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27 January 2020
United States Attorney’s Office Settles ADA Dispute with Joyce’s Farm Market Involving Service AnimalsRead the Press Release
Detroit, MI – The United States Attorney’s Office for the Eastern District of Michigan announced today that it has reached a settlement with Joyce’s Farm Market, a produce store and greenhouse located in Ottawa Lake, Michigan to resolve an allegation that it refused service to an individual with a disability accompanied by a service animal. The investigation began after the US Attorney’s Office received a complaint through its Civil Rights Hotline from a woman who is blind who alleged that she was told to leave the market because of her dog, even after she explained that it was a service animal. During the investigation, physical barriers to access were also discovered at the market.
“Service animals are not pets. People with disabilities who are accompanied by a service animal are entitled to come and go freely throughout their communities, including shopping establishments, on an equal basis as others,” said Matthew Schneider, U.S. Attorney for the Eastern District of Michigan. “We are pleased that Joyce’s Farm Market has agreed to take steps to ensure that service animals are properly recognized and that the people who use them are welcomed and accepted.”
Under the settlement agreement, Joyce’s Farm Market will adopt a non-discrimination policy with specific service animal provisions, train all its employees on the ADA, remove barriers to access in the store building and parking lot, and pay money damages to the complainant.
The ADA prohibits discrimination against people with disabilities by public accommodations, such as grocery stores and retail markets. Public accommodations must allow people with disabilities the full and equal enjoyment of their goods, services, and facilities, which includes making reasonable modifications of their policies, practices, and procedures to permit people with disabilities to be accompanied by service animals.
The Civil Rights Unit of the U.S. Attorney’s Office for the Eastern District of Michigan was established in 2010 with the mission of prioritizing federal civil rights enforcement. For more information on the Office’s civil rights efforts, including a copy of settlement agreement with Joyce’s Farm Market, please visit https://www.justice.gov/usao-edmi/programs/civil-rights. ADA complaints may be emailed to [email protected] or by contacting the U.S. Attorney's Office’s Civil Rights Hotline at (313) 226-9151.
More information about the ADA is available at the Justice Department’s toll free ADA Information line at (800) 514 0301 or (800) 514 0383 (TTY) and on the ADA website at www.ada.gov.
U.S. Supreme Court Justice Sotomayor Addresses Latin American Judges at Justice Department’s Judicial Studies InstituteRead the Press Release
Today at the Judicial Studies Institute (JSI) in San Juan, Puerto Rico, U.S. Supreme Court Justice Sonia Sotomayor addressed 24 judges from El Salvador, Mexico, and Panama as part of a Department of Justice (DOJ) training program for the judiciaries of the Western Hemisphere. Justice Sotomayor stressed the importance of their contribution to rule of law in the hemisphere and lauded them for their role in the transformation of Latin American justice.
With the support of Justice Sotomayor, and in partnership with the Department of State’s Bureau of International Narcotics and Law Enforcement Affairs, the Justice Department’s Office of Prosecutorial Development, Assistance and Training (OPDAT) launched JSI in 2012 as a response to the wave of justice sector reforms in Latin America that saw many countries transition from an inquisitorial to an adversarial system of justice. Through Spanish instruction, practical exercises, and observations of courtroom proceedings, participating judges learned about evidentiary guidelines, the role of judges, and courtroom management in an adversarial justice system.
This capacity building is critical to the region as there are significant differences between the two systems. For example, in an inquisitorial system, judges investigate charges and determine guilt through written deliberations behind closed doors. In an adversarial system, the judge acts as an impartial referee responsible for weighing evidence and guaranteeing the rights of both the victim and the accused in an open courtroom setting.
Since establishing JSI in 2012, OPDAT and its partners at the University of Puerto Rico and Inter-American University law schools have trained over 800 Latin American judges.
Please visit https://www.supremecourt.gov/ for more information about the U.S. Supreme Court and https://www.justice.gov/criminal-opdat for more information about OPDAT’s capacity building efforts around the world.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
U.S. Attorney John W. Huber Statement on Pending Expiration of Emergency Prohibition of Fentanyl AnaloguesRead the Press Release
“The emergency prohibition of fentanyl analogues expires on February 6 without congressional action. Fentanyl and its analogues are responsible for dozens of overdose deaths in Utah. Without action by Congress, my partners and I will not have the tools we need to protect Utah families from the onslaught of these extraordinarily dangerous substances.
“We have seen a transition in the source of fentanyl finding its way into Utah communities. Initially, law enforcement officers found fentanyl from China in relatively small amounts in Utah.
“In a dangerous turn of events, law enforcement officials are now intercepting load after load of Mexican cartel-produced fentanyl. The cartels are using their established and prolific distribution networks to deliver fentanyl – a substance that is exponentially more dangerous than both methamphetamine and heroin. We continue to be very aggressive in prosecuting these cases.
“I am urging Congress to give us the tools we need to continue our efforts against the distribution of fentanyl and its analogues here in Utah. This fight is far from over. We need every tool we have to target this dangerous drug. Congress must take action immediately to extend the scheduling of these dangerous substances.”
Background: In an effort to combat this deadly drug epidemic, DEA issued a temporary emergency two-year order in February 2018 that made all fentanyl-related substances illegal. Our country has seen a marked supply impact from DEA’s temporary scheduling of fentanyl-related substances during the past two years, with a 50 percent decrease in fentanyl-related substances encountered across the United States. However, DEA’s emergency authority expires at midnight on February 6, 2020, unless Congress acts to extend it.
U.S. Attorney Durham Announces Appointment of New Criminal ChiefRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, today announced that Sarah P. Karwan will serve as the Chief of the U.S. Attorney’s Office’s Criminal Division.
Ms. Karwan succeeds the Honorable William J. Nardini, who now serves as a U.S. Circuit Judge of the U.S. Court of Appeals for the Second Circuit.
Ms. Karwan joined the U.S. Attorney’s Office in 2007 and, during her time as an Assistant U.S. Attorney, has prosecuted a wide variety of criminal cases. Ms. Karwan most recently has served as Chief of the District’s Major Crimes Unit, supervising the prosecution of cases involving immigration, human trafficking and child exploitation, civil rights and hate crimes, government program fraud, and environmental crimes. Ms. Karwan also has served as Deputy Chief of the District’s Financial Fraud and Public Corruption Unit, and as an Organized Crime and Drug Enforcement Task Force (“OCDETF”) attorney.
As an AUSA, Ms. Karwan has served as both the District’s Professional Responsibility Officer and Election’s Officer, and as a member of the hiring committee.
Prior to her time in the U.S. Attorney’s Office, Ms. Karwan was in private practice for approximately six years and specialized in securities litigation.
Ms. Karwan graduated from the College of William and Mary in 1997, and from the University of Connecticut School of Law in 2000.
“I am thrilled that Sarah Karwan will lead our Criminal Division,” said U.S. Attorney Durham. “During her more than 12 years as an AUSA, Sarah has done it all, prosecuting violent criminals, drug traffickers, financial fraudsters, corrupt public officials, and a wide variety of other wrongdoers. Given the breadth of her experience and her exceptional lawyering skills, she certainly will be a standout as our new Criminal Chief.”
The District’s Criminal Division comprises four program-based units: Violent Crimes and Narcotics, Financial Fraud and Public Corruption, National Security and Cybercrime, and Major Crimes.
The U.S. Attorney’s Office is charged with enforcing federal criminal laws in Connecticut and representing the federal government in civil litigation. The Office is composed of approximately 68 Assistant U.S. Attorneys and approximately 54 staff members at offices in New Haven, Hartford and Bridgeport.
Two Rochester Residents Charged with Production, Receipt, Distribution, and Possession of Child PornographyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Joshua Sattora, 35, and Rebecca Woodin, 34, both of Rochester, NY, were arrested and charged by criminal complaint with production, receipt, distribution, and possession of child pornography. The charges carry a mandatory minimum penalty of 15 years in prison and a maximum of 30 years in prison.
Assistant U.S. Attorney Meghan K. McGuire, who is handling the case, stated that the National Center for Missing and Exploited Children received a CyberTipline Report indicating that a Dropbox user, later identified as defendant Joshua Sattora, was in possession of child pornography. A search warrant was then executed at Sattora’s Rochester residence. Investigators seized multiple electronic devices that contained thousands of images and videos of child pornography. Investigators also seized Sattora’s cell phone which contained a series of a series of text message conversations between Sattora and an individual later identified as Rebecca Woodin.
In those text messages, the defendants discussed their mutual interest in child pornography and their desire to have sexual contact with children in general. They also discussed at length their desire to have sexual contact with Minor Victim 1 in particular. Minor Victim 1 was either five or six years old during the course of the alleged conduct and was known to defendant Woodin. Sattora and Woodin talked in sexually explicit language about Minor Victim 1. Woodin also sent Sattora naked pictures of Minor Victim 1.
The defendants also exchanged explicit text messages about a second victim, Minor Victim 2.
Sattora also sent Woodin a screen shot of a document entitled “The Pedophile's Handbook.” Sattora wrote “yeah goes into detail about everything from how to find a girl to how to groom her to making sure she stays quiet afterwards.”
The defendants made an initial appearance this afternoon before U.S. Magistrate Judge Marian W. Payson and were held pending a detention hearing. Woodin’s detention hearing will take place on January 30, 2020; Sattora’s detention hearing has not yet been scheduled.
The complaint is a result of an investigation by the Department of Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly; the Federal Bureau of Investigation Child Exploitation Task Force, under the direction of Special Agent-in-Charge Gary Loeffert; the New York State Police, under the direction of Major Eric Laughton; and the Monroe County District Attorney’s Office, under the direction of District Attorney Sandra Doorley.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Two Men Charged in Manhattan Federal Court with Bronx MurderRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, Dermot Shea, the Commissioner of the New York City Police Department (“NYPD”), and Peter C. Fitzhugh, the Special Agent-in-Charge of the New York Field Office of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (“HSI”), announced the unsealing of an Indictment charging DARON GOODMAN and JAMARR SIMMONS with the January 11, 2020, murder of Jason Parris, 36, in the vicinity of East 170th Street and Webster Avenue in the Bronx, New York. The case has been assigned to United States District Judge George B. Daniels. SIMMONS was arrested this morning. GOODMAN was in state custody and was transferred to federal custody. Both defendants were presented today before Judge Daniels and ordered detained.
U.S. Attorney Geoffrey S. Berman said: “As alleged in the indictment, Daron Goodman and Jamar Simmons murdered Jason Parris earlier this month. Thanks to the outstanding efforts of the NYPD and HSI, Goodman and Simmons now face federal murder charges for this terrible crime. We continue our daily work with our law enforcement partners to keep the streets safe, and to vigorously investigate and prosecute those who allegedly engage in acts of violence in our community.”
NYPD Commissioner Dermot Shea said: “This indictment illustrates how committed we are to stopping those engaged in gun violence. The NYPD, together with federal agents and prosecutors, remain vigilant in our fight against violent crime as part of our joint effort to keep the city and its residents safe.”
HSI Special Agent-in-Charge Peter C. Fitzhugh said: “In a most heinous act, both Goodman and Simmons are alleged to have murdered a man in cold blood. HSI will remain committed to work closely with our law enforcement partners on murder investigations in order to bring justice, and maybe some solace, for the victim’s family and loved ones.”
As alleged in the Indictment unsealed today in Manhattan federal court[1]:
On January 11, 2020, DARON GOODMAN and JAMARR SIMMONS, shot and killed Jason Parris in the vicinity of 1441 Webster Avenue in the Bronx. GOODMAN and SIMMONS killed Parris in part to maintain and increase their position in a racketeering enterprise operating in the Southern District of New York.
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GOODMAN, 22, and SIMMONS, 32, are each charged with using a firearm to commit murder in aid of racketeering, which carries a maximum sentence of death, or life in prison, and a mandatory minimum term of five years in prison. The statutory maximum penalties are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants would be determined by the judge.
Mr. Berman praised the outstanding investigative work of the NYPD and HSI. Mr. Berman also praised the New York City Department of Correction, Correction Intelligence Bureau, for its assistance in the investigation.
This case is being handled by the Office’s Violent and Organized Crime Unit. Assistant United States Attorneys Adam S. Hobson, Michael D. Longyear, and Jacob Warren are in charge of the prosecution.
The charges contained in the Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Indictment and the description of the Indictment set forth herein constitute only allegations, and every fact described should be treated as an allegation.
Two Detroit Men Plead Guilty to Drug ChargesRead the Press Release
HUNTINGTON, W.Va. – Two Detroit, Michigan men pled guilty to drug crimes today before United States District Judge Robert C. Chambers, announced United States Attorney Mike Stuart.
“Two more Detroit drug dealers stand convicted,” said United States Attorney Mike Stuart. “Dealers that come into this District to peddle their poisons will be prosecuted to the fullest extent of the law.”
Rudy Valentino Jackson, 21, pled guilty to aiding and abetting the possession with intent to distribute methamphetamine and heroin. Jackson admitted that on August 22, 2019, officers with the Huntington Police Department executed a search warrant at 702 Washington Avenue, Apartment 7, in Huntington. Officers found distribution quantities of methamphetamine and heroin inside the apartment. Jackson admitted he intended to aid other individuals in selling the methamphetamine and heroin. Jackson faces up to twenty years in prison when sentenced on April 27, 2020.
In a separate case, Paul Cunningham, 44, pled guilty to selling heroin. Cunningham admitted that in 2016 he sold heroin to a confidential informant three times in Huntington. Cunningham faces up to twenty years in prison when sentenced on May 4, 2020.
The Huntington Police Department conducted both investigations. Assistant United States Attorney Stephanie Taylor is handling the prosecutions.
These cases are being prosecuted as part of Operation Synthetic Opioid Surge (S.O.S.), an enforcement surge that seeks to reduce the supply of deadly synthetic opioids in high impact areas.
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Third Man Involved in 2009 Kidnapping and Murder Sentenced to Life in PrisonRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that TERRELL HUNTER, also known as “Rell” and “Killer,” 38, of Hartford, was sentenced today by U.S. District Judge Stefan R. Underhill in Bridgeport to life in prison for his role in the kidnapping, robbery and the execution-style murder of Charles Teasley, 35, of West Hartford, in January 2009.
