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Friday 25 October 2019
Monongalia County woman sentenced for role in a drug distribution operation in Monongalia CountyRead the Press Release
CLARKSBURG, WEST VIRGINIA – Haley Hunt, of Morgantown, West Virginia, was sentenced today to 24 months incarceration for her involvement in a heroin, oxycodone, and cocaine distribution operation, U.S. Attorney Bill Powell announced.
Hunt, age 27, pled guilty to one count of “Unlawful Use of Communication Facility” in February 2019. Hunt admitted to using a phone to help distribute a controlled substance in April 2018 in Monongalia County.Assistant U.S. Attorney Zelda E. Wesley prosecuted the case on behalf of the government. The Drug Enforcement Administration, the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Mon Metro Drug & Violent Crimes Task Force, a HIDTA-funded initiative, investigated. The United States Marshal Service assisted.
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. District Judge Thomas S. Kleeh presided.
Miami Man Sentenced to More Than Four Years for Participating in $1.5 Million Apple Pay Fraud ConspiracyRead the Press Release
Jacksonville, Florida – U.S. District Judge Brian J. Davis has sentenced Daniel Butler (30, Miami) to 54 months in federal prison for conspiracy to commit wire fraud and aggravated identity theft.
Butler had pleaded guilty on May 16, 2019.
According to court documents, Butler and others fraudulently obtained access to at least 477 credit card accounts and linked those accounts to the Apple Pay app on their iPhones. Then, using their iPhones, Butler and his coconspirators made purchases using their victims’ credit card accounts without having to present actual credit cards to retailers. The group made more than $1.5 million in fraudulent purchases.
Butler’s sentencing follows the pleas of his three co-conspirators. In December 2018, Johnny Max Wesley (24, Miami) was sentenced to four years in federal prison. Rachel Bishop (27, Miami) and Laurent Pierre Louis (31, Miami) are scheduled to be sentenced in December 2019.
This case was investigated by the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorney Michael J. Coolican.
Miami Man Sentenced to Federal Prison for Wire Fraud and Conspiracy to Commit Wire FraudRead the Press Release
BATON ROUGE, LA - U.S. Attorney Brandon J. Fremin announced today that U.S. District Judge Brian A. Jackson sentenced Keaton L. Copeland, age 34, of Miami, Florida, to 120 months in federal prison following his conviction for wire fraud and conspiracy to commit wire fraud. The Court further sentenced Copeland to three years of supervised release following his term of imprisonment and ordered him to pay $98,987.67 in restitution.
After a 6-day trial before U.S. District Judge Brian A. Jackson, the jury unanimously convicted Mr. Copeland on all six counts. As the evidence at trial demonstrated, Copeland owned and controlled a health insurance brokerage company called Express ACA in Miami, Florida. Express ACA’s purported purpose was to assist individuals with enrolling in health insurance policies that met the requirements of the Patient Protection and Affordable Care Act (“Affordable Care Act”). From approximately January 2014 until May 2015, Express ACA employees submitted thousands of health insurance applications on behalf of individuals, many of whom did not need health insurance and had no knowledge that these applications had been submitted. Copeland instructed his employees to enter false information on these applications including false income amounts, fake addresses, and incorrect phone numbers. The vast majority of these health insurance policies were fully subsidized by the federal government.
In exchange for causing these fraudulent policies, Copeland expected to receive commission fees from insurance companies. Many of the insurance companies, including Blue Cross Blue Shield of Louisiana, immediately discovered the fraud and prevented further attempts at Copeland’s continued efforts to defraud other insurance companies.
U.S. Attorney Fremin said, “This conviction and sentence once again demonstrates that those who take advantage of our healthcare systems to unjustly enrich themselves will be brought to justice. Creating false financial records for thousands of unknowing victims is in direct violation of our federal criminal law and such behavior should be punished accordingly. I want to congratulate our prosecutors, the FBI, the Department of Health and Human Services Office of Inspector General, and Blue Cross Blue Shield of Louisiana, Anthem, and Humana for their hard work investigating this complex criminal scheme.”
“The sentence imposed today is an affirmation of our commitment to protect the integrity of our nation’s health insurance programs from those who seek to illegally profit through their fraudulent actions,” said Acting Special Agent in Charge Miranda Bennett of the United States Department of Health and Human Services, Office of Inspector General’s (OIG) Dallas Regional Office. “This office will continue to work closely with our Federal and State law enforcement partners, as well as our private stakeholders, to bring to justice those who deliberately manipulate health insurance systems or the personally identifiable information of individuals, to fraudulently obtain money from government and privately funded health care programs to which they are not entitled.”
Bryan A. Vorndran, FBI New Orleans Field Office Special Agent in Charge stated, “I commend the efforts of the men and women of the FBI and want to thank our partners at the U.S. Department of Health and Human Services-Office of the Inspector General, the United States Attorney's Office, as well as fraud investigators at Blue Cross Blue Shield of Louisiana for their outstanding work throughout this investigation and subsequent trial. This case should serve as yet another reminder to all that the FBI and our partners remain committed to investigating fraud in all facets of our health care system."
This matter is being handled by the U.S. Attorney’s Office for the Middle District of Louisiana, the U.S. Department of Health and Human Services - Office of Inspector General, and the Federal Bureau of Investigation, with substantial assistance provided by Blue Cross and Blue Shield of Louisiana, Financial Investigations Office. The case is being prosecuted by Assistant United States Attorneys Brad Casey and Patricia Jones.
Mesa Man Sentenced to Prison for Attempting to Smuggle Firearms and Ammunition to MexicoRead the Press Release
PHOENIX, Ariz. – On October 22, 2019, Miguel Sanchez Alvarez, 43, of Mesa, Arizona, was sentenced by Senior U.S. District Judge David C. Bury to 36 months in prison followed by 36 months of supervised release. Alvarez was convicted on May 24, 2019 after a jury trial on one count of unlawful smuggling of goods from the United States.
On October 1, 2017, Alvarez and an accomplice attempted to smuggle nine semi-automatic handguns, thirteen magazines and two hundred rounds of ammunition into Mexico via the DeConcini Port of Entry in Nogales, Arizona. The evidence showed that Alvarez owned all of the firearms and ammunition, concealed them at the bottom of a bucket filled with roofing tar, and provided the bucket to his accomplice, Victor Orlando Leal-Medina, to smuggle into Mexico. Leal-Medina pleaded guilty to the same offense and was sentenced by Judge Bury to 14 months in prison in December 2018.
The investigation in this case was conducted by ICE/HIS, Nogales, and ATF, Phoenix. The prosecution was handled by Michael R. Lizano, Brian C. Hopkins and Stefani K. Hepford, Assistant U.S. Attorneys, District of Arizona, Tucson.
Maximum Prison Sentence for South Carolina Felon Guilty of Human Sex Trafficking in GeorgiaRead the Press Release
VALDOSTA, Ga. — A South Carolina man with an extensive criminal history was sentenced to 120 months in prison for human sex trafficking, said Charles “Charlie” Peeler, the U.S. Attorney for the Middle District of Georgia. Kenneth Hutto, 46, of Summerville, South Carolina entered a guilty plea on January 10, 2019 to two counts of transportation for illegal sexual activity. On Wednesday, October 23, 2019, U.S. District Judge Hugh Lawson sentenced Mr. Hutto to 10 years in prison and twenty years supervised release, the statutory maximum sentence. There is no parole in the federal system.
Between approximately March 2017 and continuing until February 13, 2018, Mr. Hutto transported a person identified in the signed plea agreement as “E.B.” in interstate commerce between South Carolina and Georgia so E.B. could engage in prostitution for his profit. On June 13, 2017, a Valdosta deputy working undercover responded to an advertisement on a well-known human sex trafficking website, backpage.com, showing a female with bruising to her backside. The deputy was directed via a text message to a Valdosta motel, where Mr. Hutto met him, collected a cash payment, and directed him to a motel room where E.B. was waiting. The deputy observed visible bruising to E.B.’s eyes, neck and arms. Subsequent interviews with E.B. and Mr. Hutto revealed that the pair met while Mr. Hutto was in federal prison, and connected in March 2017 when Mr. Hutto was released from prison. E.B. told investigators she suffers from mental illness and was abused by her husband, who broke her back. On July 20, 2017, Mr. Hutto was released on a state bond and ordered not to have any contact with E.B. Mr. Hutto was rearrested on February 13, 2018 in South Carolina, and cell phone records and witness statements established that Mr. Hutto was again trafficking E.B. for his profit.
“This is just one tragic example of the types of abuse and manipulation that all too often accompany human sex trafficking. Orchestrating the sale of sex through coercion will not be tolerated in the Middle District of Georgia, as reflected by this lengthy prison sentence,” said Charlie Peeler, the U.S. Attorney. “I want to thank the Lowndes County Sheriff’s Office, the FBI, and the Beaufort County Sheriff’s Office for their excellent work on this case.”
The case was investigated by the Lowndes County Sheriff’s Office, the FBI, and the Beaufort County Sheriff’s Office. Assistant U.S. Attorney Julia Bowen prosecuted the case for the Government. Questions can be directed to Pamela Lightsey, Public Information Officer, United States Attorney’s Office, at (478) 621-2603 or Melissa Hodges, Public Affairs Director (Contractor), United States Attorney’s Office, at (478) 765-2362.
Martin County Man Pleads Guilty to Producing Videos of the Sexual Exploitation of a MinorRead the Press Release
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 Sheriff William D. Snyder of the Martin County Sheriff’s Office announced that on Oct. 21, 2019, Torrie Chermaine Austin, 35, of Stuart, Florida, pled guilty before U.S. District Judge Robin L. Rosenberg in West Palm Beach, Florida to one count of production of visual depictions of the sexual exploitation of a minor.
According the court documents, between April and Nov. 2018, Austin produced video recordings of his sexual exploitation and abuse of an 11 year old child.
At his sentencing, scheduled for Jan. 3, 2020 in Ft. Pierce, Florida, Austin faces a mandatory minimum sentence of 15 years in prison, a maximum statutory sentence of 30 years in prison, a lifetime of supervised release and a requirement that he register as a sex offender (Case No. 19cr14016).
This case was brought as part of Project Safe Childhood (PSC), 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 United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend and prosecute individuals, who sexually exploit children, and to identify and rescue victims. For more information about the Project Safe Childhood initiative and for information regarding Internet safety, please visit www.justice.gov/psc.
