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Monday 16 December 2019
Thirty Tribes Selected for Expansion of Program Enhancing Tribal Access to National Crime Information DatabasesRead the Press Release
BILLINGS – The Department of Justice has selected an additional 30 Indian tribes, including the Chippewa Cree Tribe in Montana, to participate in the expansion of the Tribal Access Program for National Crime Information (TAP), a program that provides federally recognized tribes the ability to access and exchange data with national crime information databases for both criminal and non-criminal justice purposes.
“The Tribal Access Program is strengthening tribal governance and public safety in tribal communities across the United States,” said Attorney General William P. Barr. “TAP provides law enforcement and tribal governments real-time access to data that can help locate a missing person, identify a dangerous fugitive or prevent a domestic abuser from obtaining a gun, among many other important functions. The Trump administration is committed to fixing these public safety gaps and serving victims in Indian country. I believe the expansion of this law enforcement tool will prove to be critical in achieving those goals.”
Montana U.S. Attorney Kurt Alme said, “We are pleased that the Chippewa Cree Tribe on the Rocky Boy’s Reservation has been selected for expansion of the Tribal Access Program. The program will allow the Chippewa Cree Tribal Police and other tribal departments to enter information about missing persons into the national missing persons database, enter updates about each person and learn of updates from law enforcement across the country.”
“This will be a big step toward ensuring that missing persons, particularly Chippewa Cree women and children, are found, and that the Tribe has the most up to date information about missing members,” said Alme, who also is vice chair of the Attorney General’s Native American Issues Subcommittee.
“This Chippewa Cree Tribe is very grateful and appreciative to have been selected to receive TAP. It will allow us to enhance our work and services without delay to better protect and provide our community members, first responders and other tribal entities with critical information,” said Harlan Baker, chairman of the Chippewa Cree Business Committee.
TAP is currently deployed to more than 75 tribes across the country with over 300 participating tribal justice agencies, including the Blackfeet, Fort Peck, Crow and Northern Cheyenne tribes in the District of Montana. The program provides software to enable tribes to access national crime information databases and/or a kiosk-workstation that provides the ability to submit and query fingerprint-based transactions via FBI Criminal Justice Information Services (CJIS) Next Generation Identification (NGI) System.
This fifth expansion of TAP is part of the Justice Department’s continuing focus on public safety in American Indian and Alaska Native communities, allowing tribes to more effectively serve and protect their communities by ensuring the exchange of critical data with federal and state databases.
On November 22, Attorney General Barr launched a national strategy to address the issues surrounding missing and murdered Native Americans, and TAP provides the ability for participating tribes to exchange data with FBI CJIS, including data on missing persons from the National Crime Information Center (NCIC).
In October, the Justice Department announced an unprecedented $273 million in grants to improve public safety, serve victims of crime, combat violence against women, and support youth programs in American Indian and Alaska Native communities.
TAP enhances tribal efforts to register sex offenders pursuant to the Sex Offender Registration and Notification Act (SORNA), have orders of protection enforced off-reservation, protect children, keep firearms away from persons who are disqualified from receiving them, improve safety within public housing, and allows tribes to record their arrests and convictions in national databases.
TAP supports tribes in analyzing their needs for national crime information with appropriate solutions, including a state-of-the-art biometric/biographic kiosk-workstation with capabilities to process finger and palm prints, take mugshots and submit records to national databases, as well as the ability to access CJIS systems for criminal and non-criminal justice purposes through the Department of Justice’s Criminal Justice Information Network. TAP, which is managed by the Chief Information Officer and the Office of Tribal Justice, provides specialized training and assistance for participating tribes, including computer-based training and on-site instruction, as well as a 24x7 help desk.
TAP is primarily funded by the Office of Sex Offender Sentencing, Monitoring, Apprehending, Registering, and Tracking (SMART); the Office of Community Oriented Policing Services (COPS); and the Office for Victims of Crime (OVC). TAP prioritized tribal applicants that have a law enforcement agency currently unable to access the FBI CJIS databases; have a tribal sex offender registry pursuant to the Adam Walsh Act and are currently unable to easily submit data to national crime information databases; and/or have a tribal court which issues orders of protection in domestic violence cases.
For more information on TAP, visit www.justice.gov/tribal/tribal-access-program-tap.
For more information about the Justice Department’s work on tribal justice, public safety issues and victim services, visit www.justice.gov/tribal.
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Stockton Man Sentenced to More Than 12 Years in Prison for Drug Distribution Conspiracies and Possessing A Machine GunRead the Press Release
OAKLAND – Joel Salcedo was sentenced to 151 months in prison for drug and gun charges, announced United States Attorney David L. Anderson and Drug Enforcement Administration (DEA) Acting Special Agent in Charge William C. Fallin. The sentence was handed down by the Honorable Haywood S. Gilliam, Jr., U.S. District Judge.
The sentencing follows a May 2019 trial in which Salcedo, 37, of Stockton, was found guilty by a federal jury of participating in two overlapping drug conspiracies – to manufacture and distribute 100 or more marijuana plants, in violation of 21 U.S.C. §§ 846, 841(a)(1) and (b)(1)(B) (Count One), and to distribute or possess with the intent to distribute 100 grams or more of heroin, and 500 grams or more of a mixture and substance containing methamphetamine in violation of 21 U.S.C. §§ 846, 841(a)(1) and (b)(1)(A) (Count Two). The drug conspiracy charges carried mandatory minimum sentences of five years and ten years, respectively. Salcedo was also convicted of possession and transfer of a machine gun, in violation of 18 U.S.C. § 922(o) (Count Three).
Evidence at trial showed that Salcedo was a supplier of marijuana, methamphetamine, and heroin to a drug distribution organization headed by co-defendant Oscar Escalante. During a wiretap on Escalante’s phones in 2016, agents intercepted a series of calls that indicated Escalante ordered and Salcedo agreed to supply, one kilogram of heroin and two pounds of methamphetamine. Pole camera footage and physical surveillance demonstrated Salcedo delivered the drugs to Escalante on May 16, 2016. In addition, other evidence proved that Salcedo operated an outdoor marijuana grow at his residence in Stockton, CA. Salcedo also attempted to diagnose why Escalante’s full-auto Glock pistol was not working properly, by having an associate film him (Salcedo) while he repeatedly fired the gun in his backyard.
Salcedo was originally charged by criminal complaint on August 17, 2016. He and twenty-one other defendants were later charged in a Superseding Indictment, which alleged broad, overlapping drug conspiracies, money laundering, and various firearms offenses. Twenty defendants pleaded guilty, and one defendant remains a fugitive. Salcedo was the only defendant to go to trial. The following are examples of substantial sentences imposed in this case to date:
Defendant
Age
Charges
Sentence of Imprisonment
Oscar Escalante
43
21 U.S.C. §§ 846, 841(a)(1), (b)(1)(B) – Marijuana Trafficking Conspiracy; 21 U.S.C. §§ 846, 841(a)(1), (b)(1)(A)—Heroin and Methamphetamine Trafficking Conspiracy; 18 U.S.C. § 924(c) – Possession of a Firearm in Furtherance of Drug Trafficking; 18 U.S.C. § 1956(h) – Money Laundering Conspiracy
235 months
Michael Vicochea
26
21 U.S.C. §§ 846, 841(a)(1), (b)(1)(B) – Marijuana Trafficking Conspiracy; 21 U.S.C. §§ 846, 841(a)(1), (b)(1)(A)—Heroin and Methamphetamine Trafficking Conspiracy; 18 U.S.C. § 924(c) – Possession of a Firearm in Furtherance of Drug Trafficking; 18 U.S.C. § 1956(h) – Money Laundering Conspiracy
180 months
David Vigil
46
21 U.S.C. §§ 846, 841(a)(1), (b)(1)(B) – Marijuana Trafficking Conspiracy; 21 U.S.C. §§ 846, 841(a)(1), (b)(1)(A) – Heroin and Methamphetamine Trafficking Conspiracy
121 months
Christian Vanleer
26
21 U.S.C. §§ 846, 841(a)(1), (b)(1)(B)—Heroin and Methamphetamine Trafficking Conspiracy; 18 U.S.C. § 924(c) – Possession of a Firearm in Furtherance of Drug Trafficking
120 months
Phillip Jiunti
43
21 U.S.C. §§ 846, 841(a)(1), (b)(1)(B) – Marijuana Trafficking Conspiracy; supervised release violation in separate 18 U.S.C. § 922(g)(1) – Felon in Possession of Firearm case
70 months
Daniel Medina
25
21 U.S.C. §§ 841(a)(1), (b)(1)(C) – Distribution of Heroin; 18 U.S.C. § 924(c) – Possession of a Firearm in Furtherance of Drug Trafficking
66 months
Oswaldo Escalante
46
21 U.S.C. §§ 846, 841(a)(1), (b)(1)(B) – Marijuana Trafficking Conspiracy; 18 U.S.C. § 1956(h) – Money Laundering Conspiracy
65 months
Christopher Mir
26
21 U.S.C. §§ 846, 841(a)(1), (b)(1)(C) – Marijuana Trafficking Conspiracy; 18 U.S.C. § 924(c) – Possession of a Firearm in Furtherance of Drug Trafficking
60 months, 1 day
Ignacio Gonzalez
31
21 U.S.C. §§ 846, 841(a)(1), (b)(1)(C) – Marijuana Trafficking Conspiracy; 18 U.S.C. § 924(c) – Possession of a Firearm in Furtherance of Drug Trafficking
60 months, 1 day
Jorge Gomez
39
21 U.S.C. §§ 846, 841(a)(1), (b)(1)(B) – Marijuana Trafficking Conspiracy
60 months
Adan Gonzalez
47
21 U.S.C. §§ 846, 841(a)(1), (b)(1)(B) – Marijuana Trafficking Conspiracy
60 months
Assistant U.S. Attorneys Frank Riebli and Katherine Wawrzyniak are prosecuting the case with the assistance of Patricia Mahoney and Hector Lopez. The prosecution is the result of an investigation by the DEA. This case was investigated and prosecuted by member agencies of the Organized Crime Drug Enforcement Task Force, a focused multi-agency, multi-jurisdictional task force investigating and prosecuting the most significant drug trafficking organizations throughout the United States by leveraging the combined expertise of federal, state, and local law enforcement agencies.
Statement by Attorney General William P. Barr on the Departure of Principal Associate Deputy Attorney General Edward O'CallaghanRead the Press Release
Attorney General William P. Barr issued the following statement:
“Ed is one of the most highly regarded lawyers at the Department of Justice. His dedication and tireless commitment to the work of the Department is second to none. Ed possesses a rare combination of sharp intellect, common sense, and sound judgment – traits that served him well from his time as a prosecutor in the Southern District of New York to his service at the highest levels of the Department, including as Acting Deputy Attorney General. We were lucky to have him at the heart of the leadership team at DOJ. He will be greatly missed.”
Spirit Lake Man Sentenced to 10 Years in Federal Prison for Assault Resulting in Serious Bodily Injury of a ChildRead the Press Release
Fargo – Today in U.S. District Court, Chief Judge Peter D. Welte sentenced Jonathan James Hill, age 23, to 10 years in federal prison for the offense of Assault Resulting in Serious Bodily Injury. Defendant Hill is an enrolled member of the Spirit Lake Sioux Tribe and the Sisseton Wahpeton Sioux Tribe. Upon completion of his prison sentence, Hill will be placed on five years of supervised release with a number of conditions including that he have no contact with children under the age of 18 without express permission of his supervising agent. Hill will also be required to pay restitution.
The investigation in this case began on January 1, 2019, when emergency medical technicians responded to a residence in Fort Totten, ND, within the boundaries of the Spirit Lake Reservation, for a report of an unresponsive baby. Medical providers described the 20-month-old baby as “noticeably bruised to face & entire body.” The baby was diagnosed with multiple acute and chronic injuries to the brain and body. Medical providers believed the injuries to be “non-accidental” and were later determined to be consistent with abusive head trauma and child physical abuse. The baby’s injuries required air transport for medical treatment, surgical intervention, and months-long hospitalization.
“The Department of Justice has a special trust responsibility for Native American land and people,” said United States Attorney Drew Wrigley, “and we view that trust as particularly sacred when we are called upon to seek justice on behalf of children.”
This case was investigated by the Federal Bureau of Investigation and the Bureau of Indian Affairs, and prosecuted by Assistant United States Attorney Lori H. Conroy.