According to evidence presented during trial, on January 12, 2009, Hartford Police responded to Colebrook Street in response to a 911 call concerning a dead body being found in the back seat of a vehicle parked on the street. Upon arrival, Charles Teasley was found dead in the back seat of his own vehicle, a 1999 Acura TL. He had suffered multiple gunshot wounds to his head and face, and his hands were zip-tied behind his back.
The investigation revealed that Hunter, Harold Cook, Gerund Mickens and Jesus Ashanti were involved in committing armed robberies of persons they believed to be drug dealers operating in the greater Hartford area. On January 9, 2009, an individual advised Cook that he had arranged to conduct a cocaine transaction with Teasley. The individual provided the particulars of the planned transaction to Cook so that Teasley could be kidnapped and robbed of drugs and money. After Teasley arrived at the arranged location, Cook, Mickens, Hunter and Ashanti kidnapped Teasley by using zip-ties to bind his hands and forcing him back into the rear seat of his own vehicle. In the vehicle, they threatened Teasley at gunpoint, assaulted him and forced him to make a telephone call directing his girlfriend to bring to Cook, Mickens, Hunter and Ashanti a safe that Teasley had kept at his and his girlfriend’s West Hartford residence. They drove to the residence and acquired the safe. Cook, Mickens and Hunter then drove Teasley to the Colebrook Street area of Hartford, and Ashanti followed them in a separate car. On the way, Cook and Hunter shot Teasley in the head causing his death. After arriving on Colebrook Street, Cook, Mickens and Hunter left the Acura and Teasley’s body, and then fled the area in the car driven by Ashanti.
Cook, Mickens and Hunter have been detained since their arrests on April 4, 2017. On August 21, 2018, a jury found them guilty of one count of kidnapping resulting in death, one count of using a firearm during a kidnapping and causing a death, and one count of using a firearm during a Hobbs Act robbery and causing a death.
Earlier this month, Judge Underhill sentenced both Cook and Mickens to life in prison.
Ashanti pleaded guilty to related charges on July 16, 2018, and awaits sentencing.
This investigation has been conducted by the FBI’s Northern Connecticut Violent Crimes Gang Task Force, Hartford Police Department and the Cold Case Homicide Unit of the Office of the Chief State’s Attorney. The Task Force includes members of the Hartford Police Department, East Hartford Police Department, Connecticut State Police and Connecticut Department of Correction.
The case is being prosecuted by U.S. Attorney Durham, Assistant U.S. Attorneys Jocelyn C. Kaoutzanis and Peter D. Markle, and Assistant State’s Attorney Andrew Reed Durham, who has been cross-designated as a Special Assistant U.S. Attorney in this matter.
Suwannee County Woman Pleads Guilty to Submitting False Claim for FEMA Benefits Related to Hurricane IrmaRead the Press Release
Jacksonville, Florida – Deannajo White (39, Suwannee County) has pleaded guilty to disaster assistance fraud. She faces a maximum penalty of 30 years in federal prison, plus payment of restitution to the United States.
According to
court documents , on September 27, 2017, White made an application for disaster assistance benefits to FEMA over the internet. In the application, White claimed that her primary residence in Branford, Florida had suffered storm damage due to Hurricane Irma, when a tree fell through the roof, forcing her to leave the residence and begin living at a rental property in Branford. White subsequently contacted FEMA and stated that she had moved to a different rental property with a higher rent. White submitted multiple documents to FEMA in support of her application, including rent receipts, leases, and letters.On August 13, 2019, law enforcement agents interviewed White about her disaster assistance application. During the interview, she repeatedly lied to the agents. When confronted with evidence showing that she had lied on the application, White admitted to making false statements. She also admitted to submitting multiple false documents to FEMA, including fraudulent rent receipts and leases.
This case is part of the United States Attorney’s Disaster Fraud Task Force, which was announced in September 2017. It was investigated by the Department of Homeland Security - Office of Inspector General with assistance from Homeland Security Investigations, the Suwannee County Sheriff’s Office, and the Gilchrist County Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Kevin C. Frein.
Members of the public who suspect fraud, waste, abuse, or allegations of mismanagement involving disaster relief operations, or believe they have been the victim of fraud from a person or organization soliciting relief funds on behalf of disaster victims, should contact the National Disaster Fraud Hotline toll free at (866) 720-5721. A live operator 24 hours a day, 7 days a week staffs the telephone line. You can also fax information to the Center at (225) 334-4707, or email it to [email protected]. You may also visit www.justice.gov/usao-mdfl.
Stock Promoter Sentenced to Prison for Engaging in Manipulative Trading as Part of Pump-and-Dump SchemesRead the Press Release
BOSTON – A stock promoter who engaged in manipulative trading as part of a scheme to defraud investors was sentenced on Friday, Jan. 24, 2020, to six months in prison.
Eric Landis, 54, of Charlottesville, Va., was sentenced by U.S. District Judge Indira Talwani to six months in prison, two years of supervised release and ordered to pay a fine of $50,000. In January 2019, Landis pleaded guilty to one count of securities fraud.
From January 2015 to January 2018, Landis engaged in a scheme to manipulate the stock of at least 97 publicly traded companies. Landis was paid by stock promoters to send e-mails out touting microcap stocks to “lists” that he purportedly controlled. Instead of doing this, Landis generated the appearance of interest in the stocks by placing thousands of manipulative trades himself in the stock of the companies he was paid to promote. Landis’s trading created the mirage that the securities of those microcap companies were in high demand, when they were not. Over the course of a three year period, Landis was paid approximately $3.3 million by the stock promoters as part of his criminal scheme.
United States Attorney Andrew E. Lelling and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division made the announcement today. The Boston regional office of the U.S. Securities and Exchange Commission provided assistance with the investigation. Assistant U.S. Attorney Eric S. Rosen of Lelling’s Securities and Financial Fraud Unit prosecuted the case.
Statement from Deputy Attorney General Jeffrey A. Rosen Calling Upon the House of Representatives to Vote to Extend Scheduling of Fentanyl-Related SubstancesRead the Press Release
Deputy Attorney General Jeffrey A. Rosen issued the following statement:
“Sadly, in 2017, more than 1,000 Americans died every two weeks from fentanyl and fentanyl-related substances. In an effort to combat this deadly drug epidemic, DOJ’s Drug Enforcement Administration (DEA) in February 2018 issued a temporary emergency two-year order that made illegal all fentanyl-related substances. Our country has seen a marked supply impact from DEA’s temporary scheduling of fentanyl-related substances during the past two years, with a 50 percent decrease in fentanyl-related substances encountered across the United States. However, DEA’s emergency authority expires at midnight on February 6, 2020, unless Congress acts to extend it.
“On January 16, 2020, the Senate unanimously passed a commonsense, bipartisan 15-month extension of DEA’s temporary scheduling of fentanyl-related substances (S.3201). It is essential that House leadership now schedule a vote to do the same.
“If the House fails to act by midnight on February 6, traffickers of deadly opioids will again have the upper hand. This cannot be allowed to happen. The House of Representatives needs to act to help save Americans from more overdoses and deaths.”
See relevant op-eds on the fentanyl topic:
Attorney General William P. Barr op-ed.
U.S. Attorney Robert M. Duncan op-ed.
U.S. Attorney Justin Herdman op-ed.
U.S. Attorney John R. Lausch op-ed.
U.S. Attorneys for each New England District op-ed.
St. Albans Man Pleads Guilty to Federal Drug CrimeRead the Press Release
CHARLESTON, W.Va. – A St. Albans man pled guilty to a drug crime today, announced United States Attorney Mike Stuart. John Harvey Bush, Jr., 27, pled guilty to possession with intent to distribute five grams or more of methamphetamine.
“18 pounds of meth through the U.S. Mail,” said United States Attorney Mike Stuart. “The motto, “If it fits, it ships,” does not apply to illegal drugs. I can’t say enough about the tremendous work of our U.S. Postal Inspectors who intercept packages like this on a daily basis and prevent illicit drugs from making it out on the streets. We are also fortunate to have the West Virginia National Guard as a partner in our counterdrug efforts.”
On September 4, 2019, the U.S. Postal Inspection Service intercepted a package shipped from Los Angeles, California to a Charleston residence. Upon obtaining a search warrant for the package, they discovered over 18 pounds of methamphetamine inside. The majority of the methamphetamine was removed, except for 11.2 grams which remained inside the package in order to conduct a controlled delivery. As law enforcement was delivering the package, the National Guard provided helicopter surveillance of the area. Bush was recorded driving to the residence and taking the package from the front porch. He was then followed as he drove the package to his girlfriend’s residence, where he unloaded and opened the package.
Upon opening the package, he discovered there to be only 11.2 grams of methamphetamine and attempted to flush the shipping label to the package. Shortly afterwards, law enforcement knocked on the front door of the girlfriend’s residence. Bush saw them through the window and was arrested as he tried to flee out the back door. Bush’s cell phone was seized and searched pursuant to a federal search warrant, where it became apparent that Bush was aware of the content of the package, its tracking number, and when it would be arriving.
Bush faces up to forty years in prison when sentenced on June 8, 2020.
The Drug Enforcement Administration (DEA), the United States Postal Service - Office of Inspector General, and the United States Postal Inspection Service conducted the investigation. The West Virginia National Guard assisted law enforcement with their investigation. Senior United States District Judge David A. Faber presided over the hearing. Assistant United States Attorney L. Alexander Hamner is handling the prosecution.
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Sperry Man Sentenced to 15 years for Sexual Exploitation of a ChildRead the Press Release
A man arrested as a result of a report from Facebook to the National Center for Missing & Exploited Children was sentenced Monday in federal court for sexual exploitation of a child, announced U.S. Attorney Trent Shores.
U.S. District Judge Claire V. Eagan sentenced Thomas Dustin Daughtry, 43, of Sperry, to 15 years in federal prison to be followed by 10 years of supervised release for illegally engaging with the minor online from Feb. 18, 2019 through June 25, 2019.
In his written plea agreement from October 2019, Daughtry stated that he knowingly enticed a 15-year-old into engaging in sexually explicit conduct and persuaded the minor to send sexual images to him.
“Daughtry’s crimes came to light when Facebook reported ongoing contact by the defendant and the minor victim. This underscores the importance of ensuring law enforcement has a means to identify online predatory behavior and to lawfully access their electronic communications. Facebook’s development and implementation of end-to-end encryption could result in wholly blocking law enforcement’s ability to obtain evidence of Facebook facilitated communications even though a child predator has been identified,” said U.S. Attorney Trent Shores. “I am thankful that investigators and Assistant U.S. Attorney Shannon Cozzoni brought Thomas Daughtry to justice. He will spend the next 15 years in prison thinking on his crimes against children.”
In October, Attorney General Barr and law enforcement partners from the United States, United Kingdom and Australia published an open letter urging the social media company to rethink its development of end-to-end encryption. End-to-end encryption would preclude access to content even for preventing and investigating serious crimes. In the letter, the officials highlighted Facebook’s critical assistance in identifying child predators. In 2018, Facebook made 16.8 million reports of child sexual exploitation and abuse content to the National Center for Missing & Exploited Children (NCMEC), 12 million of which it is estimated would be lost if the company implements end-to-end encryption. As well as child abuse imagery, these referrals included more than 8,000 reports related to attempts by offenders to meet children online and groom or entice them into sharing indecent imagery or meeting in real life.
U.S. Immigration and Customs Enforcement's Homeland Security Investigations and Tulsa Police Department conducted the investigation. Assistant U.S. Attorney Shannon Cozzoni prosecuted the case.
This case resulted from Operation Independence Day, an investigation conducted the month of July that resulted in nine individuals being charged federally in the Northern District of Oklahoma. The nationwide operation relied on the 86 FBI-led Child Exploitation and Human Trafficking Task Forces, which leverage the resources and intelligence of other federal, state, local and tribal partners. In total, law enforcement recovered or identified 103 child victims and arrested of 67 sex traffickers across the nation.
Snohomish County man sentenced to 7+ years in prison for illegally sending firearms overseas and illegally possessing silencers and a handgunRead the Press Release
A 36-year-old resident of Tulalip, Washington, was sentenced today in U.S. District Court in Seattle to 85 months in prison for four federal felonies related to illegal gun possession and trafficking, announced U.S. Attorney Brian T. Moran. HANY VELETANLIC, a citizen of Bosnia legally residing in the United States, was found guilty of violating the Arms Export Control Act, illegally possessing two unregistered silencers, and possessing a firearm with an obliterated serial number. VELETANLIC was convicted in February 2019 following a two-day jury trial. At sentencing, U.S. District Judge James L. Robart said that VELETANLIC had run an illegal “lucrative business” and taken “quite sophisticated steps” to hide his conduct. The Court emphasized that sending guns to countries with restrictions on guns was very serious conduct.
“This defendant repeatedly lied to law enforcement, violated judges orders, and even schemed to harm a witness against him from the Federal Detention Center,” said U.S. Attorney Brian T. Moran. “Even behind bars he tried to transfer guns in his control to another violent group. Such disregard for the rule of law cannot be tolerated.”
According to records filed in the case and testimony at trial, in February 2017, Swedish law enforcement seized a part of a Glock firearm from a residence in Fagersta, Sweden. The serial number on the Glock firearm had been filed off, but Glock Inc. was able to trace the sale of the firearm using a specialized company code imprinted on the part. The gun had been purchased by a resident of the Seattle area. When contacted by law enforcement, the resident said he had privately sold the gun to VELETANLIC. In May 2017, VELETANLIC contacted Homeland Security agents when he learned they had been asking about the firearm. VELETANLIC told agents about his activity selling firearms on eBay and in direct sales. After being advised of his Miranda rights, VELETANLIC ultimately admitted shipping packages of firearms overseas–as many as 20 different shipments to two different customer groups in Sweden. He also has admitted shipping firearms parts to people in France, Russia, and Brazil.
In the course of a July 2017 interview with law enforcement, VELETANLIC admitted that a customer in France had shipped him two silencers in exchange for the firearms parts. VELETANLIC claimed the silencers had been destroyed. However, when agents received permission to look in VELETANLIC’s gun safe, they found one of the silencers. The second silencer was turned over by VELETANLIC to agents in August 2017.
In May 2018, VELETANLIC was arrested on federal charges. At the time of his arrest, he was carrying a stolen Ruger pistol with an obliterated serial number.
