and Money Laundering Unit is prosecuting the case.
The operation was conducted by a multi-agency task force through the Organized Crime Drug Enforcement Task Force (OCDETF), a partnership between federal, state and local law enforcement agencies. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply. More information on the OCDETF program is available here: https://www.justice.gov/ocdetf/about-ocdetf.
Dallas Felon Sentenced for Federal Firearms ViolationsRead the Press Release
TYLER, Texas – A 46-year-old Dallas man has been sentenced to federal prison for firearms violations in the Eastern District of Texas, announced U.S. Attorney Joseph D. Brown today.
Steven Ray Breckenridge pleaded guilty on Oct. 7, 2019, to being a felon in possession of a firearm and was sentenced to 51 months in federal prison today by U.S. District Judge Jeremy D. Kernodle.
According to information presented in court, on June 19, 2019, Breckenridge was stopped in Canton, Texas by law enforcement. A search of the vehicle was conducted as Breckenridge had an active warrant. During the search, officers located a pistol. Further investigation revealed Breckenridge was a convicted felon, having been previously convicted of eight felonies. It is a violation of federal law for a convicted felon to own or possess a firearm or ammunition. Breckenridge was indicted by a federal grand jury on Aug. 21, 2019, and charged with federal firearms violations.
This case was prosecuted as part of the Project Safe Neighborhoods Initiative. Project Safe Neighborhoods is aimed at reducing gun and gang violence, deterring illegal possession of guns, ammunition and body armor, and improving the safety of residents in the Eastern District of Texas. Participants in the initiative include community members and organizations as well as federal, state and local law enforcement agencies.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Van Zandt County Sheriff’s Office and prosecuted by Assistant U.S. Attorney Frank Coan.
DEA announces launch of Operation Crystal ShieldRead the Press Release
NEW ORLEANS – Drug Enforcement Administration Acting Administrator Uttam Dhillon today announced the DEA will direct enforcement resources to methamphetamine "transportation hubs" — areas where methamphetamine is often trafficked in bulk and then distributed across the country. While continuing to focus on stopping drugs being smuggled across the border, DEA’s Operation Crystal Shield will ramp up enforcement to block their further distribution into America’s neighborhoods.
DEA has identified eight major methamphetamine transportation hubs where these efforts will be concentrated: Atlanta, Dallas, El Paso, Houston, Los Angeles, New Orleans, Phoenix, and St. Louis. Together, these DEA Field Divisions accounted for more than 75 percent of methamphetamine seized in the U.S. in 2019.
Operation Crystal Shield builds on existing DEA initiatives that target major drug trafficking networks, including the Mexican cartels that are responsible for the overwhelming majority of methamphetamine trafficked into and within the United States. DEA domestic seizures of methamphetamine increased 127 percent from 49,507 pounds to 112,146 pounds from FY 2017 to FY 2019. During the same time frame, the number of DEA arrests related to methamphetamine rose nearly twenty percent.
"For decades, methamphetamine has been a leading cause of violence and addiction – a drug threat that has never gone away," said Acting Administrator Dhillon. "With a 22 percent increase in methamphetamine-related overdose deaths, now is the time to act, and DEA is leading the way with a surge of interdiction efforts and resources, targeting regional transportation hubs throughout the United States. By reducing the supply of meth, we reduce the violence, addiction, and death it spreads."
DEA New Orleans Field Division Special Agent in Charge Brad L. Byerley said, "Methamphetamine destroys lives and is one of the primary drivers of violence across the nation, including here in our four-state region. Operation Crystal Shield will build on DEA’s ongoing
efforts to hold meth dealers accountable. We will continue to seize their profits, shut down their distribution networks, and put dealers where they belong – behind bars. By continuing to target local distribution networks in this transportation hub, DEA and our federal, state and local law enforcement partners are working to reduce violent crime and improve the quality of life for the citizens in our area and beyond."
"Methamphetamine is a treacherous drug and this enforcement operation demonstrates the arduous work of our law enforcement partners in their efforts to weaken its destructive impact on our communities," said Peter G. Strasser, United States Attorney for the Eastern District of Louisiana. "Our Office remains committed to employing all available resources to combat this menace. We, along with the DEA New Orleans Division, state and local law enforcement partners will continue to vigorously pursue the investigation and prosecution of these important cases and continue working together to make our communities safer."