U.S. Attorney Fajardo Orshan commended the investigative efforts of the FBI and Martin County Sheriff’s Office in this matter. The case is being prosecuted by Assistant U.S. Attorney Carmen M. Lineberger.
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.
Man Sentenced to 10 Years for Distribution of and Possession of child PornographyRead the Press Release
TUCSON, Ariz. – On October 21, 2019, District Judge James A. Soto sentenced Carlos Cantizano, 46, of Rialto, California, to 120 months imprisonment followed by lifetime supervised release. Cantizano is also required to register as a sex offender. A federal jury previously found Cantizano guilty of Distribution of Child Pornography and Possession of Child Pornography.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
The investigation in this case was conducted by Agents from the Nogales and Douglas Offices of Homeland Security Investigations. The prosecution was handled by Carin C. Duryee and Carmen F. Corbin, District of Arizona, Tucson.
Man Sentenced Prison for Role in Heroin Trafficking ConspiracyRead the Press Release
A Richmond man was sentenced today to 10 years in prison for conspiring to distribute heroin in the Central Virginia region and making a false declaration to a federal Grand Jury.
According to court documents, from approximately 2015 through October 2017, Gregory Stacey, 38, participated in a multi-state heroin trafficking conspiracy. As part of the conspiracy, Stacey brokered multiple drug deals between a New York source of supply and two Central Virginia area drug dealers. In addition, Stacey arranged meetings between co-conspirators, assisted in the transportation of the New York source of supply to drug deals, assisted in the packaging of heroin, and distributed heroin on behalf of his co-conspirators. During the course of the conspiracy, Stacey distributed between one and three kilograms of heroin.
In October 2017, the United States subpoenaed Stacey to testify before the federal Grand Jury in the Eastern District of Virginia. While under oath at the federal Grand Jury, Stacey made a false material declaration about his co-conspirator’s possession of heroin.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Jesse R. Fong, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division, made the announcement after sentencing by Senior U.S. District Judge Henry E. Hudson. Assistant U.S. Attorneys Erik S. Siebert and Peter S. Duffey prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:19-cr-73.
Leader of large Seattle-based drug trafficking organization sentenced to 12.5 years in prisonRead the Press Release
Seattle – A Seattle man trafficking large amounts of cocaine in the Seattle area as a leader of a violent street gang was sentenced today in U.S. District Court in Seattle to 150 months in prison, announced U.S. Attorney Brian T. Moran. MICHAEL SCOTT MORGAN, 43, was arrested June 6, 2018, as part of a joint federal and state law enforcement effort targeting violent drug trafficking organizations. At the sentencing hearing, U.S. District Judge Richard A. Jones said trafficking drugs is not a victimless crime. “Every time you put drugs in the community, that could begin a lifetime of addiction, a lifetime prison sentence or overdose and death,” Judge Jones said.
“Not only did this defendant lead a drug dealing organization moving huge amounts of cocaine, he and his gang members are linked to violence throughout the region,” said U.S. Attorney Moran. “One look at his personal arsenal, which included assault weapons, high capacity magazines and even a weapon designed to pierce ballistic vests, and you know he needs to be off the streets for a significant period of time.”
According to records filed in the case, MORGAN is a leader of the East Union Street Hustlers street gang, a subset of the Black Gangster Disciples (BGDs). During various surveillance activities in 2017 and 2018, law enforcement identified MORGAN as the leader of a group trafficking large amounts of cocaine, heroin, methamphetamine and other drugs. The group was linked to violence, including shootings and an assault at a casino.
Much of the drug proceeds were laundered through area casinos, with MORGAN depositing more than $750,000 between January 2017 and January 2018.
On the date of the drug takedown, in June 2018, law enforcement seized six firearms at MORGAN’s residence: a loaded Glock pistol with loaded spare magazines: a Smith and Wesson “Bodyguard” .380 semiautomatic pistol; a .38 caliber revolver; a combat shotgun; a loaded AK-47-style assault pistol and a PS-90 PDW (personal defense weapon) which fires rounds designed to puncture body armor. Also at the residence, law enforcement seized 41 cell phones, $66,000 in cash, and jewelry valued at more than $265,000.
MORGAN has a lengthy criminal history, including firearms offenses as a juvenile and adult, drug offenses, forgery, eluding and assault.
On June 26, 2019, MORGAN pleaded guilty to conspiracy to distribute controlled substances, being a felon in possession of a firearm and money laundering.
In all, 42 defendants have pleaded guilty in connection with the drug trafficking conspiracy. The most significant sentences in the case to date range from five years in prison to 11.5 years in prison.
This was an Organized Crime and Drug Enforcement Task Force (OCDETF) investigation, providing supplemental federal funding to the federal and state agencies involved. This investigation was led by the Seattle Police Department Gang and Narcotics Units, FBI Seattle Safe Streets Task Force, and the Drug Enforcement Administration (DEA). Other agencies providing investigative assistance include ATF, USMS, and the U.S Bureau of Prisons.
The case is being prosecuted by Assistant United States Attorneys Vince Lombardi, Erin Becker and Nicholas Manheim.
A sentencing exhibit with photos from the June 6, 2018 operation is attached to this release.
morgan_exhibit.pdfLaw enforcement to announce extradition of Guatemalan charged in cocaine conspiracyRead the Press Release
COLUMBUS, Ohio – Today the government will unseal charges against an individual who allegedly conspired to ship thousands of kilograms of cocaine from Colombia, via sea and land, through Central America and Mexico to the United States.
The briefing will be held:
TODAY: FRIDAY, OCT. 25, 2019
WHEN: 1 P.M.
WHERE: U.S. Attorney’s Office
Main Conference Room
303 Marconi Blvd. Suite 200
Columbus, Ohio 43215
WHO: U.S. Attorney Benjamin C. Glassman
Mauricio Jimenez, Assistant Special Agent in Charge, DEA
Lt. Col. Kevin Teaford, Ohio State Highway Patrol
Room available beginning at 12:45 P.M. No TV lighting provided. ID and valid media credential will be required for entrance at Security.
# # #
LaPlace Man Pleads Guilty to Falsifying Documentation Related to SBA Disaster LoanRead the Press Release
NEW ORLEANS - U.S. Attorney Peter G. Strasser announced today that KEITH CRAIG (“CRAIG”), age 58, of LaPlace, pled guilty on October 22, 2019 to falsifying documents related to a federal Small Business Administration (SBA) loan, in violation of Title 18, United States Code, Section 1001 before United States District Court Judge Greg G. Guidry.
According to court documents, the defendant applied for an SBA loan after Hurricane Isaac impacted Louisiana in 2012. CRAIG owned a residence in LaPlace, Louisiana and applied for and received approximately $160,000 SBA loan proceeds to repair damages to his residence allegedly caused by Hurricane Isaac. In support of the SBA loan, CRAIG submitted fraudulent documentation and statements related to his annual income and the repairs performed on his LaPlace residence.
The Court set sentencing in this matter for January 28, 2020. CRAIG faces a maximum term of imprisonment of five (5) years, a maximum $250,000 fine, up to three (3) years supervised release following any term of imprisonment, and a $100 special assessment fee.
U.S. Attorney Strasser praised the work of the Office of Inspector General for the Small Business Administration on investigating this matter. Assistant United States Attorney Duane A. Evans is prosecuting the case.
KCK Man Sentenced to Four Consecutive Life Terms in Prison, Co-Conspirator Sentenced to 60 YearsRead the Press Release
KANSAS CITY, Mo. – Two Kansas City, Kansas, men were sentenced in federal court today for a violent, hours-long crime spree in which they kidnapped, robbed, and terrorized three women.
Anthony B. Williams, 37, and Jamerl M. Wortham, 34, were sentenced in separate appearances before U.S. District Judge Brian Wimes. Williams was sentenced to four consecutive terms of life in federal prison without parole. Wortham was sentenced to 60 years in federal prison without parole. Williams was sentenced as an armed career criminal and “three strikes” violent felon, due to his prior felony convictions.
On Feb. 14, 2019, Williams and Wortham were each found guilty at trial of all 17 counts contained in a federal indictment. Following the U.S. Supreme Court’s ruling in June 2019 that the statutory definition of a “crime of violence” is unconstitutionally vague, three of those counts (possession of a short-barreled shotgun in furtherance of kidnapping) have been dismissed.
Williams and Wortham were sentenced today on their convictions of one count of conspiracy to commit kidnapping, three counts of kidnapping, one count of carjacking, one count of conspiracy to commit armed robbery, one count of attempted armed robbery, one count of distribution of PCP, three counts of possession of a short-barreled shotgun in furtherance of a crime of violence or drug trafficking crime, one count of being felons in possession of a firearm, one count of possession of an unregistered short-barreled shotgun, and one count of possession of a firearm with an obliterated serial number.
During the early morning hours of April 9, 2016, Wortham and Williams, along with another man who is not identified in court records, stole a Jaguar in Kansas City, Kansas, then set off to Kansas City, Missouri, with a plan to rob people at ATM machines. While driving around the Westport entertainment district, at approximately 1:30 a.m., the men came across M.M., a woman who was waiting to be picked up by an Uber car. One of the men stepped out of the stolen Jaguar, put his arm around M.M., and corralled her into the vehicle.
They drove to a set of ATMs located in the River Market neighborhood of Kansas City, Missouri. They waited until a red Toyota Camry pulled up to use the ATM at approximately 2 a.m. They drove up behind the Camry, where two women, T.J. and Y.C., were attempting to deposit money into the ATM. One of the defendants and the other man approached the Camry, pointed a loaded sawed-off shotgun at the driver and passenger, demanded money, then forced them into the backseat of the Camry. The two men then got in the driver and passenger seats of the vehicle and sped away towards Kansas City, Kansas, with the stolen Jaguar (with M.M. a passenger) following close behind.
Once in Kansas City, Kansas, Williams and Wortham forced all of the victims into the Camry. They took the victims to another ATM in Kansas City, Kansas, and told them to withdraw as much money as they could from their bank accounts. After leaving the ATM, Williams and Wortham forced M.M. and Y.C. to smoke PCP while they drove for hours around the Kansas City metro area. During the entirety of this time, the victims were consistently threatened with death and bodily harm while the defendants pointed the sawed-off shotgun in the victims’ direction. Williams also indicated he was armed with a handgun. Williams and Wortham intended to find a discrete location in which they could sexually assault the victims.
