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Friday 6 December 2019
Sherman Oaks Man Pleads Guilty to Making False Statements to Grand JuryRead the Press Release
SACRAMENTO, Calif. — Raz Razla, 49, of Sherman Oaks, pleaded guilty last Friday to making false statements to the grand jury, U.S. Attorney McGregor W. Scott announced.
According to court documents, Razla testified falsely before a grand jury in the Eastern District of California on March 1, 2018, regarding his co-defendant, Yaniv Gohar, 36, formerly of Berkeley. Gohar had led an organization that installed and maintained video slot machines at businesses open to the public across Northern California, and he had also laundered the proceeds of his gambling business. Gohar was arrested on Dec. 8, 2017, released over the government’s objection, and escaped from the United States by charter jet.
According to court documents, Razla testified falsely that he had only learned of the charge against Gohar for conducting an illegal gambling enterprise after Razla received the subpoena to the grand jury. Razla’s false testimony was material to the grand jury’s investigation of whether Razla or his work colleagues had aided and abetted Gohar’s failure to appear or harbored or concealed him, as well as whether Razla or his work colleagues had known of the unlawful source of Gohar’s money when engaging in real estate transactions and attempted real estate transactions on his behalf.
This case is the product of an investigation by the Federal Bureau of Investigation and the California Department of Justice – Bureau of Gambling Control. Assistant U.S. Attorney Miriam R. Hinman is prosecuting the case. Assistance was provided by the U.S. Department of Justice’s Office of International Affairs and Israeli authorities.
Co-defendant, Orel Gohar, 29, also fled the United States in Dec. 2017 and remains at large. Anyone with information about his whereabouts should call the Federal Bureau of Investigation at (916) 746-7000. The charges against Orel Gohar are only allegations; he is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Co-defendant Yaniv Gohar was extradited from Israel, pleaded guilty in September to conducting an illegal gambling business, money laundering, and failure to appear, and awaits sentencing. Co-defendant Eran Buhbut, 34, of Oakland, pleaded guilty in August to conducting an illegal gambling business and awaits sentencing. Co-defendants May Levy, 28, of Walnut Creek, Atir Dadon, 35, of Sherman Oaks, Bar Shani, 27, of San Francisco, and Adam Atari, 36, of Sherman Oaks, have pleaded guilty and have been sentenced.
Razla is scheduled to be sentenced on Feb. 28, 2020. Razla faces a maximum statutory penalty of five years in prison and a fine of up to $250,000. 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.
Seven Defendants Charged in $11.5 Million Fraud Case: Lawyer and Tax Preparer Helped Five Defendants with False Discrimination ClaimsRead the Press Release
LITTLE ROCK—Five individuals and an attorney have been charged with defrauding the U.S. Department of Agriculture out of over $11.5 million that was intended to benefit farmers who had been discriminated against. The indictment alleges that four sisters, one of their daughters, and a lawyer worked together to submit false claims concerning discrimination against farmers who are black, Hispanic, or female. The women also hired a tax preparer to falsify tax returns, resulting in failure to report over $4.6 million to the Internal Revenue Service.
Cody Hiland, U.S. Attorney for the Eastern District of Arkansas, Dax Roberson, Special Agent in Charge of the U.S. Department of Agriculture Office of Inspector General, and Tamera Cantu, Special Agent in Charge of the Internal Revenue Service, announced the indictment, which was handed down by a federal grand jury on Thursday afternoon and made public today.
The indictment alleges that from 2008 until 2017, five defendants solicited people to file false claims asserting they were discriminated against when they tried to get assistance from USDA for their farming operations. Four of the defendants—Lynda Charles, Rosie Bryant, Delois Bryant, and Brenda Sherpell—are sisters. A fifth defendant, Niki Charles, is the daughter of Lynda Charles. A sixth defendant, Everett Martindale, worked as an attorney and acted as the legal representative for most of the claimants that the five women recruited. A seventh defendant, Jerry Green, worked as a tax preparer, and the indictment alleges that he filed false tax returns for some of the claimants.
According to the indictment, claims were submitted under two programs: the Black Farmers Discrimination Litigation (BFDL) Settlement and the Hispanic and Women Farmers and Ranchers (HWFR) Litigation. The BFDL Settlement resulted from a class action lawsuit filed in 1997 in which a group of black farmers claimed they had been discriminated against when they applied for farm credit, credit servicing, or farm benefits from USDA. Similarly, the HWFR Litigation originated when groups of Hispanic and women farmers filed separate lawsuits against USDA, also alleging discrimination in their farm benefit programs.
Both BFDL and HWFR resulted in a claims process where farmers who could show they had applied for participation in a USDA benefit program and believed they had been discriminated against could make a claim for financial relief. A successful claim resulted in an award of $62,500. Of that, $50,000 would be made payable to the claimant, and $12,500 would be transferred directly to the Internal Revenue Service as a tax withholding. The indictment alleges that 192 claims were made, almost all of which were successful, resulting in a loss of over $11.5 million. The indictment alleges that the 192 claims were false because the claimants had not suffered discrimination and, in most cases, had not even attempted to farm.
The indictment alleges that Martindale would deposit claim checks into his law firm trust account, issue a check from that trust account to the claimant, and withhold his attorney fee. For both BFDL and HWFR, attorney fees were restricted to $1,500 per claimant. The indictment alleges that the four sisters entered an agreement with Martindale in which they would split the attorney fee. The sisters also demanded and received additional money from the claimants themselves.
The money received from a claim was income that should have been reported on the claimant’s tax return. The indictment alleges that the four sisters arranged for defendant Jerry Green to provide tax preparation services for the claimants they had recruited. The indictment further alleges that Green falsified the tax returns in order to create a tax refund. The conspiracy resulted in false tax items totaling $4,615,009.
According to the indictment, three of the sisters—Lynda Charles, Rosie Bryant, and Delois Bryant—filed false tax returns of their own and laundered money through purchases of numerous homes and properties, a Chevrolet van, and a Mercedes G550. The indictment also alleges that they laundered money through cashier’s checks and payments on a student loan for Charles’ daughter.
In October, the United States government filed a civil case to forfeit several properties that were purchased using money traceable to the crimes charged in this indictment.
The investigation is being conducted by USDA-OIG and IRS with assistance from the United States Marshals Service and the United States Postal Inspection Service. The case is being prosecuted by Assistant United States Attorneys Angela Jegley, Michael Johnson, Cameron McCree, and Bart Dickinson.
An indictment contains only allegations. A defendant is presumed innocent unless and until proven guilty.
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This news release, as well as additional information about the office of the
United States Attorney for the Eastern District of Arkansas, is available on-line at
http://www.justice.gov/edar
Twitter:
@EDARNEWS
CHARGES AND STATUTORY SENTENCES
Mail fraud is punishable by not more than 20 years incarceration in the Bureau of Prisons with a possible fine of up to $250,000, and not more than 3 years supervised release.
Conspiracy to defraud the IRS is punishable by not more than 5 years in the Bureau of Prisons with a possible fine of up to $250,000, and not more than 3 years supervised release.
False tax returns are punishable by not more than 3 years incarceration in the Bureau of Prisons with a possible fine of up to $100,000, and not more than 1 year supervised release.
Tax evasion is punishable by not more than 5 years incarceration in the Bureau of Prisons with a possible fine of up to $100,000, and not more than 3 years supervised release.
Money laundering is punishable by not more than 10 years incarceration in the Bureau of Prisons with a possible fine of up to $250,000, and not more than 3 years supervised release.
San Francisco Man Sentenced to 97 Months for Receiving Child Pornography from MinorsRead the Press Release
OAKLAND – Michael Anthony LeBoeuf was sentenced to 97 months in prison for receipt and possession of child pornography, announced United States Attorney David L. Anderson and U.S. Homeland Security Investigations (HSI) San Francisco Special Agent in Charge Tatum King. The sentence was handed down by the Hon. Phyllis J. Hamilton, U.S. District Judge.
LeBoeuf, 38, of San Francisco, pleaded guilty to the charges on September 4, 2019. According to the plea agreement, LeBoeuf admitted that he communicated with two minor victims via text messaging. He knew the minors were 16 and 17 years of age. LeBoeuf admitted that in 2012 he asked the 17-year-old minor to send photos of himself in the nude including photos showing the minor’s genitals. The minor sent at least two nude photos to LeBoeuf, at LeBoeuf’s request, via text communication. LeBoeuf also admitted that he invited the minor to his San Francisco residence. The minor traveled from Marin County to meet LeBoeuf at his San Francisco residence where the two had sexual intercourse.
Similarly, LeBoeuf admitted that in 2013 he asked the 16-year-old minor to send photos of himself in the nude including photos showing the minor’s genitals. The minor sent at least two nude photos to LeBoeuf via text communication. LeBoeuf admitted that he invited the minor to his San Francisco residence and that the minor traveled from Oakland to San Francisco where the two had sexual intercourse in LeBoeuf’s residence. After the minor departed, LeBoeuf sent a text message asking if the minor had friends his age or younger that LeBoeuf could meet.
Federal law enforcement agents executed a search warrant at LeBoeuf’s apartment on May 3, 2018. In the apartment, the agents located several of LeBoeuf’s computers and electronic devices on which were more than 75 sexually explicit images of children that constituted child pornography as defined in 18 U.S.C. § 2256(8), including photographs and videos of the two minors described above.
A federal grand jury indicted LeBoeuf on May 2, 2019, charging him with to two counts of receipt of child pornography, in violation of 18 U.S.C. §§ 2252(a)(2) and (b)(1), and one count of possession of child pornography, in violation of 18 U.S.C. §§ 2252(a)(4)(B) and (b)(2). LeBoeuf pleaded guilty to all three counts.
In addition to the prison term, Judge Hamilton also ordered the defendant to serve a 10-year period of supervised release. The defendant was remanded into custody immediately upon sentencing. In addition, Judge Hamilton scheduled a hearing for February 20, 2020, at 1:30 p.m., in Oakland, to determine issues regarding restitution.
Assistant U.S. Attorney Jonathan U. Lee is prosecuting the case with the assistance of Jessica Rodriguez Gonzalez and Kathleen Turner. The prosecution is the result of an investigation by HSI.
San Francisco Acupuncturist Pleads Guilty to Health Care Fraud in False Billing SchemeRead the Press Release
SAN FRANCISCO – Haichao Huang pleaded guilty today to health care fraud and making false statements relating to health care matters, announced United States Attorney David L. Anderson, Office of Personnel Management Office of the Inspector General Deputy Assistant Inspector General for Investigations Thomas W. South, and U.S. Department of Labor Office of Inspector General Special Agent-in-Charge Quentin Heiden. The guilty plea was accepted by the Honorable Susan Illston, United States District Judge.
“Haichao Huang stole money set aside for union members’ health benefit plans by fraudulently billing union trust funds for acupuncture services not performed. The U.S. Department of Labor Office of Inspector General will continue to work with our law enforcement partners to safeguard the union benefit funds from those who seek to exploit it for personal gain,” said Quentin Heiden, Special Agent-in-Charge, Los Angeles Region, U.S. Department of Labor Office of Inspector General.
According to the plea agreement, Huang, 46, of San Francisco, was a health care provider who offered acupuncture, physical therapy, massage, and other services to patients in and around San Francisco, Calif. Beginning no later than February 2013 and continuing through at least June 2018, Huang knowingly and willfully executed a scheme to defraud healthcare benefit programs. Huang submitted and caused to be submitted false claims for reimbursement from health care benefit programs that he knew were not properly payable, including from programs provided through federal government and labor union healthcare plans. Huang included false and inaccurate billing codes that artificially inflated both the type of service the patient received and the time he spent with the patient. The plea agreement gives examples of the ways in which Huang submitted false and inaccurate billings for reimbursement. Huang submitted requests for reimbursement for acupuncture treatment when, in fact, the patient had received much shorter periods of treatment, no acupuncture treatment, or no care of any kind at all. Huang also submitted claims for services rendered on days when patients had not been seen by him at all—including days when Huang was not in California. Further, after a patient reached the limit of acupuncture sessions allowed by the relevant insurance program or plan, Huang falsely and inaccurately billed for other types of treatments and services that were not provided, or billed under a patient’s family member’s health plan who never received treatment through his practice, in order to continue receiving improper reimbursements.
On March 7, 2019, a federal grand jury indicted Huang with six counts of health care fraud, in violation of 18 U.S.C. § 1347, and one count of false statement relating to health care matters, in violation of 18 U.S.C. § 1035(a)(2). Huang pleaded guilty to all seven counts.
Pursuant to the terms of his plea agreement, Huang has agreed to pay restitution in an amount to be set by the court at the time of sentencing, but in no event less than $807,785.38. Judge Illston scheduled the sentencing hearing for March 13, 2020. In addition to restitution, the defendant faces a maximum statutory sentence of 10 years in prison and $250,000 for each violation of 18 U.S.C. § 1347. Further, the defendant faces up to five years in prison and a fine of $250,000 for the violation of 18 U.S.C. § 1035(a)(2). The court also may order additional fines and additional periods of supervised release at sentencing. However, any sentence following conviction will be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Assistant U.S. Attorneys Lina Peng and Ross Weingarten are prosecuting the case with the assistance of Marina Ponomarchuk and Lenora Hamilton. This prosecution is the result of investigations by the Office of Personnel Management Office of Inspector General and the Department of Labor Office of Inspector General, with assistance from the San Mateo County District Attorney’s Office Bureau of Investigation.
San Diego, California Man Pleads Guilty to Role in Million Dollar Scheme Targeting Thousands of U.S. Servicemembers and VeteransRead the Press Release
In San Antonio, 32-year-old Trorice Crawford of San Diego, California, admitted his role in an identity-theft and fraud scheme that victimized thousands of U.S. servicemembers and veterans, announced U.S. Attorney John F. Bash, Deputy Assistant Attorney General David Morrell, and Director Gustav Eyler of the Department of Justice’s Consumer Protection Branch.
Appearing before U.S. Magistrate Judge Richard Farrer yesterday afternoon, Crawford pleaded guilty to one count of conspiracy to launder monetary instruments. By pleading guilty, Crawford admitted that from May 2017 to July 2019, he conspired with Robert Wayne Boling, Jr. (a U.S. citizen), and others to steal money belonging to U.S. Servicemembers and veterans. By pleading guilty, Crawford admitted to recruiting at least 30 individuals (aka “money mules”) who provided their bank account information to receive funds stolen from military affiliated individuals. On average, each unauthorized transfer from a victim’s accounts ranged from between $8,000 to $13,000. Crawford kept a percentage of the withdrawn funds for himself and oversaw the transmission of the remaining amounts by means of international money remittance services to Boling and others in the Philippines.
Crawford faces up to 20 years in federal prison. He remains in federal custody awaiting sentencing scheduled for 10:30am on March 5, 2020, before Chief U.S. District Judge Orlando Garcia in San Antonio.