The DEA New Orleans Field Division, which covers Louisiana, Mississippi, Alabama, and Arkansas, is seeing a significant increase in the amount of methamphetamine seized, up 58 percent in the last year. As a transportation hub, we are committed to using all our enforcement resources to attack this problem. Specifically, we are enhancing our interdiction efforts, which target transportation hub facilities utilized by the drug trafficking networks. Further, we have assigned additional personnel, to include more Task Force Officers, to focus on interdiction investigations.
Virtually all methamphetamine in the United States comes through major ports of entry along the Southwest Border and is transported by tractor trailers and personal vehicles along the nation’s highways to major transfer centers around the country. It is often found in poly-drug loads, alongside cocaine, heroin, and fentanyl.
Parents and children are encouraged to educate themselves about the dangers of drugs by visiting DEA’s interactive websites at www.JustThinkTwice.com , www.GetSmartAboutDrugs.com and www.dea.gov .
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DEA Announces Launch of Operation Crystal ShieldRead the Press Release
Attorney General William P. Barr and Drug Enforcement Administration Acting Administrator Uttam Dhillon today announced that the DEA will direct enforcement resources to methamphetamine “transportation hubs” — areas where methamphetamine is often trafficked in bulk and then distributed across the country. While continuing to focus on stopping drugs being smuggled across the border, DEA’s Operation Crystal Shield will ramp up enforcement to block their further distribution into America’s neighborhoods.
DEA has identified eight major methamphetamine transportation hubs where these efforts will be concentrated: Atlanta, Dallas, El Paso, Houston, Los Angeles, New Orleans, Phoenix, and St. Louis. Together, these DEA Field Divisions accounted for more than 75 percent of methamphetamine seized in the U.S. in 2019.
“While meth is not a new drug, it has seen a troubling resurgence over the past few years,” said Attorney General William P. Barr. “Manufactured mostly in Mexican labs and smuggled into the United States across the southwest border, meth is a drug that is both cheap and potent, creating a deadly combination. Just as the Trump Administration has acted swiftly to stem the tide of opioid fatalities, it will use every weapon in its arsenal – such as the DEA’s Operation Crystal Shield - to stop dangerous methamphetamine from reaching American neighborhoods and harming American families.”
Operation Crystal Shield builds on existing DEA initiatives that target major drug trafficking networks, including the Mexican cartels that are responsible for the overwhelming majority of methamphetamine trafficked into and within the United States. From FY 2017 to FY 2019, DEA domestic seizures of methamphetamine increased 127 percent from 49,507 pounds to 112,146 pounds. During the same time frame, the number of DEA arrests related to methamphetamine rose nearly twenty percent.
“For decades, methamphetamine has been a leading cause of violence and addiction – a drug threat that has never gone away,” said Acting Administrator Dhillon. “With a 22 percent increase in methamphetamine-related overdose deaths, now is the time to act, and DEA is leading the way with a surge of interdiction efforts and resources, targeting regional transportation hubs throughout the United States. By reducing the supply of meth, we reduce the violence, addiction, and death it spreads.”
Virtually all methamphetamine in the United States comes through major ports of entry along the Southwest Border and is transported by tractor trailers and personal vehicles along the nation’s highways to major transfer centers around the country. It is often found in poly-drug loads, alongside cocaine, heroin, and fentanyl.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
DEA Announces Launch of Operation Crystal ShieldRead the Press Release
ST. LOUIS – Drug Enforcement Administration Acting Administrator Uttam Dhillon today announced that the DEA will direct enforcement resources to methamphetamine “transportation hubs” — areas where methamphetamine is often trafficked in bulk and then distributed across the country. While continuing to focus on stopping drugs being smuggled across the border, DEA’s Operation Crystal Shield will ramp up enforcement to block their further distribution into America’s neighborhoods.
DEA has identified eight major methamphetamine transportation hubs where these efforts will be concentrated: Atlanta, Dallas, El Paso, Houston, Los Angeles, New Orleans, Phoenix, and the St. Louis Division. Together, these DEA Field Divisions accounted for more than 75 percent of methamphetamine seized in the U.S. in 2019.
Operation Crystal Shield builds on existing DEA initiatives that target major drug trafficking networks, including the Mexican cartels that are responsible for the overwhelming majority of methamphetamine trafficked into and within the United States. From fiscal year 2017 to 2019, DEA domestic seizures of methamphetamine increased 127 percent from 49,507 pounds to 112,146 pounds. The St. Louis Division seizures were up 56 percent from fiscal year 2018 to 2019. During the same timeframe, the number of DEA arrests related to methamphetamine rose nearly 20 percent.
