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22 January 2020
Eastern Panhandle man indicted on sex offender chargeRead the Press Release
MARTINSBURG, WEST VIRGINIA – Dustin A. Parsons, of Kearneysville, West Virginia, was indicted today on a sex offender registry violation, U.S. Attorney Bill Powell announced.
Parsons, age 33, is charged with one count of “Failure to Register.” Parsons is required to register as a sex offender after a sex offense conviction. Parson is accused of traveling from one state to another without registering and updating his sex offender registration from July to September 2019 in Berkeley County and elsewhere.
Parsons 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 Jeffrey A. Finucane is prosecuting the case on behalf of the government. The United States Marshal Service investigated.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
Eastern Connecticut Drug Trafficker Guilty of Cocaine, Heroin and Firearm OffensesRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, today announced that CARLOS DELGADO, also known as “Los,” 50, of Mansfield, has been convicted of drug trafficking and firearm possession offenses.
According to the evidence presented during a trial before U.S. District Judge Janet C. Hall in New Haven, in 2018, law enforcement began investigating an eastern Connecticut drug trafficking organization headed by Delgado. The investigation revealed that Delgado was having kilogram quantities of cocaine shipped through the U.S. Mail from Puerto Rico to various locations in eastern Connecticut. He and his associates distributed the drugs, and mailed cash proceeds from narcotics sales back to individuals in Puerto Rico. During the investigation, investigators seized two packages containing $26,860 and $9,900 in cash, respectively, that Delgado had mailed to addresses in Puerto Rico.
Delgado was arrested on a federal criminal complaint on July 9, 2018. On that date, a search of Delgado residence, vehicle and a third location revealed more than one kilogram of heroin, four firearms, narcotics packaging materials, and approximately $74,000 in cash.
Delgado has been detained since his arrest.
On January 21, 2021, the jury found Delgado guilty of one count of conspiracy to distribute, and to possess with intent to distribute, five kilograms or more of cocaine; and one count of possession with intent to distribute one kilogram or more of heroin. The jury found Delgado not guilty of one count of possession of a firearm in furtherance of a drug trafficking crime.
Today, the jury found Delgado guilty of one count of possession of firearms by a previously convicted felon.
Judge Hall scheduled sentencing for April 16, 2020, at which time Delgado faces a mandatory minimum term of imprisonment of 10 years and a maximum term of life in prison.
This matter is being investigated by the Drug Enforcement Administration’s Hartford Task Force, Connecticut State Police, Willimantic Police Department, U.S. Postal Inspection Service and Bureau of Alcohol, Tobacco, Firearms, and Explosives. The DEA Task Force includes participants from the Bristol, East Hartford, Hartford, Manchester, New Britain, Rocky Hill, Wethersfield, Willimantic and Windsor Locks Police Departments, and the Food and Drug Administration.
This case is being prosecuted by Assistant U.S. Attorneys Natasha M. Freismuth and Patrick F. Caruso.
Domestic Abuse Lands Humboldt County Man in Federal Prison for Firearm OffenseRead the Press Release
A convicted felon who unlawfully possessed a gun was sentenced January 3, 2020, to 21 months in federal prison.
Matthew Fowler, age 32, from Bradgate, IA, received the prison term after an August 20, 2019, guilty plea to one count of possession of a firearm by a felon. Fowler was previously convicted of leaving the scene of an accident where death resulted in Iowa.
Evidence produced during the change of plea and sentencing hearings revealed on or about February 20, 2019, when Fowler’s wife threatened to leave him, Fowler reacted by physically pushing and choking his wife, eventually pushing her outside into the snow. He held the gun to his head and threatened to kill himself if she left. He also, locked his wife outside of the home separating her from himself and the couple’s infant child.
It was in responding to this domestic disturbance that law enforcement discovered Fowler was a felon and unlawfully in possession of a gun.
Fowler was sentenced in Sioux City by United States District Court Chief Judge Leonard T. Strand. Fowler was sentenced to 21 months’ imprisonment. Henry must also serve a two-year term of supervised release after the prison term. There is no parole in the federal system.
Fowler is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was investigated by the Humboldt County Sheriff’s Office and prosecuted by Assistant United States Attorney Forde Fairchild.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 19-CR-3022.
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Department of Justice Joins Federal Law Enforcement Training Centers for Human Trafficking RoundtableRead the Press Release
The Department of Justice today joined the Federal Law Enforcement Training Centers (FLETC) and federal and local law enforcement officials at a roundtable to discuss the challenges posed by human traffickers. The meeting was held following the launch of FLETC’s Human Trafficking Awareness Training last week.
Bill Woolf, Senior Advisor for Human Trafficking in the Department of Justice’s Office of Justice Programs (OJP), participated in the event along with Tania Groover, Assistant U.S. Attorney and Human Trafficking Coordinator for the Southern District of Georgia, and Kai Munshi, FLETC’s Chief of Security and Professional Responsibility.
“Human trafficking is a sophisticated and obscenely profitable global enterprise, and combating it demands the full coordination of law enforcement agencies at all levels,” said OJP’s Woolf. “The Department of Justice is very pleased and proud to lend its support to the brave men and women here in southeastern Georgia — and throughout the country — who pursue trafficking perpetrators and bring aid to trafficking victims.”
The roundtable convened law enforcement leaders from Glynn County and the City of Brunswick, as well as officials from the enforcement units of the Department of Justice and the Department of Homeland Security. They and their counterparts from across the nation are among the first to take part in FLETC’s human trafficking training program. The training was piloted in May and is now part of the permanent training catalog.
“Human trafficking is modern-day slavery, subjecting individuals to involuntary servitude for the profit of others,” said U.S. Attorney Bobby L. Christine of the Southern District of Georgia. “Building awareness of these fast-growing criminal enterprises will help in the fight to eradicate human trafficking, and our office will vigorously prosecute those who would illegally exploit victims of this despicable trade.”
“Educating our first responders about human trafficking is a shared responsibility, and FLETC is committed to doing its part,” said FLETC Director Thomas J. Walters.
Woolf and Munshi also took part in an event organized by the Georgia Human Trafficking Initiative titled “Prisoners of Darkness.” The program brought together about 400 advocates and concerned citizens from the Golden Isles region to raise awareness of human trafficking. Prosecutions led by the Southern District of Georgia’s Human Trafficking Task Force, spearheaded by the U.S. Attorney’s Office, have freed at least 39 human trafficking victims.
In November 2019, Department of Justice officials, including Principal Deputy Associate Attorney General Claire Murray and OJP Principal Deputy Assistant Attorney General Katharine T. Sullivan, joined Georgia First Lady Marty Kemp in announcing $4.3 million in grants to help officials in Georgia investigate and prosecute human traffickers and serve trafficking survivors. The Department of Justice, through OJP, awarded more than $100 million in fiscal year 2019 grants to agencies and organizations across the United States to combat human trafficking and provide vital services to victims. More funding is available this year, including up to $13.5 million to provide housing for human trafficking survivors.
About the Office of Justice Programs:
The Office of Justice Programs, directed by Principal Deputy Assistant Attorney General Katharine T. Sullivan, provides federal leadership, grants, training, technical assistance and other resources to improve the nation’s capacity to prevent and reduce crime, assist victims and enhance the rule of law by strengthening the criminal and juvenile justice systems. More information about OJP and its components can be found at www.ojp.gov.
About the Federal Law Enforcement Training Centers:
FLETC trains the majority of federal law enforcement officers and agents in the United States. In addition to providing training for over 90 federal partner organizations, FLETC provides training to state, local, tribal and international police in advanced programs. FLETC graduates approximately 70,000 students annually and is the largest law enforcement training organization in the country. To learn more about FLETC, visit www.fletc.gov.
Delaware U.S. Attorney's Office and ICE Recover Fourth - and Most Rare - Stolen Christopher Columbus Letter on Behalf of the Government of ItalyRead the Press Release
WILMINGTON, Del. — Today, and for the fourth time since 2016, U.S. Attorney David C. Weiss and U.S. Immigration and Customs Enforcement (ICE) announce that they have recovered a more than 500-year-old copy of Christopher Columbus’ letter describing his discoveries in the Americas to the Government of Italy. This announcement follows a court filing in the District of Delaware, which ordered the return of this historic document to the Biblioteca Nazionale Marciana in Venice, Italy. This letter, commonly known as a Plannck I edition (“Columbus Letter-Plannck I”), is exceptionally rare because this first edition only mentions the King of Spain, while the second edition, commonly known as Plannck II, acknowledges both the King and Queen of Spain. This Columbus Letter-Plannck I is valued in excess of $1,300,000.
Following a lengthy investigation by ICE’s Homeland Security Investigations, the U.S. Attorney’s Office for the District of Delaware, and the Italian Carabinieri Command for Protection of Cultural Heritage, investigators determined that, sometime in or around 1875, the Biblioteca Nazionale Marciana in Venice, Italy acquired a copy of the Columbus Letter-Plannck I, described above. At an unknown time between 1985 and 1988, the Columbus Letter-Plannck I was stolen from the Biblioteca Nazionale Marciana.
Unlike prior recovered Columbus letters, this Columbus Letter-Plannck I was not replaced with a forgery, but instead was missing from the Biblioteca Nazionale Marciana for decades. The investigation determined that, in May 2003, a collector acting in good faith unknowingly purchased the Biblioteca Nazionale Marciana’s Columbus Letter-Plannck I letter from a rare book dealer in the United States.
In 2019, following negotiations between the U.S. Attorney’s Office and representatives for the individual in possession of the letter, the parties agreed to permit Dr. Paul Needham from Princeton University to inspect the Columbus Letter-Plannck I, along with important evidence provided by the Biblioteca Nazionale Marciana. Dr. Needham’s inspection ultimately assisted investigators in determining that the Columbus Letter-Plannck I was, in fact, the stolen letter that belonged to the Biblioteca Nazionale Marciana. Accordingly, the individual in possession of the Columbus Letter-Plannck I voluntarily agreed to relinquish title and interest in the letter.
U.S. Attorney Weiss stated that, “We continue to be thankful for our strong law enforcement partnership with the Government of Italy to combat cross-border crimes that bring stolen cultural property into the United States for sale. This recovery is an excellent example of international law enforcement collaboration resulting in the return of world treasurers to their rightful owners. I commend the efforts of those involved in this case, including Dr. Needham for his expertise in this field.”
“Culturally significant artifacts are assigned a monetary value in the world's marketplaces in which they are traded,” said William Walker, Acting Special Agent in Charge of HSI Philadelphia. “But the cultural and symbolic worth of these objects far surpasses any given dollar value to the nations to whom they rightfully belong. HSI is pleased that today's court action is a positive step toward returning this five-century old Christopher Columbus letter to the people of Italy.”
The case is being investigated by Special Agent Mark Olexa and Investigator Mario Coppola, HSI and is being prosecuted by Assistant U.S. Attorney Jamie M. McCall for the District of Delaware.
Council Bluffs Resident Sentenced for Distributing MethamphetamineRead the Press Release
COUNCIL BLUFFS, Iowa - United States Attorney Marc Krickbaum announced that on January 21, 2020, Omar A. Martinez, age 46, was sentenced to 300 months in prison by Chief Judge John A. Jarvey for Conspiracy to Distribute at least 500 Grams or More of a Controlled Substance. Martinz will serve ten years of supervised release following his release from prison.
The sentencing was the result of a lengthy investigation by Iowa Division of Narcotics Enforcement and the Federal Bureau of Investigation Safe Streets Task Force into methamphetamine trafficking in Western Iowa and the Omaha Metro Area. The investigation revealed that methamphetamine was being brought from Mexico into the Omaha, Nebraska, area and then transported to various location in Nebraska and Western Iowa for distribution.
The following were sentenced as part of this investigation, and received the following years in prison: Bernave Navarrete,twenty years; Joseph Brown, ten years; Chris Rouse, twenty years; Jackie Thielen, ten years; Brandy Kumpula, eight years; Chase Richard, fifteen years; Jessica Snavely, ten years; Colby Dunn, eight years; Laura Rausch Anderson, five years; Manda May Rowell, five years; and, William LaBenz, five years.
This case was investigated by Iowa Division of Narcotics Enforcement, Federal Bureau of Investigation’s Safe Streets Task Force, Omaha Police Department, Southwest Iowa Narcotics Task Force, Council Bluffs Police Department, Harlan, Iowa Police Department, and the Shelby County Sheriff’s Department. The case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
Convicted smuggler sentenced again after admitting he sexually abused womanRead the Press Release
LAREDO, Texas – A Mexican national and convicted felon has been ordered to federal prison, again, after violating the terms of his supervised release, announced U.S. Attorney Ryan K. Patrick.
On Feb. 23, 2016, Jose Arrecis-Andrade, 28, was sentenced to federal prison for alien smuggling and given a three-year-term of supervised release. He was removed from the country in 2017. However, authorities found him in the United States illegally in September 2018. At that time, he was arrested on charges of aggravated sexual assault, illegally re-entering the country and for violating his supervise release. He pleaded guilty to the illegal re-entry charge March 1, 2019.
Today, Arrecis-Andrade admitted he committed the sexual assault, thereby violating the terms of his federal supervised release.
At the hearing, U.S. District Judge Marina Garcia Marmolejo then sentenced him to 27 months for the illegal re-entry conviction. The court also revoked his supervised release and ordered he serve an additional 24 months in prison. The sentences will run consecutively for a total 51-month-term of imprisonment. Not a U.S. citizen, he again expected to face removal proceedings following his incarceration.
He has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Border Patrol and Laredo Police Department conducted the investigations. Assistant U.S. Attorneys Jennifer Day and David Fawcett prosecuted the case.
Convicted Massachusetts Felon Sentenced on Firearm ChargeRead the Press Release
PROVIDENCE – A convicted felon from Boston who is prohibited by law from possessing ammunition because of previous felony convictions was sentenced today to 36 months in federal prison for being in possession of ammunition he purchased from a Woonsocket federally licensed firearms dealer, in a Project Guardian case brought by the United States Attorney’s Office.
Charlie D. Vick, 30, of Everett, Mass., pleaded guilty on May 15, 2019, to being a felon in possession of ammunition, admitting to the Court that he and Gabriel A. Rosario, 23, of Chelsea, Mass., traveled from Boston to a Woonsocket firearms dealer with the intent of buying ammunition, aware that Rhode Island state law does not require a background check for ammunition purchases, unlike Massachusetts.
Vick admitted to the Court that once inside the store he asked the store manager for assistance with ammunition. The manager accompanied Vick to an area of the store away from a countertop where a .22 caliber firearm was displayed. While Vick and the manager were away from the counter area, Rosario took the .22 caliber firearm from the countertop, placed it in his waistband, and left the store.
After Rosario left the store, the store manager and Vick returned to the counter area. Vick knowingly illegally purchased three boxes of ammunition. Vick left the store and he and Rosario drove away from the area.