In October, co-defendant Frederick Brown, age 38 of Las Vegas, NV, pleaded guilty to federal charges in connection with this scheme. Brown, a former civilian medical records administrator for the U.S. Army at the 65th Medical Brigade, Yongsan Garrison, South Korea, admitted that while logged into the Armed Forces Health Longitudinal Technology Application, he illegally captured on his cell phone personal identifying information (PII) of thousands of military members, including names, social security numbers, DOD ID numbers, dates of birth, and contact information. Brown further admitted that he subsequently provided that stolen data to Boling so that Boling and others could exploit the information in various ways to access Department of Defense and Veterans Affairs benefits sites and steal millions of dollars.
As asserted in the federal grand jury indictment, Boling, together with his Philippines-based co-defendants Allan Albert Kerr (Australian citizen) and Jongmin Seok (South Korean citizen), specifically used the stolen information to compromise a Department of Defense portal designed to enable military members to access benefits information online. Once through the portal, the defendants are alleged to have accessed benefits information. Access to these detailed records enabled the defendants to steal or attempt to steal millions of dollars from military members’ bank accounts. The defendants also stole veterans’ benefits payments. Evidence of the defendants’ scheme was detected earlier this year, advancing the investigation that led to the indictment.
The Departments of Defense and Veterans Affairs are coordinating with the Department of Justice to notify and provide resources to the thousands of identified victims. Announcements also will follow regarding steps taken to secure military members’ information and benefits from theft and fraud.
Boling, Kerr and Seok are charged with multiple counts of conspiracy, wire fraud, and aggravated identity theft. Boling, Kerr and Seok are in custody in the Philippines awaiting transfer to the Western District of Texas. Brown remains in federal custody awaiting sentencing scheduled for 10:30am on February 6, 2020, before Chief U.S. District Judge Orlando Garcia in San Antonio.
It is important to note that an indictment merely alleges that crimes have been committed. All defendants are presumed innocent until proven guilty beyond a reasonable doubt.
The United States is represented by Trial Attorneys Ehren Reynolds and Yolanda McCray Jones of the Department of Justice’s Consumer Protection Branch and Assistant U.S. Attorney Joseph Blackwell of the U.S. Attorney’s Office for the Western District of Texas. The matter was investigated by agents of the Defense Criminal Investigative Service, and counsel Matthew Freund, along with substantial investigative support from the U.S. Postal Inspection Service, the U.S. Army Criminal Investigation Command, and the Veterans Benefits Administration’s Benefits Protection and Remediation Division. The U.S. Department of State’s Diplomatic Security Service, Philippine law enforcement partners, and the U.S. Attorneys’ Offices for the District of Nevada, the Southern District of California, and the Eastern District of Virginia also provided assistance. Resources from the Department of Justice’s Servicemembers and Veterans Initiative and its Transnational Elder Fraud Strike Force aided in the matter’s investigation and prosecution.
Since President Trump signed the bipartisan Elder Abuse Prevention and Prosecution Act (EAPPA) into law, the Department of Justice has participated in hundreds of enforcement actions in criminal and civil cases that targeted or disproportionately affected seniors. In particular, this past March, the Department announced the largest elder fraud enforcement action in American history, charging more than 260 defendants in a nationwide elder fraud sweep. The Department has likewise conducted hundreds of trainings and outreach sessions across the country since the passage of the Act.
Additional information about the Consumer Protection Branch and its enforcement efforts can be found at www.justice.gov/civil/consumer-protection-branch. For more information about the U.S. Attorney’s Office for the Western District of Texas, visit its website at https://www.justice.gov/usao-wdtx. Information about the Department of Justice’s Elder Fraud Initiative is available at www.justice.gov/elderjustice; information on the Servicemember and Veterans Initiative is at https://www.justice.gov/servicemembers.
Salisbury Man Sentenced to 28 Years in Prison for Production of Child PornographyRead the Press Release
GREENSBORO, N.C. – A man who pleaded guilty to production of child pornography was sentenced to 28 years in prison today, announced Matthew G.T. Martin, United States Attorney for the Middle District of North Carolina.
JOSHUA DOUGLAS MARTORELLI, 36, of Salisbury, North Carolina, pleaded guilty on August 7, 2019, to one count of production of child pornography and one count of attempted production of child pornography. He was sentenced by Chief United States Chief District Judge Thomas D. Schroeder to 28 years of imprisonment followed by 25 years of supervised release.
MARTORELLI targeted children for sexual exploitation by forming romantic relationships with their mothers. He then cajoled the mothers to exploit their own children for his sexual gratification. In fall 2016, MARTORELLI directed the mother of a young boy to sexually assault the child and send him a picture of the abuse. The mother complied. Messages recovered by investigators revealed that MARTORELLI made many similar requests during the same time period.
This case was investigated by a team of agencies comprised of the Rowan County Sheriff’s Office, North Carolina State Bureau of Investigation, and Homeland Security Investigations (HSI). All are members of the North Carolina Internet Crimes Against Children (ICAC) Task Force.
The case was brought as part of Project Safe Childhood, a nationwide initiative by the Department of Justice to combat online child sexual exploitation and abuse, and prosecuted by Assistant United States Attorney Eric L. Iverson. Led by United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
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Rock Island Man Sentenced to 15 Years in Prison for Felon in Possession of a FirearmRead the Press Release
ROCK ISLAND, Ill. - U.S. District Judge James E. Shadid today sentenced a Rock Island, Ill., man, Justin Michael Kellett, 36, to 15 years in prison for illegal possession of a firearm by a felon. Kellett was ordered to remain on supervised release for five years following his release from prison. Kellett has remained in the custody of the U.S. Marshals Service since his arrest in April 2019.
On July 21, 2019, Kellett, of Rock Island, Ill., pleaded guilty to being a felon in possession of a firearm.
The case was investigated by the Rock Island Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney John K. Mehochko prosecuted the case in cooperation with the Rock Island County State’s Attorney’s Office.
Richmond City Public Schools Teacher Arrested for Child PornographyRead the Press Release
RICHMOND, Va. – A Richmond City Public Schools music teacher made his initial appearance in federal court today on charges of receipt and distribution of images of child sexual abuse.
Kellen Thomas Donelson, 32, of Richmond, was arrested at his home yesterday. Donelson is a music teacher at Oak Grove/Bellemeade Elementary School and an Associate Minister/Music Director at Mount Hope Baptist Church.
According to allegations detailed in the affidavit in support of the criminal complaint, in February and July of 2019, Donelson uploaded multiple images of child pornography via Snapchat and Kik Messenger. Yesterday, during a court-authorized search of his home, law enforcement discovered at least 50 images and videos of child pornography on Donelson’s phone.
Donelson is charged with receipt and distribution of child pornography. If convicted, he faces a mandatory minimum of five years and a maximum penalty of 40 years in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
Anyone with information regarding this matter should contact U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) at: 1-804-648-0419, extension 223.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Jim Stitzel, Assistant Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Norfolk, made the announcement. Assistant U.S. Attorney Kevin Elliker is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:19-mj-212.
A criminal complaint contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.
Rapid City Woman Sentenced on Firearm ChargeRead the Press Release
United States Attorney Ron Parsons announced that a Rapid City, South Dakota, woman convicted of Possession of a Firearm by a Prohibited Person was sentenced by Chief Judge Jeffrey L. Viken, U.S. District Court.
Tiffany Island, age 37, was sentenced on November 25, 2019, to 21 months in federal prison, followed by 3 years of supervised release, and was ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
The conviction stemmed from Island, a previously convicted felon prohibited from possessing firearms, knowingly possessing a Fabrique Nationale Herstal, model FN Five-seveN USG, 5.7x28mm FN caliber semi-automatic pistol, which was found at Island’s Rapid City residence after police were called there for a disturbance on August 7, 2018.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of its renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and local communities to develop effective, locally-based strategies to reduce violent crime.
The investigation was conducted by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Rapid City Police Department. Assistant U.S. Attorney Benjamin Patterson prosecuted the case.
Island was immediately turned over to the custody of the U.S. Marshals Service.
Randall Swartz Imprisoned for Agri-Mark TheftRead the Press Release
The United States Attorney for the District of Vermont announced that Randall Swartz, 59, of Orleans, was sentenced yesterday in United States District Court in Rutland to 48 months of imprisonment following his guilty plea to a charge of mail fraud. Chief Judge Geoffrey Crawford also ordered that Swartz serve three years of supervised release following completion of his prison term and pay restitution in the amount of $452,558.
According to the charging information to which Swartz pleaded guilty, until January 2017 when he was fired, Swartz was employed as the maintenance manager at Agri-Mark’s cheese-making plant in Cabot. As maintenance manager, Swartz was responsible for maintaining, repairing and replacing all machinery and equipment at the Cabot site. The maintenance budget amounted to several hundred thousand dollars each month. Swartz also owned a side-business, Kingdom RO, which sold reverse osmosis systems that were used by producers of maple syrup to concentrate and purify maple sap. Agri-Mark also employed reverse osmosis technology at its Cabot facility.
The information charged that beginning no later than 2010 and continuing up to the time of his termination, Swartz defrauded Agri-Mark by causing the company to order reverse osmosis equipment that was too small for Agri-Mark to use in its cheese-making processes. Instead, Swartz stole the equipment and installed it in smaller RO systems he sold to clients of Kingdom RO. Swartz further defrauded Agri-Mark by using company employees, on company time, to assemble and install these RO systems.
At yesterday’s sentencing hearing, Judge Crawford found that Swartz caused a loss to Agri-Mark of not less than $452,558. The Government had contended the loss actually was about $1.2 million.
The sentence imposed by Judge Crawford represented a significant upward variance above the range called for by federal sentencing guidelines. Swartz is currently in the custody of the Vermont Department of Corrections, where he has been held without bail since May 2018 while awaiting trial for murdering his wife. In his sentence today, Judge Crawford ordered that Swartz’ federal sentence run concurrently with any sentence that may be imposed on the homicide charge.
This case was investigated by the Vermont State Police, the Federal Bureau of Investigation and the U.S. Department of Homeland Security Investigations.
Swartz is represented by Richard Goldsborough. The prosecutor is Assistant U.S. Attorney Gregory Waples.
Piedmont Man Sentenced to 7 Years in Prison for Threatening Communications and Repeated Telephone CallsRead the Press Release
United States Attorney Ron Parsons announced that a Piedmont, South Dakota, man convicted of Threatening Communications and Repeated Telephone Calls was sentenced on November 26, 2019, by Chief Judge Jeffrey L. Viken, U.S. District Court.
Larry Wenthold, age 40, was sentenced to 7 years in federal prison, followed by 3 years of supervised release, and ordered to pay a $200 special assessment to the Federal Crime Victims Fund.
The conviction stemmed from Wenthold, who was living in Minnesota at the time, sending repeated texts and telephone calls to a female, and her mother and sister, in South Dakota. In the communications, the defendant repeatedly threatened their lives and put them in fear of death or serious bodily injury.
“You’d better think twice before you stalk, harass, or threaten someone with violence,” said U.S. Attorney Parsons.
The investigation was conducted by the U.S. Marshals Service. Assistant U.S. Attorney Eric Kelderman prosecuted the case.
Wenthold was immediately remanded to the custody of the U.S. Marshals Service.
Philadelphia Man Who Sold Fentanyl That Killed Newark Man Sentenced to Twenty Years in PrisonRead the Press Release
WILMINGTON, Del. – A Philadelphia man was sentenced yesterday to 20 years in prison for distributing fentanyl that caused the death of Joel Davis, a 29-year-old Newark man.
According to court documents, Emanuel Jimenez, who is a citizen of the Dominican Republic but was living in the United States under the false identity of “Robin Cintron-Pratts,” was a large-scale heroin dealer. For several months in 2016-2017, he delivered 13,000 baggies of heroin per week to James Briggs of Wilmington. In February 2017, the defendant delivered fentanyl-laced heroin to Briggs, who sold some of those drugs to Abdoulaye Diallo, who then sold several baggies to one of Joel Davis’s friends. The friend gave four of the baggies to Joel Davis, who used them and then died as a result of fentanyl intoxication. Diallo and Briggs were separately charged. Briggs was sentenced on September 9, 2019 to ten years incarceration; Diallo was convicted and is pending sentencing.
When the defendant heard that someone had overdosed from his drugs, he explained to a customer: “You know what happens? People, they do it… they didn’t feel it like that quick, so they think the shit not good so they do it over and over. And like 20 minutes later… oh shit” “This shit happened like a couple times with me.”
According to United States Attorney David C. Weiss, “Since the introduction of fentanyl, selling heroin is like playing Russian roulette with others’ lives. As the defendant well knew, people are dying every day using the product he was selling. Today’s sentence sends an important message to heroin dealers: making a quick profit is simply not worth the prospect of spending decades in prison. This case was part of the impetus for the First State Overdose Task Force, and we will continue to aggressively investigate and prosecute people whose drugs are killing Delawareans.”
"Jimenez was a drug-trafficker who distributed thousands of bags of heroin and fentanyl weekly across Wilmington," said Jonathan A. Wilson, Special Agent in Charge of the Drug Enforcement Administration's (DEA) Philadelphia Field Division. "He was also the source of fentanyl-laced heroin bags that resulted in a fatal overdose. The DEA will continue to work with our law-enforcement partners to aggressively investigate significant drug-traffickers like Jimenez who pose a great threat to the health and safety of the citizens of Delaware."
The U.S. Attorney made the announcement after sentencing by Chief U.S. District Judge Leonard P. Stark. Before imposing sentence, the Court said, “The defendant knew that people were overdosing. It’s not a stretch to say that he knew that overdosing could mean death. And none of that stopped him, nor is there any indication that it bothered him.”
Assistant U.S. Attorney Jennifer K. Welsh prosecuted the case, which was investigated by the Drug Enforcement Agency’s First State Overdose Task Force in partnership with, among others, the New Castle County Police Department.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER by searching for Case No. 1:17-cr-0022-1(LPS) and 1:17-cr-0023-1(LPS).
Philadelphia Man Convicted for Third Time on Drug Trafficking ChargesRead the Press Release
PHILADELPHIA – United States Attorney William M. McSwain announced that Vontez Scales, 29, of Philadelphia, PA, was convicted at trial of conspiracy to distribute methamphetamine and heroin, and possession with intent to distribute heroin and fentanyl, arising from his sales and purchases of large quantities of drugs to and from co-conspirators.
Scales was a member of a large drug trafficking group, known as the ”Skipworth” drug trafficking organization, that operated for months in 2018 and distributed millions of dollars worth of crystal methamphetamine, heroin, fentanyl and cocaine in Philadelphia, Bucks County, Berks County and Delaware County. Scales’ co-conspirators, Damir Skipworth, a/k/a “Meech” (who was the ring leader), Jarrett Cobb, a/k/a “Chi,” Tyrone Smith, a/k/a “Ho,” Rahim Amin, a/k/a “Skinny Rah,” John Richard Thornton, Scott Martin, and Natasha Powell all previously pleaded guilty to federal drug trafficking charges in this case and face significant prison terms.
Scales bought crystal methamphetamine in pound quantities from a co-conspirator, with the intention to sell it, and in turn sold large quantities of heroin laced with fentanyl back to the co-conspirator to distribute to other members of the group. Scales used the cash proceeds from his drug dealings largely for car rentals, hotels and luxury clothing, including purchases at Saks Fifth Avenue alone of over $28,000. Scales was previously convicted twice of drug trafficking, each of which resulted in lengthy prison terms.