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South Bend, Indiana Man Sentenced to 34 Years in PrisonRead the Press Release
SOUTH BEND - Brandon Edelman, age 33, of South Bend, Indiana was sentenced before South Bend District Court Judge Robert L. Miller, Jr. for armed drug trafficking, announced U.S. Attorney Kirsch.
Mr. Edelman was sentenced to 408 months in prison followed by 3 years of supervised release.
Mr. Edelman was initially indicted in June of 2018 for possession of methamphetamine with intent to distribute, armed drug trafficking, and felon in possession of a firearm. On February 7, 2019, a jury returned guilty verdicts on all three counts following a two-day trial.
“A sentence of 34 years should send a strong message to others who wish to engage in similar criminal activities,” said U.S. Attorney Kirsch. “The propensity for violence increases when narcotics are involved. Edleman further endangered lives by evading law enforcement with a high speed chase and having his passenger throw a loaded firearm out a window during that chase. These violent acts will not be tolerated. My Office and our law enforcement partners will continue to investigate and prosecute dangerous individuals like Mr. Edleman.”
According to documents in this case, in April of 2018, South Bend Police observed Mr. Edelman driving a stolen truck. When police attempted to investigate, Mr. Edelman drove off at an extremely high speed. The vehicle pursuit lasted approximately 13 minutes, ending only when the vehicle was disabled; Mr. Edelman then ran from police. Mr. Edelman subsequently admitted to having his accomplice, during the vehicle pursuit, throw $20,000 cash, a loaded handgun, and ¼ pound of methamphetamine out the window as those items were incriminating. Police were able to recover the handgun. Mr. Edelman had previously been convicted of five felonies and eight misdemeanor offenses. He was on probation when he committed the April 2018 federal crimes.
This was investigated by the Drug Enforcement Agency with the assistance of the South Bend Police Department. The case was handled by Assistant U.S. Attorney Joel Gabrielse.
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Smuggler learns fate for transporting Chinese nationalsRead the Press Release
CORPUS CHRISTI, Texas – A 50-year-old legal permanent resident from Donna has been ordered to federal prison following his conviction for knowingly and intentionally conspiring to unlawfully transporting undocumented illegal aliens, announced U.S. Attorney Ryan K. Patrick.
The jury deliberated for approximately one hour before convicting Federico Espinosa-Flores following a two-day trial Sept. 11.
Today, U.S. District Judge John Rainey ordered him to prison for 21 months to be immediately followed by one year of supervised release. In handing down the sentence, the court noted the overwhelming amount of evidence against the defendant.
On Dec. 21, 2018, at approximately 7:40 a.m., Espinosa-Flores entered the primary inspection lane of the Border Patrol (BP) checkpoint in Sarita driving a white Ford cargo van disguised as an adult daycare business. At that time, authorities noticed him exhibiting signs of nervousness, such as avoiding eye contact and having trembling hands. He consented to a vehicle search which resulted in the discovery of 10 undocumented aliens in the rear cargo area of the vehicle. Six were Chinese nationals and two others were from Mexico and Colombia.
During trial, the defense attempted to convince the jury that authorities coached Espinosa-Flores on what to say in his recorded and detailed confession. They did not believe those claims and found him guilty as charged.
Espinosa-Flores will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Immigration and Customs Enforcement’s Homeland Security Investigations conducted the investigation with assistance from Customs and Border Protection. Assistant U.S. Attorney Neel Kapur and Lance Watt are prosecuting the case.
Siemens Contract Employee Gets Jail Time for Intentionally Damaging ComputersRead the Press Release
PITTSBURGH - A contract employee for Siemens Corporation at the Monroeville, PA location has been sentenced in federal court to a six-month term of imprisonment to be followed by a two-year term of supervised release, and a fine of $7,500 on his conviction of intentional damage to a protected computer, United States Attorney Scott W. Brady announced today.
United States District Judge William S. Stickman imposed the sentence on David Tinley, 62, of Harrison City, PA.
According to information presented to the court, from in and around 2014 and continuing until on or about May 13, 2016, Tinley intentionally inserted logic bombs into computer programs that he designed for Siemens Corporation. The logic bombs ensured that the programs would malfunction after the expiration of a certain date. As a result, Siemens was unaware of the cause of the malfunction and required Tinley to fix these malfunctions.
Assistant United States Attorney Shardul S. Desai prosecuted this case on behalf of the government.
United States Attorney Brady commended the Federal Bureau of Investigation for the investigation leading to the successful prosecution of Tinley.
Seth DuCharme Appointed as Principal Associate Deputy Attorney GeneralRead the Press Release
Deputy Attorney General Jeffrey A. Rosen issued the following statement on the appointment of Seth DuCharme as Principal Associate Deputy Attorney General, effective December 23, 2019:
“Seth is a dedicated public servant and long-time career prosecutor of the highest caliber. From his time as Chief of the Criminal Division in the Eastern District of New York to most recently serving with distinction as Counselor to the Attorney General for criminal and national security matters, Seth’s sharp intellect, quick thinking, and excellent judgment have greatly benefitted all who have worked with him. His deep experience in areas ranging from narcotics trafficking and cybercrime to terrorism and public corruption will be an asset to the Office of the Deputy Attorney General. I look forward to Seth serving by my side at the Department of Justice.”
Rochester Nail Salon Owner Sentenced for Defrauding the SNAP ProgramRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Hang T. Lam, 46, of Rochester, NY, who was convicted of unauthorized use, transfer, acquisition, and possession of USDA food stamp benefits, was sentenced by U.S. District Judge Elizabeth A. Wolford to serve three years’ probation and ordered to pay restitution totaling $26,631.00.
Assistant U.S. Attorney Kyle P. Rossi, who handled the case, stated that in April 2018, the Monroe County Department of Social Services (DSS) developed information that Young’s Nails, which is owned and operated by the defendant, was trafficking in Supplemental Nutrition Assistance Program (SNAP)/food stamp benefits for cash, nail services, and other non-food items. Young’s Nails does not sell food and is not authorized to accept SNAP benefits.
Between April 19, 2018, and October 1, 2018, the U.S. Department of Agriculture, Office of Inspector General conducted five undercover transactions at Young’s Nails using a SNAP Electronic Benefits (SNAP EBT) card. Purchases included nail services such as manicures and pedicures, cigarettes, jewelry, and cash. Lam charged double the cost when a SNAP EBT card was used.When the undercover purchases were made, the defendant used the Tanhong Du Supermarket on N. Clinton Avenue in Rochester, Ocean Garden Oriental Foods Inc. on S. Clinton Avenue in Rochester, and the Asia Food Market on Brighton-Henrietta Town Line Road to process the undercover transactions. All three stores are approved to participate in the SNAP program.
On November 7, 2018, a search warrant was executed at Young’s Nails. Law enforcement officers seized SNAP EBT cards, dozens of handwritten notes containing four digit PIN numbers and various cash amounts, and SNAP EBT receipts from the Asia Food Market and other SNAP authorized stores. As a result, officers identified and interviewed SNAP clients involved in SNAP fraud with Lam at Young’s Nails. Eight of these individuals reported that they exchanged SNAP benefits for cash and nail services.
To date, approximately $26,000 dollars in fraudulent SNAP transactions executed by Lam have been identified.
The sentencing is the result of an investigation by the U.S. Department of Agriculture, Office of Inspector General, under the direction of Special Agent-in Charge Bethanne M. Dinkins; Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly; the Monroe County Department of Social Services, under the direction of Commissioner Corinda Crossdale; and the New York State Office of Inspector General, under the direction of Inspector General Letizia Tagliafierro.
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Rochester Man Sentenced to 90 Months for Fentanyl Trafficking ConspiracyRead the Press Release
CONCORD – Derek Rand, 31, of Rochester, was sentenced to 90 months in federal prison for participating in a fentanyl trafficking conspiracy, United States Attorney Scott W. Murray announced today.
According to court documents and statements made in court, between late 2017 and December 18, 2018, the Drug Enforcement Administration (DEA) and the New Hampshire State Police conducted an investigation of drug trafficking by Rand, who used runners to obtain fentanyl in Massachusetts and bring it to New Hampshire for distribution. During the investigation, over one kilogram of fentanyl was seized from members of Rand’s drug trafficking organization.
Rand previously pleaded guilty on August 29, 2019.
“Despite its deadly impact on our citizens, greedy drug traffickers continue to seek profit from the sale of fentanyl,” said U.S. Attorney Murray. “We will not tolerate fentanyl trafficking in New Hampshire. To fight this menace, we work closely each day with our law enforcement partners to identify, arrest, and incarcerate those who are responsible for bringing this deadly substance into the Granite State.”
“Fentanyl distribution is destroying people’s lives and wreaking havoc in our communities,” said DEA Special Agent in Charge Brian D. Boyle. “DEA and our law enforcement partners will aggressively pursue and bring to justice individuals like Mr. Rand that distribute this poison.”
This matter was investigated by the United States Drug Enforcement Administration’s Tactical Diversion Squad in Portsmouth, New Hampshire, the New Hampshire State Police and the Dover, New Hampshire Police Department. The case was prosecuted by Assistant U.S. Attorney Jennifer Davis.
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Rochester Man Sentenced for Role in Drug ConspiracyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Pablo Rentas-Torres, 36, of Rochester, NY, who was convicted of conspiring to possess with intent to distribute, and distributing, fentanyl, cocaine, and crack cocaine was sentenced to serve 27 months in prison by Chief U.S. District Court Judge Frank P. Geraci, Jr.
Assistant U.S. Attorney Matthew T. McGrath, who is handling the case, stated that Rentas-Torres was a member of a drug trafficking organization led by co-defendant Jose Casado. Between December 2017 and May 15, 2019, the organization distributed large quantities of fentanyl, cocaine and crack cocaine out of drug houses located on Clifford Avenue and Treyer Street in Rochester.
Casado would obtain bulk quantities of fentanyl, heroin and crack cocaine, which he and others would “bag-up” or package for sale to individual drug users. Drug users would contact Casado directly via cellular phone to order quantities of drugs and Casado, in turn, would routinely direct other members of the conspiracy, including the defendant, to obtain drugs from the organization’s drug stash and to deliver it to the customer at a pre-arranged location. The drug runners then met with the customer and provided the drugs in exchange for cash. Casado or another member of the organization would collect the proceeds of the drugs sales from the drug runners periodically throughout the day. On February 12, 2019, defendant Rentas-Torres sold 79 baggies of fentanyl and 81 baggies of cocaine in exchange for $600, on behalf of the drug trafficking organization.
The sentencing is the result of an investigation by the Rochester Police Department, under the direction of Chief La’Ron Singletary, and the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division.
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Rochester Man Sentenced for Drug TraffickingRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Darryl Mickle, 35, of Rochester, NY, who was convicted of possession with intent to distribute cocaine base, was sentenced to serve 57 months in prison by U.S. District Judge David G. Larimer.
Assistant U.S. Attorney Matthew T. McGrath, who handled the case, stated that the defendant was apprehended by Rochester Police Officers on January 16, 2019, as they responded to the area of 295 Central Park for the report of a menacing incident. Officers encountered Mickle at the scene and ordered him to exit his vehicle. Upon further investigation, officers observed marijuana in the defendant’s vehicle, and after a further search, located 42 baggies of powder cocaine, 44 baggies of crack cocaine, 47 baggies of marijuana, and a loaded .32 caliber semi-automatic pistol. $4,198 was also recovered from the vehicle and Mickle.
The sentencing is the result of an investigation by the Rochester Police Department, under the direction of Chief La’Ron Singletary, and the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Special Agent-in-Charge John B. Devito, New York Field Division.
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Reynoldsville Man Pleads Guilty to Possession of Child PornographyRead the Press Release
PITTSBURGH, PA- A resident of Jefferson County pleaded guilty in federal court to charges of possession of child pornography, United States Attorney Scott W. Brady announced today.
Matthew James Kite, 23, of Reynoldsville, Pennsylvania, pleaded guilty to two counts before United States District Judge Donetta W. Ambrose.
In connection with the guilty plea, the court was advised that on October 26, 2017, and on April 18, 2018, Kite possessed more than 600 images depicting the sexual exploitation of minors, including children under the age of 12, as well as infants and toddlers. On October 26, 2017, during the first federal search warrant executed at Kite’s home, law enforcement seized multiple electronic devices containing child pornography. In a voluntary interview with law enforcement, Kite admitted to viewing and downloading child pornography. Five months later, in April 2018, a second federal search warrant was executed at Kite’s home. Kite admitted to viewing and downloading child pornography on an additional phone and additional laptop. In addition to the guilty plea to possession of child pornography, Kite accepted responsibility for one count of receipt of material depicting the sexual exploitation of a minor.
