Latest Records
Newest first across public DOJ and U.S. Attorney press releases.
23 January 2020
Repeat offender sentenced to 8+ years in prison for dealing drugs in Seattle’s Pioneer Square neighborhoodRead the Press Release
Seattle - A repeat offender who was arrested in Pioneer Square armed with a concealed pistol with hollow point bullets, was sentenced today in U.S. District Court in Seattle to 101 months in prison and five years of supervised release. JONATHAN RUSHING, 40, was convicted in October 2019 following a three-day trial for possession of crack cocaine and MDMA with intent to distribute, being a felon in possession of a firearm, and carrying a firearm during and in relation to a drug trafficking crime. This is RUSHING’s fourth conviction for being a felon in possession of a firearm. “I think you are a threat to the community,” U.S. District Judge Thomas S. Zilly said at sentencing. “We know that if you have possession of a gun and you are doing drugs, bad things can happen. You know that better than anyone in this courtroom.”
“As we saw just last night, armed criminals in downtown Seattle pose a terrible risk to our community,” said U.S. Attorney Brian T. Moran. “Through DOJ’s Project Guardian, both here in Seattle and nationally, we remain focused on partnering with our law enforcement colleagues in getting these armed criminals off the streets and behind bars where they belong.”
RUSHING was identified during an investigation into a drug distribution ring operating in downtown Seattle on the evening of November 8, 2017. RUSHING was observed meeting with known members of the drug distribution group and then returning to the passenger side of a car he had parked near Pioneer Square. After sitting on the passenger side of the sedan near the glove box for about 20 minutes, RUSHING went to a bar in Pioneer Square. When RUSHING left the bar, uniformed Seattle Police Officers approached RUSHING in order to identify him. RUSHING took off running but was arrested a few blocks away. RUSHING had a Glock firearm in a holster inside his waistband. The Glock had a laser sight and flashlight attached and was loaded with hollow point bullets. When authorities searched the car RUSHING was driving, they found dealer amounts of crack cocaine and MDMA hidden in a sock in the glove box.
After RUSHING was arrested that November night, he left the Seattle area and was a fugitive when the drug trafficking organization was indicted on February 13, 2018. RUSHING was ultimately arrested in February 2019 in Moreno Valley, California, on a warrant from the U.S. Marshal Service. RUSHING fought with local officers who subdued him following a traffic stop.
RUSHING has an extensive criminal history, including a 1997 conviction at age 18 in King County Superior Court for second-degree murder. RUSHING shot and killed another 18-year-old in downtown Seattle during a drug transaction. He has King County convictions for illegally possessing firearms in 1996 and1997 and a federal conviction for being a felon in possession of a firearm from 2012. Rushing was arrested in this case only two months after completing his term of supervision from his 2012 federal conviction for firearm possession.
This was an Organized Crime and Drug Enforcement Task Force (OCDETF) investigation, providing supplemental federal funding to the federal and state agencies involved.
This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence and enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes. Project Guardian ensures that federal resources are directed at the criminals posing the greatest threat to our communities. More information about Project Guardian is here.
The case was investigated by the Seattle Police Department and the Drug Enforcement Administration (DEA).
The case is being prosecuted by Assistant United States Attorneys Kate Vaughan, Tobias Tobler, and Vince Lombardi.
Queens Pharmacist Indicted for Illegal Distribution of Oxycodone and Filing False Tax ReturnsRead the Press Release
A 12-count indictment was unsealed today in federal court in Brooklyn charging Daniel E. Russo, a pharmacist, with conspiracy to distribute and possess with intent to distribute oxycodone, distribution and possession of oxycodone, distribution of oxycodone by a pharmacist without legitimate prescription and filing false tax returns. Russo was arrested this morning by federal agents and arraigned this afternoon before United States Magistrate Judge Cheryl L. Pollak. The defendant was released on a $1.5 million bond.
Richard P. Donoghue, United States Attorney for the Eastern District of New York, Richard E. Zuckerman, Principal Deputy Assistant Attorney General of the Justice Department’s Tax Division, Ray Donovan, Special Agent-in-Charge, Drug Enforcement Administration (DEA), and Jonathan D. Larsen, Special Agent-in-Charge, Internal Revenue Service Criminal Investigation (IRS-CI), announced the charges.
As set forth in the indictment and other court documents, Russo owns and operates Russo’s Pharmacy in Far Rockaway, Queens. Between March 2011 and June 2014, Russo allegedly conspired with others, including medical professionals and employees of a physician, to fill fraudulent prescriptions for oxycodone and dispense thousands of oxycodone pills in return for hundreds of thousands of dollars in cash. Russo then filed false corporate income tax returns for his pharmacy for the years 2013 through 2016, omitting the proceeds of his scheme, and false individual income tax returns for the years 2012 through 2016. In total, Russo is charged with failing to report over $1 million in cash earnings, most of it generated from his oxycodone distribution scheme.
More than a dozen physicians for whom Russo filled prescriptions have since been convicted of crimes related to the distribution of oxycodone.
“We can count the hundreds of thousands of dollars Russo allegedly pocketed from the charged scheme, but the resulting human misery in our communities is incalculable,” stated United States Attorney Donoghue. “This Office will continue working with federal and local law enforcement partners to investigate and prosecute medical professionals who seek to profit from the opioid epidemic.”
“It is a misconception that pharmacists can hide their role in illegal drug distribution by blindly following what doctors have prescribed for their patients,” stated DEA Special Agent-in-Charge Donovan. “By law, pharmacists must practice due diligence, and take their corresponding responsibility seriously. If diversion of prescriptions is suspected, and merely cast aside to make a quick dollar, the pharmacist is no better than a dealer on the street. Today’s arrest reemphasizes law enforcement’s commitment to identifying and arresting all of those responsible for furthering drug abuse and overdose deaths throughout our hometowns.”
“Income earned from the sale of prescription drugs is taxable regardless if those sales are legal or illegal,” stated IRS Special Agent-in-Charge Larsen. “Mr. Russo allegedly failed to report the illegal income on his corporate tax returns in conjunction with concealing how the income was derived.”
If convicted of the drug charges, Russo faces up to 20 years’ imprisonment. If convicted of the tax charges, he faces up to three years’ imprisonment for each count.
The charges in the indictment are allegations, and the defendant is presumed innocent unless and until proven guilty.
The government’s investigation was led by the DEA’s Long Island Tactical Diversion Squad, comprising agents and officers of the DEA, Nassau County Police Department, Suffolk County Police Department, Port Washington Police Department and Rockville Centre Police Department. The DEA Tactical Diversion Squad also worked in conjunction with officers and agents of the U.S. Department of Health & Human Services’ Office of the Inspector General and New York City Department of Investigation.
This case is the latest in a series of federal prosecutions by the United States Attorney’s Office for the Eastern District of New York as part of the Prescription Drug Initiative. In January 2012, this Office and the DEA, in conjunction with the five District Attorneys in this district, the Nassau and Suffolk County Police Departments, the New York City Police Department, the New York State Police and other key federal, state and local government partners launched the initiative to mount a comprehensive response to what the United States Department of Health and Human Services Center for Disease Control and Preventions called an epidemic increase in the abuse of so-called opioid analgesics. To date, the initiative has brought over 160 federal and local criminal prosecutions including the prosecution of 20 health care professionals; taken civil enforcement actions against a hospital, a pharmacy and pharmacy chain; removed prescription authority from numerous rogue doctors and expanded information-sharing among enforcement agencies to better target and pursue drug traffickers. The initiative also is involved in an extensive community outreach program to address the abuse of pharmaceuticals.
The government’s case is being prosecuted by Assistant United States Attorney Nomi D. Berenson and Trial Attorney Michael C. Vasiliadis of the Tax Division.
The Defendant:
DANIEL E. RUSSO
Age: 40
Cedarhurst, New YorkE.D.N.Y. Docket No. 20-CR-23 (DLI)
Project Guardian: Three Sentenced to Federal PrisonRead the Press Release
CHARLESTON, W.Va. – Defendants in three separate cases appeared in federal court and have been sentenced to prison, announced United States Attorney Mike Stuart.
“Violence won’t be tolerated. Each one of these defendants posed a threat of violence to our communities,” said United States Attorney Mike Stuart. “While we have significantly increased the number of prosecutions of gun law violators and violent drug dealers, we continue our work with a sense of urgency to protect the public from gun violence.”
Dachaun Marcies Thaxton, of Charleston, was sentenced to 106 months in prison for possession with intent to distribute methamphetamine and possession of firearms in furtherance of drug trafficking crimes. Thaxton was also ordered to serve a five year term of supervised release. Thaxton previously admitted that on March 14 and 19, 2019 and April 1, 2019, he distributed methamphetamine to a confidential informant working with law enforcement in Dunbar, Kanawha County, West Virginia. On April 5, 2019, officers executed a search warrant at his residence located in Solon Court in Dunbar and located one Bushmaster AR-15 rifle with a loaded magazine in the fire position and one Anderson Manufacturing AR-15 rifle loaded with a 90 round drum also in the fire position in the front bathroom. In that same bathroom, officers also found a Cai-Georgiavt AK-47 with a chambered round and loaded magazine. In the rear bedroom, officers found approximately 360 grams of methamphetamine that Thaxton admitted he intended to distribute. Thaxton admitted to possessing the firearms to protect his drugs, drugs proceeds, and himself. Thaxton also admitted that at the time he possessed the firearms, he was a felon. The Metropolitan Drug Enforcement Network Team (MDENT) conducted the investigation. Senior United States District Judge John T. Copenhaver, Jr. presided over the hearing. Assistant United States Attorney Monica D. Coleman handled the prosecution.
Tyerice Martell Irvin, of Columbus, Ohio, was sentenced to 60 months in prison for carrying a firearm during a drug trafficking crime. He will also serve five years on supervised release after completing his prison sentence. Irvin previously admitted that on April 5, 2019, he was a passenger in a vehicle that was stopped by law enforcement for a traffic violation. Based on the smell of marijuana in the vehicle, officers decided to conduct a search of the vehicle and Irvin was asked to step out of the vehicle, which he did. An officer then began to pat Irvin down for weapons. During the pat down, the officer felt a firearm on Irvin. Irvin pushed the officer and fled the area. Officers began to chase Irvin and he ran toward the area of the stores at Patrick Street Plaza. During the chase, Irvin admitted to throwing a loaded semi-automatic Beretta 948 .22 caliber semi-automatic pistol into a dumpster near the Rent-A-Center store while fleeing. He also ran through the Rent-A-Center store where he threw a bag of marijuana in his possession. Officers eventually apprehended him in front of the Rent-A-Center store. Officers found a bag of what they believed at the time was heroin on Irvin but laboratory testing later confirmed the substance to be 3.167 grams of fentanyl. Officers recovered both the marijuana, the fentanyl, and the Beretta 948 .22 caliber semi-automatic pistol. Officers also recovered a SCCY CPX-2 9 millimeter semi-automatic pistol in another dumpster along the route Irvin ran. Irvin admitted that he knew the substance that he possessed was a controlled substance and that he intended to distribute it and that he was carrying the Berretta 948 .22 caliber semi-automatic pistol to protect his drugs, his drug proceeds, and himself. He further admitted that he knew he was prohibited from possessing the firearm because he is a convicted felon. The Metropolitan Drug Enforcement Network Team (MDENT) conducted the investigation. United States District Judge Irene C. Berger presided over the hearing. Assistant United States Attorney Monica D. Coleman handled the prosecution.
Mark Matthew Smith, 30, of Parkersburg, was sentenced to 37 months in federal prison for possessing a firearm after being convicted of a felony. Upon release from prison, Smith will serve three years of federal supervised release. On December 6, 2017, Smith was a passenger in a vehicle stopped by Parkersburg Police at 3:00 a.m. at the intersection of East Street and 7th Street. Smith admitted that there was a firearm in the vehicle but refused to tell the officer where it was. When Smith began moving his arm toward the vehicle’s center console, the officer directed Smith to get out of the vehicle. An officer retrieved a KAHR .45 caliber pistol from the passenger seat floorboard. Smith was wearing a concealed carry holster wrapped around his chest. An officer ran Smith’s criminal history and learned that he had been convicted of several felonies including forgery, grand larceny, and drug possession. Upon searching him incident to the arrest, police found methamphetamine, cocaine base, several buprenorphine tablets, five counterfeit $100 bills, and six Social Security cards belonging to other people in Smith’s pockets. On October 31, 2019, Smith pled guilty in federal court to being a felon in possession of a firearm. The Parkersburg Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) conducted the investigation. United States District Judge Joseph R. Goodwin presided over the hearing. Assistant United States Attorney Joshua C. Hanks handled the prosecution.
