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4 February 2020
Martinsburg man sentenced for using someone else’s social security numberRead the Press Release
MARTINSBURG, WEST VIRGINIA – Alberto Poblano Lopez, of Martinsburg, West Virginia, was sentenced today to five years probation for using a false social security number to obtain a driver’s license, U.S. Attorney Bill Powell announced.
Lopez, age 37, pled guilty to one count of “False Representation of a Social Security Number” in September 2019. Lopez admitted to using someone else’s social security number in order to obtain a West Virginia Driver’s License in August 2018 in Jefferson County.
Assistant U.S. Attorney Lara Omps-Botteicher prosecuted the case on behalf of the government. The U.S. Department of State, Diplomatic Security Service investigated.
Chief U.S. District Judge Gina M. Groh presided.
Martinsburg man sentenced for role in cocaine, heroin, and fentanyl distribution operationRead the Press Release
MARTINSBURG, WEST VIRGINIA – Bruce Scott Nicholson, of Martinsburg, West Virginia, was sentenced today to five years probation for his role in a cocaine, heroin, and fentanyl distribution operation, U.S. Attorney Bill Powell announced.
Nicholson, age 53, pled guilty to one count of “Aiding and Abetting Travel Act - Promotion” in September 2019. Nicholson admitted to working with another to travel from West Virginia to Pennsylvania to obtain drugs to then distribute those drugs in West Virginia. The crime occurred in October 2018.
Assistant U.S. Attorney Lara K. Omps-Botteicher, Special Assistant U.S. Attorney C. Lydia Lehman, also with the Berkeley County Prosecuting Attorney’s Office, and Assistant U.S Attorney Timothy D. Helman, prosecuted the case on behalf of the government. The Federal Bureau of Investigation; the West Virginia State Police; the Eastern Panhandle Drug & Violent Crimes Task Force, a HIDTA-funded initiative; the Berkeley County Prosecuting Attorney’s Office, the Berkeley County Sheriff’s Office, the Jefferson County Sheriff’s Office, the Martinsburg Police Department, the Charles Town Police Department, and the Ranson Police Department investigated.
The investigation was funded by the federal Organized Crime Drug Enforcement Task Force Program (OCDETF). The OCDETF program supplies critical federal funding and coordination that allows federal and state agencies to work together to successfully identify, investigate, and prosecute major interstate and international drug trafficking organizations and other criminal enterprises.
Chief U.S. District Judge Gina M. Groh presided.
Marshall County man faces firearms chargesRead the Press Release
WHEELING, WEST VIRGINIA – Mack A. Tagg, of Moundsville, West Virginia, was indicted today on firearms charges, U.S. Attorney Bill Powell announced.
Tagg, age 39, was indicted on one count of “Prohibited Person in Possession of a Firearm” and two counts of “False Statement to Acquire Firearm.” Tagg, a person prohibited from possessing a firearm, is accused of having three pistols, two rifles, and a firearms frame in 2019 in Marshall County. Tagg is also accused of falsifying forms to purchase firearms in March and April 2019 in Marshall County.
Tagg faces up to 10 years incarceration and a fine of up to $250,000 for each count. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Robert H. McWilliams is prosecuting the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Marshall County Drug & Violent Crimes Task Force, a HIDTA-funded initiative, investigated.
This case is part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see: www.justice.gov/projectguardian.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
Manchester Woman Pleads Guilty to Attempting to Provide Federal Inmate with Drug ContrabandRead the Press Release
LONDON, Ky. - Keisha Pelote, 33, of Manchester, Kentucky, pleaded guilty in federal court Tuesday, before U.S. District Judge Claria Horn Boom, to introduction of contraband to an inmate in federal prison.
Pelote admitted that on September 14, 2019, she went to FCI Manchester to visit her husband, an inmate at the prison. According to her plea agreement, she told facility staff that she wished to change in her car, and a correctional officer observed her engaging in suspicious activity in the car. A K-9 unit alerted officers to the presence of narcotics in the car; and upon search, the officers found 270 unopened buprenorphine and naloxone strips in the car. Pelote admitted that she also had 20 unopened strips of the same substances on her person.
Pelote was indicted in September 2019.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky, and John Gilley, Warden of FCI Manchester, announced the guilty plea.
The investigation was conducted by the Bureau of Prisons with the assistance of the Department of Homeland Security. The United States was represented by Assistant U.S. Attorney Nick Rabold.
Pelote is scheduled to be sentenced on May 19, 2020. She faces up to 20 years in prison and a maximum fine of $250,000. However, any sentence will be imposed by the Court after its consideration of the U.S. Sentencing Guidelines and the federal sentencing statutes.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
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Man pleads guilty to meth conspiracyRead the Press Release
LAREDO, Texas – A 31-year-old Mexican national has admitted to conspiring with others to import approximately 25 kilograms of 100% pure meth from Mexico, announced U.S. Attorney Ryan K. Patrick.
Pablo Xavier Castillo Jaramillo planned to import meth from Mexico on Aug. 22, 2019, along with Edgar Eliud Villarreal Munoz, a 43-year-old Mexican national. On that date, Munoz attempted to cross the border at the Juarez-Lincoln International Bridge in Laredo driving a Chevrolet Silverado 1500 hauling a utility trailer. Upon his arrival, authorities conducted an inspection of the truck’s interior and found packages concealed within the door frame.
The packages were ultimately found to contain approximately 25.04 kilograms of meth.
Jaramillo admitted he was paid 10,000 pesos to build the compartments and conceal the narcotics inside Munoz’s vehicle.
Munoz pleaded guilty Nov. 4, 2019, admitting he expected to be paid $5,000 for importing and transporting the narcotics inside the vehicle.
U.S. District Judge Marina Garcia Marmolejo will set sentencing at a later date. At that time, both men face up to 10 years in federal prison and a possible $10 million maximum fine.
Jaramillo and Munoz have been and will remain in custody pending that hearing.
Immigration and Customs Enforcement’s Homeland Security Investigations conducted the investigation with assistance from Border Patrol and Customs and Border Protection. Assistant U.S. Attorney Yoona Lim is prosecuting the case.
Man Who Guarded Lightfoot Drug House Sentenced to PrisonRead the Press Release
PITTSBURGH – A former resident of Verona, PA, has been sentenced to federal prison on federal narcotics charges, United States Attorney Scott W. Brady announced today.
Chace Johnson, age 21, formerly of Harvest Drive, previously pleaded guilty to one count of maintaining a drug involved premises before Chief U.S. District Court Judge Mark R. Hornak. Yesterday, Judge Hornak sentenced Johnson to a term of 23 months in prison followed by three years of supervised release.
According to information presented to the court in August and September of 2017, Johnson guarded the drug house on Harvest Drive in Verona, PA run by Jamie Lightfoot, Jr. and other co-conspirators. In furtherance of this, Johnson guarded large sums of money used in the drug trafficking and also acquired drug packaging material to be used in re-packaging and distribution for the drugs coming into the house.
On November 5, 2017, an FBI and Pennsylvania State Police Task Force executed a search warrant at the Harvest Drive location. The search netted 52 kilograms of cocaine and heroin, 85 pounds of marijuana, illegal steroids, three firearms, and nearly a million dollars in cash.
Assistant United States Attorneys Timothy M. Lanni and Shaun Sweeney are prosecuting this case on behalf of the government.
The Federal Bureau of Investigation and the Pennsylvania State Police, with assistance from the South Strabane Police Department, the Elizabeth Borough Police Department, the Penn Hills Police Department and the Perryopolis Police Department, conducted the investigation that led to the Indictment in this case.
The investigation was funded by the federal Organized Crime Drug Enforcement Task Force Program (OCDETF). The OCDETF program supplies critical federal funding and coordination that allows federal and state agencies to work together to successfully identify, investigate, and prosecute major interstate and international drug trafficking organizations and other criminal enterprises.
Magnolia man faces federal charges for shooting mail carrierRead the Press Release
HOUSTON – The 24-year-old man who allegedly shot two people in December 2019 is expected to appear in federal court, announced U.S. Attorney Ryan K. Patrick.
Matthew Anthony Williams is expected to make his initial appearance before U.S. Magistrate Judge Christina Bryan today at 2 p.m.
The Houston grand jury returned the indictment Jan. 30. Williams is charged with assaulting a federal employee with a deadly weapon and discharging a firearm during a crime of violence Dec. 28, 2019.
If convicted, Williams faces up to 20 years in prison for assaulting a federal employee. He also faces a mandatory minimum of 10 years and up to life for discharging the firearm during the assault which must be served consecutively to any other prison term imposed. He could also be ordered to pay restitution to the victims.
The U.S. Postal Inspection Service conducted the investigation with the assistance of the Bureau of Alcohol, Tobacco, Firearms and Explosives; Houston Police Department and sheriff’s offices in Harris and Montgomery Counties. Assistant U.S. Attorneys Richard Hanes and Heather Winter are prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law.Lynn Man Sentenced for Role in $1.4 Million Bank Fraud and Money Laundering SchemeRead the Press Release
BOSTON – A Lynn man was sentenced yesterday in federal court in Boston in connection with receiving and laundering approximately $1.4 million fraudulently obtained from a Korean company.
Chukwuemeka Eze, 37, was sentenced by U.S. District Court Judge Leo T. Sorokin to 51 months in prison, five years of supervised release and ordered to pay $862,823 in restitution. In November 2019, Eze pleaded guilty to bank fraud, money laundering and aggravated identity theft. Eze was arrested in June 2019 and has been held in federal custody since that time.
Eze admitted that he used a victim’s name, date of birth and Social Security number without permission to open bank accounts in the victim’s name and in the name of a fictitious Massachusetts corporation that Eze created, Levistronix GMB Ltd. Eze selected the name for Levistronix because of its similarity to Levitronix GmbH, an actual Swiss company. In May and June 2018, others involved in the scheme sent fake Levitronix invoices totaling approximately $1.4 million to a Korean company that was a Levitronix customer. The fake invoices directed the company to send the $1.4 million to Eze’s deceptively-named Massachusetts bank account.
When Eze received the money, he withdrew cash, and spent tens of thousands of dollars on retail purchases, including Apple laptops and Zales’ jewelry. He also purchased $700,000 in bank checks payable to other fictitious companies that he controlled, which he deposited into bank accounts in those companies’ names. Eze in turn made cash withdrawals, retail purchases and wire transfers from those bank accounts, all to conceal the fact that the money was the proceeds of the fraud scheme. In doing so, Eze spent or disbursed more than $862,000 of the Korean company’s money.
United States Attorney Andrew E. Lelling and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division made the announcement. Assistant U.S. Attorney Seth B. Kosto of Lelling’s Cybercrime Unit prosecuted the case.
Long Island Man Convicted of Home Invasion Armed Robbery Conspiracies, Unlawful Use of Firearms and Firearms-Related MurderRead the Press Release
A federal jury in Central Islip returned a guilty verdict today against Tyrone L. Robinson on seven counts of Hobbs Act robbery conspiracy, seven counts of robbery and attempted robbery of drugs and drug proceeds, seven counts of unlawful use, brandishing and discharge of firearm, four counts of felon in possession of firearms and ammunition and one count of firearms-related murder. The verdict followed a four-week trial before United States District Judge Sandra J. Feuerstein. When sentenced, Robinson faces a mandatory minimum sentence of 64 years in prison, and a maximum of life imprisonment.
Richard P. Donoghue, United States Attorney for the Eastern District of New York, and John B. Devito, Special Agent-in-Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives, New York Field Division (ATF), announced the verdict.
The evidence at trial established that between August 2015 and May 2016, Robinson and his co-conspirators committed multiple armed home invasion robberies of drug dealers in Nassau and Suffolk counties. The victims were pistol-whipped, often times zip tied, threatened with death and shot. On March 25, 2016, Robinson committed an armed home invasion in Lake Grove and threatened to kill an eight-year-old girl if she did not find money for him. The following night, when Robinson returned to the scene of the Lake Grove home invasion, he dropped his cell phone and it was recovered by police responding to a call from neighbors. The cellphone was logged into Robinson’s online account which he had used to Google search for directions to his targeted locations and for news reports about the crimes he had committed. For example, after a violent robbery attack in Hempstead, Robinson Google searched, “man beaten in Hempstead.” During a home invasion robbery by Robinson on May 3, 2016 in Freeport, the victim Johnathan Isaac was fatally shot in the back. Five days before the murder, Robinson purchased the floor plans for the location of the murder using his Gmail account and, shortly after Isaac’s murder and the shooting of another victim in Freeport, Robinson Google searched “two shot Freeport” for news reports about the crimes.
“Over the course of two years, Robinson violently preyed upon multiple victims with firearms and his fists, inflicting permanent injuries and death to satisfy his greed,” stated United States Attorney Donoghue. “With today’s verdict, Robinson will now face serious punishment for terrorizing communities on Long Island.”
“Today’s verdict signals an end to a reign of terror that included brazen acts of violence and reckless disregard for human life,” stated ATF Special Agent-in-Charge Devito. “Tyrone L. Robinson is an example of the type of violent individual that presents a clear and present danger to the law abiding people in the community. ATF and our partners stand committed to identifying, arresting and prosecuting individuals like Robinson to ensure that our communities will not be further damaged by this violent scourge. I would like to thank our ATF Long Island Field Office and the United States Attorney’s Office for the Eastern District of New York for their work on this case.”