A Bureau of Alcohol, Tobacco, Firearms (ATF) and Explosives investigation determined that within a few days the stolen firearm was sold on the streets of Boston.
To obtain assistance from the public in identifying the two men responsible for the theft of the firearm, ATF offered a $1,500 reward leading to the identification of one or both of the men. At least two individuals contacted the Woonsocket Police Department and identified Charlie Vick as one of the two men depicted in surveillance camera photos publicized by law enforcement.
At sentencing today, U.S. District Court Judge William E. Smith sentenced Vick to 36 months incarceration to be followed by 3 years supervised release, announced United States Attorney Aaron L. Weisman, Special Agent in Charge of the Boston Field Division of ATF Kelly D. Brady, and Woonsocket Police Chief Thomas Oates.
Gabriel A. Rosario, 23, of Chelsea, Mass., pleaded guilty on March 7, 2019, to theft of a firearm from a licensed firearm dealer. He is scheduled to be sentenced on January 30, 2020.
The cases are being prosecuted by Assistant U.S. Attorney Milind M. Shah.
United States Attorney Aaron L. Weisman, Special Agent in Charge of the Boston Field Division of ATF Kelly D. Brady, and Woonsocket Police Thomas Oates thank the United States Marshals Service and the Chelsea, Mass., Police Department for their assistance in the investigation and arrest of Vick and Rosario.
This case is part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities.
The United States Attorney’s Office has prosecuted this case with support from the following Project Guardian partners: Bureau of Alcohol, Tobacco, Firearms, and Explosives; Woonsocket Police Department; United States Marshals Service; and the Chelsea, Mass., Police Department.
For more information about Project Guardian, please see https://www.justice.gov/projectguardian
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Convicted Felon in Possession of a Firearm During Domestic Violence Incident Sentenced to 10 Years in Federal PrisonRead the Press Release
Memphis, TN – Richard Mukes, 33, of Memphis has been sentenced to 10 years in federal prison for being a convicted felon in possession of a firearm. U.S. Attorney D. Michael Dunavant announced the sentence today.
According to information presented in court, on October 5, 2018, Memphis Police officers responded to a domestic violence call on Browning Avenue. The victim advised police that when she tried to end her relationship with her boyfriend, Richard Mukes, he became angry and began making threats towards her. The victim was at home with her mother, niece and nephews at the time. The victim further advised Mukes came to her front door to retrieve his belongings around two o'clock in the morning. When she refused to let him in, he became extremely irate and began beating on the door. Mukes drew a firearm and fired four shots in the air before leaving the residence.
Officers searched the area for Mukes and observed him walking northbound on Pendleton away from the residence. The officers could see Mukes holding a black handgun and gave verbal commands to drop the weapon. Mukes began to flee on foot and then threw the gun on the ground on Pendleton. After a brief chase, officers captured Mukes and the firearm, a loaded Taurus 9mm pistol, was recovered.
Mukes has prior violent felony convictions for aggravated robbery and aggravated assault, and as a result, was prohibited from possessing a firearm pursuant to 18 U.S.C. 922(g)(1).
On January 16, 2020, U.S. District Court Judge Mark S. Norris sentenced Mukes to the maximum statutory penalty, 120 months in federal prison, followed by 2 years supervised release.
U.S. Attorney D. Michael Dunavant said, "The presence of a firearm during a crime of domestic violence dramatically increases the chances that the victim or other family members in the household, including children, will be fatally shot. Under our PSN initiative, we focus on removing firearms from the hands of prohibited persons, and removing dangerous felons from our streets. Clearly, this recidivist had no hesitation in committing a violent domestic crime with a firearm, and he will now be removed from the community for 10 years. We are FED UP. Gun Crime is Max Time."
The Memphis Police Department, Project Safe Neighborhoods (PSN) Task Force, and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) investigated this case.
Assistant U.S. Attorney Raney Irwin prosecuted this case on behalf of the government.
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Columbia County Man Sentenced to 18 Years in Connection with Two Overdose DeathsRead the Press Release
ALBANY, NEW YORK – Jacob Ebel, age 32, of Niverville, New York, was sentenced today to 18 years in prison after admitting that he distributed heroin and fentanyl to two people who died in Columbia County in July 2016.
The announcement was made by United States Attorney Grant C. Jaquith; Special Agent in Charge Ray Donovan, New York Division, U.S. Drug Enforcement Administration (DEA); New York State Police Superintendent Keith M. Corlett; and Columbia County Sheriff David P. Bartlett.
United States District Judge Mae A. D’Agostino imposed the 18-year term of imprisonment that the Government and Ebel jointly recommended to her when he pled guilty on September 11, 2019. Ebel will also serve a 3-year term of supervised release. In imposing sentence, Judge D’Agostino told Ebel, “You are forever intertwined with the senseless, tragic deaths of two people who were loved by their families.”
In pleading guilty, Ebel admitted to selling heroin, fentanyl and other controlled substances, from 2014 through July 26, 2016, in Columbia County.
Ebel admitted to dealing heroin and fentanyl first to a man identified as S.B., who overdosed on July 3, 2016 and died five days later, and then to a woman identified as S.S., who overdosed and died on July 23, 2016.
S.B., age 29, overdosed and was found unconscious in Niverville on July 3, 2016, less than a mile from Ebel’s house. A State Police investigation established that prior to the overdose, S.B. had had extensive text message communications with Ebel, and that Ebel had sold heroin and fentanyl to S.B. at about 2:15 p.m. on July 3, 2016, several hours before S.B. was found unresponsive. Inside S.B.’s vehicle, State Police located a folded, yellow sticky note with heroin and fentanyl, and “4-0” written on the outside – the amount of money that S.B. told the defendant he had in the text message conversations.
Ebel and S.B. were friends. Ebel knew that S.B. had died, but he kept dealing heroin and fentanyl.
On the morning of July 23, 2016, the Columbia County Sheriff’s Office (CCSO) responded to a house in Stuyvesant, New York, and found S.S. dead. Investigators found three folded sticky notes in a small plastic bag on her bed; the notes contained heroin and fentanyl. The CCSO investigation established that Ebel had sold heroin and fentanyl to S.S.’s husband in the days prior to S.S.’s death, and that S.S., age 19, had taken these drugs and died.
Law enforcement executed a search warrant on Ebel’s house in the early morning hours of July 26, 2016. Investigators seized about 16 grams of heroin and fentanyl that Ebel intended to sell. Ebel was arrested that day and has been in custody ever since.
This case was the result of a joint investigation conducted by the New York State Police-Troop K and Columbia County Sheriff’s Office, with assistance from the U.S. Drug Enforcement Administration (DEA) and the office of Columbia County District Attorney Paul Czajka. The case was prosecuted by Assistant U.S. Attorney Michael Barnett.
Charleston Man Pleads Guilty to Role in Federal Meth ConspiracyRead the Press Release
HUNTINGTON, W.Va. – A Charleston man pled guilty today in federal court for his role in a conspiracy that involved large quantities of methamphetamine which were transported from Akron and sold in West Virginia, announced United States Attorney Mike Stuart. Brad Acy Holley, 39, pled guilty to conspiracy to distribute 500 grams or more of methamphetamine.
“Holley was responsible for distributing up to 5 kilos of meth in our communities,” said United States Attorney Mike Stuart. “He and his co-conspirators were bringing in tremendous amounts of meth from Akron and peddling it throughout the District. We owe a debt of gratitude to our law enforcement partners that shuttered this drug trafficking organization.”
Holley admitted that between the Fall of 2018, and September of 2019, he participated in a conspiracy with multiple individuals to distribute methamphetamine in the Southern District of West Virginia. During the conspiracy, Holley pooled money with another individual to obtain large quantities of methamphetamine which he and the other individual would then distribute. Holley also began obtaining methamphetamine himself which was transported from Akron and sold in multiple cities in West Virginia including Huntington and Charleston. Holley admitted that he was supplied methamphetamine on a regular basis and that he was aware some of the customers to whom he distributed methamphetamine intended to further distribute the drug across the district. As part of his plea, Holley admitted that he was responsible for distributing up to 5 kilograms of methamphetamine during the conspiracy.
Holley faces 10 years to life in prison when sentenced on April 27, 2020.
This joint investigation was spearheaded by the Federal Bureau of Investigation (FBI). Other agencies which participated and assisted in the investigation include the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the Ona Violent Crime and Drug Task Force West, the Metropolitan Drug Enforcement Network Team (MDENT), the West Virginia State Police, the Drug Enforcement Administration (DEA) Task Force, the Beckley/Raleigh County Drug and Violent Crime Unit, the United States Marshals Service, the Cabell County Sheriff’s Department, the Charleston Police Department, the Putnam County Sheriff’s Department, the Ohio State Highway Patrol, the Akron, Ohio Police Department, and the Brecksville, Ohio Police Department. United States District Judge Robert C. Chambers presided over the hearing. Assistant United States Attorney Joseph F. Adams is handling the prosecution.
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California Woman Pleads Guilty in College Admissions CaseRead the Press Release
BOSTON – A California woman pleaded guilty today in federal court in Boston in connection with paying $9,000 to have an individual take online classes for her son, in order to earn credits to facilitate his graduation from Georgetown University.
Karen Littlefair, 57, of Newport Beach, Calif., pleaded guilty to one count of conspiracy to commit wire fraud. U.S. District Court Judge Allison D. Burroughs scheduled sentencing for May 13, 2020.
Littlefair agreed with William “Rick” Singer and others to pay approximately $9,000 to have an employee of Singer’s for-profit college counseling business, The Edge College & Career Network (“The Key”), take online classes in place of Littlefair’s son and submit those fraudulently earned credits to Georgetown to facilitate his graduation. The Key employee allegedly completed four classes for Littlefair’s son at Georgetown and elsewhere, and in exchange, Littlefair paid Singer’s company approximately $9,000. Littlefair’s son graduated from Georgetown, using the credits earned by the Key employee, in May 2018.
Singer previously pleaded guilty and is cooperating with the government’s investigation.
Case information, including the status of each defendant, charging documents and plea agreements are available here: https://www.justice.gov/usao-ma/investigations-college-admissions-and-testing-bribery-scheme.
The charge of conspiracy to commit wire fraud carries a sentence of up to 20 years in prison, up to three years of supervised release and a fine of up to $250,000. According to the terms of the plea agreement, the government will recommend a sentence of four months in prison, one year of supervised release, a fine of $9,500 and restitution. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Kristina O’Connell, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston, made the announcement today. Assistant U.S. Attorneys Eric S. Rosen, Justin D. O’Connell, Leslie A. Wright and Kristen A. Kearney of Lelling’s Securities and Financial Fraud Unit are prosecuting the cases.
The details contained in the court documents are allegations and the remaining defendants are presumed not guilty unless and until proven guilty beyond a reasonable doubt in a court of law.
Boston Man Pleads Guilty to Fentanyl TraffickingRead the Press Release
BOSTON – A Boston man pleaded guilty today in federal court in Boston to fentanyl distribution.
Anthony Smallwood, 29, pleaded guilty to four counts of distribution and possession with intent to distribute 40 grams or more of fentanyl. U.S. District Court Judge Richard G. Stearns scheduled sentencing for May 27, 2020. Smallwood was previously charged by criminal complaint and arrested on May 22, 2019.
According to court records, between March and May 2019, Smallwood engaged in four separate drug sales of fentanyl to a witness cooperating with the government. These sales totaled over 230 grams of fentanyl.
The charges of distribution of, and possession with intent to distribute more than 40 grams of fentanyl, each carry a mandatory minimum sentence of five years and up to 40 years in prison, a minimum of four years of supervised release and a fine of up to $5 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Office; and Boston Police Commissioner William Gross made the announcement today. Valuable assistance was provided by members of the Organized Crime Drug Enforcement Task Force Strike Force. Assistant U.S. Attorney Stephen W. Hassink of Lelling’s Narcotics and Money Laundering Unit is prosecuting the case
Braking Point Recovery Center Owner Sentenced to 7 1/2 Years in Prison for Health Care Fraud and Drug CrimesRead the Press Release
Ryan P. Sheridan, 39, the owner and operator of Braking Point Recovery Center, which operated in the Youngstown and Columbus areas, was sentenced to 7 ½ years in prison for crimes related to a health care fraud conspiracy where Medicaid was billed $48 million for drug and alcohol recovery services, much of which were not provided, not medically necessary, lacked proper documentation, or had other issues that made them ineligible for reimbursement.
Sheridan was also ordered to pay $24,479,939 in restitution. He pleaded guilty last October to one count of conspiracy to commit health care fraud, seven counts of health care fraud, one count of conspiracy to distribute Suboxone, twenty-two counts of use of another’s registration number of another to obtain controlled substances, one count of operating a drug premises, and twenty-eight counts of money laundering.
On January 21, 2020, co-defendants Dr. Thomas Bailey and Dr. Arthur Smith were sentenced to 2 years of probation with 6 months of community service and a $5,000 fine. Co-defendant Lisa Pertee was sentenced to 1 year of probation with 60 days of community service, and order to pay $2,200 in special assessments.
According to court documents:
Ryan Sheridan was the sole owner of Braking Point Recovery Center, which operated drug and alcohol rehabilitation centers in Austintown and Whitehall, Ohio, that provided detox, intensive outpatient treatment, day treatment and residential living rehabilitation.
Sheridan also owned and operated numerous other businesses, including Breaking Point Health and Fitness LLC and Braking Point Recovery Housing LLC, which owned recovery houses (or “sober houses”) for individuals attempting to maintain abstinence from drugs and alcohol.
As part of being a certified provider, Sheridan agreed to follow the rules and regulations of the Ohio Medicaid Program and the Ohio Department of Mental Health and Addiction Services.
Between January 2015 and October 18, 2017, Sheridan and various other defendants submitted or caused to be submitted billings to Medicaid for drug and alcohol services that were: coded to reflect a service more costly than was actually provided; without proper documentation; without proper assessment documents containing valid diagnosis; billings for patients whose records did not contain diagnosis by a physician; related to treatment at unlicensed inpatient beds; billings related to dispensing of Suboxone, even though the treating physician did not have the authority to do so; for case management services when, in fact, the clients were working out at Sheridan’s gym; billings based on quotas provided to the nurses by the defendants to bill four to five hours of treatment daily, even if the services were not medically necessary; billing for in-patient detox and drug treatment services that were, in fact, provided in an out-patient setting, among other violations.
Braking Point submitted approximately 134,744 claims to Medicaid for more than $48.5 million in services it claimed to provide between May 2015 and October 2017. The claims caused Medicaid to pay Braking Point more than $31 million. Medicaid suspended payments to Braking Point on October 18, 2017.
