Latest Records
Newest first across public DOJ and U.S. Attorney press releases.
7 February 2020
Judge Sentences Windber, PA Man to Prison Again for Violating His Supervised Release for a Second TimeRead the Press Release
JOHNSTOWN, Pa. – A resident of Windber, Pa. has been sentenced in federal court in Johnstown to two years (24 months) in prison and two years’ supervised release for violating conditions of supervised release, United States Attorney Scott W. Brady announced today.
United States District Judge Kim R. Gibson imposed the sentence on Paul Marone, 40.
According to information presented to the court, Marone was on supervised release from a conviction in 2012 in the Western District of Michigan for violating Title 18, United States Code Section 2423(b), by traveling with intent to engage in illicit sexual conduct with a minor.
Marone was on supervised release for the same conviction in 2015 when Judge Gibson revoked that release for similar conduct. In 2015, Marone was sentenced to 24 months in prison and five years’ supervised release for violating the terms of release by possessing ten cell phones and using them to communication with minors.
On February 7, 2020, Marone was again revoked for violations of his supervised release for enticing, coercing a minor to engage in sexual activity, and using an electronic device to communicate with a minor for the purpose of promoting sexual relations with a child.
Assistant United States Attorney Maureen Sheehan-Balchon prosecuted this case on behalf of the government.
Judge Sends Former Greensburg Doctor to Prison for Illegally Distributing OpioidsRead the Press Release
PITTSBURGH - A resident of Greensburg, PA, has been sentenced to 41 months’ imprisonment, 3 years of supervised release, and ordered to pay a $15,000 fine after his conviction for violating federal narcotics laws, United States Attorney Scott W. Brady announced today.
United States District Judge Cathy Bissoon imposed the sentence on Dr. Milad Shaker, 49, of who was found guilty of 14 counts of illegal dispensing opioids on October 18, 2019.
The evidence introduced during the six-day trial established that from October 2014 through March 2017, Shaker, a primary care physician, illegally dispensed Hydrocodone, Percocet and Tramadol to a patient in return for sex and sexually explicit photos and texts. According to testimony at trial, Shaker would meet the patient at various hotels in Westmoreland and Fayette counties and at two locations on the side of the road to engage in sex in return for opioid prescriptions. Shaker also exchanged prescriptions for texts containing sexually explicit images of the patient. During cross examination, Shaker, in defending his illegal prescribing, testified that, "opioids are like candy," and "10 to 20 opioid pills will not hurt you."
In pronouncing the sentence, Judge Bissoon stated, "Dr. Shaker, you have abused your position as a doctor, a trusted healer, by feeding the addiction of a vulnerable woman for your personal gratification. Your actions, and your utter failure to appreciate your wrongdoing, particularly amid the opioid crisis in America, and, indeed, in the Western District of Pennsylvania, are troubling." Judge Bissoon continued, "I do hope at some point you come to realize how devastating your actions were to another individual and the sentence imposed today reinforces the gravity of your actions."
Judge Bissoon remanded Shaker to the custody of the United States Bureau of Prisons.
Assistant United States Attorneys Robert S. Cessar and Mark V. Gurzo prosecuted this case on behalf of the government.
United States Attorney Brady commended the Western Pennsylvania Opioid Fraud and Abuse Detection Unit (OFADU) for conducting the investigation leading to the prosecution of Shaker. The Western Pennsylvania OFADU, led by federal prosecutors in the U.S. Attorney’s Office, combines the expertise and resources of federal and state law enforcement to address the role played by unethical medical professionals in the opioid epidemic.
The agencies comprising the Western Pennsylvania OFADU include: Federal Bureau of Investigation, U.S. Health and Human Services – Office of Inspector General, Drug Enforcement Administration, Internal Revenue Service-Criminal Investigations, Pennsylvania Office of Attorney General - Medicaid Fraud Control Unit, Pennsylvania Office of Attorney General – Bureau of Narcotic Investigations, United States Postal Inspection Service, U.S. Attorney’s Office – Criminal Division, Civil Division and Asset Forfeiture Unit, Department of Veterans Affairs-Office of Inspector General, Food and Drug Administration-Office of Criminal Investigations, U.S. Office of Personnel Management – Office of Inspector General and the Pennsylvania Bureau of Licensing.
Jefferson Parish Woman Sentenced for Conspiring to Distribute Ketamine Which Resulted in the Death of a Teenager Whose Body Was Found Floating in a Texas BayouRead the Press Release
NEW ORLEANS – U.S. Attorney Peter G. Strasser announced that LEILANI ASPURIA, age 25, of Jefferson Parish, Louisiana, was sentenced on February 5, 2020 by U.S. District Judge Jane Triche Milazzo to (10) ten years of imprisonment followed by (3) three years of supervised release for distributing ketamine which resulted in the death of a Slidell, Louisiana teenager. The eighteen year old’s dead body was found floating in a Texas bayou.
As described in court documents, ASPURIA, along with WILLIAM HARRISON FARRIS, age 39, and KACIE DOUCET, age 37, conspired to incapacitate the teenager with drugs so that he could be transported to law enforcement authorities in Texas. ASPURIA, FARRIS, and DOUCET did so in the hope of receiving free drugs from two large scale Texas-based methamphetamine dealers. These dealers, a married couple, had told their New Orleans customers that they wanted the teenager so they would not lose the $6000 bond they had posted for him months earlier.
FARRIS pleaded guilty to the same charge and will be sentenced on March 18, 2020. DOUCET also pleaded guilty to the same charge and will be sentenced on April 8, 2020.
U.S. Attorney Strasser praised the work of the United States Postal Inspection Service, Louisiana State Police, Houston Police Department, and the Drug Enforcement Administration. Assistant United States Attorneys David Howard Sinkman and Brandon S. Long and are in charge of the prosecution.
Jacksonville Man Indicted for Distributing Child Sex Abuse Images over the InternetRead the Press Release
Jacksonville, Florida – United States Attorney Maria Chapa Lopez announces the return of an indictment charging Reece Christopher Depew (22, Jacksonville) with distributing images depicting the sexual abuse of young children. Depew faces a mandatory minimum penalty of 5 years, and up to 20 years, in federal prison.
According to court documents, the National Center for Missing and Exploited Children received a report from a company that hosts and administers an online social messaging application. The company reported that a user named “Android 18” had uploaded and distributed child sex abuse images to an online chat platform. Further investigation revealed that the internet protocol address used to upload this material traced back to a residence where Depew lived. On January 17, 2020, FBI agents executed a search warrant at the home. Depew was subsequently arrested and has been detained pending trial.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorney D. Rodney Brown.
It is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Jacksonville Man Guilty of Producing Images Depicting the Sexual Abuse of Children and Transporting Child Sexual Abuse MaterialRead the Press Release
Jacksonville, Florida – Harlon David Prater (28, Jacksonville) has pleaded guilty to two counts of producing images depicting the sexual abuse of children, and one count of transporting images of sexual abuse of a child. Prater faces a minimum mandatory penalty of 15 years, and up to 80 years, in federal prison, and a potential life term of supervised release. His sentencing hearing is scheduled for May 4, 2020.
According to court documents, the National Center for Missing and Exploited Children (NCMEC) received reports from a social networking and file-sharing provider that a particular user was sharing images of child sex abuse. NCMEC determined that the images had been created in Duval County. Detectives and officers from the Jacksonville Sheriff’s Office (JSO) executed a search warrant at Prater’s residence. During an interview, Prater admitted to viewing and sharing images of child sex abuse. He also admitted to using his cellphone to produce images of babies being sexually abused.
During a search of Prater’s cellphone, a JSO forensic examiner recovered images of Prater sexual abusing babies and other children. There was also evidence that Prater had distributed images and videos of child sex abuse to others over social media, and that he had amassed a collection on his cellphone of more than 900 images and 50 videos of children being sexually abused.
This case was investigated by the Jacksonville Sheriff’s Office and Homeland Security Investigations. It is being prosecuted by Assistant United States Attorney Kelly S. Karase.
This is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Jacksonville Man Charged with Producing Images Depicting the Sexual Abuse of A ChildRead the Press Release
Jacksonville, Florida – United States Attorney Maria Chapa Lopez announced the return of an indictment charging Columbus Donavan Jeffrey (41, Jacksonville) with two counts of producing images depicting the sexual abuse of a child. If convicted on all counts, Jeffrey faces a mandatory minimum penalty of 15 years, and up to 60 years, in federal prison. Jeffrey was arrested on October 3, 2019, on related state charges, and is currently detained pending trial.
According to court documents, the National Center for Missing and Exploited Children (NCMEC) received two reports from a company that hosts and administers an online social messaging application. These reports revealed that on May 3, 2019, a user named “hideme1977” had uploaded and distributed child sex abuse images over using the application. Further investigation by NCMEC and the Jacksonville Sheriff’s Office (JSO) revealed that the internet protocol address used to upload these images traced back to a residence where Jeffrey lived. On October 3, 2019, JSO detectives and officers executed a search warrant at the home. During an interview, Jeffrey admitted, among other things, that he had used the username “hideme1977” on the messaging application, and he identified himself and a child depicted in one of the photos that had been uploaded to the app. JSO detectives were able to identify and locate the child in the photos.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Jacksonville Sheriff’s Office and the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorneys D. Rodney Brown and Kelly S. Karase.
It is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Informational: Federal Court arraignmentsRead the Press Release
The U.S. Attorney’s Office announced that the following persons were arraigned or appeared this week before U.S. Magistrate judges on indictments handed down by the Grand Jury or on criminal complaints. The charging documents are merely accusations and defendants are presumed innocent until proven guilty:
Appearing in Billings before U.S. Magistrate Judge Timothy J. Cavan and pleading not guilty on Feb. 4 was:
Joshua Daniel Baker, 33, of Billings, on charges of prohibited person in possession of a firearm and possession of a stolen firearm. If convicted of the most serious crime, Baker faces a maximum 10 years in prison, a $250,000 fine and three years of supervised release. Baker was detained pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case.
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.
Pacer case reference. 20-01.
If the above cases are of interest to your media organization and the community it serves, we encourage you to monitor its progress through the U.S. District Court calendar and the PACER system.
To establish a PACER account, which will allow you to review documents filed in the case, please go to, http://www.pacer.gov/register.html. To access the district court’s calendar, please go to https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.
XXX
Indiana, Kentucky drug trafficking organization dismantledRead the Press Release
Evansville – United States Attorney Josh J. Minkler announced federal charges against 17 individuals, who are alleged to have operated a drug trafficking organization, some of whom are members and associates of the Evansville Grim Reapers Motorcycle Club, for bringing large quantities of methamphetamine into Evansville, Ind. and surrounding areas. The defendants were indicted on charges of conspiracy to distribute methamphetamine, distribution of methamphetamine, possession of methamphetamine, and multiple firearms related charges.
“The U.S. Attorney’s Office is committed to making the Southern District of Indiana the most inhospitable place to sell methamphetamine and other dangerous drugs,” said Minkler. “Those organizations and individuals, who choose to peddle drugs into our neighborhoods, will be prosecuted fully under federal law.”
Those charged federally include:
Central Holman IV, 28, Owensboro, Ky.
Gary Wayne Forston, 39, Evansville, Ind.
Jason Wilson, 42, Evansville, Ind.
Adam Lafferty, 38, Evansville, Ind.
Shane Lewis, 32, Evansville, Ind.
James Benton, 66, Evansville, Ind.
Brian Eden, 40, Evansville, Ind,
Paul Overby, 45, Evansville, Ind.
Kimberly Wilson, 37, Evansville, Ind.
Jesse Wilson, 34, Evansville, Ind.
Matthew Meredith, 40, Evansville, Ind.
Clarence Grubbs, 48, Evansville, Ind.
Daniel Wiscaver, 61, Winslow, Ind.
April Martin, 45, Evansville, Ind.
Derek Sander, 48, Evansville, Ind.
Demoreal Killebrew, 21, Owensboro, Ky.
Prince Moss, 34, Owensboro, Ky.
Central Holman IV is alleged to be the source of supply of methamphetamine for the conspiracy. Gary Forston and Jason Wilson are alleged to be the leaders and supervisors of the conspiracy to distribute and possess with the intent to distribute methamphetamine. Forston and Jason Wilson are charged with obtaining large quantities of methamphetamine from Holman for distribution. After acquiring the methamphetamine, Forston and Jason Wilson are charged with distributing the methamphetamine to mid-level distributors, which included Adam Lafferty, Shane Lewis, James Benton, Brian Eden, Paul Overby, Kimberly Wilson, Jesse Wilson, Matthew Meredith, Clarence Grubbs, Daniel Wiscaver, and April Martin. The mid-level distributors are charged with distributing the methamphetamine to low-level distributors or users.
Demoreal Killebrew and Prince Moss are charged with conspiring to distribute over 500 grams of methamphetamine and distributing methamphetamine.
Various residences and properties in Evansville, Ind., including the Grim Reaper Motorcycle Club Clubhouse, and Owensboro, Ky., are alleged to have been used by the defendants to store methamphetamine, firearms, and United States currency generated from the sale and distribution of methamphetamine.
The charges come as a result of a months-long investigation by multiple federal and local law enforcement agencies. Through the course of the investigation, and as a result of multiple search warrants executed in November 2019, including at the Grim Reapers Motorcycle Club Clubhouse and elsewhere, authorities seized over ten pounds of methamphetamine, 23 firearms, and a large amount of United States Currency.
Jason Wilson was arrested on June 15, 2019. Holman and Forston were arrested on November 19, 2019. Lafferty, Lewis, Benton, Meredith, Martin, and Sander were arrested on January 22, 2020. Wiscaver was taken into federal custody on January 27, 2020. Killebrew was arrested on January 30, 2020. Eden was taken into federal custody on January 31, 2020.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, Drug Enforcement Administration, Federal Bureau of Investigation, Evansville Police Department, Vanderburgh County Sheriff’s Office, Indiana State Police, Owensboro Police Department, Warrick County Sheriff’s Office, Pike County Sheriff’s Office, Vanderburgh County Prosecutor’s Office, Warrick County Prosecutor’s Office, Pike County Prosecutor’s Office, and Posey County Prosecutor’s Office.