Mr. Donoghue and Special Agent-in-Charge Devito expressed their grateful appreciation to the Nassau and Suffolk Police Departments and the New York State Department of Corrections and Community Supervision for their assistance with the investigation and prosecution.
This case was brought as 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 its renewed focus on targeting violent criminals, directing all U.S. Attorneys’ 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 government’s case is being handled by the Office’s Long Island Criminal Division. Assistant United States Attorneys Allen Bode, Monica Castro and Anthony Bagnuola are in charge of the prosecution.
The Defendant:
TYRONE L. ROBINSON
Age: 34
Bay Shore, New YorkE.D.N.Y. Criminal Docket No. 16-545 (S-4)(SJF)
London Woman Pleads Guilty to Drug Trafficking and Identity TheftRead the Press Release
LONDON, Ky.- Wilma Thompson, 41, of London, pleaded guilty in federal court on Tuesday, before U.S. District Judge Claria Horn Boom, to obtaining a controlled substance through the registration of another and identity theft.
In her guilty plea, Thompson admitted that she was employed as an office manager for a physician, that prescription tablets repeatedly went missing from the office, and that she was observed on multiple occasions taking Xanax at the office. Thompson’s employment with the office ended in October 2017; but in her plea agreement, she admitted that, in May 2018, she attempted to obtain 180 Hydrocodone tablets, using a forged prescription bearing her previous employer’s name and DEA registration number.
After obtaining a search warrant, officers seized 582 forged prescriptions, bearing the physician’s name and DEA registration number, and 23 empty prescription bottles. Thompson admitted that she had been forging prescriptions, monthly, since January 14, 2016, and she had obtained a total of 8,370 hydrocodone tablets and 2,358 alprazolam (Xanax) tablets.
Thompson was indicted in November 2019.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; James Robert Brown, Jr., Special Agent in Charge, Federal Bureau of Investigation; and Chief Darrell Kilburn, London Police Department, jointly announced the guilty plea.
The investigation was conducted by the FBI and London Police Department. The United States was represented by Assistant U.S. Attorney Nick Rabold.
Thompson is scheduled to be sentenced on May 19, 2020. She faces up to 20 years in prison and a maximum fine of $500,000. However, any sentence will be imposed by the Court after its consideration of the U.S. Sentencing Guidelines and the federal sentencing statutes.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
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Lincoln Man Sentenced to 400 Months for Receiving Child Pornography and Possessing Child PornographyRead the Press Release
United States Attorney Joe Kelly announced that Jack Eugene Knight, age 54, was sentenced today in federal court in Omaha, Nebraska, for two counts of Receiving Child Pornography and two counts of Possessing Child Pornography. United States District Judge Robert F. Rossiter, Jr. sentenced Knight to 400 months of imprisonment. There is no parole in the federal system. After completing his term of imprisonment, Knight will begin a lifetime term of supervised release. Knight was convicted of the offenses following a four-day jury trial in October of 2019.
The evidence at trial established that a November 2017 CyberTip from the National Center for Missing and Exploiting Children led federal law enforcements agents from the Department of Homeland Security to investigate Knight for committing federal child exploitation offenses. As part of the investigation, on August 22, 2018, federal agents executed a search warrant of Knight’s van which is where Knight was living at the time. Agents seized two cellular telephones, one laptop, and multiple external storage devices. Knight admitted to agents to collecting child pornography and told agents that child pornography would be located on the devices inside of his van. Knight also told agents that he had a storage unit in Lincoln, Nebraska which contained more devices containing child pornography. Agents traveled to Lincoln and collected three laptops from the defendant’s storage unit in Lincoln.
On September 24, 2018, after conducting initial forensics of some of Knight’s devices, agents arrested Knight in Valley, Nebraska. At the time of the arrest, Knight had a new cellular phone that he obtained after the August 22, 2018 search warrant. Knight admitted that additional child pornography would be located on this new cellular phone. Agents seized the new cellular phone for forensic analysis.
Agents conducted forensics analysis of Knight’s devices. Among Knight’s laptops, cell phones, and external storage devices, agents located more than 8,000 images of child pornography and 3,000 videos of child pornography. The images included children under the age of 12 and prepubescent minors engaging in sex acts.
Knight has prior convictions for attempted sexual assault of a child (1996- Lancaster County, Nebraska), Third Degree Sexual Assault of a Child (2013- York County, Nebraska), and Possession with Intent to Distribute Visual Depiction of Sexually Explicit Acts (2013- York County, Nebraska). Knight is a registered sex offender in the state of Nebraska.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
The case was investigated by the Department of Homeland Security- Homeland Security Investigations.
Leader of Norfolk-Based Heroin Trafficking Group SentencedRead the Press Release
NORFOLK, Va. – A Norfolk man was sentenced today to over 21 years in prison for his role in a large-scale heroin trafficking conspiracy.
“Kyam Washington led a conspiracy that moved hundreds of thousands of dollars of heroin into Hampton Roads,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “Heroin is a deadly poison, and its abuse starts a cascade of harm that permeates a user’s life and can have a devastating effect on everyone they come in contact with—their children, parents, friends, and the community as a whole. Washington played a significant role in pumping a massive amount of heroin into Hampton Roads, and the sentence delivered today is just punishment for his serious crimes.”
According to court documents, Washington, 46, was a lead drug dealer in a heroin ring that operated primarily from the Ocean View area of Norfolk that imported and sold multiple kilograms of heroin across Hampton Roads. The group imported bulk amounts of heroin from out-of-state sources and at times used a common cell phone number that addicts called to order heroin, which was then delivered by one of the conspirators.
The case was investigated as part of the Organized Crime Drug Enforcement Task Forces (OCDETF), Operation View Crew. 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; Jesse R. Fong, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division; Martin Culbreth, Special Agent in Charge of the FBI’s Norfolk Field Office; Larry D. Boone, Chief of Norfolk Police; and James A. Cervera, Chief of Virginia Beach Police, made the announcement after sentencing by Senior U.S. District Judge Rebecca Beach Smith. Assistant U.S. Attorneys Andrew C. Bosse, Joseph E. DePadilla, and John F. Butler 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. 2:19-cr-006.
Las Vegas Man Indicted for Child Exploitation ViolationsRead the Press Release
LAS VEGAS, Nev. – A federal grand jury indicted a Las Vegas man today for alleged federal child exploitation violations, announced U.S. Attorney Nicholas A. Trutanich for the District of Nevada.
Barry Allen Gabelman, 49, was charged with one count of coercion and enticement and one count of transferring obscene material to a minor. Gabelman is in federal custody pending his initial court appearance before U.S. Magistrate Judge Daniel J. Albregts on February 11, 2020.
According to allegations contained in the complaint and indictment, from about October 31, 2019 to December 6, 2019, Gabelman exchanged sexually explicit messages and photos via his Skout social media account, as well as his WhatsApp messaging account, with individuals whom he believed to be an 11-year-old girl and her step-father. In reality, a law enforcement officer posed as both the girl and step-father. During their communications, Gabelman discussed having sex with the 11-year-old girl. On December 6, 2019, Gabelman traveled to a pre-determined location to have sex with the girl. Officers arrested Gabelman at the meeting place.
The investigation was conducted by the FBI. Assistant U.S. Attorney Bianca Pucci is prosecuting the case.
An indictment merely alleges that crimes have been committed. The defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
If convicted, Gabelman faces a mandatory minimum sentence of 10 years in prison and a maximum sentence of life in prison for coercion and enticement and a maximum sentence of 10 years in prison for transfer of obscene material to a minor. The defendant also faces a period of supervised release.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
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KC Man Sentenced for Illegal FirearmRead the Press Release
KANSAS CITY, Mo. – A Kansas City, Missouri, man has been sentenced in federal court for illegally possessing a firearm.
Carl D. Edwards, 38, was sentenced by U.S. District Judge Stephen R. Bough on Monday, Feb. 3, to nine years and two months in federal prison without parole. Edwards was remanded to custody at the conclusion of yesterday’s sentencing hearing.
Edwards was convicted in a bench trial on June 17, 2019, of being a felon in possession of a firearm. Edwards was in possession of a Smith and Wesson .40-caliber handgun on Feb. 24, 2018. Kansas City police officers were dispatched that afternoon in response to a 9-1-1 call reporting a man high on PCP trying to get into a residence. Officers found Edwards lying in the driveway. The loaded handgun was tucked in his waistband.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Edwards has prior felony convictions for armed bank robbery, assault on a law enforcement officer, and being a felon in possession of a firearm. According to court documents, Edwards has an extensive history of violent activity going back 20 years, including misdemeanor convictions for disturbing the peace, multiple assaults, multiple inflictions of injury, and harassment.
This case was prosecuted by Assistant U.S. Attorney Jeffrey Q. McCarther and Special Assistant U.S. Attorney Aaron M. Jolly. It was investigated by the Kansas City, Mo., Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Project Safe Neighborhoods
The U.S. Attorney’s Office is partnering with federal, state, and local law enforcement to specifically identify criminals responsible for significant violent crime in the Western District of Missouri. A centerpiece of this effort is Project Safe Neighborhoods, a program that brings together all levels of law enforcement to reduce violent crime and make neighborhoods safer for everyone. Project Safe Neighborhoods is an evidence-based program that identifies the most pressing violent crime problems in the community and develops comprehensive solutions to address them. As part of this strategy, Project Safe Neighborhoods focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.Justice Department Seeks to Shut Down Texas Tax Return PreparerRead the Press Release
The United States has filed a civil suit in the Eastern District of Texas seeking to bar Desmond I. Chizoba from owning or operating a tax return preparation business and preparing tax returns for others, the Justice Department announced today. The complaint also requests that the court require Chizoba, who operated tax preparation stores under the names Liberty Tax Service and Kish Tax Service, to disgorge ill-gotten fees that he obtained from the U.S. Treasury through the alleged false tax return preparation.
According to the government’s complaint, Chizoba prepares returns claiming false credits and fabricated businesses, related losses, and itemized deductions. For example, the government alleges that Chizoba prepared a return on which he concocted a business for a health insurance industry employee and fabricated a $29,510 loss for the phony business. By repeatedly underreporting tax liabilities and claiming bogus refunds on behalf of his customers, Chizoba has allegedly caused the United States to lose substantial tax revenue.
“Particularly during this time of year, when honest taxpayers are filing their returns, we want the public to know that the Justice Department will pursue those who would abuse our nation’s tax laws,” said Principal Deputy Assistant Attorney General for the Tax Division Richard Zuckerman. “Fraudulent tax return preparers too often seek to take advantage of their customers and the U.S. Treasury, which undermines our tax system.”
Return preparer fraud is one of the IRS’s Dirty Dozen Tax Scams and taxpayers seeking a return preparer should remain vigilant. The IRS has information on its website for choosing a tax preparer and has launched a free directory of federal tax preparers.
In the past decade, the Tax Division has obtained injunctions against hundreds of unscrupulous tax preparers. Information about these cases is available on the Justice Department website. An alphabetical listing of persons enjoined from preparing returns and promoting tax schemes can be found this page. If you believe that one of the enjoined persons or businesses may be violating an injunction, please contact the Tax Division with details.
Justice Department Secures Denaturalization of Convicted Terrorist Who Sought to Help al Qaeda Destroy the Brooklyn BridgeRead the Press Release
On Feb. 3, Judge Staci M. Yandle of the U.S. District Court for the Southern District of Illinois entered an order revoking the naturalized U.S. citizenship of convicted terrorist, Iyman Faris. Faris, a native of Pakistan, was convicted in 2003 of providing material support to al Qaeda and sentenced to 20 years in prison. Among other actions in support of al Qaeda, in 2002, Faris evaluated the practicality of a plot to collapse the Brooklyn Bridge in New York using gas cutters, communicating his assessment to al Qaeda via coded messages. In its order revoking his U.S. citizenship, the court found that Faris was ineligible for naturalization and unlawfully procured his citizenship through willful misrepresentation of material facts.
“A top priority at the Department of Justice is protecting our national security, and one of the things we do in support of that goal is tirelessly pursue denaturalization of known and suspected terrorists,” said Assistant Attorney General Jody Hunt for the Department of Justice’s Civil Division. “What Faris did is unconscionable – he pretended to support the United States and the Constitution to naturalize while he actively supported Usama bin Laden and senior al Qaeda leadership in their plans to attack the United States. The denaturalization of Faris and of others who similarly defraud the United States helps defend the integrity of the immigration system, promote the rule of law, and make America safer.”
“Iyman Faris is a traitor to the oath he took renouncing foreign allegiances and pledging to defend the Constitution and our American way of life. He was a wolf in sheep’s clothing who took advantage of American generosity with plans to terrorize and murder. He does not deserve the honor of being an American citizen,” said U.S. Attorney Steven D. Weinhoeft for the Southern District of Illinois. “Becoming a naturalized citizen is a privilege. The process must be guarded for the safety of our nation and to protect and recognize the sacrifices, determination, and honor of those who earn that privilege honestly.”
Faris, 50, was convicted in 2003 in the Eastern District of Virginia of providing, and conspiring to provide, material support to al Qaeda, a designated foreign terrorist organization. Among other actions underlying that conviction, in 2000, Faris traveled to Afghanistan where he met Usama bin Laden and other high-ranking members of al Qaeda at an al Qaeda training camp, researched information about ultralight airplanes for a senior al Qaeda leader, and arranged for airline tickets to be issued to al Qaeda operatives.