At about 5 a.m., the men split the victims up into two separate cars – with Wortham in the stolen Jaguar with T.J., and Williams in the stolen Camry with M.M. and Y.C. While they caravanned through Kansas City, Kansas, police officers recognized the stolen Jaguar and engaged it in pursuit. The Jaguar fled at a high rate of speed, lost control, then crashed with T.J. in the passenger seat of the vehicle. After the crash, Wortham fled from the vehicle on foot but was apprehended shortly after and placed under arrest. T.J. was unhurt in the crash. Discovered inside of the vehicle was a loaded Coast to Coast 20-gauge shotgun that had approximately 12-inches of the barrel sawed off, along with the shotgun stock shortened.
In the stolen Camry, Williams and another man drove M.M. and Y.C. throughout the Kansas City metro area in search of drugs and a house to use. At approximately 8 a.m., the other man was dropped off at an unknown location. With only Williams in the vehicle, M.M. found an opportunity to jump out of the Camry at a stop sign, run into a convenience store, and call the police. Soon after, Y.C. also attempted to escape the vehicle, but had to fight Williams to get out of his grasp. Once out of his grasp, Y.C. ran down a residential street, with Williams chasing behind. She used the panic button on her key fob to set off her car alarm, which stopped Williams from pursuing. Y.C. ran for at least three blocks until she found someone to help her, then called the police.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Williams has five prior felony convictions for robbery and attempted robbery, and a prior felony conviction for assault in which he shot two people. Wortham has prior felony convictions for attempted aggravated assault and failure to pay an offender registration fee.
This case was prosecuted by Assistant U.S. Attorneys Jeffrey Q. McCarther and Alison D. Dunning. It was investigated by the Federal Bureau of Investigation, the Kansas City, Missouri, Police Department, the Kansas City, Kansas, Police Department, and the Bureau of Alcohol, Tobacco, Firearms and Explosives.KC Man Sentenced to 15 Years for Illegal Firearm Used in Fatal ShootingRead the Press Release
KANSAS CITY, Mo. – A Kansas City, Missouri, man was sentenced in federal court today for illegally possessing the firearm he allegedly used to shoot and kill another person.
Dionandre Ganter, 31, was sentenced by U.S. District Judge Stephen R. Bough to 15 years in federal prison without parole, which is the maximum penalty that can be imposed under the law.
On May 7, 2019, Ganter was convicted at trial of being a felon in possession of a firearm and of receiving a firearm while under indictment.
Evidence introduced during the trial indicated that Ganter was in possession of a loaded Smith and Wesson .40-caliber pistol on March 22, 2017. Ganter, a convicted felon, received that firearm while under indictment for tampering and resisting arrest in Jackson County, Missouri. According to court documents, Ganter used the firearm to shoot and kill another person. Ganter has been charged in Jackson County Circuit Court with murder, armed criminal action, and attempted robbery.
At 2:55 a.m. on March 22, 2017, Kansas City police officers responded to a reported shooting at the intersection of Van Brunt Boulevard and Anderson Avenue. An officer saw Ganter, who was not wearing a shirt and had his right wrist bandaged, leaving the area. The officer saw Ganter place a handgun in a flowerpot on the northwest corner of the intersection.
Ganter was detained for further investigation and the firearm was retrieved from the flowerpot.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Ganter’s criminal history includes multiple instances of assaultive conduct, including six convictions (two of them felonies) related to domestic assault and a prior felony conviction for obstruction of legal process.
This case was prosecuted by Assistant U.S. Attorney Jeffrey Q. McCarther and Special Assistant U.S. Attorney Sean T. Foley. It was investigated by the Kansas City, Mo., Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Project Safe Neighborhoods
The U.S. Attorney’s Office is partnering with federal, state, and local law enforcement to specifically identify criminals responsible for significant violent crime in the Western District of Missouri. A centerpiece of this effort is Project Safe Neighborhoods, a program that brings together all levels of law enforcement to reduce violent crime and make neighborhoods safer for everyone. Project Safe Neighborhoods is an evidence-based program that identifies the most pressing violent crime problems in the community and develops comprehensive solutions to address them. As part of this strategy, Project Safe Neighborhoods focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.Jury convicts South Carolina man of kidnapping woman after he sexually assaulted her in OhioRead the Press Release
A federal jury in Akron convicted a South Carolina man of kidnapping after he sexually assaulted a woman and held her against her will.
Anthony Ingram, 32, is scheduled to be sentenced February 27, 2019.
According to court documents and trial testimony:
Ingram drove a semi-trailer. In Michigan, Ingram lured the woman into his commercial semi-truck by offering her a ride to Indiana. Ingram instead began driving the woman in the opposite direction toward Maryland.
When the woman discovered that Ingram was not taking her to Indiana, Ingram promised the woman he would take her to Indiana after delivering a shipment of goods to Maryland. Ingram then pulled his semi-truck off to the side of the turnpike in Hudson, Ohio, and sexually assaulted her while threatening her with a weapon.
The woman convinced Ingram to stop at a truck stop in Lima, Ohio where she escaped from Ingram and called 911 from a restaurant. Beaver Township police officers responded to the scene and Ingram fled in his semi truck.
GPS records showed that Ingram stopped 15 miles down the road. FBI and Ohio State Highway investigators eventually found the woman’s clothing and cell phone discarded next to the turnpike at the location Ingram stopped.
“This case is an example of law enforcement working together to hold accountable a defendant who lured a woman with lies and then assaulted her and held her against her will,” U.S. Attorney Justin Herdman said. “This man is looking at decades in prison, which is exactly where he belongs.”
The FBI, Ohio State Highway Patrol, Pennsylvania State Highway Patrol and Beaver Township Police Department investigated the case, with assistance from the Summit County Prosecutor’s Office. It is being prosecuted by Assistant U.S. Attorney Peter Daly and Aaron Howell.
Jury convicts East Helena man of firearms crimeRead the Press Release
BILLINGS – A jury this week convicted an East Helena man of illegal possession of firearms after a two-day trial that began on Wednesday, U.S. Attorney Kurt Alme said.
The jury found Brandon Best Gordon, 32, guilty of felon in possession of a firearm. Gordon faces a maximum 10 years in prison, a $250,000 fine and three years of supervised release.
U.S. District Judge Scott W. Skavdahl, of Wyoming, presided. Sentencing has not yet been set. Gordon was detained.
“Felons who possess firearms are a threat to a community’s safety. Mr. Gordon’s conviction sends the message that offenders will be prosecuted to the full extent of the law. I want to thank Assistant U.S. Attorney Paulette Stewart, the prosecution team and the Bureau of Alcohol, Tobacco, Firearms and Explosives, Park County Sheriff’s Office and the Montana Highway Patrol for their work on the case,” U.S. Attorney Alme said.
The prosecution presented evidence at trial that Gordon, a convicted felon, possessed two stolen firearms in Park and Sweet Grass counties on July 17, 2018. The firearms were stolen two days earlier from a vehicle break-in in Great Falls. The firearms were identified as a 9mm semi-automatic pistol and a .40 caliber semi-automatic pistol.
The firearms were in a backpack Gordon was carrying when he left a suspected drug house in Livingston and got into a vehicle that was being followed by Park County Sheriff’s Office detectives. A Montana Highway Patrol trooper, who was familiar with the vehicle and its driver from previous drug activity information, stopped the vehicle for traffic violations. Gordon was a passenger. Law enforcement served a state search warrant on the vehicle and found the backpack with the firearms. Gordon was convicted in 2012 of felony crimes in Montana.
Assistant U.S. Attorney Paulette Stewart prosecuted the case which was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, Park County Sheriff’s Office and the Montana Highway Patrol. The case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
The case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
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Jury Finds Lincoln Man Guilty of Receiving Child Pornography and Possessing Child PornographyRead the Press Release
United States Attorney Joe Kelly announced that on October 24, 2019, following a four-day jury trial in federal court in Omaha, Jack Eugene Knight, age 53, was convicted of two counts of receipt of child pornography and two counts of possession of child pornography. Knight is being held in federal custody pending sentencing.
The evidence at trial established that a November 2017 CyberTip from the National Center for Missing and Exploiting Children led federal law enforcements agents from the Department of Homeland Security to investigate Knight for committing federal child exploitation offenses. As part of the investigation, on August 22, 2018, federal agents executed a search warrant of Knight’s van which is where Knight was living at the time. Agents seized two cellular telephones, one laptop, and multiple external storage devices. Knight admitted to agents to collecting child pornography and told agents that child pornography would be located on the devices inside of his van. Knight also told agents that he had a storage unit in Lincoln, Nebraska which contained more devices containing child pornography. Agents traveled to Lincoln and collected three laptops from the defendant’s storage unit in Lincoln.
On September 24, 2018, after conducting initial forensics of some of Knight’s devices, agents arrested Knight in Valley, Nebraska. At the time of the arrest, Knight had a new cellular phone that he obtained after the August 22, 2018 search warrant. Knight admitted that additional child pornography would be located on this new cellular phone. Agents seized the new cellular phone for forensic analysis.
Agents conducted forensics analysis of Knight’s devices. Among Knight’s laptops, cell phones, and external storage devices, agents located more than 8,000 images of child pornography and 3,000 videos of child pornography. The images included children under the age of 12 and prepubescent minors engaging in sex acts.
Knight has prior convictions for attempted sexual assault of a child (1996- Lancaster County, Nebraska), Third Degree Sexual Assault of a Child (2013- York County, Nebraska), and Possession with Intent to Distribute Visual Depiction of Sexually Explicit Acts (2013- York County, Nebraska). Knight is a registered sex offender in the state of Nebraska.
Knight’s two convictions for receipt of child pornography both carry a mandatory minimum of 15 years in prison and a maximum of 40 years. Knight’s two convictions for possession of child pornography both carry a mandatory minimum of 10 years in prison and a maximum of 20 years. Knight will be sentenced on January 17, 2020.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
The case was investigated by the Department of Homeland Security-Homeland Security Investigations.
Jamestown Man Arrested on Cocaine Charge at Post OfficeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y.- U.S. Attorney James P. Kennedy, Jr. announced today that Jeffrey John Guzman Suarez, 29, of Jamestown, NY, was arrested and charged by criminal complaint with possession with intent to distribute 500 grams or more of cocaine. The charge carries a minimum penalty of five years in prison, a maximum of 40 years, and a $5,000,000 fine.