Kimberly Wilson and Jesse Wilson have not been arrested and are currently fugitives. Anyone with information on the whereabouts of Kimberly Wilson and Jesse Wilson should contact the Evansville Bureau of ATF at (800) ATF-GUNS.
“The individuals arrested during this complex investigation were responsible for transporting large quantities of methamphetamine from Owensboro, Kentucky to Evansville, Indiana,” said DEA Assistant Special Agent in Charge Michael Gannon. “Throughout the course of this investigation, agents seized approximately 30 pounds of methamphetamine, 22 firearms, and arrested 17 defendants. DEA commends the outstanding work that was done by our federal, state, and local partners, as well as the United States Attorney’s Offices in both the Southern District of Indiana and the Western District of Kentucky. This was clearly a first-class collaborative effort.
Today was a big win! Taking this much methamphetamine and firearms off the streets is huge. It is important for drug traffickers to know that DEA and our partners are not going to sit back and let criminal organizations such as the Grim Reapers Motorcycle Club, arm themselves with an array of weapons, and use fear and intimidation as a platform to distribute methamphetamine onto the fine streets of Evansville, Indiana. Drug traffickers and organizations like this, who prey on people with addiction issues, must be held accountable for their actions. DEA and our partners will utilize all available resources to take investigations to the highest levels and steam roll drug dealers who are peddling garbage into our communities.”
“There is no place in our society for individuals or organizations who use firearms for violent, criminal purposes,” said Jonathan McPherson, Special Agent in Charge of ATF’s Columbus Field Division. “ATF will continue to work with our law enforcement partners in southern Indiana to bring those individuals to justice.”
“We have made it a priority to rid our community of drug dealers and violent actors,” said Evansville Police Chief Billy Bolin. “The arrest of these seventeen individuals is a great example of how our agencies work together as a team. If you are choosing to live this dangerous lifestyle in our community, please know that our team will be looking at you next.”
According to Assistant United States Attorneys Frank E. Dahl III (Southern District of Indiana) and Seth Hancock (Western District of Kentucky) who are prosecuting this case for the government, all of the defendants except Sander face ten years to life imprisonment if convicted. Sander faces up to ten years in prison if convicted.
An indictment is only a charge and not evidence of guilt. All defendants are considered innocent until proven otherwise in federal court.
In October 2017, United States Attorney Josh J. Minkler announced a Strategic Plan designed to shape and strengthen the District’s response to its most significant public safety challenges. This prosecution demonstrates the office’s firm commitment to utilizing OCDETF to target, investigate, and prosecute organizations that supply and distribute methamphetamine in the District. See United States Attorney’s Office, Southern District of Indiana Strategic Plan Section 3.1 and 3.3.
Husband and wife sentenced to prison for conspiracy to defraud the IRS and commit money launderingRead the Press Release
HONOLULU, Hawaii – Steve Edwards, 73, and Melanie Edwards, 61, of St. George, Utah, were sentenced in federal court this week by Chief United States District Judge J. Michael Seabright for conspiracy to defraud the IRS and conspiracy to commit money laundering. Steve Edwards was sentenced yesterday to 36 months of imprisonment and three years of supervised release. Melanie Edwards was sentenced today to 30 months of imprisonment and three years of supervised release.
U.S. Attorney for the District of Hawaii Kenji M. Price announced that, according to court documents and information presented in court, the Edwards defrauded Koyo USA Corporation, a manufacturer of bottled water on Hawaii Island, for more than 10 years. They created sham pass-through companies and held those companies out to Koyo as if they were legitimate or actual manufactures, when in reality the companies were only resellers, with no employees, that only existed to take money from Koyo. During the fraud, the Edwards used fictitious names to communicate with employees of Koyo, lied about various departments that the sham companies purportedly had, and concealed from Koyo the fact that one of its upper level managers was an owner of the sham pass-through companies. During the fraud scheme, the Edwards laundered 3.7 million dollars in fraudulent proceeds. The Edwards also defrauded the IRS by filing false tax returns, submitting false books and records to their CPAs, and improperly classifying millions of dollars in distributions to the owners of the pass-through companies as consulting fees. Such conduct allowed the Edwards to evade paying $1,471,113 in taxes.
At sentencing, Chief Judge Seabright commented that the Edwards ran a sophisticated fraudulent scheme for more than ten years and that prison time was warranted for such conduct. Judge Seabright ordered the Edwards to pay $3,752,155.69 in restitution t0 Koyo USA Corporation and $1,471,113.00 in restitution to the IRS.
“Prosecutions like these send a message to those who line their pockets by defrauding companies and evading their federal tax obligations, and Defendants Melanie and Steve Edwards will appropriately have time to reflect upon their egregious conduct as they serve time in federal prison,” stated U.S. Attorney Price.
"Melanie and Steve Edwards engaged in a lengthy sophisticated theft and tax fraud scheme designed to satisfy their greed,” said IRS Criminal Investigation Special Agent in Charge Justin Campbell. "Today, they were held accountable for their shameful conduct."
The case was investigated by IRS-CI and the FBI. It was prosecuted by Assistant U.S. Attorney Michael Nammar.
Heroin Dealer Sentenced to Prison for Fatal Drug OverdosesRead the Press Release
ALEXANDRIA, Va. – A Sterling man was sentenced today to 15 years in prison for conspiracy to distribute more than a kilogram of heroin that led to at least two fatal overdoses and one non-fatal overdose.
According to court documents, Nedrick Lamont Johnson, 42, led a heroin conspiracy that distributed narcotics in Loudoun and Fairfax counties. Johnson and five co-conspirators obtained heroin from sources in Baltimore and the District of Columbia. Johnson personally repackaged the narcotics for street-level sales and arranged transactions with users. Then, he directed his co-conspirators to deliver the heroin, collect the payments, and return the earnings to him. In other instances, Johnson’s co-conspirators arranged their own drugs sales using heroin that he had supplied.
In March 2018, Johnson personally distributed $400 of heroin to a buyer, referred to as L.R., at her home in Herndon. During this transaction, Johnson observed that L.R. was highly-impaired, but nonetheless sold her the drugs. L.R. was found dead in her home two days later. She had died of mixed drug intoxication.
In January 2019, Johnson distributed fentanyl to one of his co-conspirators to sell to a customer. The customer ingested these drugs, overdosed, and then drove their car into a parked vehicle in Sterling. Loudoun County deputies revived this customer through CPR and administration of Narcan.
In February 2019, Johnson distributed fentanyl to one of his co-conspirators to sell to a user. That customer, referred to as K.P., ingested the narcotics along with other drugs that he had obtained from a second source. K.P. died shortly thereafter of mixed drug intoxication.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Jesse R. Fong, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division; and Michael L. Chapman, Loudoun County Sheriff, made the announcement after sentencing by U.S. District Judge Anthony J. Trenga. Assistant U.S. Attorney Marc J. Birnbaum 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. 1:19-cr-137.
Government Food Service Provider Pleads Guilty to Payroll Tax FraudRead the Press Release
A Potomac, Maryland-based operator of companies providing food-services in government buildings pleaded guilty today to failing to account for and pay over more than $10 million in employment and sales tax, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and U.S. Attorney Timothy J. Shea for the District of Columbia.
According to documents and information provided to the Court, Steve Choi was the founder, president, and operator of nine companies that provided food services within government buildings located in the DC area. As president and operator of the companies, Choi was responsible for withholding, accounting for, and paying over to the Internal Revenue Service (IRS) employment taxes. Notwithstanding these obligations, and civil collection efforts by the IRS, Choi failed to pay the companies’ employment taxes. Even after Choi acknowledged in a 2011 interview with IRS personnel that he had the authority and responsibility to pay employment taxes, from 2012 through 2015, Choi did not pay over $4.4 million in employment taxes. During the same period, Choi also did not pay more than $6.2 million in sales taxes to the D.C. Office of Tax and Revenue on behalf of his food services companies. Rather than pay the sales and employment taxes, from 2011 through 2015, Choi directed his companies to pay millions of dollars in other expenditures, including over $1 million in personal salary, personal donations, and cash advances.
“Prosecuting employment tax fraud remains a priority for both the Tax Division and the Internal Revenue Service,” said Principal Deputy Assistant Attorney General Zuckerman. “As today’s guilty plea reflects, we will aggressively pursue those who do not comply with their employment tax obligations.”
“Choi chose to personally enrich himself rather than abide by the law and pay over employment taxes he already withheld,” said IRS-CI SAC Kelly R. Jackson. “The tax law is clear – every employer is responsible for withholding and paying over employment taxes from the salaries of their employees.”
U.S. District Judge Ketanji Brown Jackson scheduled sentencing for June 2, 2020. At sentencing, Choi faces a statutory maximum sentence of five years in prison. He also faces a period of supervised release and monetary penalties. In his plea agreement, Choi has agreed to pay restitution of $6,490,515 to the Office of Tax and Revenue and of $4,903,820 to the United States.
Principal Deputy Assistant Attorney General Zuckerman and U.S. Attorney Shea thanked special agents of IRS-Criminal Investigation and Office of Tax and Revenue who investigated the case, and Trial Attorneys Jack Morgan and Eric Schmale of the Tax Division, as well as Assistant U.S. Attorney Veronica Sanchez, who are prosecuting the case.
Additional information about the Tax Division and its enforcement efforts may be found on the Division’s website.
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.
Getaway Driver Pleads Guilty in Business Robbery CaseRead the Press Release
Memphis, TN – Arkiest Young, 38, has pleaded guilty to attempted Hobbs Act business robbery. U.S. Attorney D. Michael Dunavant announced the guilty pleas today.
According to information presented in court, on January 3, 2018, two men entered the Circle K at 6565 Mt. Moriah, brandishing firearms and demanding money, one wearing blue latex gloves. One suspect also pointed a handgun at a customer who was already inside the business. The customer was armed, and fired at the suspects. As the suspects fled the business, they returned fire at the customer. A witness reported that the two suspects were driven away in a red or maroon cube-like vehicle.
Shortly thereafter, a shooting victim was dropped off at Delta Medical Hospital, who claimed he was shot in a drive-by shooting. Memphis Police Officers responded to both scenes, compared surveillance video from the Circle K with clothing from the individual at Delta Medical, and identified Davonte Gary, 21, as one of the robbery suspects.
As officers were executing a search warrant at suspect Cortez Young’s apartment, a red Chevrolet HHR, which could be described as a cube-like vehicle, arrived on the scene, occupied by Arkiest Young. The HHR had been reported stolen. Officers found a handgun and a box of blue latex gloves inside the HHR. Arkiest Young was taken into custody, waived his Miranda rights, and admitted to driving the HHR and dropping off Gary at Delta Medical Hospital on January 3.
Charges against Devonte Gary are still pending. Cortez Young, 23, has already pleaded guilty to this business robbery and other robbery and firearms offenses, and will be sentenced later this year.
Sentencing for Arkiest Young is scheduled for May 8, 2020, before U.S. District Court Judge Thomas L. Parker, where he faces up to 20 years in federal prison followed by 3 years supervised release.
U.S. Attorney D. Michael Dunavant said, "Armed business robbery that harms store owners and threatens customers must be dealt with swiftly and certainly. That means holding all parties to the crime accountable, including getaway drivers and others who aid and abet such brazen violence. The FBI Safe Streets Task Force has dramatically increased the clearance rate of armed business robbery cases, and because of their quick response and outstanding investigation in this case, these violent offenders will be rightly incapacitated and punished."
The Memphis Police Department and the FBI Safe Streets Task Force investigated this case.
U.S. Attorneys Kevin Whitmore and Special Assistant U.S. Attorney Sam Winnig are prosecuting this case on behalf of the government. SAUSA Winnig is currently assigned from the Shelby County District Attorney General’s Office for the purpose of prosecuting violent crimes and firearms offenses in federal court.
Georgia Women Sentenced to 60 Months in Prison for Role in Methamphetamine ConspiracyRead the Press Release
Abingdon, VIRGINIA – Two Georgia women involved in a crystal ice methamphetamine conspiracy led by a co-defendant incarcerated in Virginia were each recently sentenced to federal prison. Veronica Martinez, 30, of Doraville, Georgia, and Alison Atkinson, 30, of Grovetown, Georgia, were each sentenced to serve 60 months in federal prison, United States Attorney Thomas T. Cullen and Virginia Attorney General Mark Herring announced.
Martinez and Atkinson each previously pleaded guilty to one count of conspiring to distribute and possess with the intent to distribute 50 grams or more of methamphetamine. Two other co-defendants, Adrian Romero, 31, of Augusta, Georgia, and Clayton Lee Tate, 39, of Austinville, Va., were sentenced in late 2019 for their roles in the offense.
According to court documents, and from evidence presented at the sentencing hearings, from January 2017 to May 16, 2018, lead defendant Adrian Romero led a conspiracy with at least five or more individuals to distribute methamphetamine throughout the Western District of Virginia, and elsewhere. Specifically, Romero organized and led a network of individuals to distribute large amounts of “crystal ice” methamphetamine, a potent form of the drug, from sources in Georgia into southwest Virginia. Romero led this organization while he was incarcerated in a Virginia prison on other methamphetamine related charges. The crystal ice Romero’s organization obtained and distributed was an extremely pure form of the drug, sometimes having a purity of 90 percent. Atkinson and Martinez obtained the drug from sources according to his direction and then further distributed the drug in Georgia and southwest Virginia. Atkinson and Martinez each accepted responsibility for trafficking up to 1.5 kilograms of crystal ice during this conspiracy.
The investigation of the case was conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives, with assistance from the Twin County Drug Task Force (Virginia) and Richmond City Police Department and Columbia County Sheriff’s Office in Georgia. Special Assistant United States Attorney M. Suzanne Kerney-Quillen, a Virginia Assistant Attorney General assigned to the Attorney General’s Major Crimes and Emerging Threats Section, is prosecuting the case for the United States.