While awaiting sentencing at the Federal Detention Center (FDC) at SeaTac, VELETANLIC communicated with others outside the prison about transferring firearms to someone he thought was associated with a criminal group. VELETANLIC believed that criminal gang was going to harm someone who had been a witness against him. In reality, an undercover officer was posing as a possible gang member after inmates at the FDC alerted law enforcement to the scheme. VELETANLIC denies trying to arrange the attack.
The case was investigated by Homeland Security Investigations and Bureau of Alcohol, Tobacco Firearms & Explosives (ATF) with assistance from the Swedish National Police.
The case was prosecuted by Assistant United States Attorneys Thomas Woods and Marie Dalton.
Sioux City Felon and Drug User Sentenced to Federal Prison for Unlawfully Possessing a GunRead the Press Release
A man who illegally possessed a gun was sentenced January 23, 2020, to more than three years in federal prison.
Adrian Gomez, age 24, from Sioux City, Iowa, received the prison term after a September 13, 2019, guilty plea to being a felon, drug user and domestic abuse misdemeanant in possession of a firearm.
Evidenced produced by the United States at the detention, change of plea, and sentencing hearings revealed Gomez was prohibited from possessing firearms because he had previously been convicted of three felony crimes of burglary in Nebraska and Iowa. He was also prohibited from possessing guns because he had previously been convicted of domestic abuse assault in Iowa, and he was a user of illegal drugs. Each of these three facts precluded Gomez from lawfully possessing firearms.
Gomez’s unlawful possession was discovered when law enforcement were called with report of home burglary that resulted in a safe being dragged into an alley by the would-be burglars. Law enforcement found the locked safe and followed a drag-path back to the home it came from.
Subsequent investigations revealed a handgun, a loaded handgun magazine, and $4,044 in cash, in the safe. Evidence also showed Gomez had distributed marijuana. Gomez attempted to obstruct the investigation by asking a witness to lie to enforcement and claim that she owed the firearm in the safe and that Gomez had no knowledge of it. This effort failed, and it was determined that not only did Gomez possess the firearm in the safe, but that he had also possessed a rifle in the past, with which he threatened another.
Gomez was sentenced in Sioux City by United States District Court Chief Judge Leonard T. Strand. Gomez was sentenced to 37 months’ imprisonment. He must also serve a 3-year term of supervised release after the prison term. There is no parole in the federal system.
Gomez is being held in the United States Marshal’s custody until he can be transported to a federal prison.
This case was brought as part of Project Safe Neighborhoods (PSN). PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. The United States Attorney’s Office has prosecuted this case with support from our Project Guardian partners. For more information about Project Guardian, please see /media/1122011/dl?inline.
The case was investigated by the Sioux City Police Department and prosecuted by Assistant United States Attorney Forde Fairchild.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 19-4042.
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Selma Man Sentenced Following Conviction at Trial for Being a Felon in Possession of a FirearmRead the Press Release
United States Attorney Richard W. Moore of the Southern District of Alabama announced that Jarriet Rascoe, 32, of Selma, Alabama, was sentenced in federal court for being a convicted felon in possession of a firearm. A jury found Rascoe guilty of the charge following a trial in Selma in September of 2019.
According to the evidence presented at the trial, on February 7, 2019, Selma police conducted a traffic stop of a vehicle being driven by Rascoe for speeding. Rascoe did not have a driver’s license or insurance, and the vehicle had a switched tag. Rascoe, who appeared nervous, denied knowledge of anything illegal inside the vehicle but refused consent to search its contents. Police walked a narcotics detection K-9 around the vehicle. The K-9 alerted for the presence of narcotics on the driver’s side door. Police searched the vehicle and recovered a small amount of marijuana from the driver’s side floorboard, ten vacuum-sealed bags from the trunk, and three pistols from the trunk. Police found a .40-caliber pistol, a 9mm pistol, and a .22-caliber revolver. Rascoe told the officers that the vehicle belonged to him and that he knew there was one firearm inside the vehicle, but he was unaware of the other two firearms. Because of his 2012 felony conviction for Possession of Marijuana 1st Degree, in Dallas County, Rascoe was prohibited from possessing any firearms or ammunition.
United States District Court Judge Terry F. Moorer imposed a sentence of 46 months’ incarceration, to be followed by a three-year term of supervised release. During that time, Rascoe will undergo testing and treatment for substance abuse. The judge ordered Rascoe to pay $100 in special assessments.This case was investigated by the Selma Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It was prosecuted in the United States Attorney’s Office by Assistant United States Attorney Gina S. Vann.
Santa Fe Springs Gang Member Sentenced to 40 Years in Prison for Racketeering Charges, Including 2016 Murder of Rival GangsterRead the Press Release
LOS ANGELES – A member of a Mexican Mafia-affiliated street gang that operates in Whittier and Santa Fe Springs was sentenced today to 480 months in federal prison for a series of violent crimes that included the 2016 murder of a rival gang member outside a San Gabriel Valley restaurant.
Leonardo Antolin, 25, a.k.a. “Rowdy,” of Whittier, was sentenced by United States District Judge Virginia A. Phillips, who said that Antolin had shown a “lack of concern for members of the community” through his acts of violence, and “all of that counsels for a very lengthy sentence.”
Antolin – a member of the Canta Ranas gang – pleaded guilty in July 2019 to conspiracy to violate the Racketeer Influenced and Corrupt Organizations (RICO) Act, conspiracy to commit murder in aid of racketeering, assault with a dangerous weapon in aid of racketeering, conspiracy to traffic in controlled substances, and discharging a firearm during a violent crime.
On April 19, 2016, Antolin murdered Dominic Gonzales, a Mexican Mafia member who wanted to expand his influence and challenge the authority of other Mexican Mafia members in the San Gabriel Valley. During the incident at a restaurant in the San Gabriel Valley community of Bassett, the Mexican Mafia member was fatally shot, his bodyguard was severely wounded, and an innocent restaurant patron was severely wounded when she was shot six times while sitting with her husband in the direct line of fire.
Antolin’s conviction arose from a 2016 federal grand jury indictment charging 51 defendants that was the result of Operation Frog Legs. Prosecutors have secured more than 40 convictions so far in this matter. The case’s lead defendant, Jose Loza, 41, is scheduled to be sentenced on February 24. Loza faces a mandatory sentence of life in federal prison after a federal jury in August 2019 found him guilty of 12 felonies, including Gonzales’ murder, after a 15-day trial.
“There can be no more serious offense than taking the life of another human being and here, defendant conspired to murder, and did, in fact, murder (the) victim…pursuant to a premeditated, cold-blooded plan hatched by co-defendant Loza,” prosecutors wrote in the government’s sentencing memorandum.
Antolin also was heavily involved in narcotics trafficking on the gang’s behalf. He also acted as an enforcer who collected extortionate taxes which were required to be paid by not only members and associates of the criminal enterprise but also any individual who committed revenue-generating crimes within the enterprise’s territory.
Operation Frog Legs is the result of an investigation by the Southern California Drug Task Force, which is led by the Drug Enforcement Administration as part of the High Intensity Drug Trafficking Area (HIDTA) initiative. The Task Force members that participated in Operation Frog Legs were Homeland Security Investigations, the Whittier Police Department, the Los Angeles County Sheriff’s Department, IRS Criminal Investigation, and the California Department of Corrections and Rehabilitation, Office of Correctional Safety, Special Service Unit.
This matter was prosecuted by Assistant United States Attorneys Carol Alexis Chen, Chief of the International Narcotics, Money Laundering, and Racketeering Section; Kathy Yu, also of the International Narcotics, Money Laundering, and Racketeering Section; and Victoria A. Degtyareva of the Cyber and Intellectual Property Crimes Section.
Rocky Mount Woman Indicted on Wire Fraud and Related Charges for Financial Aid Fraud SchemeRead the Press Release
RALEIGH – Robert J. Higdon, Jr., United States Attorney for the Eastern District of North Carolina, announces that a federal grand jury in Raleigh has returned an indictment charging JILL THOMPSON ARRINGTON, age 42, of Rocky Mount, with seven counts of wire fraud, one count of theft of government property, and one count of financial aid fraud.
According to the indictment, ARRINGTON unlawfully obtained Pell grants and federally insured loans by claiming to pursue a post-secondary education when she had no intent of doing so. Specifically, to receive the financial aid, ARRINGTON falsely certified on Free Applications for Federal Student Aid and indicated on various post-secondary institutions’ admissions application forms that she intended to pursue degrees, often online, at the institutions. After the aid was disbursed to the post-secondary institutions and ARRINGTON received her funds, she often stopped participating in the courses. During her scheme, ARRINGTON applied to thirteen post-secondary institutions and received approximately $34,471.73 in student aid refunds.
If convicted of the wire fraud counts, ARRINGTON faces a maximum penalty of twenty years imprisonment and a $250,000 fine. ARRINGTON faces a maximum penalty of ten years imprisonment and a $250,000 fine if she is convicted of theft of government property. The financial aid fraud count carries a maximum penalty of five years imprisonment and a $50,000 fine if ARRINGTON is convicted. Each count requires a term of up to three years supervised release following any term of imprisonment.
The charges and allegations contained in the indictment are merely accusations. The defendant is presumed innocent unless and until proven guilty in a court of law.
The case is being investigated by the U.S. Department of Education’s Office of the Inspector General, with assistance from the U.S. Postal Inspection Service.
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The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Rochester Man Going to Prison on Fentanyl ChargeRead 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 Felix Figueroa, 40, of Rochester, NY, who was convicted of possession with the intent to distribute 40 grams or more of fentanyl, was sentenced to serve 96 months in prison by Chief U.S. District Judge Frank P. Geraci, Jr.
Assistant U.S. Attorney Cassie Kocher, who handled the case, stated that during the course of a lengthy investigation, the defendant sold cocaine and heroin on several occasions to an individual working with investigators. On January 29, 2018, investigators executed a search warrant at Figueroa’s home, and recovered a quantity of fentanyl and cocaine, 199 bags of heroin, 154 decks of heroin, 576 bags of cocaine, as well as items commonly used in the packaging and distribution of illegal drugs, such as a scale, baggies, cutting agent, and approximately $2,108 in cash.
The sentencing is the result of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives Violent Crime Task Force, under the direction of Special Agent-in-Charge John B. Devito, New York Field Division; the Rochester Police Department, under the direction of Chief La’Ron Singletary; the Monroe County Sheriff’s Office, under the direction of Sheriff Todd Baxter; the Monroe County District Attorney’s Office, under the direction of District Attorney Sandra Doorley; the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Gary Loeffert; the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division; the Greece Police Department, under the direction of Chief Patrick Phelan; the Brighton Police Department, under the direction of Chief David Catholdi; and U.S. Border Patrol, under the direction of Patrol Agent-in-Charge Luis R. Tafoya.
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Red Lake Man Pleads Guilty to Domestic AssaultRead the Press Release
United States Attorney Erica H. MacDonald today announced the guilty plea of EDWARD LEE BELLANGER, 45, to three counts of assault of an intimate or dating partner. BELLANGER, who was initially charged on June 27, 2019, entered his plea today before Chief Judge John R. Tunheim in U.S. District Court in Minneapolis, Minnesota. BELLANGER is scheduled to be sentenced on May 26, 2020.
According to the defendant’s guilty plea and documents filed in court, between October 2018 and January 2019, BELLANGER violently assaulted the victim on three separate occasions. During one of the assaults, BELLANGER, who was driving his car, reached over to the victim, who was seated in the front passenger seat, and slammed her head into the windshield, cracking the windshield. Following the assaults, the victim sought medical attention and was treated for substantial bodily injuries.
This case is the result of an investigation conducted by the Red Lake Tribal Police Department and the FBI Headwaters Safe Trails Task Force.
Special Assistant U.S. Attorney Gina L. Allery is prosecuting the case.
Defendant Information:
EDWARD LEE BELLANGER, 45
Red Lake, Minn.
Convicted:
- Assault resulting in substantial bodily injury to an intimate or dating partner, 3 counts
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United States Attorney’s Office, District of Minnesota: (612) 664-5600
Readout of U.S. Attorney General William P. Barr’s Meeting with Guatemala Attorney General Maria Consuelo Porras ArguetaRead the Press Release
Earlier today, U.S. Attorney General William P. Barr met with the Attorney General of Guatemala Maria Consuelo Porras Argueta in Washington, DC. They discussed ways to strengthen efforts to combat transnational organized crime and reduce illegal migration to the United States through increased cooperation and capacity building of law enforcement partners. They discussed their shared commitment to protecting the security and safety of the citizens of both the United States and Guatemala from transnational criminal organizations (TCOs) and gangs. Today’s meeting was a follow-up dialogue to the May 2019 Third Ministerial of the Northern Triangle Attorneys General in El Salvador.
Attorney General of Guatemala Maria Consuelo Porras Argueta and U.S. Attorney General William P. BarrThey discussed the continued progress of the Justice Department’s Office of Overseas Prosecutorial Development, Assistance and Training (OPDAT) capacity-building efforts in the Guatemalan judicial sector and key role in bringing together the Attorneys General from Guatemala, Honduras, and El Salvador to form the Regional Shield operations targeting MS-13 and other gangs. Additionally, they discussed ongoing accomplishments in combating violence in the region from transnational gangs, particularly MS-13 and 18th Street gangs. Regional Shield anti-gang efforts led to the arrest of more than 1,000 gang members in the past year. Also during that time, eleven smuggling/trafficking structures were dismantled in Guatemala.
Both Attorneys General agreed to continue working closely together through greater operational collaboration and intelligence sharing, including increased law enforcement coordination to fight corruption and impunity and strengthen the rule of law for the benefit of all Guatemalans and further criminal investigations in drug and human trafficking, emerging organized criminal groups, cyber and intellectual property crimes.
Attorney General Barr thanked the Government of Guatemala for extraditing fugitives to the United States and said that extradition sends a strong message to criminal organizations that our countries remain committed to the rule of law and are not safe havens for criminals. Additionally, Attorney General Barr applauded Guatemala’s efforts to fight corruption and criminal organizations engaged in human trafficking and its continual efforts to root out organizations involved in human smuggling.
The Attorneys General agreed that transnational crime affects both countries and that with continual cooperation we can dismantle these organizations, reduce violent crime, and generate stability and prosperity.