“Scales and other members of this drug trafficking organization pumped huge quantities of poison into Philadelphia and the surrounding suburbs,” said U.S. Attorney McSwain. “Drug trafficking is an inherently dangerous business and those engaged in it ultimately deliver destruction to our communities. Our Office is determined to protect the communities impacted by drug trafficking by investigating and convicting criminals like Scales and putting them behind bars.”
“Scales, who has two prior convictions for drug offenses, was found guilty of distributing substantial quantities of dangerous illegal street drugs such as methamphetamine, heroin, and fentanyl,” said Jonathan A. Wilson, Special Agent in Charge of the Drug Enforcement Administration’s (DEA) Philadelphia Field Division. “Even after serving lengthy prison terms for his prior convictions, Scales’ greed led to his continued drug trafficking activities and utter disregard for the law and the communities affected by him. Scales now faces a lengthy prison sentence for his drug trafficking.”
“Drugs don’t stop at county borders. This makes collaborative efforts like this one essential,” said Bucks County District Attorney Matthew Weintraub. “We in law enforcement are fortunate to have excellent federal, state, county and local partners in our fight to bring drug dealers to justice. This conviction was the culmination of teamwork at its finest.”
“The investigation, arrest, and successful prosecution of Vontez Scales provides another example of the value of consistent collaboration between law enforcement partner agencies,” said Acting Philadelphia Police Commissioner Christine Coulter. “We anticipate that the conviction and attendant sentencing of Vontez Scales will have an appreciable impact on the quality of life in the neighborhoods in which the recidivist offender operated.”
The case was investigated by the Drug Enforcement Administration, Bucks County Detectives Bureau and the Philadelphia Police Department, and is being prosecuted by Assistant United States Attorneys Christopher Parisi and Andrea Foulkes.
Ohio Man Who Came to PA Seeking Sex with Teen Sentenced to 4 Years in Federal PrisonRead the Press Release
PITTSBURGH, PA- A former resident of Vienna, Ohio, has been sentenced in federal court to four years’ (48 months’) imprisonment and seven years’ supervised release on his conviction of traveling with intent to engage in illegal sexual activity with a minor, United States Attorney Scott W. Brady announced today. The defendant was additionally ordered to pay $1,543.89 in restitution and a $5,100.00 special assessment.
United States District Judge Cathy Bissoon imposed the sentence on Jeffery Judd, 60.
According to information presented to the court, in late May 2017, Judd began conversing with a 14-year-old male over the "Chathour" software application and by email. He arranged to meet the child victim in the parking lot of his school on June 1, 2017, and traveled from Vienna, Ohio, to Hermitage, Pennsylvania, to engage in intercourse and oral sex acts with the victim. The victim was frightened by Judd’s arrival at the school, and failed to show at the meet location. He later reported his communications with Judd to school officials. Judd continued to communicate by email with the victim until June 5, 2017.
Assistant United States Attorney Carolyn J. Bloch prosecuted this case on behalf of the government.
The Federal Bureau of Investigation and the Hermitage Police Department conducted the investigation leading to the prosecution of Judd. This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals, who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Nigerian Man Pleads Guilty to Heroin Trafficking ConspiracyRead the Press Release
ALEXANDRIA, Va. – A Nigerian man pleaded guilty today to trafficking more than 30 kilograms of heroin intended for importation into the United States.
According to court documents, in December 2017, Edwin Anyaoku, 54, sold a kilogram of heroin for $15,000 to a confidential DEA source, with the understanding that the source would smuggle the heroin into the United States where it could be sold at a high profit. Anyaoku told the source that he had a nephew in the United States who could receive drug proceeds, and even offered to fly to the United States himself to bring back the money.
The one-kilogram deal, however, was only a test, and thereafter, Anyaoku started planning to sell the source a much larger load of heroin intended for the United States. In June 2018, Anyaoku arranged to sell the source a total of 29 kilograms of heroin, two of which were Anyaoku’s own personal investment, at a price of $14,000 per kilogram. Anyaoku expected to net a personal profit of thousands of dollars from the sale. In June 2018, Anyaoku and two accomplices showed up at a hotel in Johannesburg, South Africa, with all 29 kilograms of heroin in luggage. Anyaoku was arrested and later extradited to the United States from South Africa in June 2019.
Anyaoku pleaded guilty to one count of conspiracy to distribute, and distribution of one kilogram or more of heroin. He faces a mandatory minimum penalty of 10 years in prison when sentenced on March 20, 2020. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Jesse R. Fong, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division, made the announcement after U.S. District Judge Liam O’Grady accepted the plea. Assistant U.S. Attorney Katherine E. Rumbaugh is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:18-cr-270.
New Orleans Tax Preparer Pleads Guilty to Filing False IRS ReturnRead the Press Release
NEW ORLEANS – DANIELLE FRANKLIN, age 28, and a resident of New Orleans, Louisiana, pleaded guilty on December 5, 2019 to one count of assisting in the preparation of a fraudulent tax return before United States District Court Judge Eldon E. Fallon, announced U.S. Attorney Peter G. Strasser of the Eastern District of Louisiana.
As charged in the indictment, FRANKLIN prepared a false tax return in 2014 for a client of Cutting Edge Income Tax, located on Airline Drive in Metairie, Louisiana. As part of the scheme, FRANKLIN allegedly falsified the return by including fraudulent business losses when in fact the customer had zero losses and expenses.
Sentencing will be on March 5, 2020. At that time, FRANKLIN faces a maximum sentence of three years, one year of supervised release, and a $100,000 fine for aiding and assisting in the preparation of a fraudulent tax return.
U.S. Attorney Strasser commended the special agents of IRS-Criminal Investigation for their handling of the matter. The case is being prosecuted by Assistant United States Attorney Edward J. Rivera.
New Orleans Resident Sentenced for Violating the Federal Gun Control ActRead the Press Release
NEW ORLEANS – JACOB BANKS, age 29, a resident of New Orleans, was sentenced on December 5, 2019 by United States District Judge Mary Ann Vial Lemmon on one count of being a felon in possession of a firearm, in violation of the Federal Gun Control Act, announced U.S. Attorney Peter G. Strasser.
BANKS had previously admitted to possessing a Ruger, LCP, 9 mm caliber semi-automatic pistol in the French Quarter. New Orleans Police Department Officers had observed BANKS and another man smoking marijuana and approached them. BANKS fled, discarding the pistol he was carrying in a dumpster as he ran down the block. The officers apprehended BANKS and then found the pistol in the dumpster.
Judge Lemmon sentenced BANKS to 33 months in the custody of the U.S. Bureau of Prisons, to be followed by three years of supervised release after his term of imprisonment. Judge Lemmon also ordered BANKS to pay a special assessment of $100 and ordered that the gun he had possessed be forfeited to the United States.
This case was investigated by the New Orleans Police Department, Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Drug Enforcement Administration. The prosecution is being handled by Assistant United States Attorney David Haller.
Nevada Man Arrested in Yuba County Charged with Illegal Firearms PossessionRead the Press Release
SACRAMENTO, Calif. — A federal grand jury returned a three-count indictment Thursday against Darrel Kieth Higginbotham, 53, of Fernley, Nevada, charging him with being a felon in possession of a firearm, U.S. Attorney McGregor W. Scott announced.
According to court documents, on Feb. 28, Yuba County Sheriff deputies responded to a report of a prowler attempting to enter a home in Olivehurst. When deputies arrived, they found Higginbotham near the home. A pat-down of Higginbotham revealed a .45-caliber handgun in his jacket pocket that was cocked with the hammer back and loaded with one round in the chamber and seven in the magazine.
Higginbotham had been convicted previously of violent felonies and had a domestic violence restraining order against him. The convictions and the restraining order prohibit his possession of firearms under federal law.
In addition to the handgun, Higginbotham had 10 firearms, including two short-barreled AR-15 rifles, a shotgun, and multiple handguns in his truck. All of the firearms were loaded or had loaded ammunition magazines nearby.
The following day, March 1, after Higginbotham was released on bail, he visited a storage facility. After securing a search warrant, deputies searched Higginbotham’s unit and found 15 additional firearms, including another AR-15 rifle, three shotguns, and multiple handguns. Again, deputies found most of the firearms loaded.
This case is the product of an investigation by the Federal Bureau of Investigation and the Yuba County Sheriff’s Office. Assistant U.S. Attorney James Conolly is prosecuting the case.
If convicted, Higginbotham faces a maximum statutory penalty of 10 years in prison and a $250,000 fine on each count. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case 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.
Mountlake Terrace, Washington, man sentenced to ten years in prison for possessing and distributing images of child rapeRead the Press Release
Seattle – A Mountlake Terrace, Washington, man was sentenced today in U.S District Court in Seattle to 10 years in prison and 20 years of supervised release for possession and distribution of child pornography. CHRISTOPHER LEE WOOD, age 41, pleaded guilty July 15, 2019, about a year after law enforcement served a search warrant on his home. A Seattle Police detective working with the Internet Crimes Against Children Task Force had identified WOOD as the person using file sharing software to distribute images of child rape. At the sentencing hearing, U.S. District Judge Richard A. Jones noted that every time WOOD sent an image out, someone else is looking at it and multiplying the damage to the child in the image.
According to records filed in the case, WOOD was using peer-to-peer file sharing software to distribute and trade images of child sexual abuse. When law enforcement seized his electronic devices, they found 42 images and 69 video files showing minors engaged in sexually explicit conduct. Investigators also found seven images of a young child in lascivious poses. The images had not been distributed, and WOOD had deleted them from his computer. The images of a young child known to WOOD were a critical reason for the ten-year sentence.
The case was investigated by the Seattle Police led Internet Crimes Against Children Task Force and Homeland Security Investigations (HSI).
The case was prosecuted by Special Assistant United States Attorney Cecelia Gregson. Ms. Gregson is a Senior King County Deputy Prosecutor specially designated to prosecute child exploitation crimes in federal court.
Monroeville Felon Sentenced to 12½ Years in Prison for Distributing Deadly Drug and Illegally Possessing a PistolRead the Press Release
PITTSBURGH – An Allegheny County man has been sentenced in federal court to 12 years and seven months (151 months) in prison on his conviction of distribution of fentanyl and possession of a firearm by a convicted felon, United States Attorney Scott W. Brady announced today.
Senior United States District Judge Joy Flowers Conti imposed the sentence yesterday on Ryan Williams, 31, of Monroeville, Pennsylvania.
According to information presented to the court, on or about November 23, 2016, Williams distributed a quantity of fentanyl to an individual who later used the fentanyl and died from an overdose. Additionally, on December 1, 2016, law enforcement executed a search warrant at Williams’ residence and found him to be in possession of a Glock .40 caliber pistol. Given his prior felony convictions, Williams is not permitted to possess a firearm.
Assistant United States Attorney Lee J. Karl prosecuted this case on behalf of the government.
United States Attorney Brady commended the Monroeville Police Department and the Federal Bureau of Investigation for the investigation leading to the successful prosecution of Williams.
Methamphetamine Trafficker Sentenced to over 11 Years in Federal PrisonRead the Press Release
Spokane – William D. Hyslop, United States Attorney for the Eastern District of Washington, announced that Daniel F. Humphrey, age 43, of Spokane, Washington was sentenced after having pleaded guilty on September 3, 2019, to distribution of 50 grams or more of methamphetamine. Chief United States District Judge Thomas O. Rice sentenced Humphrey to a 140-month (11.6 years) term of imprisonment, to be followed by a 5-year term of court supervision after he is released from federal prison.
According to information disclosed during court proceedings, Humphrey sold over 200 grams of methamphetamine during a “controlled buy” conducted by members of the Federal Bureau of Investigation (FBI) Spokane Regional Safe Streets Task Force. Investigators also executed a warrant to search Humphrey’s residence and travel trailer, which resulted in the seizure and forfeiture of over $380,000 in U.S. currency.
United States Attorney Hyslop said, “The sentence imposed reflects the serious consequences drug traffickers face for trying to bring illicit drugs into our communities. The United States Attorney’s Office for the Eastern District of Washington and our federal, state, local and tribal law enforcement partners remain vigilant in protecting the community from drug traffickers.”
This case was investigated by the Spokane Resident Office of the Federal Bureau of Investigation, Spokane Regional Safe Streets Task Force and Spokane Police Department. This case was prosecuted by Patrick J. Cashman, an Assistant United States Attorney for the Eastern District of Washington.
Meridian Man Sentenced to over 13 Years in Federal Prison for Trafficking MethamphetamineRead the Press Release
Meridian, Miss. – Diamonte Deron Scott, 27, of Meridian, was sentenced today by U.S. District Carlton W. Reeves to 160 months in federal prison, followed by 5 years of supervised release, for distributing and illegally possessing methamphetamine, announced U.S. Attorney Mike Hurst and Brad Byerley, Special Agent in Charge of the Drug Enforcement Administration (DEA).
On September 1, 2016, Scott sold methamphetamine to an individual in Meridian for $3,600. A DEA laboratory confirmed the methamphetamine to be approximately 107 grams with 97% purity.
Scott pled guilty before Judge Reeves on September 6, 2019, to distributing 50 grams or more of actual methamphetamine, a Schedule II controlled substance.
This case is the result of an investigation by the Drug Enforcement Administration and East Mississippi Drug Task Force. It was prosecuted by Assistant U.S. Attorney Keesha Middleton.
Meeting Scheduled for Victims of Man Who Stole from Charity Founded to Help Veterans and Military FamiliesRead the Press Release
On August 28, 2019, KEVIN E. CREED, of Litchfield, waived his right to be indicted and pleaded guilty in New Haven federal court to wire fraud related to a scheme in which he stole approximately $1.4 million from the Friends of Fisher House Connecticut, a charity he established with the purported purpose to raise funds to support the building and maintenance of a veterans comfort home in West Haven.
On November 15, 2019, U.S. District Judge Janet C. Hall issued a ruling establishing that:
- Friends of Fisher House Connecticut is a victim of Creed’s fraudulent scheme, as defined under the Crime Victims’ Rights Act.
- Any individual or entity targeted through direct solicitations that relied on false representations by Creed, to include person-to-person contact, online media, or fundraisers planned by Creed or his staff for the benefit of Friends of Fisher House Connecticut, is a victim under the Crime Victims’ Rights Act.
- Individuals who participated in an event coordinated by another organization or individual, such as runners in charity races, are not considered to be victims under the statute, because that individual was not directly or proximately harmed by Creed’s fraudulent scheme.
- Fisher House National and the veterans who may have benefited in the future from the pilfered funds are not statutory considered victims of Creed’s wire fraud.
All victims who donated to the Friends of Fisher House Connecticut have a right to be heard at any proceeding regarding the plea and also have the reasonable right to confer with the government regarding the plea. Representatives of the U.S. Attorney’s Office and the Assistant U.S. Attorney assigned to this matter are available for such conference in person, by telephone or by e-mail.The U.S. Attorney’s Office has scheduled a meeting with any interested victims to be held on December 11, 2019, at 10 a.m., in the Jury Assembly Room located in the U.S. District Court, 141 Church Street, in New Haven. Identified victims of this fraud scheme, as well as individuals who believe they are victims of this fraud scheme and have not been previously contacted by the U.S. Attorney’s Office, are encouraged to attend. Please RSVP to Ines Cenatiempo at [email protected] or by phone at 203-821-3757.