These cases are part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. The United States Attorney’s Office has prosecuted this case with support from the Project Guardian partners referenced above. For more information about Project Guardian, please see: https://www.justice.gov/projectguardian.
Follow us on Twitter: SDWVNews
Previously Deported Alien Charged with Illegal Re-EntryRead the Press Release
HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced that Cresencio Antonio Chinchilla-Roque, age 26, of Honduras, was indicted on January 22, 2020, by a federal grand jury with illegal re-entry into the United States by a previously deported alien.
According to United States Attorney David J. Freed, Chinchilla-Roque was previously deported from the United States to Honduras in June 2016. He is alleged to have illegally reentered the United States sometime after June 2016, and was found in the United States in Adams County, Pennsylvania after eluding examination or inspection by immigration officers.
This matter was investigated by U.S. Immigration and Customs Enforcement and Removal Operations (ERO). Assistant United States Attorney Joanne M. Sanderson is prosecuting the case.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
Chinchilla-Roque faces a maximum penalty of 2 years of imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
# # #
Portland Man Sentenced to Federal Prison for Cyber Intrusion of Former EmployerRead the Press Release
PORTLAND, Ore.—On January 22, 2020, Kristopher Ives, 33, of Portland, was sentenced to 12 months and one day in federal prison and three years’ supervised release for illegally accessing the computer network and data of his former employer, Gearbox Studios, after being terminated.
According to court documents, in 2008, Ives began working as a computer programmer for Gearbox Studios, a Portland-based digital marketing agency. Ives eventually became Gearbox Studio’s lead programmer for server architecture and support, a position of trust with access to the computer networks and data of both the company and the company’s clients.
Between February and May 2015, after being terminated from his position, Ives illegally accessed Gearbox’s computers to steal and tamper with data. He used this data to attack Gearbox’s servers and various websites belonging to Gearbox customers. Ives deleted nearly 20,000 products from customer websites and changed prices for various items. Ives also stole names and credit card numbers from these Gearbox customer websites and threatened to release the information unless Gearbox made payment to a bitcoin address.
On October 18, 2019, Ives pleaded guilty to one count of fraud in connection with computers.
This case was investigated by the FBI’s Oregon Cyber Task Force and prosecuted by Quinn P. Harrington, Assistant U.S. Attorney for the District of Oregon.
Any public or private entity suspecting a cyber intrusion or attack should contact the FBI through the Internet Crime Complaint Center at www.ic3.gov or by calling your nearest FBI office.
Port St. Lucie Man Charged with Possessing Cocaine with the Intent to DistributeRead the Press Release
Tampa, Florida – United States Attorney Maria Chapa Lopez announces the return by a grand jury of an indictment charging Damian Sierra (41, Port St. Lucie) with possessing 500 grams or more of cocaine with the intent to distribute. If convicted, Sierra faces a mandatory minimum sentence of 5 years, up to 40 years, in federal prison.
According to the indictment, on February 21, 2019, Sierra possessed 500 grams or more of cocaine with an intent to distribute it.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Drug Enforcement Administration and the Manatee County Sheriff’s Office. It will be prosecuted by Assistant United States Attorney Callan Albritton.
Pittsburgh Woman Sentenced to Probation, Fined for Drug Law ViolationRead the Press Release
PITTSBURGH, PA- A resident of Pittsburgh, Pennsylvania has been sentenced in federal court to one year of probation and to pay a fine of $1,000 on her conviction of violating federal drug laws, United States Attorney Scott W. Brady announced today.
United States District Judge Nora Barry Fischer imposed the sentence on Asonte Turner, 32.
According to information presented to the court, the defendant knowingly possessed cocaine and cocaine base from on or about July 1, 2017 through July 21, 2017. The court was further informed that on July 21, 2017, during a search of the residence she shared with her boyfriend and multiple children, law enforcement found drugs, supplies for manufacturing crack cocaine, drug packaging supplies, and several firearms spread throughout the home. Multiple packages of suspected drugs tested positive for cocaine and crack cocaine, and the defendant admitted to possessing those drugs.
Assistant United States Attorney Christy C. Wiegand prosecuted this case on behalf of the government.
The Drug Enforcement Administration and the Pittsburgh Bureau of Police conducted the investigation that led to the prosecution of Turner.
Pittsburgh Residents Plead Guilty to Drug and Gun ChargesRead the Press Release
PITTSBURGH – John Burton and Nico Nixon were convicted following guilty pleas to fentanyl and heroin trafficking and firearm crimes, United States Attorney Scott W. Brady announced today.
Burton, age 31, and Nixon, age 29, both of Pittsburgh, pled guilty before United States District Judge Arthur J. Schwab. Burton pled guilty to possessing with intent to distribute fentanyl, fentanyl analogues, heroin, and crack cocaine and possessing a firearm in furtherance of a drug trafficking crime on August 26, 2019. Nixon pled guilty to possessing with intent to distribute fentanyl and heroin and possessing a firearm in furtherance of a drug trafficking crime on August 3, 2019.
Burton’s sentencing hearing is scheduled to occur on July 14, 2020, at 10:00 a.m. Nixon’s sentencing hearing is scheduled to occur on July 13, 2020, at 10:00 a.m.
The law provides for a maximum total sentence of at least five years and up to life in prison and a fine of up to $2,250,000. Under the Federal Sentencing Guidelines, the actual sentences imposed will be based upon the seriousness of the offenses and the prior criminal histories of the defendants.
Assistant United States Attorney Craig W. Haller is prosecuting this case on behalf of the United States.
The Pittsburgh Bureau of Police, the United States Marshals Service and the Pennsylvania Office of Attorney General conducted the investigation leading to the convictions in this case. This case is being prosecuted as part of Project Safe Neighborhoods (PSN) which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Pittsburgh Man on Federal Supervised Release for Drug Trafficking Admits Distributing HeroinRead the Press Release
PITTSBURGH - A resident of Pittsburgh, Pennsylvania, pleaded guilty in federal court to a charge of possession with the intent to distribute heroin, United States Attorney Scott W. Brady announced today.
Davee Ward, age 29, pleaded guilty to one count before United States District Judge Cathy Bissoon.
In connection with the guilty plea, the court was advised that Ward possessed with the intent to distribute heroin on July 25, 2016. The government also filed with the Court a notice that the defendant was previously convicted in Federal Court in Pittsburgh for distribution of heroin. The defendant was on supervised release for the prior offense at the time of the alleged new offense.
Judge Bissoon scheduled sentencing for May 20, 2020 at 10:00 a.m. The law provides for a total sentence of not more than 30 years in prison, a fine of $2,000,000, or both. The defendant also faces a maximum of three years of imprisonment based on the alleged violation of his supervised release stemming from his prior federal prosecution for drug trafficking. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Brendan T. Conway is prosecuting this case on behalf of the government.
The Drug Enforcement Administration and the Pittsburgh Bureau of Police conducted the investigation that led to the prosecution of Ward.
Pittsburgh Man Sentenced for Robbing South Side BankRead the Press Release
PITTSBURGH, PA- A former resident of Pittsburgh, Pennsylvania, has been sentenced in federal court to 30 months’ imprisonment, three years’ supervised release, and to pay restitution to the victim bank on his bank robbery conviction, United States Attorney Scott W. Brady announced today.
United States District Judge Nora Barry Fischer imposed the sentence on Vaughn Carter, 56.
According to information presented to the court, on November 1, 2018, defendant entered the First National Bank, located at 114 East Carson Street, wearing a baseball hat and dark clothing and presented a demand note to a teller, which stated: "This is a robbery. Give me large bills." Carter then took $1,000 from the teller and fled the bank. Law enforcement identified and located Carter after tracking the getaway vehicle and obtaining fingerprints from the vehicle.
Assistant United States Attorney Rebecca L. Silinski is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation and the City of Pittsburgh Bureau of Police conducted the investigation that led to the prosecution of Carter.
Pinole Woman Sentenced to More Than Two Years in Prison for Wire Fraud Embezzlement SchemeRead the Press Release
SAN FRANCISCO – Sherryl Santos-Tan was sentenced to 25 months in prison and ordered to pay restitution for wire fraud after defrauding her former employer and another individual of more than $300,000, announced United States Attorney David L. Anderson and United States Secret Service Special Agent in Charge Thomas C. Edwards. The sentence was handed down by the Honorable Edward M. Chen, U.S. District Judge.
Santos-Tan, 36, of Pinole, pleaded guilty to the charges on October 18, 2019. According to her plea agreement, Santos-Tan admitted that over the course of more than two years she executed a scheme by which she defrauded her former employer and another individual by exploiting her access to credit cards and other funds that belonged to the employer. Santos-Tan admitted she diverted money to accounts under her control and made purchases for her personal use. Further, she admitted she used the stolen money at casinos and for other personal expenditures such as funding prepaid charge cards. She also admitted she concealed her actions by falsifying and manipulating information in expense reports. Santos-Tan acknowledged that the money and property she obtained through this scheme totaled more than $300,000.
A federal grand jury indicted Santos-Tan on July 18, 2019, charging her with six counts of wire fraud, in violation of 18 U.S.C. § 1343, and one count of aggravated identity theft, in violation of 18 U.S.C. § 1028A. Santos-Tan pleaded guilty to the wire fraud counts and the identity theft count was dismissed.
In addition to the prison term, Judge Chen sentenced the defendant to a three-year period of supervised release to begin at the completion of the prison term, and ordered her to pay restitution to the victims of her crimes. Judge Chen ordered the defendant to surrender on or before April 21, 2020, to begin serving her prison term.
Assistant U.S. Attorney Eric Cheng is prosecuting the case with the assistance of Morgan Byrne. The prosecution is the result of an investigation by the Secret Service.
Pendleton County man sentenced to 20 years for drug and firearms chargesRead the Press Release
ELKINS, WEST VIRGINIA – Jamie William Sites, of Circleville, West Virginia, was sentenced today to 240 months incarceration for methamphetamine distribution, U.S. Attorney Bill Powell announced.
Sites, age 42, pled guilty to one count of “Possession with Intent to Distribute Methamphetamine” and one count of “Possess a Firearm in Furtherance of a Drug Trafficking Crime” in May 2019. Sites admitted to distributing methamphetamine in November 2017 in Pocahontas County and having a .22 caliber pistol during a drug crime in September 2018 in Pendleton County.
Sites’ criminal history spans 25 years, with this being his third felony drug offense.
This case was brought as part of Project Safe Neighborhoods (PSN). Project Safe Neighborhoods is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Assistant U.S. Attorney Stephen D. Warner prosecuted the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms and Explosives; the West Virginia State Police; the Potomac Highlands Drug & Violent Crimes Task Force; the Grant County Sheriff’s Office; and the Moorefield Police Department investigated.
U.S. District Judge Thomas S. Kleeh presided.
Owner of Frederick Payroll Processing Business Sentenced to 48 Months in Federal Prison for Defrauding Victims of More Than $1.6 MillionRead the Press Release
Baltimore, Maryland – U.S. District Judge George L. Russell, III today sentenced David Richison, age 64, of Frederick, Maryland, to 48 months in federal prison for wire fraud and aiding in the filing of a false tax return. Richison, who owned and operated a payroll processing business, took funds from his clients’ tax escrow account and used them to pay his own personal expenses. Judge Russell also ordered restitution and forfeiture in the amount of the victims' full loss, which will be determined after a restitution hearing.
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Kelly R. Jackson of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office; and Special Agent in Charge Timothy M. Dunham of the Criminal Division of the FBI Washington Field Office.
"After years of deceiving his clients for his own personal benefit, Richison is now feeling the consequences of his despicable actions," said IRS-CI Special Agent in Charge Kelly R. Jackson. "We will continue to work with the United States Attorney's Office to pursue justice of those who violate our tax laws, especially those who commit fraud at the expense of others."
According to his plea agreement, Richison owned and operated a Frederick-based payroll processing business, Period Financial, doing business as Period Payroll. Period Payroll provided payroll processing and payroll tax payment services to businesses in Maryland and Virginia, using special software specifically designed by Richison. In addition to printing paychecks for client employees, Period Payroll was responsible for calculating the employment taxes owed to federal and state taxing authorities by the client companies and those companies’ employees, as well as preparing and filing the client companies’ employment tax returns.
Period Payroll clients entrusted Richison with the authority to remove funds directly from their bank accounts to pay their federal and state taxes, as well as to pay fees to Period Payroll. Richison’s practice was to send the clients a copy of the tax return to be filed and an accounting of the funds to be removed from their accounts and subsequently paid over. Funds removed from client accounts were placed into an escrow account, which Richison used to make electronic payments to the IRS, generating a unique number for each wire sent on behalf of a client.