Continued bilateral law enforcement collaboration and successful law enforcement programs between the United States and Guatemala remain a priority for the U.S. Government.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Portland, Oregon man arrested for traveling to sexually molest 5-year-oldRead the Press Release
Seattle – A Portland, Oregon, resident was charged today in U.S. District Court in Seattle with enticement of a minor. The criminal complaint alleges that DIRK WALTER TICHGELAAR, 44, attempted to coerce, entice, and persuade someone under 18 to engage in sexual activity. TICHGELAAR was arrested in Whatcom County, Washington, and made his initial appearance on the charges in Seattle this afternoon.
According to the complaint, between October 2019 and January 2020, TICHGELAAR used an internet-based chat platform to communicate about sexual abuse of children. TICHGELAAR used a screen nickname containing the word “Pedo” to communicate on this platform. TICHGELAAR repeatedly sought out an undercover agent who was posing as the father of two young children, a girl 5 and a boy 4. TICHGELAAR proposed traveling to the “father’s” location so that he could sexually molest the 5-year-old. On Saturday January 25, 2020, TICHGELAAR arrived at a Whatcom County hotel and met with an agent he believed was the “father” from the online chat. TICHGELAAR carried a bag with an “Elsa” dress as a gift for the 5-year-old. TICHGELAAR went to a hotel room with the agent and was arrested.
Enticement of a minor is punishable by 10 years to life in prison.
The charges contained in the criminal complaint are only allegations. A person is presumed innocent unless and until he or she is proven guilty beyond a reasonable doubt in a court of law.
The case is being investigated by Homeland Security Investigations (HSI) and is being prosecuted by Assistant United States Attorney Matthew Hampton.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc
Omaha Man Sentenced for Being a Felon in Possession of a FirearmRead the Press Release
United States Attorney Joe Kelly announced that Nicholas Gragg, 28, of Omaha, Nebraska, was sentenced today to 30 months in prison by Senior United States District Judge Laurie Smith Camp for being a felon in possession of a firearm. There is no parole in the federal system. Upon his release from prison, Gragg will serve a three-year term of supervised release.
On December 11, 2018, the Douglas County Sheriff’s Office attempted to serve an arrest warrant on Gragg. Law enforcement received information that Gragg was hiding at a local residence. Officers went inside the residence and made contact with four females, who claimed Gragg was not at the residence. While searching for Gragg, the officers located a .380 Glock handgun sitting on a couch. Gragg was eventually located in a crawl space inside the walls of the house, and officers had to use a K9 to get him to come out. Gragg is prohibited from having a firearm due to a 2018 conviction for possession of a controlled substance.
This case was investigated by the Omaha Police Department and the Douglas County Sheriff’s Office.
Mexican Man Sentenced to Prison for Illegally Reentering the United States After Being DeportedRead the Press Release
A man who illegally returned to the United States after being deported was sentenced today to almost three months in federal prison.
Fernando Hernandez-Correa, age 28, a citizen of Mexico illegally present in the United States and residing in Sioux City, Iowa, received the prison term after a November 21, 2019, guilty plea to one count of illegal reentry into the United States.
At the guilty plea, Hernandez-Correa admitted he had previously been deported from the United States and illegally reentered the United States without the permission of the United States government. Hernandez-Correa voluntarily returned to Mexico in January 2017 following an arrest in Texas for driving while intoxicated. Hernandez-Correa was deported in July 2017 after illegally entering the United States in June 2017.
On October 30, 2019, Hernandez-Correa and other illegal aliens came to the attention of immigration agents following a traffic stop on Interstate 80 near Wilton, Iowa, for a commercial vehicle violation.
Hernandez-Correa was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Hernandez-Correa was sentenced to 82 days’ imprisonment. He must also serve a one-year term of supervised release after the prison term. There is no parole in the federal system.
Hernandez-Correa is being held in the United States Marshal’s custody until he can be turned over to immigration officials.
The case was prosecuted by Assistant United States Attorney Daniel C. Tvedt and investigated by Department of Homeland Security, Immigration and Customs Enforcement, Enforcement and Removal Operations.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 19-CR-120.
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Media Advisory: Pair of West Virginians to Be Sentenced for Kidnapping Elderly VictimsRead the Press Release
Knoxville, Tennessee – The sentencing hearing of Joshua Small, 52, and Joni Amber Johnson, 36, both of Princeton, West Virginia, for their roles in a conspiracy to kidnap elderly victims and rob them, will continue Tuesday morning, January 28, 2020, at 9:30 a.m. before the Honorable Chief Judge Pamela Reeves in the United States Courthouse in Knoxville.
Immediately following the conclusion of the sentencing hearing in this matter, U.S. Attorney J. Douglas Overbey and FBI Special Agent in Charge Joseph Carrico will make a statement and take questions from the media outside the Courthouse.
Assistant United States Attorneys Alan Kirk and Kevin Quencer represented the United States at trial and sentencing.
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Manhattan Doctor Sentenced to Nearly Five Years in Prison for Accepting Bribes and Kickbacks in Exchange for Prescribing Fentanyl DrugRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced today that ALEXANDRU BURDUCEA, a doctor who practiced in Manhattan, was sentenced today in Manhattan federal court to 57 months in prison for conspiring to violate the Anti-Kickback Statute, in connection with a scheme to prescribe Subsys, a potent fentanyl-based spray, in exchange for bribes and kickbacks from Subsys’s manufacturer, Insys Therapeutics. BURDUCEA pled guilty on February 14, 2019, and was sentenced by United States District Judge Kimba M. Wood.
U.S. Attorney Geoffrey S. Berman said: “Before September 2014, Alexandru Burducea, a doctor who practiced in Manhattan, had never prescribed Subsys, a potent fentanyl-based spray. By the second quarter of 2015, however – in exchange for bribes and kickbacks from Subsys’s manufacturer, Insys Therapeutics – Burducea became approximately the 14th-highest prescriber of Subsys in the country. Burducea sacrificed the safety of his patients to satisfy his own greed, and will now spend time in federal prison for his reckless prescribing of this highly addictive and deadly drug.”
According to the allegations contained in the Indictment against BURDUCEA and filings in related proceedings:
The Insys Speakers Bureau
Subsys, which is manufactured by Insys, is a powerful painkiller approximately 50 to 100 times more potent than morphine. The FDA approved Subsys only for the management of breakthrough pain in cancer patients. Prescriptions of Subsys typically cost thousands of dollars each month, and Medicare and Medicaid, as well as commercial insurers, reimbursed prescriptions written by BURDUCEA.
In or about August 2012, Insys launched a “Speakers Bureau,” a roster of doctors who would conduct programs (“Speaker Programs”) purportedly aimed at educating other practitioners about Subsys. In reality, Insys used its Speakers Bureau to induce the doctors who served as speakers to prescribe large volumes of Subsys by paying them Speaker Program fees. Speakers were supposed to conduct an educational slide presentation for other health care practitioners at each Speaker Program. In reality, many of the Speaker Programs were predominantly social affairs where no educational presentation about Subsys occurred. Attendance sign-in sheets for the Speaker Programs were frequently forged by adding the names and signatures of health care practitioners who had not actually been present.
BURDUCEA’s Participation in the Scheme
BURDUCEA, a doctor certified in pain management and anesthesiology, was an Assistant Professor of anesthesiology at a large Manhattan hospital. He also practiced at an anesthesiology and pain management office associated with the hospital. From in or about September 2014 until in or about June 2015, BURDUCEA received approximately $68,400 in Speaker Program fees from Insys in exchange for prescribing large volumes of Subsys. In addition, Insys hired BURDUCEA’s then-girlfriend, now wife, to work as BURDUCEA’s sales representative, and the company paid her large commissions based on the volume of Subsys prescribed by her assigned doctors, which included BURDUCEA.
BURDUCEA, who had never prescribed Subsys before in or about September 2014, became approximately the 14th-highest prescriber of Subsys nationally in the second quarter of 2015, accounting for total net sales of the drug of approximately $621,345 in that quarter.
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In addition to the prison sentence, BURDUCEA, 43, of Little Neck, New York, was sentenced to three years of supervised release and ordered to forfeit $68,400. A restitution order will be entered within 90 days.
BURDUCEA was one of five Manhattan doctors convicted for participating in the Subsys bribery conspiracy. Todd Schlifstein was convicted upon a guilty plea and sentenced by Judge Wood on October 28, 2019, principally to a term of two years in prison. Dialecti Voudouris was convicted upon a guilty plea and is scheduled to be sentenced by Judge Wood on March 5, 2020. Jeffrey Goldstein was convicted upon a guilty plea and is scheduled to be sentenced by Judge Wood on March 12, 2020. Gordon Freedman was convicted following a jury trial and is scheduled to be sentenced before Judge Wood on March 19, 2020.
Mr. Berman praised the investigative work of the FBI, and thanked HHS OIG for its participation in the investigation.
The case is being prosecuted by the Office’s Complex Frauds and Cybercrime Unit. Assistant U.S. Attorneys Noah Solowiejczyk and David Abramowicz are in charge of the prosecution.
Manchester Man Sentenced to 42 Months for Fentanyl TraffickingRead the Press Release
CONCORD – Abelino Morales-Padilla, 38, of Manchester, was sentenced to 42 months in federal prison for fentanyl trafficking on Friday, United States Attorney Scott W. Murray announced today.
According to court documents and statements made in court, in October 2018, Morales-Padilla conspired with others to distribute fentanyl. On October 16, 2018, a confidential informant informed police that Morales-Padilla would be coming from Massachusetts to New Hampshire with a large quantity of fentanyl. Police officers identified the car and stopped Morales-Padilla for traffic violations in Londonderry. Law enforcement officers later located approximately 424 grams of fentanyl inside the vehicle.
Morales-Padilla previously pleaded guilty on July 30, 2019.
“Interstate fentanyl traffickers endanger our citizens by making this deadly substance available for sale in New Hampshire,” said U.S. Attorney Murray. “We will not tolerate this hazardous and unlawful conduct. Those who transport fentanyl into the Granite State will be prosecuted and sentenced to federal prison.”
“Morales-Padilla and the other members of this drug trafficking organization believed they could operate with impunity selling fentanyl and other deadly narcotics for profit with no regard to human life,” said Jason J. Molina, acting special agent in charge for HSI Boston. “HSI and our law enforcement partners remain committed to putting any organization that is flooding our streets with fentanyl out of business and behind bars.”
This matter was investigated by the U.S. Immigrations and Customs Enforcement’s Homeland Security Investigations and the New Hampshire State Police. The case is being prosecuted by Assistant U.S. Attorney John Davis.
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MS-13 Member Sentenced to 10 Years for Drug TraffickingRead the Press Release
FRESNO, Calif. — Claudia Lizaola, 40, of San Bernardino, was sentenced today by U.S. District Judge Lawrence J. O’Neill to 10 years in prison for conspiracy to distribute and possess with intent to distribute controlled substances, U.S. Attorney McGregor W. Scott announced.
According to court documents, Lizaola was a member of La Mara Salvatrucha (MS-13), a violent criminal street gang that engages in racketeering activity, including murder, kidnapping, extortion, and drug trafficking. Lizaola pleaded guilty to conspiring to distribute methamphetamine to MS-13 members in Mendota.
Co-defendant Brenda Morales pleaded guilty to being an alien in possession of a firearm. Her sentencing hearing is scheduled for March 13. The remaining 14 co‑defendants are scheduled for trial on April 14. These remaining defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt
The investigation was conducted by the California Department of Justice and California Highway Patrol Special Operations Unit, the Multi-Agency Gang Enforcement Consortium (MAGEC), the Federal Bureau of Investigation, Homeland Security Investigations (HSI), the Fresno County District Attorney’s Office, the Fresno County Sheriff’s Office, and the California Department of Corrections and Rehabilitation Special Services Unit (SSU). Assistant U.S. Attorneys Ross Pearson, Kathleen Servatius and Kimberly Sanchez are prosecuting this and related cases. Fresno County Senior Deputy District Attorney Dennis Lewis is working with the team and prosecuting related cases in Fresno County Superior Court.
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. To learn more about Project Safe Neighborhoods, go to www.justice.gov/psn.
This case was part of an Organized Crime Drug Enforcement Task Force (OCDETF). The OCDETF Program was established in 1982 to conduct comprehensive, multi-level attacks on major drug trafficking and money laundering organizations. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking and money laundering organizations and those primarily responsible for the nation’s drug supply.
Leader of Holland Methamphetamine Conspiracy Sentenced to More Than 19 Years in Federal Prison for Drug Trafficking and Obstruction of JusticeRead the Press Release
Matthew Boeve Organized and Led a Methamphetamine Distribution Conspiracy In Holland and Threatened Cooperating Witnesses on Facebook
GRAND RAPIDS, MICHIGAN — U.S. Attorney Andrew Birge announced today that on January 24, 2020, Matthew James Boeve, 30, of Holland, Michigan, was sentenced to serve 235 months in the Federal Bureau of Prisons for conspiring to distribute methamphetamine, and 120 months for aiding and abetting obstruction of justice. He will serve the terms concurrently. U.S. District Judge Paul L. Maloney also imposed a 5-year period of supervised release. In sentencing Boeve, Judge Maloney noted the harm methamphetamine distribution causes to the community and families, and that Boeve’s obstructive conduct struck at the heart of the justice system.
On September 3, 2019, Boeve pleaded guilty to conspiracy to distribute 500 grams or more of methamphetamine and endeavoring to influence, obstruct, or impede the due administration of justice by publicizing the names of witnesses in the underlying drug prosecution in an attempt to impede their testimony. Specifically, Boeve organized and led the conspiracy by selling methamphetamine, and by directing others to sell methamphetamine on his behalf. Additionally, while in custody awaiting trial on federal drug charges, Boeve directed others to publish and post to Facebook lists of witness names, and photographs of police reports with the names of witnesses underlined. The threatening posts caused at least one cooperating witness to contact law enforcement, fearing retaliation for his or her cooperation in the methamphetamine conspiracy prosecution.