Assistant U.S. Attorney Emmanuel Ulubiyo, who is handling the case, stated that according to the complaint, on October 2, 2019, during a review of outgoing mail at the Jamestown Post Office, Postal Inspectors were alerted to a suspicious Priority Mail parcel addressed to Guzman-Suarez from Puerto-Rico. Thereafter, Postal Inspectors executed a search warrant on the parcel and discovered a small portable charcoal grill. Inside was an off-white chunky substance in brick form wrapped in multiple layers of plastic wrap, food storage bags, and cleaning wipes. The substance was determined to be cocaine. On October 11, 2019, Guzman entered the Jamestown Post Office and requested to pick up the parcel. After accepting the parcel and exiting the post office, the defendant was stopped by law enforcement officers and taken into custody.
The defendant made an initial appearance before U.S. Magistrate Judge H. Kenneth Schroeder, Jr. and was released on conditions.
The criminal complaint is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Gary Loeffert; the U.S. Postal Inspection Service, under the direction of Inspector-in-Charge Joseph W. Cronin of the Boston Division; and the Jamestown Police Department, under the direction of Chief Harry Snellings.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Jamaican National Sentenced for Illegal Reentry after Fleeing Before SentencingRead the Press Release
BOSTON – A Jamaican national who was on the lam for 10 months was sentenced today in federal court in Boston for illegally reentering the United States after being deported.
Anthony Durrant, 52, a Jamaican national who previously resided in Dorchester, was sentenced by U.S. Senior District Court Judge Douglas P. Woodlock to 12 months in prison and three years of supervised release. Durrant will face deportation upon completion of his sentence.
On May 2018, Durrant pleaded guilty to one count of illegal reentry of a deported alien, and sentencing was scheduled for Sept. 13, 2018 in federal court in Boston. At that time, Durrant was detained in state custody on unrelated state charges. On July 3, 2018, Durrant was released from state custody after the state charges were dismissed, despite that fact that two federal detainers had been lodged. Durrant subsequently failed to appear for his sentencing hearing in federal court and was apprehended approximately 10 months later – on July 9, 2019, in California, under an alias.
Durrant was sentenced today for illegally reentering the United States. In January 1998, Durrant illegally entered the U.S. as a stowaway on a cargo ship from Jamaica. After a state conviction for drug offenses, Durrant was deported in July 2012. At some point thereafter, Durrant reentered the U.S., and was then charged in state court in November 2017 with an unrelated offense. At that time, law enforcement officers in Boston determined Durrant to be illegally present in the United States.
United States Attorney Andrew E. Lelling; Marcos D. Charles, Acting Field Office Director, Boston, U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations; and John Gibbons, U.S. Marshal for District of Massachusetts, made the announcement today. Assistant U.S. Attorney Suzanne Sullivan Jacobus of Lelling’s Major Crimes Unit prosecuted the case.
Informational: Federal Court arraignmentsRead the Press Release
The U.S. Attorney’s Office announced that the following persons were arraigned or appeared this week before U.S. Magistrate judges on indictments handed down by the Grand Jury or on criminal complaints. The charging documents are merely accusations and defendants are presumed innocent until proven guilty:
Appearing in Missoula before U.S. District Judge Dana L. Christensen and pleading not guilty on Oct. 23 was:
Paul Aaron Champion, 52, of Missoula, on charges of felon in possession of a firearm. If convicted of the most serious crime, Champion faces a maximum 10 years in prison, a $250,000 fine and three years of supervised release. Champion was detained pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives, Missoula Police Department and Montana Probation and Parole investigated the case. Pacer case reference. 19-41.
Appearing in Billings before U.S. Magistrate Judge Timothy J. Cavan and pleading not guilty on Oct. 24 was:
Mark Allen Heimer, 59, of Columbus, on charges of possession with intent to distribute methamphetamine and distribution of meth. If convicted of the most serious crime, Heimer faces a minimum mandatory 10 years to life in prison, a $10 million fine and five years of supervised release. Heimer was released pending further proceedings. The case was investigated by the Eastern Montana High Intensity Drug Trafficking Area Task Force. Pacer case reference. 19-133.
Appearing on Oct. 25 and pleading not guilty was:
Michael Troy Webb, Jr., 36, of Charlotte, MI, on charges of conspiracy to possess with intent to distribute meth and heroin, possession with intent to distribute meth and heroin and possession of a firearm in furtherance of a drug trafficking crime. If convicted of the most serious crime, Webb faces a minimum mandatory 10 years to life in prison, a $10 million fine and at least five years of supervised release. Webb was detained pending further proceedings. The case was investigated by the Drug Enforcement Administration. Pacer case reference. 19-121.
Lyn American Horse Jr., 25, of Lame Deer, on charges of assault resulting in serious bodily injury and assault with a dangerous weapon. If convicted of the most serious crime, American Horse faces a maximum 10 years in prison, a $250,000 fine and three years of supervised release. American Horse was detained pending further proceedings. The case was investigated by the FBI. Pacer case reference. 19-10.
If any of the above cases are of interest to your media organization and the community it serves, we encourage you to monitor the progress of the case regularly through the U.S. District Court calendar and the PACER system.
To establish a PACER account, which will allow you to review documents filed in the case, please go to, http://www.pacer.gov/register.html. To access the district court’s calendar, please go to https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.
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Harrisburg Man Charged with Drug Trafficking and Firearms OffensesRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Daryl Pierce, age 34, of Harrisburg, Pennsylvania, was indicted on October 23, 2019, by a federal grand jury on drug trafficking and firearms charges.
According to United States Attorney David J. Freed, the indictment alleges that Pierce distributed marijuana on multiple occasions in Harrisburg between August 15, 2018 and August 31, 2018. The indictment further alleges that he possessed a firearm during and in relation to his drug trafficking activities.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Harrisburg Police Bureau. Assistant U.S. Attorney Johnny Baer is prosecuting the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
The maximum penalty under federal law for this offense is a term of life imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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Guatemalan extradited to Columbus in connection to alleged Colombia-to-America cocaine conspiracyRead the Press Release
COLUMBUS, Ohio – A Guatemalan man was extradited to the United States in connection to a narcotics case in the Southern District of Ohio.
Francisco Golon-Valenzuela, 40, was extradited from Panama and arrived at John Glenn International Airport late yesterday. He is scheduled to appear before United States Magistrate Judge Chelsey M. Vascura at 1:30 pm today.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Keith Martin, Special Agent in Charge, Drug Enforcement Administration (DEA), and Ohio State Highway Patrol Superintendent Col. Richard S. Fambro announced the charges.
Golon-Valenzuela, also known as “El Toro,” was indicted in September 2018 and his charges were unsealed today. Specifically, Golon-Valenzuela is charged with conspiring to distribute at least five kilograms or more of cocaine on the high seas, a federal crime punishable by 10 years up to life in prison.
According to the indictment, Golon-Valenzuela conspired with others to ship thousands of kilograms of cocaine from Colombia, via sea and land, through Central America and Mexico to the United States.
The indictment details that as part of the conspiracy individuals would use “load” coordinators to assist with logistics of cocaine shipments, locate drivers and boat operators for narcotic-laden vehicles and vessels, and secure shared investments from multiple co-conspirators in specific cocaine shipments.
Fishermen and other commercial maritime laborers were allegedly recruited by conspirators to transport cocaine and refueling vessels.
Conspirators allegedly paid a “tax” or “fee” to send cocaine through areas controlled by a different drug trafficking organization or cartel.
Members of the conspiracy allegedly shared information on the activities and locations of law enforcement and military personnel assigned to interdict narcotics shipments. It is alleged co-conspirators also sheltered individuals who were at risk of extradition to other countries.
Low-level co-conspirators would allegedly take responsibility for an entire load of seized cocaine in order to free higher-level members.
Cocaine shipments seized in this case thus far include:
- 880 kilograms of cocaine seized by the United States Coast Guard near the Guatemalan/Mexico border on May 19, 2016;
- 720 kilograms of cocaine seized by the United States Coast Guard northwest of the Galapagos Islands on Aug. 18, 2017; and
- 34 kilograms of cocaine seized by the Guatemalan Policia National Civil in San Marcos, Guatemala on or about Nov. 26, 2017.
Four defendants were transported to Ohio for prosecution in September 2017, following the 720 kilogram seizure near the Galapagos Islands. That seizure alone included more than 1,584 pounds of cocaine, equaling an approximate street value of $25 million.
This investigation remains ongoing.
U.S. Attorney Glassman commended the investigation of this case by the DEA and Ohio State Highway Patrol, and Assistant United States Attorneys David M. DeVillers and Jonathan J.C. Grey, who are prosecuting the case. The Justice Department’s Office of International Affairs of the Department’s Criminal Division handled the extradition in this matter.
An indictment merely contains allegations, and the defendant is presumed innocent unless proven guilty in a court of law.
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Greenfield Man Sentenced to 25 Years for Meth Trafficking, Illegal FirearmRead the Press Release
SPRINGFIELD, Mo. – A Greenfield, Missouri, man who crashed his motorcycle into another vehicle during a police chase was sentenced in federal court today for possessing methamphetamine to distribute and illegally possessing a firearm.
Chad R. Weis, 32, was sentenced by U.S. District Judge Roseann Ketchmark to 25 years in federal prison without parole.
On April 10, 2019, Weis pleaded guilty to possessing methamphetamine with the intent to distribute and to possessing a firearm in furtherance of a drug-trafficking crime.
A Springfield, Missouri, police officer and an agent with the Bureau of Alcohol, Tobacco, Firearms and Explosives were conducting street enforcement in an unmarked vehicle on June 14, 2017, when they saw Weis driving a Kawasaki motorcycle. Weis had active warrants for his arrest and did not have a valid license to operate the motorcycle. When the law enforcement officers attempted to conduct a traffic stop, Weis accelerated. Weis ran a stop sign and collided with a Lexus sedan at the intersection of Division and Lyon Street. Weis then fled on foot. During the pursuit, he threw a green backpack and a small canvas bag over a fence.
When Weis was apprehended, he was in possession of a loaded Taurus .38-caliber revolver in the front-left pocket of his shorts. Inside the backpack, officers found a loaded Kel-Tec 9mm semi-automatic pistol. Inside the canvas bag, officers found a clear plastic bag with 13.49 grams of 97 percent pure methamphetamine and a digital scale.