In its Feb. 3 order, the U.S. District Court for the Southern District of Illinois granted the government’s motion for summary judgment revoking Faris’s U.S. citizenship on multiple bases. The court found that Faris’s admitted affiliation with al Qaeda within five years after naturalizing established that he was not attached to the principles of the Constitution and well-disposed to the good order and happiness of the United States at the time he naturalized in 1999. The court also found that Faris was ineligible for naturalization based on his lies to immigration officers while under oath and his fraudulent entry into the United States in 1994 by using another person’s passport and visa.
Faris is currently serving his criminal sentence at the U.S. Penitentiary at Marion, Illinois, with a projected release date in August 2020. Because of the Court’s order, Faris is no longer a U.S. citizen and may be subjected to removal proceedings.
This case was investigated by the Civil Division’s Office of Immigration Litigation, District Court Section (OIL-DCS) National Security and Affirmative Litigation Unit (NS/A Unit), U.S. Immigration and Customs Enforcement, and the Federal Bureau of Investigation, with consultation and support from U.S. Citizenship and Immigration Services.
The case was jointly prosecuted by Chief Tim Belsan and Counsel for National Security John Inkeles and Ed White (ret.) of OIL-DCS’s NS/A Unit and Assistant U.S. Attorney Nicholas J. Biersbach of the U.S. Attorney’s Office for the Southern District of Illinois.
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.
Justice Department Releases $500 Million in Solicitations for Hiring Law Enforcement Officers, Improving School Safety and Combating Distribution of Illicit DrugsRead the Press Release
The Justice Department announced that the Office of Community Oriented Policing Services (COPS Office) has released over $500 million in grant solicitations under the COPS Hiring Program (CHP) and several other grant programs that advance community policing, keep school students safe and promote the health and safety of our nation’s law enforcement officers.
“There is no more noble a profession than serving as a law enforcement officer and putting your life on the line to protect your community. Our police officers fight an unrelenting fight, and it is more important than ever to support them,” said COPS Office Director Phil Keith. “This funding will provide critical support to state, local, and tribal agencies so that they can bolster their ranks and reinforce community policing strategies and programs, and further our commitment to reducing violent crime.”
The COPS Hiring Program is a competitive award program intended to reduce crime and advance public safety through community policing by providing direct funding for the hiring of career law enforcement officers. In addition to providing financial support for hiring, CHP provides funding to state, local, and tribal law enforcement to enhance local community policing strategies and tactics. In a changing economic climate, CHP funding helps law enforcement agencies maintain sufficient sworn personnel levels to keep their communities safe. Funding through this program had been on hold since the spring of 2018 due to a nationwide injunction, which was recently lifted.
The 2020 Community Policing Development Program will fund projects related to a Law Enforcement Injury Prevention and Rehabilitation Program Toolkit; Recruiting the Next Generation of Officers and Deputies; Promising Practices in Law Enforcement Victim Support; Rural Law Enforcement Training Center; and Managing High-Risk Law Enforcement Vehicular Pursuits. This grant program provides guidance on promising practices through the development and testing of innovative strategies; building knowledge about effective practices and outcomes; and supporting new, creative approaches to preventing crime and promoting safe communities.
The Law Enforcement Mental Health and Wellness Act Program provides funding to improve the delivery of and access to mental health and wellness services for law enforcement through training and technical assistance, demonstration projects, and implementation of promising practices related to peer mentoring mental health and wellness programs. This year’s program will fund projects related to Peer Support Implementation Projects and a National Peer Support Program for Small and Rural Agencies.
The Preparing for Active Shooter Situations Program provides funding for scenario-based training that prepares officers and other first responders to safely and effectively handle active-shooter and other violent threats. This year’s program will train at least 20,000 first responders through scenario-based, multi-disciplinary training classes.
The COPS Office Anti-Heroin Task Force Program advances public safety by providing funds directly to state law enforcement to locate and investigate illicit activities through statewide collaboration related to the distribution of heroin, fentanyl, or carfentanil or the unlawful distribution of prescription opioids.
The COPS Anti-Methamphetamine Program is designed to investigate illicit activities related to the manufacture and distribution of methamphetamine. Funding must be used to locate or investigate illicit activities such as precursor diversion, laboratories, or methamphetamine traffickers.
The STOP School Violence Prevention Program provides funding to improve security at schools and on school grounds in the grantees’ jurisdictions through evidence-based school safety programs.
For more information on COPS Office funding, please visit https://cops.usdoj.gov/grants.
The COPS Office is a federal agency responsible for advancing community policing nationwide. Since 1994, the COPS Office has invested more than $14 billion to advance community policing, including grants awarded to more than 13,000 state, local and tribal law enforcement agencies to fund the hiring and redeployment of approximately 130,000 officers and provide a variety of knowledge resource products including publications, training and technical assistance. For additional information about the COPS Office, please visit www.cops.usdoj.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.
Justice Department Releases $500 Million in Solicitations for Hiring Law Enforcement Officers, Improving School Safety and Combating Distribution of Illicit DrugsRead the Press Release
The Justice Department announced that the Office of Community Oriented Policing Services (COPS Office) has released over $500 million in grant solicitations under the COPS Hiring Program (CHP) and several other grant programs that advance community policing, keep school students safe and promote the health and safety of our nation’s law enforcement officers.
“There is no more noble a profession than serving as a law enforcement officer and putting your life on the line to protect your community. Our police officers fight an unrelenting fight, and it is more important than ever to support them,” said COPS Office Director Phil Keith. “This funding will provide critical support to state, local, and tribal agencies so that they can bolster their ranks and reinforce community policing strategies and programs, and further our commitment to reducing violent crime.”
“In many communities, funding can be difficult to come by for critical public safety initiatives or law enforcement training and resources,” said U.S. Attorney Trent Shores. “Over the last year, the Department of Justice has released a record amount of available grant funding. I encourage our Oklahoma partners, whether in urban or rural areas, to go to the COPS Office website to learn more and apply for these grants or to reach out to my office for application assistance.”
The COPS Hiring Program is a competitive award program intended to reduce crime and advance public safety through community policing by providing direct funding for the hiring of career law enforcement officers. In addition to providing financial support for hiring, CHP provides funding to state, local, and tribal law enforcement to enhance local community policing strategies and tactics. In a changing economic climate, CHP funding helps law enforcement agencies maintain sufficient sworn personnel levels to keep their communities safe. Funding through this program had been on hold since the spring of 2018 due to a nationwide injunction, which was recently lifted.
The 2020 Community Policing Development Program will fund projects related to a Law Enforcement Injury Prevention and Rehabilitation Program Toolkit; Recruiting the Next Generation of Officers and Deputies; Promising Practices in Law Enforcement Victim Support; Rural Law Enforcement Training Center; and Managing High-Risk Law Enforcement Vehicular Pursuits. This grant program provides guidance on promising practices through the development and testing of innovative strategies; building knowledge about effective practices and outcomes; and supporting new, creative approaches to preventing crime and promoting safe communities.
The Law Enforcement Mental Health and Wellness Act Program provides funding to improve the delivery of and access to mental health and wellness services for law enforcement through training and technical assistance, demonstration projects, and implementation of promising practices related to peer mentoring mental health and wellness programs. This year’s program will fund projects related to Peer Support Implementation Projects and a National Peer Support Program for Small and Rural Agencies.
The Preparing for Active Shooter Situations Program provides funding for scenario-based training that prepares officers and other first responders to safely and effectively handle active-shooter and other violent threats. This year’s program will train at least 20,000 first responders through scenario-based, multi-disciplinary training classes.
The COPS Office Anti-Heroin Task Force Program advances public safety by providing funds directly to state law enforcement to locate and investigate illicit activities through statewide collaboration related to the distribution of heroin, fentanyl, or carfentanil or the unlawful distribution of prescription opioids.
The COPS Anti-Methamphetamine Program is designed to investigate illicit activities related to the manufacture and distribution of methamphetamine. Funding must be used to locate or investigate illicit activities such as precursor diversion, laboratories, or methamphetamine traffickers.
The STOP School Violence Prevention Program provides funding to improve security at schools and on school grounds in the grantees’ jurisdictions through evidence-based school safety programs.
For more information on COPS Office funding, please visit https://cops.usdoj.gov/grants.
The COPS Office is a federal agency responsible for advancing community policing nationwide. Since 1994, the COPS Office has invested more than $14 billion to advance community policing, including grants awarded to more than 13,000 state, local and tribal law enforcement agencies to fund the hiring and redeployment of approximately 130,000 officers and provide a variety of knowledge resource products including publications, training and technical assistance. For additional information about the COPS Office, please visit www.cops.usdoj.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.
Jury returns guilty verdict in case involving smuggled Chinese nationalRead the Press Release
CORPUS CHRISTI, Texas – A federal jury sitting in Corpus Christi has convicted a 45-year-old Houston man for transporting an undocumented Chinese national, announced U.S. Attorney Ryan K. Patrick today.
The jury deliberated for approximately two hours before convicting Torrie Franklin following a one-day trial.
On Nov. 12, 2019, Franklin drove a blue four-door sedan into the primary inspection lane at the Border Patrol (BP) Checkpoint located near Falfurrias. Upon his arrival, authorities conducted a routine inspection, at which time a K-9 alerted to the trunk of the vehicle. There, they found an undocumented Chinese national.
At the time of his arrest, Franklin told authorities he had encountered the man at a gas station. Franklin claimed the Chinese national asked for a ride to Houston, despite not knowing any English. He also said the man asked to ride in the trunk as opposed to inside the vehicle.
At trial, the jury heard from the Chinese national who said that Franklin was the person who placed him inside the trunk. They also heard excerpts of Franklin’s phone calls in which he admitted his role in the offense.
The defense attempted to convince the jury that Franklin was merely a good Samaritan just providing a ride. They did not believe his claims and ultimately found him guilty as charged.
U.S. District Judge David S. Morales presided over the trial and set sentencing for May 7. At that time, Franklin faces up to five years in federal prison and a possible $250,000 maximum fine.
Franklin will remain in custody pending sentencing.
BP conducted the investigation. Assistant U.S. Attorney Neel Kapur and Barbara DePena are prosecuting the case.
Johnstown Man Charged with Drug OffensesRead the Press Release
JOHNSTOWN, Pa. – A resident of Johnstown, Pa., was indicted by a federal grand jury in Johnstown on a charge of violating federal narcotics laws, United States Attorney Scott W. Brady announced today.
The two-count Superseding Indictment named Nathaniel Jackson, 44, as the sole defendant.
According to the Superseding Indictment presented to the court, on or about April 29, 2019, and on May 1, 2019, Jackson distributed and possessed with intent to distribute a quantity of fentanyl.
The law provides for a maximum sentence of 20 years in prison and a fine of $1,000,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history of the defendant.
Assistant United States Attorney Maureen Sheehan-Balchon is prosecuting this case on behalf of the government.
The Laurel Highlands Resident Agency of the Federal Bureau of Investigation and the Cambria County Drug Task Force conducted the investigation leading to the Superseding Indictment in this case.
A superseding indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Illegal Alien sentenced for reentry chargeRead the Press Release
MARTINSBURG, WEST VIRGINIA – Franklin Israel Reyes-Zelaya, a citizen of El Salvador, was sentenced today to time served for a reentry charge, U.S. Attorney Bill Powell announced.
Reyes-Zelaya, age 30, pled guilty to one count of “Reentry of Removed Aliens” in January 2020. Reyes-Zelaya admitted to being in Berkeley County in September 2019 after being removed once before from the United States illegally.
Assistant U.S. Attorney Timothy D. Helman prosecuted the case on behalf of the government. The Department of Homeland Security Immigration and Customs Enforcement investigated.
Chief U.S. District Judge Gina M. Groh presided.
Illegal Alien charged with drug traffickingRead the Press Release
WHEELING, WEST VIRGINIA – Hashim Hussein, a citizen of Kuwait, was indicted today on drug charges, U.S. Attorney Bill Powell announced.
Hussein, also known as “Kuwait,” age 21, is charged with two counts of “Distribution of Cocaine Hydrochloride within 1000 Feet of Protected Location.” Hussein is accused of selling cocaine hydrochloride, also known as “Coke,” in October and December 2019 near the campus of West Virginia University in Monongalia County.
Hussein faces at least one and up to 40 years incarceration and a fine of up to $2,000,000 for each count. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Zelda E. Wesley is prosecuting the case on behalf of the government. The FBI and Mon Metro Drug & Violent Crimes Task Force, a HIDTA-funded initiative, investigated.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
Hill City Woman Sentenced for Illegal Possession of FirearmsRead the Press Release
United States Attorney Ron Parsons announced that a Hill City, South Dakota, woman convicted of Possession of a Firearm by a Prohibited Person was sentenced by Jeffrey L. Viken, U.S. District Court Judge.
Julie Cagle, a/k/a Julie Davis, a/k/a Julie Dzuirman, was sentenced on January 31, 2020, to time served, 3 years of supervised release, and was ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
The charge related to Cagle, a previously convicted felon who is prohibited from possessing firearms, unlawfully possessing a Raven Arms, .25 ACP caliber semi-automatic pistol and a Smith & Wesson, .38 Special caliber revolver at Rapid City in June 2019, which were found after Cagle came into contact with Rapid City police officers.
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 its 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 local communities to develop effective, locally-based strategies to reduce 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. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see: https://www.justice.gov/projectguardian.
The investigation was conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Rapid City Police Department. Assistant U.S. Attorney Benjamin Patterson prosecuted the case.