Richison admitted that from at least 2012 through 2014, the tax forms prepared and filed by Richison on behalf of Period Payroll clients properly reported the amount of taxes owed, but a corresponding amount of tax deposits was not made with the IRS. Richison began taking money from the client escrow fund to pay for his own personal and business-related expenses, such as legal fees, rather than paying those funds to the IRS, as he represented to his clients.
For example, in July 2012, Richison transferred $53,000 from the client escrow account to his personal attorney to pay legal fees. Over the course of 2013 and 2014, the frequency with which Richison failed to pay over client funds to the IRS increased. When clients received notices from the IRS that their employment taxes had not been paid, Richison provided false explanations for the missed payments and falsely promised to make the payments and cover the penalties and interest. To further conceal the scheme, Richison used one client’s escrowed funds to pay another client’s debt, penalties, and interest, without informing either client that he was doing so. In addition, Richison sent e-mails to clients falsely stating that he had made payments to the IRS on their behalf and provided as proof the wire numbers of transfers that he had made on behalf of other clients. Between approximately February 2013 and December 2014, Richison used approximately $598,365 of client escrow funds to make payments to the IRS to cover the penalties and interest his clients had accrued in order to conceal the fraud and continue to deceive his clients into thinking that Period Payroll was solvent.
By the end of 2014, there were insufficient funds in the client escrow account to cover the mounting debts and Richison closed Period Payroll. By that time, the difference between the amount taken from clients and reported to have been paid to the IRS per the tax returns filed on behalf of clients, and the actual payments made as required by those returns totaled at least $1,622,481.56.
United States Attorney Robert K. Hur commended the IRS Criminal Investigation and the FBI Washington Field Office for its work in the investigation. Mr. Hur thanked Assistant U.S. Attorney Sean Delaney, who prosecuted the case.
# # #
Orangeburg Man Accused of Shooting at Orangeburg Police Indicted on Federal Firearm ChargeRead the Press Release
Columbia, South Carolina ---- Acting United States Attorney A. Lance Crick announced today that Phillip Michael King, 33, of Orangeburg, was charged in federal court this week in a one-count indictment with being a felon in possession of a firearm and ammunition. King also faces South Carolina state charges of attempted murder, possession of a weapon during a violent crime, possession of a stolen handgun, and possession of a stolen handgun with a damaged or removed serial number, in relation to an incident in which officers of the Orangeburg Department of Public Safety were shot at on September 22, 2018.
The federal indictment alleges that on September 22, 2018, King was in possession of a Smith & Wesson, Model SW9VE, 9mm pistol and various rounds of 9mm ammunition. The indictment also alleges that at the time of the possession, federal law prohibited King from possessing a firearm or ammunition because of at least one prior felony conviction.
King faces up to 10 years in prison, a fine of $250,000, and 3 years of supervised release on the federal indictment returned this week. If the court determines enhanced penalties apply based on the King’s prior criminal record, King may face a mandatory minimum of 15 years in prison and a maximum of life, a fine of $250,000, and 5 years of supervised release.
The charge against King was the result of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), South Carolina Law Enforcement Division (SLED), and Orangeburg Department of Public Safety. The case is being prosecuted by Assistant United States Attorney Elliott B. Daniels of the Columbia office.
This case is prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
The Acting U.S. Attorney stated that all charges in the indictment are merely accusations and that defendants are presumed innocent unless and until proven guilty.
#####
Ohio Man Sentenced to Federal Prison for Sex Offense Involving a MinorRead the Press Release
CHARLESTON, W.Va. – A Chesapeake, Ohio man was sentenced to federal prison for a sex offense involving a minor, announced United States Attorney Mike Stuart. Johnathan Matthew Taylor, 24, was sentenced to 18 months in prison for traveling in interstate commerce in order to engage in illicit sexual activity with a minor. Following his release from prison, Taylor will serve a seven year term of supervised release and will be required to register as a sex offender.
“My office is receiving so many referrals of cases like this one – it’s tragic. I am passionate about protecting our kids,” said United States Attorney Mike Stuart. “We’ll prosecute every single one of these cases- EVERY ONE- to protect West Virginia’s children.”
Taylor previously admitted that on June 1, 2019, he communicated via a social messaging application with a minor he believed to be a 15-year-old girl located in Bluefield, West Virginia. Despite knowing her age, Taylor discussed traveling to Bluefield from Ohio to meet the minor to engage in sexual intercourse, but the plans were canceled by the purported minor due to the late hour at which he would arrive. Two days later, on June 3, 2019, Taylor arranged to meet the minor female in Saint Albans, Kanawha County, West Virginia, in order to engage in sexual intercourse. On that same date he traveled from Chesapeake, Ohio to West Virginia, where he purchased condoms before arriving at the location to meet the purported 15-year-old female.
The FBI West Virginia Child Exploitation and Human Trafficking Task Force in conjunction with the West Virginia States Police Internet Crimes Against Children Task Force and the Kanawha County Sheriff’s Office conducted the investigation. United States District Judge Irene C. Berger presided over the hearing. Assistant United States Attorney Jennifer Rada Herrald handled the prosecution.
This case was prosecuted as part of Project Safe Childhood, a nationwide initiative of the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Follow us on Twitter: SDWVNews and USAttyStuart
###
North Platte Man Sentenced for Distributing MethamphetamineRead the Press Release
United States Attorney Joe Kelly announced that Sean Heinemann, 42, of North Platte, Nebraska, was sentenced today to 48 months in prison by Senior United States District Judge Laurie Smith Camp for distribution of methamphetamine. In addition to his prison term, Heinemann will serve three years of supervised release following his release from prison.
On November 8, 2017, an undercover officer met with Heinemann and purchased 27.04 grams of methamphetamine.
This case was investigated by the North Platte Police Department and the Nebraska State Patrol.
North Carolina Man Sentenced After Pleading Guilty to Violating the Federal Controlled Substances ActRead the Press Release
NEW ORLEANS, La. – AMIN SULUKI, age 38, a resident of Burlington, North Carolina, was sentenced to (60) sixty months’ imprisonment and (4) four years of supervised release after pleading guilty to a one-count Superseding Bill of Information charging him with conspiracy to distribute and possess with intent to distribute five hundred grams or more of cocaine hydrochloride, announced U.S. Attorney Peter G. Strasser. SULUKI was sentenced by United States District Court Judge Carl J. Barbier.
According to court records, the Homeland Security Investigations Border Enforcement Security Task Force, New Orleans (HSI/NO) received information that SULUKI was attempting to purchase kilogram quantities of cocaine. Under the direction of HSI/NO, a confidential informant contacted SULUKI who informed the confidential informant that he was only able to purchase one kilogram of cocaine. On November 23, 2017, SULUKI and another individual, Wilfredo Morales, met with the confidential informant and agreed to purchase a total of five kilograms of cocaine for $120,000.00. The following day, SULUKI and Morales met with the confidential informant and an undercover officer to purchase the cocaine. After inspecting sham cocaine provided by the informant and officer, SULUKI and Morales provided the confidential informant with the money, at which time agents arrested SULUKI and Morales.
This case was investigated by the Homeland Security Investigations Border Enforcement Security Task Force, New Orleans. The prosecution is being handled by Assistant United States Attorney André Jones.
Newton County Felon Convicted of Firearms PossessionRead the Press Release
BEAUMONT, Texas – A 41-year-old Newton, Texas, man has been convicted of federal firearms violations in the Eastern District of Texas, announced U.S. Attorney Joseph D. Brown today.
Desmond Deray Gatson was found guilty on Jan. 22, 2020, of being a felon in possession of a firearm following a two-day jury trial before U.S. District Judge Marcia A. Crone.
According to information presented in court, on Feb. 8, 2019, Gatson was stopped by Beaumont police on Lucas Road in Beaumont for having an obstructed license plate. During the traffic stop, officers could smell marijuana and Gatson indicated that he had just finished smoking marijuana. Gatson also admitted to having served prison time for a drug conviction. A search of the vehicle revealed a handgun under the seat and marijuana in the center console. As a convicted felon, Gatson is prohibited from owning or possessing firearms or ammunition. Gatson was indicted on Aug. 7, 2019 and charged with federal firearms violations.
Under the federal statute, Gatson faces up to 10 years in federal prison at sentencing. The maximum statutory sentence prescribed by Congress is provided here for information purposes, as the sentencing will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the U.S. Probation Office.
This case was prosecuted as part of the Project Safe Neighborhoods Initiative. Project Safe Neighborhoods is aimed at reducing gun and gang violence; deterring illegal possession of guns, ammunition, and body armor; and improving the safety of residents in the Eastern District of Texas. Participants in the initiative include community members and organizations as well as federal, state, and local law enforcement agencies.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Beaumont Police Department and prosecuted by Assistant U.S. Attorneys Michael Anderson and Rachel Grove.
New York Pharmacist Charged with Narcotics and Tax Fraud OffensesRead the Press Release
A 12-count indictment was unsealed today in federal court in Brooklyn charging Daniel E. Russo, a pharmacist, with conspiracy to distribute and possess with intent to distribute oxycodone, distribution and possession of oxycodone, distribution of oxycodone by a pharmacist without legitimate prescription and filing false tax returns. Russo was arrested this morning by federal agents and arraigned this afternoon before United States Magistrate Judge Cheryl L. Pollak. The defendant was released on a $1.5 million bond.
Richard E. Zuckerman, Principal Deputy Assistant Attorney General of the Justice Department’s Tax Division, Richard P. Donoghue, United States Attorney for the Eastern District of New York, Ray Donovan, Special Agent-in-Charge, Drug Enforcement Administration (DEA), and Jonathan D. Larsen, Special Agent-in-Charge, Internal Revenue Service Criminal Investigation (IRS-CI), announced the charges.
According to the indictment, Russo owned and operated Russo’s Pharmacy Inc., a drug store located in Far Rockaway, New York. From March 2011 through June 2014, Russo allegedly conspired with others including medical professionals and employees of a physician, to fill fraudulent prescriptions for oxycodone and dispense thousands of oxycodone pills in return for hundreds of thousands of dollars in cash. The indictment also alleges that for the years 2013 through 2016, Russo filed with the Internal Revenue Service (IRS) false tax returns on behalf of Russo’s Pharmacy that omitted cash received from the illegal oxycodone distribution scheme. The indictment further charges that during those years, Russo underreported income on his own personal returns. In total, Russo is charged with failing to report over $1 million in cash, most of it generated from his oxycodone distribution scheme.
More than a dozen physicians for whom Russo filled prescriptions have since been convicted of crimes related to the distribution of oxycodone.
An indictment merely alleges that crimes have been committed. The defendant is presumed innocent until proven guilty beyond a reasonable doubt.
If convicted, Russo faces a statutory maximum sentence of 20 years in prison for each of the conspiracy and possession with intent to distribute counts, and three years in prison for each count of filing a false tax return. The defendant also faces a period of supervised release, restitution and monetary penalties, as well as forfeiture.
Principal Deputy Assistant Attorney General Zuckerman and U.S. Attorney Donoghue commended special agents of the Drug Enforcement Administration and IRS-Criminal Investigation, who are investigating the case, and Assistant U.S. Attorney Nomi D. Berenson and Trial Attorney Michael C. Vasiliadis of the Tax Division, who are prosecuting the case.
New Jersey Man Indicted for Possessing Firearms in Furtherance of Drug Trafficking OffenseRead the Press Release
WILLIAMSPORT - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Jamir M. Ceruti, age 22, of Burlington, New Jersey, was indicted on January 23, 2020, by a federal grand jury on drug trafficking and firearms charges.
According to United States Attorney David J. Freed, the indictment alleges that Ceruti possessed with the intent to distribute multiple bags of cocaine and marihuana in Williamsport, Pennsylvania on March 23, 2018. The indictment also alleges that Ceruti possessed a Glock semi-automatic pistol, loaded with a 30-round magazine, and a stolen, and loaded, Ruger semi-automatic pistol in furtherance of his drug trafficking activities. Ceruti also allegedly possessed magazines and 58 loose cartridges, in addition to the two pistols.
The case was investigated by the Williamsport Bureau of Police, the Lycoming County District Attorney’s Office, and the Federal Bureau of Investigation. Assistant U.S. Attorney George J. Rocktashel is prosecuting the case.
This case was brought as part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. The Department 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.
This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NCIS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities.
Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
The maximum penalty under federal law for this offense is life in prison, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
# # #
Myrtle Beach Man Sentenced to 12 Years in Federal Prison on Drug ChargeRead the Press Release
Florence, South Carolina --- Acting United States Attorney A. Lance Crick announced today that Shawntavius Ramone Johnson, 26, of Myrtle Beach, was sentenced to 12 years in federal prison after pleading guilty to possession of controlled substances with the intent to distribute.
Evidence presented to the court showed that on September 26, 2018, officers with the Horry County Police Department were dispatched to a location in Surfside Beach in reference to a tip that Johnson was at a residence and had an outstanding warrant for his arrest. The tip also indicated Johnson had drugs at the location. When officers arrived, Johnson was taken into custody. A search of the location revealed cocaine, cocaine base (“crack” cocaine), and methamphetamine, as well as body armor, .40 caliber Glock magazines, ammunition, a scale, and a clown mask.
United States District Judge Donald C. Coggins, Jr., of Spartanburg, sentenced Johnson to 145 months in federal prison, to be followed by a three-year term of court-ordered supervision. There is no parole in the federal system.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the Myrtle Beach Police Department, and the Horry County Police Department.
This case was prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Assistant United States Attorney Lauren Hummel of the Florence office prosecuted the case.
#####
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Mustafa al-Imam Sentenced to 236 Months in Prison for September 2012 Terrorist Attack in Benghazi, LibyaRead the Press Release
WASHINGTON - Mustafa al-Imam, a 47-year-old Libyan national, was sentenced today to 236 months in prison on federal terrorism charges stemming from the Sept. 11, 2012, terrorist attack on the U.S. Special Mission and CIA Annex in Benghazi, Libya. Ambassador J. Christopher Stevens and U.S. government personnel Sean Smith, Tyrone Woods, and Glen Doherty died in the attack.
The announcement was made by Assistant Attorney General for National Security John C. Demers, U.S. Attorney for the District of Columbia Jessie K. Liu, Jay Tabb, Executive Assistant Director of the FBI’s National Security Branch, and Assistant Director in Charge William F. Sweeney, Jr. of the FBI’s New York Field Office.
“Today’s sentence demonstrates the United States’ continuing commitment to pursue justice against those who commit terrorist acts against the United States no matter how far we must go or how long it takes. Mustafa al-Imam played an important role in the terrorist attack that destroyed the U.S. Mission and the CIA Annex in Benghazi,” said U.S. Attorney Liu. “We will continue to work with our law enforcement partners to pursue justice against all those who murdered these four American heroes and who seriously injured our personnel defending these U.S. facilities overseas.”
“The tragic loss of four American lives in the Benghazi attacks will never be forgotten and today’s sentencing of Mustafa al-Imam is an important reminder of that,” said Jay Tabb, Executive Assistant Director of the FBI’s National Security Branch. “The FBI is committed to investigate and bring to justice all individuals involved in acts of terrorism against U.S. facilities or citizens and will use the full range of our resources to pursue such cases.”
“We have not rested in our efforts to bring to justice those involved in the terrorist attacks on our facilities in Benghazi, which led to the death of four courageous Americans – Tyrone Woods, Sean Smith, Glen Doherty, and Ambassador Christopher Stevens – and we never will,” said Assistant Attorney General Demers. “Those responsible for these crimes must be held accountable. I want to thank the agents, analysts, and prosecutors – and all of their partners in the U.S. government – who are responsible for this important investigation.”
“Mustafa al-Imam played a significant role in the 2012 Benghazi attack, one that ultimately claimed American lives,” said Assistant Director William F. Sweeney, Jr. “While nothing will ever change the outcome of this horrific event, today’s sentencing is a reminder that the safety of Americans—whether at home or abroad, civilian or otherwise—will always be our top priority. If you commit an act of terrorism, we will find you and bring you to justice."
Al-Imam was captured in Libya on Oct. 29, 2017, and brought to the United States to face trial in the U.S. District Court for the District of Columbia. He was found guilty by a jury on June 13, 2019, following a six-week trial, of one count of conspiracy to provide material support or resources to terrorists and one count of maliciously destroying and injuring dwellings and property, and placing lives in jeopardy within the special maritime and territorial jurisdiction of the United States. He was sentenced by the Honorable Christopher R. Cooper.
According to the government’s evidence, on the night of Sept. 11, 2012, a group of extremists, armed with AK-47 rifles, grenades, and other weapons, swept into the U.S. Special Mission in Benghazi, setting fires and breaking into buildings. During that violence, Ambassador Stevens, Mr. Smith, and Diplomatic Security Services (DSS) Special Agent Scott Wickland valiantly tried to protect themselves when the attackers stormed into the Ambassador’s residence, sheltering in a secure area. However, when the attackers could not gain entry to the secure area, the attackers set fire to the residence. Ambassador Stevens and Mr. Smith suffocated from the thick, black smoke that enveloped the residence. Special Agent Wickland, who tried to guide them to safety, was injured and repeatedly took small arms fire while trying to rescue Ambassador Stevens and Mr. Smith.
Al-Imam arrived at the Mission during the initial stage of the attack, accompanying Ahmed Abu Khatallah, the leader of an extremist militia named Ubaydah bin Jarrah and one of the planners of the attack. During the attack on the Mission, al-Imam maintained contact with Khatallah in a series of cellphone calls, including an 18-minute phone call that took place during the height of the attack. Members of Ubaydah bin Jarrah, as well as other extremist groups, were caught on surveillance video attacking the Mission. After the American security personnel withdrew from the Mission, al-Imam, Khatallah, several UBJ members, and other extremists entered the Mission’s office and removed sensitive information, including maps and other documents related to the location of the CIA’s Annex in Benghazi.
Following the attack at the Mission, in the early hours of Sept. 12, 2012, the violence continued at the CIA Annex, first with gunfire and then with a precision mortar attack. While defending the Annex, Mr. Woods, Mr. Doherty, DSS Special Agent David Ubben, and CIA security specialist Mark Tiegen were hit by a precision mortar attack, leading to the deaths of Mr. Woods and Mr. Doherty. Special Agent Ubben and Mr. Tiegen were seriously wounded but survived.
This case was investigated by the FBI’s New York Field Office with substantial assistance from various other government agencies, including the Department of Defense and the two victim agencies, the CIA and the Department of State. The National Security Division’s Counterterrorism Section provided significant assistance.
The case was prosecuted by Assistant U.S. Attorneys John Cummings and Karen Seifert of the National Security Section of the U.S. Attorney’s Office for the District of Columbia. Assistance was provided by Assistant U.S. Attorneys Nicholas Coleman and Jolie Zimmerman, Paralegal Specialist Donna Galindo, detailed Paralegal Specialist Ashley Davis, Intelligence Research Special Dustin Powell, Contract Document Management Analyst Michael Watts, Victim-Witness Advocates Yvonne Bryant, Tonya Jones, Laverne Perry and Wanda Queen, and Litigation Technology Chief Leif Hickling. Earlier stages of the prosecution were handled by Assistant U.S. Attorney Michael DiLorenzo and former Assistant U.S. Attorneys Opher Shweiki and Julieanne Himelstein.
Mustafa Al-Imam Sentenced to More than 19 Years in Prison for September 2012 Terrorist Attack in Benghazi, LibyaRead the Press Release
Mustafa al-Imam, a 47-year-old Libyan national, was sentenced today to 236 months in prison on federal terrorism charges and other offenses stemming from the Sept. 11, 2012, terrorist attack on the U.S. Special Mission and CIA Annex in Benghazi, Libya. Ambassador J. Christopher Stevens and U.S. government personnel Sean Smith, Tyrone Woods, and Glen Doherty died in the attack.
The announcement was made by Assistant Attorney General for National Security John C. Demers, U.S. Attorney for the District of Columbia Jessie K. Liu, Jay Tabb, Executive Assistant Director of the FBI’s National Security Branch, and Assistant Director in Charge William F. Sweeney, Jr. of the FBI’s New York Field Office.
“We have not rested in our efforts to bring to justice those involved in the terrorist attacks on our facilities in Benghazi, which led to the death of four courageous Americans – Tyrone Woods, Sean Smith, Glen Doherty, and Ambassador Christopher Stevens – and we never will,” said Assistant Attorney General for National Security John C. Demers. “Those responsible for these crimes must be held accountable. I want to thank the agents, analysts, and prosecutors – and all of their partners in the U.S. government – who are responsible for this important investigation.”
“Today’s sentence demonstrates the United States’ continuing commitment to pursue justice against those who commit terrorist acts against the United States no matter how far we must go or how long it takes. Mustafa al-Imam played an important role in the terrorist attack that destroyed the U.S. Mission and the CIA Annex in Benghazi,” said U.S. Attorney Jessie K. Liu for the District of Columbia. “We will continue to work with our law enforcement partners to pursue justice against all those who murdered these four American heroes and who seriously injured our personnel defending these U.S. facilities overseas.”
“The tragic loss of four American lives in the Benghazi attacks will never be forgotten and today’s sentencing of Mustafa al-Imam is an important reminder of that,” said Jay Tabb, Executive Assistant Director of the FBI’s National Security Branch. “The FBI is committed to investigate and bring to justice all individuals involved in acts of terrorism against U.S. facilities or citizens and will use the full range of our resources to pursue such cases.”
“Mustafa al-Imam played a significant role in the 2012 Benghazi attack, one that ultimately claimed American lives,” said Assistant Director William F. Sweeney, Jr. “While nothing will ever change the outcome of this horrific event, today’s sentencing is a reminder that the safety of Americans—whether at home or abroad, civilian or otherwise—will always be our top priority. If you commit an act of terrorism, we will find you and bring you to justice."
Al-Imam was captured in Libya on Oct. 29, 2017, and brought to the United States to face trial in the U.S. District Court for the District of Columbia. He was found guilty by a jury on June 13, 2019, following a six-week trial, of one count of conspiracy to provide material support or resources to terrorists and one count of maliciously destroying and injuring dwellings and property, and placing lives in jeopardy within the special maritime and territorial jurisdiction of the United States. He was sentenced by the Honorable Christopher R. Cooper.
According to the government’s evidence, on the night of Sept. 11, 2012, a group of extremists, armed with AK-47 rifles, grenades, and other weapons, swept into the U.S. Special Mission in Benghazi, setting fires and breaking into buildings. During that violence, Ambassador Stevens, Mr. Smith, and Diplomatic Security Service (DSS) Special Agent Scott Wickland valiantly tried to protect themselves when the attackers stormed into the Ambassador’s residence, sheltering in a secure area. However, when the attackers could not gain entry to the secure area, the attackers set fire to the residence. Ambassador Stevens and Mr. Smith suffocated from the thick, black smoke that enveloped the residence. Special Agent Wickland, who tried to guide them to safety, was injured and repeatedly took small arms fire while trying to rescue Ambassador Stevens and Mr. Smith.
Al-Imam arrived at the Mission shortly after the attack began, accompanying Ahmed Abu Khatallah, the leader of an extremist militia named Ubaydah bin Jarrah and one of the planners of the attack. During the attack on the Mission, al-Imam maintained contact with Khatallah in a series of cellphone calls, including an 18-minute phone call that took place during the height of the attack. Members of Ubaydah bin Jarrah, as well as other extremist groups, were caught on surveillance video attacking the Mission. After the American security personnel withdrew from the Mission, al-Imam, Khatallah, several UBJ members, and other extremists entered the Mission’s office and removed sensitive information, including maps and other documents related to the location of the CIA’s Annex in Benghazi.
Following the attack at the Mission, in the early hours of Sept. 12, 2012, the violence continued at the CIA Annex, first with gunfire and then with a precision mortar attack. While defending the Annex, Mr. Woods, Mr. Doherty, DSS Special Agent David Ubben, and CIA security specialist Mark Tiegen were hit by a precision mortar attack, leading to the deaths of Mr. Woods and Mr. Doherty. Special Agent Ubben and Mr. Tiegen were seriously wounded but survived.
This case was investigated by the FBI’s New York Field Office with substantial assistance from various other government agencies, including the Department of Defense and the two victim agencies, the CIA and the U.S. Department of State's Diplomatic Security Service. The National Security Division’s Counterterrorism Section and the Criminal Division’s Office of International Affairs provided assistance.
The case was prosecuted by Assistant U.S. Attorneys John Cummings and Karen Seifert of the National Security Section of the U.S. Attorney’s Office for the District of Columbia. Assistance was provided by Assistant U.S. Attorneys Nicholas Coleman and Jolie Zimmerman, Paralegal Specialist Donna Galindo, detailed Paralegal Specialist Ashley Davis, Intelligence Research Special Dustin Powell, contract Document Management Analyst Michael Watts, Victim-Witness Advocates Yvonne Bryant, Tonya Jones, Laverne Perry and Wanda Queen, and Litigation Technology Chief Leif Hickling. Earlier stages of the prosecution were handled by Assistant U.S. Attorney Michael DiLorenzo and former Assistant U.S. Attorneys Opher Shweiki and Julieanne Himelstein.