This case was prosecuted by Assistant U.S. Attorney Nhan D. Nguyen. It was investigated by the Springfield, Mo., Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Project Safe Neighborhoods
The U.S. Attorney’s Office is partnering with federal, state, and local law enforcement to specifically identify criminals responsible for significant violent crime in the Western District of Missouri. A centerpiece of this effort is Project Safe Neighborhoods, a program that brings together all levels of law enforcement to reduce violent crime and make neighborhoods safer for everyone. Project Safe Neighborhoods is an evidence-based program that identifies the most pressing violent crime problems in the community and develops comprehensive solutions to address them. As part of this strategy, Project Safe Neighborhoods focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.Gilbert Man Sentenced to over 10 Years in Prison for Distribution of Fentanyl Resulting in DeathRead the Press Release
PHOENIX, Ariz. – On October 15, 2019, John Yoon Yi, 29, of Gilbert, Arizona, was sentenced by U.S. District Judge David G. Campbell to 135 months in prison followed by three years of supervised release. Yi previously pleaded guilty to distribution of fentanyl resulting in death.
On September 25, 2015, Yi sold three blue “M-30” pills that looked like oxycodone to a customer. Later that night, the customer died from a fentanyl overdose after consuming one of the pills.
The investigation in this case was conducted by the Drug Enforcement Administration, the Gilbert Police Department and the Mesa Police Department. The prosecution was handled by Krista Wood, Assistant U.S. Attorney, District of Arizona, Phoenix.
Fugitive Member of “Head Shot Mafia” Drug Crew ArrestedRead the Press Release
BOSTON – A fugitive member of a violent Brockton drug crew charged with fentanyl trafficking has been apprehended.
Jason Miranda, 24, of Taunton, was detained yesterday following an initial appearance in federal court in Boston. Miranda was charged on Oct. 16, 2019, along with co-defendants Placido Armando Pereira, 33; Natalio Miranda, 28; and Djoy Defrancesco, 23, all of Brockton, with conspiracy to distribute and to possess with intent to distribute fentanyl. Miranda had been a fugitive until his arrest on Oct. 23, 2019. During the execution of a search warrant, agents seized fentanyl, a firearm, and $28,000 in cash from the residence where Miranda was apprehended.
As alleged in charging documents, law enforcement began investigating a violent Brockton-area drug crew that distributed large quantities of fentanyl throughout southeastern Massachusetts. The drug crew, which refers to itself as “HSM,” for “Head Shot Mafia,” ran a fentanyl delivery service that encompassed all of Brockton as well as neighboring cities. Specifically, it is alleged that drug users/customers placed orders for fentanyl by contacting a cellphone maintained and shared by HSM crew members, and that HSM members worked together to deliver the fentanyl order. Beginning in September 2019, an undercover law enforcement officer made six purchases of fentanyl from members of the crew.
The charge of conspiracy to distribute and possess with intent to distribute fentanyl provides for a sentence of up to 20 years in prison, three years of supervised release, and a fine of up to $1 million. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Jason Molina, Acting Special Agent in Charge of Homeland Security Investigations in Boston; Colonel Kerry A. Gilpin, Superintendent of the Massachusetts State Police; Brockton Police Chief John Crowley; John Gibbons, U.S. Marshal for the District of Massachusetts; and Plymouth County District Attorney Timothy J. Cruz made the announcement today. Assistance was provided by the East Bridgewater, West Bridgewater, Whitman and Bridgewater State University Police Departments as well as the Plymouth County Sheriff’s Office. Assistant U.S. Attorney Christopher Pohl of Lelling’s Narcotics and Money Laundering Unit is prosecuting the case.
The details contained in the complaint are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Four Individuals Who Operated Queens Medical Clinic Convicted for Illegally Distributing OxycodoneRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced that JOHN F. GARGAN and LOREN PIQUANT were convicted Wednesday after a two-week jury trial for conspiring together and with others to unlawfully distribute oxycodone from a medical clinic in Queens, New York. DANTE A. CUBANGBANG and MICHAEL KELLERMAN previously pled guilty to narcotics, health care fraud, and money laundering charges in connection with their participation in the oxycodone distribution scheme at that same clinic. From 2012 to 2018, CUBANGBANG, a physician, and GARGAN, a nurse practitioner, prescribed over 6.3 million oxycodone 30-milligram pills to individuals they knew did not need the oxycodone for any legitimate medical reason. The vast majority of these pills were diverted and sold to others on the street.
U.S. Attorney Geoffrey S. Berman said: “These health professionals should have been the first line of defense against opioid abuse, but instead they were drug dealers operating out of a medical clinic. They hid behind their medical licenses and positions within the clinic to sell addictive, dangerous narcotics. This Office will do everything in its power to bring to justice anyone responsible for fueling the opioid epidemic that has taken so many lives.”
According to the evidence presented during the trial and other court documents:
Oxycodone is a highly addictive and dangerous opioid narcotic, which is often diverted and sold to individuals who do not have a legitimate medical need for the drug. The most lucrative pill for street sales is the 30-milligram (“mg”) oxycodone pill, which is fast-acting and powerful. CUBANGBANG and GARGAN were medical professionals who had the authority to prescribe controlled substances, including oxycodone.
CUBANGBANG, GARGAN, KELLERMAN, and PIQUANT worked out of a medical clinic in Queens, known as EPOH Medical P.C. (“EPOH”). Although the defendants tried to make EPOH appear as a legitimate medical clinic, in reality, it was a pill mill that was prescribing medically unnecessary oxycodone 30 mg pills on a massive scale.
EPOH had approximately 600 “patients.” These patients traveled from all five boroughs of New York City, from other counties in New York, and even from other states, to obtain medically unnecessary oxycodone. There were typically large crowds of patients in EPOH’s waiting area, and patients often had to wait hours to be seen for their “office visit.” The visit itself lasted no more than a few minutes and involved no physical examinations or questions about pain. Patients were required to pay $300 in cash for this visit and, in return, they received a prescription for as many as 180 oxycodone 30 mg pills each month. Most of these prescriptions was paid for by Medicare or Medicaid. From just the $300 patient visit fee, EPOH generated approximately $2 million in cash each year.
The vast majority of the patients seen at EPOH had no medical need for the oxycodone 30 mg pills they were prescribed, and those pills were either abused or sold. Testimony at trial established that these purported patients sold their pills for up to $19 per pill to individuals who would then resell them to street-level drug dealers. From 2012 to 2018, CUBANGBANG and GARGAN together prescribed over 6.3 million oxycodone 30 mg pills to individuals they knew did not need the pills for any legitimate medical reason. At approximately $19 per pill, the value of these illegally obtained pills prescribed by CUBANGBANG and GARGAN at EPOH was approximately $120 million. PIQUANT, who worked as a receptionist at EPOH, personally sold hundreds of oxycodone 30 mg pills each month. PIQUANT obtained most of these pills through prescriptions that GARGAN wrote to PIQUANT, to members of PIQUANT’s family, and to PIQUANT’s neighbors. PIQUANT also recruited purported patients for the clinic.
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CUBANGBANG, 51, of Queens, and KELLERMAN, 55, of Queens, each pled guilty to one count of narcotics distribution conspiracy, which carries a maximum sentence of 20 years in prison; one count of health care fraud conspiracy, which carries a maximum sentence of 10 years in prison; and one count of money laundering conspiracy, which carries a maximum sentence of 20 years in prison.
GARGAN, 63, of New York, New York, and PIQUANT, 38, of the Bronx, New York, each were convicted at trial of one count of narcotics distribution conspiracy, which carries a maximum sentence of 20 years in prison.
The statutory maximum sentences are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.
Mr. Berman praised the outstanding investigative work of the Drug Enforcement Administration’s (“DEA”) New York Tactical Diversion Squad, the U.S. Department of Health and Human Services-Office of the Inspector General, the Internal Revenue Service, and the New York City Police Department (“NYPD”). DEA’s Tactical Diversion Squad (Group TDS-NY) comprises agents and officers from the DEA, the NYPD, the New York State Police, New York State Department of Financial Services, and New York City Department of Investigation.
This case is being handled by the Office’s Narcotics Unit. Assistant United States Attorneys Michael Kim Krouse, Juliana N. Murray, Sheb Swett, and Louis A. Pellegrino III are in charge of the prosecution.
Foundations Resolve Allegations of Enabling Pharmaceutical Companies to Pay Kickbacks to Medicare PatientsRead the Press Release
BOSTON – The U.S. Attorney’s Office announced today that two foundations, Chronic Disease Fund, Inc. d/b/a Good Days from CDF (“CDF”), and Patient Access Network Foundation (“PANF”), have agreed to pay $2 million and $4 million, respectively, to resolve allegations that they violated the False Claims Act by enabling pharmaceutical companies to pay kickbacks to Medicare patients taking the companies’ drugs.
The government alleged that CDF and PANF worked with various pharmaceutical companies to design and operate certain funds that funneled money from the companies to patients taking the specific drugs the companies sold. These schemes enabled the pharmaceutical companies to ensure that Medicare patients did not consider the high costs that the companies charged for their drugs. The schemes also minimized the possibility that the companies’ money would go to patients taking competing drugs made by other companies.
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, “co-pays”). 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. The law further prohibits third parties, such as co-pay foundations, from conspiring with pharmaceutical companies to violate the Anti-Kickback Statute.
“According to the allegations in today’s settlements, CDF and PANF functioned not as independent charities, but as pass-throughs for specific pharmaceutical companies to pay kickbacks to Medicare patients taking their drugs,” said United States Attorney Andrew E. Lelling. “As a result, CDF and PANF enabled their ‘donors’ (the pharmaceutical companies) to undermine the Medicare program at the expense of American taxpayers.”
“OIG continues to be concerned by evidence indicating that foundations are not operating independently from their donors,” said Gregory E. Demske, Chief Counsel to the Inspector General. “Our Integrity Agreements promote such independence and require legal determinations about whether the foundations’ future operations of their assistance programs are compliant with the Anti-Kickback Statute.”
“Today’s settlements are a warning to all pharmaceutical companies, foundations, and others who try to subvert the charitable donation process for their own financial gain at the expense of American taxpayers. Both the Chronic Disease Fund and the Patient Access Network used their status as charities to shield the illegal activities of pharmaceutical companies seeking to maximize profits,” said Joseph R. Bonavolonta, Special Agent in Charge of the FBI Boston Division. “The FBI and our partners will continue to hold organizations accountable, and to protect and preserve the Medicare system, and the taxpayers who fund it, from kickback schemes like these.”
The United States alleged that, from 2010 through 2014, CDF conspired with five pharmaceutical companies – Novartis, Dendreon, Astellas, Onyx, and Questcor – to enable them to pay kickbacks to Medicare patients taking their drugs. It is further alleged that, from 2011 through 2014, PANF permitted four pharmaceutical companies – Bayer, Astellas, Dendreon, and Amgen – to use PANF as a conduit to pay kickbacks to Medicare patients taking their drugs. Details of the conduct can be found in attached addendum.