Heyburn Man Pleads Guilty to Possessing Sexually Explicit Images of MinorsRead the Press Release
POCATELLO - John R. Godfrey, 52, of Heyburn, Idaho, pleaded guilty to possession of sexually explicit images of minors, U.S. Attorney Bart M. Davis announced today. Godfrey was indicted by a Pocatello federal grand jury on February 26, 2019.
According to court records, in April 2018, detectives with the Idaho Internet Crimes against Children (ICAC) Task Force interviewed Godfrey after receiving a cyber tip that he was in possession of child pornography. Godfrey admitted to receiving child pornography images and videos from other individuals in online chat groups. Godfrey also admitted that he possessed images of child pornography on his cell phone of children aged 9 to 11 years old. Investigators later searched Godfrey’s cell phone and a forensic analysis found the multiple images he admitted to possessing.
The charge of possession of sexually explicit images of minors is punishable by up to 20 years in prison, a maximum fine of $250,000, and a term of supervised release of 5 years to life.
Sentencing is set for April 20, 2020, before Chief U.S. District Judge David C. Nye at the federal courthouse in Pocatello.
This case was investigated by the Idaho Internet Crimes against Children Task Force, with the assistance of Heyburn Police Department, and was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. As part of Project Safe Childhood, the U.S. Attorney’s Office for the District of Idaho and the Idaho Attorney General’s Office partner to marshal federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims.
For more information about Project Safe Childhood, please visit www.usdoj.gov/psc.
For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab “resources.”
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Hartford Man Pleads Guilty to Fentanyl Distribution and Gun Possession OffensesRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that ARCADIO DONES, also known as “Gordo,” 45, of Hartford, pleaded guilty today before U.S. District Judge Janet Bond Arterton in New Haven to fentanyl distribution and firearm possession offenses.
According to court documents and statements made in court, law enforcement received information that Dones was distributing fentanyl from a restaurant parking lot in Hartford’s North Meadows neighborhood. On three occasions in September 2018, investigators conducted controlled purchases of fentanyl from Dones.
Dones was arrested on September 27, 2018. On that date, a court-authorized search of his residence revealed a loaded Smith and Wesson .40 caliber pistol, more than 200 rounds of ammunition, approximately 200 grams of fentanyl, more than one kilogram of cocaine, a drug ledger, numerous items used in the processing and packaging of narcotics for street sale, $2,110 in cash, and other items. Investigators also seized more than $2,200 in cash from Dones’ person and vehicle.
Dones’ criminal history includes state felony convictions for narcotics, firearm, aggravated battery, robbery and larceny offenses.
It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.
Dones pleaded guilty to one count of possession with intent to distribute 40 grams or more of fentanyl, which carries a mandatory minimum term of imprisonment of five years and a maximum term of imprisonment of 40 years, and one count of possession of a firearm by a convicted felon, which carries a maximum term of imprisonment of 10 years.
Judge Arterton scheduled sentencing for April 29, 2020.
Dones has been detained since his arrest.
This matter has been investigated by the Federal Bureau of Investigation’s Northern Connecticut Violent Crimes Gang Task Force and the Hartford Police Department. The Task Force includes members of the Hartford Police Department, East Hartford Police Department, Connecticut State Police and Connecticut Department of Correction. The case is being prosecuted by Assistant U.S. Attorney Brian P. Leaming.
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 neighborhoods safer for everyone.
Hartford Man Pleads Guilty to Distributing Crack CocaineRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, and Kelly D. Brady, Special Agent in Charge, ATF Boston Field Division, announced that RODNEY BECKMAN, 44, of Hartford, pleaded guilty today in New Haven federal court to distributing crack cocaine.
According to court documents and statements made in court, on July 17, 2019, Beckman sold approximately 11 grams of crack in exchange for $750 to an ATF special agent working in an undercover capacity in Hartford. Beckman was arrested on July 26, 2019, in Hartford after he sold the undercover agent an additional 40 grams of crack for $2,100.
Beckman pleaded guilty to one count of possession with intent to distribute, and distribution of, 28 grams or more of cocaine base (“crack”), an offense that carries a mandatory minimum term of imprisonment of five years and a maximum term of imprisonment of 40 years.
Beckman, who is released on a $50,000 bond, is scheduled to be sentenced by U.S. District Judge Alvin W. Thompson in Hartford on April 28, 2020.
This matter has been investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and is being prosecuted by Assistant U.S. Attorney Ray Miller.
Guilty plea in two gun store burglariesRead the Press Release
Seattle – The suspect in the theft of nearly 40 firearms from two different gun stores pleaded guilty today in U.S. District Court in Seattle to two counts of theft of firearms from a federal firearms licensee, announced U.S. Attorney Brian T. Moran. 39-year-old JOEY A. MAILLET faces up to ten years in prison when sentenced by U.S. District Judge Richard A. Jones on May 8, 2020.
In May 2019, MAILLET was identified as the suspect in the April 13, 2019, burglary of Fred’s Guns in Sequim, Clallam County, and in the May 3, 2019, burglary of All American Armory in Bow, Skagit County. According to records filed in the case, forensic evidence, including blood and fingerprints, as well as surveillance video, link MAILLET to the crimes. In Sequim, MAILLET used a backhoe to ram the doors of the store and then broke glass display cases to steal 26 firearms. MAILLET cut his arm on the glass case and left blood and fingerprints at that scene. At All American Armory in Bow, surveillance video showed MAILLET used a stolen pick-up truck to back into the doors of the store, shattering them. MAILLET then used a garbage can, stolen from the neighboring post office, to load up 13 rifles from the store and drove away with them in the stolen pick-up.
The pick-up truck was ultimately found abandoned in Birch Bay State Park in Whatcom County, Washington. Shattered glass was in the truck bed, as well as a stolen boat motor and battery. The truck was reported stolen from an agricultural operation not far from the Bow gun store, and the boat motor and battery were reported stolen by a resident of Ferndale, Washington.
On May 10, 2019, a Ferndale Police Officer encountered MAILLET and arrested him on an outstanding warrant for an Everett, Washington, burglary. After obtaining a court-authorized search warrant, investigators determined items in MAILLET’s backpack linked him to the thefts at the Bow gun store. Additionally, video from the boat motor and battery theft clearly showed MAILLET was the thief.
Four of the stolen firearms have been recovered. All were found in British Columbia, Canada, either at crime scenes or on criminal suspects.
Under the terms of the plea agreement, MAILLET is to pay restitution to both stores for the damages to the buildings and the value of the guns. MAILLET is also responsible for damages to the businesses from which he stole the truck and backhoe used in the burglaries. He also will pay restitution to the owner of the stolen boat motor and battery.
Prosecutors have agreed to recommend a sentence of no more than 6 years in prison. However, the ultimate sentence is up to the judge and could be up to the statutory maximum of 10 years in prison.
The case is being investigated by the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF), with assistance from the Clallam County Sheriff’s Office, Sequim Police Department, Washington State Patrol, Skagit County Sheriff’s Office, Ferndale Police Department, and Washington State Parks Rangers.
The case is being prosecuted by Assistant United States Attorney Erin H. Becker.
Generic Drug Executive Indicted on Antitrust and False Statement ChargesRead the Press Release
UPDATE
The indictment described in the press release below was dismissed with prejudice by the court on November 29, 2023.
A federal grand jury in the U.S. District Court for the Eastern District of Pennsylvania returned an indictment against a former senior executive for his role in conspiracies to fix prices, rig bids, and allocate customers for generic drugs, and for making a false statement to federal agents who were investigating those conspiracies, the Department of Justice announced today.
The three-count indictment, filed today in Philadelphia, charges Ara Aprahamian, a former top executive at a generic pharmaceutical company, with participating in two conspiracies to fix prices, rig bids, and allocate customers for generic drugs. Aprahamian is charged with participating in the conspiracies when he was the Vice President of Marketing, and then the Vice President of Sales and Marketing at a corporation headquartered in New York engaged in the marketing and sale of generic drugs in the United States.
Count One charges Aprahamian for his role in a conspiracy with a generic drug company based in New Jersey and other individuals, from at least as early as March 2013 and continuing until at least June 2015. Count Two charges Aprahamian for his role in a conspiracy with a generic drug company based in Pennsylvania and other individuals, from at least as early as May 2013 and continuing until at least December 2015. According to the indictment, the defendant and his co-conspirators agreed to increase prices and allocate customers for numerous drugs, including, but not limited to, medications used to treat and manage arthritis, seizures, pain, various skin conditions, and blood clots.
In addition, Count Three of the indictment charges Aprahamian with making a false statement to an FBI agent when the FBI executed a search warrant at Aprahamian’s employer’s headquarters in September 2016. According to the indictment, Aprahamian falsely stated to the FBI that he never had a conversation with a competitor about the pricing of a product before that product was launched.
“Today’s charges demonstrate the Antitrust Division’s resolve in rooting out collusion that corrupted the marketplace for generic drugs and led to higher prices for critical medications used by millions of Americans,” said Assistant Attorney General Makan Delrahim of the Department of Justice’s Antitrust Division. “Along with our law enforcement partners, the Division will ensure that executives who cheat consumers are not immune from our antitrust laws, and that those who seek to impede or obstruct our investigations are prosecuted to the full extent of the law.”
“The U.S. Postal Service Office of Inspector General is committed to ensuring that any activity related to price-fixing, bid-rigging and/or market allocation in the generic drugs industry is identified and aggressively investigated,” said Special Agent in Charge Scott Pierce, U.S. Postal Service Office of Inspector General. “The U.S. Postal Service spends hundreds of millions of dollars every year on health care costs, including expenses related to prescription drugs. This indictment is a testament to the dedication and determination of the legal and investigative teams and sends a clear message to anyone who would participate in this sort of activity. Along with our colleagues at the Department of Justice Antitrust Division and the Federal Bureau of Investigation, the U.S. Postal Service Office of Inspector General stands ready to support these critical inquiries going forward.”
“Americans suffering from chronic health problems and pain conditions should not have to be concerned about collusion by pharmaceutical executives that could increase the price of their essential medications,” said Timothy R. Slater, Assistant Director in Charge of the FBI’s Washington Field Office. “The FBI is dedicated to investigating and bringing those responsible for these crimes to justice, on behalf of the American public.”
“My Office is proud to announce yet another enforcement action in this ongoing criminal investigation with the Antitrust Division,” said U.S. Attorney William M. McSwain for the Eastern District of Pennsylvania. “This is the third pharmaceutical price fixing case announced in our District in just the last year, following cases against Rising Pharmaceuticals in December 2019, and Heritage Pharmaceuticals in May 2019. Along with our partners at the Antitrust Division, we remain heavily focused on illegal price fixing and market allocation in generic drugs and on addressing the impact those practices have on federal healthcare programs like Medicare and Medicaid. These criminal charges against a former top corporate executive are yet another important step in that fight.”
Aprahamian is the third executive charged for his participation in conspiracies to fix prices, rig bids, and allocate customers for generic drugs. The two individuals previously charged entered guilty pleas in January 2017. To date, two companies have also been charged. Both corporate charges were resolved by deferred prosecution agreement.
An indictment merely alleges that crimes have been committed, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt.
The offense charged in Counts One and Two carries a statutory maximum penalty of 10 years in prison and a $1 million fine. The maximum fine may be increased to twice the gain derived from the crime or twice the loss suffered by victims if either amount is greater than $1 million. The offense charged in Count Three is punishable by imprisonment for not more than five years, and a fine of not more than $250,000.
This case is the result of an ongoing federal antitrust investigation into price fixing, bid rigging and other anticompetitive conduct in the generic pharmaceutical industry, which is being conducted by the Antitrust Division with the assistance of the United States Postal Service Office of Inspector General, the FBI’s Washington Field Office, the FBI’s Philadelphia Field Office, and the U.S. Attorney’s Office for the Eastern District of Pennsylvania. Anyone with information on market allocation, price fixing, bid rigging and other anticompetitive conduct related to the generic pharmaceutical industry should contact the Antitrust Division’s Citizen Complaint Center at 1-888-647-3258 or visit www.justice.gov/atr/contact/newcase.html.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
indictment_-_updated_03.14.2024.pdfFour Indicted in Compound Cream Prescription Scam that Cost Government and Union Health Plans over $22 MillionRead the Press Release
LOS ANGELES – Federal authorities this morning arrested two defendants charged in a scheme that generated millions of dollars through an Orange County compound pharmacy that submitted fraudulent bills to the military’s TRICARE health plan and a labor union health plan for medically unnecessary compound cream prescriptions. Two other defendants named in a 48-count grand jury indictment are expected to surrender tomorrow.
The indictment – which contains charges of health care fraud, mail fraud, illegal kickbacks and money laundering – outlines a scheme in which the Orange County-based Professional Compounding Pharmacy (PCP), its team of marketers and a collusive physician made millions of dollars in illegal profits by fraudulently generating prescriptions for custom-made compound cream medications, some of which led to bills for as much as $15,000 per tube.
The scheme was fueled in part by the participation of two bogus “pain clinics” in Lawndale and National City, which recruited beneficiaries of TRICARE and the International Longshore and Warehouse Union’s (ILWU) Pacific Maritime Association Welfare Plan. The defendants allegedly paid beneficiaries $200 each to receive treatment by doctors who supposedly were conducting “pain studies” to evaluate the effectiveness of the compound pain creams.