“For decades, methamphetamine has been a leading cause of violence and addiction – a drug threat that has never gone away,” said Acting Administrator Dhillon. “With a 22 percent increase in methamphetamine-related overdose deaths, now is the time to act, and DEA is leading the way with a surge of interdiction efforts and resources, targeting regional transportation hubs throughout the United States. By reducing the supply of meth, we reduce the violence, addiction, and death it spreads.”
The DEA St. Louis Division covers the entire states of Missouri, Kansas and the southern portion of Illinois, which encompasses hundreds of miles of interstate roadways. “These roadways are routinely utilized by drug trafficking organizations to transport methamphetamine and other deadly drugs into Missouri and Kansas,” said Special Agent in Charge William J. Callahan. “Operation Crystal Shield will allow our DEA agents and law enforcement partners the opportunity to strengthen our enforcement strategies in an effort to interdict drugs and disrupt drug trafficking organizations causing harm to the citizens of our region.”
Special Agent in Charge Callahan added, “The DEA seeks to hold methamphetamine drug traffickers accountable through multi-jurisdictional investigations which target all facets of the drug trafficking organizations, and bring them to justice by United States Attorneys in our area of operation.”
“Methamphetamine is by far the most prevalent illegal drug being sold on the streets of our community, and therefore warrants a focused plan of attack,” said U.S. Attorney Tim Garrison. “Meth trafficking makes up more than 60 percent of the federal drug cases we prosecute in the Western District of Missouri. Operation Crystal Shield provides a strategy to stanch the flow of methamphetamine being smuggled into our state by the Mexican cartels. If we can reduce the supply of methamphetamine, we can reduce the violence and other criminal activity associated with drug trafficking.”
“Methamphetamine use has historically been extremely prevalent in the Midwest. After successful legislation restricting access to precursors, we have seen an uptick in the production and distribution of methamphetamine from Mexico. Because St. Louis has become a transportation hub city for this activity, the U.S. Attorney’s Office for the Eastern District of Missouri remains committed to partnering with DEA to combat the flow of this dangerous drug,” said U.S. Attorney Jeff Jensen.
Virtually all methamphetamine in the United States comes through major ports of entry along the Southwest Border and is transported by tractor trailers and personal vehicles along the nation’s highways to major transfer centers around the country. It is often found in poly-drug loads, alongside cocaine, heroin, and fentanyl.
Columbus man sentenced for role in cocaine and heroin distribution operationRead the Press Release
WHEELING, WEST VIRGINIA – Brandon Suel, of Columbus, Ohio, was sentenced today to 21 months incarceration for his role in a cocaine and heroin distribution operation, U.S. Attorney Bill Powell announced.
Suel, age 31, pled guilty to one count of “Aiding and Abetting the Distribution of Cocaine Base within 1,000 feet of a Protected Location” in July 2019. Suel admitted to selling cocaine near Jensen Playground on Wheeling Island in May 2018.
Assistant U.S. Attorney Stephen L. Vogrin prosecuted the case on behalf of the government. The investigation was led by the Ohio County Drug & Violent Crimes Task Force, a HIDTA-funded initiative. The task force is comprised of the Drug Enforcement Administration, West Virginia State Police, the Ohio County Sheriff’s Office, and the Wheeling Police Department. Those assisting in the arrests are the United States Marshal Service; Marshall County Drug & Violent Crimes Task Force, a HIDTA-funded initiative; the Hancock-Brooke-Weirton Drug & Violent Crimes Task Force, a HIDTA-funded initiative; the Martins Ferry, Ohio Police Department; and the Columbus, Ohio Police Department.
U.S. District Judge John Preston Bailey presided.
Columbus man sentenced for role in cocaine and heroin distribution operationRead the Press Release
WHEELING, WEST VIRGINIA – Joshua Ford, of Columbus, Ohio, was sentenced today to 21 months incarceration for his role in a cocaine and heroin distribution operation, U.S. Attorney Bill Powell announced.
Ford, also known as “Fatboy,” age 30, pled guilty to one count of “Aiding and Abetting the Distribution of Cocaine Base within 1,000 feet of a Protected Location” in June 2019. Ford admitted to selling cocaine near Jensen Playground on Wheeling Island in May 2018.