Sheridan and other defendants developed a standard protocol of distributing the same amount of Suboxone to every patient seeking drug treatment immediately upon entering Braking Point’s detox program without being evaluated by a properly licensed physician to determine the medical necessity for the use of Suboxone. Sheridan had the treating physician use another physician’s DEA data waiver license to dispense more than 3,000 doses of Suboxone in 2017 alone without the data waiver physician having seen the patients.
Sheridan also made numerous financial transactions in excess of $6 million, involving money derived from these unlawful activities, including health care fraud and conspiracy to commit health care fraud. As such, Sheridan was ordered to forfeit property and proceeds obtained as a result of these crimes, including nearly $3 million, property in Columbiana, Mahoning and Trumbull counties, and eight automobiles, including replicas of vehicles used in the movies “Back to the Future,” “Ghostbusters,” and “Batman.”
“These defendants stole tens of millions of dollars from taxpayers through fraudulent billing and other crimes,” U.S. Attorney Justin Herdman said. “They used the drug epidemic plaguing Ohio as a way to line their pockets and profited off the suffering of others.”
“That beacon of hope for the addicted turned out to be a bonfire of our tax dollars. Heartless,” Ohio Attorney General Dave Yost said.
“Regardless of position, title, status, or degree, no one is above the law,” said DEA Special Agent in Charge Keith Martin. “DEA will continue to work with U.S. Attorney Herdman’s office to bring those who blatantly violate drug dispensing laws to justice.”
“Ryan Sheridan and his co-conspirators deserve the sentences handed down in federal court for their fraudulent and deceptive criminal behavior,” stated FBI Special Agent in Charge Eric Smith. “These individuals preyed on a healthcare system that is in place to help those in need and not to be used as an ATM to cipher millions of dollars from the taxpayers for their own pleasures.”
“These sentences send a clear message that those who choose to exploit Medicaid for illegal personal gain will pay the price for those criminal acts. Taking advantage of a program set up to assist low-income people and the disabled will not be tolerated,” said Lamont Pugh III, Special Agent in Charge of the Chicago Region for the U.S. Department of Health and Human Services, Office of Inspector General. “The OIG will work tirelessly with our law enforcement partners to combat fraud in the health care system and protect vital tax payer dollars.”
“Ryan Sheridan’s actions put our health care system at risk for his own personal gain which in unfathomable,” IRS Criminal Investigation SAC Bryant Jackson said. “Not only is Ryan Sheridan going to jail, but the government has seized a portion of the illegal proceeds through asset forfeiture which is one of the government's most powerful weapons in combating crimes of this magnitude. IRS criminal investigation followed the flow of money in this case in order to uncover the fraud and we are proud to work with our law enforcement partners to investigate health care fraud schemes.”
This case was prosecuted by Assistant United States Attorneys Mark S. Bennett and Jason M. Katz, and Special Assistant United States Attorney Jonathan Metzler following an investigation by the Department of Health and Human Services -- Office of the Inspector General, the Federal Bureau of Investigation, the Drug Enforcement Administration, the Internal Revenue Service, and the Ohio Attorney General’s Medicare Fraud and Corruption Unit.
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Attorney General William P. Barr Announces the Establishment of the Presidential Commission on Law Enforcement and the Administration of JusticeRead the Press Release
Today, Attorney General William P. Barr announced the establishment of the Presidential Commission on Law Enforcement and the Administration of Justice. On Oct. 28, 2019, President Donald J. Trump signed Executive Order No. 13896, authorizing and designating the Attorney General to create such a Commission that would explore modern issues affecting law enforcement that most impact the ability of American policing to reduce crime.
“There is no more noble and important profession than law enforcement. A free and safe society requires a trusted and capable police force to safeguard our rights to life and liberty,” said Attorney General William P. Barr. “But as criminal threats and social conditions have changed the responsibilities and roles of police officers, there is a need for a modern study of how law enforcement can best protect and serve American communities. This is why the President instructed me to establish this critical Commission, whose members truly reflect the best there is in law enforcement. Together, we will examine, discuss, and debate how justice is administered in the United States and uncover opportunities for progress, improvement, and innovation.”
The Executive Order instructs the Commission to conduct its study by focusing on the law enforcement officers who are tasked with reducing crime on a daily basis. It also directs the Commission to research “important current issues facing law enforcement and the criminal justice system,” and recommends a variety of subjects for study, such as, but not limited to:
- The challenges to law enforcement associated with mental illness, homelessness, substance abuse, and other social factors that influence crime and strain criminal justice resources;
- The recruitment, hiring, training, and retention of law enforcement officers, including in rural and tribal communities;
- Refusals by State and local prosecutors to enforce laws or prosecute categories of crimes;
- The need to promote public confidence and respect for the law and law enforcement officers; and
- The effects of technological innovations on law enforcement and the criminal justice system, including the challenges and opportunities presented by such innovations.
The Commission will principally conduct its study through a series of hearings, panel presentations, field visits, and other public meetings. At these events, the Commission will hear from subject matter experts, public officials, private citizens, and other relevant stakeholders and institutions who can provide valuable insight into these issues.
The Commissioners, appointed by the Attorney General and announced today, are urban police chiefs, state prosecutors, county sheriffs, members of rural law enforcement, federal agents, U.S. Attorneys, and a state attorney general. In addition to their diverse experiences and backgrounds, each member brings to the Commission an expertise in formulating and shaping law enforcement policy and leading police departments and law enforcement organizations.
Commissioners on the Presidential Commission on Law Enforcement and the Administration of Justice include:
- Chair: Phil Keith, Director, Community Oriented Policing Services
- Vice-Chair: Katharine Sullivan, Principal Deputy Assistant Attorney General, Office of Justice Programs
- David Bowdich, Deputy Director, Federal Bureau of Investigation
- Donald Washington, Director, United States Marshals Services
- Regina Lombardo, Acting Director, Bureau of Alcohol, Tobacco, Firearms & Explosives
- Erica Macdonald, United States Attorney, District Of Minnesota
- D. Christopher Evans, Chief of Operations, Drug Enforcement Administration
- James Clemmons, Sheriff, Richmond County, North Carolina
- Frederick Frazier, City Council, McKinney, Texas/ Police Officer, Dallas Police Department
- Robert Gualtieri, Sheriff, Pinellas County, Florida
- Gina Hawkins, Chief of Police, Fayetteville, North Carolina
- Ashley Moody, Florida Attorney General
- Nancy Parr, Commonwealth’s Attorney, Chesapeake, Virginia
- Craig Price, South Dakota Secretary of Public Safety
- Gordon Ramsay, Chief of Police, Wichita, Kansas
- David B. Rausch, Director, Tennessee Bureau of Investigation
- John Samaniego, Sheriff, Shelby County, Alabama
- James Smallwood, Police Officer, Nashville Metropolitan Police Department
The Commission will meet monthly for the next year and then report its findings to the Attorney General, who will submit a final report to the President.
Attorney General William P. Barr Announces the Establishment of the Presidential Commission on Law Enforcement and the Administration of JusticeRead the Press Release
Today, Attorney General William P. Barr announced the establishment of the Presidential Commission on Law Enforcement and the Administration of Justice. On Oct. 28, 2019, President Donald J. Trump signed Executive Order No. 13896, authorizing and designating the Attorney General to create such a Commission that would explore modern issues affecting law enforcement that most impact the ability of American policing to reduce crime.
“There is no more noble and important profession than law enforcement. A free and safe society requires a trusted and capable police force to safeguard our rights to life and liberty,” said Attorney General William P. Barr. “But as criminal threats and social conditions have changed the responsibilities and roles of police officers, there is a need for a modern study of how law enforcement can best protect and serve American communities. This is why the President instructed me to establish this critical Commission, whose members truly reflect the best there is in law enforcement. Together, we will examine, discuss, and debate how justice is administered in the United States and uncover opportunities for progress, improvement, and innovation.
“This commission is relevant to my district because Oklahomans champion the rule of law and respect law enforcement. The commission will review and address the needs of those on the front lines of public safety. The Attorney General has challenged the commission to think boldly and to consider diverse perspectives and approaches to the administration of justice throughout America,” said U.S. Attorney Trent Shores. “I believe this commission will prove crucial to the identification of resources needed by law enforcement to perform their job at the highest level. Moreover, I hope to see the commission address the physical and mental health needs of officers. The spate of officer suicides is troubling and must be discussed to ensure the provision of resources to meet the need.”
The Executive Order instructs the Commission to conduct its study by focusing on the law enforcement officers who are tasked with reducing crime on a daily basis. It also directs the Commission to research “important current issues facing law enforcement and the criminal justice system,” and recommends a variety of subjects for study, such as, but not limited to:
- The challenges to law enforcement associated with mental illness, homelessness, substance abuse, and other social factors that influence crime and strain criminal justice resources;
- The recruitment, hiring, training, and retention of law enforcement officers, including in rural and tribal communities;
- Refusals by State and local prosecutors to enforce laws or prosecute categories of crimes;
- The need to promote public confidence and respect for the law and law enforcement officers; and
- The effects of technological innovations on law enforcement and the criminal justice system, including the challenges and opportunities presented by such innovations.
The Commission will principally conduct its study through a series of hearings, panel presentations, field visits, and other public meetings. At these events, the Commission will hear from subject matter experts, public officials, private citizens, and other relevant stakeholders and institutions who can provide valuable insight into these issues.
The Commissioners, appointed by the Attorney General and announced today, are urban police chiefs, state prosecutors, county sheriffs, members of rural law enforcement, federal agents, U.S. Attorneys, and a state attorney general. In addition to their diverse experiences and backgrounds, each member brings to the Commission an expertise in formulating and shaping law enforcement policy and leading police departments and law enforcement organizations.
Commissioners on the Presidential Commission on Law Enforcement and the Administration of Justice include:
- Chair: Phil Keith, Director, Community Oriented Policing Services
- Vice-Chair: Katharine Sullivan, Acting Director, Office of Justice Programs
- David Bowdich, Deputy Director, Federal Bureau of Investigation
- Donald Washington, Director, United States Marshals Services
- Regina Lombardo, Acting Director, Bureau of Alcohol, Tobacco, Firearms & Explosives
- Erica Macdonald, United States Attorney, District Of Minnesota
- D. Christopher Evans, Chief of Operations, Drug Enforcement Administration
- James Clemmons, Sheriff, Richmond County, North Carolina
- Frederick Frazier, City Council, McKinney, Texas/ Police Officer, Dallas Police Department
- Robert Gualtieri, Sheriff, Pinellas County, Florida
- Gina Hawkins, Chief of Police, Fayetteville, North Carolina
- Ashley Moody, Florida Attorney General
- Nancy Parr, Commonwealth’s Attorney, Chesapeake, Virginia
- Craig Price, South Dakota Secretary of Public Safety
- Gordon Ramsay, Chief of Police, Wichita, Kansas
- David B. Rausch, Director, Tennessee Bureau of Investigation
- John Samaniego, Sheriff, Shelby County, Alabama
- James Smallwood, Police Officer, Nashville Metropolitan Police Department
The Commission will meet monthly for the next year and then report its findings to the Attorney General, who will submit a final report to the President.
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
"Joe Exotic" Sentenced to 22 Years for Murder-For-Hire and for Violating the Lacey Act and Endangered Species ActRead the Press Release
OKLAHOMA CITY – JOSEPH MALDONADO-PASSAGE, also known as Joseph Allen Maldonado, Joseph Allen Schreibvogel, and "Joe Exotic," 56, formerly of Wynnewood, Oklahoma, has been sentenced to 22 years in prison after a federal jury convicted him of two counts of murder-for-hire, eight counts of violating the Lacey Act for falsifying wildlife records, and nine counts of violating the Endangered Species Act, announced U.S. Attorney Timothy J. Downing.
"We are thankful for the Court’s thoughtful consideration of the gravity of this murder-for-hire scheme, as well as the defendant’s egregious wildlife crimes in imposing a 22-year sentence," said U.S. Attorney Downing. "This sentence is the result of countless hours of detailed investigative work by the U.S. Fish and Wildlife Service and the Federal Bureau of Investigation."
"Wildlife crime is often connected with other criminal activity such as fraud, narcotics, money-laundering and smuggling. Mr. Maldonado-Passage added murder-for-hire," said Edward Grace, Assistant Director of the U.S. Fish and Wildlife Service, Office of Law Enforcement. "The Service along with our partners will continue to bring to justice those involved in wildlife trafficking and other assorted crimes. The successful outcome of this investigation is the result of working jointly with the U. S. Attorney's Office, Western District of Oklahoma, Federal Bureau of Investigation and the Oklahoma Department of Wildlife Conservation to ensure the protection of a federally protected species."
"Today's sentencing of Joseph Maldonado-Passage should serve as a reminder that the FBI and our law enforcement partners will not tolerate those who orchestrate murder-for-hire or violate U.S. wildlife laws," said Special Agent in Charge Melissa Godbold of the FBI's Oklahoma City Field Office. "The FBI would like to thank our partners for their efforts on this joint investigation."
On September 5, 2018, a federal grand jury returned an indictment that accused Maldonado-Passage of hiring an unnamed person in November 2017 to murder "Jane Doe" in Florida and also hiring a person who turned out to be an undercover FBI agent to commit that murder. A superseding indictment handed down on November 7, 2018, further alleged Maldonado-Passage falsified forms involving the sale of wildlife in interstate commerce, killed five tigers in October 2017 to make room for cage space for other big cats, and sold and offered to sell tiger cubs in interstate commerce. Because tigers are an endangered species, these alleged killings and sales violated the Endangered Species Act.
During a trial that began on March 25, a jury heard evidence that Maldonado-Passage gave Allen Glover $3,000 to travel from Oklahoma to South Carolina and then to Florida to murder Carole Baskin, with a promise to pay thousands more after the deed. Baskin, a critic of Maldonado-Passage’s animal park, owns a tiger sanctuary in Florida and had secured a million-dollar judgment against Maldonado-Passage.
The evidence further showed that beginning in July 2016, Maldonado-Passage repeatedly sought someone to murder Baskin in exchange for money, which led to his meeting with an undercover FBI agent on December 8, 2017. The jury heard a recording of his meeting with the agent to discuss details of the planned murder.
In addition to the murder-for-hire counts, the trial included evidence of violations of the Lacey Act, which makes it a crime to falsify records of wildlife transactions in interstate commerce. According to these counts, Maldonado-Passage designated on delivery forms and Certificates of Veterinary Inspection that tigers, lions, and a baby lemur were being donated to the recipient or transported for exhibition only, when he knew they were being sold in interstate commerce.
Finally, the jury heard evidence that Maldonado-Passage personally shot and killed five tigers in October 2017, without a veterinarian present and in violation of the Endangered Species Act.
After only a few hours of deliberation, the jury returned guilty verdicts on both murder-for-hire counts, eight Lacey Act counts, and nine Endangered Species Act counts.