Former UAW Regional Director and Board Member Pleads Guilty to Racketeering and Embezzlement ConspiracyRead the Press Release
Vance Pearson, the former Director of the United Auto Worker’s Region 5 and a former member of the UAW’s International Executive Board, pleaded guilty today to conspiring with other UAW officials to embezzle hundreds of thousands of dollars of UAW dues money and to further racketeering activity announced U.S. Attorney Matthew Schneider.
Joining in the announcement were Irene Lindow, Special Agent in Charge of the U.S. Department of Labor – Office of Inspector General, Steven M. D’Antuono, Special Agent in Charge of the Detroit, Michigan office of the Federal Bureau of Investigation, Sarah Kull, Special Agent in Charge of the Detroit, Michigan office of the Internal Revenue Service – Criminal Investigations, and Thomas Murray, District Director, U.S. Department of Labor – Office of Labor-Management Standards.
Vance Pearson, 58, of St. Charles, Missouri, pleaded guilty to conspiring to embezzle UAW dues money and conspiring to use a facility of interstate commerce to aid racketeering crimes between 2010 and September 2019. Between June 2018 and September 2019, Pearson served as the Director of Region 5 of the International Union, United Automobile, Aerospace, and Agricultural Workers of America (“UAW”). The UAW’s Region 5 is headquartered in Hazelwood, Missouri, and covers the tens of thousands of UAW members in Missouri and the sixteen states to the southwest, including California and Texas. As Region 5 Director, Pearson was a member of the UAW’s International Executive Board, which governs the affairs of the union. Between 2016 and June 2018, Pearson served as the Assistant Director of Region 5.
During the plea hearing, Pearson admitted that he conspired with at least six other senior UAW officials in a multiyear conspiracy to embezzle money from the UAW for the personal benefit of Pearson and other senior UAW officials. Pearson and other UAW officials concealed personal expenditures in the cost of UAW Region 5 conferences held in Palm Springs, California, Coronado, California, and Missouri. Between 2010 and 2018, Pearson and other UAW officials submitted fraudulent expense forms seeking reimbursement from the UAW’s Detroit headquarters for expenditures supposedly incurred in connection with Region 5 leadership and training conferences. In truth, however, Pearson and his co-conspirators used the conferences to conceal the hundreds of thousands of dollars in UAW funds spent on lavish entertainment and personal spending for the conspirators.
For example, Pearson and other senior UAW officials used UAW money to buy sets of golf clubs, individual clubs, and other golf equipment that cost thousands of dollars. They spent over $100,000 to purchase golf clothing, shirts, hats, sunglasses, golf balls, jackets, and fashion shorts from various pro shops at golf courses in California and Missouri. And they spent tens of thousands of dollars in UAW funds at the Indian Canyons golf course in Palm Springs on green fees for golfing outside of the time of the UAW conferences.
Pearson and other UAW officials also spent hundreds of thousands of dollars in UAW funds to rent villas in gated communities in Palm Springs for senior UAW officials for long periods of time outside of the dates set for the UAW conferences. In one instance, a high-level UAW official received the use of a Palm Springs villa for four months, all paid for with UAW funds. UAW funds were also used to pay for meals for senior UAW officials at high-end restaurants outside the time periods of the UAW conferences.
As part of the conspiracy, Pearson and his co-conspirators embezzled over $60,000 in UAW funds for the purchase of boxes of cigars, humidors, cigar cutting equipment, and lighters from 2014 to 2018. The costs of the cigars were hidden within the expenses for the Region 5 conferences. Pearson caused the UAW to file false reports with the Department of Labor wherein the various embezzlement activity was concealed.
During search warrants executed by federal law enforcement in August 2019 in connection with the investigation, agents recovered dozens of cigars, humidors, and other tobacco-related items in the personal residences of UAW officials. In addition, agents seized hundreds of high-end bottles of liquor, hundreds of golf shirts, multiple sets of golf clubs, and over thirty thousand dollars in cash. Agents seized sets of golf clubs from Pearson’s UAW office and from the home of another UAW official which were paid for with embezzled UAW funds.
Besides conspiring with other UAW officials to embezzle UAW funds, Pearson also conspired with UAW officials to aid racketeering crimes by using a facility of interstate commerce, in this case, the internet and electronic mail, to aid racketeering activity.
Based on his racketeering and embezzlement conspiracy conviction, Pearson faces a maximum of five years in prison and a fine of up to $250,000.
As part of his guilty plea, Pearson agreed to forfeit $81,000 from his so-called “Flower Fund.” A UAW Regional Director’s Flower Fund was ostensibly to be used for the purchase of flowers for the funerals of UAW members and their families. In practice, however, UAW officials have been forced to pay into the flower funds and the money has been exploited by senior UAW officials for their own personal use. In addition, Pearson agreed to forfeit $38,000 held in a “Members in Solidarity,” which was an account ostensibly to be used for campaign expenses associated with UAW elections. Finally, Pearson agreed to forfeit the set of custom made Titleist golf clubs seized from his office and which was paid for with UAW dues money.
Pearson is the twelfth defendant to plead guilty in connection with the ongoing criminal investigation into illegal payoffs to UAW officials by FCA executives and corruption within the UAW itself. The following individuals have already pleaded guilty to their participation in the scheme and have been sentenced: former FCA Vice President for Employee Relations Alphons Iacobelli (66 months in prison), former FCA Financial Analyst Jerome Durden (15 months in prison), former Director of FCA’s Employee Relations Department Michael Brown (12 months in prison), former senior UAW officials Virdell King (60 days in prison), Keith Mickens (12 months in prison), Nancy A. Johnson (12 months in prison), Monica Morgan, the widow of UAW Vice President General Holiefield (18 months in prison), and former UAW Vice President Norwood Jewell (15 months in prison). In addition, the following UAW officials have pleaded guilty and are awaiting sentencing: former UAW Vice President Joseph Ashton, former senior UAW official Michael Grimes, and former senior UAW official Jeffrey “Paycheck” Pietrzyk. Former UAW Official Edward “Nick” Robinson has been charged in a criminal information, and his case is still pending.
U.S. Attorney Schneider commended the outstanding work of the Internal Revenue Service – Criminal Investigations, the U.S. Department of Labor – Office of Labor-Management Standards and Office of Inspector General, and the Federal Bureau of Investigation in conducting a comprehensive criminal investigation into labor corruption activities involving a vital sector of the local and national economy.
“Today’s guilty plea is one more leap forward in our drive to prosecute corruption at the highest levels of the United Auto Workers union,” said United States Attorney Matthew Schneider. “The UAW needs to be led by men and women of integrity who are dedicated to bettering the lives of the hard-working members of the union, not dedicated to lining their own pockets.”
“Vance Pearson conspired with senior UAW officials to embezzle hundreds of thousands of dollars in union dues to further their racketeering activity. His actions were an effort to personally enrich himself at the expense of dues-paying UAW members. We will continue to work with our law enforcement partners to protect the financial integrity of labor organizations,” stated Irene Lindow, Special Agent-in-Charge, Chicago Region, U.S. Department of Labor Office of Inspector General.
“Mr. Pearson is the twelfth UAW official to plead guilty as a result of a criminal investigation which has made clear that corruption has become systemic within this organization,” said SAC D’Antuono. “The FBI and our law enforcement partners are committed to doing what is necessary to restore this great organization to its original purpose – serving hard-working union families, not enriching the powerful few.”
“As Director of the UAW’s Region 5, Vance Pearson was responsible for serving the interests of tens of thousands of UAW members across 16 states. Instead, Pearson assisted in orchestrating an ongoing criminal enterprise to enjoy a life of absolute luxury, spending hundreds of thousands of dollars with his co-conspirators in union member dues on golf, custom clubs, cigars, booze, vacations and high-end restaurants. IRS-CI is committed to investigating crimes of embezzlement, conspiracy and racketeering,” stated Sarah Kull, Special Agent in Charge of Detroit’s IRS Criminal Investigation.
“Vance Pearson failed his fiduciary duties as a UAW officer when he used his position to embezzle over $100,000 of UAW funds so he and his co-conspirators could live a lavish lifestyle at the expense of the union members he was elected to represent,” said Thomas Murray, District Director, U.S. Department of Labor, Office of Labor-Management Standards. “OLMS will continue to work with the U.S. Attorney’s Office and our fellow law enforcement agencies to eliminate the corruption within the UAW International Union.”
The case is being prosecuted by Assistant U.S. Attorneys David A. Gardey Steven Cares.
Former President of National Children's Blanket Charity Indicted for Allegedly Stealing More Than $400,000 from the OrganizationRead the Press Release
PEORIA, Ill. – The former national president of the not-for-profit organization Project Linus, Carol Babbitt, has been indicted on charges that she allegedly took more than $400,000 from the charity, when it was based in McLean County, Ill. The grand jury indicted Babbitt, 60, currently of Asheville, N.C. on Jan. 22, 2020, and the indictment remained sealed until Babbitt was arrested on Feb. 6, in Asheville.
Babbitt made her initial appearance in federal court in North Carolina this morning, Feb. 7, and was released from custody. The U.S. Clerk of the Court has set Feb. 13, 2020, for Babbitt to appear for arraignment in federal court in Peoria.
According to the indictment, in 1998, Babbitt began her involvement as a chapter coordinator with Project Linus, a not-for-profit organization that provides handmade blankets for children who are seriously ill, traumatized, and otherwise in need. Babbitt served as national president of the organization from 2000 to 2016. During that time, Babbitt lived in McLean County and the organization was also headquartered there.
The indictment alleges that beginning in 2010 and continuing to 2016, Babbitt defrauded the Project Linus organization, its volunteers and contributors, and the state of Illinois of approximately $400,000. As president, Babbitt controlled the organization’s operations, including its bank accounts. Babbitt allegedly used Project Linus credit cards to pay for personal expenses, including clothing, electronics, pet grooming, furniture, tickets for sporting events, and personal travel. Babbitt allegedly used funds from the organization’s operating account to make credit card payments, and falsely classified the personal expenditure in the business ledger to hide her personal use of the funds.
At various times, Babbitt allegedly represented that Project Linus was in extremely poor financial condition, and that because of the poor financial condition, others could not be reimbursed for their expenses. Because of the poor financial situation, Babbitt falsely represented to the board that she would take a pay cut or not take a salary at all. When questioned by the board of directors, Babbitt falsely stated that she was repaying Project Linus for her credit card purchases through payroll deductions. Babbitt did not disclose that she made the payments after taking more money than her salary from the organization, resulting in the organization repaying itself.
The indictment also alleges that Babbitt filed false and fraudulent personal tax returns with the state of Illinois in which she failed to report the funds she allegedly stole from Project Linus.
The charges are the result of investigation by the Internal Revenue Service, Criminal Investigation Division; the U.S. Postal Inspection Service; the Illinois Department of Revenue; and the Bloomington Police Department. Supervisory Assistant U.S. Attorney Darilynn J. Knauss is representing the government in the case prosecution.
If convicted, the statutory penalty for mail fraud, wire fraud, and money laundering is a maximum 20 years in prison and fines of up to $500,000. The defendant may also be ordered to pay restitution.
Members of the public are reminded that an indictment is merely an accusation; the defendant is presumed innocent unless proven guilty.
Former CEO of PIMCO Sentenced in College Admissions CaseRead the Press Release
BOSTON – The former chief executive officer of PIMCO, one of the world’s largest asset companies, was sentenced to nine months in prison today for paying bribes totaling $850,000 to secure his children’s admission to the University of Southern California (USC) and Georgetown University (Georgetown).
Douglas Hodge, 61, of Laguna Beach, Calif., was sentenced by U.S. District Court Judge Nathaniel M. Gorton to nine months in prison, two years of supervised release and 500 hours of community service. Judge Gorton also ordered Hodge to pay a fine of $750,000. The government recommended a sentence of 24 months in prison.
In October 2019, Hodge pleaded guilty to one count of conspiracy to commit mail and wire fraud and honest services mail and wire fraud and one count of conspiracy to commit money laundering.
Hodge conspired with William “Rick” Singer and others to pay bribes totaling $850,000 to secure the admission of two of his children to USC and two of his children to Georgetown over a period of nearly 11 years. He also sought unsuccessfully to use bribes to secure the admission of a fifth child to Loyola Marymount University (LMU).
Beginning in fall 2008, Hodge agreed to pay Georgetown tennis coach Gordon Ernst to purport to recruit his daughter as a tennis player, thereby facilitating her admission to the university. In turn, Hodge paid Ernst $150,000. From 2010 to 2011, Hodge repeated the fraud for his son, who also did not play competitive tennis. After his son was admitted to Georgetown, Hodge paid Ernst $175,000.
Beginning in 2012, Hodge agreed to pay a total of $525,000 to facilitate another daughter’s admission to USC as a purported soccer recruit and another son’s admission to USC as a purported football recruit.
In 2018, Hodge returned to Singer to facilitate a third son’s admission to LMU. In December 2018, however, an LMU coach told Singer that Hodge’s son would be denied admission to the university based on his academic qualifications.
Case information, including the status of each defendant, charging documents and plea agreements are available here: https://www.justice.gov/usao-ma/investigations-college-admissions-and-testing-bribery-scheme.
United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Kristina O’Connell, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston, made the announcement today. Assistant U.S. Attorneys Eric S. Rosen, Justin D. O’Connell, Leslie A. Wright and Kristen A. Kearney of Lelling’s Securities and Financial Fraud Unit are prosecuting the cases.
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.
Former Asbestos Contractor Charged with Theft of Federal Program FundsRead the Press Release
NEW ORLEANS, LOUISIANA – MARC A. VICTORIANO (VICTORIANO), age 46, of Covington, Louisiana, was charged in federal court in a one-count Indictment for theft from a program receiving federal funds.