Judge Ambrose scheduled sentencing for April 21, 2020, at 10:00 a.m. The law provides for a total sentence of 20 years in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant. Kite remains on bond pending the sentencing hearing.
Assistant United States Attorney Christy C. Wiegand is prosecuting this case on behalf of the government.
The Department of Homeland Security conducted the investigation that led to the prosecution of Kite. This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Plainfield Man Sentenced to 120 MonthsRead the Press Release
FORT WAYNE – Justin B. Nelson, age 26, of Plainfield, Indiana was sentenced before U.S. District Court Judge Damon R. Leichty for possession with intent to distribute fifty grams or more of methamphetamine, announced U.S. Attorney Kirsch.
Nelson was sentenced to 120 months in prison followed by 5 years of supervised release.
According to documents in this case, on the evening of February 27, 2019, Indiana State Police conducted a traffic stop of a vehicle driven by Nelson in Fort Wayne, Indiana. A police canine alerted to the presence of the odor of narcotics in the vehicle, and the vehicle was searched. Inside, officers located a safe which contained 79.6 grams of crystal methamphetamine and 23.4 grams of psilocybin (hallucinogenic) mushrooms. Nelson admitted to dealing methamphetamine prior to the traffic stop and admitted that he had intended to distribute more of the methamphetamine that night.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, Indiana State Police and the Allen County Sheriff’s Department. The case was handled by Assistant United States Attorney Sarah E. Nokes.
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Pittsburgh Man Pleads Guilty in Wiretap Investigation of Drug Trafficking in Pittsburgh’s West EndRead the Press Release
PITTSBURGH - A resident of Pittsburgh, PA, pleaded guilty in federal court to a violation of federal drug laws, United States Attorney Scott W. Brady announced today.
Allen Green, age 40, of pleaded guilty to one count before Senior United States District Judge Arthur J. Schwab.
In connection with the guilty plea, the court was advised that in 2017, the Federal Bureau of Investigation and the Drug Enforcement Administration initiated a wiretap investigation, primarily targeting the GBK street gang and drug trafficking in and around an area known as the Greenway Projects, located in the West End of the City of Pittsburgh. The wiretap investigation revealed that from in and around November 2017 through in and around June 2018, Allen Green conspired to distribute 500 grams or more of powder cocaine.
Judge Schwab scheduled sentencing for May 19, 2020, at 10:00 a.m. The law provides for a total sentence of not less than 10 years to life in prison, a fine of $8,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history of the defendant.
Pending sentencing, the court continued the defendant’s detention.
Assistant United States Attorneys Tonya Sulia Goodman and Yvonne M. Saadi are prosecuting this case on behalf of the government.
The Federal Bureau of Investigation and the Drug Enforcement Administration jointly led the multi-agency investigation, which also included the Pittsburgh Bureau of Police, Allegheny County Sheriff’s Office, Pennsylvania State Police, Robinson Township Police Department, Stowe Township Police Department, Pennsylvania Attorney General’s Office, Wilkinsburg Borough Police Department, and the McKees Rocks Police Department, that led to the prosecution of Allen Green.
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.
Pittsburgh Man Attempted to Coerce a Minor to Have SexRead the Press Release
PITTSBURGH - A resident of Pittsburgh, Pennsylvania, pleaded guilty in federal court to a charge of attempted coercion and enticement of a minor to engage in illegal sexual activity, United States Attorney Scott W. Brady announced today.
Joseph Hamilton, age 38, pleaded guilty to one count before United States District Judge Cathy Bissoon.
In connection with the guilty plea, the court was advised that from March 11, 2019 until on or about April 18, 2019, the defendant used a facility or means of interstate commerce, specifically the Internet and over a cellular phone network, to communicate with an undercover agent, believing the agent to be a minor, to knowingly attempt to persuade, induce, entice and coerce the purported minor to engage in sexual activity with him. In his messages with the undercover agent, the defendant detailed the sexual activity that he wanted to engage in with the purported minor. The defendant told the purported minor to delete their messages so that the purported minor’s mother would not find them. On April 18, 2019, the defendant made plans to meet with the undercover agent posing as a minor. The plan was for the defendant to pick the minor up at an agreed upon location in his vehicle and then they would go to the defendant’s residence to engage in sexual activity. Law enforcement arrested the defendant when he arrived to meet the purported minor.
Judge Bissoon scheduled sentencing for April 7, 2020 at 2:15 p.m. The law provides for a total sentence of up to life in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Pending sentencing, the court continued the defendant’s detention.
Assistant United States Attorney Heidi M. Grogan is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation conducted the investigation that led to the prosecution of Hamilton.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals, who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Philadelphia Man Pleads Guilty to Armed Robbery and Other ChargesRead the Press Release
PHILADELPHIA – First Assistant United States Attorney Jennifer Arbittier Williams announced that Gerald Griffith, also known as “Jerry Porecca,” 47, of Philadelphia, Pennsylvania, entered a plea of guilty before United States District Court Judge Nitza I. Quinones Alejandro, to two counts of bank robbery, two counts of armed bank robbery, and four counts of Hobbs Act robbery arising from his unrelenting crime spree between July and December 2018. He was charged by Indictment in April 2019.
For a period of about six months, the defendant robbed or attempted to rob four separate banks—two while brandishing what appeared to be a gun—as well as a Shop Rite supermarket, a Wawa convenience store, a Sonoco A-Plus gas station, and a Dollar General retail store, all in Northeast Philadelphia.
Griffith’s series of robberies began on July 9, 2018, when he attempted to rob the BB&T Bank at 6633 Roosevelt Boulevard by threatening to blow up the bank, and then approximately ten minutes later robbed the Firstrust Bank at 9303 Krewstown Road, again by verbal threat. About one month later, Griffith moved on to armed bank robbery, holding up the Fishtown-area BB&T Bank at 2330 East York Street on August 21, and then the BB&T Bank located at 2601 Orthodox Street the very next day. At these last two bank robberies, Griffith brandished what the bank tellers described as a long, shiny silver handgun, threatening them not to press “any buttons” and demanding that they give him “hundreds.”
In addition, Griffith robbed the Shop Rite at 6301 Oxford Avenue earlier that summer, and between December 5 and December 8, he robbed the Wawa at 3200 Richmond Street, and then attempted to rob the Sonoco-A-Plus at 3200 Richmond Street and the Dollar General at 3501 Cedar Street.
“The complete disregard that Griffith displayed for the safety of others over such a sustained period of time is appalling,” said First Assistant U.S. Attorney Williams. “He terrorized this neighborhood for months, affecting dozens of people who are now living with the repercussions of having been targeted by him. The employees of these banks and stores were simply doing their jobs when the defendant threatened them with violence and then an actual weapon. The streets of Philadelphia are safer now that Griffith has been convicted and is facing significant prison time.”
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
The case was investigated by the Federal Bureau of Investigation and is being prosecuted by Assistant United States Attorneys Matthew Newcomer and Sara Solow.
Owners of South Bay Business Convicted of Visa Fraud Conspiracy and Related CrimesRead the Press Release
SAN JOSE – A federal jury convicted Jennifer Yang and her business partner Daniel Wu of conspiracy to defraud the United States and a number of related crimes in connection with a scheme to fraudulently obtain immigration benefits through the government’s “EB-5” visa program, announced United States Attorney David L. Anderson; U.S. Department of State, Diplomatic Security Service, San Francisco Field Office Special Agent in Charge Matthew Perlman; and U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Special Agent in Charge Tatum King. The verdict was handed down today following a five-week trial before the Honorable Lucy H. Koh, U.S. District Judge.
The jury found that Yang, 52, of Palo Alto, and Wu, 56, of Las Vegas, submitted to the government fraudulent documents that claimed applicants were creating new commercial enterprises when, in fact, the documents contained information about fake jobs and bogus investments.
“The EB-5 program allows qualified foreign investors to become earnest stakeholders in local U.S. economies,” said U.S. Attorney Anderson. “In this case, the defendants subverted the EB-5 program by submitting fraudulent documents to make it falsely appear that investments were made and jobs were created. Schemes like this are cynical, sad, and economically destructive.”
“The Diplomatic Security Service (DSS) is pleased with this successful prosecution. These hard-fought convictions send a clear message that criminals who attempt to exploit the U.S. visa process for illegal profit will be punished,” said SAC Matthew Perlman of the DSS San Francisco Field Office. “DSS, alongside our federal partners, is committed to rooting-out and prosecuting criminal enterprises involving U.S. travel documents.”
“Fraudulent schemes like these threaten our National Security and public safety,” said Tatum King, special agent in charge, San Francisco, Homeland Security Investigations. “They also have substantial impacts on the victims of these callous crimes. HSI special agents work diligently to not only protect National Security interests, but also the victims of fraud.”
Evidence at trial showed that Yang, a lawyer and licensed member of Bar of the District of Columbia, held herself out as a legal specialist for persons interested in applying for EB-5 visa benefits. Between 2007 and 2016, the defendants filed EB-5 visa petitions for at least seven foreign investors who supplied Yang and Wu with at least four-million dollars for the stated purpose of investment into a commercial enterprise. Instead of making legitimate investments that created real jobs, the evidence at trial showed that the defendants created and submitted fraudulent records to deceive the government into issuing benefits on the basis of fake employees. In at least some cases, the information about the bogus employees was created using the personal identifying information of third-parties, without the third-party individuals’ knowledge.
In addition, the evidence at trial showed that the defendants created documents that misstated the true manner in which the investment monies were used, which in some cases was not for the new enterprises, but instead for the personal benefit of defendants. In this way, evidence at trial demonstrated that the defendants obtained benefits for clients based on jobs and businesses that did not, in fact, exist. The trial evidence further demonstrated that the defendants used funds fraudulently obtained through the scheme for personal expenditures, such as the purchase of cars, stays in luxury hotels, and to pay college tuition for a family member.
A federal grand jury indicted Yang and Wu on October 19, 2017, charging both with one count of conspiracy to defraud the United States and to commit visa fraud, mail fraud, and aggravated identity theft, all in violation of 18 U.S.C. § 371; three counts of visa fraud, in violation of 18 U.S.C. § 1546(a); two counts of mail fraud, in violation of 18 U.S.C. § 1341; and two counts of aggravated identity theft, in violation of 18 U.S.C. § 1028A. In addition, Yang was charged with two counts of money laundering, in violation of 18 U.S.C. § 1957. The jury convicted both Yang and Wu of the conspiracy count. The jury also convicted Yang of two counts of visa fraud, one count of mail fraud, and one count of aggravated identity theft. The jury convicted Wu of two counts of visa fraud, one count of mail fraud, and one count of aggravated identity theft.
Judge Koh ordered each of the defendants released on a $500,000 bond, pending sentencing. Judge Koh scheduled the defendants’ sentencing hearing for April 29, 2020.
The defendants face maximum statutory penalties for each count of conviction as follows:
DEFENDANT
STATUTE
CHARGE
MAXIMUM PENALTY
Yang and Wu
18 U.S.C. § 371
Conspiracy to Commit Visa Fraud, Mail Fraud, Aggravated Identity Theft, and to Defraud the United States
Maximum term of imprisonment: 5 years
Maximum fine: $250,000
Maximum term of supervised release: 3 years
Restitution
Forfeiture
Yang and Wu
18 U.S.C. § 1546(a)
Visa Fraud
Maximum term of imprisonment: 10 years
Maximum fine: $250,000
Maximum term of supervised release: 3 years
Restitution
Forfeiture
Yang and Wu
18 U.S.C. § 1341
Mail Fraud
Maximum term of imprisonment: 20 years
Maximum fine: $250,000 Maximum term of supervised release: 3 years
Restitution
Forfeiture
Yang and Wu
18 U.S.C. § 1028A
Aggravated Identity Theft
Maximum term of imprisonment: 2 years (to run consecutive to any other underlying felony)
Maximum fine: $250,000
Maximum term of supervised release: 3 years
However, any sentence will be imposed by the court after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Assistant U.S. Attorneys Patrick Delahunty and John Bostic are prosecuting the case with the assistance of Lakisha Holliman, Mimi Lam, Susan Kreider, and Tong Zhang. The prosecution is the result of an investigation by the United States Department of State, Diplomatic Security Service, U.S. Immigration and Customs Enforcement, Homeland Security Investigations, and U.S. Citizenship and Immigration Services Fraud Detection and National Security Office.