The amounts of the settlements announced today were determined based on analysis of each foundation’s ability to pay after review of its financial condition.
CDF and PANF each entered a three-year Integrity Agreement (IA) with OIG as part of their respective settlements. The IAs require, among other things, that the foundations implement measures designed to ensure that they operate independently and that their arrangements and interactions with pharmaceutical manufacturer donors are compliant with the law. In addition, the IAs require compliance-related certifications from the Boards of Directors and detailed reviews by independent review organizations.
U.S. Attorney Lelling, HHS-OIG Chief Counsel Demske and FBI SAC Bonavolonta made the announcement today. The U.S. Postal Inspection Service also assisted with the investigation. The matter was handled by Assistant U.S. Attorneys Gregg Shapiro and Abraham George, of Lelling’s Affirmative Civil Enforcement Unit.
ADDENDUM
CDF’s PNET Co-pay Fund for Novartis. In May 2011, Afinitor, a Novartis product, was approved to treat progressive neuroendocrine tumors of pancreatic origin (“PNET”). In 2012, Novartis asked CDF to open a co-pay fund to cover Afinitor co-pays for PNET patients. At that time, CDF knew that Sutent, a Pfizer drug, also was approved to treat PNET. In August 2012, at Novartis’ request, CDF opened a supposed “PNET” fund. The fund, which Novartis financed alone, covered co-pays only for Afinitor; it did not cover co-pays for Sutent, the other approved PNET drug.
CDF’s Provision of Data to Dendreon for the mCRPC Fund. Provenge, a Dendreon product, is an immunotherapy that the FDA approved in April 2010 for treatment of metastatic castration resistant prostate cancer (“mCRPC”). In or about January 2010, Dendreon contacted CDF to request that CDF create a mCRPC fund. At that time, Provenge’s principal competitor therapy was Taxotere, a less costly injectable therapy indicated for treatment of various types of cancer. CDF opened its mCRPC fund in June 2010, and, from that time until August 2011, Dendreon alone financed CDF’s mCRPC fund. From June 2010 through 2011, at Dendreon’s request and on multiple occasions, CDF provided Dendreon with data concerning the number of Provenge patients receiving money from CDF’s mCRPC fund, the number of Taxotere patients receiving money from the fund, and the average amounts of money the fund was providing to Provenge and Taxotere patients, respectively. In May 2011, following the FDA approval of Zytiga, an oral therapy indicated for treatment of mCRPC, CDF also provided Dendreon with information concerning the number of Zytiga patients receiving money from CDF’s mCRPC fund. CDF’s provision of this information made it possible for Dendreon to confirm that CDF was using Dendreon’s money primarily to cover co-pays for Provenge, even though other mCRPC drugs were on the market.
CDF’s ARI Co-pay Fund for Astellas. Xtandi, an Astellas product, is indicated for treatment of mCRPC for patients who have failed chemotherapy. After the launch of Xtandi in September 2012, Astellas provided funding for the mCRPC fund at CDF. Xtandi is an androgen receptor inhibitor (“ARI”); none of the other major mCRPC drugs is an ARI. In May 2013, Astellas contacted CDF to request the opening of an ARI fund, which would cover mCRPC patients’ co-pays for ARIs, but not for other mCRPC drugs. CDF knew this meant that Astellas was seeking to earmark money for Xtandi patients, and not others, because Xtandi was the dominant ARI drug for treatment of mCRPC. On July 1, 2013, at Astellas’ request, CDF opened an ARI fund. Astellas alone financed CDF’s ARI fund. As CDF intended, Xtandi patients received nearly all of the money that the fund disbursed.
CDF’s Multiple Myeloma Travel Fund for Onyx. In July 2012, Onyx (now owned by Amgen) received approval to market Kyprolis as a third-line treatment for multiple myeloma. Kyprolis must be infused at a health care facility. At around the time of the approval, Onyx asked CDF to create a fund that, ostensibly, would cover health care related travel expenses for patients taking any multiple myeloma drug. At Onyx’s request, CDF created the fund, which Onyx alone financed. Internally, CDF at times referred to the fund as the “Kyprolis Travel” fund, and, in fact, it functioned primarily to cover travel expenses for patients taking Kyprolis.
CDF’s Provision of Data to Onyx for the Multiple Myeloma Co-Pay Fund. CDF operated a fund that covered co-pays for multiple myeloma drugs, including Kyprolis and several other drugs. CDF’s multiple myeloma co-pay fund received financing from several pharmaceutical manufacturers. In 2013, CDF provided Onyx with data detailing the amounts CDF had spent, and anticipated spending, on Kyprolis co-pays. This enabled Onyx to view CDF’s funding requests as seeking amounts necessary to pay Kyrpolis co-pays but not the co-pays of any other multiple myeloma drug. In 2013, after receiving this information, Onyx paid CDF just enough to cover CDF’s anticipated spending on co-pays for Kyprolis patients.
CDF’s MS, Lupus, and RA “Exacerbation” Funds for Questcor. In 2010, 2011, and 2012, respectively, Questcor (now owned by Mallinkcrodt), the maker of Acthar Gel, approached CDF and requested that CDF open separate funds for “exacerbations” (i.e., flare-ups) of multiple sclerosis, lupus, and rheumatoid arthritis, respectively. CDF opened these “exacerbation” funds, and Questcor alone financed them. By design, the multiple sclerosis “exacerbation” fund did not cover drugs (other than Acthar) that treated multiple sclerosis, the lupus “exacerbation” fund did not cover drugs (other than Acthar) that treated lupus, and the rheumatoid arthritis “exacerbation” fund did not cover drugs (other than Acthar) that treated rheumatoid arthritis. After establishing the funds, CDF provided reports to Questcor that enabled Questcor to determine how much money CDF already had spent on Acthar patients and how much more money CDF would need to cover the Acthar co-pays for patients Questcor referred to CDF.
PANF’s Prostate Cancer Subfunds. In March 2010, PANF opened a fund that covered co-pays for patients taking any drug that treated prostate cancer. In September 2012, PANF opened a fund that covered co-pays for patients taking drugs that treated mCRPC. PANF’s mCRPC fund covered a number of drugs, including Xofigo (a Bayer drug), Xtandi (an Astellas drug), and Provenge (a Dendreon drug), as well as competing drugs made by other companies. After PANF opened its mCRPC fund, Bayer, Astellas, and Provenge worked with PANF to create smaller funds, with each functioning primarily, if not exclusively, to cover the drug of the single company that financed each fund.
- The RIT subfund for Bayer. Xofigo is an alpha particleemitting radioactive therapeutic agent that the FDA approved to treat mCRPC on May 15, 2013. None of the other major drugs to treat mCRPC is radioactive. Prior to the approval of Xofigo, Bayer approached PANF about creating a fund that would cover only radioactive drugs for mCRPC. On May 16, 2013, one day after the FDA approved Xofigo, PANF opened a fund called Radioisotope Treatment of Metastatic Castrate Resistant Prostate Cancer (“RIT”). Bayer alone financed PANF’s RIT fund, and Xofigo patients received nearly all of the money the fund disbursed.
- The ARI subfund for Astellas. After hearing about PANF’s RIT fund, Astellas contacted PANF about creating an ARI fund that would cover only ARI drugs for mCRPC. Astellas alone financed PANF’s ARI fund, and Xtandi patients received the great majority of the money the fund disbursed.
- The GU subfund for Dendreon. Approximately one month after the opening of PANF’s RIT fund, PANF and Dendreon began discussions about PANF creating a fund that would cover copays only for immunotherapy treatments for mCRPC. On August 2, 2013, PANF opened a fund called Immunotherapy for Genitourinary Cancer (“GU”). Dendreon alone financed PANF’s GU fund, and Provenge patients received nearly all of the money the fund disbursed.
PANF’s SHPT Fund for Amgen. Sensipar, an Amgen product, is approved to treat secondary hyperparathyroidism (“SHPT”). The FDA also has approved other drugs to treat SHPT. In September 2011, Amgen approached PANF about creating an SHPT fund. PANF and Amgen then worked together to determine the fund’s coverage parameters so that it would cover only Sensipar. In November 2011, PANF launched a SHPT fund with Amgen alone providing the financing. Until June 2014, Sensipar patients received all of the money PANF’s SHPT fund disbursed.
Former Sacramento Resident Pleads Guilty to Identity Theft Involving a Rancho Cordova Veterinary ClinicRead the Press Release
SACRAMENTO, Calif. — Rose Marie Segale, 41, of San Jose, formerly of Sacramento, pleaded guilty today to access device fraud and aggravated identity theft, U.S. Attorney McGregor W. Scott announced.
According to court documents, Segale used her employment at a veterinary clinic and her pet‑sitting work to obtain clients’ personal and financial information. She provided that information to her co-defendant, Marie Antoinette Alcanter, who allegedly used it to make purchases and withdrawals using victims’ accounts, as well as to open new accounts using victims’ identities. One of the credit card numbers that Segale gave to Alcanter belonged to a client who used it to pay for euthanasia and cremation of a dog. Between December 2016 and March 2018, Alcanter is alleged to have obtained over $40,000 worth of items and cash using victims’ identities.
This case is the product of an investigation by the U.S. Postal Inspection Service. Assistant U.S. Attorney Miriam R. Hinman is prosecuting the case.
Segale is scheduled to be sentenced on Jan. 17, 2020. Segale faces a maximum statutory penalty of 10 years in prison and a $250,000 fine for the access device fraud offense, as well as a mandatory two-year prison term for the aggravated identity theft. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. Charges are pending against Alcanter. The charges are only allegations; she is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Former Rite Aid Vice President Sentenced to 2 Years’ Imprisonment on $5.7 Million Vendor Kick-Back and Tax Evasion ChargesRead the Press Release
HARRISBURG – The U.S. Attorney’s Office for the Middle District of Pennsylvania announced that former Vice President for Rite Aid, Inc. (Rite Aid), James W. Pilsner, age 61, of Harrisburg, Pennsylvania, was sentenced to two years’ imprisonment followed by two years on supervised release on October 23, 2019, by U.S. District Court Judge John E. Jones, III, for perpetrating a vendor kick-back scheme that defrauded the Company out of $5.7 million and for committing tax evasion.