According to the Indictment, from January 2015 and continuing through 2017, VICTORIANO and his company, Professional Safety Consultants, LLC, ("PSC") provided asbestos inspections for the Terrebonne Parish School Board ("TPSB") as mandated by the Asbestos Hazard Emergency Response Act ("AHERA"). Under AHERA, each school or facility must maintain an Asbestos Operation & Maintenance Plan addressing all areas confirmed or suspected to contain asbestos. VICTORIANO submitted 56 invoices to TPSB with fraudulent asbestos laboratory reports including false air monitoring and false asbestos testing reports. VICTORIANO also submitted nine invoices to TPSB for AHERA reports with forged signatures and accreditation information. As a result, TPSB paid VICTORIANO approximately $212,618.26 to which he was not entitled, in violation of Title 18, United States Code, Section 666(a)(1)(A).
“The Asbestos Hazard Emergency Response Act (AHERA) is designed to protect our schools from hazardous air pollutants”, said Special Agent in Charge Christopher Brooks of EPA’s Criminal Investigation Division in Louisiana. “Today’s indictment demonstrates that individuals who intentionally violate federal laws will be held responsible for their crimes.”
VICTORIANO faces a maximum term of imprisonment of not more than ten years, a fine of $250,000.00, and a mandatory special assessment of $100.00. Additionally, VICTORIANO is subject to a period of supervised release after imprisonment of up to three years. U.S. Attorney Peter G. Strasser reiterated that the indictment is merely a charge and that the guilty of the defendant must be proven beyond a reasonable doubt.
U.S. Attorney Strasser praised the work of the United States Environmental Protection Agency, Criminal Investigation Division; the Louisiana State Police; Louisiana Department of Environmental Quality, Criminal Investigation Section and the Louisiana Environmental Crimes Task Force, in investigating this matter. Assistant United States Attorney Julia K. Evans is in charge of the prosecution.
Forestville Man Sentenced on Child Pornography ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Joseph Harvey, 56, of Forestville, NY, who was convicted of possession of child pornography, was sentenced to serve 96 months in prison and 25 years supervised release by U.S. District Judge Lawrence J. Vilardo.
Assistant U.S. Attorney Jonathan P. Cantil, who handled the case, stated that on May 16, 2016, the defendant possessed 37 videos and 51 images of child pornography. Some of the images included prepubescent minors, and depictions of violence.
In addition, between January 16 and May 14, 2016, the defendant exchanged text messages with another man in which they discussed child pornography. During those text exchanges, Harvey distributed and received images of child pornography.
The sentencing is the result of an investigation by Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly.
# # # #
Fentanyl Dealer Sentenced to Federal PrisonRead the Press Release
PROVIDENCE – A federal court judge today sentenced a Providence man found by the FBI’s Safe Streets Violent Gang Task Force to be in possession of more than 100 grams of fentanyl to five years in federal prison.
John Switzer, 28, was among a group of individuals targeted in a long-term drug trafficking investigation by the FBI Safe Streets Violent Gang Task Force. On May 1, 2019, while being surveilled by members of the task force, Switzer was seen leaving his residence and traveling as a passenger in a vehicle to a nearby supermarket parking lot. About five minutes after his arrival, a second vehicle arrived. Switzer met briefly with the driver. Both vehicles then left the area and were followed by task force officers and agents.
The vehicle driven by the person who met with Switzer was stopped. The driver admitted to purchasing 30mg Percocet pills from Switzer, which lab tests showed to contain a mixture including fentanyl.
The vehicle Switzer was riding in was followed as he returned to his residence. A short time later, he and the same person who was driving the car earlier left the building together and began to drive away. The vehicle was stopped by law enforcement. From inside the vehicle, law enforcement seized two packages containing a total of approximately 116 grams of fentanyl and a package containing 10 blue pills similar to the pills seized earlier in the evening. The pills later tested positive for a mixture containing fentanyl.
Later that evening members of the Safe Streets Task Force executed a court-authorized search warrant at Switzer’s residence and seized about 1,500 suspected fentanyl pills, 18 ounces of marijuana, and $1,800 in cash.
Switzer pled guilty on September 21, 2019, to possession with intent to distribute 40 grams or more of fentanyl.
At sentencing today, U.S. District Court Chief Judge John J. McConnell, Jr., sentenced Switzer to 60 months incarceration to be followed by four years’ supervised release, announced United States Attorney Aaron L. Weisman and Special Agent in Charge of the FBI Boston Division Joseph R. Bonavolonta.
The case was prosecuted by Assistant United States Attorney Gerard B. Sullivan.
The FBI’s Safe Streets Violent Gang Task Force consists of agents and law enforcement officers from the FBI, RI State Police, Providence, Cranston, Woonsocket, Pawtucket, and Central Falls Police Departments, R.I. Department of Corrections, and the Rhode Island National Guard.
###
Federal Jury Convicts West Tennessee Man for Possession of over 1 Pound of Pure MethamphetamineWith Intent to DistributeRead the Press Release
Memphis, TN – On February 6, 2020, after a three-day trial, a federal jury convicted Zachary Fuchs, 37, of possession with intent to distribute 50 grams or more of methamphetamine. U.S. Attorney D. Michael Dunavant announced the guilty verdict today.
According to information presented in court, on June 6, 2018, Fuchs was traveling eastbound on Highway 70 in Gallaway, Tennessee, a small town located in Fayette County. He passed a Gallaway police officer, who noticed that his vehicle had no license plate. The officer initiated a traffic stop and observed the driver of the vehicle moving around and rocking the vehicle back and forth. As the officer approached the vehicle, the driver became very agitated and confrontational. He was identified as Zachary Fuchs.
The officer and his supervisor who arrived on the scene searched the vehicle. They located a small bag with methamphetamine residue under the driver's seat and recovered 1.1 pounds (475 grams) of methamphetamine underneath the radio.
The defendant was arrested and the drugs were sent to the DEA laboratory to be tested. Lab analysis confirmed the drugs were 475 grams of 99% pure methamphetamine. At trial, it was determined that the amount of methamphetamine was valued between $5,500 and $6,500 and contained thousands of dosage units.
Sentencing is scheduled for May 15, 2020 before U.S. District Court Judge Mark S. Norris. Fuchs faces a mandatory minimum sentence of 10 years and up to life imprisonment.
U.S. Attorney D. Michael Dunavant said, "Methamphetamine that is trafficked in and through West Tennessee is increasing in dangerous purity, and continues to destroy individuals, families, and communities. Drug dealers who profit from the pain, addiction,
violence and death caused by these dangerous substances must be held accountable, and this guilty verdict does just that."
This case was investigated by the Gallaway Police Department and the Drug Enforcement Administration.
Special Assistant United States Attorneys Joseph Griffith and Sean Hord are prosecuting this case on behalf of the Government.
###
Federal Jury Convicts KCK Man on Drug and Firearms ChargesRead the Press Release
KANSAS CITY, KAN. – A federal jury today convicted a man from Kansas City, Kan., on drug and firearm charges, U.S. Attorney Stephen McAllister said.
Larry D. Johnson, 33, Kansas City, Kan., was convicted on one count of possession with intent to distribute crack cocaine, one count of possession of a firearm in furtherance of drug trafficking and one count of unlawful possession of a firearm by a felon.
The crimes were alleged to have occurred May 15, 2017, in Wyandotte County, Kan.
Sentencing is set for May 7. The defendant could face a penalty of up to 20 years in federal prison and a fine up to $1 million on the drug charge, not less than five years and a fine up to $250,000 on the charge of using a firearm in furtherance of drug trafficking, and up to 10 years and a fine up to $250,000 on the other firearm charge. McAllister commended the Bureau of Alcohol, Tobacco, Firearms and Explosives, Assistant U.S. Attorney Tris Hunt , Special Assistant U.S. Attorney Michelle McFarlane and Assistant U.S. Attorney Leon Patton for their work on the case.
Federal Charges Filed in Newton Armed RobberyRead the Press Release
WICHITA, KAN. – Federal charges were filed today against three Wichita men in connection with an armed robbery at a convenience store in Newton, U.S. Attorney Stephen McAllister said.
Jeremiah Urias, 18, Wichita, Kan.; Rico Montes, 27, Wichita, Kan.; and Jorge Correa, 25, Wichita, Kan. were charged with committing a robbery Feb. 4 at EZ Trip, 100 S. Main in Newton, Kan. A criminal complaint filed in the case alleges two robbers entered the store before 6 a.m. One of the robbers in a red hoodie pointed a handgun at a clerk and demanded money, which the clerk gave him. Then a second robber carrying a military style rifle demanded more money. While waiting for the money, the second robber walked around the store firing shots into the ceiling and into an ATM.
Investigators used surveillance footage to identify a license tag number of the getaway vehicle. After a high speed pursuit, the Kansas Highway Patrol arrested the three defendants. Urias was driving. Montes was wearing a red hoodie and sitting in the front passenger seat. Correa was sitting in the back seat with a rifle.
If convicted, the defendants could face up to 20 years in federal prison and a fine up to $250,000. The FBI, the Kansas Highway Patrol and the Newton Police Department investigated. Assistant U.S. Attorney Alan Metzger is prosecuting.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.
Engineering Firm Owner Sentenced for Bribing Washington Township OfficialsRead the Press Release
An owner of an engineering firm, Fazlullah Khan , 58, of Troy, was sentenced yesterday to 132 months as a result of having been convicted by a jury on four counts of bribery, United States Attorney Matthew Schneider announced.
Schneider was joined in the announcement by Steven D’Antuono, Special Agent in Charge of the Detroit Field Office of the Federal Bureau of Investigation.
Khan was convicted in July, 2019 after a five day trial that was conducted before United States District Judge Robert H. Cleland in Port Huron, Michigan. The jury deliberated approximately an hour and a half before returning their guilty verdicts.
According to evidence presented at trial, in 2014, Khan bribed one public official of Washington Township with $10,000 in cash in return for a million dollar per year engineering contract, and another public official there with a secret financial interest in a property development deal worth hundreds of thousands of dollars for his assistance with the contract and efforts to get water and sewer lines to Khan’s property. Unbeknownst to Khan, both township officials that he was trying to bribe were working with the FBI.
“Our office is continuing our battle against bribery and corruption every day and this sentence will hopefully serve as a deterrent to others who seek to engage in a pay-to-play scheme,” United States Attorney Matthew Schneider stated.
The sentence in this case should serve as a deterrent to anyone who tries to entice a public official to behave against the public’s interest through offering bribes,” said Special Agent in Charge D’Antuono. “Corruption in any form degrades the integrity of our democracy and will not be tolerated. Our justice system relies upon citizens to report this type of criminal activity and I would encourage anyone who has information about public corruption to contact the FBI."
This case is part of the government’s wide-ranging corruption investigation centered in Macomb County, Michigan. The investigation of this case was conducted by the Federal Bureau of Investigation. The case is being prosecuted by Assistant U.S. Attorneys R. Michael Bullotta and Steven Cares.
The conviction of Khan brings to 22 the number of individuals convicted in this corruption investigation.
District Man Pleads Guilty to Second Degree Murder While Armed for 2018 Homicide Near Union StationRead the Press Release
WASHINGTON – MacArthur Venable, 34 of Washington, D.C. pled guilty to one count second degree murder while armed for killing one man by shooting at him multiple times in Northeast Washington. The incident occurred on October 31, 2018 when the defendant got into an argument with the decedent at the Unit block of Massachusetts Avenue, NE near the intersection of North Capitol Street, NW, U.S. Attorney Timothy Shea announced.
Venable pled guilty on February 6, 2020, in the Superior Court of the District of Columbia. The plea calls for a sentence of between fifteen to eighteen years in prison for killing the decedent. He will be sentenced on July 21, 2020, by the Honorable Anita Josey-Herring.
The incident occurred on October 31, 2018 at approximately 9:52 p.m. The defendant was walking down Massachusetts Avenue with another individual when he came upon the decedent, Mr. James Ferrell. The defendant then began to speak to Mr. Ferrell and an argument ensued. The argument between Mr. Ferrell and the defendant escalated and the defendant then walked up to the individual who he was walking with, reached into his waistband, and pulled out a firearm. The defendant then pointed the firearm at Mr. Ferrell and discharged the firearm four times. Mr. Ferrell was struck in his chest twice and subsequently ran across the street and collapsed in front of the Postal Museum. A witness called 911 and police and paramedics arrived at the scene. The decedent was transported to the Medstar Unit of the Washington Hospital Center. All life saving measures were unsuccessful and Mr. Ferrell was pronounced dead a short time later.
In announcing the plea, U.S. Attorney Shea commended the work of those who investigated the case from the Criminal Investigations Division Homicide Branch of the Metropolitan Police Department and also the U.S. Capitol Police. He acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialists Lashone Samuels; Victim Witness Specialist Marcia Rinker and Investigative analyst Zachary McMenamin.
Finally, U.S. Attorney Shea commended the work of Assistant U.S. Attorney Shehzad Akhtar who investigated and prosecuted the matter.
Detroit Area Retail Vendor Sentenced to 24 Months for Food Stamp FraudRead the Press Release
A Detroit-area retail vendor will spend 24 months in prison for defrauding the federal Supplemental Nutrition Assistance Program, also known as the food stamp program, U.S. Attorney Matthew Schneider announced today.
Joining Schneider in the announcement was Anthony V. Mohatt, Special Agent-in-Charge of the U.S. Department of Agriculture Office of the Inspector General (USDA-OIG) Chicago Regional Office.
Ali Youssef Aoun, 52, was sentenced on February 7, 2020, by U.S District Court Judge Robert H. Cleland after pleading guilty to three counts of defrauding the SNAP program.
Aoun, who has owned or operated convenience stores in Detroit for at least 18 years, took advantage of vulnerable SNAP recipients by exchanging benefits for cash, while only paying fifty cents on the dollar. He would disguise the benefits as income into his stores or use them to purchase items for himself. Trading SNAP benefits for cash is a violation of federal law. Over four years, Aoun fraudulently obtained approximately $341,360.41 from the federal SNAP program. In addition to the term of imprisonment, the Court the entered a forfeiture money judgment in the amount of $341,360.41.
In delivering the sentence, the Court stated Mr. Aoun’s crimes were “utterly unacceptable” and that the verdict should “stand as a beacon to others in a similar situation.”