Omaha Man Sentenced to Prison for Travel with Intent to Engage in Sex with a MinorRead the Press Release
COUNCIL BLUFFS, Iowa - United States Attorney Marc Krickbaum announced on December 11, 2019, John Daniel Nielsen, Sr., age 40, of Omaha, was sentenced by United States District Court Senior Judge James E. Gritzner for travel with intent to engage in illicit sexual conduct. Nielsen was sentenced to three years in prison, to be followed by a term of supervised release of five years.
In February 2019, Nielsen arranged a meeting at a Council Bluffs motel with a person that Nielsen thought was a fifteen year-old female, but was actually an undercover police officer, for the purpose of having a sexual encounter. Nielsen traveled from Omaha, Nebraska to Council Bluffs, Iowa and was arrested when he arrived at the motel.
This case was investigated by the Federal Bureau of Investigation, Omaha Police Department, Council Bluffs Police Department, Mills County Sheriff’s Office, Douglas County Sheriff’s Office, Lincoln (Neb.) Police Department, Iowa State Patrol, Iowa Division of Criminal Investigation, and Pottawattamie County Sheriff’s Office. The case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
Ohio Woman Sentenced to Time Served for Check SchemeRead the Press Release
PITTSBURGH, PA – A resident of Ohio has been sentenced in federal court to time served, three years supervised release, 180 days of home detention, and restitution in the amount of $24,244.00 on a charge of conspiracy, United States Attorney Scott W. Brady announced today.
United States District Judge Nora Barry Fischer imposed the sentence on Kadijha D. Starks, 25, formerly of Columbus, Ohio.
According to the information presented to the court, beginning in and around September, 2014, and continuing thereafter until in and around October, 2017, Starks and conspirators used false identification cards to negotiate counterfeit checks at casinos including the River’s Casino in Pittsburgh in December, 2015.
Assistant United States Attorney Gregory C. Melucci prosecuted this case on behalf of the government.
The U.S. Attorney commended the Department of Homeland Security Investigations and the Pennsylvania State Police for the investigation leading to the successful prosecution of Kadijha D. Starks.
Ohio County man sentenced for methamphetamine chargesRead the Press Release
WHEELING, WEST VIRGINIA – Justin R. Beaver, of Moundsville, West Virginia, was sentenced today to 105 months incarceration for distributing methamphetamine, U.S. Attorney Bill Powell announced.
Beaver, age 27, pled guilty to four counts of “Distribution of Methamphetamine” in August 2019. Beaver admitted to distributing methamphetamine in Marshall County in November 2018.
Assistant U.S. Attorney Robert H. McWilliams, Jr., prosecuted the case on behalf of the government. The Marshall County Drug & Violent Crime Task Force, a HIDTA-funded initiative, investigated.
Senior U.S. District Judge Frederick P. Stamp, Jr. presided.
New Orleans Man Pleads Guilty in Credit Card Fraud ConspiracyRead the Press Release
NEW ORLEANS – U.S. Attorney Peter G. Strasser announced that ANTOINE NARCISSE, age 24, a resident of New Orleans, pleaded guilty on December 12, 2019 before U.S. District Judge Barry W. Ashe to conspiracy to commit access device fraud.
According to court documents, NARCISSE and the other defendants engaged in a scheme to obtain merchandise and cash from stores through fraud. The defendants obtained stolen credit and debit card information, encoded it onto cards, and then used that information to purchase items at stores. The defendants would then return the items at a different store of the same chain, but they would deceive store workers in order to have the chargeback credited to their own own bank accounts. Court documents also detail how NARCISSE took flights with two other co-conspirators to perform fraudulent credit card transactions in various cities in the United States, including Portland, Oregon; Milwaukee, Wisconsin; and Cincinnati, Ohio. NARCISSE was also arrested in Minnetonka, Minnesota, and Franklin, Tennessee, while committing credit card fraud.
NARCISSE pleaded guilty to conspiracy to commit access device fraud, for which he faces a maximum penalty of five years of imprisonment and a fine of up to $250,000.00, or twice the gross gain or gross loss caused by this scheme. Sentencing is set for March 5, 2020, before Judge Ashe.
U.S. Attorney Strasser praised the agencies that contributed to this conviction, which represents a coordinated effort of federal and state law enforcement authorities within the Louisiana Financial Crimes Task Force. The Task Force includes representatives from the U.S. Secret Service, U.S. Postal Inspection Service, Louisiana Attorney General’s Office, Jefferson Parish Sheriff’s Office, New Orleans Police Department, Covington Police Department, Hammond Police Department, Kenner Police Department, Louisiana State Police, Mandeville Police Department, Slidell Police Department, St. Bernard Parish Sheriff’s Office, St. John The Baptist Sheriff’s Office, St. Tammany Parish Sheriff’s Office, Tangipahoa Parish Sheriff’s Office, St. Tammany Parish District Attorney’s Office, Homeland Security Investigations, U.S. State Department, Internal Revenue Service, Social Security Administration-Office of Inspector General, and the Defense Criminal Investigative Service. U.S. Attorney Strasser also thanked the Franklin (TN) Police Department, the Mobile Police Department, the Gulfport Police Department, the Minnetonka (MN) Police Department, the Jefferson Parish District Attorney’s Office, and the Orleans Parish District Attorney’s Office for their assistance. Assistant United States Attorneys Matthew R. Payne and K. Paige O’Hale are in charge of the prosecution.
New Jersey Man Sentenced to Five Years in Prison for Interstate Cocaine TraffickingRead the Press Release
CONCORD - Shariff Britton, 36, of Jersey City, New Jersey, was sentenced to 60 months in federal prison for possessing over 500 grams of cocaine with intent to distribute, United States Attorney Scott W. Murray announced today.
According to court documents and statements made in court, on February 15, 2018, a New Hampshire State Police trooper patrolling I-95 stopped Britton for driving violations. During a later consensual search, the trooper located a backpack containing 1015 grams of cocaine. Britton was placed under arrest. After his arrest, Britton admitted that he was transporting the cocaine from New Jersey to Maine.
Britton previously pleaded guilty on September 5, 2019.
“Interstate drug traffickers are causing substantial damage to communities throughout Northern New England,” said U.S. Attorney Murray. “Thanks to good police work, this drug trafficker is behind bars. This five-year prison term should serve as a warning to those who seek to profit from this dangerous trade. We will continue to work closely with our partners at New Hampshire State Police to identify and prosecute the drug traffickers who are bringing dangerous drugs into New Hampshire and Maine.”
This matter was investigated by the New Hampshire State Police. The case was prosecuted by Assistant U.S. Attorney Cam Le.
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New Haven Man Sentenced to 6 Years in Federal Prison for Trafficking Heroin, Violating Supervised ReleaseRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that ROBERTO ANTHONY TORRES, also known as “Toni,” 52, of New Haven, was sentenced today by U.S. District Judge Jeffrey A. Meyer in New Haven to 72 months of imprisonment, followed by three years of supervised release, for distributing heroin.
According to court documents and statements made in court, an investigation headed by the Drug Enforcement Administration New Haven Task Force and New Haven Police Department revealed that Malbin Rubiera-Herrera, also known as “Chaca,” acquired heroin and cocaine from sources in Connecticut and New Jersey and distributed the drugs through a network of associates, including Torres, in the greater New Haven area. Between October and December 2018, investigators made controlled purchases of heroin and cocaine from Rubiera-Herrera. Subsequent court-authorized wiretaps revealed a widespread narcotics trafficking conspiracy that involved the trafficking of kilogram-quantities of heroin into Connecticut.
Between January and April 2019, Torres was intercepted numerous times on recorded calls ordering distribution quantities of heroin from Rubiera-Herrera. After one call, investigators observed Rubiera-Herrera and Torres completing the transaction at Torres’ New Haven residence.
On June 5, 2019, a grand jury returned a superseding indictment charging Torres, Rubiera-Herrera and 12 other individuals with heroin, cocaine and fentanyl trafficking offenses.
Torres has been detained since his arrest on June 10. On September 24, he pleaded guilty to one count of conspiracy to distribute, and to possess with the intent to distribute, 100 grams or more of heroin.
A search of Rubiera-Herrera’s residence at the time of arrest on April 30, 2019, revealed approximately 300 grams of fentanyl. He pleaded guilty on June 20.
In July 2016, Torres was sentenced in Bridgeport federal court to 24 months of imprisonment, followed by three years of supervised release, for distributing heroin. He was released from prison in April 2017.
Judge Meyer sentenced Torres to 48 months of imprisonment for distributing heroin, and a consecutive 24 months of imprisonment for violating the conditions of his supervised release.
This matter is being investigated by the DEA New Haven Task Force and the New Haven Police Department, with the assistance of the Federal Bureau of Investigation, Department of Homeland Security, U.S. Marshals Service, Connecticut State Police, Connecticut Department of Correction, East Haven Police Department, Easton Police Department, Orange Police Department, and the Cape May County (N.J.) Prosecutor’s Office, Gangs, Guns and Narcotics Task Force.
The DEA New Haven Task Force includes participants from the U.S. Marshals Service, Internal Revenue Service – Criminal Investigation Division, and the New Haven, Hamden, West Haven, North Haven, Branford, Ansonia, Meriden, Derby, Middletown, Naugatuck and Waterbury Police Departments.
This case is being prosecuted by Assistant U.S. Attorneys Jocelyn Courtney Kaoutzanis and S. Dave Vatti.
Mid-South Man Identified through Sexual Assault Kit Testing Gets Multiple Life Sentences for Kidnapping and Rape of Six Women over Seven YearsRead the Press Release
Memphis, TN – Michael Love, 46, a Horn Lake, MS resident, has been sentenced to life in federal prison after having been found guilty of kidnapping and sexually assaulting six women in Memphis and attempting to kidnap and rape a seventh between 2008 and 2015.
According to evidence presented at a jury trial in May 2019, during a seven-year period, Love traveled from Mississippi to Tennessee to find or meet a woman, hold her against her will, engage in forced sexual intercourse, and abandon her in a deserted part of Memphis. Some of Love's victims were chosen at random and abducted. Other victims met Love, who used a false identity, through social media and chat lines. In each case, Love took his victims to unlit dead-end coves or uninhabited industrial areas. Each victim testified that she was raped before or after being forced out of Love's car, and that as soon as he was finished, Love got in his car and sped off, leaving the victim without her purse, wallet, cell phone, or other personal items. One of the victims was a minor. Love also brandished a firearm during one of the sexual assaults. All victims reported the crimes to the police, and went to the Rape Crisis Center for treatment and the collection of DNA evidence.
Love's cases were not linked until he was arrested in 2015 and a sample of his DNA was taken as part of the arrest. A profile developed from that sample was entered into the Combined DNA Index System (CODIS), a national database designed to help identify suspects in unsolved cases. The cases involving Love dated back to at least 2008.
Biological evidence collected during examination of a sexual assault victim is preserved in a sexual assault kit, and ultimately, sent to a laboratory for analysis. Once a DNA profile is developed, it is placed into CODIS and regularly compared to other submissions and profiles already on file. The Memphis Police Department's Sex Crimes Bureau, DNA Cold Case Unit, developed Love as a suspect in these seven cases, in part, through use of DNA and CODIS technology.
Love also has unresolved cases pending in Shelby County Criminal Court, where he has been charged with rape, aggravated rape, aggravated kidnapping, criminal attempt - kidnapping, and robbery.
On December 13, 2019, U.S. District Court Judge Sheryl H. Lipman sentenced Love to six life sentences and one twenty-year term in federal prison.
U.S. Attorney D. Michael Dunavant said, "The horrific physical violence, sexual abuse, and emotional torment suffered by the victims in this case cannot be undone, but these life sentences ensure that this violent and evil sexual predator will pay for his depraved actions and will never be free again to victimize others. As a result of the outstanding investigative work of the MPD and the FBI, as well as the excellent trial presentation by our federal and state prosecutors, these victims have seen their cases solved, and justice has been achieved. "
The Memphis Police Department (Sex Crimes, DNA Cold Case Unit), with assistance from FBI and Shelby County District Attorney's Office, investigated this case.
Assistant U.S. Attorney Debra Ireland and Special Assistant U.S. Attorney Bryce Phillips prosecuted this case on behalf of the government.
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Massachusetts Man Sentenced to Prison for Fentanyl TraffickingRead the Press Release
Portland, Maine: A Peabody, Massachusetts man was sentenced today in federal court in Portland for possessing fentanyl with the intent to distribute, U.S. Attorney Halsey B. Frank announced.