PCP, which operated in La Habra and Brea, allegedly used a network of marketers and one principal doctor to locate beneficiaries of the TRICARE and ILWU plans. PCP and its marketers also enlisted the participation of other doctors and a nurse practitioner to write prescriptions for pain-relief creams, and PCP ultimately filled prescriptions – including myriad refills – that were not medically necessary.
The scheme’s participants allegedly provided the $200 payments to the “patients” for agreeing to show up at the clinics for the bogus pain studies. They also paid kickbacks to medical marketers and professionals in exchange for generating a large volume of compound prescriptions, the indictment alleges.
PCP paid marketers approximately 50 percent of the payments it received from TRICARE and ILWU Plan manager to provide the marketers with ongoing incentives to find doctors and patients willing to write or accept the medically unnecessary compound cream prescriptions, according to the indictment. Health care professionals engaged to work at these bogus “pain clinics” were encouraged to write prescriptions for medically unnecessary compounded creams to keep the revenue stream flowing to PCP and its marketers, the indictment alleges.
The four defendants named in the indictment are:
- James Nate Bell, 38, of Anaheim Hills, the owner of PCP and two medical marketing companies that were allegedly used to funnel kickbacks to PCP marketers;
- Regina Piehl, 66, of Pacific Palisades, who was affiliated with several companies that allegedly received and paid kickbacks to refer and obtain prescriptions for PCP;
- Dr. Michael Edwards, 52, of Huntington Beach, a physician who allegedly worked with Piehl to set up clinics to study the efficacy of compound creams, but which in reality served as prescriptions mills that generated millions of dollars in profits for PCP and its marketers; and
- Sara Samhat, 45, of Huntington Beach, who allegedly worked with Dr. Edwards to route prescriptions to PCP and other companies involved in the health care fraud scheme in exchange for receipt of kickbacks from the referral of the prescriptions.
Bell and Piehl were arrested this morning by federal agents and are expected to be arraigned on this indictment this afternoon in United States District Court, with Bell appearing in Santa Ana and Piehl appearing in Los Angeles. Edwards and Samhat are expected to surrender tomorrow morning at the federal courthouse in Santa Ana.
The indictment, which was returned by a federal grand jury in Santa Ana on January 29 and unsealed today, alleges that the scheme peaked in the first half 2015 and continued into 2016. The fraudulent billings to TRICARE, in particular, dropped significantly in the second half of 2015 when TRICARE, and then later the ILWU Plan, reduced reimbursement rates for compounded creams.
As result of the scheme, TRICARE sustained losses of approximately $19 million, and the ILWU Plan sustained additional losses of approximately $3 million.
In relation to this morning’s arrests, federal agents obtained warrants to seize a Cadillac Escalade and two of Bell’s brokerage accounts.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
The ongoing investigation in this case is being conducted by the Department of Defense Office of Inspector General, the Defense Criminal Investigative Service, the FBI, IRS Criminal Investigation, the United States Department of Labor’s Office of Inspector General and the U.S. Department of Labor’s Employee Benefits Security Administration. The California Department of Insurance and the Office of Personnel Management’s Office of the Inspector General have provided substantial assistance.
This matter is being prosecuted by Assistant United States Attorney Paul G. Stern of the Environmental and Community Safety Crimes Section. Assistant United States Attorney Jonathan S. Galatzan of the Asset Forfeiture Section is also working on the case.
Four Illegal Aliens indicted on reentry chargesRead the Press Release
WHEELING, WEST VIRGINIA – Three Mexican citizens and a Guatemalan citizen were indicted today on reentry charges, U.S. Attorney Bill Powell announced.
The four are accused of reentering the country illegally after being removed at least once before. Each is charged with one count of “reentry of a Removed Alien.” They are:
• Pedro Celestino Lunez-Gomez, citizen of Mexico, age 38
• Jose Luis Lunez-Gomez, a citizen of Mexico, age 25
• Rafael Rosales-Flores, a citizen of Mexico, age 28
• Fredy Evaristo Cortez-Cahuec, a citizen of Guatemala, age 30The four were found in January 2020 in Lewis County.
Each man faces up to two years incarceration and a fine of up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Stephen D. Warner is prosecuting the case on behalf of the government. The Department of Homeland Security Immigrations and Customs Enforcement investigated.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
Four Detroit-Area Physicians Found Guilty of Health Care Fraud Charges for Role in over $150 Million Health Care Fraud SchemeRead the Press Release
A federal jury found four Detroit-area physicians guilty today of health care fraud charges for their roles in a scheme to administer unnecessary back injections to patients in exchange for prescriptions of over 6.6 million doses of medically unnecessary opioids. Patients were required to get the injections in order to get the prescriptions, some of which were resold on the street by drug dealers, the evidence at trial showed.
After a four-week trial, Spilios Pappas, 62, of Lucas County, Ohio, Joseph Betro, 59, of Oakland County, Michigan, Tariq Omar, 62, of Oakland County, Michigan, and Mohammed Zahoor, 53, of Oakland County, Michigan, were each found guilty of one count of conspiracy to commit health care fraud and wire fraud, and one count of health care fraud. Sentencing has been scheduled for July 16 for Pappas, July 17 for Betro, July 24 for Zahoor and July 30 for Omar before Chief U.S. District Judge Denise Page Hood of the Eastern District of Michigan, who presided over the trial. Seventeen other defendants, including eight other doctors, previously pled guilty in connection with the investigation.
“These physicians subjected patients to medically unnecessary injections to reap millions in fraudulent billings. Worse still, they incentivized those treatments by offering opioid prescriptions in sky-high dosages meant for the terminally ill,” said Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division. “Today’s verdict shows that the Department will root out physicians who let dollar signs rather than medical need drive their treatment of patients.”
“These doctors sought to enrich themselves by performing unnecessary back injections in exchange for highly addictive opioids, violating their Hippocratic Oath to do no harm,” said U.S. Attorney Matthew Schneider of the Eastern District of Michigan. “Our office will continue to prioritize the prosecution of doctors whose criminal behavior puts patients at risk.”
“Physicians take an oath that obligates them to do no harm to their patients. These four men willingly broke that oath – by providing unnecessary drugs and conducting unnecessary procedures – solely to line their pockets,” said Special Agent in Charge Steven M. D’Antuono of the FBI’s Detroit Field Office. “This guilty verdict sends a message to any doctor or healthcare professional who prioritizes profit or does harm to their patients under the guise of providing health care will be subject to the full investigative resources of the FBI and our law enforcement partners.”
“The public trusts that physicians will put patients’ health and safety first. These defendants violated that trust in pursuit of their own financial gain,” said Special Agent in Charge Lamont Pugh III of the U.S. Department of Health and Human Services, Office of Inspector General Chicago Region. “The OIG takes matters of this nature very seriously and will continue to work with our law enforcement and prosecutorial partners to hold individuals who commit these kinds of criminal acts accountable.”
According to evidence presented at trial, from 2008 to 2016, Pappas, Betro, Omar and Zahoor worked at numerous medical clinics in Michigan and Ohio, which were operated under the name of the Tri-County Group (Tri-County) and owned by co-conspirator Mashiyat Rashid. While the defendants worked at Tri-County, they engaged in a scheme to defraud Medicare of over $150 million by billing for medically unnecessary facet joint injections, unnecessary urinary drug screens, home health and a myriad of other unneeded ancillary services. The evidence showed that patients, some of whom were suffering from legitimate pain and others of whom were drug dealers or opioid addicts, were offered prescriptions of oxycodone 30 mg by the defendants, but were forced to submit to unnecessary facet injections in exchange for the prescriptions.
Testimony at trial established that the patients experienced more pain from the shots, in some case, than from the pain they had purportedly come to have treated, and that some patients developed adverse conditions, including open holes in their back. Patients, including patients who were addicted to opioids, who told the doctors that they did not want, need or benefit from the injections, were denied medication by the defendants and their co-conspirators until they agreed to submit to the expensive and unnecessary injections.
The evidence further established that the defendants repeatedly performed these unnecessary injections on patients, as Tri-County was paid more for facet joint injections than any other medical clinic in the United States. The four defendants were all ranked in the top 25 doctors for dollars paid by Medicare for facet joint injections, even though they only worked a few hours a week. The defendants practice was described during trial as an assembly line, where the four defendants earned anywhere from $1,100 to $3,500 an hour for performing the same injections on nearly every patient.
In addition to the unnecessary injections, the defendants signed a standing order for urine tests for each patient and for every visit to be sent to National Laboratories, also owned by Rashid, in exchange for tens of thousands of dollars in illegal kickbacks, the evidence showed. The evidence further established that the physicians performed a quantitative test for 56 different drugs for every patient at every visit, regardless of whether the patients presented any reason for the test.
The evidence further established that the physicians provided prescriptions for narcotics, including opioids and benzodiazepines, as an incentive to patients who received the injections. Moreover, the evidence established that the dosage of opioids being provided to patients was suitable only for terminally ill cancer patients. Evidence from Michigan Automated Prescription System showed that the four defendants were among some of the top prescribers of oxycodone 30mg in the state of Michigan.
In 2015, Pappas was the number seven prescriber of oxycodone 30mg in the state of Michigan; Betro 18; Omar 16; and Zahoor 38 the evidence showed. At trial, oxycodone 30mg was described as the “gold standard” of drugs diverted to illegal purposes on the street. Evidence showed that all four defendants were in the top 40 out of 50,000 Michigan prescribers even though they had conspired with Rashid to “stay under the radar” of the U.S. Drug Enforcement Administration by working only a few hours a week. The doctors would see anywhere from 15-25 patients in a two to four hour shift, and then bill Medicare for office visits and procedure codes suggesting that they spent as much as two hours and 22 minutes with each patient. Every piece of the fraud was consistently implemented and applied to over 94 percent of the patients in the clinic.
The FBI and HHS-OIG investigated this case. Assistant Chief Jacob Foster and Trial Attorneys Tom Tynan and Anthony Burba of the Criminal Division’s Fraud Section are prosecuting the case.
The Fraud Section leads the Medicare Fraud Strike Force. Since its inception in March 2007, the Medicare Fraud Strike Force, which maintains 15 strike forces operating in 24 districts, has charged more than 4,200 defendants who have collectively billed the Medicare program for nearly $19 billion. In addition, the HHS Centers for Medicare & Medicaid Services, working in conjunction with the HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.
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.
Former financial officer of Big Island charter school pleads guilty to wire fraudRead the Press Release
HONOLULU, Hawaii – Kelaukila Estabilio, 39, of Hilo, Hawaii, pleaded guilty today in federal court to one count of wire fraud by embezzling funds from the charter school where she worked. Sentencing is scheduled for May 19, 2020, before U.S. District Judge Derrick K. Watson.
U.S. Attorney Kenji M. Price for the District of Hawaii stated that according to court documents and information presented in court, from 2006 through January 2019, Estabilio worked for the Kua O Ka Lā Public Charter School. The charter school also had a financial support entity, Ho’oulu Lahui. Estabilio was the financial officer of the charter school and responsible for managing the books and records. From approximately 2012 through 2019, Estabilio misused the charter school’s funds to pay for her and her family’s personal credit card bills totaling around $628,835. Estabilio falsified the books and records of the charter school to conceal her embezzlement activities for years.
The case was investigated by the U.S. Secret Service and the State of Hawaii Attorney General’s Office. It is being prosecuted by Assistant U.S. Attorney Rebecca Perlmutter for the District of Hawaii.
Former PNC Bank Employee Pleads Guilty to Multiple Bank RobberiesRead the Press Release
PITTSBURGH, PA- A former resident of Pittsburgh, Pennsylvania, pleaded guilty in federal court related to a series of bank robberies that occurred in West Mifflin, McCandless, Penn Hills and Bloomfield, United States Attorney Scott W. Brady announced today.
Jasmine Parrish, 30, pleaded guilty to five counts before United States District Nora Barry Fischerfull name of Judge.
In connection with the guilty plea, the Court was informed that Parrish, a former employee of PNC bank, met her co-defendant, Donna Poremski, while the two worked together in the home-healthcare industry.
Parrish admitted, during her change of plea, that she and Poremski conspired together to commit three bank robberies on June 23, 2018, September 6, 2018, and October 18, 2018, and that she, additionally, drove a juvenile to the Liberty Avenue area and wrote the demand note for the juvenile to use to rob the PNC Bank located on Liberty Avenue in Bloomfield, on November 21, 2018.
The Court was informed during the hearing that during the first bank robbery, on June 23, 2018, Parrish and Poremski entered the PNC Bank, located in West Mifflin, and attempted to conceal their identities by dressing in traditional Middle Eastern attire, including wearing hijabs that covered their faces. Additionally, Parrish carried a cane and wore a surgical mask over her face with a tube that connected to an oxygen tank. The women approached the teller station and handed one of the tellers a note as well as threatened that they had a bomb. The Court also was informed that Poremski was observed on surveillance footage brandishing what appeared to be a firearm, and that the two women then directed the bank employees to empty their cash drawers and enter the bank vault where he bank employees were forced to put the money into the suitcase. Parrish admitted that the women stole $61,124.00 from this bank.
Parrish admitted, in conjunction with her guilty plea, that during the second and third bank robberies, on September 6, 2018, and October 18, 2018, the two women wore disguises and that she entered the banks, located on McKnight Road in McCandless, and on Rodi Road in Penn Hills, to scope the bank out prior to Poremski entering the bank and robbing them.