For victims who are unable to attend the meeting in person, a conference call line will be available:
Conference Call Dial-in Number: 888-995-9851
Passcode: 3406517In order to accommodate the many victims in this case, the conference call with be “listen-only,” and all phone participants will be muted. Victims with follow-up questions or concerns will be encouraged to contact the U.S. Attorney’s Office by e-mail or phone after the call.
McLaughlin Man Sentenced to 20 Months for BurglaryRead the Press Release
United States Attorney Ron Parsons announced that a McLaughlin, South Dakota, man was sentenced for Third Degree Burglary and Aiding and Abetting.
Lyle Daniel Mousseau, age 42, was sentenced on December 4, 2019, by U.S. District Judge Charles B. Kornmann to 20 months in federal prison, followed by 3 years of supervised release, and ordered to pay $6,324.93 in restitution to the victim, and $100 to the Federal Crime Victims Fund.
According to court documents, on or about July 11, 2018, Lyle Daniel Mousseau and Alexander Guy Jones unlawfully entered and remained in an unoccupied structure in McLaughlin, with intent to commit the crime of larceny. Jones was convicted earlier this year and received a sentence of 11 months of custody.
The investigation was conducted by the Bureau of Indian Affairs – Office of Justice Programs. Assistant U.S. Attorney Jeremy R. Jehangiri prosecuted both cases.
Mousseau was remanded to the custody of the U.S. Marshals Service.
Man Sentenced to 13 Months for Failing to Update his Sex Offender RegistrationRead the Press Release
ALBANY, NEW YORK – Jovan Robinson, age 38, was sentenced on December 4 to 13 months in prison for failing to update his sex offender registration.
The announcement was made by United States Attorney Grant C. Jaquith and David L. McNulty, United States Marshal for the Northern District of New York.
Robinson was convicted of violating the federal Sex Offender Registration and Notification Act (“SORNA”), which requires a sex offender to register, and keep that registration current, wherever he or she resides. As part of his guilty plea, Robinson admitted that he was convicted of sexual abuse in the third degree in Oregon, which required him to register as a sex offender. Robinson further admitted that he moved from Massachusetts to Albany, and lived in Albany from March 4, 2018 until his arrest on March 9, 2018 without ever registering in New York or updating his registration in Oregon.
This case was investigated by the United States Marshals Service Sex Offender Investigation Branch, the Albany Police Department, and the Albany County District Attorney’s Office, and was prosecuted by Assistant U.S. Attorney Alicia G. Suarez.
This case was prosecuted as part of Project Safe Childhood. Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), and is designed to marshal 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 https://www.justice.gov/psc.
Man Arrested in Vallejo Charged with Unlawful Possession of a FirearmRead the Press Release
SACRAMENTO, Calif. — A federal grand jury returned a two-count indictment Thursday against Reginald Smith, 39, charging him with possession with intent to distribute methamphetamine and possession of a firearm in furtherance of a drug trafficking offense, U.S. Attorney McGregor W. Scott announced.
This case is the product of an investigation by the Vallejo Police Department and the Solano County District Attorney’s Office. Assistant U.S. Attorney Vincenza Rabenn is prosecuting the case.
If convicted of the possession with intent to distribute methamphetamine offense, Smith faces a mandatory minimum of five years in prison and a maximum statutory penalty of 40 years in prison and a fine of up to $5 million. If convicted of possession of a firearm in furtherance of drug trafficking charge, he faces a mandatory minimum of five years in prison and a maximum sentence of life in prison and up to a $250,000 fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case 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.
Lummi woman sentenced to three years in prison for gun and drug crimesRead the Press Release
Seattle – A 30-year-old member of the Lummi Nation was sentenced today in U.S. District Court in Seattle to three years in prison and three years of supervised release for being a felon in possession of a firearm and distribution of methamphetamine. AMBER DAWN MENDOZA, aka AMBER DAWN REDSTONE, aka AMBER DAWN MENDOZA-REDSTONE, aka CRYSTAL CARTER, aka JASMINE GARCIA, pleaded guilty June 27, 2019. At the sentencing hearing, U.S. District Judge Richard A. Jones told her that the Court has a low tolerance for people selling drugs in tribal communities and noted that people are dying taking these drugs.
According to records filed in the case, law enforcement made two different undercover buys of heroin and methamphetamine from MENDOZA. The heroin she sold also contained traces of fentanyl. When the Tulalip Tribal Police served a search warrant at MENDOZA’s home they found a Remington 870 shotgun and a .22 Smith and Wesson pistol under pillows on her bed. The shotgun had been reported stolen. Also in the home police found cocaine, ammunition, drug paraphernalia and cash. They found some of the marked bills used in the undercover drug buys.
MENDOZA is prohibited from possessing firearms due to five previous state court felony convictions for drug possession.
The case was investigated by the Tulalip Police Department and the FBI. The case is being prosecuted by Assistant United States Attorney J. Tate London. Mr. London serves as a Tribal Liaison for the U.S. Attorney’s Office.
Los Angeles Man Sentenced to 27 Years in Prison for Scheme to Defraud American Express and Account Holders NationwideRead the Press Release
SACRAMENTO, Calif. — U.S. District Judge Garland E. Burrell Jr. sentenced Ruslan Kirilyuk, 41, of Beverly Hills, to 27 years in prison for his involvement in an international credit card fraud scheme targeting card holders nationwide, U.S. Attorney McGregor W. Scott announced.
According to evidence presented at trial, between October 5, 2011, and March 5, 2014, Kirilyuk conspired with Mihran Melkonyan, 39, of Sacramento; Rouslan Akhmerov, 45, of Studio City; Alexandr Maslov, 38, of Sacramento, and others in a credit card billing scheme that involved creating approximately 71 fraudulent online companies established with the sole purpose of fraudulently charging approximately 119,000 stolen credit card numbers. In total, the members of the scheme billed the stolen credit card numbers for over $3.4 million in unauthorized charges.
As established at trial, to create the fraudulent companies, the members of the scheme obtained over 200 stolen report cards from the San Juan Unified School District in Sacramento. Those report cards had students’ personal identifying information on them such as names and social security numbers. Using that information, Kirilyuk and his associates created fraudulent companies with names designed to sound like real companies, such as “CVS Store,” “Walt Mart,” and “Chevran.”
Working with a hacker based in Moscow, they used those fraudulent companies to charge stolen American Express credit card account numbers. In order to transfer the stolen money, they used shell bank accounts held in the names of individuals whose identities had been stolen and former Russian J-1 visa holders. According to court documents, Kirilyuk has a history of corporate cyberintrusion dating back to at least 2003.
This case is the product of an investigation by the Federal Bureau of Investigation. Assistant U.S. Attorney Michael D. Anderson prosecuted the case.
In an earlier trial, on February 15, 2017, Melkonyan was found guilty of all 24 counts of wire fraud and two counts of mail fraud charged against him related to the scheme. He was sentenced on January 4, 2019, to 19 years and two months in prison.
On December 15, 2014, Akhmerov pleaded guilty to one count of access device fraud for his participation in the scheme. He is set to be sentenced on December 13, 2019.
Maslov is pending trial with a status conference scheduled for January 31, 2020. The charges against him are only allegations; he is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Lewisboro Town Justice Pleads Guilty to Tax EvasionRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, and Jonathan D. Larsen, the Special Agent in Charge of the New York Field Office of the Internal Revenue Service, Criminal Investigation (“IRS-CI”), announced that MARC A. SEEDORF pled guilty today to tax evasion before U.S. District Judge Cathy Seibel in White Plains federal court.
U.S. Attorney Geoffrey S. Berman said: “As he admitted today, for years Marc Seedorf flouted his obligations under the law to file tax returns and to pay taxes. This was conduct that would be shameful for anyone, and all the more so from an attorney and a member of the judiciary. Now Seedorf awaits sentencing for his crime.”
IRS-CI Special Agent in Charge Jonathan D. Larsen said: “As a Lewisboro Town Justice, Mr. Seedorf knows the consequences when laws are broken. To maintain faith in our nation’s tax system, honest taxpayers need to be reassured that everyone is paying their fair share. IRS-CI, together with the Department of Justice, will investigate and prosecute those who break this country’s tax laws.”
According to the allegations contained in the Information:
During the relevant time period of 2009 through October 2019, SEEDORF was a Town Justice for the Town of Lewisboro, New York. SEEDORF also received income from the private practice of law.
SEEDORF did not file U.S. Individual Income Tax Returns for the tax years 2005 through 2015, despite being required to do so. As a result of the income SEEDORF earned from 2005 through 2008, he incurred a federal income tax liability of approximately $323,000, including interest and penalties (“SEEDORF’s 2005 Through 2008 Tax Liability”). As a result of the income SEEDORF earned from 2009 through 2013, he incurred a federal income tax liability of approximately $164,000, including interest and penalties (“SEEDORF’s 2009 Through 2013 Tax Liability”).
In early August 2012, SEEDORF received $1,524,116 in connection with the settlement of a civil lawsuit. At SEEDORF’s request, the law firm that represented SEEDORF in the lawsuit (“Law Firm-1”) deposited the settlement proceeds into its attorney trust account, to be disbursed to SEEDORF at an unspecified later date. In the following years, SEEDORF instructed Law Firm-1 to disburse portions of the settlement proceeds to accounts other than his personal bank account, including his law firm’s operating account, his law firm’s attorney trust account, and his brother-in-law’s personal account, in order to disguise the source of funds he used to make payments to the IRS and other creditors, and the existence of the remainder of the settlement proceeds.
From January 2010 through June 2013, the IRS attempted to collect SEEDORF’s 2005 Through 2008 Tax Liability, including by mailing letters to SEEDORF and requesting documents and records from SEEDORF. SEEDORF failed to provide any records to the IRS or make any payment toward SEEDORF’s 2005 Through 2008 Tax Liability.
In June 2013, after the IRS initiated a process to place a levy upon an investment account held by SEEDORF, he instructed Law Firm-1 to wire $400,000 of the settlement proceeds to his own law firm’s attorney trust account, from which he then paid his outstanding 2005 Through 2008 Tax Liability. During a conversation with an IRS Revenue Officer concerning the source of these funds, SEEDORF falsely stated that he had borrowed the funds from his own law firm’s trust account.
During a December 2014 IRS interview, an IRS Revenue Agent asked SEEDORF whether he had received any non-taxable income during the period from 2009 through 2013. During the interview, SEEDORF never disclosed the 2012 law suit settlement or the existence of the more than $540,000 of settlement proceeds that remained in Law Firm-1’s attorney trust account at that time.
SEEDORF pled guilty to one count of tax evasion, which carries a maximum sentence of five years in prison. The maximum potential sentence in this case is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
SEEDORF is scheduled to be sentenced by Judge Seibel on March 24, 2020, at 2:30 p.m.
Mr. Berman praised the investigative work of the IRS-CI.
This case is being prosecuted by the Office’s White Plains Division. Assistant U.S. Attorney Jeffrey C. Coffman is in charge of the prosecution.
Lebanon Woman Sentenced to 21 Months in Federal Prison for Perpetrating Elder Fraud Scheme Against Former EmployerRead the Press Release
INDIANAPOLIS – United States Attorney Josh J. Minkler announced today that Annie Fields, 54, Lebanon, Indiana, was sentenced in federal court, by U.S. District Judge Tanya Walton Pratt, to 21 months in federal prison, after being charged by information and pleading guilty to charges of wire fraud.
"Fields abused her position with M&M, took advantage of her elderly employers, and violated their trust," said Minkler. "The U.S. Attorney’s Office is committed to prosecuting those individuals who perpetrate elder fraud schemes against vulnerable and elderly victims."
Annie Fields was employed by M&M, Inc., (M&M), an automotive services business located in Zionsville, Boone County, Indiana. Fields’ duties included bookkeeping and clerical responsibilities. The owners of M&M are elderly and were vulnerable to being victimized and exploited, by people like fields. They hired Fields for her experience in accounting and they entrusted Fields to manage M&M’s books. Fields had access to M&M’s business account and business MasterCard. Fields was not authorized to use the checking account or credit card account for personal reasons.
On several occasions, between September 2012 and December 2014, Fields wrote unauthorized checks payable to herself, or to her creditors on the M&M bank account. In creating the fraudulent checks, Fields also prepared a false copy of these checks, which contained a different payee, and appeared to be an authorized business payee for M&M. Fields made the false copies available to M&M officials.
Between October 9, 2012 and July 3, 2014, Fields, on many occasions, used the M&M credit card account for unauthorized personal expenses. In order to hide these transactions from M&M officials, Fields prepared altered credit card statements, which omitted her unauthorized transactions, and made only these false versions of the statements available to M&M officials. Fields’ fraudulent schemes resulted in a loss of $36,895 to M&M.
This case was investigated by the Federal Bureau of Investigation.
"When the elderly are defrauded, this can cause a significant financial hardship and these losses can be devastating to them," said Acting Special Agent in Charge Alex Middleton, FBI Indianapolis. "Today’s sentence sends a clear message – the FBI will hold perpetrators of elder fraud schemes accountable and ensure our elderly citizens receive the protection they deserve."
According to Assistant U.S. Attorney James M. Warden, who prosecuted this case for the government, Fields will serve two years’ supervised release following her prison sentence. Fields will pay full restitution to the victims in the amount of $36,895.00, as ordered by the court.
In October 2017, United States Attorney Josh J. Minkler announced a Strategic Plan designed to shape and strengthen the District’s response to its most significant public safety challenges. This prosecution demonstrates the Office’s firm commitment to prosecuting those individuals who engage in complex and sophisticated fraud schemes, particularly those that exploit vulnerable victims, and abuse positions of trust. See United States Attorney’s Office, Southern District of Indiana Strategic Plan 5.1.
Leader of a Violent Mexican Drug Trafficking Organization Charged with International Drug Importation Conspiracy and Weapons UseRead the Press Release
Fausto Isidro Meza-Flores, also known as “Chapo Isidro,” has been charged in a superseding indictment with a conspiracy to distribute cocaine, methamphetamine, heroin and marijuana for importation into the United States. Meza-Flores, a Mexican national who is believed to currently reside in Mexico, is the leader of the Meza-Flores Transnational Criminal Organization (TCO), a major drug trafficking organization based in Sinaloa, Mexico.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division and Assistant Director in Charge Timothy R. Slater of the FBI’s Washington Field Office made the announcement.
Fausto Isidro Meza-Flores, 37, is charged in a two-count indictment returned Nov. 26, 2019, alleging that from in or around January 2005, through November 2019, he conspired to distribute cocaine, methamphetamine, heroin, and marijuana from Mexico and elsewhere for importation into the United States. Further, Meza-Flores is alleged to have used and carried a machinegun and destructive device during, and in relation to, his drug trafficking crimes.