Assistant U.S. Attorney Stephen L. Vogrin prosecuted the case on behalf of the government. The investigation was led by the Ohio County Drug & Violent Crimes Task Force, a HIDTA-funded initiative. The task force is comprised of the Drug Enforcement Administration, West Virginia State Police, the Ohio County Sheriff’s Office, and the Wheeling Police Department. Those assisting in the arrests are the United States Marshal Service; Marshall County Drug & Violent Crimes Task Force, a HIDTA-funded initiative; the Hancock-Brooke-Weirton Drug & Violent Crimes Task Force, a HIDTA-funded initiative; the Martins Ferry, Ohio Police Department; and the Columbus, Ohio Police Department.
U.S. District Judge John Preston Bailey presided.
Columbia Man Sentenced to 15 Years for Illegal FirearmRead the Press Release
JEFFERSON CITY, Mo. – A Columbia, Missouri, man was sentenced in federal court today for illegally possessing a firearm.
Samuel Ernest Haley III, 46, was sentenced by U.S. District Judge Stephen R. Bough to 15 years in federal prison without parole. Haley was sentenced as an armed career criminal due to his prior felony convictions.
On Oct. 21, 2019, Haley pleaded guilty to being a felon in possession of a firearm.
Haley, driving a 2018 Toyota Corolla, was stopped by Columbia police officers on April 4, 2018, after he merged off Interstate 70 onto the Lake of the Woods Road exit without using his turn signal. As officers were questioning Haley outside his car, he jumped into the driver’s seat and attempted to drive off. As Haley attempted to put the car in drive with his foot on the gas pedal, an officer struggled with him to shut off the car. Another officer deployed his Taser on Haley in order to gain compliance and take him into custody. After several cycles of the Taser, Haley began to comply with the officers’ commands. He was placed in handcuffs and removed from the car.
When officers searched Haley’s car, they found a loaded KAHR Arms CW45 semi-automatic handgun. They also found a soft zipper case that contained approximately 1.56 grams of crack cocaine.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Haley has two prior felony convictions for assault, and prior felony convictions for armed criminal action and possession with intent to distribute a controlled substance.
According to court documents, over the course of Haley’s life, he has shot three different people on three different occasions, including his own daughter. In 2016, Haley was charged with driving a moving truck through the front wall of his former paramour’s home (because he was upset she was sleeping with another man) while her teenage daughter was asleep upstairs. Haley has been convicted of a litany of violent and dangerous domestic violence offenses, as well as a host of other crimes including property offenses and resisting arrest. Following Haley’s arrest and detention in this case, according to court documents, he has been involved in four fights with other inmates and assaulted a corrections officer.
This case was prosecuted by Special Assistant U.S. Attorney Aaron M. Jolly. It was investigated by the Columbia, Mo., Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Project Safe Neighborhoods
The U.S. Attorney’s Office is partnering with federal, state, and local law enforcement to specifically identify criminals responsible for significant violent crime in the Western District of Missouri. A centerpiece of this effort is Project Safe Neighborhoods, a program that brings together all levels of law enforcement to reduce violent crime and make neighborhoods safer for everyone. Project Safe Neighborhoods is an evidence-based program that identifies the most pressing violent crime problems in the community and develops comprehensive solutions to address them. As part of this strategy, Project Safe Neighborhoods focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.Citizen of El Salvador Pleads Guilty to Illegally Reentering U.S.Read the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that MARIO ANTONIO HERRERA, also known as Antonio Morales, 36, a citizen of El Salvador last residing in East Hartford, pleaded guilty today before U.S. District Judge Jeffrey A. Meyer in New Haven to illegally reentering the U.S. after being deported.
According to court documents and statements made in court, on March 26, 2010, Herrera was deported from the U.S. to El Salvador. Herrera’s removal followed his conviction in Manchester Superior Court in July 2008 for assault in the second degree. Herrera’s criminal history also includes Connecticut convictions for carrying a dangerous weapon, reckless endangerment, and other offenses.
On July 1, 2019, Herrera, using the name Antonio Morales, was arrested by the East Hartford Police Department and charged with disorderly conduct and interfering/resisting arrest.
Herrera has been detained since his arrest. Judge Meyer scheduled sentencing for May 14, 2020, at which time Herrera faces a maximum term of imprisonment of 10 years.
This matter is being investigated by the U.S. Department of Homeland Security, Immigration and Customs Enforcement. The case is being prosecuted by Assistant U.S. Attorney Deborah R. Slater.
Cedar Rapids Man Sentenced to Federal Prison for Selling MethRead the Press Release
A man who possessed or distributed over a kilogram of methamphetamine was sentenced on February 19, 2020, to more than twelve years in federal prison.