On January 22, 2020, U.S. District Judge Scott L. Palk sentenced Maldonado-Passage to 264 months in federal prison. That sentence includes (1) 108 months on each of the two murder-for-hire counts to run consecutively to each other, (2) 12 months on each of the Endangered Species Act violations to run concurrently to each other and to all other counts, and (3) 48 months on each of the Lacey Act violations to run concurrently with each other but consecutive to the two murder-for-hire counts. Judge Palk also ordered Maldonado-Passage to spend three years of supervised release upon release from prison. In announcing the sentence, the Court noted the seriousness of Maldonado-Passage’s conduct and his reluctance to accept responsibility.
This case is the result of an investigation by the U.S. Fish and Wildlife Service Office of Law Enforcement, the Federal Bureau of Investigation, and the Oklahoma Department of Wildlife Conservation, with assistance from the U.S. Marshals Service. Assistant U.S. Attorneys Amanda Green and Charles W. Brown prosecuted the case.
Reference is made to court filings for further information.
21 January 2020
“Pill Mill” Doctor Pleads Guilty to Opioid Distribution, Admits Signing Prescriptions for Dead and Jailed PatientsRead the Press Release
Assistant U. S. Attorneys Larry Casper (619) 546-6734 and Victor White (619) 546-8439
NEWS RELEASE SUMMARY – January 21, 2020
SAN DIEGO – Egisto Salerno, a medical doctor practicing in San Diego, pleaded guilty to opioid distribution in federal court today, admitting that he signed bogus prescriptions for multiple deceased or incarcerated patients.
According to his plea agreement, Salerno, 75, illegally distributed 78,544 hydrocodone pills. Hydrocodone is an opioid pain medication commonly known as Norco or Vicodin. Salerno admitted that his prescriptions for the 10 mg tablets were outside the usual course of his medical practice and were without a legitimate medical purpose.
“We will continue to zealously pursue doctors who write opioid or other prescriptions that are plainly outside their professional practice and without a legitimate medical purpose,” said U.S. Attorney Robert Brewer. “Even a medical degree does not put one above the law.” Brewer praised prosecutors Larry Casper and Victor White and DEA agents for their commitment to achieving justice in this case.
“Because of pill mills operated by doctors like Egisto Salerno, our country has been devastated by the negative effects of prescription pain medication,” said DEA Special Agent in Charge John W. Callery. “But DEA and our partners at the U.S. Attorney’s Office are fighting back. Today’s guilty plea is testament to their teamwork and dedication in thwarting the opioid crisis in the San Diego area. Dr. Salerno’s medical career is over; he betrayed his oath to the medical community and his patients. DEA and our partners will continue to conduct these investigations to ensure doctors are following the rules set forth when prescribing potentially deadly drugs.”
Salerno also admitted that an undercover federal agent who visited Salerno’s clinic on six occasions received six hydrocodone prescriptions containing Salerno’s signature. In a separate instance, on a date when the undercover agent did not visit the clinic and the doctor did not see him, Salerno acknowleged that a prescription was written in the name used by the undercover agent and that Salerno completed and signed a progress note in the “patient” chart for the purported visit that did not occur.
Salerno used his medical practice on El Cajon Boulevard in San Diego to carry out this criminal activity between November 2014 and February 2018, the plea agreement said. During this period, Salerno also acknowledged that he pre-signed prescriptions and often allowed his non-physician employees to complete those prescriptions; and that, with regard to one of the multiple dead “patients,” his signature appeared on at least five prescriptions made out in the “patient’s” name that were issued and filled more than a year after the “patient” died.
Salerno is the seventh defendant to enter a guilty plea in connection with the pending case that flowed from the investigation of this “pill mill.” Each of the defendants is awaiting sentencing. The plea agreements of the six other defendants show that paid patient “recruiters” were bringing “patients,” many of whom were homeless, to Salerno’s office to secure hydrocodone prescriptions; that, after the prescriptions were written, the “patients” were brought to pharmacies to fill the prescriptions; “patients” turned over their hydrocodone tablets to the recruiters in exchange for payment and, in some instances, recruiters picked up the tablets from the pharmacies themselves; and, in turn, those hydrocodone pills were being sold by the lead recruiter in San Diego and that such pills were also smuggled into Mexico and sold to a pharmacy there.
The guilty plea was entered before, and accepted by, U.S. District Judge Cynthia Bashant who will sentence Salerno on May 11, 2020.
DEFENDANT Case Number 18-cr-1405-BAS
Egisto Salerno, M.D. Age: 75 San Diego, California
SUMMARY OF CHARGES
Distribution of Hydrocodone in violation of Title 21 U.S.C. Sec. 841(a)(1) and (b)(1)(C)
Maximum Penalties: Twenty years in prison and $1 million fine
Prior Guilty Pleas in same case:
Stephen Toney, Sr.:
Pleaded guilty to Conspiracy to Possess With Intent to Distribute Hydrocodone, in violation of Title 18, U.S.C., Sec. 841(a)(1) and 846.
Sentencing Date: March 16, 2020
Amber Nicole Grabau:
Pleaded guilty to Conspiracy to to Possess With Intent to Distribute Hydrocodone, in violation of Title 18, U.S.C., Sec. 841(a)(1) and 846.
Sentencing Date: March 9, 2020
Lonell J. Ligon:
Pleaded guilty to Conspiracy to to Possess With Intent to Distribute Hydrocodone, in violation of Title 18, U.S.C., Sec. 841(a)(1) and 846.
Sentencing Date: April 6, 2020
Shalina D. Latson:
Pleaded guilty to Conspiracy to to Possess With Intent to Distribute Hydrocodone, in violation of Title 18, U.S.C., Sec. 841(a)(1) and 846.
Sentencing Date: March 9, 2020
LaJuan D. Smith:
Pleaded guilty to Conspiracy to to Possess With Intent to Distribute Hydrocodone, in violation of Title 18, U.S.C., Sec. 841(a)(1) and 846.
Sentencing Date: February 3, 2020
April J. Cervantes:
Pleaded guilty to Conspiracy to to Possess With Intent to Distribute Hydrocodone, in violation of Title 18, U.S.C., Sec. 841(a)(1) and 846.
Sentencing Date: March 2, 2020
INVESTIGATING AGENCY
Drug Enforcement Administration
Willimantic Heroin Trafficker Sentenced to 5 Years in Federal PrisonRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that JESUS OMAR VAZQUEZ-MARTINEZ, 35, was sentenced today by U.S. District Judge Michael P. Shea in Hartford to 60 months of imprisonment, followed by four years of supervised release, for trafficking heroin.
According to court documents and statements made in court, in May 2018, the DEA’s Hartford Task Force and Willimantic Police Department, while investigating a heroin/fentanyl overdose death that occurred in August 2017, received information that Xavier Diaz, also known as “Coco,” was operating a heroin distribution ring in Willimantic. The investigation revealed that drug purchasers called a phone shared by Diaz, Vazquez-Martinez and other members of the conspiracy to place an order for heroin. Thereafter, a “runner” would meet the purchaser to complete the transaction.
The investigation connected the August 2017 overdose death, and several non-fatal overdoses, to drugs distributed by the Diaz organization.
Diaz and other members of his organization were arrested on October 15, 2018. On that date, a search of Diaz’s residence revealed more than 100 grams of heroin, a stolen firearm, and ammunition. In addition, a search of a storage unit connected to the organization revealed more than $20,000 in cash.
Vazquez-Martinez has been detained since his arrest on state narcotics charges in April 2018. On October 28, 2019, he pleaded guilty in federal court to one count of conspiracy to distribute and to possess with intent to distribute 100 grams or more of heroin.
Diaz pleaded guilty to the same charge and, on November 25, 2019, was sentenced to five years of imprisonment.
The DEA’s Hartford Task Force includes personnel from the DEA Hartford Resident Office and the Bristol, Hartford, East Hartford, Manchester, New Britain, Rocky Hill, Wethersfield, Windsor Locks and Willimantic Police Departments.
This case is being prosecuted by Assistant U.S. Attorney Natasha M. Freismuth.
Wetzel County man sentenced for firearms violationsRead the Press Release
WHEELING, WEST VIRGINIA – Joseph Harrison, of Pine Grove, West Virginia, was sentenced today to 34 months incarceration for a firearms charges, U.S. Attorney Bill Powell announced.
Harrison, age 49, pled guilty to one count of “Unlawful Possession of a Firearm” and one count of “Possession of a Firearm with an Obliterated Serial Number” in November 2019. Harrison, who is not permitted to have a firearm because of a prior convictions, admitted to having a .45 caliber pistol with an obliterated serial number and ammunition in June 2019 in Wetzel County.
Assistant U.S. Attorney David J. Perri prosecuted the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Wetzel County Sheriff’s Office investigated.
U.S. District Judge John Preston Bailey presided.
Waterloo Man Convicted after Escape from Halfway HouseRead the Press Release
A Waterloo man who escaped from a Waterloo halfway house and spent over two weeks on the lam was convicted after a half-hour bench trial in federal court in Cedar Rapids. Lonnel Porter, age 35, from Waterloo, Iowa, was convicted of one count of escape from custody. The verdict was returned on January 16, 2020.
The evidence at trial and prior court proceedings showed that, in 2009, Porter was convicted in federal court of possessing a firearm as a felon after an incident wherein he displayed an assault-rifle during a neighborhood dispute. At that time, Porter had prior convictions for burglary, domestic assault causing injury, and false imprisonment. Porter was sentenced in 2009 to nearly nine years in prison and three years of supervised release. In 2012, while an inmate in federal prison, Porter was sentenced to an additional two years of prison after assaulting a correctional officer and causing injury to the officer. When Porter was released from prison in 2019, he was required to spend time at a local halfway house, the Waterloo Residential Reentry Center (WRRC), with work-release privileges. On September 16, 2019, about six weeks after he arrived at the WRRC, Porter signed out for his job, left the WRRC, and never returned. When Porter’s probation officer called Porter on the telephone and instructed him to return to the WRRC, Porter refused to do so and would not reveal his location. On October 2, 2019, the United States Marshal’s Service arrested Porter, and Porter was returned to prison for 14 months for violating the terms of his supervised release.
Sentencing before United States District Court Judge C.J. Williams will be set after a presentence report is prepared. Porter remains in custody of the United States Marshal pending sentencing. Porter faces a possible maximum sentence of five years’ imprisonment, a $250,000 fine, and three years of supervised release following any imprisonment.
The case is being prosecuted by Assistant United States Attorney Tim Vavricek and was investigated by the United States Marshal’s Service.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 19-CR-2069.
Follow us on Twitter @USAO_NDIA.
Virginia man admits to role in a drug distribution operationRead the Press Release
MARTINSBURG, WEST VIRGINIA – Bryan Keith Presgraves, II, of Luray, Virginia, has admitted to his involvement in a drug distribution conspiracy, U.S. Attorney Bill Powell announced.
Presgraves, age 22, pled guilty to one count of “Sale or Transfer to a Prohibited Person.” Presgraves admitted to knowingly selling a bolt-action rifle to a person prohibited from having a firearm in March 2018 in Mineral County.
Presgraves 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, 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.
United States seeks forfeiture of numerous real properties and over $200,000 connected with illegal gambling operationRead the Press Release
HONOLULU, Hawaii – On September 16, 2019, the U.S. Attorney’s Office for the District of Hawaii filed a civil complaint seeking the forfeiture of two single-family residences, located at 1577 Hoolehua Street in Pearl City and 94-103 Pupupuhi Street in Waipahu, which were alleged to be operating as illegal game rooms. The next day, the U.S. Attorney for the District of Hawaii Kenji M. Price announced that 12 defendants had been charged in connection with the illegal gambling business at the two game rooms.
Today, U.S. Attorney Price announced the filing of an amended civil complaint, which seeks forfeiture of two additional real properties, over $200,000.00 in U.S. currency, and various other items connected to the illegal gambling operation.
According to the amended complaint, the additional real properties, which are located at 555 South Street and 2609 B Liliha Street in Honolulu, are residences of certain individuals involved in the illegal gambling operation. Both residences were used in the illegal gambling operation. For example, the amended complaint alleges that the Liliha Street property contained 24 illegal gaming machines, gaming machine equipment, and various ledgers, work schedules and other documents related to the illegal gambling operation. The 555 South Street property is additionally alleged to be forfeitable as it was purchased with illegal gambling proceeds.
The U.S. currency at issue includes over $70,000.00 seized from bank accounts held by Seng Cheong Lio, Seng Long Lio, Shi Hua Huang, and Shi Min Huang, which the amended complaint alleges is subject to forfeiture as property used in the illegal gambling operation, money laundering, and structuring.
The amended complaint alleges that, since at least 2016, the aforementioned individuals and others have been implicated in the operation of at least nine illegal game rooms.
U.S. Attorney Price said, “In addition to being illegal, the game rooms can bring violent crime and drugs to residential neighborhoods. We will continue to work with our law enforcement partners to curtail the presence of illegal game rooms in our community, including potentially seeking forfeiture of ownership interests in properties where such activity takes place.”
The amended complaint merely contains allegations. The United States will not own the properties unless and until a sufficient basis for forfeiture is proven in Court.
These cases are being investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, Federal Bureau of Investigation, Department of Homeland Security (Homeland Security Investigations), Hawaii High Intensity Drug Trafficking Area program (HIDTA), U.S. Marshals Service Hawaii Fugitive Task Force, and the Honolulu Police Department. Assistant U.S. Attorneys Micah Smith, Rachel Moriyama, Sara Ayabe, Jeremy Butler, Mohammed Khatib, and Sydney Spector are handling the cases.
United States Reaches $27,500 Settlement with Fresno Pharmacy for Controlled Substance Act ViolationsRead the Press Release
FRESNO, Calif. — The Medicine Chest Pharmacy in Fresno has agreed to pay $27,500 to resolve allegations that it violated the Controlled Substances Act, U.S. Attorney McGregor W. Scott announced today. The settlement was reached in October, the sale of the pharmacy and its assets has recently been completed.
According to the settlement agreement, the Medicine Chest Pharmacy improperly dispensed Schedule III and IV drugs and committed multiple recordkeeping violations. The Medicine Chest’s owner has also agreed to divest herself from any ownership interest in the pharmacy and will refrain from owning or operating any pharmacy for a period of five years.
The settlement relates to a Drug Enforcement Administration (DEA) investigation of the Medicine Chest beginning in Sept. 2018. A DEA administrative audit and inspection of the Medicine Chest revealed that the Pharmacy had dispensed multiple prescriptions in violation of the Controlled Substance Act and California law, including some prescriptions using the improper DEA registration number and prescriber’s name. Investigators also found that the Medicine Chest failed to complete an initial inventory when issued a DEA registration number and kept inaccurate records. The pharmacy failed to document the date on which certain controlled substances were received on invoices for Schedule III – V drugs.