U.S. District Court Judge George Z. Singal sentenced Sean Anderson, 39, to 71 months in prison and four years of supervised release.
According to court records, on May 7, 2019, a Maine State Police trooper stopped Anderson for speeding northbound on I-95 in York. The trooper recovered a package containing about nine grams of fentanyl from the ground just outside Anderson’s car, where he had thrown it after pulling over. While Anderson was being booked into the York County Jail, jail personnel found two additional packages containing about 52 grams of fentanyl in his underwear.
The U.S. Drug Enforcement Administration; the Maine State Police; the Bureau of Alcohol, Tobacco, Firearms and Explosives; and the York County Sheriff’s Office investigated the case. The U.S. Attorney’s Office prosecuted the case as part of the Department of Justice’s Operation Synthetic Opioid Surge, a program designed to reduce the supply of deadly synthetic opioids.
Marshall County man sentenced for firearms violationRead the Press Release
WHEELING, WEST VIRGINIA – William M. Johnson, Jr., of McMechen, West Virginia, was sentenced today to 15 months incarceration for a firearms violation, U.S. Attorney Bill Powell announced.
Johnson, age 31, pled guilty to one count of “False Statement to Acquire Firearm.” Johnson admitted to making a false statement when purchasing a firearm. Johnson claimed the weapon was for his use, when, in fact, he purchased the .40 caliber pistol for a convicted felon. The crime took place in August 2018 in Ohio County.
This case was brought as part of Project Safe Neighborhoods (PSN). Project Safe Neighborhoods is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Assistant U.S. Attorney Robert H. McWilliams, Jr. prosecuted the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated.
Senior U.S. District Judge Frederick P. Stamp, Jr. presided.
Manchester Man Pleads Guilty to Drug Trafficking and Firearms OffensesRead the Press Release
CONCORD - Justin McInnes, 30, of Manchester, pleaded guilty in federal court to unlawfully possessing firearms, possessing firearms in furtherance of a drug trafficking crime, and possessing drugs with the intent to distribute, United States Attorney Scott W. Murray announced today.
According to court documents and statements made in court, on September 6, 2018, officers from the Manchester Police Department arrested McInnes, who possessed 20 grams of cocaine, over 9 grams of crack cocaine, a Mossberg 12 Gauge Shotgun, a Taurus .380 caliber revolver, a Kel-Tec 9mm pistol, and counterfeit currency. McInnes is prohibited from possessing firearms as a result of prior felony convictions and possessed the drugs with the intent to distribute them.
McInnes is scheduled to be sentenced on March 30, 2020.
“Armed drug traffickers are a menace to everyone,” said U.S. Attorney Murray. “In order to protect the people of New Hampshire from violent crime, we will be aggressive in our efforts to identify and prosecute drug traffickers and felons who unlawfully possess guns. I am grateful to the law enforcement officers in this case for bringing this defendant to justice.”
“We are very pleased with the outcome of this case,” said Manchester Police Chief Carlo Capano. “We are always looking out for the best interest of our community. Justin McInnis placed our community and our officers in danger and we will not tolerate his violent behavior.”
This matter was investigated by the Manchester Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. The case is being prosecuted by Assistant U.S. Attorney Anna Krasinski.
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Man from Las Cruces sentenced to more than 15 years in prison for illegal drug and gun possessionRead the Press Release
ALBUQUERQUE, N.M. – David Adrian Enriquez, 35, of Las Cruces, New Mexico was sentenced on December 13 in federal court in Las Cruces, New Mexico to 188 months in prison for possession with intent to distribute methamphetamine, possession of a firearm in furtherance of a drug trafficking crime, and being a felon in possession of a firearm.
Enriquez pleaded guilty to these offenses on July 2. In his plea agreement, he admitted to possessing a .45 caliber pistol illegally in his car when police stopped him for reckless driving on Dec. 25, 2018. Enriquez also possessed methamphetamine, cocaine, and prescription pills illegally at his home when police arrested him there on March 1, 2019. The methamphetamine weighed about 1109 grams. Enriquez intended to distribute it. Enriquez also possessed a small scale, plastic bags, $1050 in cash, and three counterfeit $100 bills. Enriquez also possessed another pistol, rifle, and ammunition at his home. Enriquez was forbidden from possessing these firearms and ammunition because of prior felony convictions.
The FBI investigated this case with the Las Cruces Police Department and the Las Cruces/Doña Ana County Metro Narcotics Agency. Assistant U.S. Attorney Randy Castellano of the Las Cruces Branch Office prosecuted the case.
Man from Las Cruces sentenced to 25 years in federal prison on child pornography chargesRead the Press Release
ALBUQUERQUE, N.M. – John Henry Bevel Jr., 44, of Las Cruces, New Mexico, was sentenced on Dec. 12 in federal court in Las Cruces, New Mexico to 25 years (300 months) in prison on child pornography charges. Bevel was also ordered to pay $25,000.00 in restitution to one of the victims of his crime.
Bevel pleaded guilty to advertising visual depictions of minors engaged in sexually explicit conduct, distribution of child pornography, receipt of child pornography, and possession of child pornography.
In Bevel’s plea agreement, he admitted using a messaging application on his cell phone between Oct. 17, 2017, and Oct. 18, 2017, to communicate with another person about receiving and exchanging videos and photographs of minors engaged in sexual activity. Bevel also admitted sending child pornography over a messaging application on Sept. 25, 2017. Bevel also admitted possessing child pornography in an online storage account on Sept. 24, 2017. Bevel previously lived in Albuquerque.
Homeland Security Investigations investigated this case with the assistance of the Las Cruces Police Department. Assistant U.S. Attorney Marisa A. Ong of the Las Cruces Branch Office prosecuted the case.
Man from Española pleads guilty to robbing restaurant and gas station on the Santa Clara PuebloRead the Press Release
ALBUQUERQUE – Michael Duran, 33, of Española, N.M., and a member of the Ohkay Owingeh tribe, pleaded guilty in federal court in Albuquerque on December 13 to robbing a restaurant and gas station on the Santa Clara Pueblo in October 2017.
Duran pleaded guilty to an information charging him with one count of interference with interstate commerce by robbery and violence, two counts of assault with a dangerous weapon, and one count of discharging a firearm during a crime of violence. According to the information and other public court records, Duran robbed a gas station convenience store in Española on Oct. 1, 2017, by entering the business, pointing a gun at the store clerk, and demanding money from the cash register. He got away with $50 in cash and several boxes of cigarettes.
On Oct. 16, 2017, Duran robbed a restaurant in Española. He approached the walk-up order window and demanded money while pointing a firearm at a restaurant employee. Duran fired his weapon into the business and fled the scene. No one was injured.
Duran is currently in custody awaiting sentencing. He faces a sentence of 198 months in prison under the terms of his plea agreement.
The Northern Pueblo Agency of the Bureau of Indian Affairs investigated this case with assistance from the Espanola Police Department. Assistant U.S. Attorneys David P. Cowen and Jennifer M. Rozzoni are prosecuting the case.
Louisiana Man Pleads Guilty to Trafficking Protected BirdsRead the Press Release
A Louisiana resident and owner of a freight forwarding company pleaded guilty today in federal court in the Eastern District of Louisiana to trafficking exotic birds that are protected under the Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES).
Paul Tallman of Kenner, Louisiana, owner of Aerotyme-Inc., pleaded to the charges, which stemmed from a scheme by codefendant William McGinness to ship birds from California to the Port of New Orleans for export to Taiwan. This scheme sought to avoid a 2015 Taiwanese ban on the import of all California birds due to the risk of highly pathogenic avian flu. The shipment contained 86 birds, including three falsely labeled macaws.
“This illegal scheme flouted federal and international laws meant to protect exotic birds from exploitation as well as international efforts to contain infectious disease,” said Assistant Attorney General Jeffrey Bossert Clark of the Justice Department’s Environment and Natural Resources Division. “This case shows well how federal law enforcement protects our nation’s resources, its biodiversity, and the public’s health from criminal enterprises.”
On Dec. 11, 2019, McGinness pleaded guilty to conspiracy to smuggle and make false statements in violation of the Lacey Act, as well as a false statement charge. Another codefendant, Rene Rizal, also pleaded guilty to a false statement charge.
McGinness had Tallman and Rizal create and certify false paperwork to facilitate the shipment of the birds from New Orleans. McGinness trucked the birds from California to Aerotyme Inc. in Kenner, Louisiana, where he and Tallman submitted false paperwork, including a veterinary health certificate certifying that the birds were disease free, to agents of the U.S. Fish and Wildlife Service. Federal law enforcement officers seized 14 birds prior to export.
Codefendants Wayne Andrews, a bird breeder, and Alex Madriaga, a veterinarian, both from California, previously pleaded guilty to creating false documents to facilitate McGiness’ plan to transport the birds from California to Louisiana. Andrews’ and Madriaga’s sentencings are scheduled for Jan. 15, 2020. Rizal’s, McGinness’ and Tallman’s sentencings are scheduled for March 4, 2020.
The maximum sentence for Tallman is one year in prison and a fine of up to $100,000. The maximum sentence for McGinness and Rizal is five years in prison, three years of post-release supervision, and a fine of up to $250,000. Andrews and Madriaga face a maximum sentence of one year in prison and a fine of up to $100,000.
The U.S. Fish and Wildlife Service, Office of Law Enforcement investigated this case. Trial Attorney Mary Dee Carraway of the Justice Department’s Environmental Crimes Section and Assistant U.S. Attorney Missy Bucher of the Eastern District of Louisiana are prosecuting the case.
Lewiston Woodville Man Sentenced to More Than 10 Years for Heroin and Cocaine Base (Crack) DistributionRead the Press Release
NEW BERN – The United States Attorney for the Eastern District of North Carolina, Robert J. Higdon, Jr., today announces that United States District Judge Louise W. Flanagan sentenced DONNELL LEE, 42, of Lewiston-Woodville, NC. LEE was sentenced to 128 months imprisonment followed by 3 years of supervised release.
On April 16, 2019, LEE pled guilty to distribution and possession with intent to distribute a quantity of heroin and a quantity of cocaine base (crack), as well as possession with intent to distribute a quantity of heroin and a quantity of cocaine base (crack).
The Bertie County Sheriff’s Office (BCSO) in Windsor, North Carolina, began an investigation utilizing a confidential informant (CI) in order to conduct controlled purchases of heroin from LEE. The CI met with LEE at LEE’s residence on Oak Drive in Lewiston-Woodville, North Carolina three times.
On December 14, 2016, the BCSO travelled to LEE’S residence to execute a search warrant. While surveilling the residence, investigators observed LEE burying glass mason jars on the curtilage of his property. Investigators subsequently searched the area where LEE was observed burying the jars and discovered glass mason jars containing quantities of cocaine base (crack), heroin, marijuana, and rice as a moisture absorber. Inside the residence, investigators recovered $2,128.00 in U.S. currency, scales, plastic baggies, other drug paraphernalia, and additional quantities of heroin, cocaine base, and marijuana. The total amount of controlled substances recovered were 855 bindles of heroin (25.65 grams of heroin), 146 baggies of cocaine base (59.86 grams of cocaine base), and 144.8 grams of marijuana.
On February 22, 2018, LEE’S vehicle was stopped at a traffic checkpoint conducted by the BCSO. As LEE drove towards the checkpoint, investigators observed LEE placing items into the backseat of his vehicle. LEE was asked to exit the vehicle and subsequently attempted to flee on foot; however, LEE was quickly apprehended. A search of LEE revealed $1,745 in U.S. currency. Officers searched LEE’s vehicle and discovered an additional quantity of heroin, for a total of 760 bindles of heroin (22.8 grams of heroin), as well as 10.55 grams of cocaine, 1 gram of marijuana, digital scales, and plastic baggies.
Based upon the preceding, from October 19, 2016, through February 22, 2018, LEE is accountable for 49.35 grams of heroin, 10.55 grams of cocaine, 59.86 grams of cocaine base, and 990.94 grams of marijuana.
This case is part of the United States Attorney’s Office’s Take Back North Carolina Initiative. This initiative emphasizes the regional assignment of federal prosecutors to work with law enforcement and District Attorney’s Offices on a sustained basis in those communities to reduce the violent crime rate, drug trafficking, and crimes against law enforcement. For additional information about this initiative, click here https://www.justice.gov/usao-ednc/tbnc.
The Bertie County Sheriff’s Office investigated this case. Assistant United States Attorney Scott A. Lemmon prosecuted this case for the government.