As part of continuing efforts to disrupt and dismantle the operations of the drug trafficking organizations, the FBI Washington Field Office, in partnership with the U.S. Department of State’s Narcotics Rewards Program, has issued a reward of up to $5 million for information leading directly to the arrest and/or conviction of Meza-Flores. Individuals with information about Meza-Flores or the Meza-Flores TCO should contact the FBI at 1-800-CALL-FBI (1-800-225-5324), contact the nearest U.S. Embassy or Consulate, or submit a tip online at tips.fbi.gov. Tips can remain confidential.
The case is being investigated by the FBI Washington Field Office. This case is also the result of the ongoing efforts by the Organized Crime Drug Enforcement Task Forces (OCDETF), a partnership that brings together the combined expertise and unique abilities of federal, state, and local enforcement agencies. The principal mission of the OCDETF program is to identify, disrupt, dismantle, and prosecute high-level members of drug trafficking, weapons trafficking, and money laundering organizations and enterprises.
An indictment is merely an allegation, and a defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Trial Attorneys Jason Ruiz and Anthony Aminoff of the Criminal Division’s Narcotic and Dangerous Drug Section (NDDS) are prosecuting the case.
Lead Defendant in DFW Airport Drug-Smuggling Ring Sentenced to 16+ YearsRead the Press Release
The lead defendant in a drug-smuggling ring that attempted to traffic methamphetamine through the Dallas Fort Worth International Airport was sentenced this afternoon to 16 years and 8 months in federal prison, announced U.S. Attorney for the Northern District of Texas Erin Nealy Cox.
Nelson Pabon, 48, pleaded guilty in March to conspiracy to possess with intent to distribute a controlled substance.
In plea papers, Mr. Pabon – a former airline supervisory crew chief from Friendswood, Texas– admitted that he worked with several individuals to circumvent security at DFW Airport in order to load purported drugs onto commercial flights.
Mr. Pabon told undercover agents that because he received advance notice of narcotic canine baggage sweeps, he was well-positioned to sneak drugs onto cross-country jets in return for cash.
On at least six occasions between August 2016 and May 2018, Mr. Pabon and his coconspirators smuggled purported crystal meth – in actuality a dummy substance provided by undercover agents – onto commercial flights to Newark, New Jersey, he admitted.
Other members of the conspiracy smuggle purported crystal methamphetamine onto commercial flights to Charlotte, North Carolina, and Phoenix, Arizona.
Mr. Pabon further acknowledged he even contemplated smuggling inert explosives, which he was told would not combust en route, and told others, including Michael Alexis Rivera Vasquez and Jean Loui Vargas Malave, that they would get paid more for smuggling the explosives.
“These defendants attempted to subvert the security systems that keep Americans safe in the skies,” said U.S. Attorney Nealy Cox. “Airport and airline workers cannot be allowed to leverage their positions of trust and profit off transporting deadly substances. We must all be insist that every precaution is taken to prevent security breaches of this type. ”
“The defendants exploited their employee access for personal gain and jeopardized the safety of airline travelers. The FBI would like to thank our local and federal partners for working with us to dismantle this criminal enterprise,” said FBI Special Agent in Charge Matthew J. DeSarno of the Dallas Field Office. “Our citizens expect all airports to be safe and secure. We will remain vigilant and investigate anyone who attempts to compromise aviation security.”
Mr. Pabon is one of 12 coconspirators indicted in two cases involving bypassing airport security to smuggle contraband onto commercial airline flights at DFW. Two co-defendants, Benitez Matienzo, a 46 -year-old baggage handler, and Michael Alexis Riviera Vasquez, a 22-year-old baggage handler, were sentenced today to 45 months and 48 months, respectively.
Camacho Melendez, 23, was sentenced Thursday to 97 months in federal prison; Cristian David Cruz-Rodriguez, 24, was sentenced in October to 65 months; Joshua Israel Pagan Zapata, 22, was sentenced in October to 63 months; Domingo Villafane Martinez, 32, was sentenced in August to 27 months; Jose Luis Gaston-Rolon, 25, was sentenced in August to 87 months; Luis Javier Collazo Rosado, 23, was sentenced in July to 30 months; and Kiir Akan Carson, 26, was sentenced in June to 12 months, 1 day, all for conspiracy to possess with intent to distribute a controlled substance.
Jean Loui Vargas Malave* is the only remaining captured defendant pending sentencing. He is set to be sentenced on January 23, 2020.
The law enforcement operation was led by the Federal Bureau of Investigation’s Dallas Field Office, the Dallas Police Department, and the Internal Revenue Service Criminal Investigation Division. Assistant U.S. Attorneys George Leal, John de la Garza, and John Kull are prosecuting the cases.
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*UPDATE, 2/3/2020: Co-defendant Jean Loui Vargas Malave, 23, was sentenced on January 31, 2020 to 10 years in federal prison for conspiracy to possess with intent to distribute methemphetamine.
Law Enforcement Arrest Eight Involved in Drug Trafficking Organization Operating in and Around Union CountyRead the Press Release
CHARLOTTE, N.C. – Federal criminal complaints were unsealed today in federal court, following the arrest of eight individuals involved in a drug trafficking organization operating in and around Union County, announced Andrew Murray, U.S. Attorney for the Western District of North Carolina.
Agents and officers with the FBI, ATF, DEA, ICE-ERO, the Monroe Police Department, the Union county Sheriff’s Office, and the Wadesboro Police Department executed the arrest warrants yesterday, during an early morning round-up.
According to allegations contained in the criminal complaints, the eight individuals arrested are members of the Garcia Family drug trafficking organization (DTO). Over the course of the investigation, which began in April 2019, the defendants operated as a drug conspiracy and allegedly trafficked narcotics, including heroin and methamphetamine, in Union County and surrounding areas. The complaints charge the eight defendants with conspiracy to distribute and to possess with intent to distribute methamphetamine. Those arrested and charged are:
- Elio Garcia Godinez, 30, of Monroe, N.C.
- Ivan Jardon Trujillo, 47, of Monroe, N.C.
- Ivan Trujillo Garcia, 21, of Monroe, N.C.
- Eleonel Castrejon Garcia, 23, of Monroe, N.C.
- Estefani Garcia Sandoval, 25, of Monroe, N.C.
- Luis David Bravo, 36, of Monroe, N.C.
- Miguel Benitez Castrejon, 39, of Monroe, N.C.
- Matilde Isaias Cruz Portillo, 35, of Atlanta, Georgia.
The defendants had their initial appearance this morning before U.S. Magistrate Judge David S. Cayer. Their next court appearance is scheduled for December 11, 2019.
The penalty associated with the drug conspiracy charge carries a minimum term of 10 years and a maximum of life in prison and a $10,000,000 fine.
The charges contained in the charging documents are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
In making today’s announcement, U.S. Attorney Murray praised the outstanding efforts of the FBI, ATF, DEA, the Monroe Police Department and the Union County Sheriff’s Office for their investigation which led to the federal charges. U.S. Attorney Murray also noted the assistance provided by ICE – Enforcement & Removal Operations and the Wadesboro Police Department.
Assistant U.S. Attorney Erik Lindahl of the U.S. Attorney’s Office in Charlotte is prosecuting the case.
This prosecution is part of an extensive investigation by the Organized Crime Drug Enforcement Task Force (OCDETF). OCDETF is a joint federal, state and local cooperative approach to combat drug trafficking and is the nation’s primary tool for disrupting and dismantling major drug trafficking organizations, targeting national and regional level drug trafficking organizations and coordinating the necessary law enforcement entities and resources to disrupt or dismantle the targeted criminal organization and seize their assets.
Kentwood Resident Pleads Guilty to Role in Stealing Identities as Part of Nationwide Prostitution Scheme That Involved Drugging VictimsRead the Press Release
NEW ORLEANS – U.S. Attorney Peter G. Strasser announced that DOMINIQUE ALAINA BERRY, age 30, a resident of Kentwood, Louisiana, pleaded guilty as charged on December 5, 2019 before United States District Judge Eldon E. Fallon to a two-count bill of information that charged her with conspiracy to commit wire fraud, bank fraud, and interstate transportation and use of an interstate facility with intent to carry on unlawful activity, in violation of Title 18, United States Code, Sections 371, 1343, 1344, and 1952(a)(3) (Count 1), and aggravated identity theft, in violation of Title 18, United States Code, Section 1028A (Count 2).
According to court documents, BERRY and R.S. met in about early 2013 and soon developed a romantic relationship. Thereafter, BERRY began working for an escort agency under R.S.’s supervision, often engaging in prostitution activities. BERRY and R.S. travelled nationally engaging in their prostitution scheme, the proceeds of which R.S. required BERRY to give to him. R.S. and BERRY often advertised on location-specific bulletin boards, social applications, and classified advertisement websites. BERRY often used the alias “Desiree Knowles.” When BERRY did not perform her role efficiently or effectively or otherwise failed to comply with R.S.’s direction, R.S. would threaten, slap, strike, beat, and choke BERRY.
Thereafter, BERRY and R.S.’s enterprise evolved into one that involved meeting individuals online who were interested in companionship, arranging face-to-face interactions with them, and incapacitating them by giving them illegal drugs and prescription medication with neuro-suppressive side effects, including anti-psychotic medications, which the victims unknowingly ingested. BERRY and R.S. would then steal the victims’ valuables.
Between at least November 2015 and September 2017, R.S. and BERRY implemented the scheme on not fewer than fifty (50) occasions throughout the United States, including in California, Arizona, New Mexico, Texas, Louisiana, and Georgia. Court documents detail nine of the victims. BERRY and R.S. typically traveled in a white Mercedes Benz automobile. BERRY and R.S. were arrested at a hotel in Sandy Springs, Georgia, on September 13, 2017. When law enforcement authorities found BERRY at the hotel, she was bleeding from her nose, had a swollen lip and puncture consistent with her teeth biting through her lip, and black electrical tape around one of her arms.
Among the victims was S.A., a resident of Metairie, Louisiana, whom BERRY met through a social media application on about February 24, 2017. After exchanging text messages and phone calls, BERRY and S.A. agreed to meet at S.A.’s apartment. Thereafter, R.S. dropped BERRY off at S.A.’s apartment. While at S.A.’s apartment, BERRY placed drugs designed to incapacitate S.A., including multiple anti-psychotic medications, into S.A.’s beverages without his knowledge or authorization. After S.A. lost consciousness, BERRY told R.S. that S.A. was incapacitated. Thereafter, S.A.’s valuables, including his wallet, two cellular phones, his keys, and his 2012 Toyota Tacoma truck were stolen by R.S. and one or more co-conspirators. On February 25, 2017, BERRY and R.S. used S.A.’s debit card to make multiple purchases in the New Orleans area. Additionally, on February 25, 2017, detectives with the Jefferson Parish Sheriff’s Office responded to a wellness check at S.A.’s residence and found him to be deceased. Among its findings, toxicology tests found anti-psychotic medications in S.A.’s body and determined them to have contributed to his death.
If you believe you are a victim of these criminal activities, please contact the FBI at 1-800-CALL-FBI (800-225-5324), and reference this case.
If convicted, BERRY faces a maximum term of seven (7) years in prison, a fine of up to $250,000.00, up to three (3) years of supervised release after imprisonment, and a mandatory $100 special assessment for each count. Sentencing before Judge Fallon has been scheduled for March 19, 2020.
U.S. Attorney Strasser praised the work of the Federal Bureau of Investigation in investigating this matter and expressed appreciation for the support provided by the Jefferson Parish District Attorney’s Office and the Jefferson Parish Sheriff’s Office. Assistant United States Attorneys Jordan Ginsberg, supervisor of the Public Corruption Unit, and Elizabeth Privitera, supervisor of the Violent Crime Unit, are in charge of the prosecution.
Justice Department Settles Immigration-Related Discrimination Claim Against Staffing CompanyRead the Press Release
The Department of Justice announced today that it has reached a settlement agreement with Onin Staffing LLC (Onin Staffing), a Birmingham, Alabama-based staffing company with locations in over a dozen states. The settlement resolves the Department’s investigation into whether the company violated the Immigration and Nationality Act (INA) by discriminating against work-authorized, non-U.S. citizens in McAllen, Texas, because of their citizenship status when verifying their authorization to work in the United States.
“Employers must ensure that their employees are properly trained regarding the employment eligibility verification process so that they do not violate federal law by requiring additional, unnecessary work authorization documents based on a worker’s citizenship status,” said Assistant Attorney General Eric Dreiband of the Civil Rights Division. “We commend Onin Staffing for their commitment to ensuring that all future document requests will comply with the law.”
The Department’s investigation concluded that from at least May 2018 until at least May 2019, Onin Staffing employees in its McAllen, Texas, office required specific work authorization documents from all non-U.S. citizens, while not imposing a similar requirement on U.S. citizens. Federal law allows all work-authorized individuals, regardless of citizenship status, to choose which valid, legally acceptable documents to present to demonstrate their ability to work in the United States. The anti-discrimination provision of the INA prohibits employers from requesting more or different documents than necessary to prove work authorization based on employees’ citizenship status or national origin.
Under the terms of the settlement, the company will pay a civil penalty of $70,695, train certain employees on the requirements of the INA’s anti-discrimination provision, and be subject to departmental monitoring and reporting requirements. Additionally, to avoid discrimination in the future, the company must change features of the Form I-9 software it uses that do not comply with federal law.
The Immigrant and Employee Rights Section (IER) is responsible for enforcing the anti-discrimination provision of the INA. Among other things, the statute prohibits discrimination based on citizenship status and national origin in hiring, firing, or recruitment or referral for a fee; unfair documentary practices; retaliation; and intimidation.
More information on how employers can avoid discrimination in the Form I-9 and E-Verify processes is available here. For more information about protections against employment discrimination under immigration laws, call IER’s worker hotline at 1-800-255-7688 (1-800-237-2515, TTY for hearing impaired); call IER’s employer hotline at 1-800-255-8155 (1-800-237-2515, TTY for hearing impaired); sign up for a free webinar; email [email protected]; or visit IER’s English and Spanish websites. Subscribe to GovDelivery to receive updates from IER.
Applicants or employees who believe they were subjected to discrimination based on their citizenship, immigration status, or national origin in hiring, firing, or recruitment or referral for a fee; or discrimination in the employment eligibility verification process (Form I-9 and E-Verify) based on their citizenship, immigration status, or national origin; or retaliation can file a charge or contact IER’s worker hotline for assistance.
Jury Convicts Orlando Man for Distributing Fentanyl Resulting in Overdose DeathRead the Press Release
Orlando, Florida – A federal jury has found Jonathan Bohn (35, Orlando), a/k/a “Jonah,” guilty of distributing a controlled substance that resulted in death. He faces a maximum penalty of life in federal prison. His sentencing hearing is scheduled for February 18, 2020.
Bohn was indicted on June 12, 2019.
According to testimony and evidence presented at trial, on December 15, 2017, Bohn sold a 45-year-old Orlando resident a controlled substance that contained cocaine laced with fentanyl and heroin. After ingesting the narcotic, the victim’s daughter found the victim dead in their residence the next day. The Orange County Medical Examiner’s office subsequently determined that the victim’s cause of death was fentanyl and cocaine intoxication. At trial, the medical examiner testified that the amount of fentanyl found in the victim’s blood indicated that the victim had consumed a lethal dose of fentanyl.