During the September bank robbery, the Court was also informed that Poremski brandished what appeared to be a .9mm pistol and demanded money from the tellers. After obtaining the money from the teller’s cash drawer, Poremski directed the bank employees into the bank vault where the bank employees were forced to put money into Poremski’s bag. While the bank robbery was underway, Parrish was observed driving Poremski’s vehicle near the bank. Parrish admitted that the women stole $35,500.00 from this bank.
During the October bank robbery, the Court was further informed that Poremski demanded money from the tellers and threatened to use a firearm but never brandished one. Parrish admitted that the women stole $350.00 from this bank.
A total of $97,004.00 was taken from the West Mifflin, McCandless and Penn Hills PNC banks, during these robberies.
Parrish also admitted that she drove a juvenile to the Liberty Avenue area and wrote the demand note for the juvenile to use during a bank robbery at the PNC Bank located on Liberty Avenue in Bloomfield, on November 21, 2018. The Court also was informed that this was the branch that Parrish had previously worked at and that while the juvenile gave one of the tellers the demand note, that she left the bank before obtaining any money.
Judge Fischer scheduled sentencing for July 2, 2020 at 11:30 a.m. As to each of the armed bank robbery counts, the law provides for a maximum total sentence of not more than 25 years in prison, a fine of not more than $250,000, or both. As to each of the unarmed bank robbery counts, the law provides for a maximum total sentence of 20 years in prison, a fine of $250,000, or both. Additionally, the law provides for a minimum sentence of not less than five years in prison and up to life, a fine of $250,000, or both, for the conspiracy offense. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Parrish remains incarcerated pending sentencing.
Assistant United States Attorney Rebecca L. Silinski is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation, West Mifflin Borough Police Department, the McCandless Police Department, the Penn Hills Police Department and the City of Pittsburgh Police Department conducted the investigation leading to the Superseding Indictment in this case.
Former Dental Clinic Owner Sentenced for Payroll Tax Fraud SchemeRead the Press Release
SPRINGFIELD, Mo. – A Marshfield, Missouri, man whose wife was sentenced earlier for her role in a Medicaid fraud scheme involving their dental clinics was sentenced in federal court today for failing to pay over payroll taxes and collecting unemployment benefits he wasn’t entitled to receive.
Lorin G. Van Drie, 61, was sentenced by U.S. District Judge M. Douglas Harpool to two years and eight months in federal prison without parole. The court also ordered Van Drie to pay restitution in an amount yet to be determined.
Van Drie and his wife, Pamela M. Van Drie, 60, were convicted at trial on Feb. 20, 2019, of all 40 counts contained in a federal indictment. Lorin Van Drie was convicted of stealing public money, participating in a conspiracy to defraud the government, and 18 counts of failing to pay over employment taxes. Pamela Van Drie was sentenced on Oct. 9, 2019, to four years and nine months in federal prison without parole. The court also ordered her to pay $1,139,794 in restitution.
Lorin and Pamela Van Drie were the owners of All About Smiles, LLC, a Springfield company that provided dental services at clinics in Springfield (until it closed in November 2015), Mountain Grove, Missouri (until it closed in October 2014), and Bolivar, Missouri (until it closed in March 2014). They also owned PL Family Management Company, LLC, which managed the staff for those clinics.
Lorin and Pamela Van Drie participated in a conspiracy to defraud the government by failing to pay over to the IRS payroll taxes from Jan. 31, 2013, to Jan. 31, 2015. Although payroll taxes were withheld from the paychecks of employees at All About Smiles and PL Family Management Company, the Van Dries failed to pay over to the IRS approximately $194,751 in payroll taxes.
The Van Dries diverted a substantial amount of money from their businesses during this period. According to court documents, they lived a lavish lifestyle while some of their employees’ paychecks bounced. Rather than paying the payroll taxes due and owing, the Van Dries purchased and made payments on a 2013 Tracker boat and trailer, a recreational vehicle, multiple vehicles (including a 2010 Hummer and a 2009 Mercedes), several utility trailers, two golf carts, a motorcycle, expensive diamond jewelry, expenses associated with two homes and family vacations in Florida, and a pulling truck called “Momma’s Money,” which their son used in pulling competitions throughout Missouri.
In addition to the payroll tax conspiracy, Lorin Van Drie was found guilty of 18 counts of failure to pay over employment tax. Lorin Van Drie also was found guilty of one count of theft of public money related to $26,880 in unemployment benefits that he was not entitled to receive from October 2010 through June 2012. During that time, he was working at his own construction company (LVD Construction) and being paid to do maintenance at their dental clinics.
Lorin Van Drie was not charged with health care fraud like his wife, but he was aware of the schemes and that the billing practices of his companies violated Medicaid regulations. He made no efforts to correct the unlawful situation.
$885,748 Health Care Fraud Conspiracy
Pamela Van Drie participated in a conspiracy to commit health care fraud from Oct. 6, 2010, to Aug. 19, 2015. This conspiracy consisted of two fraud schemes. Pamela Van Drie and Dr. James R. Dye, a dentist at the clinics, conspired to fraudulently bill Medicaid for speech aid prosthetics they did not provide to Medicaid beneficiaries. They also conspired to bill Medicaid for dentures and other dental services for beneficiaries who were ineligible to receive such services because the services were not medically necessary.
In addition to these two criminal conspiracies, Pamela Van Drie was found guilty of eight counts of health care fraud related to fraudulent claims for speech aid prosetheses and 10 counts of health care fraud related to fraudulent claims for dentures and other dental services.
Pamela Van Drie also was found guilty of one count of theft of public money related to $3,520 in unemployment benefits that she was not entitled to receive while working full-time at All About Smiles. From June 2012 through the end of December 2012, Medicaid paid into Pamela and Lorin Van Drie’s business bank account $750,000. Also during that time period, Pamela Van Drie took a weeklong vacation to a resort in Florida. Nonetheless, from June 2012 through January 2013, Pamela Van Drie falsely certified to the Missouri Department of Employment Security 31 times that she was not employed, was available and searching for work, and was not receiving any type of employment income.
Dye pleaded guilty on Feb. 11, 2016, to health care fraud in a separate but related case. According to court documents, the Missouri Dental Board suspended Dye’s license, a suspension that arose from his substandard care for patients at the Van Dries’s clinics.
This case was prosecuted by Assistant U.S. Attorneys Cindi S. Woolery and Steve Mohlhenrich and Special Assistant U.S. Attorney Shannon Kempf of the Missouri Attorney General’s Office. It was investigated by Health and Human Services – Office of Inspector General, the Missouri Attorney General’s Office Medicaid Fraud Control Unit and IRS-Criminal Investigation.
Former City Honors Teacher Indicted on Child Pornography ChargesRead 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 a three count indictment charging Peter Hingston, 59, of Amherst, NY, with two counts of production of child pornography and one count of possession of child pornography. The charges carry a maximum penalty of 70 years in prison.
Assistant U.S. Attorney Michael DiGiacomo, who is handling the case, stated that according to the indictment, between September 2018, and June 17, 2019, the defendant used two minor victims to engage in sexually explicit conduct for the purpose of producing a visual depiction of such conduct. In addition, Hingston possessed a GoPro HERO4 digital camera containing an SD card that contained images of child pornography.
According to a previously filed complaint in the case, in June 2019, the Federal Bureau of Investigation learned the Buffalo Police Department was investigating an incident related to the possible production of child pornography involving Hingston. The report alleged that the middle school technology teacher was observed using a GoPro camera to photograph or record female students in a sexually inappropriate way. Multiple students came forward regarding Hingston’s use of the GoPro during class.
The defendant was arraigned this morning before U.S. Magistrate Judge Michael J. Roemer and continues to be detained.
The indictment is the result of an investigation by the Federal Bureau of Investigation, Buffalo Office, under the direction of Special Agent-in-Charge Gary Loeffert, the Buffalo Police Department, under the direction of Commissioner Byron Lockwood, and the Town of Tonawanda Police Department, under the direction of Acting Chief James P. Stauffiger.
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.
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Five Jersey City Men Charged for Conspiracy to Distribute Heroin and CocaineRead the Press Release
NEWARK, N.J. – Five men from Jersey City, New Jersey have been charged with conspiracy to distribute and possess with intent to distribute narcotics, U.S. Attorney Craig Carpenito announced today.
Jerome Powell, 40, Raheem Rogers, 28, Karee Cunningham, 24, Rafiq Holmes, 40, and Matthew Collier, 36, are charged by criminal complaint with one count of conspiracy to distribute and possess with intent to distribute quantities of both heroin and cocaine. Rogers and Powell were arrested this morning. The other defendants remain at large.
The two defendants appeared on February 4, 2020, before U.S. Magistrate Judge Cathy L. Waldor in Newark federal court. Raheem Rogers and Jerome Powell were both detained.
According to the documents filed in this case and statements made in court:
From in or about August 2019 through on or about February 2, 2020, law enforcement observed Jerome Powell, Raheem Rogers, Karee Cunningham, Rafiq Holmes, and Matthew Collier working together to possess and distribute controlled substances on and around Bartholdi Avenue in Jersey City.
The conspiracy to distribute and possess with intent to distribute heroin and cocaine charge has a maximum sentence of 20 years in prison and a $1 million fine.
U.S. Attorney Carpenito credited special agents and task force officers of the Drug Enforcement Administration, under the direction of Special Agent in Charge Susan A. Gibson, New Jersey Division; and members of the Jersey City Police Department, under the direction of Chief of Police Michael Kelly, with the investigation leading to the charges.
This investigation was part of the Jersey City Violent Crime Initiative (VCI), where the U.S. Attorney’s Office has partnered with state, federal, county, and local law enforcement to investigate crime in Jersey City.
The government is represented by Assistant U.S. Attorney Tracey Agnew of the Organized Crime and Gangs Unit of the U.S. Attorney’s Office’s Criminal Division in Newark.
The charges and allegations in the complaint are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Felon with Extensive Criminal History Sentenced to Prison for Selling a Loaded Firearm and MethamphetamineRead the Press Release
LAS VEGAS, Nev. – A felon who pleaded guilty to selling a loaded firearm and methamphetamine outside a fast-food restaurant was sentenced today to 10 years in prison, announced U.S. Attorney Nicholas A. Trutanich for the District of Nevada.
Michael Villareal, 42, of Las Vegas, pleaded guilty to one count of distribution of a controlled substance and one count of unlawful possession of a firearm by a convicted felon. Villareal has four prior felony convictions between 1996 and 2010, and he is prohibited from legally possessing a firearm.
According to court documents, on May 28, 2019, Villareal met a buyer outside a fast food restaurant and sold the buyer a loaded Glock 19 handgun and 27.4 grams of methamphetamine for $580. The handgun was loaded with 15 rounds.
In addition to the term of imprisonment, U.S. District Judge Andrew P. Gordon sentenced Villareal to four years of supervised release.
The case was investigated by the Drug Enforcement Administration. Assistant U.S. Attorney Shaheen Torgoley is prosecuting the case.
This case was brought as part of Project Safe Neighborhoods (PSN), a nationwide program by the Department of Justice that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. The Department has made turning the tide of rising violent crime in America a top priority. In October 2017, as part of a series of actions to address this crime trend, the Department announced the reinvigoration of PSN. For more information about PSN, visit www.justice.gov/usao-nv.
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Fayette County man admits to drug distributionRead the Press Release
CLARKSBURG, WEST VIRGINIA – Keith Edward Ross, of Oak Hill, West Virginia, has admitted to heroin distribution, U.S. Attorney Bill Powell announced.
Ross, age 45, pled guilty to one count of “Aiding and Abetting Possession with Intent to Distribute Heroin.” Ross admitted to working with another to distribute heroin in March 2019 in Harrison County.Ross faces up to 20 years incarceration and a fine of up to $1,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Zelda E. Wesley is prosecuting the case on behalf of the government. The West Virginia State Police investigated.
U.S. Magistrate Judge Michael John Aloi presided.
Eight defendants in drug-trafficking operation targeted in 12-count federal indictmentRead the Press Release
DUBLIN, GA: Eight people have been charged in a 12-count federal indictment alleging a brazen drug-trafficking conspiracy in and around Laurens County.
The defendants, named in an indictment returned by a federal grand jury and unsealed in U.S. District Court in Dublin, Ga., on Tuesday, Feb. 4, were taken into federal custody at the culmination of Operation “The Hole,” named for the shack the conspirators used for extensive narcotics distribution, said Bobby L. Christine, U.S. Attorney for the Southern District of Georgia.
“The Laurens County Sheriff’s Office’s association with the Drug Enforcement Administration (DEA), Ocmulgee Drug Task Force, and numerous local and state law agencies brought this organization down,” said Laurens County Sheriff Larry Dean. “A criminal organization such as this one takes time, teamwork and perseverance to dismantle, and we are thankful to the citizens of Laurens County for their patience during this investigation. My deputies and I will not stop this fight against drugs as long as I am your sheriff.”
The operation, coordinated by agents of the DEA, along with the Laurens County Sheriff’s Office and the Ocmulgee Drug Task Force, targeted a drug-trafficking ring moving large quantities of methamphetamine, cocaine, crack cocaine and marijuana into the Laurens County starting as early as 2013. The investigation identified a shack called “The Hole” as the “trap house,” or central distribution site, complete with a retail-like service counter for drug transactions, along with other Dublin-area locations.
During the execution of multiple federal search warrants, agents seized significant quantities of narcotics, including pounds of methamphetamine, cocaine and marijuana, along with 24 firearms, nearly $37,000 in cash, gold and silver with an estimated value of $90,000, devices for pressing bricks of cocaine, pill presses, a stolen vehicle, and two stolen generators with lights. Additional drugs, firearms and cash also were discovered during arrests of the defendants.