Lehigh Valley Trucking Company Owner Sentenced to 1 ½ Years in Prison for Tax Fraud SchemeRead the Press Release
PHILADELPHIA – First Assistant United States Attorney Jennifer Arbittier Williams announced that Michael Gerstenberg, 51, of Emmaus, Pennsylvania was sentenced to 18 months’ imprisonment, 3 years’ supervised release, and ordered to pay full restitution in the amount of $750,427.36 by United States District Judge Jeffrey L. Schmehl for failing to collect, account for, and pay federal employment taxes for employees of the defendant’s company, A. E. Logistics Inc., and for his scheme to inflate the wages of his former girlfriend on Internal Revenue Service (IRS) forms and tax returns as a means to syphon additional funds from that company for his personal use.
According to court documents, A.E. Logistics Inc. was a corporation created and controlled by the defendant doing business as a trucking company in Allentown, PA. During the period January 2012 through December 2014, Gerstenberg caused A.E. Logistics to make thousands of dollars of expenditures for his personal benefit while, at the same time, failed to pay IRS payroll taxes which were withheld from his employees’ paychecks. For example, Gerstenberg caused A.E. Logistics to spend thousands of dollars to pay for a wide variety of extravagant personal expenses such as a Caribbean vacation and other travel, gambling, jewelry, fine dining, country club dues, nightclubs, and entertainment for himself, members of his family and his personal friends.
The defendant also placed his former girlfriend on the company’s payroll and reported inflated wages for her on IRS forms and tax returns as a means to syphon additional funds from that company for his personal use. Her “wages” were deposited into a joint account controlled by Gerstenberg, and he paid no income taxes on those wages when he prepared the couple’s tax returns.
According to court documents, Gerstenberg had previously been convicted of failing to pay state employment taxes in Pennsylvania, and he violated the conditions of his state probation by committing the federal offenses for which he was sentenced today.
“Business owners are required to follow and apply our tax laws just like everyone else, and they must accurately report their employees’ income so that everyone pays their fair share of federal taxes. In fact, employees rely on their employers to do the right thing in this regard,” said First Assistant U.S. Attorney Williams. “This defendant chose not to do that, instead enriching himself at the expense of his employees and the taxpayers. Perhaps after this second tax conviction, the defendant will finally have learned his lesson that this type of crime is a serious crime and will be aggressively prosecuted.”
“Instead of paying over employment taxes withheld from his employees’ wages, Mr. Gerstenberg used the money to fund his lavish lifestyle,” said IRS Criminal Investigation Special Agent in Charge Guy Ficco. “He did so at the expense on his employees; robbing them of future social security and Medicare benefits. Let his sentence serve as a warning to those contemplating similar conduct.”
The case was investigated by IRS Criminal Investigations, and is being prosecuted by Assistant United States Attorney Eric L. Gibson.
Justice Department Awards More than $333 Million to Fight Opioid Epidemic Across the U.S.Read the Press Release
Roanoke, VIRGINIA – The Justice Department’s Office of Justice Programs recently announced awards of more than $333 million to help communities affected by the opioid crisis. The funds support families, children and crime victims dealing with the impact of substance abuse, along with first responders whose actions can often mean the difference between life and death for those who have overdosed.
“The Department of Justice is waging an all-out assault on the opioid crisis,” said Attorney General William P. Barr. “We are using all means available to bring drug traffickers to justice, disrupt the supply chain, support our law enforcement officers and help the victims of this epidemic.”
“Although vigorous and targeted enforcement of our federal drug laws is a critical part of opioid-harm reduction, we are fully supportive of meaningful prevention and recovery initiatives,” U.S. Attorney Thomas T. Cullen stated today. “I am thrilled that DOJ has made these generous grants in the Western District of Virginia and am hopeful that these investments will enable these organizations to expand their important work.”
In the Western District of Virginia, more than $2.5 million has been awarded to several entities to fight the growing scourge of opioid addiction.
Page County was awarded $600,000 and the Mount Rogers Community Services Board was awarded $596,000 for comprehensive opioid abuse site-based programs.
Rockingham County was awarded $750,000 for justice and mental health collaboration programs.
Family Service of Roanoke Valley was awarded $746,561 for enhancing community responses to the opioids crisis: servicing our youngest crime victims.
With more than 130 people dying from opioid-related drug overdoses per day, the Department of Justice has made fighting addiction to opioids – including heroin and fentanyl – a national priority. The Trump Administration is providing critical funding for a wide range of activities – from preventive services and comprehensive treatment to recovery assistance, forensic science services and research – to help save lives and break the cycle of addiction and crime.
“The opioid crisis has destroyed far too many lives and left too many Americans feeling helpless and hopeless,” said Office of Justice Programs Principal Deputy Assistant Attorney General Katharine T. Sullivan. “This epidemic—the most deadly in our nation’s history—is introducing new dangers and loading public health responsibilities onto the public safety duties of our law enforcement officers. OJP is here to support them through this unprecedented and extremely challenging time.”
The Office of Justice Programs, directed by Principal Deputy Assistant Attorney General Katharine T. Sullivan, provides federal leadership, grants, training and technical assistance, and other resources to improve the nation’s capacity to prevent and reduce crime, assist victims and enhance the rule of law by strengthening the criminal and juvenile justice systems. More information about OJP and its components can be found at www.ojp.gov.
Justice Department Awards More Than $333 Million to Fight Opioid CrisisRead the Press Release
$ 2,689,009 Will Support Efforts to Combat Drugs and Crime in the Middle District of Pennsylvania
Harrisburg - The Justice Department’s Office of Justice Programs announced on December 13, 2019, awards of more than $333 million to help communities affected by the opioid crisis. $2,689,009 will help public safety and public health professionals in the Middle District of Pennsylvania combat substance abuse and respond effectively to overdoses. OJP Principal Deputy Assistant Attorney General Katharine T. Sullivan made the announcement during a visit with local, state and federal officials in West Virginia, one of the states hardest hit by the epidemic.
“The opioid crisis has destroyed far too many lives and left too many Americans feeling helpless and hopeless,” said PDAAG Sullivan. “This epidemic—the most deadly in our nation’s history—is introducing new dangers and loading public health responsibilities onto the public safety duties of our law enforcement officers. The Department of Justice is here to support them during this unprecedented and extremely challenging time.”
With more than 130 people dying from opioid-related overdoses every day, the Department of Justice has made fighting addiction to opioids—including heroin and fentanyl—a national priority. The Trump Administration is providing critical funding for a wide range of activities—from preventive services and comprehensive treatment to recovery assistance, forensic science services and research—to help save lives and break the cycle of addiction and crime.
“The opioid crisis – both a crime issue and a public health issue – has severely impacted the lives of the citizens of the Middle District of Pennsylvania,” said U.S. Attorney David Freed. “These sorely needed funds will allow our devastated communities to forge local solutions that work for their specific areas, and foster understanding of the best methods to prevent overdoses and save lives. We in the United States Attorney’s Office are proud to collaborate with our state and local partners as they implement their programs.”
The awards announced today support an array of activities designed to reduce the harm inflicted by these dangerous drugs. Grants will help law enforcement officers, emergency responders and treatment professionals coordinate their response to overdoses. Funds will also provide services for children and youth affected by the crisis and will support the nationwide network of drug and treatment courts. Other awards will address prescription drug abuse, expand the capacity of forensic labs and support opioid-related research.
The following Comprehensive Opioid Abuse Site-based program awards were made to organizations in the Middle District of Pennsylvania:
- Lackawanna County District Attorney’s Office - $900,000
- Wyoming County - $600,000
- York County - $1,189,009
Information about the programs and awards announced today is available here. For more information about OJP awards, visit the OJP Awards Data webpage.
The Office of Justice Programs, directed by Principal Deputy Assistant Attorney General Katharine T. Sullivan, provides federal leadership, grants, training and technical assistance, and other resources to improve the nation’s capacity to prevent and reduce crime, assist victims and enhance the rule of law by strengthening the criminal and juvenile justice systems. More information about OJP and its components can be found at www.ojp.gov.
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Jamaican Defendant Pleads Guilty to Conspiracy to Commit Wire Fraud for Lottery Scam that Defrauded Elderly VictimsRead the Press Release
PITTSBURGH, Pa. – Kristoff Cain, a Jamaican national, pleaded guilty in federal court today before United States District Judge Cathy Bissoon to one count of conspiracy to commit wire fraud.
In connection with the guilty plea, the court was advised that from in and around September 2013, and continuing thereafter until in and around April 2018, Kristoff Cain knowingly and willfully conspired with others to engage in a scheme to defraud elderly victims by contacting them by phone and through a variety of other means to inform them that they had won large cash prizes in a lottery and that the victims needed to send money to specified addresses or recipients to pay taxes or other assessments in order to claim the cash prizes. Additionally, the defendant and other individuals associated with the conspiracy also contacted certain other victims by telephone; represented themselves to be law enforcement officers, and informed the victims that they needed to send money to specified addresses or recipients in connection with investigations involving the individuals’ bank accounts. The defendant, and other persons associated with the conspiracy, well knew that the victims were not associated with any lottery or cash prize award, and that they were not involved in any law enforcement investigation involving the relevant bank accounts, and that the victims did not need to send money to the specified addresses or recipients.
The court was also advised that the amount of loss attributable to Kristoff Cain as part of his scheme and artifice to defraud was more than $250,000, and that the victims who were defrauded as a result of his conduct were unusually vulnerable due to age. Specifically, the defendant and other individuals associated with the conspiracy targeted multiple victims over the age of 80, and induced them to send money via wire transactions and other means to addresses specified by the defendant. The court was further advised that Kristoff Cain was a manager of the conspiracy and directed his co-conspirators’ extensive criminal activity.
Judge Bissoon set sentencing for April 7th, 2020 at 10 a.m. The law provides for a maximum total sentence of 20 years in prison, a fine of up to $250,000, and a term of supervised release of not more than three years. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant. Cain has been detained since his initial appearance and will remain detained pending sentencing.
Assistant United States Attorney Christopher M. Cook is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation, the U.S. Postal Inspection Service, Homeland Security Investigations, and the Office of the Pennsylvania Attorney General conducted the investigation leading to the indictment in this case.
- Justice Department Awards More Than $333 Million to Fight Opioid Crisis
Inglewood-based Tax Preparer Sentenced to over 5 Years in Federal Prison for Scam that Sought $5.6 Million in Bogus Tax RefundsRead the Press Release
LOS ANGELES – A tax preparer who formerly worked at the California Franchise Tax Board was sentenced today to 63 months in federal prison for defrauding the IRS out of millions of dollars by declaring bogus withholdings used to fraudulently claim substantial tax refunds.
Cubby Wayne Williams, 64, of Alhambra, was sentenced by United States District Judge Percy Anderson, who noted Williams’s lack of remorse, saying, “The public needs to know that white-collar criminals can’t buy or plead their way out of responsibility.” Judge Anderson also ordered Williams to pay $490,289 in restitution to the United States Treasury.
At a four-day trial in October, a federal jury found Williams guilty of 22 counts of assisting in the preparation of false tax returns for his clients and four counts of subscribing to false tax returns for himself. Williams owned and operated the Inglewood-based tax services company Williams Financial Network.
Williams filed tax returns claiming that his clients had accrued Original Issue Discount (OID) interest income. OID is a form of interest that accrues over the life of a bond or other debt instrument, but is not payable as it accrues. Financial institutions use IRS Forms 1099-OID to report this accrued, but unpaid, income and any tax withholdings on it.
Williams fraudulently claimed OID withholdings on 22 tax returns for his clients for the tax years 2013 through 2016, and sought hundreds of thousands in bogus tax refunds. Williams took a cut of many of these refunds often by directing the IRS to deposit a portion into a bank account under his control.
When his clients complained that their returns had fallen under the scrutiny of federal tax officials, resulting in money being owed to the IRS, Williams told them the IRS had made a mistake and they were still entitled to their tax refunds. When the same clients informed Williams they were being audited, he assured them he would represent them before the IRS and resolve any issues, but he ultimately did little other than to submit further fraudulent documentation to the IRS.
Between 2012 and 2019, Williams submitted 222 false client tax returns claiming approximately $5,648,809 in fabricated income tax withholdings, according to court documents.
“[Williams] submitted these false federal income tax returns despite repeated warnings from the IRS that the returns were frivolous, and continued in his conduct even after learning that he was under criminal investigation,” prosecutors wrote in the government’s sentencing memorandum.