“I would like to commend the efforts of the Orange County Sheriff’s Office narcotics unit, the U.S. Drug Enforcement Administration, and the Florida Department of Law Enforcement for their hard work and dedication. This collaborative effort between the agencies aided in the successful prosecution in this case,” said Sheriff Mina. “This enforcement and interdiction sends a strong message to all of the drug dealers that they too can and will be investigated for any drug-induced homicides.”
This case was investigated by the Drug Enforcement Administration, the Orange County Sheriff’s Office, and the Florida Department of Law Enforcement. Substantial assistance was provided by the District Nine Office of the Medical Examiner located in Orlando, Florida. It is being prosecuted by Assistant United States Attorney Sean P. Shecter.
Jacksonville Nurse Pleads Guilty to Tampering with Injectable Painkillers by Substituting Saline for MedicationRead the Press Release
Jacksonville, Florida – Taniko Hampton (38, Jacksonville) has pleaded guilty to tampering with a consumer product. She faces a maximum penalty of 10 years in federal prison. A sentencing date has not yet been set.
According to the
plea agreement , on multiple occasions in 2017 and 2018, while working as a nurse in Jacksonville-area hospitals, Hampton extracted the painkiller hydromorphone (also known as Dilaudid) from syringes in the hospitals’ inventories, replaced the drug with saline, and then returned the syringes for use by future patients. A review of hospital records showed that Hampton was obtaining drugs purportedly for patient use, but then returning them supposedly unused, at 10 times the rate of her nursing peers. Further, in at least one instance, Hampton obtained a Dilaudid syringe for a patient who was not assigned to her, and who had not complained of pain, before returning the syringe purportedly unused.When confronted by a supervisor, Hampton eventually admitted that she had been diverting drugs from patients for her personal use for months. She later told Jacksonville Sherriff’s Office detectives that she had been removing the Dilaudid from the syringes, replacing them with saline, and then returning the syringes to the hospital inventory. Hampton admitted that removing medicine from syringes and replacing it with saline could result in patients receiving injections that were not sterile and that lacked prescribed quantities of necessary medication, which could lead to increased risks of bodily injury and possibly death.
This case was investigated by the Jacksonville Sherriff’s Office and the U.S. Food and Drug Administration, Office of Criminal Investigations. It is being prosecuted by Assistant United States Attorney Michael J. Coolican.
Informational: Federal Court arraignmentsRead the Press Release
The U.S. Attorney’s Office announced that the following persons were arraigned or appeared this week before U.S. Magistrate judges on indictments handed down by the Grand Jury or on criminal complaints. The charging documents are merely accusations and defendants are presumed innocent until proven guilty:
Appearing in Great Falls before U.S. Magistrate Judge John T. Johnston and pleading not guilty on Dec. 2 was:
Justin Zane Gobert, 37, of Browning, on charges of aggravated sexual abuse and abusive sexual contact. If convicted of the most serious crime, Gobert faces a minimum mandatory 30 years to life in prison, a $250,000 fine and five years to life of supervised release. Gobert was detained pending further proceedings. The case was investigated by the FBI and Blackfeet Law Enforcement Services. Pacer case reference. 19-81.
Appearing in Missoula before U.S. Magistrate Judge Kathleen L. DeSoto and pleading not guilty on Dec. 4 was:
Shannon Marie O’Brien Murphy, 58, of St. Ignatius, on charges of wire fraud. If convicted of the most serious crime, Murphy faces a maximum 20 years in prison, a $250,000 fine and three years of supervised release. Murphy was released pending further proceedings. The case was investigated by the FBI. Pacer case reference. 19-54.
If any of the above cases are of interest to your media organization and the community it serves, we encourage you to monitor the progress of the case regularly through the U.S. District Court calendar and the PACER system.
To establish a PACER account, which will allow you to review documents filed in the case, please go to, http://www.pacer.gov/register.html. To access the district court’s calendar, please go to https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.
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Hartford Man with Lengthy Criminal History Pleads Guilty to Possessing Loaded HandgunRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that DAVID FRANCIS, 41, of Hartford, pleaded guilty today in New Haven federal court to one count of possession of a firearm by a convicted felon.
According to court documents and statements made in court, on September 28, 2019, a court-authorized search of a vehicle owned by Francis revealed a loaded Hi-Point, model C9, 9mm handgun. In a subsequent interview with investigators, Francis admitted that he had owned the firearm for approximately four years.
Francis’ criminal history includes state felony convictions for drug, robbery and firearm offenses.
It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.
Francis is scheduled to be sentenced by U.S. District Judge Janet Bond Arterton on February 28, 2020, at which time he faces a maximum term of imprisonment of 10 years.
Francis is released on a $150,000 bond pending sentencing.
This matter is being investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Hartford Police Department. The case is being prosecuted by Assistant U.S. Attorney Heather Cherry.
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.
Harlem man admits assault by strangling victimRead the Press Release
GREAT FALLS – A Harlem man admitted on Thursday to assaulting his dating partner by strangling her, causing substantial injury, on the Fort Belknap Indian Reservation, U.S. Attorney Kurt Alme said.
Allesandro Shalamar Foursouls, 27, pleaded guilty to assault resulting in substantial bodily injury to a dating partner. Foursouls faces a maximum five years in prison, a $250,000 fine and three years of supervised release.
U.S. District Judge Brian M. Morris presided and set sentencing for April 2, 2020. Foursouls was detained pending further proceedings.
In court documents filed in the case, the prosecution said the assault occurred on April 13, 2019 at Foursouls’ grandmother’s home, where he lives. Foursouls and the victim, a dating partner, were drinking alcohol when Foursouls became angry with something she said. Foursouls told the victim, “I’ll kill you bitch,” and put his hands around her neck and squeezed until she lost consciousness. The victim was unable to escape until the next morning. She went to the Indian Health Service emergency room, where she was treated for pain and injuries to her throat. The victim told the medical staff that Foursouls had strangled her a day or two prior to her visit and that he had strangled her previously about a week earlier. The victim continued to experience pain from the assault and was treated again in May at Billings Clinic in Billings.
In August, law enforcement saw Foursouls and the victim together and the victim had a fresh black eye and bruising on her body. The victim told officers Foursouls had assaulted her again a day or two prior.
In an interview with an FBI agent, Foursouls admitted to squeezing the victim’s neck in the April assault. When asked why, he said, “Sometimes I will see red and it only lasts for maybe a minute and then I realize what I am doing and I stop.”
Assistant U.S. Attorney Jared Cobell is prosecuting the case, which was investigated by the FBI and Fort Belknap Law Enforcement Services.
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Georgia Man Masking as Purple Heart, Silver Star Recipient Pleads Guilty to Stolen ValorRead the Press Release
COLUMBUS, Ga. – A discharged veteran of the military who reaped monetary benefits for faking a mental health condition triggered by a combat experience that did not occur, and who falsely claimed to have earned two of the highest honors bestowed for military service entered a guilty plea in federal court Wednesday for his crimes, announced Charles “Charlie” Peeler, the U.S. Attorney for the Middle District of Georgia. Gregg Ramsdell, 61, of Columbus, entered a guilty plea to one count of false statements and one count of violation of the Stolen Valor Act before U.S. District Judge Clay Land on Wednesday, December 4, 2019. Defendant Ramsdell is facing a maximum five years in prison and a $250,000 fine for false statements and a maximum one year in prison and a $250,000 fine for stolen valor. Sentencing is scheduled for March 23, 2020. There is no parole in the federal system.
Defendant Ramsdell admitted that he falsely claimed to have suffered post-traumatic stress disorder (PTSD) when he applied for disability payments from the Veteran’s Administration (VA) on September 7, 2014. Defendant Ramsdell wrote that he witnessed horrible atrocities during deployment in Afghanistan from October 2008 to March 2009. Among other stressors, he stated he had seen "men, women and children being executed. Women holding babies while detonating themselves. IED explosions causing severe bodily injuries and death. Retrieving body parts and bagging them. Having blood and body excrements being blown onto my uniform." He also falsely claimed that these experiences made him “unable to live a normal life.” As a result of Defendant Ramsdell’s false claims, the VA gave him added PTSD benefits retroactive to his military discharge date of June 1, 2014 totaling $76,000. In truth, Defendant Ramsdell was not in Afghanistan during that period of time that he claimed to witness the atrocities that supported his false PTSD claim, and he admitted to investigators that he lied about having PTSD. In addition, Defendant Ramsdell applied for and attained a coveted civilian position at U.S. Army Fort Benning in 2017, in part because his resume listed that he was both a Silver Star and Purple Heart with Cluster recipient. He never received these honors.
“Faking serious wartime injuries to gain undeserved benefit, and claiming valor where there is none, do a disservice to our brave veterans and service members who selflessly risk their lives protecting this country,” said U.S. Attorney Charlie Peeler. “Fraud of this kind and theft of taxpayer money will not be tolerated, and we will continue to prosecute those who commit such crimes. I want to thank the FBI investigators assigned to this case for their excellent work.”
“Ramsdell’s actions are an insult to every veteran who has served our country, and in particular every veteran who suffered physical or mental trauma because of their honorable commitment and valor,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “The FBI is committed to seeking justice for anyone who lies about serving our country, and who illegally takes money from federal programs that help veterans who rightfully deserve it.”
The Stolen Valor Act of 2013 makes it a crime for people to pass themselves off as war heroes in order to claim money, employment, property or other tangible benefits. The Silver Star medal is the third highest honor bestowed by the U.S. Army. The Purple Heart medal is awarded to members of the U.S. Armed Forces who are wounded or killed in battle. An additional Oak Leaf Cluster is given to Army and Air Force service members to indicate being wounded in combat on more than one occasion.
The case was investigated by the FBI. Assistant U.S. Attorney Melvin Hyde is prosecuting the case for the Government. Questions can be directed to Pamela Lightsey, Public Information Officer, United States Attorney’s Office, at (478) 621-2603 or Melissa Hodges, Public Affairs Director (Contractor), United States Attorney’s Office, at (478) 765-2362.
Former D.C. Government Employee Pleads Guilty to Distributing FentanylRead the Press Release
ALEXANDRIA, Va. – A former D.C. government employee with a prior conviction for murder pleaded guilty today to distributing the powerful synthetic opioid fentanyl, as well as illegally possessing multiple firearms.
According to court documents, while employed at the D.C. Department of Consumer and Regulatory Affairs (DCRA) in Southwest D.C., Darrell Marcellus Pope, 51, of Clinton, Maryland, sold fentanyl on multiple occasions in front of his office building. The DCRA is located within 1,000 feet of Amiden Bowen Elementary School.
Pope had a broad network of customers, including several who lived across the Potomac River in the Eastern District of Virginia. One of Pope’s customers, identified in court documents as A.D., regularly traveled from Woodbridge to buy heroin and fentanyl from Pope. On March 14, Pope sold drugs to A.D., who brought them back to Woodbridge. The drugs that Pope sold to A.D. ultimately caused the fatal overdose of a Lake Ridge woman.
Fentanyl, which is 50 times more potent than heroin, is a Schedule II synthetic pain reliever that comes in the form of transdermal patches and lozenges. Fentanyl is also produced in clandestine labs both domestically and abroad. Illicitly produced fentanyl is often combined with heroin or other substances to increase potency or ad an opioid effect to an otherwise non-opioid drug. Fentanyl and other synthetic opioid-related deaths have increased dramatically since 2013. The Centers for Disease Control and Prevention estimates that in 2018, 32,000 persons in the United States died from overdosing on synthetic opioids.
Pope pleaded guilty to conspiracy to distribute 40 grams or more of fentanyl, and to being a felon in possession of firearms. He faces a mandatory minimum sentence of five years in prison when sentenced on March 20, 2020. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Timothy M. Dunham, Special Agent in Charge of the FBI’s Washington Field Office Criminal Division, made the announcement after U.S. District Judge Liam O’Grady accepted the plea. Assistant U.S. Attorney Katherine E. Rumbaugh is prosecuting the case.
The Prince William County Police Department provided significant assistance with this case.
Pope’s co-conspirator, Ronald Maxwell Gorham, pleaded guilty to conspiracy to distribute 40 grams or more of fentanyl on October 29, and is scheduled to be sentenced on Feb. 21, 2020.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-355 (Pope) and 1:19-cr-320 (Gorham).
First of 37 Defendants Charged in Darccide/Smash 44 Gang Investigation Pleads Guilty to Drug ChargeRead the Press Release
PITTSBURGH – A resident of the Beltzhoover neighborhood in Pittsburgh pleaded guilty in federal court to charges related to drug trafficking in connection with a large-scale investigation conducted by the Greater Pittsburgh Safe Streets Task Force, United States Attorney Scott W. Brady announced today.
Amber Rogers, 28, pleaded guilty to one count of conspiracy to distribute or possess with intent to distribute heroin and fentanyl, before United States District Judge William S. Stickman IV. Ms. Rogers is one of 37 defendants charged in the Indictment, and the first to enter a guilty plea.
In connection with the guilty plea, the court was advised that in 2017, the Greater Pittsburgh Safe Streets Task Force initiated an investigation primarily targeting the Darccide/Smash 44, or DS44, neighborhood gang, and its drug-trafficking activity, in and around the South Side area of Pittsburgh. As part of this large-scale narcotics and firearms investigation, in February of 2019, the United States received authorization to conduct a federal wire investigation, which continued through June of 2019.
Intercepted communications confirmed that Ms. Rogers was conspiring with others to distribute controlled substances, including heroin and fentanyl, in and around the South Side of Pittsburgh. Specifically, Ms. Rogers conducted narcotics transactions on behalf of other members of the conspiracy by obtaining the drugs from stash locations and distributing them to customers. The Court accepted Ms. Rogers’ guilty plea to conspiracy to distribute 10 grams of heroin and fentanyl.
Judge Stickman scheduled sentencing for April 16, 2020, at 10:30 am. The law provides for a total sentence of not more than twenty years in prison, a fine of up to $1,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of each defendant. Rogers remains on bond pending sentencing.
Assistant United States Attorney Christy C. Wiegand is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation led the multi-agency investigation of this case, which also included the Bureau of Alcohol Tobacco Firearms and Explosives, Allegheny County Adult Probation, Allegheny County Police Department, Allegheny County Sheriff’s Office, Pennsylvania Attorney General’s Office Bureau of Narcotics, Pittsburgh Bureau of Police, and the Wilkinsburg Police Department. Other assisting agencies include the Green Tree Police Department, New York City Police Department, Mount Oliver Police Department, Pennsylvania State Police, Yonkers Police Department, United States Marshals Fugitive Task Force, and the United States Postal Inspection Service.
The investigation was funded by the federal Organized Crime Drug Enforcement Task Force Program (OCDETF). The OCDETF program supplies critical federal funding and coordination that allows federal and state agencies to work together to successfully identify, investigate, and prosecute major interstate and international drug trafficking organizations and other criminal enterprises.