United States Attorney Schneider said of the verdict, “Defendant Aoun committed his fraud on the backs of people who truly need the SNAP program to put food on the dinner table and make ends meet. His crime was motivated solely by greed and today’s sentence should send a message to all SNAP vendors that our office takes fraud seriously and will prosecute offenders to the full extent of the law.”
USDA Special Agent-in-Charge Anthony V. Mohatt said, "The Supplemental Nutrition Assistance Program helps put healthy food on the table of 1.3 million Michigan residents each month. The criminal activities of the store owner targeted during this investigation deprived needy citizens of the Detroit area access to nutritious meals. The USDA Office of Inspector General will continue to target those who prey on federal food assistance programs, and their recipients."
The case was investigated by agents of the U.S. Department of Agriculture, Office of Inspector General, and U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Detroit. Assistant United States Attorneys Tim Wyse and Shankar Ramamurthy prosecuted the case.
Collin County Man Sentenced to 35 Years for Child Pornography ViolationsRead the Press Release
SHERMAN, Texas – A 41-year-old Allen, Texas man has been sentenced for child pornography violations in the Eastern District of Texas, announced U.S. Attorney Joseph D. Brown and FBI Special Agent in Charge Matthew J. DeSarno today.
Richard Denver Belden pleaded guilty on June 20, 2019 to receipt and possession of child pornography and was sentenced to 420 months in federal prison by U.S. District Judge Amos Mazzant on Feb. 6, 2020.
According to information presented in court, in May 2018, a detective with the Plano Police Department was conducting an undercover investigation into Internet programs know for trading child pornography and located a user, later identified as Belden, who was making a large quantity of child pornography available for download. Over the course of two days, the detective downloaded over 4,000 images and videos of child pornography from Belden.
Members of the Collin County Sheriff's Office obtained a search warrant for Belden's apartment, in Allen, Texas and on May 15, 2018, the Sheriff's Office and Plano Police Department executed the search warrant. Upon entering the residence, they discovered Belden actively downloading and distributing child pornography on a laptop computer. In addition to the laptop, Belden owned a tower containing 15 hard drives, totaling 57 TB of storage. The Plano Police Department and FBI child exploitation task force spent months forensically analyzing Belden's digital media. Officers located thousands of images and videos of child pornography, including depictions of children as young as toddlers and depictions of sadistic or masochistic abuse. Belden was indicted by a federal grand jury in June 2018.
During the sentencing hearing, a Plano Police Department Detective testified about the undercover investigation, the forensic review of Belden's devices, and the content of those devices. Belden's sentencing guidelines included a term of imprisonment of 210 to 262 months. The government requested that the Judge vary upward and impose a sentence of 420 months. Based on Belden's history and characteristics and the nature and circumstances of his offense, Judge Mazzant granted the government's motion and sentenced Belden to a total term of 420 months (35 years) imprisonment, to be followed by 20 years of supervised release.
“These type of cases show the real depravity of parts of our society,” said U.S. Attorney Joseph D. Brown. “We are fortunate that law enforcement is out there looking for these people.”
“Today’s result is the product of the outstanding collaboration between the FBI and its local partners,” said FBI Special Agent in Charge Matthew J. DeSarno. “The FBI, through the North Texas Child Exploitation and Human Trafficking Task Force, will continue to work tirelessly to keep our kids safe. This lengthy sentence will hopefully serve as a warning for all those who would seek to prey on the most vulnerable among us.”
This case was prosecuted as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
This case was investigated by the North Texas Child Exploitation and Human Trafficking Task Force, which is made up of FBI agents and officers from the Dallas, Plano and Grand Prairie Police Departments and Collin County Sheriff’s Office and prosecuted by Assistant U.S. Attorney Marisa Miller.
Cambridge Man Arrested on Gun and Cocaine Trafficking ChargesRead the Press Release
BOSTON – A Cambridge man was arrested today and charged in federal court in Boston with firearms trafficking related to six separate sales. In addition, the defendant is also charged with the sale of crack cocaine.
Ezequiel Netzahualt, 25, was charged with one count of dealing firearms without a license and one count of selling cocaine base, commonly known as crack cocaine. Following an initial appearance in federal court in Boston, Netzahualt was detained pending a detention hearing set for Feb. 13, 2020.
According to the indictment, Netzahualt sold 11 firearms in Cambridge during six separate transactions between October 2019 and January 2020. It is also alleged that Netzahualt sold crack cocaine on Nov. 20, 2019.
Each charge of dealing in firearms without a license provides for a sentence of up to five years in prison, three years of supervised release and a $250,000 fine. The charge of distribution of a controlled substance provides for a sentence of up to 20 years in prison, up to a lifetime of supervised release and a $1 million fine. 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; Kelly D. Brady, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives, Boson Field Office; and Cambridge Police Commissioner Branville G. Bard, Jr. made the announcement. Assistant U.S. Attorney Evan Gotlob of Lelling’s Major Crimes Unit is prosecuting the case.
The details 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.
Burlington Man Sentenced to Prison for Receiving and Distributing Child PornographyRead the Press Release
DAVENPORT, Iowa – On February 4, 2020, United States District Court Judge Stephanie M. Rose sentenced Jeffrey Scott Walter, age 57, of Burlington, to 104 months in prison for receiving and distributing child pornography, announced United States Attorney Marc Krickbaum. Walter was ordered to serve five years of supervised release following his imprisonment, pay $100 to the Crime Victims’ Fund, and comply with the sex offender registry requirements upon release.
On September 24, 2019, Walter pleaded guilty. The investigation began between September 2016 and February 2018, when a Homeland Security Investigations agent identified an IP address advertising child pornography files. On March 5, 2018, a search warrant was executed at Walters’ residence, which was tied to the IP address. A forensic examination of the electronic devices seized revealed multiple images and videos containing child pornography. Walter admitted that he did receive, distribute, and possess child pornography.
This matter was investigated by the United States Immigration and Customs Enforcement (ICE), and National Center for Missing and Exploited Children (NCMEC). This case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa.Buffalo Man Fails to Stop for Inspection, Speeds Through Lewiston Border CrossingRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that a federal grand jury has returned an indictment charging Raison Holt, 25, of Buffalo, NY, with high speed flight from border checkpoint, and failure to present vehicle for inspection. The charges carry a maximum penalty of five years in prison and a $250,000 fine.
Assistant U.S. Attorney Meghan A. Tokash, who is handling the case, stated that according to the indictment, on January 20, 2020, the defendant intentionally fled the checkpoint at the Lewiston Queenston Bridge, in Lewiston, NY, in excess of the legal speed limit. In doing so, Holt failed to report the arrival and present said vehicle, and any person and merchandise on board, for inspection to a Customs and Border Protection officer. CBP Officers subsequently pursued Holt and apprehended him.
The defendant will be arraigned at a later date.
The indictment is the result of an investigation by Customs and Border Protection, under the direction of Rose Brophy, Director of Field Operations.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
# # # #
Bossier City Man Involved in Hit-and-Run Pleads Guilty to Federal Firearm ChargeRead the Press Release
SHREVEPORT, La. – United States Attorney David C. Joseph announced that Laterreon Daron Morrison, 23, of Bossier City, Louisiana, pleaded guilty on February 4, 2020, before U.S. District Judge Elizabeth E. Foote, to possession of a firearm by a convicted felon.
According to court documents, Morrison was involved in a hit-and-run accident at the intersection of Hearne Avenue and Hilry Huckaby Avenue in Shreveport on May 1, 2018. Officers responded to the area, fell in behind Morrison’s vehicle and activated the patrol car’s emergency lights and sirens. Morrison stopped in the middle of the lane, exited the vehicle, and attempted to flee on foot when officers tried to conduct a pat down. Morrison was apprehended by law enforcement shortly thereafter and was taken into custody. Officers recovered a Zastava 7.62X39mm caliber pistol from Morrison’s vehicle.
Morrison was a convicted felon at the time of this incident, having previously been convicted of aggravated battery in Bossier Parish in 2014. Felons are prohibited under federal law from possessing firearms or ammunition.
Laterreon Morrison will be sentenced by Judge Foote on June 12, 2020, and faces up to 10 years in prison, three years of supervised release and a $250,000 fine.
The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and Shreveport Police Department conducted the investigation. Assistant U.S. Attorney Brandon B. Brown is prosecuting the case.
This case is part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make neighborhoods safer for everyone. To learn more about Project Safe Neighborhoods, go to www.justice.gov/psn.
This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see https://www.justice.gov.
# # #
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Armed Career Criminal Sentenced to 180 Months in Prison for Illegal Possession of A FirearmRead the Press Release
United States Attorney Erica H. MacDonald today announced the sentencing of MICHAEL MATTHEWS, 58, to 180 months in prison for illegally possessing a firearm. MATTHEWS, who was charged on January 4, 2019, was sentenced yesterday before Judge Eric C. Tostrud in U.S. District Court in St. Paul, Minnesota.
According to the defendant’s guilty plea and documents filed in court, on January 3, 2019, officers from the Hennepin County Sheriff’s Office Violent Offender Task Force (“VOTF”) observed MATTHEWS place an object into the trunk of a Cadillac sedan that was parked in front of his residence before getting into the vehicle and driving away. Officers conducted a traffic stop and recovered 7.6 grams of cocaine from his person and a loaded Glock, model 26, 9 mm handgun from the trunk. Because he has prior felony convictions in Hennepin County, MATTHEWS is prohibited under federal law from possessing firearms at any time.
This case was the result of an investigation conducted by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Hennepin County Sheriff’s Office Violent Offender Task Force. This case was brought as part of Project Safe Neighborhoods (PSN), an initiative that brings together federal, state, and local law enforcement to combat violent crime. This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws.
Assistant U.S. Attorneys Samantha H. Bates and Amber M. Brennan prosecuted the case.
Defendant Information:
MICHAEL MATTHEWS, 58
Minneapolis, Minn.
Convicted:
- Felon in possession of a firearm - armed career criminal, 1 count
Sentenced:
- 180 months in prison
- Five years of supervised release
###
Additional news available on our website.
Follow us on Twitter and Facebook.
United States Attorney’s Office, District of Minnesota: (612) 664-5600
Alton Woman Pleads Guilty to Cashing Dead Mother's Social Security ChecksRead the Press Release
East St. Louis, Ill.— Mia Lynn Cousett, 33, of Alton, Illinois, pled guilty this morning to 12 felony counts, each charging her with theft of government funds. The stolen funds were social security checks payable to Cousett’s mother, who died in April 2017.
In court, Cousett admitted that for 12 months after her mother passed away, she continued to cash her mother’s social security checks and used the funds for her own expenses. Cousett forged her dead mother’s signature on the backs of each check, deposited the checks into her mother’s bank account, and then accessed the money using her mother’s debit card. In total, Cousett stole
$15,601. Cousett also admitted that she used her dead mother’s driver’s license number to conceal and perpetuate her crimes.Sentencing is set for May 20, 2020, at 1:30 p.m. at the federal courthouse in East St. Louis. Each of the charges carries a maximum sentence of ten years in prison and a fine of up to $250,000, in addition to restitution. As part of her plea agreement, Cousett agreed to voluntarily resign from her position as a letter carrier for the post office in Alton before her sentencing hearing.
The investigation was conducted by agents from the Social Security Administration, Office of the
Inspector General, Chicago Field Division, the United States Postal Inspection Service, Chicago
Division, St. Louis Field Office, and the Alton Police Department. The case is being prosecuted by Assistant United States Attorneys Scott A. Verseman and Luke J. Weissler.
Alien Indicted on Illegal Reentry ChargeRead the Press Release
RALEIGH – Robert J. Higdon, Jr., United States Attorney for the Eastern District of North Carolina, announces that a federal grand jury in Raleigh has returned an indictment charging MARCOS ALEJANDRO CASTILLO-MUNOZ, age 44, of El Salvador, with Illegal Reentry.
Therefore, if convicted, CASTILLO-MUNOZ previously deported and found in Wake County, would face a maximum imprisonment term of two years, a $250,000 fine, and a term of supervised release following any term of imprisonment.
The charges and allegations contained in the indictments are merely accusations. The defendants are presumed innocent unless and until proven guilty in a court of law.
ICE’s Enforcement and Removal Operations and Homeland Security Investigations are investigating the cases.
***
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.
7 Defendants Sentenced to over 96 Years Combined for Drug TraffickingRead the Press Release
Fort Smith, Arkansas – David Clay Fowlkes, Acting United States Attorney for the Western District of Arkansas announced that seven (7) individuals were sentenced by the United States District Court for Conspiracy to Distribute Methamphetamine. The Honorable Judge P.K. Holmes, III presided over the sentencing hearings in the United States District Court in Fort Smith.
According to court records the drug trafficking organization headed up by Cory Phillips operated primarily in Crawford and Sebastian Counties as well as Eastern Oklahoma. During 2018, the organization distributed approximately 900 pounds of methamphetamine.
Defendants in this conspiracy received the following sentences:
Megan Casey, age 28, of Fort Smith, Arkansas was sentenced February 4, 2020, to 37 months in federal prison followed by three years of supervised release. Casey was indicted in May of 2019 and entered a guilty plea in August of 2019.
Russell Alvin Hofer, age 36, of Van Buren, Arkansas was sentenced January 13, 2020, to 135 months in federal prison followed by three years of supervised release. In April of 2019, Hofer waived his right to prosecution by federal indictment and consented to prosecution by information.
Ryan Thomas Miller, age 38, of Pocola, Oklahoma was sentenced February 4, 2020, to 240 months in federal prison followed by five years of supervised release. Miller was indicted in May of 2019 and plead guilty in July of 2019.
Christopher Franklin Murphy, age 23, of Van Buren, Arkansas was sentenced February 6, 2020, to 151 months in federal prison followed by four years of supervised release. Murphy was indicted in May of 2019 and plead guilty in August of 2019.
Jarrod Michael Osborn, age 29, of Fort Smith, Arkansas was sentenced February 3, 2020, to 140 months in federal prison followed by five years of supervised release. Osborn was indicted in December of 2018 and entered a guilty plea in April of 2019.