“Our office is committed to reducing illegal drugs and violent crime in every part of the Southern District, and that includes Dublin and Laurens County,” said U.S. Attorney Christine. “With our law enforcement partners, we will weed out these peddlers of poison who fuel a significant part of every community’s misery.”
Those named in the indictment are:
- Quaveris Leshaun Mims, a/k/a “Strong,” 48, of Dublin, Ga., charged with Conspiracy to Possess with Intent to Distribute and to Distribute Controlled Substances; Possession with Intent to Distribute Controlled Substances; Possession of Firearms in Furtherance of a Drug Trafficking Crime; and two counts of Possession of a Firearm by a Convicted Felon;
- Rodney Jarrod Denson, a/k/a “RD,” 43, of Dublin, Ga., charged with Conspiracy to Possess with Intent to Distribute and to Distribute Controlled Substances; Possession with Intent to Distribute Controlled Substances; Conspiracy to Possess Firearms in Furtherance of a Drug-Trafficking Crime; two counts of Possession of a Firearm in Furtherance of a Drug-Trafficking Crime; and two counts of Possession of a Firearm by a Convicted Felon;
- Anthony Michael Denson, 48, of Dublin, Ga., charged with Conspiracy to Possess with Intent to Distribute and to Distribute Controlled Substances; Possession with Intent to Distribute Controlled Substances; and, Conspiracy to Possess Firearms in Furtherance of a Drug Trafficking Crime;
- Nicholas Turner, 24, of East Dublin, Ga., charged with Conspiracy to Possess with Intent to Distribute and to Distribute Controlled Substances; and Conspiracy to Possess Firearms in Furtherance of a Drug Trafficking Crime;
- Brandon Payne, a/k/a “Tre,” 25, of Dublin, Ga., charged with Conspiracy to Possess with Intent to Distribute and to Distribute Controlled Substances; Possession with Intent to Distribute Controlled Substances; Conspiracy to Possess Firearms in Furtherance of a Drug Trafficking Crime; and Possession of Firearms in Furtherance of a Drug Trafficking Crime;
- Desergio Kates, a/k/a “Serg,” 25, of Dublin, Ga., charged with charged with Conspiracy to Possess with Intent to Distribute and to Distribute Controlled Substances; Possession with Intent to Distribute Controlled Substances; Conspiracy to Possess Firearms in Furtherance of a Drug Trafficking Crime; and Possession of Firearms in Furtherance of a Drug Trafficking Crime;
- Constance Victoria Moore, 32, of Helena, Ga., charged with charged with Conspiracy to Possess with Intent to Distribute and to Distribute Controlled Substances; and,
- Zandera Finney, 33, of Warner Robins, Ga., charged with charged with charged with Conspiracy to Possess with Intent to Distribute and to Distribute Controlled Substances.
“RD” Denson and Anthony Michael Denson are brothers; Brandon Payne and Desergio Kates are stepsons of “RD” Denson.
The charges for Mims, RD Denson, Anthony Michael Denson, Kates and Payne carry penalties of up to life in prison; the charges for Turner, Moore, and Finney carry penalties of up to 20 years in prison on each count. Each of the defendants, if convicted, also would be subject to substantial fines and would serve a period of supervised release after completion of any prison sentence. There is no parole in the federal system.
“These indictments are a direct result of the dedicated efforts between local, state and federal law enforcement and the subsequent prosecution by the U.S. Attorney’s Office,” said Robert J. Murphy, Special Agent in Charge of the DEA Atlanta Field Division. “The distribution of dangerous drugs continues to ravage many communities, but the Dublin community is safer because these defendants have been removed from the streets.”
Criminal indictments contain only charges; defendants are presumed innocent unless and until proven guilty.
The case was investigated under the Organized Crime Drug Enforcement Task Forces (OCDETF), the premier U.S. Department of Justice program to dismantle multi-jurisdictional drug trafficking organizations. Agencies involved in the investigation include the DEA; the Bureau of Alcohol, Firearms, Tobacco and Explosives (ATF); the FBI; the U.S. Postal Inspection Service; the Laurens County Sheriff’s Office; Ocmulgee Drug Task Force; the Twiggs County Sheriff’s Office; the Wilkinson County Sheriff’s Office; the Baldwin County Sheriff’s Office; the Washington County Sheriff’s Office; the Johnson County Sheriff’s Office; and the Warner Robins Police Department, and is being prosecuted for the United States by Assistant U.S. Attorneys Patricia Rhodes and Henry W. Syms Jr.
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.
Eight Miami-Dade Residents Plead Guilty to Offenses Related to Computer Fraud and Embezzlement Scheme Targeting Miccosukee Resort & GamingRead the Press Release
MIAMI – On February 4, 2020, Ariana Fajardo Orshan, U.S. Attorney for the Southern District of Florida, George L. Piro, Special Agent in Charge, Federal Bureau of Investigation, Miami Division, and Roland D. Pandolfi, Chief of Police, Miccosukee Police Department, announced the convictions of all eight (8) defendants in United States v. Michel Aleu, et al. Case No. 19-20435-Cr-Gayles.
Four of the defendants, Michel Aleu, Lester Lavin, Yohander Jorrin Melhen, and Leonardo Betancourt, all former employees and licensees of Miccosukee Gaming, pled guilty and were convicted of conspiracy to steal funds in excess of $1,000 from Miccosukee Gaming, conspiracy to commit computer fraud, and money laundering conspiracy. Their respective spouses, defendants Maria Del Pilar Aleu, Anisleydi Vergel Hermida, and Milagros Marile Acosta Torres, pled guilty and stand convicted of conspiracy to commit money laundering offenses. Yohander Jorrin Melhen and Milagros Acosta Torres were the last defendants to plead guilty, when they appeared in Court on Friday, January 31, 2020.
As stated in court documents, from January 2011 to May 2015, Michel Aleu, Lavin, Jorrin Melhen, Betancourt, and other co-conspirators, who were employed in the video game department at the Miccosukee Casino, tampered with the computers in electronic gaming machines, causing those machines to generate false and fraudulent credit vouchers or tickets. They then enlisted other conspirators to exchange the vouchers for cash at ATMs located on the casino floor, at floor cashiers, or the casino treasury. Casino records disclose that the defendants and their co-conspirators stole approximately $5.3 million in cash from Miccosukee Gaming. The defendants used the stolen funds to purchase and maintain residences and investment properties, to purchase vehicles, vessels, and Florida Prepaid College Plans for certain of their children, and to pay for travel and household expenses.
The defendants are now awaiting sentencing before United States District Judge Darrin P. Gayles. Each defendant faces a maximum term of 20 years’ imprisonment for money laundering conspiracy. Michel Aleu, Lavin, Jorrin Melhen, and Betancourt face maximum terms of five years on their convictions for conspiracy to steal from Miccosukee Gaming and conspiracy to commit computer fraud.
U.S. Attorney Fajardo-Orshan commended the investigative efforts of FBI and Miccosukee Police Department. This case was prosecuted by Assistant U.S. Attorney Dwayne Williams and Asset Forfeiture Assistant U.S. Attorney Nicole Grosnoff.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov.
Doctor Sentenced to Probation and Home Confinement for Health Care FraudRead the Press Release
PITTSBURGH, PA - A resident of DuBois, Pennsylvania has been sentenced for health care fraud, United States Attorney Scott W. Brady announced today.
In March 2019, David James Girardi pleaded guilty to one count of health care fraud. In connection with the guilty plea, Girardi admitted to committing health care fraud by submitting fraudulent claims to Highmark for six Oxycodone and Hydrocodone prescriptions that Girardi wrote for his wife, but which were in fact intended for his own use.
On January 30, 2020, United States District Judge Kim R. Gibson sentenced Girardi to five years’ probation and six months’ home confinement. Judge Gibson further ordered that Girardi pay a $5,000 fine and restitution to Highmark, Inc.
Assistant United States Attorneys Rachael L. Mamula and Cindy K. Chung prosecuted this case on behalf of the government.
The Department of Health and Human Services, Office of Inspector General conducted the investigation that led to the prosecution of David James Girardi.
District Man Convicted of Sexually Assaulting Multiple Victims in Dupont Circle AreaRead the Press Release
WASHINGTON – Jamar Tillman, 36, of Washington, D.C., was convicted on Friday, January 31, 2020, by Judge Neil E. Kravitz of the Superior Court of the District of the Columbia for assaulting seven different female victims in less than an hour, including sexual assaults against six of those victims, U.S. Attorney Timothy J. Shea announced.
According to the government’s evidence—as presented to Judge Kravitz following the defendant’s waiver of his right to a jury trial—on April 3, 2019, the defendant assaulted his first victim in a parking garage near Dupont Circle by grabbing her hair and trying to pull her to the ground. The victim resisted, and the defendant fled the scene after bystanders responded to the victim’s cries. Over the course of the next forty-five minutes, the defendant sexually assaulted five additional women in the Dupont Circle area, grabbing or slapping their buttocks as he walked passed them. The defendant then sexually assaulted his final victim in a stairwell, pinning her to the ground and grabbing her vaginal area over her clothes. A police officer was alerted to that victim’s cries and interrupted the assault. The defendant then fled with the victim’s cellular phone and was arrested seconds later.
Judge Kravitz convicted the defendant of one count each of third degree sexual abuse, kidnapping, and robbery for the final victim, misdemeanor assault for attacking the first victim, and four counts of misdemeanor sexual abuse and one count of attempted misdemeanor sexual abuse for the other five victims. The defendant remains detained pending sentencing, which is scheduled for May 1, 2020.
In announcing the verdict, U.S. Attorney Shea stated that “Due to the swift action of police officers on the scene and the outstanding work of the investigative and prosecutorial teams, a dangerous predator has been taken off of the streets of D.C. The residents of the District are safer as a result of their efforts.” U.S. Attorney Shea specifically commended the work of the Metropolitan Police Department, including detectives with the Sexual Assault Unit, which investigated the case. He also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialist Tiffany Fogle and Victim/Witness Advocates Lorraine Chase, Karen Giannakoulias, Juanita Harris, and Tracy Owusu. Finally, he expressed appreciation for the work of Assistant U.S. Attorneys Ryan Creighton and Jocelyn Bond, who investigated and prosecuted the case, and Grace Richards, who assisted in investigating the case.
Court of Appeals Rejects Bala’s Request for a Certificate of InnocenceRead the Press Release
On February 4, 2020, the United States Court of Appeals for the Eighth Circuit rejected Susan Bala’s second attempt to obtain a “certificate of innocence,” based on the Court’s previous decision finding that Bala was “not truly innocent of state criminal gaming law violations.” United States v. Bala, No. 18-2849 (8th Cir. Feb. 4, 2020); United States v. Racing Servs., Inc., 580 F.3d 710 (8th Cir. 2009).
This matter arose from a jury’s 2005 conviction of Bala for running an illegal gambling operation. In 1989, North Dakota legalized parimutuel wagering on horse races conducted outside of North Dakota and simulcast to a licensed off-track betting operator within the state. State law allowed only licensed charitable organizations to conduct simulcast parimutuel wagering. In 1993, Bala’s company, Racing Services, Inc. (“RSI”), was authorized to simulcast horse races to licensed off-track betting locations in North Dakota. RSI also established and maintained the combined parimutuel pools of North Dakota bets on behalf of licensed off-track betting operators.
North Dakota amended its parimutuel laws in 2001 to permit a form of betting called account wagering, which allowed a bettor to deposit funds in an account and use those funds to pay for parimutuel wagers, either in person, by telephone, or through electronic communication. Parimutuel wagers previously had to be made in person. In the wake of the 2001 amendments, RSI became the sole entity in North Dakota through which parimutuel bettors could conduct account wagering bets. State law required an entity conducting account wagering to pay some portion of the account wagering proceeds to a charitable organization. RSI set up a call center to conduct account wagering at its Fargo headquarters where RSI employees processed bets from bettors with wagering accounts.
In 2002, without notifying state regulators, RSI moved some of its equipment and tellers to an undisclosed call site in Fargo and began conducting account wagering there. Over the course of several months, RSI processed “off book” account wagering bets at the undisclosed site totaling over $99,000,000. Contrary to state law, RSI and Bala paid no part of these wagering proceeds to the state or to the charities licensed as off-track bettor operators. RSI and Bala also hid the gambling occurring at this undisclosed site from the state by not licensing the site and the tellers working there, using a bookkeeping system that disguised the gambling activities occurring there, and omitting those activities from RSI’s required weekly reports of all parimutuel bets placed in North Dakota. After an RSI employee reported to the state that RSI was conducting rogue parimutuel gambling at the undisclosed site, the state shut it down.
The state referred the matter to the Federal Bureau of Investigation. Following an investigation, a federal grand jury indicted Bala on charges of conspiring to conduct an illegal gambling business and to commit money laundering, among others. Bala proceeded to trial. Bala’s co-defendants—a vice president of RSI and the chief financial officer of RSI—acknowledged the illegal nature of the unreported account wagering conducted at the undisclosed site, pleaded guilty, and testified against Bala. The jury convicted Bala, and the district court sentenced her to 27 months in prison. The Eighth Circuit later reversed her convictions on the grounds that, although Bala committed the acts alleged, insufficient evidence supported the guilty verdicts beyond a reasonable doubt. United States v. Bala, 489 F.3d 334 (8th Cir. 2007).