According to U.S. Attorney David J. Freed, Pilsner pleaded guilty to one count of wire fraud and one count of tax evasion on October 1, 2018. Pilsner, a former Vice President for Advertising for Rite Aid, perpetrated a kick-back scheme with the owner of Nuvision, a small Atlanta, Georgia based company between 1995 and August 2017. Nuvision provided $45 million of pre-press advertising services to Rite Aid under contracts granted by Pilsner during that time period. During the same period, Pilsner received $5,124,862 in kick-backs from Nuvision and distributed another $634,300 from Nuvision to some of his Rite Aid employees.
Pilsner paid $300,000 to the IRS at the time he entered his guilty pleas and paid the balance that he owed the IRS, $292,386, at sentencing. Judge Jones also ordered Pilsner to pay $5,743,162 in restitution to Rite Aid. Jones directed Pilsner to commence service of his sentence on January 6, 2020.
The case was investigated by the Harrisburg office of the Federal Bureau of Investigation and the Internal Revenue Service, Criminal Investigation Division. AUSA Kim Douglas Daniel prosecuted the case.
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Former Personal Care Aide Sentenced 13 Months in Prison for Health Care FraudRead the Press Release
WASHINGTON – Mobolaji Tina Stewart, 58, of Laurel, Maryland, was sentenced yesterday to 13 months in prison for engaging in a scheme to defraud the District of Columbia’s Medicaid program.
The announcement was made by U.S. Attorney Jessie K. Liu, Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, Timothy M. Dunham, Special Agent in Charge, FBI Washington Field Office, Criminal Division, Maureen R. Dixon, Special Agent in Charge of the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG), for the region that includes Washington, D.C., and Daniel W. Lucas, District of Columbia Inspector General.
Stewart pled guilty in August 2018, in the U.S. District Court for the District of Columbia, to one count of health care fraud. She was sentenced by the Honorable John D. Bates. Following her prison term, Stewart will be placed on three years of supervised release. In addition, she was ordered to pay $534,073 in restitution and $302,414 in a forfeiture money judgment.
Stewart worked as a personal care aide for twelve home health agencies at various times between January 2014 and December 2018. The home health agencies employed Stewart to assist D.C. Medicaid beneficiaries in performing activities of daily living, such as getting in and out of bed, bathing, dressing, and eating. Stewart was supposed to document the care she provided to the Medicaid beneficiaries on timesheets and then submit the timesheets to the home health agencies, which would in turn bill Medicaid for the services that she rendered.
Between January 2014 and November 2018, Stewart caused the D.C. Medicaid Program to issue payments totaling $534,073 for services that she did not render. As part of her fraud scheme, she paid kickbacks to beneficiaries and submitted false timesheets to different home health agencies claiming that she provided 24 hours or more of personal care aide services. She also submitted false timesheets claiming to have provided personal care aide services while she was out of the country. She also submitted false timesheets claiming to have provided personal care aide services to a beneficiary while he was hospitalized. Stewart fraudulently earned more than $300,000 in wages as a result of the healthcare fraud scheme.
In announcing the sentence, U.S. Attorney Liu, Assistant Attorney General Benczkowski, Special Agent in Charge Dunham, Special Agent in Charge Dixon of U.S. HHS-OIG, and District of Columbia Inspector General Lucas commended the work of those who investigated the case from the FBI’s Washington Field Office, the U.S. Department of Health and Human Services Office of Inspector General, and the District of Columbia Office of Inspector General. They also expressed appreciation for the work of Paralegal Specialist Mariela Andrade, and former Paralegal Specialists Brittany Phillips and Robert Fishman. Finally, they commended the work of Assistant U.S. Attorney Kondi Kleinman and Trial Attorney Amy Markopoulos, who investigated and prosecuted the case.
Former Personal Care Aide Pleads Guilty to Health Care FraudRead the Press Release
Rose Asang Gana, also known as Rose Nebangu, 40, of Greenbelt, Maryland, pled guilty on Wednesday, to a federal charge of health care fraud stemming from a scheme in which she caused the District of Columbia’s Medicaid program to be defrauded out of more than $400,000.
The announcement was made by U.S. Attorney Jessie K. Liu, Timothy M. Dunham, Special Agent in Charge, FBI Washington Field Office, Criminal Division, Maureen R. Dixon, Special Agent in Charge of the U.S. Department of Health and Human Services Office of Inspector General, for the region that includes Washington, D.C., and Daniel W. Lucas, District of Columbia Inspector General.
Gana pled guilty in the U.S. District Court for the District of Columbia. The charge carries a statutory maximum sentence of 10 years in prison and potential financial penalties. Under federal sentencing guidelines, Gana faces a likely range of 18 to 24 months in prison and a fine of up to $40,000. The plea agreement calls for Gana to pay $441,234.64 in restitution and at least $257,503.31 in a forfeiture money judgment. The Honorable Carl J. Nichols scheduled sentencing for February 5, 2020.
According to the statement of offense submitted to the Court, Gana worked as a personal care aide for nine home health agencies at various times between October 1, 2013 and December 28, 2018. The home health agencies employed Gana to assist D.C. Medicaid beneficiaries in performing activities of daily living, such as getting in and out of bed, bathing, dressing, and eating. Gana was supposed to document the care she provided to the Medicaid beneficiaries on timesheets and then submit the timesheets to the home health agencies, which would in turn bill Medicaid for the services that she rendered.
Between October 1, 2013, and December 28, 2018, Gana caused D.C. Medicaid to issue payments totaling $441,234.64 for services that she did not perform or that were tainted by the payment of illegal cash kickbacks to Medicaid beneficiaries in exchange for signing false timesheets. Gana earned approximately $257,503 in wages from the health care fraud scheme.
In announcing the plea, U.S. Attorney Liu, Special Agent in Charge Dunham, and Inspector General Lucas commended the work of those who investigated the case from the FBI’s Washington Field Office, the U.S. Department of Health and Human Services Office of Inspector General, and the District of Columbia Office of Inspector General. They also expressed appreciation for the work of former Paralegal Specialist Brittany Phillips. Finally, they commended the work of Assistant U.S. Attorney Kondi J. Kleinman and former Assistant U.S. Attorney Denise A. Simmonds, who prosecuted the case.
Former Massachusetts Man Sentenced for Conspiracy to Hide $486,000 from Federally Insured Financial InstitutionRead the Press Release
BOSTON – A former Massachusetts man was sentenced yesterday in federal court in Springfield for his role in a conspiracy to hide money from a federally insured financial institution.
Jeffrey Borer, 59, formerly of Hatfield, was sentenced by U.S. District Court Judge Mark G. Mastroianni to 10 months in prison, four years of supervised release and ordered to pay $189,000 in restitution and $189,000 in forfeiture. In February 2019, Borer pleaded guilty to one count of conspiracy to make false statements to a federally insured financial institution and one count of false statements to a federally insured financial institution.
In August 2011, Borer and another person owed Wells Fargo Bank approximately $1.32 million in outstanding loans. In March 2012, Borer’s sister, who was acting as their bookkeeper, received approximately $1.1 million, which related to a judgment from a Honduran court, in her Massachusetts bank account. The share of these funds belonging to Borer and the other person was $486,000. A few days later, Borer sent an e-mail to his sister to “keep [the] bulk” of their funds in her account because “Wells Fargo might be conducting an asset search on us to try and recover on the judgments. Just transfer what is needed to pay bills as they arrive.” Borer’s sister distributed their funds from her account as he requested.
On or about May 24, 2012, Borer’s sister prepared a false personal financial statement for Borer, stating that he and the other person only had $4,200 of cash in the bank. Borer provided the statement to Wells Fargo, which relied upon it to negotiate their debt. On Oct. 31, 2012, Borer executed a settlement agreement with Wells Fargo, in which the bank agreed to forgive Borer’s personal obligations in exchange for a payment of only $50,000. Wells Fargo would not have settled for $50,000 had it known that Borer and the other individual had received $486,000 in cash from the Honduran judgment.
On September 20, 2018, Borer’s sister pleaded guilty to these same charges. Her sentencing is scheduled for November 12, 2019.
United States Attorney Andrew E. Lelling and Kristina O’Connell, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston, made the announcement. Assistant U.S. Attorney Steven H. Breslow of Lelling’s Springfield Branch Office is prosecuting the case.
Former High School Teacher Sentenced to Prison for Child PornographyRead the Press Release
ALEXANDRIA, Va. – A former South Carolina high school teacher was sentenced today to six years in prison and 10 years of supervised release for conspiring to distribute child pornography.
According to court documents, Eric Michael Hartley, 37, of Fort Mill, used various internet applications, including Kik and Dropbox, to send and receive child pornography. One of the individuals with whom Hartley traded child pornography was Jeramy Routh, who pleaded guilty to conspiring to distribute child pornography in May. Routh and Hartley discussed trading exploitative images of children, including infants and toddlers, and did in fact exchange images and videos as well as access to cloud based accounts of child psixornography.
On September 27, Routh was sentenced to 90 months in prison and 10 years of supervised release.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Raymond Villanueva, Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Washington, D.C., made the announcement after sentencing by U.S. District Judge Liam O’Grady. Assistant U.S. Attorney Whitney Dougherty Russell is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-170. Information on Jeramy Routh’s case can be located on PACER by searching for Case No. 1:19-cr-142.
Former Executive Director of Central United Talmudic Academy Sentenced to 24 Months in Prison for School Meals Fraud SchemeRead the Press Release
Earlier today, at the federal courthouse in Brooklyn, United States District Judge Nicholas G. Garaufis sentenced the defendant Elozer Porges to 24 months’ imprisonment and 1,000 hours of community service for his leadership role in a multi-million dollar fraud scheme. The Court also ordered Porges to pay more than $3.2 million in restitution to the United States Department of Agriculture and a $150,000 fine. Porges committed this fraud while serving as the Executive Director of the Central United Talmudic Academy (Central UTA), located in Williamsburg, Brooklyn.
Richard P. Donoghue, United States Attorney for the Eastern District of New York, William F. Sweeney, Jr., Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), Margaret Garnett, Commissioner, New York City Department of Investigation (DOI), and Bethanne M. Dinkins, Special Agent-in-Charge, United States Department of Agriculture, Office of Inspector General (USDA-OIG), announced the sentence.
“Porges now stands convicted and sentenced as a felon for abusing his position to defraud government programs and steal millions of dollars in taxpayer funds designated to feed needy children,” stated United States Attorney Donoghue. “Such criminal conduct will not go unpunished.”