Cory Jeremiah Phillips, age 36, of Uniontown, Arkansas was sentenced January 15, 2020, to 300 months in federal prison followed by five years of supervised release. Phillips was indicted was indicted in May of 2019 and plead guilty in August of 2019.
Quan David Phung, age 40, of Van Buren, Arkansas was sentenced February 6, 2020, to 151 months in federal prison followed by three years of supervised release. Phung was indicted in May of 2019 and entered a guilty plea in August of 2019.
This case was investigated by the Drug Enforcement Administration, Bureau of Alcohol Tobacco, Firearms and Explosives, Fort Smith Police Department, Van Buren Police Department, Greenwood Police Department, Crawford County Sheriff’s Office, Sebastian County Sheriff’s Office and the 12/21st Drug Task Force. Assistant United States Attorney Candace Taylor prosecuted the case for the Western District of Arkansas.
27 Individuals Charged or Arrested as Part of Joint Law Enforcement EffortRead the Press Release
On February 7, 2020, United States Attorney Christina E. Nolan announced the results of a multi-agency, multi-jurisdictional law enforcement effort that focused on drug trafficking in Rutland, Vermont and the surrounding area. During the months-long operation conducted by federal, state, local, and county officers, and federal and state prosecutors, law enforcement arrested or charged 27 individuals, searched 4 residences, and seized 14 firearms (including two AR-style rifles), approximately 148 grams of fentanyl and heroin, approximately 260 grams of cocaine base, approximately 50 grams of cocaine, and $35,560 of suspected drug proceeds.
Those charged in federal court include:
- Wilnelia Martinez-Machuca, 42, of Springfield, Massachusetts, for possession with intent to distribute cocaine base.
- Joel Cruz, 27, of Union City, New Jersey, for possession with intent to distribute 28 grams or more of cocaine base.
- Shaqueille Jones, 25, of Jersey City, New Jersey, for possession with intent to distribute 28 grams or more of cocaine base.
- David Hodges, 42, of Rutland, Vermont, for possession of a firearm after having been previously convicted of a misdemeanor crime of domestic violence, and distribution of cocaine.
- Maynard Davis, 43, of Rutland, Vermont, for distribution of cocaine base.
- Rodney Carroll, 40, of Philadelphia, Pennsylvania, for distribution of cocaine base.
- Tyberius Mitchell, 30, of Rutland, Vermont, for distribution of cocaine base.
- Cheryl Barber, 34, of Rutland,Vermont, for distribution of heroin.
- Todd Popovitch, 38, of Rutland, Vermont, for distribution of fentanyl, possession of a firearm as an unlawful user of controlled substances, and making false statements in connection with the attempted acquisition of a firearm from a licensed dealer.
- Raymond Phillips, 55, of Fair Haven, Vermont, for distribution of cocaine base.
- Travis Norris, 31, of Shoreham, Vermont, for making false statements in connection with the attempted acquisition of a firearm from a licensed dealer.
- Edward Everett, 54, of Rutland, Vermont, for distribution of cocaine base and maintaining a drug-involved premises.
- John Harrell, 48, of Rutland, Vermont, for distribution of cocaine base.
- Quadeim Mack, 19, of Brooklyn, New York, for possession of a firearm in furtherance of drug trafficking, and possession with intent to distribute 40 grams or more of fentanyl, 28 grams or more of cocaine base, and cocaine.
- Steven Ciccone, 35, of Rutland, Vermont, for distribution of cocaine base.
- Naquan Brown, 30, of Brooklyn, New York, for possession of a firearm after having previously convicted of a felony, and possession with intent to distribute cocaine base.
- Richard Keefe, 56, of Rutland, Vermont, for possession with intent to distribute heroin and cocaine base.
- Noah Penn, 27, of New York City, New York, for possession with intent to distribute heroin and cocaine base.
- Mark Badie, 33, of Rutland, Vermont, for distribution of cocaine base.
- Thomas DePalo, 60, of Rutland, Vermont, for distribution of cocaine base
Those arrested on state warrants and violations include:
- Antonio Sousa, 25, of Rutland, Vermont, for false information to a law enforcement officer and fugitive from justice.
- Mark Archer, 60, from Rutland, Vermont, for possession of cocaine.
- Darleen Palmer, 52, from Rutland, Vermont, for possession of heroin.
- Greg Shaw, 36, from Rutland, Vermont, for escape from custody.
- Roger Kittredge, 51, from Rutland, Vermont, for distribution of cocaine.
- Stacy Jones, 38, from Rutland, Vermont, for criminal driving while license suspended.
- Nickoletta Hathaway, 19, of Rutland, VT, for failure to appear.
The charges against the defendants are only allegations. The defendants are presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
This operation stemmed from careful planning and collaboration by Vermont law enforcement at all levels. The enforcement surge involved the participation of the Bureau of Alcohol, Tobacco, Firearms, and Explosives; the Department of Homeland Security - Homeland Security Investigations; the Drug Enforcement Administration; the Federal Bureau of Investigation; the United States Marshals Service; Vermont Drug Task Force; the Vermont State Police; the Rutland County Sherriff’s Office; the Rutland City Police Department; U.S. Customs and Border Protection - Air and Marine Operations. Crucial support was provided by the Office of the Rutland County State’s Attorney. United States Attorney Christina E. Nolan thanked each agency for its teamwork and invaluable contribution to the operation.
United States Attorney Christina E. Nolan added: “Today -- as we did last November in St. Johnsbury and last April in Brattleboro -- we announce the results of a team effort by law enforcement to combat drug trafficking and gun crime in one of the hardest hit areas of the state. The Rutland area is suffering greatly under the weight of the drug crisis and related violence, and we deployed a sustained surge of enforcement resources to bring consequences to those selling deadly drugs and violating federal gun laws in that region of the state. The messages are simple. Out-of-state dealers should not come to Vermont; if they do, they will face serious consequences, no matter where in the state they do business. Addicted Vermonters involved in the drug trade will also be held accountable. But we urge those Vermonters to turn in their dealers and seek treatment. We want them to have their lives back.”
“These arrests are indicative of ATF’s commitment to rid our communities of dangerous drugs and illegal firearms," said Special Agent in Charge Kelly D. Brady of the ATF Boston Field Division. "Citizens in Vermont can rest assured that the ATF and our law enforcement partners are determined to ensure these communities remain safe and a great place to live. The success of this investigation is an outstanding example of our law enforcement community's resolve and determination."
“These arrests and seizures in Southern Vermont denote DEA’s priority to aggressively pursue anyone who distributes these poisons,” said DEA Special Agent in Charge Brian D. Boyle. “Illegal drug distribution ravages the very foundations of our families and communities here in the Green Mountain State. This operation demonstrates the strength of collaborative local, state and federal law enforcement efforts in Vermont and our strong partnership with the U.S. Attorney’s Office.”
Rutland County State’s Attorney Rosemary Kennedy stated, “Operations like these are important in the struggle to protect this community from illicit drug trafficking and gun violence. I want to thank the U.S. Attorney for leading this effort and all of the agencies that worked together to help protect Rutland County.”
“These arrests and seizures are the direct result of the close coordination between our federal, state, and local law enforcement partners,” said Anna Holden, Supervisory Senior Resident Agent (SSRA) of the FBI Albany Field Office’s Burlington RA. “Through continued operations, we have been able to rid our communities of dozens of dangerous individuals looking to wreak havoc through drugs and violence. There’s more work to be done, and the FBI, along with our partners, will continue to relentlessly pursue anyone looking to threaten the safety and stability of our neighborhoods.”
“As made evident by the successes of past and present joint law enforcement operations, the focus and commitment of our public safety community is remarkable,” said U.S. Marshal Bradley LaRose. “The relentless pursuit of those who act to threaten the well-being of our citizenry will undoubtedly continue. The Marshals Service is committed to contributing the resources necessary to support the zealous collaborative efforts of those who pursue justice as we move forward.”
This operation was conducted through the Organized Crime Drug Enforcement Task Force (OCDETF). The principle mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking, weapons trafficking, and money laundering organizations, and those responsible for the nation’s illegal drug supply.
The Assistant U.S. Attorneys handling the operation and subsequent prosecutions are AUSAs Nate Burris; Eugenia Cowles; William Darrow; Wendy Fuller; Nikolas Kerest; Jonathan Ophardt; Joseph Perella; and Paul Van de Graaf. Defendants Martinez-Machuca, Mitchell, Popovitch, and Penn are represented by Assistant Federal Public Defender Elizabeth Quinn, Esq. Defendant Cruz is represented by Thomas Sherrer, Esq. Defendant Jones is represented by Mary Kehoe, Esq. Defendants Carroll, Mack, and Ciccone are represented by Assistant Federal Public Defender Steven Barth, Esq. Defendant Barber is represented by Ernest M. Allen, III, Esq. Defendants Phillips and Everett are represented by David Watts, Esq. Defendant Norris is represented by Federal Public Defender Michael Desautels, Esq. Defendant Harrell is represented by Katina Francis Ready, Esq. Defendant Brown is represented by Assistant Federal Public Defender David McColgin, Esq. Defendant Keefe is represented by Robert S. Behrens, Esq. Defendants Hodges and Badie are represented by the Office of the Federal Public Defender. Defendant Davis has not yet appeared in court.
These investigations are part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting firearm use and possession crimes; prioritizes prosecuting persons who make false statements when attempting to obtain firearms; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives concerning persons who attempt to obtain firearms illegally; coordinates responses to persons prevented from obtaining firearms for mental health reasons; and ensures the use of modern intelligence tools and technology to focus on the criminals posing the greatest threat to our communities.
6 February 2020
Worcester Man Sentenced for Illegal Possession of Loaded Semi-Automatic PistolRead the Press Release
BOSTON – A Worcester man was sentenced today in federal court in Worcester for being a felon in possession of a firearm.
Leroy Byron, 34, was sentenced by U.S. District Court Judge Timothy S. Hillman to 60 months in prison and three years of supervised release, after pleading guilty in November 2019 to being a felon in possession of a firearm.
On Nov. 5, 2018, Byron was arrested for carrying an Intratec TEC9 semi-automatic pistol loaded with 32 rounds of ammunition. Byron is prohibited from possessing a firearm due to prior convictions punishable by more than one year in person.
United States Attorney Andrew E. Lelling; Kelly D. Brady, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division; and Worcester Police Chief Steven M. Sargent made the announcement today. Assistant U.S. Attorney John T. Mulcahy of Lelling’s Worcester Branch Office prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. PSN is part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
Waterville Man Sentenced for Possessing Child PornographyRead the Press Release
Bangor, Maine: A Waterville man was sentenced today in federal court in Bangor for possessing child pornography, U.S. Attorney Halsey B. Frank announced.
U.S. District Judge John A. Woodcock, Jr. sentenced William Stewart, 64, to 80 months in prison and 10 years of supervised release. Stewart was also ordered to pay $63,000 in restitution. He pleaded guilty on April 19, 2019.
According to court records, in May and June 2018, Stewart possessed thousands of images and hundreds of videos of child pornography that he had received over the internet. Many of the images and videos depicted prepubescent children under 12 years old. Law enforcement officers discovered the child pornography when they executed a search warrant at Stewart’s home on June 28, 2018.
In imposing sentence, Judge Woodcock described the statements made by the victims of Stewart’s offense as “heartbreaking,” and told Stewart that what he had done was “just abhorrent.”
U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the Maine State Police Computer Crimes Unit and the Waterville Police Department investigated the case. The prosecution was part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
U.S. Attorney’s Office in Memphis Collects $7,467,543.96 for U.S. Taxpayers and Victims in 2019Read the Press Release
Memphis, TN – United States Attorney D. Michael Dunavant announced today that the U.S. Attorney’s Office for the Western District of Tennessee collected $7,467,543.96 in criminal and civil actions during Calendar year 2019. Of that amount, $5,442,925.21 was collected through civil actions and $2,024,618.75 stemmed from fines and restitution ordered as part of criminal convictions.
Two cases that generated significant collection efforts include United States of America and the State of Tennessee ex rel. Dr. L. Darryl Quarles v. Satellite Healthcare, Inc., UT Medical Group, Inc., and WellBound of Memphis, LLC, and United States ex rel. Pińon v. CQuentia Series LLC d/b/a CQuentia Labs, Total Diagnostix, LLC, and Decatur Hospital Authority, d/b/a Wise Regional Health Systems, both generating $3,198,o64.69 and $431,182.96 respectively.
U.S. Attorney D. Michael Dunavant said, "Protection of the United States Treasury and taxpayer resources is a core value and critical mission for this office and the Department of Justice. Equally as important is the priority of collecting restitution for victims of crime in order to punish offenders and provide justice for the harm and loss suffered by victims. I commend the outstanding work of our Criminal Division, Civil Division, and Financial Litigation Unit in aggressively pursuing and effectively collecting this amount on behalf of victims of crime and the United States."
The U.S. Attorneys’ Offices, along with the U.S. Department of Justice’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to the U.S. and criminal debts owed to federal crime victims. The law requires defendants to pay restitution to victims of certain federal crimes who have suffered a physical injury or financial loss. While restitution is paid to the victim, criminal fines and felony assessments are paid to the Department’s Crime Victims’ Fund, which distributes the funds collected to federal and state victim compensation and victim assistance programs.
Calendar year 2019 collections include recovery of government money lost to criminal fraud and other misconduct and recovery of money lost by victims as a result of individual and corporate misconduct. In addition, civil debts were collected on behalf of several federal agencies, including the U.S. Department of Health and Human Services, Internal Revenue Service, and the Department of Education and the Department of Veterans Affairs.
###
U.S. Attorney’s Office Reaches ADA Settlement with Charter Bus Company to Protect the Rights of Americans with DisabilitiesRead the Press Release
NEWARK, N.J. – The U.S. Attorney’s Office for the District of New Jersey has reached a settlement with a charter bus company, Academy Express, LLC (“Academy”), headquartered in Hoboken, New Jersey, to ensure equal access for passengers with disabilities under the Americans with Disabilities Act (“ADA”), U.S. Attorney Craig Carpenito announced. This year marks the 30th Anniversary of the ADA, which U.S. Attorneys’ Offices play a critical role in enforcing.