Multiple Bay Area Residents Convicted and Sentenced for Forced Refund Fraud SchemeRead the Press Release
SAN JOSE– Monica Mason, the lead defendant in a seven-defendant bank fraud conspiracy, was sentenced to 106 months prison and ordered to pay over $3 million in restitution for a wide ranging refund fraud conspiracy, announced United States Attorney David L. Anderson and FBI Special Agent in Charge, John F. Bennett. The sentence was handed down by the Honorable Lucy H. Koh, U.S. District Judge.
Mason, 40, of Oakland, pleaded guilty to the charges on August 14, 2019. According to her plea agreement, Mason admitted that she, along with Brandon Bodine, Jennifer Prince, Katherine Baldridge, Raymundo Ramos, Lakhinder Singh, and Armida Ruelas, participated in a refund fraud scheme that is thought to have originated in the Bay Area around 2014 and has since spread to neighboring areas. Pursuant to the scheme, fraudsters exploit the credit card refund process by using stolen or reprogrammed electronic point of sale (“POS”) terminals to “force” refunds from merchant bank accounts for products or services that were never actually purchased from the victim merchant. The fraudulent refunds then are loaded to credit and debit cards controlled by the fraudsters, who spend the illicit funds via credit card charges, wire transfers, and ATM withdrawals from affiliated bank accounts. These refund fraud schemes have caused significant disruption to banks and payment processors servicing the targeted merchants, who must divert resources and funds to investigate and remediate the financial losses suffered by their merchant clients. The victims collectively report a total loss of over $20 million since authorities began to track this type of fraud in 2014.
In this case, Mason admitted in her plea agreement that in early 2016, she and her codefendants used a stolen POS terminal to launch refund attacks against several businesses and franchises located throughout the nation. Mason further admitted that the defendants loaded fraudulently obtained refunds onto debit and credit cards under their control. The defendants registered some of the credit and debit cards in their own names and registered many cards in the names of other people using stolen identity information. The defendants attempted to force over $525,000 in fraudulent refunds from various merchant bank accounts using one POS terminal alone. Sixteen additional POS terminals were later recovered from a storage locker associated with Mason and Ruelas.
In addition, Mason, Bodine, Baldridge, and Ruelas acknowledged in their publicly filed plea agreements that they were involved in a second refund fraud scheme that took place from mid-2017 to early 2018. According to the plea agreements, Mason, Bodine, Baldridge, Ruelas and others caused over $3.5 million in fraud loss to a payment processor pursuant to this scheme. They have all accepted responsibility for their conduct during the 2017-2018 time period and agreed to be sentenced based on the combined loss suffered by victims in both cases.
On February 8, 2018, a federal grand jury indicted Mason, Bodine, Prince, Baldridge, Ramos, Singh, and Ruelas, charging them for their respective roles in the conspiracy. Mason was charged with conspiracy, nine substantive counts of bank fraud, unlawful possession of personal identification information, and aggravated identity theft. Mason pleaded guilty to the conspiracy charge and the remaining charges were dismissed.
As of January 22, 2020, all seven defendants have been convicted of conspiracy to commit bank fraud, in violation of 18 U.S.C. § 1349. The following five defendants have now been sentenced by the Judge Koh:
Defendant
Place of Birth
Date of Sentencing
Sentence Imposed
Monica Mason
Oakland, CA
January 22, 2020
- 106 months in prison;
- Over $3.3 million in restitution to victims;
- 3 years supervised release;
- $100 Special Assessment Fee;
- Forfeiture.
Brandon Bodine
Hayward, CA
November 27, 2019
- 94 months in prison;
- Over $3.9 million in restitution to victims;
- 3 years supervised release;
- $100 Special Assessment Fee;
- Forfeiture.
Katherine Baldridge
Berkeley, CA
October 11, 2019
- 87 months in prison;
- Over $3.6 million in restitution to victims;
- 3 years supervised release;
- $100 Special Assessment Fee;
- Forfeiture.
Armida Ruelas
Hayward, CA
November 27, 2019
- 84 months in prison;
- Over $4.3 million in restitution to victims;
- 3 years supervised release;
- $100 Special Assessment Fee;
- Forfeiture.
Raymundo Ramos
San Leandro, CA
December 4, 2019
- 30 months in prison;
- Over $270,000 in restitution to victims;
- 3 years supervised release;
- $100 Special Assessment Fee;
- Forfeiture.
Prince and Singh have not yet been sentenced.
Assistant U.S. Attorney Marissa Harris is prosecuting the case with the assistance of Susan Kreider, Nina Burney-Williams, and Jessica Leung. The prosecution is the result of an investigation by the R.E.A.C.T. Taskforce, a joint federal and state taskforce targeting identity theft crimes in the Bay Area that includes the Santa Clara County District Attorney’s Office and Berkeley Police Department. Special Agents from the Federal Bureau of Investigation and the U.S. Secret Service also assisted the investigation.
Montgomery County Man Pleads Guilty to Federal Firearm and Drug ChargesRead the Press Release
LEXINGTON, Ky. - A Jeffersonville, Kentucky man, Ryan Keith Herndon, 29, admitted in federal court on Thursday, before U.S. District Judge Karen Caldwell, that he sold a firearm to a convicted felon, possessed a firearm as a convicted felon, and distributed a mixture of various controlled substances.
In his plea agreement, Herndon admitted that, on May 9, 2019,he sold a Walther .40 caliber pistol to a confidential informant working on behalf of the Appalachian High Intensity Drug Trafficking Area (AHIDTA) Gateway Drug Task Force and ATF. Then, on May 10, 2019, Herndon sold the confidential informant another firearm, a Century Arms 7.62 x 39 rifle. Herndon was a convicted felon and was prohibited from lawfully possessing or selling firearms. At the time Herndon sold the firearms, he knew or had reasonable cause to believe that the confidential informant was a convicted felon.
Additionally, on May 21, 2019, Herndon sold a substance containing the drugs heroin, valerylfentanyl, fentanyl, and methamphetamine to a confidential informant working for the Mt. Sterling Police Department. Then, on May 22, 2019, Herndon sold a quantity of methamphetamine to a confidential informant.
Herndon was indicted in June 2019.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Tommy Estevan, Acting Special Agent in Charge, ATF Louisville Field Division; and Chief Wayne Green, Mt. Sterling Police Department, jointly announced the guilty plea.
The investigation was conducted by the AHIDTA Gateway Drug Task Force, ATF and the Mt. Sterling Police Department. The U.S. Attorney’s Office was represented by Assistant U.S. Attorney Francisco Villalobos II.
Herndon is scheduled to be sentenced on May 21, 2020. He faces up to 30 years in prison and a maximum fine of $2.5 million. However, any sentence will be imposed by the Court after its consideration of the U.S. Sentencing Guidelines and the federal sentencing statutes.
This is another case prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide, crime reduction strategy aimed at decreasing violent crime in communities. It involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts. In the Eastern District of Kentucky, U.S. Attorney Robert Duncan Jr., coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.
This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. Click here for more information about Project Guardian.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
— END —
Mineral County man admits to role in a drug distribution operationRead the Press Release
MARTINSBURG, WEST VIRGINIA – Levi Doman, of Keyser, West Virginia, has admitted to his involvement in a drug distribution conspiracy, U.S. Attorney Bill Powell announced.
Doman, age 32, pled guilty to one count of “Possession with Intent to Distribute Methamphetamine.” Doman admitted to distributing methamphetamine in August 2017 in Mineral County.
Doman faces up to 20 years incarceration and a fine of up to $1,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Lara Omps-Botteicher is prosecuting the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms and Explosives, The West Virginia State Police, and the Potomac Highlands Drug & Violent Crimes Task Force investigated.
The investigation was funded in part 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.
U.S. Magistrate Judge Robert W. Trumble presided.
Miami-Based Businessman Pleads Guilty to FCPA and Money Laundering Violations in Scheme Involving PetroEcuador OfficialsRead the Press Release
An Ecuadorian businessman living in Miami, Florida, pleaded guilty today in connection with a $4.4 million bribery and money laundering scheme that funneled bribes to public officials of Empresa Pública de Hidrocarburos del Ecuador (PetroEcuador), the state-owned and state-controlled oil company of Ecuador, announced Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division and Special Agent in Charge George L. Piro of the FBI’s Miami Field Office.
Armengol Alfonso Cevallos Diaz (Cevallos), 57, pleaded guilty before U.S. District Judge Rodney Smith of the Southern District of Florida to one count of conspiracy to violate the Foreign Corrupt Practices Act (FCPA) and one count of conspiracy to commit money laundering. Sentencing is scheduled for April 2, 2020.
Cevallos admitted at the plea hearing that, from 2012 through 2015, he conspired with others to pay bribes of $4.4 million to PetroEcuador officials by using the mails and means and instrumentalities of interstate commerce, including U.S.-based companies and U.S.-based bank accounts, in order to obtain and retain business. Cevallos also admitted that he conspired with others to conceal and promote the bribe scheme by laundering funds through Miami-based shell companies and bank accounts and by purchasing properties in the Miami area for the benefit of certain PetroEcuador officials. Specifically, as alleged in the indictment, Cevallos admitted that he solicited and intermediated bribe payments from an oil services company for the benefit of PetroEcuador officials, and that he helped launder those bribes and others he had paid to PetroEcuador officials on behalf of Ecuadorian contractors and his own companies.
Today’s plea follows 12 public charges and guilty pleas against other individuals in the department’s ongoing investigation into bribery and money laundering involving PetroEcuador. The individuals who have been charged to date for their roles in the bribery and money laundering schemes include former PetroEcuador officials who received and concealed the bribe payments, businessmen and contractors who paid the bribes to obtain lucrative oil services contracts from PetroEcuador, and financial advisors and other intermediaries who enabled and facilitated the bribery through the use of U.S. and offshore companies and bank accounts.
The FBI’s International Corruption Squad in Miami is investigating the case. Assistant Chiefs David Fuhr and Lorinda Laryea and Trial Attorneys Jonathan Robell and Katherine Raut of the Criminal Division’s Fraud Section and Trial Attorneys Mary Ann McCarthy and Randall Warden of the Criminal Division’s Money Laundering and Asset Recovery Section (MLARS) are prosecuting the case.
IRS-Criminal Investigation, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the U.S. Marshals Service and the Criminal Division’s Office of International Affairs have provided significant assistance in this case, as have public authorities in, among other countries, Ecuador and Panama.
MLARS’s Bank Integrity Unit investigates and prosecutes banks and other financial institutions, including their officers, managers, and employees, whose actions threaten the integrity of the individual institution or the wider financial system.
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/fcpa.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Meth dealer sentenced to nine years in prisonRead the Press Release
Missoula—A Wyoming man convicted of trafficking large quantities of methamphetamine in the community for several years was sentenced today to nine years in prison and five years of supervised release, U.S. Attorney Kurt Alme said.
Alberto Hernandez, Jr., 35, of Gillette, Wyo., pleaded guilty in October to conspiracy to distribute meth.
Chief U.S. District Judge Dana L. Christensen presided.
The prosecution said in court records that Hernandez was a major meth dealer from about 2015 to 2019. Missoula Police Department officers arrested Hernandez on April 12, 2019 on an outstanding warrant and a search of Hernandez determined he had $1,279 in U.S. currency and more than 20 grams of meth.
Confidential informants told law enforcement that Hernandez supplied them with meth. One of the informants said Hernandez would deliver one or two pounds of meth every week and that in total, Hernandez distributed an estimated 75 pounds to 100 pounds of meth in Missoula over a two-year period. One hundred pounds of meth is the equivalent of about 362,400 doses.
Assistant U.S. Attorney Tara Elliott prosecuted the case, which was investigated by the Montana Regional Violent Crimes Task Force and the FBI.
This case is part of Project Safe Neighborhoods, a U.S. Department of Justice initiative to reduce violent crime. According to the FBI’s Uniform Crime Reports, violent crime in Montana increased by 36% from 2013 to 2018. Through PSN, federal, tribal, state and local law enforcement partners in Montana focus on violent crime driven by methamphetamine trafficking, armed robbers, firearms offenses and violent offenders with outstanding warrants.
XXX
Meth dealer from Marion sentenced to prisonRead the Press Release
MISSOULA—Selling methamphetamine to an undercover agent in 2018 sent a Marion resident to prison today for one year and one day to be followed by three years of supervised release, U.S. Attorney Kurt Alme said.