“Pharmacies are a critical link in the drug distribution chain,” said U.S. Attorney Scott. “They have an obligation to ensure that controlled substances are only dispensed in accordance with the law. They also must ensure that all drug transactions are properly documented and tracked to prevent drug diversion and abuse of powerful opioids and other potentially dangerous drugs. This settlement highlights our commitment to enforcing the Controlled Substances Act and protecting our citizens.”
“Accurate recordkeeping is an important part of the accountability chain in the distribution of controlled prescription drugs. When that chain is broken, it opens the door to the diversion of potentially addictive pharmaceuticals,” stated DEA Special Agent in Charge Daniel C. Comeaux. “DEA will continue to pursue those who do not carry out their due diligence, as required by law, to ensure compliance with the Controlled Substances Act.”
This settlement resulted from a coordinated effort by the Drug Enforcement Administration and the U.S. Attorney’s Office for the Eastern District of California. It was handled by Assistant U.S. Attorney Geoffrey D. Wilson.
The claims resolved by this settlement are allegations only. There has been no determination of liability.
Two More Defendants Plead Guilty in Multi-Million Dollar Home Health Care Fraud ConspiracyRead the Press Release
PITTSBURGH, Pa. – Two residents of Pittsburgh, Pennsylvania, pleaded guilty in federal court yesterday to one count each of conspiracy to defraud the Pennsylvania Medicaid program and health care fraud, United States Attorney Scott W. Brady announced today.
Terra Dean, 46, and Larita Walls, 57, pleaded guilty in separate hearings before United States District Judge Cathy Bissoon.
During their plea hearings, Dean and Walls admitted that between 2011 and 2017 they were employees of Moriarty Consultants, Inc. (MCI), one of four related entities operating in the home health care industry. The other three entities were Activity Daily Living Services, Inc. (ADL), Coordination Care, Inc. (CCI), and Everyday People Staffing, Inc. (EPS). MCI, ADL, and CCI were approved under the Pennsylvania Medicaid program to offer certain services to qualifying Medicaid recipients ("consumers"), including personal assistance services (PAS), service coordination, and non-medical transportation, among other services. Between in and around January 2011 and in and around April 2017, MCI, ADL, and CCI, collectively, received more than $87,000,000 in Medicaid payments based on claims submitted for these services, with PAS payments accounting for more than $80,000,000 of the total amount.
During that time, Dean and Walls admitted that they participated in a wide-ranging conspiracy to defraud the Pennsylvania Medicaid program for the purpose of obtaining millions of dollars in illegal Medicaid payments through the submission of fraudulent claims for services that were never provided to the consumers identified on the claims, or for which there was insufficient or fabricated documentation to support the claims. As part of the conspiracy, Dean and Walls admitted that they fabricated timesheets to reflect the provision of in-home PAS care that, in fact, they never provided to the consumers identified on the timesheets. The defendants further admitted that they caused the submission of Medicaid claims in the name of "ghost" employees—including close relatives—for PAS care that was never provided to the consumers specified on Medicaid claims. Likewise, Dean and Walls admitted that they paid kickbacks to consumers in exchange for the consumer’s cooperation in the fraudulent billing scheme. In total, Dean and Walls each admitted causing losses to the Pennsylvania Medicaid program in excess of $150,000.
Judge Bissoon scheduled Dean’s and Walls’s sentencing hearings for 10:00 a.m. and 2:15 p.m. on May 19, 2020, respectively.
The conspiracy and health care fraud charges each carry a maximum total sentence of not more than 10 years in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendants.
To date, a total of sixteen defendants have been charged in connection with this investigation. Dean and Walls are the tenth and eleventh defendants to enter guilty pleas. The remaining defendants are presumed innocent unless and until proven guilty.
Assistant United States Attorneys Eric G. Olshan and Special Assistant United States Attorney Edward Song are prosecuting this case on behalf of the government. The Federal Bureau of Investigation, Pennsylvania Office of the Attorney General – Medicaid Fraud Control Unit, Internal Revenue Service – Criminal Investigation, U.S. Department of Health and Human Services – Office of Inspector General, and United States Postal Inspection Service conducted the investigation of the defendants.
Three South Florida Residents Sentenced to Prison for Their Roles in $21 Million Sober Homes Fraud SchemeRead the Press Release
Sober Homes Co-Owner Sentenced to Ten Years in Prison
MIAMI, FL – Three former co-owners and clinical directors of a group of purported substance abuse treatment centers and sober homes were sentenced to prison today for their roles in a conspiracy to commit health care fraud and wire fraud that resulted in an actual loss of more than $3.8 million, and through which the conspirators sought to obtain more than $21 million.
U.S. Attorney Ariana Fajardo Orshan for the Southern District of Florida, Special Agent in Charge George L. Piro of the FBI’s Miami Field Office, and Special Agent in Charge Omar Pérez Aybar of the U.S. Department of Health and Human Services Office of the Inspector General (HHS-OIG) made the announcement.
Ali Ahmed, 38, Hector Efrain Alvarez, 49, and Mauren Morel, 45, all of Broward and Palm Beach Counties, previously pled guilty to one count of conspiracy to commit health care fraud and wire fraud (Case No. 19cr60200). U.S. District Judge Federico A. Moreno of the Southern District of Florida sentenced Ahmed to 120 months in prison, Alvarez to 32 months in prison and Morel to 32 months in prison. In addition, the defendants were ordered to forfeit certain property and pay forfeiture money judgments, as well as to pay restitution. Specifically, Ahmed owes $4,204,336 in restitution; Alvarez owes $3,884,035; and Maurel owes $320,301 in restitution.
In recent years, South Florida has become the locus for drug and alcohol addicts seeking assistance in an effort to become and remain sober. Substance abuse treatment centers that assist such persons undergoing detoxification from an intoxicating or addictive substance are regulated under state and federal law. These substance abuse treatment centers, or detox centers, offer a continuum of care including, from most intensive to least intensive, as follows: inpatient detox, Partial Hospitalization Programs (PHP’s), Intensive Outpatient Programs (IOP’s), and Outpatient Programs (OP’s). Persons undergoing treatment on an out-patient basis, whether in PHP, IOP, or OP, typically elect to live in a “recovery residence,” also known as a “sober home” or “halfway house,” with other persons who are also in treatment and committed to a drug and alcohol-free lifestyle.
Jacob’s Well, Inc. (Jacob’s Well) was a Florida corporation, located at 7950 SW 30th Street, Suite 202, Davie, Florida. Jacob’s Well was a substance abuse treatment center licensed with the Florida Department of Children and Families that purportedly provided private insurance beneficiaries with substance abuse treatments and services.
Medi MD, LLC. (Medi MD) was a Florida corporation, located at 7950 SW 30th Street, Suite 200, Davie, Florida. Medi MD was a substance abuse treatment center licensed with the Florida Department of Children and Families that purportedly provided private insurance beneficiaries with substance abuse treatments and services.
Arnica Health was a Florida corporation, located at 7950 SW 30th Street, Suite 202, Davie, Florida. Arnica Health was a purported medical treatment center co-located with the purported substance abuse treatment centers. Together with Medi MD and Jacob’s Well, Arnica Health operated as a part of Serenity Living and was affiliated with sober homes known as Serenity Ranch.
Ali Ahmed was Treasurer of Jacob’s Well, Director of Operations for Medi MD, and co-owner of Jacob’s Well, Medi MD, and Arnica Health.
Sebastian Ahmed was the CEO and co-owner of Jacob’s Well, Medi MD, and Arnica Health.
Hector Efrain Alvarez was Clinical Director of Medi MD.
Mauren Morel was Clinical Director and co-owner of Jacob’s Well.
Medi MD, Jacob’s Well, and Arnica Health together operated as Serenity Ranch/Serenity Living.
According to court documents, from June 2016 through April 2019, Ali Ahmed, Sebastian Ahmed, and Mauren Morel, submitted and caused others to submit, via interstate wire communications, approximately $1,693,276 in claims which falsely and fraudulently represented that various health care benefits, primarily substance abuse PHP, IOP, and OP services, were medically necessary, prescribed by a doctor, and provided by Jacob’s Well to insurance beneficiaries of Aetna, BCBS, Cigna and UHC. As a result of such false and fraudulent claims, Aetna, BCBS, Cigna, and UHC made payments to the corporate bank accounts of Jacob’s Well in the approximate amount of $320,301.
Furthermore, during the same approximate time period, Ali Ahmed, Sebastian Ahmed, and Hector Efrain Alvarez submitted and caused others to submit, via interstate wire communications, approximately $21,899,439 in claims which falsely and fraudulently represented that various health care benefits, primarily substance abuse PHP, IOP, and OP services, were medically necessary, prescribed by a doctor, and provided by Medi MD to insurance beneficiaries of Aetna, BCBS, Cigna, Humana and UHC. As a result of such false and fraudulent claims, Aetna, BCBS, Cigna, Humana and UHC made payments to the corporate bank accounts of Medi MD in the approximate amount of $3,884,035.
Ali Ahmed, Sebastian Ahmed, Hector Efrain Alvarez, and Mauren Morel used the proceeds of the health care fraud for their personal use and benefit, the use and benefit of others and to further the fraud scheme.
As set forth in Court documents, the scheme involved not only financial exploitation but also sexual exploitation of vulnerable, drug-addicted patients, whom were attracted and induced to attend Serenity Ranch facilities with free flights, free housing, vapes, clothing, spa days, benzodiazepine medications, and even drugs. Indeed, the evidence showed that patients were permitted to keep using drugs, and even provided drugs – including heroin and cocaine – by conspirators such as Ali Ahmed. Ali Ahmed also engaged in sexual relationships with patients and, as a result of the destabilizing environment at the facilities, many patients did not get the treatment that they so desperately needed.
Co-defendant Sebastian Ahmed, the former CEO of Jacob’s Well, Medi MD, and Arnica, who was charged in the same indictment, has pleaded not guilty and is set for trial on February 18, 2020, before Senior U.S. District Judge James I. Cohn. He is presumed innocent of the charges.
The FBI and HHS-OIG investigated the case, with assistance from the Davie Police Department, Broward County Sheriff's Office and U.S. Drug Enforcement Administration (DEA). Assistant U.S. Attorneys Christopher J. Clark and Lisa H. Miller are prosecuting the case, and Assistant U.S. Attorneys Nicole Grosnoff and Peter A. Laserna are handling the asset forfeiture issues related to this matter.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov.
Three Appear in Federal Court on Meth ChargesRead the Press Release
HUNTINGTON, W.Va. – Defendants in three separate cases appeared in federal court on meth charges, said United States Attorney Mike Stuart.
“We are prosecuting scores of meth traffickers throughout the District,” said United States Attorney Mike Stuart. “Over the past several years, we have made remarkable progress in the battle to end the chaos and destruction brought upon us by drug dealers and drug thugs. We are driven by a sense of urgency and, trust me, I not only have the backs of law enforcement but of the people of West Virginia in this righteous battle for our families and our communities.”
Walter Ray Cavender, age 50, of Leon, Mason County, was sentenced to 108 months in prison for possession with intent to distribute methamphetamine. Cavender previously admitted that on May 16, 2018, officers served a search warrant at his home on Evans Road in Leon. At the time they served the search warrant, Cavender had approximately 300 grams of methamphetamine in his home which he intended to sell. He also had digital scales and approximately $1300 in cash. The Mason County Sheriff’s Department conducted the investigation. Assistant United States Attorney Greg McVey handled the prosecution.
Johnny Belcher, Jr., 35, of Huntington, was sentenced to 42 months in prison for possession with intent to distribute methamphetamine. Belcher previously admitted that on July 17, 2019, an officer found approximately 24 grams of methamphetamine in his pockets. Belcher told the officers the substance was “ice.” The Huntington Police Department conducted the investigation. Assistant United States Attorney Stephanie Taylor handled the prosecution.
Charles Vincent Hively, Jr., 46, of Charleston pled guilty for his role in a conspiracy that involved large quantities of methamphetamine that were transported from Akron and sold in West Virginia. Hively pled guilty to possession with intent to distribute methamphetamine. Hively admitted that, on June 7, 2019, officers came to his residence at 1195 Livingston Avenue in Charleston to execute a warrant that had been issued for his arrest. When officers knocked on the door, they saw Hively look out the window and run to the rear of the residence. Hively then threw a cigarette box from a rear window. When officers recovered the box, they discovered that it contained approximately 24 grams of methamphetamine. Officers also recovered additional methamphetamine from inside the residence and Hively admitted that he intended to distribute the drugs. As part of his plea, Hively admitted that he was responsible for distributing up to 200 grams of methamphetamine in the Southern District of West Virginia. Hively faces up to 20 years in prison when sentenced on April 27, 2020. This joint investigation was spearheaded by the Federal Bureau of Investigation (FBI). Other agencies which participated and assisted in the investigation include the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the Ona Violent Crime and Drug Task Force West, the Metropolitan Drug Enforcement Network Team (MDENT), the West Virginia State Police, the Drug Enforcement Administration (DEA) Task Force, the Beckley/Raleigh County Drug and Violent Crime Unit, the United States Marshals Service, the Cabell County Sheriff’s Department, the Charleston Police Department, the Putnam County Sheriff’s Department, the Ohio State Highway Patrol, the Akron, Ohio Police Department, and the Brecksville, Ohio Police Department. Assistant United States Attorney Joseph F. Adams is handling the prosecution.
United States District Judge Robert C. Chambers presided over the hearings.
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Steubenville man sentenced for drug conspiracyRead the Press Release
WHEELING, WEST VIRGINIA – Robert Leon Sullivan, of Steubenville, Ohio, was sentenced today to 46 months incarceration for a cocaine, crack cocaine, heroin, and fentanyl distribution operation, U.S. Attorney Bill Powell announced.
Sullivan, age 56, pled guilty to one count of “Conspiracy to Distribute Cocaine Hydrochloride, Cocaine Base, Heroin, and Fentanyl” in August 2019. Sullivan admitted to working with others to distribute cocaine, crack cocaine, heroin and fentanyl in Hancock County and elsewhere from February 2018 to August 2019.Assistant U.S. Attorneys Danae DeMasi-Lemon and Robert H. McWilliams, Jr. prosecuted the case on behalf of the government. The Drug Enforcement Administration; the Hancock-Brooke-Weirton Drug & Violent Crimes Task Force, a HIDTA-funded initiative; the West Virginia State Police; the Marshall County Drug & Violent Crimes task Force, a HIDTA-funded initiative; The Ohio Valley Drug & Violent Crimes task Force, a HIDTA-funded initiative; the Jefferson County, Ohio, Drug & Violent Crimes Task Force; the Hancock County Sheriff’s Office; the Brooke County Sheriff’s Office; the Weirton Police Department; and the West Virginia Division of Natural Resources Police 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. District Judge John Preston Bailey presided.