The agreement resolves allegations of disability discrimination against a 74-year-old veteran who became paraplegic after his helicopter was gunned down in Vietnam. The veteran, who was a Staff Sergeant in the Army’s 189th Assault Helicopter Company and served in Vietnam in 1968 and 1969, sought to join dozens of his fellow combat unit veterans on an Academy charter bus for a multi-day “Honor Flight” tour of Arlington National Cemetery and other Washington, D.C. area sites. Although the group’s organizer had requested, over a month in advance, that at least one of Academy’s charter buses for the tour have a working wheelchair lift to accommodate the veteran, Academy violated the ADA by failing to provide a bus with a working wheelchair lift or a replacement bus with a working lift. Instead, the veteran who, in addition to having a severe lack of mobility outside of his wheelchair, suffers from combat-related Post-Traumatic Stress Disorder, was separated from his comrades and compelled to endure lengthy, embarrassing, and unsuccessful attempts to board him on an inaccessible bus.
The ADA requires over-the-road demand-responsive bus operators to ensure that passengers with disabilities who request accessible service receive accessible service. A bus operator may require 48 hours advanced notice, but if a request is made within 48 hours of a trip, the operator must provide a lift if it can do so by making a reasonable effort. A bus operator must, among other things, also establish a system of regular and frequent maintenance checks of wheelchair lifts sufficient to determine if they are operative, and to train their employees to proficiency regarding the proper operation and maintenance of accessibility features and equipment.
“The men and women of our Armed Forces have made extraordinary and selfless sacrifices to protect the rights and freedoms of all Americans,” said U.S. Attorney Craig Carpenito. “This Office remains resolute in its commitment to honor those sacrifices and ensure that the rights of servicemembers and veterans be respected. Through our enforcement of the ADA, we will continue to protect veterans and other individuals with disabilities from unequal and unfair treatment.”
Under the settlement agreement, Academy has agreed to implement policies and procedures to ensure that persons with disabilities receive accessible transportation on the day and at the time and place requested, to publish on its website a statement of that policy, and to provide mandatory employee training on the ADA in accordance with regulatory requirements. Academy will also pay $10,000 as a civil penalty to the United States, and $10,000 in damages to the aggrieved veteran.
Individuals who believe they may have been victims of discrimination may file a complaint with the U.S Attorney’s Office at http://www.justice.gov/usao-nj/civil-rights-enforcement/complaint. For more information on the ADA, visit www.ada.gov, or call the Department of Justice’s toll-free ADA information line at 800-514-0301 or 800-514-0383 (TDD).
The government is represented by Special Assistant U.S. Attorney Victor Williamson of the U.S. Attorney’s Office Civil Rights Unit in Newark.
Tyler County man admits to firearms chargeRead the Press Release
WHEELING, WEST VIRGINIA – Dale Robert Barnhart, of Alma, West Virginia, has admitted to a firearms charge, U.S. Attorney Bill Powell announced.
Barnhart, age 57, pled guilty to one count of “Unlawful Possession of a Firearm and Ammunition.” Barnhart, who is prohibited from having a firearm because of prior convictions, is accused of having two shotguns, a rifle, and multiple rounds of ammunition in August 2019 in Tyler County.
Barnhart faces up to 10 years incarceration and a fine of up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
This case was brought as part of Project Safe Neighborhoods (PSN). Project Safe Neighborhoods is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Assistant U.S. Attorney David J. Perri is prosecuting the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms, and Explosives investigated.
U.S. Magistrate Judge James P. Mazzone presided.
Two Men Plead Guilty to Heroin, Fentanyl, and Cocaine ConspiracyRead the Press Release
NEWPORT NEWS, Va. – Two Hampton men pleaded guilty today to their respective roles in a multi-kilogram drug trafficking conspiracy that operated in the peninsula area of the Hampton Roads.
According to court documents, Marcid Byrd, 35, was a cocaine source of supply to Damarcus Mackie, 44. Once Byrd was unable to obtain more cocaine from his source, he would make arrangements with Mackie to obtain cocaine from him. Byrd sold both a few ounces of cocaine at a time and multi-kilogram quantities. In addition to cocaine and cocaine base, Mackie also trafficked in a mixture of heroin and fentanyl. Mackie used one co-conspirator’s home in York County to manufacture heroin/fentanyl pills for distribution. These pills were pressed to look like commonly marketed opioid pills, such as Oxycodone.
Mackie pleaded guilty to operating a continuing criminal enterprise and faces a mandatory minimum penalty of 20 years and a maximum sentence of life in prison when sentenced on June 19. Byrd pleaded guilty to conspiracy to distribute and possess with intent to distribute five kilograms or more of cocaine, two counts of distribution of cocaine, three counts of using a communication facility in furtherance of drug trafficking, and promotion money laundering. He faces a mandatory minimum sentence of 10 years and a maximum of life plus 92 years in prison when sentenced on May 7. 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 Forces (OCDETF), Operation Cookout. 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; Raymond Villanueva, Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Washington, D.C.; Jesse R. Fong, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division; Colonel Gary T. Settle, Superintendent of Virginia State Police; Steve R. Drew, Chief of Newport News Police; and Terry L. Sult, Chief of Hampton Police Division, made the announcement after U.S. Magistrate Judge Lawrence R. Leonard accepted the plea. Assistant U.S. Attorneys Peter G. Osyf and Kevin P. Hudson, Special Assistant U.S. Attorney Amy E. Cross, and Trial Attorney Anthony Aminoff of the Criminal Division’s Narcotic and Dangerous Drug Section (NDDS) 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. 4:19-cr-047.
Two Correctional Officers with the U.S. Bureau of Prisons Arrested for Allegedly Violating Inmate’s Civil RightsRead the Press Release
BOSTON – A senior correctional office and a lieutenant at FMC Devens were arrested today and charged with injuring an inmate and then obstructing the investigation.
Seth M. Bourget, 39, of Woodstock, Conn., a Senior Correctional Officer at U.S. Bureau Prisons Federal Medical Center in Devens (FMC Devens), was indicted on two counts of deprivation of civil rights under color of law. Joseph M. Lavorato, 51, of Wilmington, Mass., a Lieutenant at FMC Devens was indicted on obstruction of an official proceeding and destruction and falsification of records in a federal investigation. Bourget and Lavorato were arrested this morning and will appear in federal court in Boston at 2:00 p.m.
“These corrections officers abused their authority and the public’s trust by allegedly injuring a vulnerable inmate and then attempting to cover it up,” said United States Attorney Andrew E. Lelling. “This conduct is an affront to the law enforcement officers who serve honorably every day and fulfill their duties with fairness and integrity. Today’s charges reflect the Justice Department’s commitment to prosecuting official misconduct.”
“The alleged use of excessive force by Correctional Officer Bourget toward an inmate and the alleged follow-up actions and poor judgment of Lieutenant Lavorato in attempting to cover up the incident are extremely troubling. This kind of conduct directly contradicts the oath that federal Correctional Officers take – to serve and protect, and to uphold the law,” said Guido Modano, Special Agent in Charge of the Department of Justice Office of the Inspector General New York Field Office.
“Great power and responsibility are sewn into a Bureau of Prisons uniform. But that uniform and the oath taken by those who wear it is not a license to use excessive force on a vulnerable prisoner, or to allegedly cover up a subordinate’s reprehensible behavior by attempting to destroy evidence of that abuse,” said Joseph R. Bonavolonta, Special Agent in Charge of the FBI Boston Division. “Civil rights are everyone’s rights, and we will continue to investigate anyone who violates their professional responsibility to keep others safe and secure.”
According to the indictment, on or about June 18, 2019, Bourget, dropped his knee on an inmate’s head while the inmate was handcuffed and restrained on the floor in the mental health housing unit, resulting in bodily injury to the inmate. It is further alleged that Bourget struck the handcuffed inmate with a protective shield with excessive force, in a locked cell, injuring the inmate
Lieutenant Lavorato allegedly obstructed the investigation into U.S. Bureau of Prison’s review of the use of the force by purposely failing to timely and accurately report the nature and extent of inmate’s injuries and intentionally concealing the existence a video recording of the incident in an official report. It is alleged that Lavorato destroyed a video recording of the incident, and then falsely stated in a report that the security camera was not operational at the time due to a dead battery.
The charge of willful deprivation of civil rights under color of law provides for a sentence of up to 10 years in prison, two years of supervised release and a fine of up to $250,000. The charge of obstruction of an official proceeding and the destruction and falsification of a record in a federal investigation provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Lelling, DOJ-OIG SAC Modano, and FBI Boston SAC Bonavolonta made the announcement today. Assistant U.S. Attorney Neil J. Gallagher, Jr. of Lelling’s Public Corruption Unit is prosecuting the case.
The details contained in the indictment are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Three LMPD Officers Charged in Overtime Case SentencedRead the Press Release
LOUISVILLE, Ky. – Three Louisville Metropolitan Police Department (LMPD) officers charged with wire fraud for their part in a scheme to defraud the Commonwealth of Kentucky, the federal government, and their own department have been sentenced today, announced United States Attorney Russell Coleman.
All three were sentenced to 3 years’ probation with 8 months on curfew, required to pay the costs associated with that location monitoring curfew, ordered to pay restitution in their individual amounts, and ordered to pay a Special Assessment of $100.
“Louisville is well-served by the men and women of LMPD, whose culture is one of self-sacrifice, heroism, and deep conviction in regularly risking comfort and personal safety to protect our city,” stated U.S. Attorney Russell Coleman. “The theft by these three defendants was not borderline conduct, not merely knocking off early on a Friday afternoon; instead, falsification of arrest citations, lying, and failing to report for duty, once even documented sleeping on a couch instead of at work protecting our families. The United States Attorney’s Office and our partners the Jefferson Commonwealth’s Attorney’s Office will give no quarter to those who tarnish the badge worn so honorable by so many within LMPD.”
“Those police officers who have abused the public trust for personal gain must answer to consequences just like the suspects they arrest,” stated Commonwealth’s Attorney Tom Wine. “Every day, our police do tireless, thankless work for their community. And trust between the public and those officers is absolutely vital. While this case is now resolved, our community should rest assured that the office of the Commonwealth’s Attorney and the office of the U.S. Attorney will always strive to protect that trust by enforcing the law--regardless of who has violated it.”
Defendants Brian Stanfield, Todd Roadhouse, and Mark Final took part in a scheme that ran from at least 2014 to in or about August 2017 to defraud LMPD, the Commonwealth of Kentucky, and the federal government for monetary gains by submitting overtime requests for time they did not actually work on behalf of LMPD and failing to work during their assigned shifts. The three also submitted overtime requests claiming to have worked hours for the Drug Enforcement Administration (DEA) and the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) on Organized Crime Drug Enforcement Task Force (OCDETF) matters. All three defendants waived Indictment by the grand jury and pleaded guilty to a felony Information before the Court in October 2019.
According to Sentencing Memoranda before the Court, to bolster and support their fraud, the defendants falsified numerous documents including overtime reports, payroll submissions, and uniform citation arrest reports of defendants charged within LMPD’s Script Unit where all three defendants worked during the relevant time. The defendants further coordinated with one another to ensure that the time that each submitted for overtime payments did not conflict with specific times that one or more of them was also purporting to work secondary employment and to ensure their overtime requests were submitted in the LMPD payroll system in such ways as to not raise concerns.
The defendants went even further to provide documentary support for hours of overtime they did not actually work by creating false entries in the uniform citation arrest reports they issued. Specifically, the defendants would falsely report the time of the citation arrest and/or deceptively add one or more of the other defendants’ names on the officer’s signature line of the citation to make it appear that the additional defendant was present and involved in the citation arrest, when, in fact, this was not true. As an example, if a citation arrest actually occurred at 6 pm, the defendant writing the report would falsify the time on the uniform citation arrest report to state that the arrest had occurred at a later time, perhaps 9 pm, in order to make it appear that he worked later into the evening than he actually had and to justify the submission of overtime hours not worked. The defendant drafting the citation report would also add a co-defendant’s name to the report on the officer’s signature line even though the defendant whose name was added was not present for the arrest nor involved in the investigation in order to allow the co-defendant to claim overtime pay for a shift covering the falsified time on the report despite his not actually working during that shift.
It was further part of the scheme that the defendants submitted overtime requests claiming to have worked hours for the DEA and the ATF on OCDETF matters when they, in fact, did not work those hours. Stanfield submitted falsified overtime hours to both DEA and ATF, while Roadhouse and Final falsified hours to claim time worked and paid out of ATF OCDETF funds. Ultimately, the defendants were paid through LMPD for these claimed, but not worked, hours, and the DEA and the ATF reimbursed LMPD pursuant to their respective OCDETF Agreements.
The defendants engaged in this fraud and misrepresentation in order to steal funds from the Louisville Metro Police Department and the federal government by way of an inflated paycheck as well as to increase their salary over time in order to inflate the benefits they would receive from the Kentucky Retirement Systems upon retirement.
The case is being prosecuted by Assistant United States Attorney Stephanie Zimdahl and Special Assistant U.S. Attorney Kaleb Noblett of the Jefferson County Commonwealth’s Attorney’s Office and was investigated by the Kentucky Public Corruption Civil Rights Task Force which consists of the Federal Bureau of Investigation (FBI), LMPD, the Kentucky Office of the Attorney General, and the Kentucky State Police.
####
Three Charged in Wire Fraud Scheme that Used IRS Impersonators to Defraud U.S. VictimsRead the Press Release
PITTSBURGH, PA – Three southwestern Pennsylvania residents have been indicted by a federal grand jury in Pittsburgh on a charge of conspiracy to commit wire fraud, United States Attorney Scott W. Brady announced today.
The one-count Indictment, returned on January 16, named Ronnell Taylor, Jr., 37, of Jeannette Pennsylvania; Barry Nealer, 40, of Pittsburgh, Pennsylvania, and Michael Galanis, 31, of Export, Pennsylvania, as defendants.