Rene Myron Gardner, 62, pleaded guilty in October to conspiracy to distribute meth.
Chief U.S. District Judge Dana L. Christensen presided.
In court documents filed in the case, the prosecution said that in the fall of 2018, Gardner conspired with others to sell meth. An undercover agent with the Bureau of Alcohol, Tobacco, Firearms and Explosives bought about an ounce of meth from Gardner at his residence. The agent paid Gardner $1,000. Then in November 2018, the agent bought an ounce of meth and a sawed-off shotgun from one of Gardner’s co-conspirators. The meth deal occurred at Gardner’s residence, while the group went to the co-conspirator’s residence to complete the shotgun purchase. The agent paid $1,250 for the meth and $500 for the firearm.
Assistant U.S. Attorney Tim Racicot prosecuted the case, which was investigated by the ATF.
This case is part of Project Guardian, the U.S. Department of Justice’s recent initiative to reduce gun violence and enforce federal firearms laws, and Project Safe Neighborhoods, the USDOJ’s initiative to reduce violent crime. According to the FBI’s Uniform Crime Reports, violent crime in Montana increased by 36% from 2013 through 2018. Through these initiatives, federal, tribal, state and local law enforcement partners in Montana focus on violent crime driven by methamphetamine trafficking, armed robbers, firearms offenses and violent offenders with outstanding warrants.
XXX
Meth Dealer Sentenced in Federal CourtRead the Press Release
United States Attorney Richard W. Moore of the Southern District of Alabama announced that Jerry Hunter Hartley, 28, of Mobile, Alabama, was sentenced on charges of possession with intent to distribute methamphetamine. Court documents showed that Hartley was caught twice by law enforcement authorities in Mobile during 2018 in possession of methamphetamine. Hartley pled guilty to the federal charge in July of 2018.
United States District Court Judge Callie V. S. Granade imposed a sentence of 120 months imprisonment in Hartley’s case, and ordered that he will serve a term of five years supervised release following the completion of his prison sentence. She also ordered that he will undergo drug and alcohol abuse treatment while in prison and as a condition of his supervision. No fine was imposed, but Hartley was ordered to pay the special mandatory assessment of $100.
The case was investigated by the Mobile County Sheriff’s Office, the Mobile Police Department and Homeland Security Investigations. It was prosecuted in the United States Attorney’s Office by Assistant United States Attorney Gloria Bedwell.
Mesquite Ex-Educator Sentenced to 14 Years in Child Pornography CaseRead the Press Release
A Mesquite educator was sentenced today to 14 years in federal prison for child exploitation, announced U.S. Attorney for the Northern District of Texas Erin Nealy Cox.
55-year-old James Earle Cude – who previously served as North Mesquite High School’s band director – pleaded guilty in August to receipt of child pornography.
In plea papers, he admitted he’d used the instant messaging app Kik to download images and videos of the sexual exploitation of minors, including a video of a young boy being raped by an adult man.
At his sentencing hearing, agents testified that Mr. Cude had used various apps to initiate chats with dozens of underage teens, requesting lewd photos and proposing sexual meetups.
Mr. Cude was arrested in February at a coffee shop, after exchanging explicit messages with an individual he believed was a 13-year-old boy. Unbeknownst to the defendant, his messages were actually sent to an undercover agent. He later admitted he’d enticed the boy there for sexual contact.
The Collin County Sheriff’s Office, Dallas Police Department, and Homeland Security Investigations conducted the investigation. Assistant U.S. Attorney Camille Sparks prosecuted the case. U.S. District Judge Samuel A. Lindsay handed down the sentence.
CORRECTION: An earlier version of this release contained an error regarding the defendant's tenure at North Mesquite High School:. While Mr. Cude served as a band director in North Texas for more than a decade, he served at North Mesquite High School for less than a year, from 2018 to 2019. Reporters were promptly notified of the error.
Members of $11 Million International Telemarketing Scheme Sentenced to PrisonRead the Press Release
Three individuals were sentenced to prison for their roles in an $11 million telemarketing scheme that defrauded primarily elderly victims in the United States from call centers in Costa Rica.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney R. Andrew Murray of the Western District of North Carolina, Inspector in Charge David M. McGinnis of the U.S. Postal Inspection Service’s Charlotte Division, Special Agent in Charge Bryant Jackson of IRS Criminal Investigation’s (CI) Cincinnati Field Office, Special Agent in Charge Matthew D. Line of IRS-CI’s Charlotte Field Office and Special Agent in Charge John Strong of the FBI’s Charlotte Field Office made the announcement.
Donald Dodt, 76, originally of Cleveland, Ohio, Thomas Sniffen, 58, originally of Peekskill, New York, and Michael Saxon, 50, originally of Ontario, Canada, were sentenced by U.S. District Judge Max O. Cogburn Jr. of the Western District of North Carolina to 90 months, 114 months and 75 months in prison, respectively. Judge Cogburn also ordered restitution in the amount of $7 million for Dodt, $11,236,857.65 for Sniffen and $2,593,574.02 for Saxon to be paid jointly and severally with their co-conspirators.
Following a five-day trial in May 2019, Dodt was found guilty of one count of conspiracy to commit wire fraud and mail fraud, two counts of mail fraud, eight counts of wire fraud, one count of conspiracy to commit international money laundering and 10 counts of international money laundering. In April 2019, Sniffen pleaded guilty to all charges in the 31-count indictment charging conspiracy to commit mail and wire fraud, substantive counts of mail fraud and wire fraud, international money laundering and conspiracy to commit international money laundering. In May 2019, Saxon pleaded guilty pursuant to a plea agreement to one count of conspiracy to commit mail and wire fraud, one count of mail fraud and one count of conspiracy to commit international money laundering.
According to the evidence presented at both Dodt’s trial and the sentencing hearings, and the factual bases in support of Sniffen’s and Saxon’s guilty pleas, Dodt, Sniffen and Saxon conspired together to commit the fraud and worked in a call center in Costa Rica. While falsely posing as federal judges, representatives of the District of Columbia Department of Consumer and Regulatory Affairs and other federal agencies, including the U.S. Federal Trade Commission, they contacted victims in the United States — primarily senior citizens — to tell them that that they had supposedly won a substantial “sweepstakes” prize. After convincing victims that they stood to receive a significant financial reward, the members of the conspiracy told victims that they needed to make a series of up-front cash payments before collecting, purportedly for items like insurance fees, taxes and import fees. The co-conspirators used a variety of means to conceal their identity, such as Voice over Internet Protocol (VoIP) services provided by Dodt that made it appear as if they were calling from Washington, D.C., and other places in the United States.
At sentencing, it was determined that Dodt, Sniffen, Saxon and their co-conspirators collectively stole more than $11 million in total from victims.
This case was investigated by the U.S. Postal Inspection Service, IRS-CI, the FBI with assistance from the Federal Trade Commission and U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, and the U.S. Department of State’s Diplomatic Security Service (DSS). The case is being prosecuted by Trial Attorneys Jennifer Farer and Philip Trout of the Criminal Division’s Fraud Section. Former Fraud Section Trial Attorney William Bowne previously prosecuted the case. The U.S. Attorney’s Office for the Western District of North Carolina provided substantial assistance with this matter.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Maui burglar sentenced to 46 months of prison after pleading guilty to possession of stolen firearmsRead the Press Release
HONOLULU, Hawaii – Barret J. Paman, 32, of Maui County, was sentenced today in federal court by United States District Judge Jill A. Otake to 46 months of imprisonment, and three years of supervised release for possession of stolen firearms.
US Attorney for the District of Hawaii Kenji M. Price announced that, according to court documents and information presented in court, on March 7, 2019, Paman burglarized a residence on Waiehu Beach Road, Wailuku, Maui, stealing 19 firearms, a gun safe, and other items. The stolen firearms included a 12-gauge shotgun, three rifles, three pistols, and a rifle receiver. Paman provided these eight stolen firearms to other individuals for either methamphetamine or cash.
At sentencing, Judge Otake took into consideration the fact that Paman took the firearms from law-abiding citizens and sold or traded the stolen firearms to felons and drug dealers.
The case was investigated by the Maui Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It was prosecuted by Assistant U.S. Attorney Darren W.K. Ching.
This prosecution is part of Project Safe Neighborhoods (PSN), a program that brings 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 the local community to develop effective, locally-based strategies to reduce violent crime.
This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the ATF when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. The United States Attorney’s Office has prosecuted this case with support from the following Project Guardian partners: the ATF and the MPD. For more information about Project Guardian, please click here.
Maryland U.S. Attorney’s Office Honors 35 Law Enforcement Officers for Their Work on Federal Violent Crime CasesRead the Press Release
Baltimore, Maryland – The Maryland U.S. Attorney’s Office today honored 35 police officers and federal agents for outstanding work in support of significant federal violent crime prosecutions. Recipients included police officers from Anne Arundel County, Baltimore City, City of Hyattsville, Montgomery County, Prince George’s County, Prince William County, Virginia, and the University Park Police Department; and federal agents from ATF, DEA, FBI, and HSI.
“We are so grateful for the exceptional work done by law enforcement officers day in and day out, without fanfare or recognition,” said U.S. Attorney Robert K. Hur. “Local, state, and federal law enforcement are working together to combat violent crime in Maryland. The hard work of these law enforcement officers led to dozens of convictions of dangerous criminals.”
The honorees participated in the investigation and prosecution of more than 10 violent crime cases involving more than 55 defendants. The defendants included armed robbers, gang members, and drug dealers. A majority of the defendants have previous felony convictions and many are career offenders and/or armed career criminals.
In addition to U.S. Attorney Robert K. Hur, agency representatives who participated in today’s awards ceremony included: Acting ATF Special Agent in Charge Toni Crosby; FBI Special Agent in Charge Jennifer C. Boone; Homeland Security Investigations Special Agent in Charge John Eisert; Anne Arundel County Major Ross Passman; City of Hyattsville Police Chief Amal Awad; Montgomery County Assistant Police Chief Ronald Smith; Prince William County Police Chief Barry Barnard; and University Park Police Chief Harry Baker.
United States Attorney Robert Hur commended all the honorees for their work on these violent crime investigations. Mr. Hur thanked the Assistant United States Attorneys who prosecuted the cases and nominated their agents and officers for these awards.
# # #
Martinsburg man admits to role in cocaine, heroin, and fentanyl distribution operationRead the Press Release
MARTINSBURG, WEST VIRGINIA – Michael Shavar Payton, of Martinsburg, West Virginia, has admitted to his role in a cocaine, heroin, and fentanyl distribution operation, U.S. Attorney Bill Powell announced.
Payton, age 34, pled guilty to one count of “Aiding and Abetting Possession with Intent to Distribute Cocaine Base.” Payton admitted to distributing 28 grams or more of cocaine base in Berkeley County in January 2019.
Payton faces at least five years and up to 40 years incarceration and a fine of up to $5,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Lara K. Omps-Botteicher, Special Assistant U.S. Attorney C. Lydia Lehman, also with the Berkeley County Prosecuting Attorney’s Office, and Assistant U.S Attorney Timothy D. Helman, are prosecuting the case on behalf of the government. The Federal Bureau of Investigation; the West Virginia State Police; the Eastern Panhandle Drug & Violent Crimes Task Force, a HIDTA-funded initiative; the Berkeley County Prosecuting Attorney’s Office, the Berkeley County Sheriff’s Office, the Jefferson County Sheriff’s Office, the Martinsburg Police Department, the Charles Town Police Department, and the Ranson Police Department investigated.
The investigation was funded by the federal Organized Crime Drug Enforcement Task Force Program (OCDETF). The OCDETF program supplies critical federal funding and coordination that allows federal and state agencies to work together to successfully identify, investigate, and prosecute major interstate and international drug trafficking organizations and other criminal enterprises.
U.S. Magistrate Judge Robert W. Trumble presided.
Martinsburg man admits to firearms violationRead the Press Release
MARTINSBURG, WEST VIRGINIA – Darnell M. Garnett, of Martinsburg, West Virginia, has admitted to a firearms charge, U.S. Attorney Bill Powell announced.
Garnett, age 22, pled guilty to one count of “Unlawful Possession of Firearm.” Garnett, a person prohibited from having a firearm because of a prior felony conviction, admitted to having a 9mm pistol with an obliterated serial number and a 5.56x45 caliber rifle in October 2018 in Berkeley County.
Garnett faces up to 10 years incarceration and a fine of up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Lara Omps-Botteicher is prosecuting the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Martinsburg Police Department investigated.