In announcing the sentence, U.S. Attorney Birge stated, “West Michigan has recently seen an increase in the distribution of methamphetamine, which is an extremely dangerous drug that destroys lives. Those who choose to sell methamphetamine are on notice that it will result in serious consequences.” Regarding Boeve’s sentence for obstruction of justice, U.S. Attorney Birge reiterated law enforcement’s commitment to protecting witnesses: “Witnesses who come forward to testify in criminal prosecutions play a vital role in our justice system. When we work with witnesses, we make their safety a priority. Any threats, harassment, or attempts to obstruct or prevent their testimony will be met with serious consequences, including years in federal prison.”
“The West Michigan Enforcement Team (WEMET) is attacking the distribution of crystal methamphetamine head on,” stated D/F/Lt. Andy Fias, WEMET Section Commander. “In addition, we take the safety of all those who wish to cooperate very seriously, providing added protection when needed, and we seek prosecution of those individuals who threaten or cause them harm. The Boeve case is yet another great example of the cooperative efforts of law enforcement in West Michigan.”
Boeve is the last defendant to be sentenced in this methamphetamine distribution conspiracy and obstruction of justice prosecution. The Court previously sentenced co-defendants Philip Noah Bell to 70 months in prison and Kayde Joseph Metzler to 37 months in prison for their roles in the drug conspiracy, and co-defendant Mark Adrian Baker to 63 months in prison for his role in the obstruction of justice offense.
The Holland Police Department, the West Michigan Enforcement Team (WEMET) of the Michigan State Police, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) investigated the case. Assistant United States Attorney Daniel T. McGraw prosecuted the case.
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Jennings County man illegally purchased 21 firearmsRead the Press Release
New Albany – United States Attorney Josh J. Minkler announced today, Wayne Komsi III, 58, of North Vernon, Ind., was convicted on two counts of making a false statement during the purchase of firearm, following a two-day jury trial, in the federal court, in New Albany, Ind., before U.S. District Judge Tanya Walton Pratt.
“The U.S. Attorney’s Office is committed to reducing gun violence by keeping firearms out of the hands of those who are prohibited from possessing firearms,” said Minkler. “If you choose to lie and buy firearms, you will be prosecuted fully under federal law.”
On December 13, 2017, Komsi pleaded guilty to a felony in Jennings County, Ind. As a term of his Jennings County felony plea, Komsi was prohibited from possessing firearms. Although he had a pending felony out of Jennings County, Komsi attended an auction on March 3, 2018, where he purchased 21 firearms. In order to get those 21 firearms transferred into his possession, Komsi falsely indicated on three Firearms Transaction Records, March 6, March 20, and April 3, 2018, that he was not prohibited from possessing firearms. At the time he filled out each form, Komsi was, in fact, prohibited from possessing firearms because of the felony charge of resisting law enforcement. Additionally, Komsi fraudulently filled out a Firearms Transaction Record on May 26, 2018 in an attempt to purchase an additional firearm.
This case is part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. The United States Attorney’s Office prosecuted this case with support from our Project Guardian partner: The Bureau of Alcohol, Tobacco, Firearms and Explosives.
For more information about Project Guardian, please see:
https://www.justice.gov/projectguardian
“ATF is committed to combating gun violence in our communities and ensuring that firearms do not end up in the hands of those people who are prohibited from possessing them,” said Jonathan McPherson, ATF Special Agent in Charge for the Columbus Field Division. “We will continue to work closely with our law enforcement partners to reduce violent gun-related crimes and make our communities safer.”
According to Assistant United States Attorneys Michelle P. Brady and Lindsay E. Karwoski, who are prosecuting this case for the government, Komsi faces a sentence of up to 5 years in federal prison followed by three years of supervised release.
In October 2017, United States Attorney Josh J. Minkler announced a Strategic Plan designed to shape and strengthen the District’s response to its most significant public safety challenges. This prosecution demonstrates the office’s firm commitment to targeting the District’s most violent geographic areas for the adoption of reactive federal drug and firearm prosecutions. See United States Attorney’s Office, Southern District of Indiana Strategic Plan Section 2.2.
Huntington Man Sentenced for Distributing HeroinRead the Press Release
HUNTINGTON W.Va. – A Huntington man caught selling heroin last year in Huntington was sentenced today to 15 months in federal prison, announced United States Attorney Mike Stuart. Quentin J. Parker, 32, previously pled guilty to distribution of heroin. Parker also was sentenced for violating his supervised release and was sentenced to an additional 21 months in federal prison for a total sentence of 36 months.
“Parker had previous convictions on drug and gun charges,” said United States Attorney Mike Stuart. “He went back to peddling drugs while still under supervision. Parker just got himself a longer stay in federal prison.”
Parker admitted that, on February 6, 2019, he directed a confidential informant to come to a parking lot in the 200 block of 4th Avenue in Huntington to purchase heroin. Once the informant arrived, Parker entered the informant’s vehicle and sold the informant 3 grams of heroin. At the time of the offense, Parker was serving a term of supervised release based on convictions he received in 2011 for distributing crack cocaine and being a felon in possession of a firearm.
The Drug Enforcement Administration conducted the investigation. United States District Judge Robert C. Chambers presided over the hearings. Assistant United States Attorney Joseph F. Adams handled the prosecution.
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Hartford Man Sentenced to 27 Months in Federal Prison for Possessing Loaded FirearmRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that CLETUS JONES, 39, of Hartford, was sentenced today by U.S. District Judge Victor A. Bolden in Bridgeport to 27 months of imprisonment, followed by three years of supervised release, for illegally possessing a loaded handgun.
According to court documents and statements made in court, on January 23, 2018, Hartford Police officers responded to a two-car motor vehicle accident near Elizabeth Park. At the scene, officers learned that Jones had gone into the park and placed something near a tree. A search of the area uncovered a loaded Taurus .38 semi-automatic handgun. Subsequent analysis of the gun revealed Jones’ DNA profile.
Jones’ criminal history includes felony convictions for possession of narcotics, failure to appear in the first degree, robbery in the first degree and carjacking. It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.
Jones has been detained since his arrest on August 2, 2018. On August 7, 2019, he pleaded guilty to one count of possession of a firearm and ammunition by a felon.
This matter was investigated by the Federal Bureau of Investigation’s Northern Connecticut Violent Crimes Gang Task Force and the Hartford Police Department. The Task Force includes members of the Hartford Police Department, East Hartford Police Department, Connecticut State Police and Connecticut Department of Correction. The case was prosecuted by Assistant U.S. Attorney Michael J. Gustafson.
This prosecution has been brought through Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make neighborhoods safer for everyone.
Hartford Man Pleads Guilty to Federal Charges Stemming from Drug-Related ShootingRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that RANDY PARKMAN, 43, of Hartford, pleaded guilty today before U.S. District Judge Jeffrey A. Meyer in New Haven to robbery and firearm offenses.
According to court documents and statements made in court, on May 22, 2018, Parkman shot and seriously wounded an individual during a robbery at 149 Wethersfield Avenue in Hartford. At the time, the location was being used as a “trap house” by a drug trafficking organization.
On October 22, 2018, Parkman was arrested at an apartment where he had been staying. On that date, a search of the apartment revealed a Taurus, Model 444, .44 caliber revolver, which had been reported stolen from a motor vehicle in Hartford in August 2018.
Parkman has been detained since his arrest.
Parkman pleaded guilty to one count of interference with commerce by robbery, an offense that carries a maximum term of imprisonment of 20 years, and one count of possession and discharge of a firearm during and in relation to a crime of violence, an offense that carries a mandatory minimum term of imprisonment of 10 years and a maximum term of imprisonment of life.
Parkman’s criminal history includes numerous felony convictions for larceny, burglary and other offenses.
This matter is being 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 Vice and Narcotics Division and Shooting Task Force have provided valuable assistance to the investigation.
The case is being prosecuted by Assistant U.S. Attorney Brian P. Leaming.
Harahan Man Indicted on Child Pornography ChargesRead the Press Release
NEW ORLEANS, La. – CHARLES A. LOPEZ (“LOPEZ”), age 27, of Harahan, Louisiana, was indicted on January 16, 2020, for receipt of child pornography, announced United States Attorney Peter G. Strasser. LOPEZ was arrested by Special Agents with Homeland Security Investigations (“HSI”) on Thursday, January 23, 2020. LOPEZ appeared before U.S. Magistrate Judge Michael B. North on Friday, January 24, 2020.
The case against LOPEZ developed as a result of an undercover child exploitation investigation conducted by special agents with the U.S. Department of Homeland Security, Homeland Security Investigations (“HSI”). On April 30, 2019, HSI agents and special agents with the Louisiana Bureau of Investigation executed a federal search warrant at LOPEZ’s Harahan home and determined LOPEZ received images and videos depicting the sexual exploitation of minors.
U.S. Attorney Strasser reiterated that the Indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
If convicted, LOPEZ faces a mandatory minimum penalty of five (5) years imprisonment up to twenty (20) years, followed by up to a life term of supervised release, and a $250,000.00 fine.
U.S. Attorney Strasser praised the work of the U.S. Department of Homeland Security, Homeland Security Investigations, and the Louisiana Bureau of Investigation in investigating this matter. The prosecution of this case is being handled by Project Safe Childhood Coordinator and Supervisor of Financial Crimes Unit, Assistant U.S. Attorney Brian M. Klebba.
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HOPE Clinic Physician Pleads GuiltyRead the Press Release
BECKLEY, W.Va. – A North Carolina physician pled guilty to a drug crime, announced United States Attorney Mike Stuart. Roswell Tempest Lowry, M.D., 85, pled guilty to interstate travel in aid of a racketeering enterprise.
“Like I’ve said before, medical professionals prescribing controlled substances outside the bounds of medical practice and without legitimate medical purpose, will be held accountable just like any other drug dealer. A drug dealer with a lab coat and a stethoscope is still just a drug dealer,” said United States Attorney Mike Stuart. “Furthering the opioid crisis and taking advantage of West Virginians suffering with substance use disorder for the sake of personal greed cannot and will not be tolerated.”
Lowry admitted that in May 2014, he was contacted by a “head-hunter,” about working at the Charleston HOPE Clinic. He was told that HOPE Clinic specialized in the treatment of chronic pain through opioids but Lowry had no experience in pain management. Despite having no experience in pain management, Lowry agreed to work at the Charleston HOPE Clinic location. Lowry travelled from North Carolina to West Virginia the day before he was scheduled to work and stayed at a hotel for the week. When Lowry started working at the HOPE Clinic, it became apparent to him that customers were not being properly evaluated prior to receiving prescriptions for opioids. Lowry also realized that customer’s files were poorly kept with little relevant medical information in them. Most customers paid in cash and many travelled from out of state to the HOPE Clinic. Lowry often received a bonus on top of his hourly pay that was clearly based on the number of paying customers at the HOPE Clinic. Despite all of these red flags, Lowry continued to travel from North Carolina to work at the HOPE Clinic in Charleston, West Virginia, and he continued to write customers prescriptions for Schedule II narcotics. Lowry specifically admitted that he travelled to from North Carolina to Charleston, West Virginia on June 15, 2014, to work at the Charleston HOPE Clinic from June 16-18, 2014. During this trip, Lowry admitted to prescribing customer D.J.B. 120 Percocet 10/325 mg pills and 60 Oxycodone 10 mg pills without a legitimate medical purpose in the usual course of professional medical practice and beyond the bounds of medical practice.
Lowry faces up to 5 years in prison when sentenced on May 4, 2020.
The investigation was conducted by the U.S. Department of Health and Human Services Office of Inspector General (OIG), the Internal Revenue Service – Criminal Investigations, the Food and Drug Administration – Office of Criminal Investigations, the Federal Bureau of Investigation, the West Virginia State Police, the Kentucky State Police, the Beckley Police Department, the Virginia State Police, the Charleston Police Department, and the Drug Enforcement Administration.
United States District Judge Volk presided over the hearing. Assistant United States Attorneys Monica D. Coleman and Steven Loew are handling the prosecution.
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(Note: this guilty plea was withdrawn on August 24, 2022. On September 8, 2022, Lowry pleaded guilty to aiding and abetting obtaining a controlled substance by fraud. Related court documents and information can be found on PACER by searching for Case No. 2:22-cr-169.)
Guilty Plea: Male Enhancement Pills Were Not “All Natural” SupplementsRead the Press Release
KANSAS CITY, KAN. – A Kansas man pleaded guilty today to importing and selling misbranded pharmaceutical-grade erectile dysfunction drugs from China and marketing them as herbal remedies for men, U.S. Attorney Stephen McAllister said.
Rick Shepard, 60, Overland Park, pleaded guilty to one count of conspiracy to import misbranded drugs. In his plea, he admitted he was doing business as Epic Products when he sold a product called Euphoric to adult novelty stores in multiple states. He marketed Euphoric as “all natural herbal supplements for male enhancement.” In fact, the product contained prescription drugs Tadalafil and Sildenafil, the active ingredients in Viagra and Cialis. Shepard purchased the drugs from a supplier in China. He repackaged the capsules, applied his own labels and distributed them to stores in Kansas, Missouri and Colorado.
Sentencing is set for April 20. He could face a sentence of up to five years in federal prison and a fine up to $250,000. The Food and Drug Administration investigated. Assistant U.S. Attorney Jabari Wamble is prosecuting.
Guatemalan National Sentenced for Illegal Reentry, Trafficking HeroinRead the Press Release
PROVIDENCE – A Guatemalan national deported from the United States in June 2004, has been sentenced to 36 months in federal prison for reentering the country illegally and for trafficking heroin.
According to information presented to the Court, prior to being deported by Immigration and Customs Enforcement officials, Eduardo Alvarez-Gamez, 43, was arrested nine times. Eight of the arrests involved larcenous conduct, involving six victims. He was removed from the United States on June 14, 2004.
Alvarez-Gamez was arrested by members of the Rhode Island DEA Drug Task Force on February 26, 2019, after he made two deliveries of heroin, totaling nearly a kilogram. The deliveries were monitored by members of the DEA Drug Task Force. The heroin was quickly seized by law enforcement following each delivery.
Alvarez-Gamez pleaded guilty on October 2, 2019, to distribution of one hundred grams or more of heroin and illegal re-entry.
At sentencing on Friday, Alvarez-Gamez was sentenced by U.S. District Court Judge William E. Smith to 36 months in federal prison, announced United States Attorney Aaron L. Weisman, Special Agent in Charge of the Drug Enforcement Administration’s New England Field Division Brian D. Boyle, and Todd M. Lyons, Acting Field Office Director, ICE Enforcement & Removal Operations, Boston Field Office.