Nicholas John Gruner, age 38, from Cedar Rapids, Iowa, received the prison term after an October 29, 2019 guilty plea to one count of possession with intent to distribute a controlled substance.
At the guilty plea, Gruner admitted that he distributed more than 220 grams of methamphetamine to an individual cooperating with law enforcement on the morning of August 13, 2019. In the afternoon of August 13, 2019, law enforcement conducted a traffic stop on Gruner’s vehicle and they seized more than 220 grams of methamphetamine. During a later search of Gruner’s apartment, law enforcement seized more than 580 grams of methamphetamine, a rifle, ammunition, and other items indicative of drug distribution.
Gruner was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. He must also serve a five-year term of supervised release after the prison term. There is no parole in the federal system.
Gruner is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Special Assistant United States Attorney Dillan Edwards and was investigated by the Drug Enforcement Administration (DEA) Task Force consisting of the DEA; the Linn County Sheriff's Office; the Cedar Rapids Police Department; the Marion Police Department; and the Iowa Division of Narcotics Enforcement.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 19-CR-85.
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Bus Driver Pleads Guilty to Child Enticement OffenseRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that JOSE MANUEL SANTOS, 37, of Bridgeport, pleaded guilty today before U.S. District Judge Jeffrey A. Meyer in New Haven to enticing a minor to engage in illegal sexual activity.
According to court documents and statements made in court, Santos was employed as a bus/van driver in Connecticut with responsibilities that included transporting children going to and from a middle school in Wallingford. In October 2018, law enforcement received information that Santos was sexually soliciting a 13-year-old girl who was a passenger on his route. Analysis of the minor victim’s cell phone revealed more than 200 text messages or calls between Santos and the victim, a sexually explicit photo of Santos that Santos sent to the minor victim, and multiple messages in which Santos coerced the victim to send him a sexually explicit photo of her.
Santos has been detained since his arrest on November 2, 2018. After his arrest, Santos communicated with others in an attempt to prevent the minor victim from testifying against him.
Judge Meyer scheduled sentencing for May 21, 2020, at which time Santos faces a mandatory minimum term of imprisonment of 10 years and a maximum term of life imprisonment.
This matter is being investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI), the Federal Bureau of Investigation and Connecticut Department of Correction. The case is being prosecuted by Assistant U.S. Attorneys Nancy V. Gifford and Brian P. Leaming.
This prosecution is part of the U.S. Department of Justice’s Project Safe Childhood Initiative, which is aimed at protecting children from sexual abuse and exploitation. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
To report cases of child exploitation, please visit www.cybertipline.com.
Biotech Company Investor Sentenced for Securities FraudRead the Press Release
BOSTON – An investor in PixarBio Corp., a Boston-based biotech company, was sentenced today on securities fraud charges in connection with a scheme to defraud investors and manipulate the company’s shares.
M. Jay Herod, 52, of Cambridge, was sentenced by U.S. Senior District Court Judge Douglas P. Woodlock to six months in prison, three years of supervised release with 400 hours of community service per year, and ordered to pay forfeiture/restitution of $120,000. In February 2020, Herod pleaded guilty to one count of securities fraud and one count of obstruction of an agency proceeding and agreed to cooperate with the government. In April 2018, Herod was charged with co-defendant Frank Reynolds, the former chief executive officer of PixarBio. Reynolds was convicted by a federal jury in October 2019, and sentenced earlier this week to seven years in prison.
Herod admitted that, beginning in or about December 2016, he engaged in manipulative trades in PixarBio stock that were intended to simulate market demand for the stock and thereby artificially inflate its price and trading volume. The trades included overlapping orders to buy and sell PixarBio shares at the same price per share (a manipulative technique known as “matched trading”), as well as small purchases submitted shortly before the market closed that were intended to boost the closing price (a technique known as “marking the close”). Herod admitted to sharing the proceeds of his trading with Reynolds and PixarBio itself.
Herod also admitted that, between January 2017 and September 2017, he made materially false statements to the Securities and Exchange Commission (SEC) and provided a back-dated document to the SEC, with the intent to obstruct the SEC’s investigation of trading in PixarBio shares.
United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Carl W. Hoecker, Inspector General of the U.S. Securities and Exchange Commission Office of Inspector General, made the announcement today. Assistant U.S. Attorneys Sara Miron Bloom and Leslie A. Wright of Lelling’s Securities and Financial Fraud Unit prosecuted the case.