According to the indictment presented to the court, between March 2016, and August 2017, the defendants knowingly and willfully conspired to commit wire fraud, including, among other alleged conduct, by activating and programming cell phone numbers later used by individuals impersonating employees of the United States Internal Revenue Service to defraud victims in the United States.
The law provides for a maximum total sentence of 20 years in prison, a fine of $250,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Rachael L. Mamula is prosecuting this case on behalf of the government
The United States Treasury Inspector General for Tax Administration, United States Department of Homeland Security, and the United States Postal Inspection Service conducted the investigation leading to the indictment in this case.
An indictment is an accusation. Defendants are presumed innocent unless and until proven guilty.
Texas Man Charged with Federal Hate Crimes and Firearm Offenses Related to August 3, 2019, Mass-Shooting in El PasoRead the Press Release
Today, a federal grand jury in El Paso, Texas, indicted Patrick Wood Crusius, 21, of Allen, Texas, on hate crimes and firearm charges in connection with the murder of 22 people and attempted murder of 23 others at a Walmart in El Paso, Texas, on August 3, 2019. The announcement was made by Assistant Attorney General Eric S. Dreiband of the Department of Justice’s Civil Rights Division, U.S. Attorney for the Western District of Texas John F. Bash, and Special Agent in Charge of the FBI’s El Paso Field Office Luis M. Quesada.
The indictment alleges that on August 3, 2019, Crusius opened fire with an assault rifle and shot multiple individuals in and around the Walmart Supercenter in El Paso, leading to the death of 22 individuals and injuring many more. The indictment further alleges that, on the same date as the shooting, Crusius uploaded to the internet a document he had drafted entitled “The Inconvenient Truth.” The document opened by stating, “This attack is a response to the Hispanic invasion of Texas. They are the instigators, not me. I am simply defending my country from cultural and ethnic replacement brought on by the invasion.” The indictment charges that Crusius willfully caused bodily injury to the victims because of the actual and perceived national origin of any person.
In total, the ninety-count indictment charges Crusius with 22 counts of hate crimes resulting in death, 23 hate crimes involving an attempt to kill, and 45 counts of discharging a firearm in relation to the hate crimes.
Upon conviction, the charges in the indictment call for the death penalty or life imprisonment. The Attorney General will decide whether to seek the death penalty at a later time. Should the Attorney General determine that the circumstances of the offense are such that a sentence of death is justified, the law requires that notice be filed with the court at a reasonable time before trial. Crusius is currently in state custody pending state criminal charges.
The FBI, with the support of the El Paso Police Department, Texas Department of Public Safety, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), El Paso County Sheriff’s Office, El Paso County Office of the Medical Examiner, Allen Police Department and Dallas Police Department, conducted this investigation. The case is being prosecuted by Assistant U.S. Attorneys Ian Hanna and Greg McDonald of the Western District of Texas, and U.S. Department of Justice Trial Attorneys Tim Visser and Michael Warbel.
It is important to note that an indictment is merely a charge and should not be considered as evidence of guilt. The defendant is considered innocent until proven guilty in a court of law.
Texas Man Charged with Federal Hate Crimes and Firearm Offenses Related to August 3, 2019, Mass-Shooting in El PasoRead the Press Release
Today, a federal grand jury in El Paso, Texas, indicted Patrick Wood Crusius, 21, of Allen, Texas, on hate crimes and firearm charges in connection with the murder of 22 people and attempted murder of 23 others at a Walmart in El Paso, Texas, on Aug. 3, 2019. The announcement was made by Assistant Attorney General Eric Dreiband of the Department of Justice’s Civil Rights Division, U.S. Attorney for the Western District of Texas John F. Bash, and Special Agent in Charge of the FBI’s El Paso Field Office Luis M. Quesada.
The indictment alleges that on Aug. 3, 2019, Crusius opened fire with an assault rifle and shot multiple individuals in and around the Walmart Supercenter in El Paso, leading to the death of 22 individuals and injuring many more. The indictment further alleges that, on the same date as the shooting, Crusius uploaded to the internet a document he had drafted entitled “The Inconvenient Truth.” The document opened by stating, “This attack is a response to the Hispanic invasion of Texas. They are the instigators, not me. I am simply defending my country from cultural and ethnic replacement brought on by the invasion.” The indictment charges that Crusius willfully caused bodily injury to the victims because of the actual and perceived national origin of any person.
In total, the 90-count indictment charges Crusius with 22 counts of hate crimes resulting in death, 23 hate crimes involving an attempt to kill, and 45 counts of discharging a firearm in relation to the hate crimes.
Upon conviction, the charges in the indictment carry a maximum penalty of life imprisonment or the death penalty. The Attorney General will decide whether to seek the death penalty at a later time. Should the Attorney General determine that the circumstances of the offense are such that a sentence of death is justified, the law requires that notice be filed with the court at a reasonable time before trial. Crusius is currently in state custody pending state criminal charges.
The FBI with the support of the El Paso Police Department, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Texas Department of Public Safety, El Paso County Sheriff’s Office, El Paso County Office of the Medical Examiner, Allen Police Department and Dallas Police Department, conducted this investigation. The case is being prosecuted by Assistant U.S. Attorneys Ian Hanna and Greg McDonald of the Western District of Texas, and U.S. Department of Justice Trial Attorneys Tim Visser and Michael Warbel.
It is important to note that an indictment is merely a charge and should not be considered as evidence of guilt The defendant is considered innocent until proven guilty in a court of law.
More information about the Department’s hate crimes efforts, including facts and statistics, case examples, and a searchable collection of the Department’s resources for law enforcement, community groups, researchers and others, are available at www.justice.gov/hatecrimes.
Tampa Felon, Previously Convicted of Attempted Murder, Pleads Guilty to Drug and Firearms ChargesRead the Press Release
Tampa, Florida – DeShawn Torrell Salley (49, Tampa) today pleaded guilty to distributing at least 50 grams of methamphetamine, possessing a firearm in furtherance of a drug trafficking crime, and possessing a firearm as a convicted felon. He faces a mandatory minimum term of 15 years, and up to life, in federal prison. A sentencing date has not yet been set.
According to the plea agreement, between 1999 and 2004, Salley was convicted of six felony offenses, including attempted murder in the first degree. On June 5, 2019, he sold 54 grams of methamphetamine to a confidential informant in Tampa. On July 31, 2019, federal agents arrested Salley. During the execution of a search warrant at Salley’s apartment, federal agents recovered a loaded Glock .45 caliber pistol, a bulletproof vest, heroin, and marijuana.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Drug Enforcement Administration, the Tampa Police Department, and the Hillsborough County Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Christopher F. Murray.
This is another case prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide, crime reduction strategy aimed at decreasing violent crime in communities. It involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts. In the Middle District of Florida, U.S. Attorney Maria Chapa Lopez coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.
Successor to L.A.’s Redevelopment Agency Reaches $3.1 Million Settlement in Case Alleging Misuse of Federal Housing FundsRead the Press Release
LOS ANGELES – CRA/LA has agreed to pay $3.1 million to resolve allegations that its predecessor violated the False Claims Act by knowingly failing to comply with federal accessibility laws when it financed and assisted in the development of affordable housing in the City of Los Angeles supported by federal funds, the Department of Justice announced today.
CRA/LA is the successor of the Community Redevelopment Agency of the City of Los Angeles, a local redevelopment agency that financed and assisted in the development of multifamily affordable housing using local tax monies and federal community development grants. In June 2011, the State of California dissolved all redevelopment agencies. CRA/LA is winding down the affairs of its predecessor.
“Despite millions of dollars of federal taxpayer money sent to Los Angeles to create affordable housing over many years, the CRA opted to lie about its failure to ensure that these projects were accessible to everyone,” said United States Attorney Nick Hanna. “This settlement resolves only a small portion of this case, and we are prepared to litigate additional allegations that the City of Los Angeles covered up its failure to comply with federal laws enacted to protect the civil rights of all citizens.”
“Today’s settlement demonstrates our continuing vigilance ensuring developers receiving federal grant money for affordable housing satisfy their legal obligations to make that housing accessible to people with disabilities,” said Assistant Attorney General Jody Hunt for the Department of Justice’s Civil Division. “Grant recipients who discriminate against people with disabilities using taxpayer money face serious consequences.”
“The basic tenant of fair housing translates into the premise of equal access for all, this is to include those citizens that face physical and functional challenges,” said Inspector General Rae Oliver Davis of the U.S. Department of Housing and Urban Development. “This settlement reaffirms this office’s steadfast resolve to ensure those who receive federal housing funds abide by this fundamental principle.”
Recipients of federal housing development funds must comply with federal accessibility laws, including Section 504 of the Rehabilitation Act, the Americans with Disabilities Act, and the Fair Housing Act. These laws prohibit discrimination against people with disabilities in activities receiving federal financial assistance.
For example, they require 5 percent of all units in certain federally assisted multifamily housing be accessible for people with mobility impairments and an additional two percent be accessible for people with visual and auditory impairments.
Recipients of federal funds must likewise implement accessible programs related to housing, including maintaining a publicly available list of accessible units with a description of their accessibility features, adopting policies and procedures to ensure that people who need the accessibility features of particular units occupy them, and designating at least one individual to coordinate accessibility efforts.
The settlement resolves claims against CRA/LA in a lawsuit alleging that the CRA/LA’s predecessor, along with the City of Los Angeles, received money from the U.S. Department of Housing & Urban Development based on false claims they were complying with federal accessibility laws.
As to the CRA/LA’s predecessor, the United States’ lawsuit alleged at least nine multifamily housing properties fell significantly short of federal accessibility laws since 2005. Examples of alleged defects included:
- slopes and ramps too steep for people in wheelchairs;
- tall thresholds restricting wheelchair access;
- kitchen cabinets, shelves, and surfaces outside the accessible reach range of people in wheelchairs;
- sinks, grab bars, and mailboxes mounted outside the accessible reach range of people in wheelchairs;
- uninsulated pipes below sinks and lavatories;
- a lack of accessible parking spaces; and
- insufficient visual alarms and tactile signs for people with hearing and visual impairments.
The United States’ claims against the City of Los Angeles have not been resolved and are still pending in the litigation.
The agreement announced today partially resolves a lawsuit originally filed in United States District Court in Los Angeles by Mei Ling, a resident of Los Angeles resident who uses a wheelchair, and the Fair Housing Council of San Fernando Valley, a nonprofit civil rights advocacy group.
The lawsuit was filed under the qui tam, or whistleblower, provisions of the False Claims Act, which permit private parties to sue on behalf of the United States when they believe that a party has submitted false claims for government funds, and to receive a share of any recovery. The False Claims Act permits the government to intervene in such lawsuit, as it has done in this case.
These matters were investigated and litigated by Assistant United States Attorneys Lisa A. Palombo and Ross M. Cuff of the Civil Division’s Civil Fraud Section and the Justice Department’s Civil Division Commercial Litigation Branch. HUD’s Office of Inspector General and Office of General Counsel also participated in the investigation.
The claims asserted against the City of Los Angeles and CRA/LA are allegations only; there has been no determination of liability. The case is captioned United States ex rel. Ling, et al. v. City of Los Angeles, et al., CV 11-974-PSG.
Statement by U.S. Attorney Mike Hurst Regarding State Investigation and Local Arrests Relating to Fraud at Mississippi Department of Human ServicesRead the Press Release
“The U.S. Attorney’s Office has received numerous inquiries regarding the State Auditor’s investigation into the Mississippi Department of Human Services and local indictments returned by a Hinds County grand jury in that case.
While we commend the reported actions, neither the FBI nor the United States Attorney’s Office was contacted by the State Auditor or the Hinds County District Attorney about this investigation, although millions of federal dollars are alleged to have been stolen.
After hearing about the investigation, I reached out to the State Auditor and met with him last week to inquire into this matter. I subsequently spoke with the District Attorney about this matter as well. While information about this investigation was made available to us on Tuesday, we in the United States Attorney’s Office and the FBI only learned on Wednesday afternoon from media reports about the indictment and arrests, at the same time as the general public did.
Investigating and prosecuting cases of this magnitude and complexity is routinely what the FBI and U.S. Attorney’s Offices do here in Mississippi and around the country. In the U.S. Attorney’s Office for the Southern District of Mississippi we have a long, successful record of working with our local and state law enforcement, prosecuting public corruption and complex white collar fraud, and bringing all who violate the law to justice.
The U.S. Attorney’s Office and the FBI continue to have good working relationships with the new State Auditor, the new Hinds County District Attorney, and their offices. We stand ready to put the substantial experience and expertise of our offices and the entire U.S. Department of Justice to work to help our colleagues bring fraudsters to justice and stamp out public corruption.”
Schuylkill County Woman Sentenced to 28 Months’ Imprisonment and Ordered to Forfeit Her Residence and Property for Role in Methamphetamine ConspiracyRead the Press Release
SCRANTON—The United States Attorney’s Office for the Middle District of Pennsylvania announced that Laverne Schaeffer, age 48, of Schuylkill Haven, Pennsylvania, was sentenced on February 5, 2020 to 28 months’ imprisonment by U.S. District Court Judge Robert D. Mariani for participating in a methamphetamine trafficking conspiracy.
According to United States Attorney David J. Freed, Schaeffer previously pleaded guilty to participating in the drug trafficking conspiracy between July 2016 and May 2017 that operated in Schuylkill and Berks Counties.
Judge Mariani also ordered Schaeffer to forfeit to the United States more than 105 acres of property in Schuylkill County that was used by her, her husband Ernest Schaeffer, and other members of the drug conspiracy to store methamphetamine and firearms.
Ernest Schaeffer was previously sentenced to 15 years in prison, while Anibal Rodriguez, the leader of the drug conspiracy, was sentenced to 20 years in prison.
The case was investigated by the Federal Bureau of Investigation, the Pennsylvania State Police, and local police in Schuylkill County. Assistant U.S. Attorney Francis P. Sempa prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
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.
# # #