Bala filed her first petition for a certificate of innocence in 2008. To obtain a certificate of innocence, an individual must prove she is actually innocent, a different determination from the Eighth Circuit’s ruling that the evidence of criminality did not support a finding of guilt beyond a reasonable doubt. The district court concluded that Bala could not meet her legal burden and was not actually innocent. The district court reasoned that, not only had Bala likely violated multiple provisions of North Dakota law, but she also brought about her prosecution through her actions. As the district court held, “a certificate [of innocence] . . . is appropriate only when ‘no offense’ was committed and the defendant did not contribute to his or her prosecution. Clearly, this is not the case here.” On appeal, the Eighth Circuit “agree[d] with the [district] court’s assessment” that Bala was not truly innocent of all state law offenses and thus did not qualify for a certificate of innocence. United States v. Racing Servs., Inc., 580 F.3d 710 (8th Cir. 2009); United States v. Racing Servs., Inc., No. 3:03-cr-00112, Doc. 202 (D.N.D. Sept. 19, 2008).
Nine years later, Bala filed another petition for a certificate of innocence, claiming that other parties in ongoing bankruptcy proceedings used her overturned convictions and the denial of a certificate of innocence against her. The district court denied her petition, concluding again that Bala was not actually innocent and that Bala could not revisit the prior denial of a certificate of innocence. United States v. Bala, No. 3:03-cr-00112, Doc. 234 (D.N.D. Aug. 8, 2018).
The Eighth Circuit today agreed, holding that the Court’s prior conclusion that Bala was “not truly innocent of state criminal gaming law violations” barred her second attempt to obtain a certificate of innocence. A certificate of innocence is available only to “the truly innocent, making it necessary to separate from the group of persons whose convictions have been reversed, those few who are in fact innocent of any offense whatever.” The Court rejected Bala’s argument that circumstances had changed since the Court rejected her first petition for a certificate of innocence. The Court thus concluded he legal doctrine of res judicata barred her second petition.
Assistant United States Attorney Megan A. Healy represented the United States.
Coos Bay Man Sentenced to Federal Prison for Distributing Methamphetamine and Possessing Sawed-off ShotgunsRead the Press Release
EUGENE, Ore.—Theron Gilbert Gerber, 36, a resident of Coos Bay, Oregon, was sentenced to five years in federal prison followed by a four-year term of supervised release for distributing methamphetamine and unlawfully possessing sawed-off shotguns.
According to court documents, in March 2019, agents from the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) learned that Gerber, who had prior state felony convictions, was selling firearms and methamphetamine in the Coos Bay area.
On April 4, 2019, an undercover ATF agent met with Gerber for a firearms purchase. Upon entering Gerber’s home, the agent saw drug paraphernalia and approximately 20 to 25 firearms displayed for sale. During the meeting, Gerber stated, “everything’s for sale for the right price.” Gerber then sold the agent a short-barreled shotgun, a Glock pistol, three magazines, three drum magazines, and 91 rounds of ammunition—all for $600.
The agent arranged a second purchase the following week. On April 11, 2019, the agent again met with Gerber inside his residence. This time, the agent purchased an AK-style rifle for $500 and asked if Gerber would sell methamphetamine. Gerber agreed to sell the agent approximately 13 grams of methamphetamine for $240.
Finally, on April 25, 2019, the agent brokered a third firearm purchase from Gerber. Gerber sold the agent a second sawed-off shotgun, an AR-style pistol, 181 rounds of assorted ammunition, six 30-round AR-style magazines, and a Colt .45 caliber “Night Defender” pistol for $1,500. A short time later, ATF agents executed a search warrant on Gerber’s residence and arrested him.
As part of his plea agreement, Gerber agreed to forfeit the firearms described in the indictment.
On January 6, 2020, Gerber pleaded guilty to one count each of unlawful possession of a short-barreled firearm and distribution of methamphetamine.
This case was investigated by ATF and prosecuted by Nathan J. Lichvarcik and William McLaren, Assistant U.S. Attorneys for the District of Oregon.
The case was brought as part of Project Safe Neighborhoods (PSN). PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Collection of handguns Collection of Firearms Shotgun with Shortened Barrel and Stock Shotgun with Shortened BarrelChild Predator Sentenced to 262 Months for Production and Possession of Child PornographyRead the Press Release
Knoxville, Tenn. - On February 4, 2020, George Robert Everhart, 31, of Maryville, was sentenced by the Honorable Thomas A. Varlan, in the United States District Court at Knoxville. Everhart will serve 262 months in federal prison for producing and possessing child pornography. Following his imprisonment, Everhart will be supervised by the United States Probation Office for 10 years and will be required to register with the state sex offender registry in any state in which he lives, works, or attends school.
The investigation began when a tip came in from the National Center for Missing and Exploited Children. Law enforcement quickly identified Everhart and insured that the victims were no longer in peril. Through the execution of federal search warrants, law enforcement discovered child pornography on Everhart’s phone, computer, and in his online file storage account.
“I want to commend the dedicated investigators and forensic examiners of the Knoxville Police Department who immediately took action to protect children from the defendant.” said J. Douglas Overbey, U.S. Attorney for the Eastern District of Tennessee. U.S. Attorney Overbey emphasized, “We will continue to work closely with law enforcement to pursue child sexual predators and vigorously prosecute them and protect our children from them.”
The case was investigated by the Knoxville Police Department’s Internet Crimes Against Children Unit, with assistance from the Maryville Police Department.
Assistant U.S. Attorney Matthew T. Morris represented the United States.
This case was brought forward as part of Project Safe Childhood (PSC), a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section, PSC 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 PSC, please visit www.projectsafechildhood.gov
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Cedar Rapids Man Sentenced to Two Years in Federal Prison for Possessing Child PornographyRead the Press Release
A man who possessed child pornography was sentenced today to two years in federal prison.
Troy French, age 29, of Cedar Rapids, received the sentence after a July 8, 2019, guilty plea to one count of possession of child pornography. At the plea hearing, French admitted that, between 2012 and 2017, he knowingly possessed child pornography, including one or more depictions of prepubescent children.
French was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. French was sentenced to 24 months’ imprisonment. A special assessment of $100 was imposed, and he was ordered to make $3,000 in restitution to victims depicted in images he possessed. French must also serve a ten-year term of supervised release, and he must comply with all sex offender registration and public notification requirements.
This case was prosecuted by Assistant United States Attorney Mark Tremmel and was investigated by the Federal Bureau of Investigation.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about Internet safety education, please visit www.usdoj.gov/psc.
Court file information is available at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is CR 19-5.
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Cedar Rapids Man Pleads Guilty to Sexual Exploitation of ChildrenRead the Press Release
A man who sexually exploited children in the Philippines pled guilty today in federal court in Cedar Rapids.
William Meyer, age 64, from Cedar Rapids, was convicted of one count of sexual exploitation of children. At the plea hearing, Meyer admitted that, between 2012 and 2019, he persuaded, induced, or enticed one or more minors to engage in sexually explicit conduct for the purpose of producing visual depictions or for the purpose of transmitting live visual depictions of this conduct. The live visual depictions included Skype video transmissions from minors in the Philippines.
Sentencing before United States District Court Judge C.J. Williams will be set after a presentence report is prepared. Meyer remains in custody of the United States Marshal pending sentencing. Meyer faces a mandatory minimum sentence of 15 years’ imprisonment and a possible maximum sentence of 30 years’ imprisonment, a $250,000 fine, $5,100 in special assessments, and supervised release for 5 years to life following any imprisonment.
This case is being prosecuted by Assistant United States Attorney Mark Tremmel and was investigated by the Federal Bureau of Investigation and the Iowa Division of Criminal Investigation.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab “resources.”
Court file information is available at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is CR 19-105.
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Cass County Man Guilty of Federal Drug Trafficking ViolationsRead the Press Release
MARSHALL, Texas – A 41-year-old Hughes Springs, Texas man has pleaded guilty to federal drug trafficking crimes in the Eastern District of Texas, announced U.S. Attorney Joseph D. Brown today.
Oscar Dean Davis pleaded guilty to conspiracy to distribute and distribution of methamphetamine today before U.S. Magistrate Judge Roy S. Payne.
According to information presented in court, Davis was the leader of an illegal drug distribution network responsible for obtaining multiple-kilogram quantities of methamphetamine from a Mexican-based supplier and selling them throughout East Texas. Davis admitted to acquiring large numbers of firearms, including pistols, rifles, and high-caliber weapons, and transporting them to the U.S.-Mexico border as a medium of exchange for methamphetamine. Finally, Davis admitted to directing others to use money services businesses to wire transfer proceeds from methamphetamine sales to his supplier in Mexico.
Fourteen other individuals have previously entered pleas of guilty for their involvement in the drug and firearms trafficking organization. Stephanie Bennett Mata, 35, of Daingerfield; Gary O'Neal Gibson, 62, of Henderson; Felix Antonio Jaime, 37, of Mt. Pleasant; Charlie Jake Porter, 34, of Marietta; Tony King, 41, of Daingerfield; and Gerald Wayne Furlow, 55, of Hughes Springs; each pleaded guilty to possessing or conspiring to possess with the intent to distribute methamphetamine. Raymond Danny Moore, 43, of Avinger; Jennifer Michelle Kirkham, 39, of Jena, Louisiana; Donna Gail Sertuche, 53, of Hughes Springs; Jamie Nicole Browning, 40, of Gilmer; Joshua Nickie Soto, 35, of Leesville, Louisiana; and James Drakeford Scholl, 41, of Naples; pleaded guilty to either unlawfully obtaining firearms from licensed dealers or transporting firearms to the U.S.-Mexico border in furtherance of the drug trafficking conspiracy. Christina Felipe, 37, of Hughes Springs, and Angelica Arreola, 28, of El Paso, have pleaded guilty to conduct including transferring or transporting money from the U.S. to Mexico.
Under federal statutes, Davis faces a minimum of 10 years and up to life in federal prison. The maximum statutory sentence prescribed by Congress is provided here for information purposes, as the sentencing will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the U.S. Probation Office.
This case is the result of an extensive joint investigation by the Organized Crime Drug Enforcement Task Force (OCDETF). 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. Davis was indicted by a federal grand jury on Oct. 10, 2018 and charged with drug trafficking violations.
This case was investigated by the Federal Bureau of Investigation and the Bureau of Alcohol, Tobacco, Firearms and Explosives and prosecuted by Assistant U.S. Attorney Lucas Machicek.
Browning woman sentenced in DUI crash that injured passengerRead the Press Release
GREAT FALLS—A Browning woman who admitted being intoxicated when the vehicle she was driving on the Blackfeet Indian Reservation crashed and rolled twice, seriously injuring a passenger, was sentenced today to 16 months in prison and three years of supervised release, U. S. Attorney Kurt Alme said.
Mary Marie Oldchief, 35, pleaded guilty in October to assault resulting in serious bodily injury.
U.S. District Judge Brian M. Morris presided. Oldchief was detained.
In court documents filed in the case, the prosecution said the single-vehicle crash occurred on June 12, 2018 on U.S. Highway 2 near Browning on the Blackfeet Reservation. Oldchief was driving when the vehicle crashed and rolled twice. The victim, a passenger, was ejected and pinned under the car. The victim suffered serious injuries, including a brain injury and spinal and rib fractures. Oldchief was intoxicated at the time and had a breath sample of .133 percent at the Blackfeet Detention Center after the crash.
Assistant U.S. Attorney Paulette Stewart prosecuted the case, which was investigated by Blackfeet Law Enforcement Services, the Montana Highway Patrol and the FBI.
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Brockton Man Sentenced for Second Time to Federal Prison for Distributing FentanylRead the Press Release
BOSTON - A Brockton man was sentenced yesterday in federal court in Boston for fentanyl distribution.
Jeffrey Oliveira, 24, was sentenced by U.S. District Court William G. Young to 33 months in prison and six years of supervised release. In June 2019, Oliveira pleaded guilty to distributing fentanyl.
In May 2018, a cooperating witness made a controlled purchase of fentanyl from Oliveira. This marks Oliveira’s second federal conviction; in 2016 he was indicted with distributing fentanyl in Brockton, and after pleading guilty was sentenced to 18 months in prison.
This case was part of Operation Landshark, a federal investigation that targeted impact players and repeat offenders in Brockton and Boston, each of whom had prior convictions for acts of violence, firearm offenses, and/or drug trafficking. It is alleged that many of the Operation Landshark’s targets are among the top 30 criminal offenders responsible for violent acts and firearms in Brockton.
United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Colonel Christopher Mason, Superintendent of the Massachusetts State Police; Plymouth County District Attorney Timothy J. Cruz; Suffolk County District Attorney Rachael Rollins; Boston Police Commissioner William G. Gross; and Brockton Police Chief John Crowley made the announcement. The investigation was conducted by the FBI’s North Shore Gang Task Force and Southeastern Massachusetts Gang Task Force. Valuable assistance was provided by the Suffolk County Sheriff’s Office; the Bureau of Alcohol, Tobacco, Firearms and Explosives, Boston Field Division; Plymouth and Essex County Sheriff’s Offices; Massachusetts Department of Corrections; U.S. Parole Commission; U.S. Postal Inspection Services; and the U.S. Secret Service. Assistant U.S. Attorney Nicholas Soivilien of Lelling’s Organized Crime and Gang Unit prosecuted the case.
Operation Landshark 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.