Billerica, Massachusetts Man Sentenced to 15 Months for Being a Felon in Possession of a Firearm and AmmunitionRead the Press Release
CONCORD - Ricardo Jacques Pierre, 29, of Billerica, Massachusetts, was sentenced to 15 months in federal prison for being a felon in possession of a firearm and ammunition, United States Attorney Scott W. Murray announced today.
According to court documents and statements made in court, on April 14, 2019, the Pelham Police Department received a complaint of an erratic driver. Law enforcement officers stopped the vehicle. A strong odor of marijuana was coming from the vehicle.
Pierre was identified as the operator, owner, and sole occupant of the vehicle. The police executed a search warrant on the vehicle and found a Smith & Wesson, Model 66-2 .375 Magnum caliber firearm and ammunition.
Pierre is a convicted felon and prohibited from possessing firearms and ammunition.
“If we are going to prevent violent crime, we must keep firearms out of the hands of convicted felons,” said U.S. Attorney Murray. “We will strive to maintain public safety by working with our law enforcement partners to identify and prosecute criminals who possess firearms unlawfully.”
“This sentencing demonstrates the outstanding partnership between ATF and the Pelham Police Department as well as the commitment we share to work together to interdict illegal firearms and arrest the criminals that compromise the safety of our communities” Kelly D. Brady, Special Agent in Charge.
This matter was investigated by the Alcohol, tobacco, Firearms and Explosives and the Pelham Police Department. The case is being prosecuted by Assistant U.S. Attorney Debra M. Walsh.
The case is part of ATF’s Project Safe Neighborhoods initiative, which is a federally-funded program intended to reduce gun violence through law enforcement training, public education, and aggressive law enforcement efforts to investigate and prosecute gun-related crimes.
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Berkeley County man admits to child pornography chargeRead the Press Release
MARTINSBURG, WEST VIRGINIA – Jeffrey Allen Johnson, of Martinsburg, West Virginia, has admitted to having child pornography, U.S. Attorney Bill Powell announced.
Johnson, age 50, pled guilty to one count of “Possession of Child Pornography.” Johnson admitted to having more than 600 images of child pornography in May 2019 in Berkeley County.
Johnson faces up to 20 years incarceration and a fine of up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
This case is prosecuted as part of Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorneys’ Offices, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/.
Assistant U.S. Attorney Kimberley D. Crockett is prosecuting the case on behalf of the government. The West Virginia State Police investigated.
U.S. Magistrate Judge Robert W. Trumble presided.
Bay Area Resident Pleads Guilty to Wire Fraud and Embezzlement from Employee Pension PlanRead the Press Release
SAN FRANCISCO – William Ace Remas pleaded guilty in federal court in San Francisco to wire fraud and embezzlement charges related to the misappropriation of funds from an ERISA pension plan over which he presided as trustee, announced United States Attorney David L. Anderson and U.S. Department of Labor, Employee Benefits Security Administration, San Francisco Regional Director Klaus Placke. The guilty plea was accepted by the Honorable Vince Chhabria, U.S. District Judge.
A federal grand jury indicted Remas, 79, of Larkspur, Calif., on April 30, 2019. Remas was charged with four counts of wire fraud, in violation of 18 U.S.C. § 1343, and two counts of theft or embezzlement from an employee pension benefit plan, in violation of 18 U.S.C. § 664. Remas pled guilty to all counts.
According to the indictment, in 1994, Remas formed a pension plan for the employees of his companies, and as the sole trustee, Remas had the ability to disburse funds from the plan accounts. The indictment alleges that, between approximately January 2013 and April 2016, Remas unlawfully transferred plan funds totaling $550,542.88—nearly all of the assets held in the plan accounts—to his personal bank account. The indictment further alleges that Remas made these transfers without the knowledge of the plan participants and that he concealed his actions by, among other things, failing to inform plan participants that he had fraudulently initiated payments from the plan to himself.
Judge Chhabria scheduled a status conference regarding Remas’s sentencing for April 21, 2020. The maximum statutory penalty for each wire fraud count is 20 years in prison and a fine of $250,000, plus restitution. The maximum statutory penalty for each theft or embezzlement count is five years in prison and a fine of $250,000, plus restitution. However, any sentence will be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Assistant U.S. Attorneys Jason Kleinwaks and Michael Rodriguez are prosecuting the case with the assistance of Morgan Byrne. The prosecution is the result of an investigation by the U.S. Department of Labor, Employee Benefits Security Administration.