Felon Sentenced for Possessing and Selling Fentanyl and FirearmsRead the Press Release
St. Louis –Joseph Reed, 21, of St. Louis, was sentenced to 110 months in prison for the crimes of sale of fentanyl, being a felon in possession of a firearm and possession of a firearm in furtherance of a drug trafficking crime. Reed appeared today in front of United States District Judge John A. Ross.
According to court documents, in October 2018, law enforcement officers began an investigation into the distribution of fentanyl by Reed and his possession and sale of firearms in the St. Louis area. During the course of the investigation, Reed sold approximately 65 grams of fentanyl to an undercover police officer on six separate occasions. During two of those sales, Reed also sold a firearm to the undercover officer. Reed was eventually arrested on November 14, 2018. At the time of his arrest, Reed was armed with a .40 caliber firearm. Prior to 2018, Reed had been convicted of a felony crime and was prohibited from possessing a firearm, let alone selling one in connection with drug sales.
Reed pleaded guilty on August 28, 2019 to 10 counts – six counts of fentanyl distribution; three counts of being a felon in possession of a firearm; and one count of possessing a firearm in furtherance of a drug crime.
This sentence is the result of a joint investigation by the St. Louis Metropolitan Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant United States Thomas Mehan handled the case.
Federal Jury Convicts Black Mountain, N.C. Man for Communicating A Death Threat on TwitterRead the Press Release
ASHEVILLE, N.C. – A federal jury in Asheville has convicted Joseph Cecil Vandevere, 53, of Black Mountain, N.C. for using social media to communicate interstate threats, announced Andrew Murray, U.S. Attorney Office for the Western District of North Carolina.
John A. Strong, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division, joins U.S. Attorney Murray in making today’s announcement.
“Using social media to communicate threats does not qualify as free speech,” said U.S. Attorney Murray. “A threat is a threat, whether it’s communicated face-to-face, in writing, or online. My office will hold accountable those who use any online form of communication to transmit threats.”
“Social media allows you to share your views with the world in seconds, but it does not give you the right to threaten violence against others. The FBI stands ready to investigate whenever threatening language crosses the line to a crime,” said Special Agent in Charge Strong.
According to filed court documents and evidence presented at trial, on March 13, 2018, Twitter user @DaDUTCHMAN5, later identified as Vandevere, used his social media account to send a message that contained a threat to injure an individual identified in court records as Q.R. In the message, Vandevere sent Q.R. a picture of a lynching accompanied by a death threat. According to trial evidence, FBI agents interviewed Vandevere on July 18, 2018, at which time he admitted to using social media under pseudonyms to send threatening messages. Trial evidence further established that Vandevere sent the death threat to Q.R. because he did not agree with Q.R.’s beliefs.
Vandevere was convicted of making a threatening communication to injure another person through interstate commerce, which carries a maximum prison term of five years and a $250,000 fine. A sentencing date has not been set.
In making today’s announcement U.S. Attorney Murray thanked the FBI for their investigation of this case. The U.S. Attorney’s Office in Asheville prosecuted the case for the United States.
Federal Grand Jury Criminal Indictments AnnouncedRead the Press Release
United States Attorney Trent Shores announced today the results of the December 2019 Federal Grand Jury B.
The following individuals have been charged with violations of United States law in indictments returned by the Grand Jury. The return of an indictment is a method of informing a defendant of alleged violations of federal law, which must be proven in a court of law beyond a reasonable doubt to overcome a defendant’s presumption of innocence.
Christopher V. Moses, Kay Speir, and Melisa D. Million. Drug Conspiracy; Distribution of Oxycodone, and Aiding and Abetting; Distribution of Fentanyl, and Aiding and Abetting; Distribution of Carisoprodol, and Aiding and Abetting; Distribution of Fentanyl Resulting in Death; Distribution of Hydrocodone, and Aiding and Abetting; Distribution of Fentanyl and Hydrocodone Resulting in Death; Distribution of Clonazepam, and Aiding and Abetting; Distribution of Morphine Sulfate, and Aiding and Abetting; Distribution of Oxycodone Resulting in Death; Distribution of Tramadol, and Aiding and Abetting; and Maintaining a Drug-Involved Premises. (superseding indictment). Moses, 66, Speir, 54, and Million, 49, were originally charged with drug conspiracy and aiding and abetting one another to illegally distribute prescription opioids, including Oxycodone, Fentanyl, Carisoprodol, Clonazepam, Morphine Sulfate, Hydrocodone, and Tramadol. The defendants allegedly distributed the prescriptions from January 2010 to January 2018 at the Southside Medical Clinic in Tulsa, which is now closed. According to the indictment, Dr. Moses prescribed highly addictive and often abused opioids to his patients without valid medical purpose or for reasons outside of his scope of practice. The indictment alleges that Moses and Speir also illegally made pre-signed prescriptions for the medications available to patients when Moses was absent. The defendants are further charged with maintaining a drug involved premises.
In this superseding indictment, the defendants are also charged with the deaths of three patients resulting from the medically unnecessary prescriptions. On Feb. 9, 2017, a patient died of acute fentanyl toxicity. On March 7, 2016, a patient died as a result of acute morphine and oxycodone toxicity, and on Aug. 30, 2013, a patient died as a result of acute fentanyl and hydrocodone toxicity. The Drug Enforcement Administration is the investigative agency
Jesus Castillo-Hernandez. Unlawful Reentry of a Removed Alien. Castillo-Hernandez, 28, is charged with reentry of a removed alien, having returned to the United States unlawfully after being deported Sept. 9, 2011, at or near Del Rio, Texas. Immigration and Customs Enforcement’s Homeland Security Investigations (ICE-HSI) and Enforcement and Removal Operations (ICE-ERO) are the investigative agencies.
James Clayton Cholewinski-Boyd. Abusive Sexual Contact in the Special Aircraft Jurisdiction of the United States. Cholewinski-Boyd, 32, of Murray, Utah, is charged with engaging in abusive sexual contact when he grabbed the victim in a sexually inappropriate way without her permission. Law enforcement officials with the FBI, Tulsa International Airport and the U.S. Department of Homeland Security, Transportation Security Administration’s Federal Air Marshals conducted the investigation. Assistant U.S. Attorney Robert T. Raley is prosecuting the case. AUSA Raley is the National Security Anti-Terrorism (ATAC) Prosecutor for the U.S. Attorney’s Office in the Northern District of Oklahoma.
Hillary Victoria Ginn. Theft of Mail and Attempted Theft of Mail (6 counts); Destruction of Letter Boxes and Mail (6 counts); Financial Institution Fraud (1 count); and Possession of and Uttering a Forged Security (1 count) (superseding indictment). Additional charges were filed against Ginn, 42, of Tulsa. Previously, Ginn was charged with theft and attempted theft of mail and with destroying post office boxes at a U.S. Post Office station located in south Tulsa. Ginn is charged in the superseding indictment with two additional offenses: financial institution fraud and uttering forged securities. The additional counts allege Ginn caused five forged and stolen checks from other financial institutions to be deposited into an account at Western Sun Federal Credit Union in Broken Arrow. Before Ginn was able to withdraw any of the $34,000 worth of fraudulent funds from the account, Western Sun determined that the checks had been stolen and forged. The checks were originally taken from the post office boxes. The Tulsa Police Department, Broken Arrow Police Department and U.S. Postal Inspection Service are the investigative agencies.
Gil Herrera-Mejia. Unlawful Reentry of a Removed Alien. Herrera-Mejia, 37, is charged with reentry of a removed alien, having returned to the United States unlawfully after being deported March 10, 2008, at or near Nogales, Arizona. Immigration and Customs Enforcement’s Homeland Security Investigations (ICE-HSI) and Enforcement and Removal Operations (ICE-ERO) are the investigative agencies.
Christopher Joseph Kiss. Felon in Possession of Firearm. Kiss, 29, of Tulsa, is charged with being a felon in possession of a Phoenix Arms, .25 auto caliber pistol. The Bureau of Alcohol, Tobacco, Firearms and Explosives is the investigative agency.
Michael Jawan Lucas. Felon in possession of a Firearm and Ammunition. Lucas, 32, of Tulsa, is charged with being a felon in possession of a Heckler & Koch (H&K) .45 caliber pistol and associated ammunition. The Tulsa Police Department and FBI are the investigative agencies.
Elmer Orozco-Perez. Unlawful Reentry of a Removed Alien. Orozco-Perez, 35, is charged with reentry of a removed alien, having returned to the United States unlawfully after being deported Jan. 11, 2007, at or near Atlanta, Georgia. Immigration and Customs Enforcement’s Homeland Security Investigations (ICE-HSI) and Enforcement and Removal Operations (ICE-ERO) are the investigative agencies.
Jose Ruben Rodriguez-Parra. Unlawful Reentry of a Removed Alien. Rodriguez-Parra, 50, is charged with reentry of a removed alien, having returned to the United States unlawfully after being deported April 8, 2015, at or near Del Rio, Texas. Immigration and Customs Enforcement’s Homeland Security Investigations (ICE-HSI) and Enforcement and Removal Operations (ICE-ERO) are the investigative agencies.
Luis Alfonso Ruvalcaba-Romo. Unlawful Reentry of a Removed Alien. Ruvalcaba-Romo, 29, is charged with reentry of a removed alien, having returned to the United States unlawfully after being deported Dec. 8, 2011, at or near Hidalgo, Texas. Immigration and Customs Enforcement’s Homeland Security Investigations (ICE-HSI) and Enforcement and Removal Operations (ICE-ERO) are the investigative agencies.
William Osmir Alvarado Salguero. Unlawful Reentry of a Removed Alien. William Osmir Alvarado Salguero, 30, is charged with reentry of a removed alien, having returned to the United States unlawfully after being deported June 3, 2008, at or near Harlingen, Texas. Immigration and Customs Enforcement’s Homeland Security Investigations (ICE-HSI) and Enforcement and Removal Operations (ICE-ERO) are the investigative agencies.
Joshua Deron Smith. Felon in Possession of Firearm and Ammunition. Smith, 29, of Tulsa, is charged with being a felon in possession of HS Products (IM Metal) 9 mm caliber pistol and associated ammunition. The Tulsa Police Department and Bureau of Alcohol, Tobacco, Firearms and Explosives are the investigative agencies.
Simon Soto-Cruz. Unlawful Reentry of a Removed Alien. Soto-Cruz, 35, is charged with reentry of a removed alien, having returned to the United States unlawfully after being deported Sept. 9, 2015, at or near Del Rio, Texas. Immigration and Customs Enforcement’s Homeland Security Investigations (ICE-HSI) and Enforcement and Removal Operations (ICE-ERO) are the investigative agencies.
Victor Edwardo Trinidad. Unlawful Reentry of a Removed Alien. Victor Edwardo Trinidad, 30, is charged with reentry of a removed alien, having returned to the United States unlawfully after being deported Oct. 9, 2019, at or near Laredo, Texas. Immigration and Customs Enforcement’s Homeland Security Investigations (ICE-HSI) and Enforcement and Removal Operations (ICE-ERO) are the investigative agencies.
Amber Michelle Watson. Wire Fraud Conspiracy. Watson, 32, of Tulsa, is charged with conspiring with others to commit wire fraud from January 2017 to August 2019. Watson and her co-conspirators presented themselves to cashiers at various Walmart stores throughout the Northern District of Oklahoma and elsewhere, pretending to be Walmart representatives. The conspirators allegedly presented false vouchers to cashiers bearing the designations of “Rapid Reload Cash Voucher,” “Prepaid Debit Cash Travel Voucher” and “Walmart Corporate Cash Travel Voucher.” Watson and her co-conspirators then requested that the cashiers credit Rapid Reload transaction cards in the amounts of approximately $500 each time. According to the indictment, the conspirators made purchases with the Rapid Reload cards and obtained cash. In total, it is alleged that Watson and her co-conspirators caused a loss of more than $100,000 to Walmart. The U.S. Secret Service is the investigative Agency.
Jacob Welch and Krystal Magee. Felon in Possession of Firearms; and Possession of Stolen Firearms. Welch, 29, of Ruston, Louisiana, is charged with being a felon in possession of an HS Produkt (IM Metal), 9 mm pistol; a Springfield Armory, .380 caliber pistol; an Israel Weapon IND-IWI, 9 mm pistol; an Anderson Manufacturing, 5.56 caliber rifle; and a Freedom Ordnance Manufacturing, 9 mm pistol. Also, Welch and Magee, 35, of Ruston, Louisiana, are both charged with being in possession of five stolen firearms.
Ericsson Agrees to Pay over $1 Billion to Resolve FCPA CaseRead the Press Release
Telefonaktiebolaget LM Ericsson (Ericsson or the Company), a multinational telecommunications company headquartered in Stockholm, Sweden, has agreed to pay total penalties of more than $1 billion to resolve the government’s investigation into violations of the Foreign Corrupt Practices Act (FCPA) arising out of the Company’s scheme to make and improperly record tens of millions of dollars in improper payments around the world. This includes a criminal penalty of over $520 million and approximately $540 million to be paid to the U.S. Securities and Exchange Commission (SEC) in a related matter. An Ericsson subsidiary pleaded guilty today for its role in the scheme.
Ericsson entered into a deferred prosecution agreement with the department in connection with a criminal information filed today in the Southern District of New York charging the Company with conspiracies to violate the anti-bribery, books and records, and internal controls provisions of the FCPA. The Ericsson subsidiary, Ericsson Egypt Ltd, pleaded guilty today in the Southern District of New York to a one-count criminal information charging it with conspiracy to violate the anti-bribery provisions of the FCPA. The case is assigned to U.S. District Judge Alison J. Nathan of the Southern District of New York. Pursuant to its agreement with the department, Ericsson has committed to pay a total criminal penalty of $520,650,432 within 10 business days of the sentencing hearing, and has agreed to the imposition of an independent compliance monitor.
“Ericsson’s corrupt conduct involved high-level executives and spanned 17 years and at least five countries, all in a misguided effort to increase profits,” said Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division. “Such wrongdoing called for a strong response from law enforcement, and through a tenacious effort with our partners in the Southern District of New York, the SEC, and the IRS, today’s action not only holds Ericsson accountable for these schemes, but should deter other companies from engaging in similar criminal conduct.”
“Today, Swedish telecom giant Ericsson has admitted to a years-long campaign of corruption in five countries to solidify its grip on telecommunications business,” said U.S. Attorney Geoffrey S. Berman of the Southern District of New York. “Through slush funds, bribes, gifts, and graft, Ericsson conducted telecom business with the guiding principle that ‘money talks.’ Today’s guilty plea and surrender of over a billion dollars in combined penalties should communicate clearly to all corporate actors that doing business this way will not be tolerated.”
“Implementing strong compliance systems and internal controls are basic principles that international companies must follow to steer clear of illegal activity,” said Don Fort, Chief, IRS Criminal Investigation. “Ericsson’s shortcomings in these areas made it easier for its executives and employees to pay bribes and falsify its books and records. We will continue to pursue cases such as these in order to preserve a global commerce system free of corruption.”