Alvarez-Gamez faces deportation proceedings upon completion of his term of incarceration.
The case was prosecuted by Assistant United States Attorney Paul F. Daly, Jr.
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Grant County man admits to firearms violationRead the Press Release
MARTINSBURG, WEST VIRGINIA – William Jonathan Turner, of Petersburg, West Virginia, has admitted to a firearms charge, U.S. Attorney Bill Powell announced.
Turner, age 40, pled guilty to one count of “Unlawful Possession of Firearms.” Turner, a person prohibited from having a firearm, admitted to having three pistols and a rifle in March 2018 in Hampshire County.
Turner faces up to 10 years incarceration and a fine of up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
This case was brought as part of Project Safe Neighborhoods (PSN). Project Safe Neighborhoods is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Assistant U.S. Attorney Lara Omps-Botteicher is prosecuting the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms and Explosives, the West Virginia State Police, and the Potomac Highlands Drug & Violent Crimes Task Force, a HIDTA-funded initiative, investigated.
U.S. Magistrate Judge Robert W. Trumble presided.
Grand Jury - January 2020Read the Press Release
United States Attorney Joe Kelly announced the federal Grand Jury for the District of Nebraska has returned 28 Indictments charging 30 defendants. Indictments are charging documents that contain one or more individual counts that are merely accusations, and every defendant is presumed innocent unless and until proven guilty.
* Juan Guadalupe Balbuena Gallegos, age 37, is charged with illegal reentry after deportation on or about January 16, 2020. The maximum possible penalty if convicted is 2 years’ imprisonment, a $250,000 fine, a one-year term of supervised release, and a $100 special assessment.
* Andres Bautista Velasquez, age 39, is charged with illegal reentry after deportation on or about November 18, 2019. The maximum possible penalty if convicted is 2 years’ imprisonment, a $250,000 fine, a one-year term of supervised release, and a $100 special assessment.
* Shane A. Bertucci, age 36, is charged with domestic assault by a habitual offender on or about January 8, 2020. The maximum possible penalty if convicted is 5 years’ imprisonment, a $250,000 fine, a three-year term of supervised release, a $100 special assessment.
* Leonel Dario Blanco-Sanchez, age 21, and Samantha Perez-Juarez, age 20, are charged with conspiracy to distribute and possession with intent to deliver 500 grams or more of methamphetamine (mixture) beginning in November 1, 2019, and continuing through January 8, 2020. The maximum possible penalty for each if convicted is life imprisonment, $10,000,000 fine, five-year term of supervised release, and a $100 special assessment.
* Timothy A. Caruso, age 43, is charged with receipt and distribution of child pornography on or about December 24, 2018. Because of his prior child pornography conviction, Caruso faces a 15-year mandatory minimum and a maximum possible penalty of 40 years’ imprisonment, a $250,000 fine, a Life term of supervised release, a $100 special assessment, and a $17,000 additional special assessment.
* Henry Richard Cline, age 60, is charged with failing to register as a sex offender on or about February 1, 2019 through on or about September 26, 2019. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, five-year term of supervised release, a $100 special assessment.
* Darien Duran-Castellon, age 36, and Alejandro Cossio, are charged with transmitting threatening communications in interstate and foreign commerce on or about January 1, 2019 and on or about December 17, 2019. The maximum possible penalty if convicted is 5 years’ imprisonment, a $250,000 fine, three-year term of supervised release, a $100 special assessment.
* Martin Garcia, age 39, is charged with illegal reentry after deportation following a felony conviction on or about January 2, 2020. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, a three-year term of supervised release, and a $100 special assessment.
* Jorge Garcia Zavalta, age 31, is charged with illegal reentry after deportation on or about December 26, 2019. The maximum possible penalty if convicted is 2 years’ imprisonment, a $250,000 fine, a one-year term of supervised release, and a $100 special assessment.
* Alex Dunte Green, age 32, is charged with possession with intent to distribute 500 grams or more of cocaine (mixture) on or about June 3, 2019. The maximum possible penalty if convicted is life imprisonment, $8,000,000 fine, eight-year term of supervised release, and a $100 special assessment.
* Fermin Heredia-Lopez, age 27, is charged with conspiracy to distribute and possession with intent to deliver 500 grams or more of methamphetamine (mixture) and 500 grams or more of cocaine (mixture) beginning in October 4, 2019, and continuing through January 11, 2020. The maximum possible penalty if convicted is life imprisonment, $10,000,000 fine, 5-year term of supervised release, and a $100 special assessment. There is also an allegation to forfeit United States currency seized on or about January 11, 2020.
* Robert Keith Hopkins, age 39, of Central City, Nebraska, is charged in a two-count Indictment. Count I charges the defendant with production of child pornography on or about December 9, 2019. The offense carries a 15-year mandatory minimum sentence and a maximum possible penalty of 30 years’ imprisonment, a $250,000 fine, a Life term of supervised release, a $100 special assessment, and a $50,000 additional special assessment. Count II charges the defendant with possession of child pornography on or about December 17, 2019. The maximum possible penalty if convicted is 20 years’ imprisonment, a $250,000 fine, a Life term of supervised release, a $100 special assessment, and a $17,000 additional special assessment.
* Kevin C. Johnson, age 34, of Omaha, is charged in a four-count Indictment. Count I charges the defendant with possession with intent to distribute 28 grams or more of crack cocaine (mixture) on or about December 6, 2019. The maximum possible penalty if convicted is 80 years’ imprisonment, $20,000,000 fine, ten-year term of supervised release, and a $100 special assessment. Count II charges the defendant with use/possess firearm with drug trafficking on or about December 6, 2019. The maximum possible penalty if convicted is life imprisonment consecutive to the crack charges, a $250,000 fine, a five-year term of supervised release, and a $100 special assessment. Count III charges the defendant with distribution of less than 28 grams of crack cocaine (mixture) on or about December 3, 2019. The maximum possible penalty if convicted is 40 years’ imprisonment, $2,000,000 fine, six-year term of supervised release, and a $100 special assessment. Count IV charges the defendant with felon in possession of a firearm on or about December 6, 2019. The maximum possible penalty if convicted is life imprisonment, a $250,000 fine, a three-year term of supervised release, and a $100 special assessment.
* Tevin R. King, age 26, of Omaha, is charged in a two-count Indictment. Count I charges the defendant with distribution of visual depictions of minors engaging in sexually explicit conduct on or about November 18, 2019. The maximum possible penalty if convicted is 20 years’ imprisonment, a $250,000 fine, a Life term of supervised release, a $100 special assessment, and a $5,000 additional special assessment. Count II charges the defendant with possession of child pornography on or about December 17, 2019. Because of the prior child pornography conviction, the maximum possible penalty if convicted is 20 years’ imprisonment, a $250,000 fine, a Life term of supervised release, a $100 special assessment, and a $5,000 additional special assessment.
* Ivan Leon-Vega a/k/a Ivan Leon Vera, age 39, is charged, with illegal reentry after deportation following a felony conviction on or about January 14, 2020. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, a three-year term of supervised release, and a $100 special assessment.
* Sheila Likness, age 43, of Omaha, and Thomas Povondra, age 53, of Omaha, are charged in a six-count Indictment. Count I charges Likness with distribution of 5 grams or more of methamphetamine (actual) on or about October 24, 2019. The maximum possible penalty if convicted is 40 years’ imprisonment, $5,000,000 fine, 4-year term of supervised release, and a $100 special assessment. Count II charges Likness with distribution of 5 grams or more of methamphetamine (actual) on or about October 24, 2019. The maximum possible penalty if convicted is 40 years’ imprisonment, $5,000,000 fine, 4-year term of supervised release, and a $100 special assessment. Count III charges Likness with distribution of 5 grams or more of methamphetamine (actual) on or about November 11, 2019. The maximum possible penalty if convicted is 40 years’ imprisonment, $5,000,000 fine, 4-year term of supervised release, and a $100 special assessment. Count IV charges the defendants with conspiracy to unlawfully transfer a document or authentication feature on or about October 11, 2019, to on or about December 17, 2019. The maximum possible penalty for each if convicted is 15 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment. Count V charges the defendants with sale of a card purporting to be a social security card on or about October 11, 2019, to on or about December 17, 2019. The maximum possible penalty for each if convicted is 5 years’ imprisonment, a $250,000 fine, a three-year term of supervised release, and a $100 special assessment. Count VI charges the defendants with aggravated identity theft on or about October 11, 2019 to on or about December 17, 2019. The maximum possible penalty for each if convicted is 2 years’ consecutive imprisonment, a $250,000 fine, a one-year term of supervised release, and a $100 special assessment. There is also an allegation to forfeit computers and accessories seized on or about December 17, 2019.
* Darrell L. Manley, age 18, is charged in a nine-count Indictment. Count I charges the defendant with interference with commerce by robbery on or about July 22, 2019. The maximum possible penalty if convicted is 20 years imprisonment, a $250,000 fine, a three-year term of supervised release, and a $100 special assessment. Count II charges the defendant with brandishing a firearm during a crime of violence on or about July 22, 2019. The maximum possible penalty if convicted is Life imprisonment consecutive, a $250,000 fine, a five-year term of supervised release, and a $100 special assessment. Counts III through VII charge the defendant with interference with commerce by robbery on or about September 12, 2019 and on September 16, 2019. The maximum possible penalty if convicted is 20 years imprisonment each count, a $250,000 fine each count, a three-year term of supervised release each count, and a $100 special assessment each count. Count VIII charges the defendant with brandishing a firearm during a crime of violence on or about September 16, 2019. The maximum possible penalty if convicted is Life imprisonment consecutive, a $250,000 fine, a five-year term of supervised release, and a $100 special assessment. Count IX charges the defendant with interference with commerce by robbery on or about September 18, 2019. The maximum possible penalty if convicted is 20 years imprisonment, a $250,000 fine, a three-year term of supervised release, and a $100 special assessment.
* Simon Mateo Gaspar, age 33, is charged with illegal reentry after deportation on or about December 11, 2019. The maximum possible penalty if convicted is 2 years’ imprisonment, a $250,000 fine, a one-year term of supervised release, and a $100 special assessment.
* Dustin Minkler, age 27, is charged with failing to register as a sex offender on or about July 17, 2019 through on or about December 12, 2019. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, five-year term of supervised release, a $100 special assessment.
* Carlos D. Montejano, age 35, is charged with felon in possession on or about October 17, 2019. The maximum possible penalty if convicted is 10 years imprisonment, a $250,000 fine, a three-year term of supervised release, and a $100 special assessment.
* Andres Morales-Bautista a/k/a Sebastian Martinez, age 39, is charged in a three-count Indictment. Count I charges the defendant with false representation of a social security number on or about November 22, 2015. The maximum possible penalty if convicted is 5 years’ imprisonment, a $250,000 fine, a three-year term of supervised release, and a $100 special assessment. Count II charges the defendant with fraud and misuse of visas, permits, and other documents on or about November 22, 2015. The maximum possible penalty if convicted is 5 years’ imprisonment, a $250,000 fine, a three-year term of supervised release, and a $100 special assessment. Count III charges the defendant with illegal reentry of a removed alien on or about January 7, 2020. The maximum possible penalty if convicted is 2 years’ imprisonment, a $250,000 fine, a one-year term of supervised release, and a $100 special assessment.
* Julio Ordonez Duarte a/k/a Julio Noel Ordonez Duarte, age 34, is charged with illegal reentry after deportation on or about December 10, 2019. The maximum possible penalty if convicted is 2 years’ imprisonment, a $250,000 fine, a one-year term of supervised release, and a $100 special assessment.
* Miguel Ortiz-Juarez, age 26, is charged with illegal reentry after deportation on or about January 14, 2020. The maximum possible penalty if convicted is 2 years’ imprisonment, a $250,000 fine, a one-year term of supervised release, and a $100 special assessment.
* Elvis Quinonez-Revolorio, age 47, is charged with illegal reentry after deportation on or about January 6, 2020. The maximum possible penalty if convicted is 2 years’ imprisonment, a $250,000 fine, a one-year term of supervised release, and a $100 special assessment.
* Cody Rhyne, age 31, is charged in a three-count Indictment. Count I charges the defendant with possession with intent to distribute 50 grams or more of methamphetamine (mixture) on or about December 4, 2019. The maximum possible penalty if convicted is 40 years’ imprisonment, $5,000,000 fine, four-year term of supervised release, and a $100 special assessment. Count II charges the defendant with possession of a firearm during drug trafficking crime on or about December 4, 2019. The maximum possible penalty if convicted is life imprisonment consecutive, $250,000 fine, five-year term of supervised release, and a $100 special assessment. Count III charges the defendant with felon in possession of a firearm on or about December 4, 2019. The maximum possible penalty if convicted is 10 years’ imprisonment, $250,000 fine, three-year term of supervised release, and a $100 special assessment.
* Ervin Sanchez-Vasquez, age 25, is charged with illegal reentry after deportation on or about January 16, 2020. The maximum possible penalty if convicted is 2 years’ imprisonment, a $250,000 fine, a one-year term of supervised release, and a $100 special assessment.
* Rodney Thomas, age 40, of Winnebago, Nebraska, is charged in a five-count Indictment. Counts I and II charge the defendant with abusive sexual contact with a minor on or about November 17, 2019. The maximum possible penalty if convicted is 2 years’ imprisonment each count, a $250,000 fine each count, a Life term of supervised release each count, a $100 special assessment each count. Counts III and IV charge the defendant with committing an offense against a minor while required to register as a sex offender on or about November 17, 2019. The maximum possible penalty if convicted is 10 years’ imprisonment each count consecutive to Counts I and II. Count IV charges the defendant with terroristic threats on or about November 17, 2019. The maximum possible penalty if convicted is 2 years’ imprisonment, a $10,000 fine, a one-year term of supervised release, a $100 special assessment.
* Gregorio Zetino-De La Cruz, age 27, is charged in a two-count Indictment. Count I charges the defendant with false representation of a social security number on or about August 20, 2018. The maximum possible penalty if convicted is 5 years’ imprisonment, a $250,000 fine, a three-year term of supervised release, and a $100 special assessment. Count II charges the defendant with false claims to United States citizenship on or about August 20, 2018 and December 12, 2019. The maximum possible penalty if convicted is 3 years’ imprisonment, a $250,000 fine, a three-year term of supervised release, and a $100 special assessment.