IRS Criminal Investigation investigated this case.
This matter was prosecuted by Assistant United States Attorneys James C. Hughes and Ranee A. Katzenstein of the Major Frauds Section.
Indictment: Woman Who Ran Massage Parlors Allowed Employees to Perform Sexual ServicesRead the Press Release
KANSAS CITY, KAN. - An Overland Park woman is scheduled to appear in court this week on a federal interstate prostitution charge, U.S. Attorney Stephen McAllister said today.
Chunqui Wu, 61, Overland Park, Kan., is charged with one count of transportation with intent to engage in illicit sexual conduct. An indictment alleges Wu owned or operated three massage parlors: Alpha Massage at 116 S. Clairborne, #A, in Olathe, Kan.; A Plus Massage at 527 N. Mur-Len Road, in Olathe, Kan.; and King Spa at 13104 State Line Road in Leawood, Kan.
Documents filed in federal court say investigators worked with an undercover confidential source who contacted Wu and asked for a job working in Wu’s massage parlors. An investigator’s affidavit alleges Wu made statements indicating she allowed her employees to perform sexual services for tips. Other investigators working undercover confirmed that employees in Wu’s massage parlors were offering sexual services to customers.
Wu was arrested when she went to the Kansas City International airport in Kansas City, Mo., to meet the undercover confidential source and transport her back to Kansas to work in one of Wu’s massage parlors.
Wu is scheduled for an arraignment Dec. 20 in federal court in Kansas City, Kan.
If convicted, Wu could face up to 10 years in federal prison. The Olathe Police Department and the FBI investigated. Assistant U.S. Attorney Kim Flannigan is prosecuting.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.
Indiana Man, Woman Plead Guilty to Meth Conspiracy After Being Caught with 36 Pounds of MethRead the Press Release
SPRINGFIELD, Mo. – An Indiana man and woman who were stopped on Interstate 44 en route to Chicago, Illinois, with approximately 36 pounds of methamphetamine in their vehicle, have pleaded guilty to their roles in a conspiracy to distribute methamphetamine.
Steven Hook, 39, pleaded guilty today before U.S. Magistrate Judge David P. Rush. Co-defendant Tallisha R. Malone, also known as Tallisha Washington, 39, pleaded guilty on Dec. 10, 2019.
Hook and Malone each pleaded guilty to participating in a conspiracy to distribute methamphetamine in Greene County, Missouri, from May 31, 2019, to June 3, 2019.
Hook was driving a vehicle rented by Malone, a passenger, on eastbound Interstate 44 on June 3, 2019. A state trooper stopped the vehicle for speeding. When the trooper searched the vehicle, he found three bundles of methamphetamine in a small luggage bag. The trooper also found two plastic bags with bedding inside; inside the bedding of both plastic bags were a total of 33 bundles of methamphetamine. Approximately 36 pounds of methamphetamine were seized from Hook and Malone.
Malone told law enforcement officers she rented the vehicle in Los Angeles, California. She drove to Las Vegas, Nevada, where she met Hook. She was supposed to drive the vehicle to Chicago to drop the vehicle off to another person.
Under federal statutes, Hook and Malone each are subject to a mandatory minimum sentence of 10 years in federal prison without parole, up to a sentence of life in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Abe McGull. It was investigated by the Drug Enforcement Administration and the Missouri State Highway Patrol.
High-Level Member of Lightfoot Drug Trafficking Organization Pleads Guilty to Distributing Large Quantities of CocaineRead the Press Release
PITTSBURGH – A former resident of Clairton, PA, has plead guilty to federal narcotics charges, United States Attorney Scott W. Brady announced today.
Eugene Reddick, age 36, pleaded guilty to one count of conspiracy to possess with the intent to distribute and distribute five kilograms or more of cocaine before Chief United States District Court Judge Mark R. Hornak.
According to information presented to the court, from April 2017 to November 5, 2017, Reddick conspired with others to import large quantities of cocaine and marijuana into Western Pennsylvania. Once the narcotics were in Western Pennsylvania, Reddick would then resell large quantities of cocaine to customers in Allegheny, Westmoreland and Washington Counties.
Judge Hornak scheduled his sentencing for April 14, 2020 at 9:30 a.m. Reddick has been detained since his initial appearance and will remain detained pending sentencing.
The law provides for a mandatory minimum sentence of not less than 10 years in prison and a maximum of life and/or a fine of not more than $10,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States 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.
Hickory Man Pleads Guilty to Trafficking Narcotics on the Dark Web & Agrees to Forfeit Virtual CurrencyRead the Press Release
CHARLOTTE, N.C. – U.S. Attorney Andrew Murray announced today that Travis Justin Stout, 35, of Hickory, N.C., appeared before U.S. Magistrate Judge David S. Cayer and pleaded guilty to drug trafficking conspiracy and possession with intent to distribute narcotics on the Dark Web.
Ronnie Martinez, Special Agent in Charge of ICE/Homeland Security Investigations (HSI) in Georgia and the Carolinas, David M. McGinnis, Inspector in Charge of the Charlotte Division of the U.S. Postal Inspection Service, and Chief Thurman Whisnant the Hickory Police Department join U.S. Attorney Murray in making today’s announcement.
According to information contained in filed court documents and today’s plea hearing, in 2016, law enforcement began investigating Stout for trafficking narcotics in the greater Hickory area. Over the course of the investigation, law enforcement determined that Stout was purchasing narcotics, including MDMA (Ecstasy), methamphetamine, amphetamine, and marijuana, on the Dark Web, using various forms of cryptocurrency. Court records show that Stout used the Dark Web to traffic narcotics throughout the United States and internationally, including on the AlphaBay Market, and stored the drug proceeds in multiple virtual currency wallets. Stout was arrested after he received a dark web drug delivery. Law enforcement seized his computer and recovered cryptocurrency drug proceeds associated with these crimes, which Stout has agreed to forfeit to the U.S. Government.
The drug trafficking conspiracy charge carries a maximum term of 20 years in prison, and a $1,000,000 fine. The possession with intent to distribute charge also carries a maximum prison term of 20 years in prison and a $1,000,000 fine. A sentencing date for Stout has not been set.
In making today’s announcement U.S. Attorney Murray thanked HSI in Charlotte, USPIS, and the Hickory Police Department for their investigation on this case.
Assistant U.S. Attorneys Sanjeev Bhasker and Seth Johnson of the U.S. Attorney’s Office in Charlotte are in charge of the prosecution.
Hartford Gang Member Sentenced to 11 Years in Federal Prison for Kidnapping and Firearm OffensesRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that JOSUE FRANCO, also known as “Sway,” 24, of Hartford, was sentenced today by U.S. District Judge Kari A. Dooley in Bridgeport to 132 months of imprisonment, followed by five years of supervised release, for a kidnapping and violent assault he committed with four other members of the Almighty Latin Kings Nation (“Latin Kings”).
According to court documents and statements made in court, on January 26, 2018, Franco and Anthony Carillo lured an individual (“the victim”) to a residence on Benton Street in Hartford. When the victim entered the residence, Jonathan Otero and Luis Pitt were waiting. Franco, Otero, Pitt and Carillo then threatened, assaulted and tortured the victim, prevented him from leaving the residence, and demanded a ransom. After the victim was restrained, Pedro Carillo arrived at the residence and participated in the ongoing assault and torture of the victim, which included burning him with cigarettes, pistol-whipping him and throwing a dart into his foot.
The defendants forced the victim to call someone to deliver money in exchange for his release. The victim then called his father. Franco grabbed the phone and told the victim’s father if he did not deliver $500 they were going to kill his son. After the call, Otero put a bullet in the victim’s hand and told him he would use that bullet to shoot him in the head if the victim could not get the ransom money.
Franco and others then drove the victim to different locations in Hartford in an effort to collect ransom.
The victim was eventually released. He was subsequently treated at a hospital for a fractured cheekbone, a facial laceration, a concussion and other injuries.
Franco has been detained since his arrest on October 16, 2018. On September 19, 2019, he pleaded guilty to one count of assault with a dangerous weapon in aid of racketeering, and one count of using, carrying and brandishing a firearm in furtherance of a crime of violence.
The other four defendants also pleaded guilty to related charges. On December 10, 2019, Otero was sentenced to 154 months of imprisonment. Pitt, Anthony Carillo and Pedro Carillo are detained while awaiting sentencing.
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 Hartford Police Department’s Major Crimes Division has provided critical assistance to the investigation.
The case is being prosecuted by Assistant U.S. Attorney Brian P. Leaming.
Four Charged in Drug Trafficking, Money Laundering ConspiracyRead the Press Release
PROVIDENCE – Four individuals have been charged in U.S. District Court in Providence for their roles in an alleged drug trafficking and money laundering conspiracy that trafficked at least 50 kilograms of cocaine from Puerto Rico to Rhode Island through the U.S. Postal Service, and in return sent tens of thousands of dollars in drug trafficking proceeds to individuals in Puerto Rico, announced United States Attorney Aaron L. Weisman; Joseph W. Cronin, Inspector in Charge of the U.S. Postal Inspection Service, Boston Division; Rhode Island State Police Superintendent Colonel James M. Manni; and Special Agent in Charge of the Drug Enforcement Administration’s New England Field Division Brian D. Boyle.
According to court documents, the United States Postal Inspection Service (USPIS) has identified approximately 51 Priority Mail parcels allegedly sent by members of a Drug Trafficking Organization (DTO) to various address in Rhode Island. The parcels list sender names that are not associated with the listed return addresses in Puerto Rico, and similarly, list recipients who are not associated with the Rhode Island address to which the parcel is sent. USPIS agents determined that many of the shipments were tracked via USPS tracking information, and that several individuals monitored and retrieved the deliveries. The parcels were turned over to the alleged leaders of the DTO in Rhode Island.
On Monday, three of the alleged leaders of the DTO, Arcadio Torres, 38, of North Providence, Nelson Carvalho, 45, of Cranston, and George Mojica, 40, of Central Falls, were ordered detained by U.S. District Court Magistrate Judge Lincoln D. Almond on criminal complaints charging them with conspiracy to distribute and possession with intent to distribute a controlled substance; distribution of and possession with intent to distribute a controlled substance; unlawful use of a communication facility (U.S. Mail) to facilitate the distribution of a controlled substance; and conspiracy to engage on money laundering and money laundering.
An arrest warrant has been issued for a fourth defendant.
A criminal complaint is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
The case is being prosecuted by Assistant U.S. Attorney Denise M. Barton.
The matter was investigated by the United States Postal Inspection Service, Rhode Island State Police High Intensity Drug Trafficking Area Task Force, and the Rhode Island Drug Enforcement Administration Drug Task Force.
United States Attorney Aaron L. Weisman acknowledges and thanks the Pawtucket Police Department for their assistance in the investigation of this matter.
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Former Haverford College Students Sentenced for Attempting to Access President Trump’s Tax ReturnsRead the Press Release
PHILADELPHIA – United States Attorney William M. McSwain announced that Justin Hiemstra, 22, of St. Paul Park, Minnesota, and Andrew Harris, 23, of Philadelphia, Pennsylvania were both sentenced today to two years’ probation and 200 hours of community service by United States District Judge Cynthia M. Rufe. In August 2019, Hiemstra pled guilty to using a school computer and someone else’s username without that person’s permission in an attempt to illegally obtain then-Presidential candidate Donald Trump’s tax returns from the Internal Revenue Service. Harris pled guilty to the same charges in September 2019.
These charges arose out of a plot between the defendants, then students at Haverford College, to use computers at the school’s computer lab and the Free Application for Student Aid (FAFSA) website to illegally access the tax returns. Hiemstra and Harris opened a false FAFSA application in the name of a member of the Trump family and found that someone else had already obtained a username and password for Donald Trump. In order to reset the password, the defendants were prompted to answer challenge questions, which the original person had created when setting up the account. The defendants were able to answer the questions and reset the password. They then used the President’s personal identifying information, including his social security number and date of birth, to attempt to import the President’s federal tax information into the bogus FAFSA application. Ultimately, this illegal attempt failed.
“Hiemstra and Harris thought they could manipulate and outsmart the FAFSA application process in order to obtain Donald Trump’s tax returns for their own purposes. As it turns out, that was not such a smart move: they committed a serious violation of privacy rights and a federal crime in the process,” said U.S. Attorney McSwain. “Now they have both been held accountable. And those who complete the FAFSA application, please take note: this Office takes these kinds of cybersecurity breaches seriously and we are doing everything we can to keep your personal information safe.”