Stanislaus County Man Sentenced to over 16 Years in Prison for Receiving Child PornographyRead the Press Release
FRESNO, Calif. — David Jahve Nin, 40, of Salida, was sentenced today by U.S. District Judge Lawrence J. O’Neill to 16 years and eight months in prison for receiving child pornography, U.S. Attorney McGregor W. Scott announced.
According to court documents, from approximately October 2014 through approximately July 2017, in Stanislaus County, Nin was found to have received through the internet over 200 videos of minors engaged in sexually explicit conduct. The videos also involved the portrayal of sadistic, masochistic, and other depictions of violence, and included depictions of minors as young as toddlers being sexually abused.
This case was the product of an investigation by both the Stockton, California and Phoenix, Arizona Offices of Homeland Security Investigations (HSI). Assistant U.S. Attorney Brian W. Enos prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. Click on the “resources” tab for information about internet safety education.
St. Louis County Doctor Pleads Guilty to Fraudulently Obtaining Opioid Narcotic Prescription DrugsRead the Press Release
St. Louis, MO –Angela K. Williams, M.D., 34, of Brentwood, Missouri, pleaded guilty today to one felony charge of fraudulently obtaining oxycodone, a narcotic opioid prescription drug.
According to the plea agreement, Dr. Williams wanted to obtain prescription drugs that contained controlled substances for her own personal use, outside the bounds of professional medical practice and not for legitimate medical purposes. Accordingly, Dr. Williams used her own prescription pad to write and sign numerous prescriptions for controlled substances using other persons’ names, including prescriptions for the narcotic opioid pain relief drugs hydrocodone and oxycodone. Dr. Williams then went to the pharmacies and presented the prescriptions for the drugs, posing as a patient. Dr. Williams also fraudulently used another doctor’s prescription pad, name, and Drug Enforcement Administration number to write herself some additional controlled substance prescriptions.
“The DEA Diversion Control Program’s purpose is to maintain the integrity of the supply chain of prescription drugs to the American public,” said DEA St. Louis Division Special Agent in Charge William Callahan. “The diversion of prescription drugs outside the bounds of professional medical practice puts the supply chain at risk. This case showcases the far-reaching impact of opioid abuse and its destructive power.”
Dr. Williams pled guilty before Chief United States District Court Judge Rodney W. Sippel. Sentencing has been set for April 23, 2020. Dr. Williams’s crime carries a maximum penalty of four years in prison and a $250,000 fine. In determining the actual sentences, a judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
This case is being investigated by the Drug Enforcement Administration, the Florissant Police Department, the Town and Country Police Department, and the St. John Police Department, with assistance from the Bureau of Narcotic and Dangerous Drugs of the Missouri Department of Health & Senior Services, the Medicaid Fraud Control Unit of the Missouri Attorney General’s office, and the St. Louis County, Missouri Prosecuting Attorney’s Office.
St. Croix Man Indicted for Firearm and Related Offenses in Vicinity of a SchoolRead the Press Release
St. Croix, USVI – United States Attorney Gretchen C.F. Shappert for the District of the Virgin Islands announced the return of an indictment on January 21, 2020, charging a St. Croix man, Mario Felix, with felon in possession of a firearm, felon in possession of ammunition and possession of a firearm within a school zone. Felix will be arraigned on January 27, 2020.
According to the indictment, on November 3, 2019, Felix, a convicted felon, possessed a firearm and ammunition and did so while in the vicinity of the Alternative Education School.
The case is being investigated by the Virgin Islands Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It is being prosecuted by Assistant U.S. Attorney Rhonda Williams-Henry.
An indictment is merely a formal charging document, and it is not evidence of guilt. Every defendant is presumed innocent until and unless found guilty beyond a reasonable doubt in a court of law.
St. Croix, USVI – United States Attorney Gretchen C.F. Shappert for the District of the Virgin Islands announced the return of an indictment on January 21, 2020, charging a St. Croix man, Mario Felix, with felon in possession of a firearm, felon in possession of ammunition and possession of a firearm within a school zone. Felix will be arraigned on January 27, 2020.
According to the indictment, on November 3, 2019, Felix, a convicted felon, possessed a firearm and ammunition and did so while in the vicinity of the Alternative Education School.
The case is being investigated by the Virgin Islands Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It is being prosecuted by Assistant U.S. Attorney Rhonda Williams-Henry.
An indictment is merely a formal charging document, and it is not evidence of guilt. Every defendant is presumed innocent until and unless found guilty beyond a reasonable doubt in a court of law.
South Bay Man Sentenced to Seven Years in Federal Prison for Receiving, Possessing and Distributing Child PornographyRead the Press Release
LOS ANGELES – A Wilmington man was sentenced today to 84 months in federal prison for possessing child pornography and distributing the sexually explicit images of children to other Internet users.
Daniel Patrick Diaz, 35, was sentenced by United States District Judge S. James Otero. In July 2019, Diaz pleaded guilty to four counts of receipt and distribution of child pornography and one count of possession of child pornography.
Diaz admitted in his plea agreement that he used the Internet to download and transfer numerous images and videos of child pornography to various digital devices and email accounts. In April 2017, Diaz used the internet messenger application Kik to knowingly distribute files that depicted minors engaged in sexually explicit conduct. Diaz sent the illicit images to an undercover law enforcement officer.
A federal search warrant executed in May 2017 revealed that Diaz used an email address to receive and distribute child pornography, including sadistic and masochistic content.
In total, Diaz possessed at least 600 images of child pornography.
“The prolific nature of [Diaz’s] fascination with child pornography, including the types of content he possessed, shared, and distributed, is troubling,” the prosecution wrote in its sentencing memorandum, which notes that “his trading, sharing, possession, and distribution of these image and videos only served to continue the harm suffered by the victims.”
This case was investigated by Homeland Security Investigations and is part of Project Safe Childhood, the Justice Department’s ongoing initiative to combat child exploitation crimes.
This matter was prosecuted by Assistant United States Attorney Joseph D. Axelrad of the Violent and Organized Crime Section.
Sacramento Man Charged with Receipt of Child PornographyRead the Press Release
SACRAMENTO, Calif. — A federal grand jury returned an indictment on Jan, 16 against Bryan Paul Tamblyn, 36, of Sacramento, charging him with receipt of child pornography, U.S. Attorney McGregor W. Scott announced.
The indictment alleges that between July 4, 2018 and Aug. 20, 2019, Tamblyn knowingly received visual depictions of children engaging in sexually explicit conduct.
This case is the product of an investigation by the Sacramento Sheriff’s Department, and the Sacramento Internet Crimes Against Children Task Force, a federally and state-funded task force managed by the Sacramento Sheriff’s Department with agents from federal, state, and local agencies. Assistant U.S. Attorney Christina McCall is prosecuting the case.
If convicted, Tamblyn faces a maximum statutory penalty of 20 years in prison, a minimum sentence of five years in prison, up to a lifetime of supervised release following a custodial sentence, a $250,000 fine, and restitution to the victims of the offense. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Red Lake Man Sentenced to 52 Months in Prison for Assaulting Three Individuals with A FirearmRead the Press Release
United States Attorney Erica H. MacDonald today announced the sentencing of DILLON GEORGE TAYLOR, 21, to 52 months in prison for assaulting three individuals with a firearm and violating his supervised release conditions. TAYLOR, who pleaded guilty on October 22, 2019, was sentenced today before Chief Judge John R. Tunheim in U.S. District Court in Minneapolis, Minnesota.
According to the defendant’s guilty plea and documents filed in court, on November 22, 2018, during a confrontation with two individuals, TAYLOR pointed a firearm at one of the individuals and threatened his life. When the two individuals left the scene in a vehicle driven by a third individual, TAYLOR pursued them and shot at the vehicle multiple times. When the vehicle pulled into the parking lot of a casino located on the Red Lake Indian Reservation, TAYLOR continued his pursuit, firing a shot towards the entrance of the casino where the three individuals and casino personnel were standing.
This case is the result of an investigation conducted by the Red Lake Tribal Police Department and the FBI Headwaters Safe Trails Task Force.
Assistant United States Attorney Alexander D. Chiquoine prosecuted the case.
Defendant Information:
DILLON GEORGE TAYLOR, 21
Red Lake, Minn.
Convicted:
- Assault with a dangerous weapon, 1 count
Sentenced:
- 52 months in prison
- Three years of supervised release
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United States Attorney’s Office, District of Minnesota: (612) 664-5600
Rapid City Man Sentenced to 4 Years in Federal Prison for Attempted Possession of Child PornographyRead the Press Release
United States Attorney Ron Parsons announced that a Rapid City, South Dakota, man convicted of Attempted Possession of Child Pornography was sentenced on January 6, 2020, by Judge Jeffrey L. Viken, U.S. District Court.
Paul Heib, age 51, was sentenced to 4 years in federal prison and 5 years of supervised release and was ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Heib was one of seven men who were arrested and federally indicted as a result of an undercover sex trafficking operation conducted during the 2018 Sturgis Motorcycle Rally, targeting persons willing to pay to have sex with minors obtained through the Internet. The conviction stemmed from Heib communicating with someone he believed to be a 15-year-old boy, but who was in fact an undercover agent, for the purpose of arranging a meeting to engage in sexual acts with the minor.
The undercover operation and arrests were a joint effort between the South Dakota Division of Criminal Investigation, the Department of Homeland Security, the Federal Bureau of Investigation, the Rapid City Police Department, and the Pennington County Sheriff’s office. Assistant U.S. Attorney Sarah Collins prosecuted the case.Heib was immediately remanded to the custody of the United States Marshals Service.
Rapid City Man Indicted for Sexual Exploitation of a MinorRead the Press Release
United States Attorney Ron Parsons announced that Rapid City, South Dakota, man was charged in federal district court with Sexual Exploitation of a Minor and Possession of Child Pornography.
Vance Allan Warthen, age 29, was charged on January 15, 2020. Warthen appeared before U.S. Magistrate Judge Daneta Wollmann on January 17, 2020, and pleaded not guilty to the charges. The maximum penalty upon conviction is a mandatory minimum of 15 up to 30 years in federal prison and/or a $250,000 fine, a mandatory minimum of 5 years up to lifetime supervised release, and a $100 assessment to the Federal Crime Victims Fund. Restitution may also be ordered.
The charges relate to Warthen sexually exploiting an underage female in August 2019 at Rapid City by producing images of child pornography. He remained in possession of the images thereafter. The charges are merely an accusation and Warthen is presumed innocent until and unless proven guilty.
The investigation is being conducted by the South Dakota Division of Criminal Investigation, the Department of Homeland Security, the Federal Bureau of Investigation, the Rapid City Police Department, and the Pennington County Sheriff’s office Assistant U.S. Attorney Sarah B. Collins is prosecuting the case.
Warthen was detained pending trial. A trial date has not yet been set.
Randolph County woman admits to meth distributionRead the Press Release
CLARKSBURG, WEST VIRGINIA – Katherine Ann Waybright, of Montrose, West Virginia, has admitted to selling methamphetamine, U.S. Attorney Bill Powell announced.
Waybright, age 48, pled guilty to one count of “Conspiracy to Distribute Methamphetamine” and one count of “Distribution of Methamphetamine.” Waybright admitted to working with others to distribute five grams or more of methamphetamine from April 2018 to April 2019 in Randolph County and elsewhere.
Waybright faces at least five years and up to 40 years incarceration and a fine of up to $5,000,000 for the conspiracy count and up to 20 years incarceration and a fine of up to $1,000,000 for the distribution count. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Stephen D. Warner is prosecuting the case on behalf of the government. The Mountain Region Drug and Violent Crimes Task Force investigated.
U.S. Magistrate Judge Michael John Aloi presided.
Providence Man Admits to Trafficking Meth, Fentanyl, & HeroinRead the Press Release
PROVIDENCE – A Providence man arrested in November 2017 while on federal supervised release, having recently completed serving a term of imprisonment of 60 months for trafficking heroin in 2011, admitted on Friday to trafficking methamphetamine (meth), fentanyl, and heroin in 2017.
Luis Alberto Gonzalez-Ruiz, 35, was arrested by members of the Rhode Island DEA Drug Task Force and Rhode Island State Police on November 10, 2017, following an undercover investigation into his most recent drug trafficking activities.
On October 16, 2017, while under surveillance by members of the DEA Drug Task Force, Gonzalez-Ruiz delivered more than three kilograms of meth to another person. The meth was seized a short time later by DEA agents.
Additionally, on the day of his arrest, law enforcement seized from Gonzalez-Ruiz’s bedroom inside his Providence residence approximately 264 grams of fentanyl, approximately 281 grams of heroin mixed with fentanyl, cutting agents, digital scales, and other items commonly used by drug traffickers to package and distribute narcotics.
Law enforcement also seized a .380 semi-automatic pistol they located under his bedroom pillow.
Appearing Friday before U.S. District Court Chief Judge John J. McConnell, Jr., Gonzalez-Ruiz pleaded guilty to distribution of 500 grams or more of methamphetamine, possession of 100 grams or more of heroin with intent to distribute, and possession of 40 grams or more of fentanyl with intent to distribute.
Gonzalez-Ruiz’s guilty plea is announced by United States Attorney Aaron L. Weisman, Special Agent in Charge of the Drug Enforcement Administration’s New England Field Division Brian D. Boyle, and Superintendent of the Rhode Island State Police Colonel James M. Manni.
Gonzalez-Ruiz is scheduled to be sentenced on April 2, 2020.
Distribution of 500 grams or more of methamphetamine is punishable by statutory penalties of 10 years to life imprisonment to be followed by 5 years to lifetime supervised release. Possession of 100 grams or more of heroin with intent to distribute and possession of 40 grams or more of fentanyl with intent to distribute are each punishable by 5-40 years imprisonment to be followed by 4 years to lifetime supervised release.
The case is being prosecuted by Assistant United States Attorney Gerard B. Sullivan, with the assistance of Assistant United States Attorney Stacey P. Veroni.
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Propex Derivatives Pty Ltd Agrees to Pay $1 Million in Connection with Spoofing SchemeRead the Press Release
Propex Derivatives Pty Ltd (Propex), a Sydney, Australia-based proprietary trading firm, has entered into a resolution with the Department of Justice to resolve criminal charges related to a spoofing scheme involving thousands of instances of unlawful trading activity in U.S. commodities markets by a former Propex trader, announced Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division and Special Agent in Charge Emmerson Buie Jr. of the FBI’s Chicago Field Office.
Propex entered into a deferred prosecution agreement (DPA) in connection with a criminal information filed today in the Northern District of Illinois charging the company with one count of spoofing. Spoofing is the illegal practice of bidding or offering (i.e., placing an order to buy or sell) with the intent to cancel the bid or offer before execution. Under the terms of the DPA, Propex agreed to pay $1 million that is comprised of a criminal monetary penalty ($462,271), criminal disgorgement ($73,429), and victim compensation ($464,300) with the criminal monetary penalty credited for any payments made to the Commodity Futures Trading Commission (CFTC).