U.S. Magistrate Judge Robert W. Trumble presided.
Mandeville Man Pleads Guilty to Selling Misbranded Generic Versions of Cialis to BodybuildersRead the Press Release
NEW ORLEANS, La. - U.S. Attorney Peter G. Strasser announced today that LUCCAS EASTMAN, age 29, a resident of Mandeville pleaded guilty on January 22, 2020, before United States District Court Judge Sarah S. Vance to a one-count bill of information charging him with selling misbranded generic drugs in violation of 21 U.S.C. § 331.
According to court documents, from January 2017 through May 2017, EASTMAN imported mislabeled generic versions of drugs, including Tadalafil, from Chinese companies which he then sold to members of the bodybuilding community in the Slidell/Mandeville area, among other consumers. Tadalafil is a generic version of Cialis.
EASTMAN faces a maximum term of up to one year in prison and up to one year of supervised release. Sentencing before Judge Vance is scheduled for April 29, 2020.
U.S. Attorney Strasser praised the work of the Food and Drug Administration. Assistant United States Attorney David Howard Sinkman is in charge of the prosecution.
* * *
Man Pleads Guilty to Making Illegal Campaign ContributionsRead the Press Release
ALEXANDRIA, Va. – A Maryland political consultant pleaded guilty today to conspiring to funnel more than $15,000 through straw donors into a campaign for a member of the U.S. House of Representatives.
According to court documents, Charles O’Neil, 33, was the Vice President of Strategic Campaign Group, Inc., a political consulting company located in Arlington from January to October 2015.
O’Neil and his co-conspirators, including Kelley Rogers, Scott Mackenzie, and another co-conspirator, facilitated unlawful campaign contributions from a company, through eleven straw donors, to a campaign. The campaign was for a candidate running for an Indiana seat in the U.S. House of Representatives. The co-conspirator was the vice president and general counsel of a company; a gaming corporation based in Indianapolis, IN. The co-conspirator transferred funds from their company to bank accounts that were associated with Strategic Campaign Group, Inc. O’Neil and his co-conspirators used more than $15,000 of the transferred funds to reimburse straw donors who, at the direction of O’Neil, Rogers, and other conspirators, contributed more than $15,000 to the campaign.
O’Neil and his co-conspirators made these transfers to evade the restrictions of corporate contributions to campaigns, to evade the limits placed on money that individuals could contribution to a campaign, and to disguise the fact that the gaming corporation was the true source of the funds.
O’Neil pleaded guilty to one count of conspiracy to make conduit contributions and is scheduled to be sentenced on May 8. 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 Washington Field Office’s Criminal Division, made the announcement after U.S. District Judge Liam O’Grady accepted the plea. Assistant U.S. Attorney Kimberly R. Pedersen and Trial Attorneys Bill Gullotta and John Taddei of the Criminal Division’s Public Integrity Section (PIN) are prosecuting the case.
Former PIN attorney Molly Gaston provided significant assistance in 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. 1:20-cr-010.
Media AdvisoryRead the Press Release
WHEN: Friday, January 24, 2020 at 10:00AM
WHERE: Duplin County Sheriff’s Office Training Center
272 Landfill Road
Rose Hill, NC 28458
Re: Operation Fall of the House of Usher
RALEIGH – The United States Attorney’s Office announces a press conference to discuss the sentencing of multiple defendants in a multi-year methamphetamine conspiracy investigation in Duplin County. These defendants were responsible for the sale of narcotics in Duplin County. We will also highlight the important partnerships between all levels of law enforcement in this and other investigations during the preceding year. The Duplin County Sheriff’s Office and New Hanover County Sheriff’s Office investigated this case, along with agents from the Drug Enforcement Administration.
In addition to United States Attorney Robert J. Higdon, Jr., Duplin County Sheriff Blake Wallace, members of the Duplin County Sheriff’s Office, New Hanover County Sheriff’s Office and other law enforcement are expected to be present at this event.
Credentialed members of the media are invited to attend. For additional information, please e-mail Don Connelly at [email protected]. Please RSVP your intentions to attend the event.
Lee County Man Sentenced to 100 Months for Methamphetamine Trafficking and Possession of Firearm by FelonRead the Press Release
FRANKFORT, Ky. - A Beattyville, Kentucky, man, Howard Kirk Hall, 57, who previously pleaded guilty to possession with intent to distribute 50 grams or more of methamphetamine and possession of a firearm by a convicted felon, was sentenced to 100 months in federal prison on Thursday, by U.S. District Judge Gregory Van Tatenhove.
In his plea agreement, Hall admitted that on January 17, 2019, law enforcement officers responded to a “shots fired” call at his residence, where he exited the residence and told officers that he was shooting at others inside. Hall advised officers he had firearms in the home. After entering the residence, officers determined that no one else was inside the home, observed drugs and weapons in plain view, and obtained a search warrant. During the execution of the search warrant, officers discovered 352 grams of methamphetamine, 20 firearms, and a substantial amount of ammunition. Hall admitted that he was knew he had been previously convicted of a felony offense and he was not allowed to possess a firearm.
Evidence from that search warrant led to a search of a second residence maintained by Hall. Officers obtained a second search warrant for this location and located a marijuana grow operation with plants in various growth stages and two pounds of processed marijuana ready for distribution.
Hall pled guilty in July 2019. Hall previously was convicted of cultivating/manufacturing marijuana in 1999 in the U.S. District Court for the Eastern District of Kentucky and received a sentence of 60 months. As part of his plea agreement, Hall agreed to forfeit his interest in the firearms and ammunition.
Under federal law, Hall must serve 85 percent of his/her prison sentence and will be under the supervision of the U.S. Probation Office for five years. Additionally, Hall will have to pay a $2,500 fine.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Tommy Estevan, Acting Special Agent in Charge, ATF Louisville Field Division; Dan Dodds, Acting Special Agent in Charge, DEA Louisville Field Division; Commissioner Rodney Brewer, Kentucky State Police, jointly announced the sentence.
The investigation was conducted by Kentucky State Police, ATF, and DEA. The U.S. Attorney’s Office was represented by Assistant U.S. Attorney Todd Bradbury.
This is another case prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide, crime reduction strategy aimed at decreasing violent crime in communities. It involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts. In the Eastern District of Kentucky, U.S. Attorney Robert Duncan Jr., coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.
This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. Click here for more information about Project Guardian.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
— END —
Keene Man Charged with Extortion and ThreateningRead the Press Release
CONCORD – Christopher C. Cantwell, 39, of Keene, was indicted by a federal grand jury and charged with making extortionate communications and sending interstate threats, United States Attorney Scott W. Murray announced today.
The indictment alleges that on June 16, 2019, Cantwell threatened to injure another person if the victim of the threat did not provide Cantwell with personal information about a third party.
Cantwell was arrested on January 23, 2020. He is being held in custody pending a detention hearing on January 28, 2020.
Cantwell’s trial has been scheduled for March 3 2020.
This case was investigated by the Federal Bureau of Investigation with assistance from the New Hampshire State Police, Keene Police Department, and the Manchester Police Department. The case is being prosecuted by Assistant U.S. Attorneys John S. Davis and Anna Krasinski.
An indictment is merely an allegation and a defendant is presumed innocent unless and until proven guilty.
###
Justice Department Requires ZF and WABCO to Divest WABCO's Steering Components Business to Proceed with MergerRead the Press Release
The Department of Justice announced today that it is requiring ZF Friedrichshafen AG (ZF) and WABCO Holdings Inc. (WABCO) to divest WABCO’s North American steering components business, R.H. Sheppard Co. Inc., as well as other related WABCO assets, in order for ZF to proceed with its proposed acquisition of WABCO. Without the divestiture, the proposed acquisition would eliminate competition between the only two suppliers of steering gears used on large commercial vehicles in North America, the department’s lawsuit alleges.
The Justice Department’s Antitrust Division filed a civil antitrust lawsuit today in the U.S. District Court for the District of Columbia to block the proposed merger. At the same time, the department filed a proposed settlement that, if approved by the court, would resolve the competitive harm alleged in the lawsuit.
“The merger, as originally structured, would have given ZF a monopoly over an essential steering systems component used in trucks and buses that move products and people across the United States,” said Assistant Attorney General Makan Delrahim of the Justice Department’s Antitrust Division. “Today’s settlement, which requires the divestiture of WABCO’s entire U.S. steering systems business, will ensure that commercial vehicle manufacturers continue to benefit from competition as they design and build the trucks and buses of today and tomorrow.”
According to the Justice Department’s complaint, ZF and WABCO are the only North American suppliers of the steering gears that are an essential steering system component used in large commercial vehicles. These steering gears direct the front wheels of trucks and buses, and are also a key component of advanced driver assistance system (ADAS) steering features. ADAS steering features, such as lane-keeping assist, are already being implemented today, and are expected to be an area of continued importance as companies develop autonomous vehicle operations. The department’s complaint alleges that competition between ZF and WABCO has resulted in lower prices, higher quality, better service, and more favorable contractual terms, and has fostered innovation that has led to the development of features that are integral to the current and future development of ADAS technologies. According to the complaint, the combination of ZF and WABCO would leave manufacturers of large commercial vehicles in North America without a sufficient competitive alternative for this critical input and likely result in higher prices, less favorable contract terms, and reduced research and development efforts.
Under the terms of the proposed settlement, ZF and WABCO must divest the entirety of WABCO’s R.H. Sheppard steering systems subsidiary, including its manufacturing facilities in Hanover, Pennsylvania, and Wytheville, Virginia, as well as other WABCO assets related to steering gears.
ZF is a German company headquartered in Friedrichshafen, Germany. It has 149,000 employees in 40 countries, and had annual sales of $36.9 billion in 2018, $9.6 billion of which were in the United States.
WABCO is a Delaware corporation with a North American headquarters in Auburn Hills, Michigan, and a global headquarters in Bern, Switzerland. It has 16,000 employees in 40 countries, and had annual sales in 2018 of $3.8 billion, $850 million of which were in the United States.
As required by the Tunney Act, the proposed settlement, along with a competitive impact statement, will be published in the Federal Register. Any person may submit written comments concerning the proposed settlement during a 60-day comment period to John Read, Acting Chief, Defense, Industrials, and Aerospace Section, Antitrust Division, U.S. Department of Justice, 450 Fifth Street, N.W., Suite 8700, Washington, D.C. 20530. At the conclusion of the 60-day comment period, the U.S. District Court for the District of Columbia may enter the final judgment upon finding it is in the public interest.
Jackson Man Pleads Guilty under Project EJECT to Illegally Possessing FirearmsRead the Press Release
Jackson, Miss. – Dallas Smith, 59, of Jackson, pled guilty yesterday before U.S. District Judge Carlton W. Reeves to being a felon in possession of a firearm, announced U.S. Attorney Mike Hurst and Special Agent in Charge Michele Sutphin with the Federal Bureau of Investigation.
On September 11, 2017, officers with the Jackson Police Department were dispatched to an apartment complex after receiving a shooting complaint. Based upon the statements of eyewitnesses, officers stopped a vehicle in which Dallas Smith was a passenger. Upon questioning, Smith admitted to possessing the pistol and rifle found in the vehicle. Smith also admitted to discharging the firearms at the apartment complex.
Smith has a forgery conviction in Madison County in 2001 and a grand larceny conviction in Rankin County in 2004, and it is illegal for him to possess a firearm. He will be sentenced by Judge Reeves on April 22, 2020.
The case was investigated by the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorney Lynn Murray.
This case is part of Project EJECT, an initiative by the U.S. Attorney’s Office for the Southern District of Mississippi under the U.S. Department of Justice’s Project Safe Neighborhoods (PSN) and Project Guardian. EJECT is a holistic, multi-disciplinary approach to fighting and reducing violent crime through prosecution, prevention, re-entry and awareness. EJECT stands for “Empower Justice Expel Crime Together.” PSN is bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities.
Interstate Drug Trafficker Sentenced in Federal CourtRead the Press Release
United States Attorney Richard W. Moore of the Southern District of Alabama announced that Linda Lancon, 30, of Laredo, Texas, was sentenced this morning for her participation in a conspiracy to possess with intent to distribute approximately 35 kilograms of cocaine. Lancon was convicted by a jury following a trial conducted in October of 2019.