The case was investigated by the Department of Education – Office of Inspector General and the Treasury Inspector General for Tax Administration, and is being prosecuted by Assistant United States Attorney Anthony J. Wzorek.
Former Fresno Resident Sentenced to 10 Years in Prison for Receipt and Distribution of Child PornographyRead the Press Release
FRESNO, Calif. — Forrest Awbrey, 29, formerly of Fresno, was sentenced today to 10 years in prison for receipt and distribution of child pornography, U.S. Attorney McGregor W. Scott announced.
The sentence imposed includes a lifetime term of supervised release during which, Awbrey’s access to minors, computers, and the internet will be restricted. He will also be required to register as a sex offender. A hearing has been scheduled for March 13, 2020, to address restitution to victims.
According to a criminal complaint, Awbrey was detected by law enforcement investigators when he was sharing numerous child pornography files on a BitTorrent file-sharing network from August through November 2016. He admitted to investigating agents that he had used file‑sharing programs for several years to obtain child pornography. He also admitted that he had attempted to make surreptitious video recordings of females using bathrooms in his home and at his church and that he had unsuccessfully attempted to take photos of young girls by holding a camera underneath their skirts.
This case was the product of an investigation by the FBI. Assistant U.S. Attorney David Gappa prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. Click on the “resources” tab for information about internet safety education.
Former Cold Spring Public Official and Teacher Arrested for Attempted Child EnticementRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, William F. Sweeney Jr., the Assistant Director in Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), and Robert L. Langley Jr., the Putnam County Sheriff, announced the arrest of CHARLES HUSTIS for attempted enticement of a minor to engage in sexual activity. HUSTIS was arrested today and presented before United States Judge Lisa Margaret Smith.
U.S. Attorney Geoffrey S. Berman said: “As alleged, Charles Hustis used his social media account in an attempt to persuade an innocent minor victim to meet with him and perform sexual acts. Sexualizing and preying on minors is unconscionable. Our Office will continue to work with our law enforcement partners at all levels of government to keep our children safe and stop those who seek to take advantage of them.”
FBI Assistant Director William F. Sweeney Jr. said: “Predators who use their access to children for their own sexual gratification are a parent’s worst fear come true, and their actions can cause detrimental impacts on the victims. I want to thank the agents and detectives who worked this case for the speed with which they acted once they had the information regarding Mr. Hustis’s position in a school. If anyone in the community believes their child may have been a victim, we ask for them to call us at 1-800-CALL-FBI.”
Sheriff Robert L. Langley Jr. said: “This is another example of why all law enforcement agencies should continue to work together at the local and federal levels in order to better serve their communities. The Putnam County Sheriff’s Department looks forward to continuing our already good working relationship with the FBI and other federal agencies.”
According to the allegations in the Complaint[1] filed today:
Between at least on or about December 8, 2019, and December 16, 2019, HUSTIS, a former teacher and public official in Cold Spring, New York, communicated over Facebook Messenger with a 16-year-old victim (“Victim-1”). During these communications, HUSTIS sent Victim-1 sexual images, including photographs of himself, and attempted to arrange a meeting with Victim-1 with the understanding that HUSTIS and Victim-1 would perform various sexual acts. HUSTIS was arrested by law enforcement officers on December 16, 2019, after he arrived at a meeting location that he had arranged with Victim-1, expecting to bring Victim-1 back to his apartment for sexual activity.
HUSTIS, 36, of Cold Spring, New York, is charged with one count of attempted enticement of a minor, which carries a mandatory minimum sentence of 10 years in prison and a maximum sentence of life in prison. The maximum potential sentence in this case is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
The charge in the Complaint is merely an accusation and the defendant is presumed innocent unless and until proven guilty.
Mr. Berman praised the outstanding investigative work of the FBI, Putnam County Sheriff’s Department, and the Cold Spring Police Department.
Mr. Berman stated that the investigation is ongoing. Mr. Berman requests that any individuals with relevant information concerning CHARLES HUSTIS should contact the Federal Bureau of Investigation at 1-800-CALL FBI.
The prosecution is being handled by the Office’s White Plains Division. Assistant United States Attorney Nicholas S. Bradley is in charge of the prosecution.
[1] The entirety of the text of the Complaint, and the description of the Complaint set forth herein, constitute only allegations, and every fact described should be treated as an allegation.
Florida Nursing School President Pleads Guilty for His Role in Defrauding D.C.’s Department of Disability ServicesRead the Press Release
WASHINGTON – Cleophat Tanis, 52, of Naples, Florida, pled guilty today to one count of mail fraud for his role in a scheme that caused the District of Columbia’s Department of Disability Services to be defrauded out of more than $880,000. Tanis conspired with Eugenia Rapp, 50, of Woodbridge, Virginia, a former D.C. government employee, who pled guilty to conspiracy to commit mail fraud in July.
The announcement was made by U.S. Attorney Jessie K. Liu; Timothy M. Dunham, Special Agent in Charge, FBI Washington Field Office, Criminal Division; Aaron R. Jordan, Assistant Inspector General for Investigations, Department of Education; and Daniel W. Lucas, Inspector General for the District of Columbia.
Tanis and Rapp pled guilty in the U.S. District Court for the District of Columbia. Tanis faces a statutory maximum sentence of 20 years in prison. Rapp faces a statutory maximum sentence of five years in prison. Both face potential financial penalties. Judge Trevor N. McFadden scheduled Tanis’ sentencing for March 13, 2020. Judge McFadden is expected to set a sentencing date for Rapp at her status hearing tomorrow morning.
According to the statement of offense submitted to the Court in Tanis’ case, Rapp worked as a vocational rehabilitation counselor with the District of Columbia’s Department of Disability Services, Rehabilitation Services Administration (“DCRSA”). The DCRSA Vocational Rehabilitation program provides vocational rehabilitation benefits, like college tuition, to qualified individuals with disabilities to help them prepare for and engage in gainful employment. Individuals must be D.C. residents to be eligible for the benefits.
From 2012 through 2016, Rapp conspired with others to defraud the D.C. government by having benefits awarded to individuals who weren’t eligible to receive them. In her role as a vocational rehabilitation counselor, Rapp was responsible for determining whether an individual was eligible to receive the benefits. Notwithstanding D.C. government policy regarding conflicts of interest, Rapp served as the vocational rehabilitation counselor for more than 20 individuals whom she described as being related to her. She knew these individuals were not eligible to receive benefits, but ensured that she was assigned to be their vocational rehabilitation counselor, so she could process and approve their applications. As a result, the D.C. government awarded vocational rehabilitation benefits totaling approximately $834,536 to Rapp’s family members and friends.
When one of Rapp’s family members wanted to attend Tanis’ nursing school, Rapp worked with Tanis to get his school added as an approved vendor with the D.C. government. During that process, Tanis told Rapp that his school was struggling financially and asked her to use her position to help pay tuition for students at his school. Tanis knew that students had to be D.C. residents in order to be eligible to receive benefits, but worked with Rapp to get $47,895 in benefits awarded to five students at his school who were not D.C. residents and who had no familial relationship to Rapp. During the scheme, Tanis provided one of Rapp’s relatives with a full scholarship to attend his school. Rapp also asked him to provide money to that relative, which he did.
In announcing Tanis’ plea, U.S. Attorney Liu, Special Agent in Charge Dunham, Assistant Inspector General Jordan, and Inspector General Lucas commended the work of those who investigated the case from Federal Bureau of Investigation, the Department of Education’s Office of Inspector General, and the District of Columbia’s Officer of Inspector General. They also expressed appreciation for the work of Paralegal Specialist Mariela Andrade, and former Paralegal Specialists Brittany Phillips and Jessica Mundi. Finally, they commended the work of Assistant U.S. Attorney Kondi Kleinman, who is prosecuting the case.
Five Individuals Sentenced Federally for Participating in Global Fraud SchemeRead the Press Release
MIAMI, FL - Ariana Fajardo Orshan, U.S. Attorney for the Southern District of Florida, and Justin Green, Special Agent in Charge, Miami Field Office, U.S. Food and Drug Administration, Office of Criminal Investigations (FDA-OCI) announced that five defendants were sentenced today by U.S. District Judge Donald M. Middlebrooks for their respective involvement in a global fraud scheme based upon false claims about the United States military and the Government of Afghanistan.
Six individuals were charged for their involvement in the global fraud scheme (Case No. 18-20668-CR-DMM). Four individuals previously pled guilty, one was convicted at trial and charges are pending against a final defendant.
Byramji Javat, a citizen of Pakistan and Chairman of the Dubai-based Uniworld Group, pled guilty to one count of conspiracy to commit wire fraud. The Court sentenced Javat to 120 months in prison after finding him responsible for a fraud loss of approximately $60 million during the period of the conspiracy. The court also imposed a $150,000 fine and ordered Javat to pay forfeiture and restitution, in amounts to be determined at a future hearing.
Luis Soto, a customs broker residing in Miami, was convicted by a trial jury of one count of conspiracy to commit wire fraud, one count of conspiracy to obtain pre-retail medical products worth $5,000 or more by fraud or deception, two counts of wire and two counts of obtaining pre-retail medical products by fraud or deception. The Court sentenced Soto to 72 months in prison and ordered him to forfeit $100,000. Sunil Chopra and William Armando, both residents of California, pled guilty to one count of conspiracy to obtain pre-retail medical products worth $5,000 or more by fraud or deception and were sentenced to 36 and 18 months in prison, respectively. Emanuel Daskos, of Hallandale Beach, Florida, pled guilty to one count of conspiracy to obtain pre-retail medical products worth $5,000 or more by fraud or deception and was sentenced to 2 years of probation. He was also ordered to pay a $20,000 fine, $501,304 in restitution, and forfeit $18,536. One defendant, James Sipprell, a resident of Georgia, is awaiting trial and is presumed innocent.
According to the superseding indictment, between 2014 and 2017, Javat orchestrated a fraud scheme to purchase FDA-regulated products including medical devices from manufacturers in the United States at deeply discounted prices by lying to them about the destination and purpose of the goods. Javat represented that he was a large supplier of medical and food products to United States troops in Afghanistan, and sought deep discounts from the manufacturers by claiming that he could provide their goods to American troops in Afghanistan or to the Afghan people. In truth, Javat wanted to obtain these products at prices not generally offered in the United States in order to sell those products himself in this country – not abroad, and not to the military – at a significant profit.
To execute this scheme, the conspirators insisted that products be packaged for the United States market, falsely claiming to the manufacturers that this was required by the U.S. military, the Afghan government, or the “Buy American Act.” When the products nonetheless had stickers or other packaging on them stating that the items were for export only, the conspirators secretly removed those labels. After acquiring the products, Javat and the co-conspirators arranged for the diversion of the products to various locations in the United States. To conceal this activity, the conspirators typically shipped the products abroad and then had them immediately shipped back to the United States, or provided the victims with fraudulent shipping documentation showing that the products were exported when actually they had never left this country.
Javat admitted the allegations of the superseding indictment during his guilty plea. During Soto’s trial, the government proved these allegations to the jury and presented additional evidence about the defendants’ scheme. For example, the conspirators often represented that they were purchasing items on behalf of the Afghanistan Reconstruction and Development Services (“ARDS”), which at one time was an agency of the Afghan Government funded in part by the United States. That agency ceased to exist after 2014, yet the conspirators provided victims with fake documents supposedly from ARDS imposing extravagant demands that in reality only suited the conspirators’ needs. In 2016, Uniworld prepared an internal Powerpoint presentation expressly informing its staff that they had to be “good at lying.” Finally, because these goods were moving outside normal channels, they often were mishandled; for example, according to the conspirators’ own emails at the time, the defendants disregarded temperature requirements when transshipping over-the-counter pain medicines, one of the defendants kept a shipment of diabetic test strips that required refrigeration in his car trunk overnight and another shipment of medical products became covered in bird droppings. The products involved in Javat’s scheme included surgical instruments, professional dental care devices, bandages, and aspirin.
The evidence at Soto’s trial demonstrated that Soto knew about Javat’s fraud scheme yet knowingly helped him by supplying paperwork to federal agencies including the FDA to facilitate the re-entry of the diverted products into the United States through the Port of Miami or Miami International Airport. Chopra, Armando and Daskos also knowingly furthered the scheme by helping to transport the products and remove export labels.
U.S. Attorney Fajardo Orshan commended the investigative efforts of the FDA-OCI. The case is being prosecuted by Assistant U.S. Attorneys David Turken and John Shipley.
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.