According to admissions by Ericsson, beginning in 2000 and continuing until 2016, the Company conspired with others to violate the FCPA by engaging in a longstanding scheme to pay bribes, to falsify books and records and to fail to implement reasonable internal accounting controls. Ericsson used third party agents and consultants to make bribe payments to government officials and/or to manage off-the-books slush funds. These agents were often engaged through sham contracts and paid pursuant to false invoices, and the payments to them were improperly accounted for in Ericsson’s books and records. The resolutions cover the Company’s criminal conduct in Djibouti, China, Vietnam, Indonesia and Kuwait.
Between 2010 and 2014, Ericsson, via a subsidiary, made approximately $2.1 million in bribe payments to high-ranking government officials in Djibouti in order to obtain a contract with the state-owned telecommunications company valued at approximately €20.3 million to modernize the mobile networks system in Djibouti. In order to effectuate the scheme, an Ericsson subsidiary entered into a sham contract with a consulting company and approved fake invoices to conceal the bribe payments. Ericsson employees also completed a draft due diligence report that failed to disclose the spousal relationship between the owner of the consulting company and one of the high-ranking government officials.
In China, between 2000 and 2016, Ericsson subsidiaries caused tens of millions of dollars to be paid to various agents, consultants and service providers, a portion of which was used to fund a travel expense account in China that covered gifts, travel and entertainment for foreign officials, including customers from state-owned telecommunications companies. Ericsson used the travel expense account to win business with Chinese state-owned customers. In addition, between 2013 and 2016, Ericsson subsidiaries made payments of approximately $31.5 million to third party service providers pursuant to sham contracts for services that were never performed. The purpose of these payments was to allow Ericsson’s subsidiaries in China to continue to use and pay third party agents in China in contravention of Ericsson’s policies and procedures. Ericsson knowingly mischaracterized these payments and improperly recorded them in its books and records.
In Vietnam, between 2012 and 2015, Ericsson subsidiaries made approximately $4.8 million in payments to a consulting company in order to create off-the-books slush funds, associated with Ericsson’s customers in Vietnam, that were used to make payments to third parties who would not be able to pass Ericsson’s due diligence processes. Ericsson knowingly mischaracterized these payments and improperly recorded them in Ericsson’s books and records. Similarly, in Indonesia, between 2012 and 2015, an Ericsson subsidiary made approximately $45 million in payments to a consulting company in order to create off-the-books slush funds, and concealed the payments on Ericsson’s books and records.
In Kuwait, between 2011 and 2013, an Ericsson subsidiary promised a payment of approximately $450,000 to a consulting company at the request of a sales agent, and then entered into a sham contract with the consulting company and approved a fake invoice for services that were never performed in order to conceal the payment. The sales agent provided an Ericsson employee with inside information about a tender for the modernization of a state-owned telecommunications company’s radio access network in Kuwait. An Ericsson subsidiary was awarded the contract valued at approximately $182 million; Ericsson subsequently made the $450,000 payment to the consulting company and improperly recorded it in its books.
As part of the deferred prosecution agreement, Ericsson has agreed to continue to cooperate with the department in any ongoing investigations and prosecutions relating to the conduct, including of individuals; to enhance its compliance program; and to retain an independent compliance monitor for three years.
The department reached this resolution with Ericsson based on a number of factors, including the Company’s failure to voluntarily disclose the conduct to the department and the nature and seriousness of the offense, which included FCPA violations in five countries and the involvement of high-level executives at the Company. Ericsson received partial credit for its cooperation with the department’s investigation, which included conducting a thorough internal investigation, making regular factual presentations to the department, voluntarily making foreign-based employees available for interviews in the United States, producing extensive documentation and disclosing some conduct of which the department was previously unaware.
Ericsson did not receive full credit for cooperation and remediation because it did not disclose allegations of corruption with respect to two relevant matters; it produced certain materials in an untimely manner; and it did not fully remediate, including by failing to take adequate disciplinary measures with respect to certain employees involved in the misconduct. The Company has been enhancing and committed to further enhance its compliance program and internal accounting controls. Accordingly, the total criminal penalty reflects a 15 percent reduction off the bottom of the applicable United States Sentencing Guidelines fine range.
In the related matter, Ericsson agreed to pay to the SEC disgorgement and prejudgment interest totaling approximately $540 million.
The case is being investigated by IRS-CI. Acting Assistant Chief Andrew Gentin and Trial Attorney Michael Culhane Harper of the Criminal Division’s Fraud Section and Assistant U.S. Attorney David Abramowicz of the Southern District of New York are prosecuting the case. The Criminal Division’s Office of International Affairs provided assistance.
The department appreciates the significant cooperation provided by the SEC and law enforcement authorities in Sweden in this case.
The Fraud Section is responsible for investigating and prosecuting all FCPA matters. Additional information about the Justice Department’s FCPA enforcement efforts can be found at www.justice.gov/criminal-fraud/foreign-corrupt-practices-act.
Ericsson Agrees to Pay More Than $1 Billion to Resolve Foreign Corrupt Practices Act CaseRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York (“SDNY”), Brian A. Benczkowski, the Assistant Attorney General for the Criminal Division of the Department of Justice (“DOJ”), and Don Fort, Chief of the Criminal Investigation Division, Internal Revenue Service (“IRS-CI”), announced today the filing of criminal charges against TELEFONAKTIEBOLAGET LM ERICSSON (“ERICSSON”), a multinational telecommunications company headquartered in Sweden, and its subsidiary ERICSSON EGYPT LTD. (“ERICSSON EGYPT”) for conspiring to violate the Foreign Corrupt Practices Act (“FCPA”) by bribing government officials, falsifying books and records, and failing to implement reasonable internal accounting controls. The resolutions cover criminal conduct in Djibouti, China, Vietnam, Indonesia, and Kuwait.
Mr. Berman also announced that in connection with the filed charges, ERICSSON EGYPT pled guilty today before United States District Judge Alison J. Nathan, and SDNY and DOJ entered into a deferred prosecution agreement (“DPA”) with ERICSSON. Pursuant to the DPA, ERICSSON admitted to participating in the charged conspiracy. ERICSSON will pay a total criminal penalty of $520,650,432 to the United States, which includes a $9,520,000 criminal fine that ERICSSON agreed to pay on behalf of ERICSSON EGYPT. ERICSSON also agreed to implement rigorous internal controls, retain an independent compliance monitor for a term of three years, and cooperate fully with the Government in any ongoing investigations.
In related proceedings, ERICSSON reached a settlement with the U.S. Securities and Exchange Commission (“SEC”). Under the terms of its civil resolution with the SEC, ERICSSON agreed to pay $539,920,000 in disgorgement of profits and prejudgment interest, which, together with the criminal penalty paid to the United States, yields total criminal and regulatory penalties to be paid by ERICSSON of $1,060,570,432.
U.S. Attorney Geoffrey S. Berman said: “Today Swedish telecom giant Ericsson has admitted to a years-long campaign of corruption in five countries to solidify its grip on telecommunications business. Through slush funds, bribes, gifts, and graft, Ericsson conducted telecom business with the guiding principle that ‘money talks.’ Today’s guilty plea and surrender of over a billion dollars in combined penalties should communicate clearly to all corporate actors that doing business this way will not be tolerated.”
Assistant Attorney General Brian A. Benczkowski said: “Ericsson’s corrupt conduct involved high-level executives and spanned 17 years and at least five countries, all in a misguided effort to increase profits. Such wrongdoing called for a strong response from law enforcement, and through a tenacious effort with our partners in the Southern District of New York, the SEC, and the IRS, today’s action not only holds Ericsson accountable for these schemes, but should deter other companies from engaging in similar criminal conduct.”
IRS Criminal Investigation Chief Don Fort said: “Implementing strong compliance systems and internal controls are basic principles that international companies must follow to steer clear of illegal activity. Ericsson’s shortcomings in these areas made it easier for its executives and employees to pay bribes and falsify its books and records. We will continue to pursue cases such as these in order to preserve a global commerce system free of corruption.”
According to the allegations contained in the criminal Informations, which were filed today in Manhattan federal court, the statement of facts set forth in the DPA, and other publicly available information:
From approximately 2000 to 2016, ERICSSON and ERICSSON EGYPT, through various executives, employees, and affiliated entities, used third-party agents and consultants to bribe foreign government officials and/or manage off-the-books slush funds in countries where it pursued contracts to conduct telecommunications business. The agents were often engaged through sham contracts and paid pursuant to false invoices, with those payments accounted for improperly in ERICSSON’s books and records.
In Djibouti, from approximately 2010 to 2014, ERICSSON, via subsidiaries, paid approximately $2.1 million in bribes to high-ranking government officials in order to obtain a contract valued at approximately €20.3 million. To conceal the bribe payments, an ERICSSON subsidiary entered into a sham contract with a consulting company and approved fake invoices to conceal the bribe payments, and ERICSSON employees completed a draft due diligence report that failed to disclose that the owner of the consulting company was married to a high-ranking official in Djibouti’s government.
In China, from approximately 2000 to 2016, ERICSSON, via subsidiaries, paid various agents, consultants, and service providers tens of millions of dollars, a portion of which was used to fund an expense account that covered gifts, travel, and entertainment for foreign officials. ERICSSON used the expense account to win business with Chinese state-owned customers. In addition, from approximately 2013 to 2016, ERICSSON subsidiaries paid third-party service providers approximately $31.5 million pursuant to sham contracts for services that were never performed. The payments were intended to allow ERICSSON’s subsidiaries to continue to use and pay third-party agents in China in contravention of ERICSSON’s policies and procedures. ERICSSON knowingly mischaracterized the payments and improperly recorded them in its books and records.
In Vietnam, from approximately 2012 to 2015, ERICSSON, via subsidiaries, paid a consulting company approximately $4.8 million in order to create off-the-books slush funds. The slush funds were then used to make payments to third parties who would not be able to pass ERICSSON’s due diligence processes. ERICSSON knowingly mischaracterized these payments, which were made pursuant to sham contracts for services that were never performed, and improperly recorded them in ERICSSON’s books and records.
In Indonesia, from approximately 2012 to 2015, ERICSON, via a subsidiary, paid a consulting company approximately $45 million in order to create off-the-books slush funds. ERICSSON took active steps to conceal the payments, which were made pursuant to sham contracts for services that were never performed.
In Kuwait, from approximately 2011 to 2013, ERICSSON, via a subsidiary, paid a consulting company approximately $450,000 at the request of a sales agent who had given ERICSSON inside information about the bidding process for a lucrative contract with a state-owned telecommunications company. ERICSSON made the payment after one of its subsidiaries was awarded the contract, which was valued at approximately $182 million. The payment was made pursuant to a sham contract for services that were never performed.
* * *
ERICSSON EGYPT was charged with, and pled guilty to, one count of conspiring to violate the anti-bribery provisions of the FCPA. ERICSSON was charged in a two-count Information with one count of conspiracy to violate the anti-bribery provisions of the FCPA and one count of conspiracy to violate the internal-controls and books-and-records provisions of the FCPA.
Mr. Berman thanked the Fraud Section of the DOJ’s Criminal Division for its collaboration, and praised the investigative efforts of IRS-CI and law enforcement authorities in Sweden. He also thanked the SEC’s Division of Enforcement for its significant assistance and cooperation in the investigation.
The prosecution of this case is being handled by the Office’s Complex Frauds and Cybercrime Unit and the FCPA Unit of the Fraud Section of DOJ’s Criminal Division. Assistant U.S. Attorneys David Abramowicz and Won S. Shin, and Acting Assistant Chief Andrew Gentin and Trial Attorney Michael Culhane Harper of the Criminal Division’s Fraud Section, are in charge of the prosecution.
Drug Trafficker Sentenced to over 7 Years in Federal PrisonRead the Press Release
Spokane – William D. Hyslop, United States Attorney for the Eastern District of Washington, announced that Robert Dvorak, age 29, of Spokane, Washington, was sentenced after having pleaded guilty on August 21, 2019, to conspiracy to distribute heroin and methamphetamine. United States District Judge Stanley A. Bastian sentenced Dvorak to a 90-month (7.5 years) term of imprisonment, to be followed by a 4-year term of court supervision after he is released from federal prison.
According to information disclosed during court proceedings, in April 2018, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) agents began investigating Dvorak for suspected drug trafficking. As part of the investigation, ATF executed a warrant to search Dvorak’s residence, seizing two pounds of heroin and twenty grams of methamphetamine.
United States Attorney Hyslop said, “Dvorak has been deservedly punished with prison time for distributing dangerous drugs in our community. The United States Attorney’s Office for the Eastern District of Washington and our law enforcement partners will continue to work vigorously to investigate and prosecute individuals who engage in such conduct.”
This case was prosecuted under the Project Safe Neighborhoods (PSN) program. PSN is a federal, state, and local law enforcement collaboration to identify, investigate, and prosecute individuals responsible for violent crimes in our neighborhoods. The U.S. Attorney’s Office is partnering with federal, state, local, and tribal law enforcement to specifically identify the criminals responsible for violent crime in the Eastern District of Washington and pursue criminal prosecution.
This case was investigated by the Spokane Resident Office of the Bureau of Alcohol, Tobacco, Firearms and Explosives. This case was prosecuted by Patrick J. Cashman, an Assistant United States Attorney for the Eastern District of Washington.
Detroit Man Sentenced to Life Imprisonment for Drug Trafficking Resulting in an Overdose DeathRead the Press Release
LEXINGTON, Ky. - A Detroit man, Shannon D. Hixon, 43, was sentenced to life in federal prison on Friday, by Chief U.S. District Judge Danny C. Reeves, after previously being convicted of conspiring to distribute oxycodone and fentanyl, and distribution of fentanyl resulting in an overdose death.
Hixon was convicted at trial, in July 2019. According to the evidence, Hixon supplied thousands of Oxycodone 30 mg tablets to two individuals in Lexington, which were then transported to Morehead, Kentucky (Rowan County) and Salyersville, Kentucky (Magoffin County), and sold to local dealers and drug users. Additionally, the evidence established that Hixon had supplied heroin and fentanyl to a group of users in Lexington, which included supplying a lethal quantity of fentanyl that was distributed to K.F., an Army veteran in rehab, causing K.F.’s overdose death.
Hixon has a prior conviction for Trafficking in a Controlled Substance First Degree, imposed by the Fayette Circuit Court, in May 2004.
“The defendant, and other drug dealers who illegally distribute opioids, help fuel addictions and spread misery and death. Our Office has no greater priority than holding drug traffickers, particularly repeat offenders like the defendant, accountable for their criminal conduct. Because of his prior drug trafficking conviction, and because his drug dealing caused an overdose death, the defendant will spend the rest of his life in prison,” said Robert M. Duncan Jr., United States Attorney for the Eastern District of Kentucky. “The sentence imposed should send a clear message – if you are of convicted of dealing drugs and causing a death you face a substantial punishment for your actions. We remain committed, along with our law enforcement partners, in pursuing these important cases to help vindicate the interests of the victims’ families and keep our communities safe.”
United States Attorney Duncan; Daniel Dodds, Acting Special Agent in Charge, DEA Louisville Field Division; Chief Derrick Blevins, Morehead Police Department; and Chief Lawrence Weathers, Lexington Police Department, jointly announced the sentence.
The investigation was conducted by the DEA, Morehead Police Department, and the Lexington Police Department. The United States was represented in the case by Assistant U.S. Attorney Roger W. West.
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