United States District Court Judge Terry F. Moorer presided over the trial and the sentencing hearing. Evidence from the trial showed that Lancon was involved in the distribution of methamphetamine, heroin and cocaine during 2016 following an investigation conducted by the Drug Enforcement Administration in Laredo. She was identified as the owner of a vehicle used to deliver drugs for distribution. Agents participating in the investigation also identified her as being present with another member of the drug distribution conspiracy in Texas when drugs were delivered. She was living with a co-conspirator in Laredo who testified that she knew about the drug conspiracy, accompanied him on drug deliveries and counted the drug money. She also knew a source of supply for the drugs in Mexico. Other evidence established that Lancon was in a truck traveling northbound on Interstate 65 in Mobile County when it was stopped by Saraland police for no license plate. During the investigation that followed, officers discovered 35 kilograms of cocaine in the cab of the truck, concealed in a paper box behind the passenger seat. Lancon was the passenger in the truck, and the driver was identified as her co-defendant Victor Estrada. She had disassembled the cell phone Estrada was using to communicate with the people in Atlanta who were to take delivery of the drugs and concealed the parts of the phone in her purse while the officers spoke to Estrada.
In the subsequent investigation conducted by the Department of Homeland Security, a tracking device was discovered in the truck which was traced to a company in Laredo. Business records showed that Lancon opened the account used to track the truck and paid a monthly fee for the service on her credit card. The records also showed several prior trips to the Atlanta area as well as other locations up the East Coast. The records also coincided with information from Lancon’s telephone placing her in the Atlanta area during some of the prior trips. In addition, photographs on Lancon’s phone showed her in possession of large amounts of United States currency being removed from or placed into Federal Express boxes. Finally, records for Lancon’s cellphone showed it had been in contact with Estrada’s phone during 2017 and 2018. Estrada’s phone was the one used to communicate with the recipients of the drugs in Atlanta and the one she disassembled during the traffic stop.
At the sentencing hearing today, Judge Moorer reviewed some of this evidence as support for his decision that a substantial sentence was appropriate for Lancon. The judge found that the other trips documented by the tracker in the truck established that she had participated in the distribution of other drug loads equal to that for which she had been apprehended. The judge also found that, based on the evidence from the trial, she occupied a role in the offense which far exceeded her claim that she was just her co-defendant’s girlfriend. Judge Moorer sentenced Lancon to 300 months’ imprisonment, to be followed by a term of five years supervised release. The judge did not impose a fine, but ordered that she pay the special mandatory assessment of $100. Judge Moorer sentenced Lancon’s co-defendant, Estrada, in October of 2019 to 30 years’ imprisonment following Estrada’s guilty plea to the charges.
The case was investigated by the Saraland Police Department and the Department of Homeland Security investigations. It was prosecuted in the United States Attorney’s Office by Assistant United States Attorney Gloria Bedwell.
Humboldt County Resident Sentenced to More Than Six Years in Prison for Illegally Possessing Firearms as A Convicted FelonRead the Press Release
SAN FRANCISCO – Joshua Wentworth was sentenced to 77 months in prison for being a felon in possession of a firearm and ammunition, announced United States Attorney David L. Anderson and Federal Bureau of Investigation Special Agent in Charge John F. Bennett. The sentence was handed down by the Honorable Charles R. Breyer, U.S. District Judge.
Wentworth, 31 of Eureka, pleaded guilty to the charge on October 16, 2019. According to the plea agreement, Wentworth admitted that on May 12, 2019, he possessed seven firearms, including two AR-15 assault rifles and one pistol with an attached Glock switch conversion device. According to documents filed by the government during sentencing, the conversion device made the pistol operate as a fully automatic firearm. In addition to the firearms, Wentworth admitted he possessed over 400 rounds of ammunition, some of which were loaded in various high-capacity magazines, including two 30-round magazines for the assault rifles and a 50-round drum magazine for a .40 caliber pistol. Wentworth also admitted that at the time he possessed the weapons and ammunition, he was a convicted felon and therefore was ineligible to possess the items.
A federal grand jury indicted Wentworth on August 20, 2019, charging him with one count of being a felon in possession of a firearm and ammunition in violation of 18 U.S.C. § 922(g)(1). Wentworth pleaded guilty to the charge.
At the sentencing hearing, Judge Breyer described the nature of the firearms found in the Wentworth’s possession as “scary.” In addition, the government’s sentencing memorandum highlighted text messages in which Wentworth discussed purchasing firearms, his efforts to locate a trailer with a large amount of cash in it, driving to San Francisco to find a “target,” and his need to borrow another person’s bullet proof vest.
In addition to the prison term, Judge Breyer sentenced the defendant to a 3-year period of supervised release and ordered him to pay a $100 special assessment. Wentworth is in federal custody and will begin serving his sentence immediately.
Assistant U.S. Attorney Patrick O’Brien is prosecuting the case with the assistance of Morgan Byrne. The prosecution is the result of an investigation by the FBI, the Humboldt County Sheriff’s Office, and the Humboldt County District Attorney’s Office.
Houlton Man Sentenced on Child Pornography ChargeRead the Press Release
Bangor, Maine: Houlton man was sentenced today in Bangor for possession of child pornography, U.S. Attorney Halsey B. Frank announced.
U.S. District Court Judge Jon D. Levy sentenced Larry O’Neal, 46, to 51 months in prison followed by seven years of supervised release. O’Neal was found guilty on April 26, 2019 following a four-day jury trial.
Court records and trial evidence revealed that O’Neal was found with images of child pornography on his computer in January 2018, when law enforcement executed a search warrant at his home. Agents began investigating O’Neal after his computer was observed on a peer-to-peer file sharing network as having files associated with child pornography.
The investigation was conducted by the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the Department of Homeland Security’s Office of the Inspector General, the Immigration and Customs Enforcement’s Office of Professional Responsibility, the Customs and Border Protection Office of Professional Responsibility, and the Maine State Police Computer Crimes Unit.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Hope Hull Man Sentenced to Ten Years in Federal Prison for Possession of Child PornographyRead the Press Release
Montgomery, Alabama – On Wednesday, January 22, 2020, Barney Clarence Knotts, 74, who was residing in Hope Hull, Alabama at the time of his arrest, received a ten-year sentence for possession of child pornography, announced United States Attorney Louis V. Franklin, Sr. Following his prison sentence, Knotts will be subject to supervised release for the rest of his life.
According to court documents, Knotts was convicted in 1985 for production of child pornography in Mobile County, Alabama and received a 20-year sentence. In early 2017, he registered his physical address in Hope Hull, Alabama. In February of that year, the National Center for Missing and Exploited Children notified the Alabama Law Enforcement Agency (ALEA) about on-line conversations concerning potential child exploitation from that location. When ALEA agents went to his house, Knotts gave them permission to search his computers where they discovered more than 1,000 child pornography images and discussions about child exploitation. Knotts pled guilty to possession of child pornography in federal court in September 2019.
The Alabama Law Enforcement Agency investigated this case, with assistance from the National Center for Missing and Exploited Children. Assistant United States Attorneys Hollie Reed and Russell Duraski prosecuted the case.
Harvey Man Pleads Guilty to Conspiracy to Commit Bank and Wire Fraud and Aggravated Identity TheftRead the Press Release
NEW ORLEANS, La. – U.S. Attorney Peter G. Strasser announced that CHRISTOPHER WATSON, age 28, has pled guilty on January 22, 2020 to one count of conspiracy to commit bank fraud and wire fraud, and one count of aggravated identity theft, stemming from his arrest in Jefferson Parish in the summer of 2018.
According to Court documents, WATSON pled guilty to an elaborate fraud scheme which involved using stolen or fraudulent identities to obtain vehicle financing. WATSON, who previously worked as a used car salesman, submitted numerous fraudulent loan applications to financial institutions and automobile lenders, sometimes using the personal identifying information of his customers without their authorization and other times using stolen identities. Throughout the course of the conspiracy WATSON used either unauthorized or counterfeit information in order to defraud financial institutions and lenders, including USAA Financial, an FDIC-insured financial institution, Westlake Financial Services, and United Auto Credit Corporation, among other victims. In some instances, WATSON utilized the dealer license numbers and names of different legitimate car dealerships and forged their names as sellers of the vehicles on the fraudulent loan applications.
WATSON agreed that he caused a loss of between $250,000.00 and $550,000.00 based upon his own conduct and the reasonably foreseeable conduct of his co-conspirators in the common scheme to defraud. The maximum penalty that WATSON faces for the conspiracy to commit bank fraud and wire fraud, in violation of Title 18, United States Code, Section 371, is up to five years of imprisonment, followed by up to three years supervised release, and a $250,000 fine.
In addition to the conspiracy charge, WATSON also pled guilty to one count of aggravated identity theft for using the identity of a member of the military to submit a fraudulent auto loan application to USAA Financial. For the aggravated identity theft charge, WATSON faces a two year sentence to be served consecutive to any other sentence imposed, followed by one year of supervised release, and a $250,000 fine.
The Honorable Wendy B. Vitter accepted WATSON’s plea and scheduled his sentencing hearing for April 28, 2020.
U.S. Attorney Peter G. Strasser praised the work of the Jefferson Parish Sheriff’s Office and the United States Secret Service Financial Crimes Taskforce in investigating this matter. Assistant United States Attorney Shirin Hakimzadeh is in charge of the prosecution.
* * *
Harrison County Man Sentenced for Distributing Anabolic SteroidsRead the Press Release
MARSHALL, Texas – A 31-year-old Hallsville, Texas man has been sentenced to federal prison for drug trafficking violations in the Eastern District of Texas, announced U.S. Attorney Joseph D. Brown today.
Mark McLean Farmer pleaded guilty on Aug. 16, 2019, to conspiracy to possess with intent to distribute and distribution of anabolic steroids and possession of a firearm in furtherance of a drug trafficking crime and was sentenced to 72 months in federal prison by U.S. District Judge Rodney Gilstrap on Jan. 16, 2020.
According to information presented in court, beginning in August 2018, Farmer began conspiring with others to distribute at least 2,500 units of anabolic steroids. Farmer served as a distributor of the steroids, receiving the drugs from foreign suppliers and then selling them to other dealers and users by way of the internet and through the United States mail. Additionally, Farmer was found to be in possession of a pistol while he was in the process of delivering steroids.
This case was investigated by the DEA Dallas Field Division, Tyler Resident Office and the U.S. Postal Inspection Service, Fort Worth Division. This case was prosecuted by Assistant U.S. Attorneys Colleen Bloss and Jim Noble.
Grand Forks, ND, Man Sentenced to 9 Years in Federal Prison for Possession of Child Pornography.Read the Press Release
Fargo – United States Attorney Drew H. Wrigley announced that on January 23, 2020, U.S. District Court Chief Judge Peter D. Welte sentenced Nicholas Adam Bartholome, age 28, Grand Forks, ND, to serve 9 years in federal prison, followed by 10 years supervised release for Receipt and Possession of Child Pornography. Bartholome was further ordered to pay $200 in special assessments to the Crime Victims’ Fund.
"Child pornography is comprised of crime scene photos where child subjects are horrifyingly victimized every time the photo is shared," said United States Attorney Drew Wrigley, "and the motives of profit and the depravity of sharing and viewing these images fuel an industry that we aim to help eradicate, including by investigating and imprisoning perpetrators like Nicholas Adam Bartholome"
This case came to the attention of law enforcement after an agent assigned to the Internet Crimes Against Children (ICAC) Task Force began investigating individuals trading child pornography on a hidden network. Thereafter, Bartholome downloaded child pornography from computers operating in the network. The investigation revealed that between August 2017 and May 2018, Bartholome made multiple on-line requests for images and videos of known child pornography from others. On June 19, 2018, a search warrant was executed at the Bartholome’s residence in Grand Forks, ND, at which time
various electronic devices were located and seized. Bartholome was interviewed and admitted to using multiple networks to obtain child pornography.
A forensic examination of Bartholome’s electronic devices revealed over 1,100 files of violent child pornography. Bartholome’s collection of images and videos depicted the violent sexual assaults of prepubescent children as young as two years of age. Other images and videos depicted sadistic conduct involving prepubescent children.
United States Attorney Drew Wrigley complimented the outstanding investigative work of this case investigated by Homeland Security Investigation (HSI), North Dakota Bureau of Investigation and the Grand Forks Police Department, and he praised Assistant United States Attorney Jennifer Klemetsrud Puhl for her continued leadership in prosecuting child pornography and exploitation cases.
This case was prosecuted as part of Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by U.S. Attorney’s Offices throughout the nation, Project Safe Childhood, in conjunction with Internet Crimes Against Children Task Force (ICAC), help federal, state, and local law enforcement agencies enhance their investigative responses to offenders who use the Internet, online communications systems, or computer technology to sexually exploit children. The ICAC Program is a national network of 61 coordinated task forces engaging in proactive investigations, forensic investigations, and criminal prosecutions. Project Safe Childhood also helps to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.