Propex also agreed to, among other things, conduct appropriate reviews of its internal controls, policies and procedures, and to modify its compliance program, where necessary and appropriate, to ensure it is designed to effectively detect and deter violations of the Commodity Exchange Act and commodities fraud statute.
Propex admitted as part of the DPA, that from approximately July 2012 until March 2016, a former Propex trader, Jiongsheng (Jim) Zhao, engaged in a trading strategy that involved placing thousands of large-volume orders to buy and sell E-mini S&P 500 futures contracts on the Chicago Mercantile Exchange (CME) that Zhao intended to cancel before execution (the Spoof Orders). On Dec. 26, 2018, Zhao pleaded guilty to one count of spoofing. As part of his plea, Zhao admitted that his trading strategy was intended to inject materially false and misleading liquidity and price information into the E-mini S&P 500 futures contracts market by placing the Spoof Orders in order to deceive other market participants about the existence of supply and demand. The Spoof Orders were designed to artificially move the price of E-mini S&P 500 futures contracts in a direction that was favorable to Zhao, and to the detriment of other market participants. Zhao’s sentencing is scheduled for Feb. 4, 2020, before U.S. District Judge John J. Tharp Jr. of the Northern District of Illinois.
A number of relevant considerations contributed to the department’s criminal resolution with Propex, including the company’s cooperation with the United States and Propex’s remedial efforts. In addition, the department considered the fact that in May 2014 Zhao’s trading was flagged for Propex senior management, yet he continued placing Spoof Orders through March 2016. Further, Zhao made false and misleading statements to the CME during its investigation into Zhao’s trading activity. In March 2018, Propex undertook a significant enhancement of its compliance program and internal controls after engaging an independent compliance consulting firm to conduct an assessment of the adequacy and effectiveness of Propex’s compliance program. As part of that enhancement, Propex increased the resources dedicated to compliance and contracted with a third-party vendor to provide automated trade surveillance, including surveillance for manipulative and deceptive trading such as spoofing. The department determined that the criminal monetary penalty of $462,271 imposed as part of the DPA is appropriate given the facts and circumstances of this case and given Propex’s inability to pay an amount within the range calculated under the sentencing guidelines because it would threaten the continued viability of Propex and impair its ability to make restitution to victims. As part of the agreement, the department has filed an unopposed motion, which is subject to approval by the Court, to defer for the term of the DPA any prosecution and trial of the criminal information filed against Propex.
The CFTC announced today a separate settlement with Propex in connection with a related, parallel proceeding. Under the terms of that resolution with the CFTC, Propex agreed to pay $1 million, which includes a civil monetary penalty of $462,271, as well as restitution and disgorgement that will be credited for any such payments made to the department. In addition, the CFTC order imposes upon Propex other remedial and cooperation obligations in connection with any CFTC investigation pertaining to the underlying conduct.
The FBI’s Chicago Field Office investigated this case. Trial Attorney Matthew F. Sullivan and Assistant Chief Justin Weitz of the Criminal Division’s Fraud Section prosecuted the case, which is part of the Fraud Section’s commodities enforcement program. The Australian Government's Attorney-General’s Department, the Australian Federal Police and the Criminal Division’s Office of International Affairs provided significant assistance in connection with the arrest and extradition of Zhao. The CFTC’s Division of Enforcement and the Australian Securities and Investments Commission also provided substantial assistance in this case.
Individuals who believe that they may be a victim in this case should visit the Fraud Section’s Victim Witness website at https://www.justice.gov/criminal-vns/case/propex-derivatives-dpa or call (888) 549-3945.
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.
Pittsburgh Man Sentenced for Role in Fentanyl Analogue Packaging Operation that Sent SWAT Officers to Hospital for EvaluationRead the Press Release
PITTSBURGH, Pa. – A former resident of Pittsburgh, Pennsylvania, has been sentenced in federal court to a term of imprisonment of time served or 29 months, to be followed by three years of supervised release on his conviction on charges of conspiracy to distribute and possession with intent to distribute an analogue of fentanyl, United States Attorney Scott W. Brady announced today.
Senior United States District Court Judge David S. Cercone imposed the sentence on Anthony Lozito, age 40.
According to information presented to the court, from May 2017 to August 2017, Lozito conspired with others to distribute and possess with intent to distribute cyclopropyl fentanyl, an analogue of fentanyl. Lynell Guyton purchased large quantities of fentanyl analogues from overseas purveyors, which he distributed in Western Pennsylvania. On August 9, 2017, law enforcement executed a search warrant at Lozito’s residence on Bond Street. Guyton was found on the first floor along with Lozito and two other individuals. Large amounts of narcotics and packaging paraphernalia were present in the house. A table with powder narcotics was overturned during the initial SWAT entry into the home, causing large amounts of opioids to become airborne. SWAT officers exposed to the airborne narcotics were sent to Mercy for evaluation–everyone was medically cleared and no one was harmed. Lozito admitted to allowing Guyton to use his home to package narcotics in exchange for the anticipated receipt of opioids.
Assistant United States Attorney Shanicka L. Kennedy prosecuted this case on behalf of the government.
The Department of Homeland Security Investigations, the United States Postal Inspection Service and the Pittsburgh Bureau of Police conducted the investigation that led to the prosecution of Lozito.
Pennsylvania Doctor Pleads Guilty to Unlawfully Distributing Oxycodone to His PatientsRead the Press Release
A Pennsylvania doctor pleaded guilty today to unlawfully distributing oxycodone to his patients.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney William M. McSwain of the Eastern District of Pennsylvania and Special Agent in Charge Michael T. Harpster of the FBI’s Philadelphia Field Office made the announcement.
Timothy F. Shawl, M.D., 60, of Garnet Valley, Pennsylvania, pleaded guilty to five counts of unlawful distribution of controlled substances before U.S. District Judge R. Barclay Surrick of the Eastern District of Pennsylvania. Sentencing has been scheduled for May 5, 2020, before Judge Surrick.
As part of his guilty plea, Shawl admitted that he wrote prescriptions for controlled substances that were outside the usual course of professional practice and not for a legitimate medical purpose. He further admitted that he wrote prescriptions, usually for oxycodone, for certain patients without seeing, treating or examining them; generally, patients just picked up an envelope with their prescription from the receptionist at Shawl’s office. He further admitted that for one patient, he had not conducted a physical examination in at least five years, despite regularly prescribing controlled substances. This patient died on Jan. 7, 2019, just three days after Shawl last prescribed oxycodone for her, and the cause of death was drug intoxication.
This case was investigated by the FBI with assistance from task force officers from the Philadelphia Police Department and Pennsylvania Office of the Attorney General. Trial Attorney Debra Jaroslawicz of the Criminal Division’s Fraud Section is prosecuting the case.
The Fraud Section leads the Medicare Fraud Strike Force. Since its inception in March 2007, the Medicare Fraud Strike Force, which maintains 15 strike forces operating in 24 districts, has charged more than 4,200 defendants who have collectively billed the Medicare program for nearly $19 billion. In addition, the HHS Centers for Medicare & Medicaid Services, working in conjunction with the HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.
Individuals who believe that they may be a victim in this case should visit the Fraud Section’s Victim Witness website for more information.
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.
Patient Services Inc. Agrees to Pay $3 Million for Allegedly Serving as a Conduit for Pharmaceutical Companies to Illegally Pay Patient CopaymentsRead the Press Release
Patient Services Inc. (PSI), a foundation based in Midlothian, Virginia, has agreed to pay $3 million to resolve allegations that it violated the False Claims Act by acting as a conduit to enable certain pharmaceutical companies to provide kickbacks to Medicare patients taking the companies’ drugs by paying the patients’ copayments, the Department of Justice announced today. The amount of the settlement announced today was determined based on analysis of PSI’s ability to pay after review of its financial condition.
When a Medicare beneficiary obtains a prescription drug covered by Medicare Part B or Part D, the beneficiary may be required to make a partial payment, which may take the form of a co-payment, co-insurance, or deductible (collectively, copays). Congress included co-pay requirements in these programs, in part, to encourage market forces to serve as a check on health care costs, including the prices that pharmaceutical manufacturers can demand for their drugs. The Anti-Kickback Statute prohibits pharmaceutical companies from offering or paying, directly or indirectly, any remuneration – which includes money or any other thing of value – to induce Medicare patients to purchase the companies’ drugs, and it prohibits third parties, such as copay foundations, from acting as a conduit for such payments.
“The Department is committed to ensuring that foundations are not used as mere conduits to funnel kickbacks from pharmaceutical companies to Medicare patients and to increase company profits while avoiding an important cost-control aspect of the Medicare program,” said Assistant Attorney General Jody Hunt of the Department of Justice’s Civil Division. “We will continue to combat unlawful kickback arrangements and their pernicious influence on our health care system.”
“Pharmaceutical companies cannot use foundations to funnel drug co-payments disguised as routine charitable donations, all to prop up excessive drug prices. PSI allegedly operated as a vehicle for specific pharmaceutical companies essentially to pay kickbacks at the ultimate expense of the American taxpayers who support the Medicare program,” said U.S. Attorney Andrew E. Lelling of the District of Massachusetts. “We will continue to pursue this kind of enforcement until the practice disappears.”
The government alleged that PSI coordinated with three pharmaceutical manufacturers – Insys, Aegerion, and Alexion – to enable them to pay kickbacks to Medicare patients taking their drugs. PSI allegedly worked with these companies to design and operate certain funds that funneled money from the companies to patients taking the specific drugs the companies sold. These schemes allegedly minimized the possibility that the companies’ contributions to the funds would go to patients taking competing drugs made by other companies and undermined the nature of these contributions as bona fide donations. The United States previously entered into settlement agreements with Insys, Aegerion, and Alexion covering their use of PSI as a conduit to pay their patients’ copays.
As to Insys, the government alleged that, in late 2013, PSI and Insys began discussing a potential copayment assistance fund for Subsys, a sublingual form of fentanyl, a powerful opioid painkiller, which was approved for the treatment of breakthrough cancer pain in opioid-tolerant patients. The government further alleged that PSI worked with Insys to create the “Breakthrough Cancer Pain” fund, to which Insys was the only donor. The government also alleged that PSI allowed Insys to see the status of each patient that it referred to PSI, including whether that patient had received copay assistance from PSI and the amount of the assistance. The government alleged that PSI knew that Insys was referring patients to the Breakthrough Cancer Pain fund who did not have cancer, but PSI stated that it would only prevent “off-label use…if the Donor wants us to.”
The government also alleged that, in 2013, at Aegerion’s request, PSI created a fund for homozygous familial hypercholesterolemia (HoFH), which can be treated by Juxtapid, a drug that was sold by Aegerion. The government alleged that PSI allowed Aegerion to participate in establishing the patient eligibility criteria that PSI used to cover copayment obligations of patients taking Juxtapid, and PSI’s HoFH fund allowed Aegerion to pay for Medicare patients’ copayments to eliminate any price sensitivity to physicians prescribing and patients taking Juxtapid.
The government further alleged that Alexion approached PSI in January 2010 to request that PSI create a fund to provide financial assistance to Soliris patients, including by paying patients’ Medicare copays and other medical expenses for Soliris patients. Soliris was indicated for the treatment of patients with paroxysmal nocturnal hemoglobinuria (PNH) to reduce hemolysis and for the treatment of patients with atypical hemolytic uremic syndrome (aHUS) to inhibit complement-mediated thrombotic microangiopathy. According to the government, except in rare instances, PSI provided financial assistance from the Complement Mediated Diseases (CMD) fund only if a patient was taking Soliris, and PSI reported information back to Alexion confirming the specific Soliris patients who were approved for copay or other financial assistance from PSI and through which PSI detailed payments to those patients.
“Few things undermine public confidence quite like finding out the pharmaceutical companies and non-profits they entrust with their health and financial peace of mind have been playing fast and loose with the law. Schemes like these, and the individuals and organizations who perpetrate them, are an affliction on our health care systems,” said Joseph R. Bonavolonta, Special Agent in Charge of the FBI Boston Division. “This settlement demonstrates the FBI’s resolve to ensure that patients receive care that is based solely on sound medical judgment, and not compromised by kickbacks.”
PSI has agreed to a three-year Integrity Agreement (IA) with HHS-OIG as part of the settlement. The IA requires, among other things, that PSI implement measures designed to ensure that it operates independently and that its arrangements and interactions with pharmaceutical manufacturer donors are compliant with the law. In addition, the IA requires compliance-related certifications from PSI’s Board of Directors and detailed reviews by an independent review organization.
“Foundations operating patient assistance programs should operate with integrity and act independently from their donors,” said Gregory E. Demske, Chief Counsel to the Inspector General at the U.S. Department of Health and Human Services. “Our Integrity Agreement is designed to promote such independence and monitor the foundation to reduce the risk of future kickbacks.”
The government’s resolution of this matter illustrates the government’s emphasis on combating healthcare fraud. One of the most powerful tools in this effort is the False Claims Act. Tips and complaints from all sources about potential fraud, waste, abuse, and mismanagement, can be reported to the Department of Health and Human Services at 800-HHS-TIPS (800-447-8477).
The investigation was conducted by the Department of Justice’s Civil Division and the U.S. Attorney’s Office for the District of Massachusetts, in conjunction with the Department of Health and Human Services, Office of Inspector General, and the Federal Bureau of Investigation.
The claims resolved by the settlement are allegations only; there has been no determination of liability.
Oregon Man Sentenced to Prison for Sex Trafficking MinorsRead the Press Release
PORTLAND, Ore.—An Oregon man was sentenced today to 149 months and 12 days in prison, to be followed by a lifetime of supervised release, for sex trafficking minors, Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division and U.S. Attorney Billy J. Williams of the District of Oregon announced.
Darryl Gartley, 23, pleaded guilty on Aug. 12, 2019, to two counts of sex trafficking minors before U.S. District Court Judge Michael H. Simon of the District of Oregon, who sentenced him earlier today and remanded him to the custody of the U.S. Marshals Service.
According to facts admitted by the defendant during his guilty plea, in the beginning of October 2016, he moved from California to Portland, Oregon. Shortly after moving to Oregon, the defendant met two 15 year old minor females. In or around December 2016 through January 2017, the defendant posted advertisements on Backpage and Craigslist, offering the minors to engage in sexual acts in exchange for money. The advertisements included pictures of the minors both clothed and nude.
This is the defendant’s second conviction for sex trafficking minors. On May 22, 2017, the defendant was sentenced to seven years imprisonment on a state conviction for sex trafficking minors in California.
The investigation of the case was conducted by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations with assistance from the U.S. Marshals Service and the San Diego County Sheriff’s Department. This case is being prosecuted by Trial Attorney Kaylynn Foulon of the Criminal Division’s Child Exploitation and Obscenity Section (CEOS) and Assistant U.S. Attorney Ravi Sinha of the U.S. Attorney’s Office in the District of Oregon.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
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.