Getaway Driver for Bank Robber Sentenced to Federal PrisonRead the Press Release
A woman who voluntarily participated in the robbery of a bank was sentenced today to more than two years in federal prison.
Karen Merrick, age 36, from Sioux City, Iowa, received the prison term after a September 10, 2019, guilty plea to being an accessory after the fact to bank robbery.
Information provided by the United States at Merrick’s change of plea, detention, and sentencing hearings, revealed Merrick knew Phillip White had just robbed the Iowa State Bank in Le Mars, Iowa on December 12, 2018, when she chose to help him escape the crime scene. Merrick, despite driving a U-Haul, led officers on a dangerous, 20-mile, car-chase, that reached speeds of 70 miles per hour. She ran an intersection, endangered other motorists and pedestrians, and was only brought to a stop, when officers used stop-sticks to destroy her wheels. In fact, even after her tires were deflated, she continued to flee in the vehicle for a couple more miles until she lost control of the van.
Merrick had a significant history of criminal behavior and substance abuse, and had been convicted of assaultive conduct, escape, and interference with official acts prior to the present offense.
Merrick was sentenced in Sioux City by United States District Court Chief Judge Leonard T. Strand. Merrick was sentenced to 30 months’ imprisonment. She was ordered to make $21,223,11 in restitution to Iowa State Bank in Le Mars, Iowa and to U-Haul of Sioux City, Iowa. She must also serve a two-year term of supervised release after the prison term. There is no parole in the federal system.
White, whose crime spree included not only a bank robbery but also a robbery of a taxi cab two months before, was sentenced in Sioux City by United States District Court Chief Judge Leonard T. Strand, on November 22, 2019, to 144 months’ imprisonment. He was ordered to make $21,503.11 in restitution. He must also serve a 3-year term of supervised release after the prison term.
This case was brought as part of Project Safe Neighborhoods (PSN). PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. The United States Attorney’s Office has prosecuted this case with support from the following Project Guardian partners. For more information about Project Guardian, please see /media/1122011/dl?inline.
Merrick is being held in the United States Marshal’s custody until she can be transported to a federal prison.
The case was investigated by the Federal Bureau of Investigation, the Iowa State Patrol, the Plymouth County Sherriff’s Office, and the Le Mars and Sioux City, Iowa Police Departments. The case was prosecuted by Assistant United States Attorney Forde Fairchild.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 19-4012.
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Fresno Man Found Guilty of Distributing Fentanyl Resulting in First Reported Fentanyl Overdose Deaths in Fresno and Madera CountiesRead the Press Release
FRESNO, Calif. — On Friday, a federal jury found Darnell Pearson, 41, of Fresno, guilty of two counts of distribution of fentanyl resulting in death and serious bodily injury, U.S. Attorney McGregor W. Scott announced.
“This defendant sold what his customers thought was cocaine that was, in fact, fentanyl and caused the deaths of two people and serious injury to two others,” U.S. Attorney Scott stated. “These two deaths were the first reported fentanyl overdose deaths in Fresno and in Madera. As they demonstrate, fentanyl is extremely dangerous and is a serious public health threat in our area and the nation as a whole. Even trace amounts of this drug can be lethal, and it poses serious risks to those who come into contact with it, including first responders. We will continue to work with our state and federal partners to target those who distribute this poison in our communities.”
“Fentanyl is man-made and potent in the smallest amounts. A few grains of the substance can lead to overdose, and we are increasingly seeing it sold as other illicit drugs. The message has been sent, if you distribute drugs that result in death and serious bodily injury, we will use every tool available to ensure that justice is served,” stated Drug Enforcement Administration Special Agent in Charge Daniel C. Comeaux. “I applaud the collaborative efforts and good old fashioned police work that led to the successful prosecution of this investigation.”
According to court documents, on Jan. 7, 2019, law enforcement officers responded to a call concerning an overdose in Fresno and found three individuals on the ground with faint or no pulse. All three individuals were transported to Community Regional Medical Center for treatment. One of the individuals was pronounced dead on Jan. 10, 2019. A toxicology report determined that the cause of death for the individual was overdose from fentanyl. The other two individuals survived and were later released from the hospital. The jury found that the death resulted from the use of the fentanyl distributed by Pearson, and it caused the other two victims to suffer serious bodily injury.
Pearson was convicted of a second count of distribution of fentanyl resulting in death of a victim in Madera, and the jury found the death of this victim resulted from the use of the fentanyl distributed by Pearson. On Jan. 7, 2019, the victim, the mother of Pearson’s children, was found motionless on the floor of her bathroom by family members. Officers and paramedics were unable to revive her and she was pronounced dead that evening.
This case is the product of an investigation by the U.S. Drug Enforcement Administration, Homeland Security Investigations, the Fresno Police Department, and the Madera Police Department. Assistant U.S. Attorneys Laurel Montoya and Michael Tierney are prosecuting the case.
Pearson is scheduled to be sentenced by U.S. District Judge Dale A. Drozd on May 8. Pearson faces a minimum statutory penalty of 20 years in prison, a maximum of life in prison, and a $1 million fine on each count. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Franklin County Woman Pleads Guilty for Her Role in the Heroin and Fentanyl Conspiracy that Resulted in DeathRead the Press Release
St. Louis – Shannon Rennee Bradley, 25, of Washington, Missouri, pleaded guilty today to conspiracy to distribute, and aiding and abetting in the distribution of heroin and fentanyl, which resulted in the death of victim A.C. She appeared before United States District Judge Audrey G. Fleissig. Sentencing is scheduled for May 1, 2020.
According to court documents, on October 21, 2017, Bradley and co-defendant Jacob Brewer met victim A.C. and her boyfriend at a gas station in Washington, Missouri, where the distribution took place. A.C. and her boyfriend shared the drugs sold by Bradley and co-defendant Brewer later that evening. A.C.’s boyfriend woke up and discovered A.C. unresponsive. A.C. was taken to the hospital where she was pronounced dead.
Co-defendant Brewer pleaded guilty in May 2019 and is scheduled to be sentenced on February 12, 2020.
Bradley faces up to 20 years in prison and a fine of not more than $1,000,000. In determining the actual sentences, a judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
The Franklin County Sheriff’s Department and the Drug Enforcement Administration investigated this case. Assistant United States Attorneys James Delworth and Sara Koppenaal are handling the case.
Fort Wayne Man Sentenced to PrisonRead the Press Release
FORT WAYNE – Jesus Sanchez, Jr, age 22, of Fort Wayne, Indiana, was sentenced by U.S. District Court Judge Holly A. Brady after his guilty plea of possessing a firearm in furtherance of a drug trafficking crime and maintaining a drug involved premises, announced U.S. Attorney Kirsch.
Sanchez was sentenced to 72 months in prison followed by 2 years of supervised release.
According to documents in this case, on June 19, 2019, Sanchez and two other defendants were charged for their role in a five count Indictment that alleged the possession with intent to distribute marijuana, possessing a firearm in furtherance of a drug trafficking crime and providing a residence for the storage and distribution of narcotics.
The case was investigated by the Federal Bureau of Investigation’s Fort Wayne Safe Streets and Gang Task Force with the assistance of the Indiana State Police, the Allen County Sheriff’s Department and the Fort Wayne Police Department. The case was handled by Assistant United States Attorneys Stacey R. Speith and Anthony W. Geller.
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Former Rochester Man Charged in Multi-Million Dollar Ponzi SchemeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051
ROCHESTER, N.Y.- U.S. Attorney James P. Kennedy, Jr. announced today that Christopher Parris, 39, currently of Atlanta, GA, formerly of Rochester, NY, was arrested and charged by criminal complaint with conspiracy to commit mail fraud, mail fraud, and conspiracy to engage in money laundering. The charges carry maximum penalty of 20 years in prison and a $500,000 fine.
Assistant U.S. Attorney John J. Field, who is handling the case, stated that Parris and his partner, Perry Santillo, doing business as Lucian Development, headquartered in Rochester, NY, operated an investment fraud Ponzi scheme from approximately January 2012 to June 2018. The Ponzi scheme defrauded approximately 1000 investors out of at least $115,500,000.
The investment offerings pitched by Parris and Santillo consisted principally of unsecured promissory notes and preferred stock issued by various entities that they controlled. Potential investors were offered an array of investment options to create the illusion of a diversified investment portfolio. Those investment options included products issued by purported issuers such as First Nationle Solutions (FNS), Percipience Global Corporation, United RL Capital Services, Boyles America, Middlebury Development Corporation, and NexMedical Solutions, among others. None of those issuers had substantial bona fide business operations or used investor money in the manner and for the purposes represented to investors. To the extent that an issuer may have had some minor legitimate business activities, it was not profitable and insufficient revenues were generated to pay investors any returns (let alone return the principal amounts of their investments).
Over the years, to keep the Ponzi scheme from being detected, a substantial portion of incoming new investor monies were depleted by making promised interest and other payments to earlier investors. Most of the rest of incoming investor money was used to finance lavish lifestyles of the conspirators, their families and associates; to expand the scheme by purchasing investment advisor/brokerage businesses to obtain access to fresh investors; and to pay operating expenses – salaries for a sales force and administrative staff, office rents and related expenses, housing for employees, and interest on loans—all of which were in furtherance of keeping the scheme going and maintaining a façade of legitimate business operations.
The defendant made an initial appearance before U.S. Magistrate Judge Marian W. Payson and was released pending further proceedings.
Perry Santillo previously pleaded guilty for his role in the scheme and is awaiting sentencing.
The criminal complaint is the result of an investigation by the United States Postal Inspection Service, under the direction of Inspector-in-Charge Joseph W. Cronin of the Boston Division; the Federal Bureau of Investigation, Buffalo Division, under the direction of Special Agent-in-Charge Gary Loeffert, and FBI Scranton Division; the Internal Revenue Service, Criminal Investigation Division, under the direction of Jonathan D. Larsen, Special Agent-in-Charge; the U.S. Department of Labor, Office of Inspector General, Office of Investigations – Labor Racketeering and Fraud, under the direction of Michael C. Mikulka, Special Agent-in-Charge, New York Region; the New York State Department of Financial Services, under the direction of Superintendent Linda A. Lacewell; and the Securities and Exchange Commission.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Former Philadelphia Zoning Board of Adjustments Chairman Sentenced to More Than One Year in Prison for Theft, Tax FraudRead the Press Release
PHILADELPHIA – First Assistant United States Attorney Jennifer Arbittier Williams announced that Dr. James E. Moylan, 57, a Philadelphia chiropractor and the former Chair of the Philadelphia Zoning Board of Adjustments, was sentenced to 15 months’ imprisonment, three years’ supervised release, $52,898 restitution to the International Brotherhood of Electrical Workers (IBEW) Union Local 98, and $77,885 restitution (plus penalties and interest) to the IRS by United States District Court Judge Jeffrey L. Schmehl for stealing civic funds and filing false federal income tax returns.
The defendant was charged by Indictment in January 2019 with 17 counts of wire fraud and four counts of filing false federal income tax returns. In October 2019, Moylan pleaded guilty to all charges, admitting that he defrauded both Local 98 and a related entity – 298, Inc., a non-profit organization – of more than $50,000 in funds which he claimed he would use for community support and education, but which he actually used to pay his personal mortgage and business expenses. Moylan also filed false federal income tax returns for the years 2012 through 2015, in which he underreported more than $200,000 in income and claimed false business expenses.
“Moylan knew what his responsibilities were as a public official and as a taxpayer, and he ignored them for his own personal benefit,” said First Assistant U.S. Attorney Williams. “In doing so, he cheated a non-profit organization meant to benefit the entire community, and he cheated all taxpayers by lying to the IRS. This office and our partners will continue aggressively investigating and prosecuting fraudsters who choose to line their pockets rather than operate honestly.”
“Mr. Moylan’s failure to pay his fair share of taxes is a slap in the face to honest and law-abiding citizens who do not shirk their tax obligations,” said IRS Criminal Investigation Special Agent in Charge Guy Ficco. “The sentence he received today underscores our relentless pursuit of those who would attempt to defraud America's tax system.”
The case was investigated by the Federal Bureau of Investigation and the Internal Revenue Service, and is being prosecuted by Assistant United States Attorneys Paul L. Gray, Frank R. Costello, and Bea Witzleben.
Former Officer with U.S. Customs and Border Protection Sentenced to over 2½ Years in Federal Prison for Illegal Gun Sales and Tax EvasionRead the Press Release
LOS ANGELES – A former U.S. Customs and Border Protection watch commander was ordered today to serve 31 months in federal prison for committing a series of crimes, including operating an illegal gun-selling business, possessing machine guns and other prohibited firearms, failing to disclose his foreign financial interests and contacts in China in order to obtain a secret-level security clearance, and cheating on his federal income taxes.
Wei Xu, 58, of Santa Fe Springs, was sentenced by United States District Judge R. Gary Klausner. Xu was sentenced after pleading guilty in July 2019 to four felonies: unlawfully engaging in the business of dealing in firearms, unlawfully possessing unregistered firearms, making materially false statements to a federal agency, and tax evasion.
When he pleaded guilty, Xu admitted that he sold at least 99 firearms without the required federal license in the 20 years prior to his arrest nearly one year ago. To increase the profits of his unlawful firearms business, Xu exploited his status as a law enforcement officer to purchase, and then transfer, “off-roster” handguns that cannot be sold to the general public by a federal firearms license dealer.
According to court documents, in July and August 2018, Xu sold four firearms to an undercover agent posing as a buyer, and Xu unlawfully sold three of the firearms out of the trunk of his car. The firearms included an “off-roster” pistol, high-capacity magazines, and a short-barreled rifle – which Xu provided information on how to convert to a fully automatic firearm.
A search of Xu’s residence on February 5, 2019 led to the recovery of more than 250 firearms, including 41 machine guns and two additional short-barreled rifles – all of which never were registered with the Bureau of Alcohol, Tobacco, Firearms and Explosives as required by federal law.