Oregon Man Sentenced to Prison for Sex Trafficking MinorsRead the Press Release
An Oregon man was sentenced today to 149 months and 12 days in prison, to be followed by a lifetime of supervised release, for sex trafficking minors, Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division and U.S. Attorney Billy J. Williams of the District of Oregon announced.
Darryl Gartley, 23, pleaded guilty on Aug. 12, 2019, to two counts of sex trafficking minors before U.S. District Court Judge Michael H. Simon of the District of Oregon, who sentenced him earlier today and remanded him to the custody of the U.S. Marshals Service.
According to facts admitted by the defendant during his guilty plea, in the beginning of October 2016, he moved from California to Portland, Oregon. Shortly after moving to Oregon, the defendant met two 15 year old minor females. In or around December 2016 through January 2017, the defendant posted advertisements on Backpage and Craigslist, offering the minors for commercial sexual acts. The advertisements included pictures of the minors both clothed and nude.
This is the defendant’s second conviction for sex trafficking minors. On May 22, 2017, the defendant was sentenced to seven years imprisonment on a state conviction for sex trafficking minors in California.
The investigation of the case was conducted by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations with assistance from the U.S. Marshals Service and the San Diego County Sheriff’s Department. This case is being prosecuted by Trial Attorney Kaylynn Foulon of the Criminal Division’s Child Exploitation and Obscenity Section (CEOS) and Assistant U.S. Attorney Ravi Sinha of the U.S. Attorney’s Office in the District of Oregon.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc.
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.
Ohio man sentenced for firearms chargeRead the Press Release
WHEELING, WEST VIRGINIA – Kenneth Tribett, of Bellaire, Ohio, was sentenced today to 18 months incarceration for a firearms charge, U.S. Attorney Bill Powell announced.
Tribett, age 47, pled guilty to one count of “Unlawful Possession of a Firearm” in November 2019. Tribett, having been previously convicted of a felony, had a .9mm pistol in January 2019 in Ohio County.
This case was brought as part of Project Safe Neighborhoods (PSN). Project Safe Neighborhoods is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.Assistant U.S. Attorney Stephen L. Vogrin prosecuted the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Wheeling Police Department investigated.
U.S. District Judge John Preston Bailey presided.
New Jersey Woman Fraudulently Practicing Immigration Law in Northeast Philadelphia Pleads GuiltyRead the Press Release
PHILADELPHIA – First Assistant United States Attorney Jennifer Arbittier Williams announced that Ana Molina, 56, of New Jersey, entered a plea of guilty before United States District Court Judge Harvey Bartle III to seven counts of mail fraud and four counts of aggravated identity theft arising from a scheme to defraud people who sought her help pursuing legitimate immigration status in the United States.
The defendant owned and operated Ana Molina & Associates, a/k/a Molina Multilegal Services, on Castor Avenue in Philadelphia, PA, through which she falsely claimed to be an attorney (or at times a paralegal) who could obtain lawful immigration status for them from United States Citizenship and Immigration Services (“USCIS”).
Molina charged her clients approximately $1,500 to register for permanent legal residency or otherwise adjust immigration status, and she charged approximately $500 to provide a “sponsor” for those applicants who did not already have one. Sponsors are typically United States citizens who have sufficient financial resources to ensure that an applicant will not likely become dependent on financial assistance from the United States government. For the alleged “sponsors,” Molina used personal identification information, including bank statements and tax returns, which belonged to former clients without their knowledge or consent. Molina prepared and mailed the applications and other forms that contained the false information about the applicants and their alleged “sponsors” to USCIS.
“This defendant took advantage of people trying to do the right thing and seek lawful status in this country,” said First Assistant U.S. Attorney Williams. “Her clients were from foreign countries, were unfamiliar with our laws and regulations, and trusted Molina to help them, rendering them vulnerable targets for her scam. We stand ready with our federal partners to investigate and prosecute fraud offenses like this one that prey on law abiding victims.”
"Ms. Molina was entrusted with sensitive personal information to assist her clients, and instead, chose to betray that trust and enrich herself,” said William S. Walker, Acting Special Agent in Charge for Homeland Security Investigations, Philadelphia. “We will continue to work with the U.S. Attorney’s Office to ensure that scams like this are thoroughly investigated and prosecuted.”
The case was investigated by the U.S. Department of Homeland Security, Homeland Security Investigations, and is being prosecuted by Assistant United States Attorney Anita Eve.
New England U.S. Attorneys Urge Congress to Extend Ban on Fentanyl AnaloguesRead the Press Release
In 2017, almost 50,000 Americans died from opioid overdoses. It’s a sad reality that New England as a whole has been particularly hard hit by opioids. In fact, per capita, of the 12 states across the country with the most opioid overdose fatalities, all six of our states make the list. Much of that is due to illicitly produced fentanyl.
To maintain and build upon a recent decline in opioid overdose deaths nationwide, law enforcement must have all the necessary tools at their disposal. One such tool is the Drug Enforcement Administration’s (DEA) 2018 order making all fentanyl-related drugs illegal in the United States. Unfortunately, that order was temporary and will expire in just a few weeks. The Senate recently passed bipartisan legislation approving a 15-month extension of the temporary order. While this is a step in the right direction and the House should follow suit and pass the Senate’s bill, a longer term solution is needed. A permanent ban on all fentanyl analogues would send a strong message to the cartels and sophisticated drug operations that pedal illicit fentanyl that the United States is serious about addressing this crisis and their actions will not be tolerated.
Illicit fentanyl is manufactured in labs in China and Mexico. It is 50 times more powerful than heroin and 100 times more powerful than morphine. So powerful, in fact, that only a couple milligrams – the size of a few grains of salt – can kill the average person.
Fentanyl, however, is unique. Because it is made in labs using chemicals, its structure is easily manipulated. And the drug cartels that manufacture and traffic this poison into our neighborhoods understand American laws and know how to exploit them. They know that by changing a single molecule in the chemical structure of fentanyl, they have essentially created a new drug. One that, unlike fentanyl, is not illegal in the United States. These drugs, known as “fentanyl analogues,” do as fentanyl does: create more addicts and kill more Americans. Yet, the analogues – which can be up to 100 times more potent than fentanyl and 10,000 times more potent than morphine – will all become legal if Congress fails to act.
The DEA’s 2018 decision to temporarily schedule – that is, to make illegal – all fentanyl-related substances was a response to the extraordinary legal loophole exploited by drug traffickers. In April 2019, China also outlawed all fentanyl-related substances. This is extraordinary progress, with one caveat. Unlike China’s law, the United States’ has an expiration date.
On Feb. 6, 2020, the DEA’s temporary order expires, and all drugs seized by U.S. investigators over the past two years that have tested positive as fentanyl analogues will no longer be illegal. If Congress fails to pass the SOFA legislation it will have a dramatic impact not just on the prosecutors and law enforcement officers who spend their lives investigating and prosecuting drug dealers, but on communities already hard hit by the opioid epidemic, many of which are right here in New England.
Despite recent reductions in opioid deaths across New England for the first time in decades, prosecuting drug dealers – particularly those who peddle heroin and fentanyl – remains a top priority for each of our offices. But our federal resources are not infinite; we need all the help we can get. Passing this legislation would provide invaluable support to us as prosecutors and the entire law enforcement community as we continue to combat the opioid crisis in New England and all throughout America.
A number of organizations have voiced opposition to the proposed legislation, arguing that the bill does not “embrace public health approaches to the overdose crisis.” We agree that a comprehensive approach to the crisis is needed, and a permanent fentanyl analogue ban should be viewed as part of a holistic effort. But time is running out: there is no doubt that drug traffickers are eagerly awaiting the temporary order’s expiration to start flooding our communities with these dangerous drugs. The passage of this legislation is quite literally a matter of life and death.
There should be nothing partisan about declaring fentanyl analogues illegal, any more than there is partisanship about the dangers of ricin or cyanide. And there is certainly nothing partisan about saving lives and bringing justice to those who profit from addiction and even death. For the safety of our New England communities, we urge Congress to pass legislation making permanent the DEA’s temporary scheduling of all fentanyl-related drugs.
Christina E. Nolan is the United States Attorney for the District of Vermont
Aaron L. Weisman is the United States Attorney for the District of Rhode Island
Scott W. Murray is the United States Attorney for the District of New Hampshire
Andrew E. Lelling is the United States Attorney for the District of Massachusetts
Halsey B. Frank is the United States Attorney for the District of Maine
John H. Durham is the United States Attorney for the District of ConnecticutNDTX Round-Up January 21Read the Press Release
GUILTY PLEA – RAMON MENDOZA-VILLEGAS
On January 16, Ramon Mendoza-Villegas, 44, pled guilty to possession with the intent to distribute a controlled substance, aiding and abetting. When Dallas Police Officers conducted a traffic stop on a vehicle in which Mendoza was a passenger, they found methamphetamine and heroin. While executing a search warrant on Mendoza’s home, law enforcement found heroin, methamphetamine, cocaine and three firearms within the apartment. In a similar search of a storage unit used by Mendoza, officers found methamphetamine, heroin, a shotgun, and the upper receiver of an assault rifle. Mendoza faces up to 20 years in federal custody. This case was investigated by the Drug Enforcement Administration and the Dallas Police Department and prosecuted by AUSA Linda Requenez.
GUILTY PLEA – ISIDRO AMAYA
On January 15, Isidro Amaya, 22, was sentenced to 7 years and 6 months in federal custody for possession with the intent to distribute methamphetamine and possession of a firearm by a convicted felon. A law enforcement officer stopped the car that Amaya was driving. When the officers conducted a Terry search, they located a firearm and two plastic baggies containing methamphetamine. Amaya admitted that the methamphetamine was for distribution and not personal consumption. He faces up to 8 years and 9 months in federal custody. This case was investigated by the Bureau of Alcohol, Firearms, Tobacco, and Explosives, and the Irving Police Department and was prosecuted by AUSA Danielle Jones.
SENTENCING – MICHAEL WRIGHT AND RICKEY CHERRY
On January 15, Michael Wright, 29, and Rickey Cherry, 29, were sentenced to 36 years and 25 years, respectively, in federal custody. They were sentenced on multiple counts of interference with commerce by robbery and brandishing a firearm during and in relation to a crime of violence. Wright was involved in an armed robbery of an AT&T retail store in Ennis, where he stole $30,000 of inventory. He was arrested after a dangerous, high-speed pursuit, but posted bond the following day. Only twenty days later, Wright and Cherry robbed a RadioShack at gunpoint, and then another AT&T store in a similar fashion. This case was investigated by the Federal Bureau of Investigation, the Ennis Police Department, the Duncanville Police Department, the Grand Prairie Police Department, and the Dallas Police Department and prosecuted by AUSA Keith Robinson, AUSA Brian McKay, and AUSA Gary Tromblay. Click here to read more about this case.
Minnesota Couple Sentenced to Prison for Long-Running Fraud SchemeRead the Press Release
Detloff Marketing and Asset Management Inc. (Detloff Marketing), a real estate company based in Hopkins, Minnesota; its owner, Jeffrey J. Detloff; and its accountant, Lori K. Detloff, were sentenced today in the U.S. District Court in St. Paul, Minnesota, for their participation in a long-running fraudulent bidding and kickback scheme in connection with foreclosed properties, the Department of Justice announced.
Jeffrey Detloff was sentenced to 16 months’ imprisonment and two years of supervised release. Lori Detloff was sentenced to seven months’ imprisonment and one year of supervised release. Detloff Marketing was sentenced to a pay a $593,000 criminal fine. The defendants were also sentenced to pay full restitution to the victims of the scheme.
“Today’s sentences reflect the significant harm caused by the defendants’ years long scheme that lined their pockets by defrauding lenders and undermining competition,” said Assistant Attorney General Makan Delrahim of the Department of Justice’s Antitrust Division. “The Antitrust Division and its partners are committed to rooting out anticompetitive conduct, whatever its form, and holding companies and executives accountable.”
“The defendants created a scheme to squeeze as much money as they could from these properties with no regard for the victim,” said FBI Special Agent in Charge Jill Sanborn of the Minneapolis Division. “These scams victimize a large number of people and the FBI along with our law enforcement partners will continue to work these schemes and hold accountable those responsible for defrauding the system.”
According to court documents, from September 2007 and continuing until June 2015, Jeffrey Detloff, of Minnetonka, Minnesota, conspired to defraud mortgage lenders and guarantors who had hired Detloff, a realtor, to oversee maintenance and repairs on foreclosed homes in the Minneapolis-St. Paul area. Jeffrey Detloff steered maintenance and repair contracts to contractors who would pay a kickback to Detloff Marketing. Unbeknownst to his customers, Jeffrey Detloff and Detloff Marketing included the kickbacks within bids and invoices sent to the lender or guarantor for reimbursement on maintenance and repairs. Lori Detloff, also of Minnetonka, Minnesota, was an accountant responsible for ensuring the kickbacks were paid by contractors to Detloff Marketing. In all, Detloff Marketing received over $291,505 in kickbacks.
Detloff Marketing and Jeffery Detloff pleaded guilty to Count 1 of the Indictment, which charged a conspiracy to commit mail and wire fraud affecting a financial institution. Lori Detloff pleaded guilty to aiding and abetting the principal offense described in Count 4 of the indictment, mail fraud affecting a financial institution. As part of their plea agreements, the Antitrust Division agreed to move to dismiss the remaining counts against Detloff Marketing, Jeffery Detloff, and Lori Detloff upon sentencing.
The underlying investigation of housing repair contracts in the Minneapolis area is being conducted by the Antitrust Division’s Chicago Office and the FBI’s Minneapolis Division. Anyone with information on customer allocation, bid rigging, price fixing, or other anticompetitive conduct related to the real estate industry in Minnesota should contact the Antitrust Division’s Chicago Office at 312-984-7200 or visit www.justice.gov/atr/contact/newcase.html.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Member of Navajo Nation pleads guilty to federal charges of assaulting two victims in Indian Country causing serious bodily injuryRead the Press Release
ALBUQUERQUE, N.M. – Matthew Ramone, 32, of Thoreau, New Mexico pleaded guilty in federal court in Albuquerque today to two charges of assault resulting in serious bodily injury.
In Ramone’s plea agreement, he admitted to committing the offenses on the Navajo Nation in McKinley County on Oct. 16, 2019. The assault began when Ramone struck one victim in the head with a three-foot metal bar. When the second victim tried to stop the attack, Ramone hit the second victim with the metal bar two or three times. Both victims suffered serious bodily injury. Ramone is an enrolled member of the Navajo Nation.
Ramone is currently in custody pending sentencing. Under the plea agreement, he faces up to 20 years in prison.
The Gallup office of the FBI investigated this case with the the Crownpoint office of the Navajo Nation Division of Public Safety. Assistant U.S. Attorney Allison Jaros is prosecuting the case.