Xu also admitted that he made materially false statements on three questionnaires submitted to the Office of Personnel Management (OPM) to obtain a secret-level security clearance. OPM is a federal agency that oversees applications for security clearances for federal government employees. Specifically, Xu maintained foreign financial interests and had nearly weekly contacts with business associates in China as part of his employment as an accounts manager for a China-based auto parts import company. Xu collected a commission for his work and remitted the profit to his China-based business partners. But on his security clearance questionnaires in 2003, 2011 and 2015, Xu denied maintaining close and continuing contacts with foreign nationals, denied having a foreign financial interest, and denied having a business venture with a foreign national.
Finally, Xu admitted in his plea agreement that he willfully evaded the payment of federal income taxes for the years 2005 through 2017. Xu established a sham company that claimed fictional losses, which he used to offset his CBP income and fraudulently evade federal income taxes. In a sentencing memorandum filed with the court, prosecutors argued that Xu also failed to report income from a rental property and the profits of his unlicensed gun business.
“Mr. Xu betrayed his oath to uphold the laws of the United States solely to put more money in his pocket,” said United States Attorney Nick Hanna. “The scope of his corrupt conduct is wide-ranging – he endangered the public by selling off-roster firearms, and he lied to federal government officials to cover up his illegal activities and his connections to Chinese nationals. The prison sentence imposed today is the result of Mr. Xu’s conscious choices to take advance of his law enforcement position to generate profits for himself.”
“The goal of ATF’s illegal firearms trafficking enforcement efforts is to reduce violent crime by stemming the flow of firearms to prohibited individuals,” said Carlos A. Canino, the Special Agent in Charge of the Los Angeles Field Division of the Bureau of Alcohol, Firearms, Tobacco and Explosives (ATF). “At ATF we all stand committed to safeguarding lives by protecting the public from violent crime. Xu used his position as a federal law enforcement officer to do just the opposite. He bought firearms from gun dealers that the general public in California could not. He then repeatedly sold those firearms, putting more guns into our communities. He sadly was motivated by greed, as opposed to being motivated by his promise to enhance public safety. Bringing a case against a fellow federal law enforcement officer is never pleasant, but public safety is ATF’s first priority, and our commitment to justice is above everything.”
“As a law enforcement official, Xu was expected to set a good example and to live up to the high standards he was sworn to uphold,” said Paul Delacourt, the Assistant Director in Charge of the FBI’s Los Angeles Field Office. “Instead, he violated his oath, betrayed his colleagues and endangered the public he was hired to protect. The seamless relationship among the investigative agencies in this case led to the successful conclusion and significant sentence being announced today.”
“Wei Xu took advantage of his employment as a sworn law enforcement officer to orchestrate criminal activities ranging from illegal firearm sales to filing fraudulent tax returns,” said Ryan L. Korner, Special Agent in Charge of IRS Criminal Investigation. “Xu’s actions were an insult to the men and women of law enforcement who work tirelessly to protect and serve the public. We were proud to work alongside our law enforcement partners to hold Xu accountable for his actions.”
In addition to the prison term, Judge Klausner ordered Xu to pay $128,407 in restitution to the Internal Revenue Service.
Xu, who was a CBP watch commander at the Los Angeles and Long Beach Seaport, has been in federal custody since his arrest in this case on February 5, 2019.
This matter was investigated by the FBI, the ATF, and IRS Criminal Investigation.
This case was prosecuted by Assistant United States Attorneys Annamartine Salick of the Terrorism and Export Crimes Section, Valerie L. Makarewicz of the Major Frauds Section, and Brent A. Whittlesey of the Asset Forfeiture Section.
Former Executive Admits Embezzling More Than $48 MillionRead the Press Release
NEWARK, N.J. – A former executive at a New Jersey publication company pleaded guilty today to defrauding the company by embezzling millions of dollars for his personal benefit, U.S. Attorney Craig Carpenito announced.
Nestor Charriez, 60, of Scotch Plains, New Jersey, pleaded guilty before U.S. District Judge Kevin McNulty in Newark federal court to an information charging him with one count of wire fraud.According to documents filed in this case and statements made in court:
Charriez was a longtime senior employee of Victim-Company 1, a publication company based in New Jersey. Charriez’s financial responsibilities at Victim-Company 1 included overseeing and managing employee payroll. He would submit Victim-Company 1’s payroll information to an outside payroll company, which would process Victim-Company 1’s payroll requests.
From at least 2002 through June 2019, Charriez defrauded Victim-Company 1 by embezzling millions of dollars through unauthorized “bonus” payments to himself. He submitted false payroll instructions to Victim-Company 1’s outside payroll provider, indicating that Charriez was entitled to massive bonuses – hundreds of thousands of dollars at a time – which Victim-Company-1 had not approved.
Charriez carried out this scheme on numerous occasions over nearly two decades. In total, Charriez stole more than $48 million from Victim-Company 1 and spent the money he stole on personal expenses.
The wire fraud count to which Charriez pleaded guilty carries a maximum potential penalty of 20 years in prison and $250,000 fine, or twice the gross gain or loss from the offense. Sentencing is scheduled for May 11, 2020.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Special Agent in Charge Gregory W. Ehrie in Newark, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Heather Suchorsky of the U.S. Attorney’s Office Economic Crimes Unit.
Defense counsel: Robert Stahl Esq., Westfield, New Jersey
Florida Criminal Defendant to Serve Additional Prison Time for Lying on Pre-Sentencing Financial Disclosure FormRead the Press Release
A currently imprisoned Florida businessman was sentenced to an additional 20 months in prison today for willfully omitting assets from a pre-sentencing financial disclosure form he provided to the Justice Department, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman and of the Justice Department’s Tax Division and U.S. Attorney Maria Chapa Lopez for the Middle District of Florida.
According to documents filed with the court, Casey Padula, 51, formerly of Port Charlotte, Florida, made the false statements on a financial disclosure statement he was required to submit to the government after pleading guilty to tax and bank fraud. On July 17, 2017, in the prior prosecution, Padula was sentenced to 57 months in prison on one count of conspiracy to defraud the United States and to commit bank fraud. Padula admitted he used offshore entities and accounts to commit the tax fraud and carried out the bank fraud by conducting a fraudulent short-sale transaction designed to reduce or eliminate his $1.5 million mortgage. As part of his plea agreement, Padula was required to provide a full and accurate financial disclosure statement to the government. Instead, Padula submitted a false financial disclosure statement in which he omitted numerous assets, including a boat valued at almost $340,000, at least $80,000 in cash, and a $90,000 Mercedes he had recently purchased for his daughter.
Principal Deputy Assistant Attorney General Zuckerman and U.S. Attorney Chapa Lopez thanked special agents of the Internal Revenue Service-Criminal Investigation, who conducted the investigation, and Assistant Chief Todd Ellinwood of the Tax Division, who is prosecuting the case.
Florida Academy Agrees to Pay $512,000 to Resolve Misrepresentation Claims Impacting Veterans’ Post-9/11 Tuition Subsidy ProgramRead the Press Release
Fort Myers, FL – United States Attorney Maria Chapa Lopez announces that Florida Academy has agreed to pay $512,500 to the United States to resolve allegations that it made misrepresentations to the United States Department of Veterans Affairs (VA) in order to maintain its eligibility to receive VA funding under the Post-9/11 GI Bill.
Florida Academy, which is located in Fort Myers, Florida, is a for-profit provider of adult professional education programs in the beauty-and-wellness and skilled trades industries. Beginning in 2012, the VA provided financial assistance for veterans taking classes at Florida Academy as part of the Post-9/11 GI Bill.
The Post-9/11 GI Bill is a VA educational benefit program for veterans who served on active duty after September 10, 2001. As part of that program, the VA provides tuition and fee payments directly to qualifying schools on behalf of eligible veterans. In order for a school to qualify for the program, it is required to certify to the VA that no more than 85% of the students for any particular course are receiving VA benefits. This requirement, commonly referred to as the “85-15% Rule,” is intended to prevent abuse of Post-9/11 GI Bill funding by ensuring that the VA is paying fair market value tuition rates since at least 15% of the enrolled students would be paying the same rate with private funds. Schools that receive GI Bill funding are required to certify their compliance with this rule and notify the VA in the event they are no longer in compliance.
According to the Settlement Agreement, the United States alleged that, from January 1, 2017, until January 1, 2018, Florida Academy received Post-9/11 GI Bill funding during a time when they knew, or reasonably should have known, that it did not qualify because almost all of the students who were enrolled in the Heating, Ventilation, and Air Conditioning (“HVAC”) Advanced Fundamentals class were veterans, whose tuition was paid for by the VA. The settlement resolves allegations that Florida Academy made misrepresentations to the VA regarding its compliance with the 85-15% Rule.
“The Post-9/11 GI Bill is crucial to providing educational opportunities to our veterans who served following the 9/11 attacks on our country,” said United States Attorney Maria Chapa Lopez. “Our office will continue to vigilantly protect the financial viability of programs designed to serve and honor our veterans.”
“As detailed in the civil settlement, Florida Academy’s actions took advantage of VA’s Post-9/11 education benefits program,” said David Spilker, Special Agent in Charge, VA Office of Inspector General. “VA OIG is committed to protecting and safeguarding the integrity of VA programs intended for the advancement and benefit of veterans."
The investigation was handled by Assistant U.S. Attorney Kyle S. Cohen, with assistance from the VA-OIG.
The claims resolved by the settlement are allegations only, and there has been no determination of liability.
Five Plead Guilty in Scheme to Deceive Homeland Security, Illegally Employ Undocumented WorkersRead the Press Release
A North Texas construction company will pay the government $3 million for its role in a scheme to illegally employ undocumented immigrants, announced U.S. Attorney for the Northern District of Texas Erin Nealy Cox.
Five individuals have already pleaded guilty in connection with the crime.
In a non-prosecution agreement with the U.S. Attorney’s Office (available below), Texas-based builder Speed Fab Crete admitted it illegally employed undocumented immigrants not authorized to work in the United States, and agreed to forfeit $3 million to the U.S. Treasury for use in promoting law enforcement activities related to immigration enforcement.
Per the agreement – which requires Speed Fab Crete to cooperate with the government to ensure it will not violate immigration laws in future – the company pledged to continue to use E-Verify, the federal government’s web-based employment eligibility verification system; to comply with new internal verification procedures; to conduct company-wide training on immigration compliance; and to discipline those who attempt to employ unauthorized workers.
The company’s three owners, Carl Eugene Hall, Ronald Alan Hamm, and David Leon Bloxom, are jointly and severally liable for the full amount if Speed Fab Crete does not fulfill its financial obligations under the non-prosecution agreement.
Earlier this month, Mr. Hall pleaded guilty to conspiracy to unlawfully harbor illegal aliens, a felony. Mark Sevier, owner of Take Charge Staffing, a temp agency used by Speed Fab Crete, also pleaded guilty to conspiracy to unlawfully harbor illegal aliens. Mr. Hamm, Mr. Bloxom, and Robert Edwin James, the company’s Chief Financial Officer, pleaded guilty to unlawful employment of illegal aliens, a misdemeanor offense.
“An inspection revealed these defendants knowingly hired dozens of unauthorized workers, in flagrant disregard of U.S. law. Worse yet, rather than working with ICE to resolve their violations, they attempted to deceive the government,” said U.S. Attorney Nealy Cox. “We will not allow employers to flout our laws.”
“All three of Speed Fab Crete’s officials pleaded guilty to federal charges, in connection to them knowingly hiring unauthorized workers, and attempting to deceive the government,” said Ryan L. Spradlin, special agent in charge of HSI Dallas. “And now they are paying the price for their criminal conduct. It’s criminal investigations like these, that not only exemplify HSI’s mission to protect the integrity of the U.S. immigration system, but also serve as a warning to business owners willing to hire an illegitimate workforce. You can not only expect a hefty fine but a prison sentence as well.”
According to their plea papers and Speed Fab Crete’s factual statement, the defendants admitted that they attempted to disguise the employment of unauthorized workers at Speed Fab Crete by placing them on the payroll of Take Charge Staffing, then lied to the government, stating that the unauthorized workers had been terminated from employment at Speed Fab Crete.
Per plea papers, after an I-9 inspection of Speed Fab Crete’s employment records revealed that 43 of the company’s 106 employees were undocumented immigrants not authorized to work in the United States, Speed Fab Crete entered into a settlement with Immigration & Customs Enforcement, pledging to rectify the situation.
HSI agreed not to conduct any subsequent I-9 inspection for a period of six months, giving Speed Fab Crete the time and opportunity to rectify the situation by employing legal workers.
In furtherance of that effort, in February 2016, the owners of Speed Fab Crete met with Take Charge Staffing to discuss replenishing their workforce. At the initial meeting, Mr. Hall asked Mr. Sevier to simply transfer the unauthorized workers from Speed Fab Crete’s payroll system onto Take Charge Staffing’s payroll, and have them assigned to Speed Fab. At the time, Mr. Sevier refused, promising to supply legal workers instead.
Over the ensuing six months, Mr. Sevier and Take Charge struggled to find employees to replace Speed Fab Crete’s unauthorized workers. In September 2016, Mr. Sevier agreed to Mr. Hall’s plan.
On Friday, September 23, 2016, Speed Fab Crete simultaneously terminated 39 unauthorized workers and sent 23 of them straight to Take Charge Staffing, where they were hired and assigned to Speed Fab Crete. All 23 retuned to work at Speed Fab Crete the following Monday.
From September 2016 until August 2017, Take Charge Staffing sent invoices for the unauthorized workers to Speed Fab Crete—all of which were authorized by Mr. Hall.
On October 11, 2016, Speed Fab Crete followed up with Immigration & Customs Enforcement, sending a letter that stated all 39 of the unauthorized workers had been released and were “no longer working at Speed Fab Crete Corporation.” Each of the individuals and the company admitted that this was a false and misleading statement to the government.
Mr. Hall and Mr. Sevier are facing up to five years in federal prison. Mr. Bloxom, Mr. Hamm, and Mr. James are facing up to six months in federal prison. As part of the plea agreements, each individual will be also required to pay a $69,000 fine, equal to $3,000 per alien, the statutory maximum.
Homeland Security Investigations conducted the investigation. Special Assistant U.S. Attorney Cathy Richardson and Assistant U.S. Attorney Nick Bunch are prosecuting the case.