“The Child and Adult Care Food Program (CACFP) was created to provide food and nutrition to those who truly need this assistance. Those who are involved in fraud and abuse of USDA feeding programs will be investigated by our office to the fullest extent,” stated USDA-OIG Special Agent-in-Charge Dinkins. “Our joint investigation with the Federal Bureau of Investigation and the New York City Department of Investigation is identifying those who sought to profit from the CACFP through illegal schemes. The USDA Office of Inspector General will continue to dedicate investigative resources, working with our law enforcement and prosecutorial partners, in order to protect the integrity of these programs and bring to justice those who commit fraud.”
“School children throughout New York City rely on funding from government programs for their meals every day,” stated DOI Commissioner Garnett. “This defendant aimed to defraud those vital programs, inflating the number of meals he claimed to need for low-income students, and receiving millions of dollars in subsidies to which Central UTA was not entitled. Today's prison sentence demonstrates the enduring commitment of DOI and the U.S. Attorney's Office to protecting taxpayer dollars and ensuring those funds go to children in need.”
Between October 2013 and December 2015, Porges and his co-defendant, Joel Lowy, submitted false and misleading monthly claim forms to the New York State Department of Health (NYSDOH) for reimbursement from the federal government for thousands of meals purportedly served to students attending Central UTA schools at three locations. The claims were submitted pursuant to the CACFP, a program operating under the authority of the United States Department of Agriculture that provides funding to qualifying institutions. The fraudulent forms resulted in NYSDOH reimbursing Central UTA more than $3 million for meals that had not been served to students. Instead, the funds were largely spent on non-qualifying evening events attended by adults at a Central UTA facility on Wythe Street.
Lowy pleaded guilty in March 2018 and is awaiting sentencing.
The government’s case is being handled by the Office’s Public Integrity Section. Assistant United States Attorneys Erik Paulsen and Maria Cruz Melendez are in charge of the prosecution.
The Defendant:
ELOZER PORGES
Age: 46
New York, NYE.D.N.Y. Docket No. 17-CR-431 (NGG)
Former Chief Operating Officer of Long Island Federal Credit Union Sentenced to 18 Months in Prison for EmbezzlementRead the Press Release
Earlier today, at the federal courthouse in Central Islip, Suzanne Silva, the former Chief Operating Officer of Winthrop University Hospital Employees Federal Credit Union, was sentenced to 18 months in prison for embezzling credit union funds during her employment and ordered to pay $465,172 in restitution to the credit union. Silva pleaded guilty to the embezzlement scheme in March 2019. The sentencing proceeding was held before United States District Judge Denis R. Hurley.
Richard P. Donoghue, United States Attorney for the Eastern District of New York, and William F. Sweeney, Jr., Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the sentence.
Between March 2011 and June 2018, Silva transferred hundreds of thousands of dollars from operating accounts of the credit union to accounts in her name and the names of family members. She used the funds to take Caribbean cruises, travel to Cancun and pay thousands of dollars a month for purchases from the Amazon and Etsy websites.
Silva’s employment was terminated by Winthrop University HEFCU in June 2018.
“For years, Silva plundered the credit union, abusing her position as its Chief Operating Officer to commit serious crimes – all to serve herself,” stated United States Attorney Donoghue. “For the next 18 months, she will pay the price for her greed.”
The government’s case is being handled by the Office’s Long Island Criminal Division. Assistant United States Attorneys Charles P. Kelly and Madeline O’Connor are in charge of the prosecution.
The Defendant:
SUZANNE SILVA
Age: 35
Carle Place, New YorkE.D.N.Y. Docket No. 18-CR-507 (DRH)
Five Previously Deported Aliens Charged with Illegal ReentryRead the Press Release
HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced that five previously deported aliens were indicted separately on October 23, 2019, by a federal grand jury for illegal reentry into the United States. These matters arose in counties throughout the District including Franklin, Lackawanna, Luzerne, Northumberland and York Counties.
According to United States Attorney David J. Freed, Jose Isidro Martinez-Amaya, age 53, of Honduras, was previously deported from the United States to Honduras in June 2012. He is alleged to have illegally reentered the United States sometime after June 2012, and was found in the United States in Lackawanna County, Pennsylvania after eluding examination or inspection by immigration officers.
Anibal Garcia-Santos, age 46, of Guatemala, was previously deported from the United States to Guatemala in August 2014. He is alleged to have illegally reentered the United States sometime after August 2014, and was found in the United States in Franklin County, Pennsylvania after eluding examination or inspection by immigration officers.
Filiberto Enrique Merida-Cano was previously deported from the United States to Guatemala in January 2018. He is alleged to have illegally reentered the United States sometime after January 2018, and was found in the United States in Northumberland County, Pennsylvania after eluding examination or inspection by immigration officers.
Martinez-Amaya, Garcia-Santos, and Merida-Cano face a maximum penalty of two years of imprisonment, a term of supervised release following imprisonment, and a fine.
Anthony Moore Copeland, age 56, of Jamaica, was previously deported from the United States to Jamaica in April 2012. He is alleged to have illegally reentered the United States again sometime after April 2012, and was found in the United States in York County, Pennsylvania after eluding examination or inspection by immigration officers.
Stephen McKenzie, age 35, of Bahamas, was previously deported from the United States to the Bahamas in February 2011. He is alleged to have illegally reentered the United States again sometime after February 2011, and was found in the United States in Luzerne County, Pennsylvania after eluding examination or inspection by immigration officers.
Copeland and McKenzie face a maximum penalty of 20 years of imprisonment, a term of supervised release following imprisonment, and a fine.
These cases were investigated by U.S. Immigration and Customs Enforcement and Removal Operations (ERO). Assistant United States Attorney Joanne Sanderson is prosecuting the cases.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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Film Producer Pleads Guilty in Movie Financing Fraud SchemeRead the Press Release
A South Florida movie financier pled guilty in connection with a scheme to steal over $60 million from investors and producers seeking financing for motion pictures and theater performances.
U. S. Attorney Ariana Fajardo Orshan for the Southern District of Florida and Special Agent in Charge George L. Piro of the FBI’s Miami Field Office made the announcement.
Benjamin McConley, 37, of South Florida, admitted his role in orchestrating the sophisticated fraud scheme during a change-of-plea hearing before U.S. District Judge Ursula M. Ungaro. McConley pled guilty to one count of conspiracy to commit wire fraud, in violation of Title 18, United States Code, Section 1349 (Case No. 19-CR-20447). McConley faces a maximum possible sentence of twenty years’ in prison.
According to court records, McConley held himself out as a film producer and financier. In those roles, McConley offered to provide financing to investors and producers seeking funds to produce motion pictures, theater performances, and other projects. McConley promised the victims that, in exchange for the victims’ cash contribution, McConley would match the contribution and use the combined funds to secure financing from financial institutions in South Florida and elsewhere.
Based on these false representations and promises, victims sent tens of millions of dollars to accounts controlled by McConley and his co-conspirators. In truth, McConley never “matched” the victims’ contributions as promised in the funding agreements.
Instead of fulfilling their promises to victims, McConley and his co-conspirators stole the victims’ money by transferring the funds to their personal and corporate bank accounts, often within days of the victims’ contributions or loans.
U.S. Attorney Fajardo Orshan commended the investigative efforts of the FBI Miami Field Office. The case is being prosecuted by Assistant U.S. Attorneys Christopher Browne and Maurice Johnson. Assistant U.S. Attorney Adrienne Rosen is responsible for the asset forfeiture component of the case.
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.
Felon with Violent History Admits Illegally Possessing Gun Used by Child, 3, to Accidentally Shoot HerselfRead the Press Release
PITTSBURGH - A resident of Pittsburgh, PA, pleaded guilty in federal court to a charge of possession of a firearm by a convicted felon, United States Attorney Scott W. Brady announced today.
Paul Anthony Parrish, 43, pleaded guilty to one count before Chief United States District Judge Mark R. Hornak.
In connection with the guilty plea, the court was advised that the investigation into Parrish’s illegal possession of a firearm began on March 12, 2017 when a three-year-old child was brought to Allegheny General Hospital, by private means, with a gunshot wound to her chest. The child died from the gunshot wound soon after. Pittsburgh Bureau of Police officers and detectives ultimately determined that Parrish’s residence on Mount Washington was the likely crime scene. In the residence, they found Parrish watching TV on the living room couch, and he directed officers to the second floor, where they observed blood stains and recovered a Ruger, model SR9 pistol. The investigation revealed that the victim had likely found the firearm and accidentally shot herself, and that Parrish had had possession and control of that firearm for three months leading up to the child’s death. At the time, Parrish had received four separate prior convictions for felony offenses that prohibited him from possessing a firearm: voluntary manslaughter, aggravated assault, possession of a firearm by a prohibited person, and fleeing and attempting to elude police.
Chief Judge Hornak scheduled sentencing for February 13, 2020 at 3:00 p.m. The law provides for a total sentence of ten years in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
The Court ordered the defendant detained pending the Court’s decision on filings by the parties.
Assistant United States Attorneys Douglas C. Maloney and Ross E. Lenhardt are prosecuting this case on behalf of the government.
The Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Pittsburgh Bureau of Police conducted the investigation that led to the prosecution of Parrish.
Federal Jury Convicts Felon of Firearm and Drug ChargesRead the Press Release
BATON ROUGE, LA – United States Attorney Brandon J. Fremin announced the conviction of Nathaniel W. Turner, a 33-year-old resident of Baton Rouge, Louisiana. Turner was indicted by a federal grand jury on August 29, 2019, and charged with possession with the intent to distribute heroin, possession of firearms in furtherance of a drug trafficking crime, and possession of firearms by a convicted felon.
After a three day trial before U.S. District Judge Brian A. Jackson, the jury unanimously convicted Turner of all three charges. As the evidence at trial demonstrated, on May 22, 2019, deputies with the U.S. Marshal’s Service executed a warrant for the arrest of Turner. Upon arrival, deputies observed security cameras on the perimeter of the apartment occupied by Turner. After knocking on Turner’s door, the deputies found him asleep on the couch with a .9mm caliber pistol and a Mossberg International 715T .22 caliber AR-15 style rifle, a quantity of heroin, a digital scale, and other drug paraphernalia within immediate reach. He was arrested without incident. As a result of this conviction, Turner faces a maximum sentence of not less than five years and up to life in federal prison, significant fines, restitution, and supervised release.
Prior to possessing the firearm, Turner was convicted of possession of MDMA on August 4, 2006, second degree battery on January 14, 2011, and indecent behavior with a juvenile on August 29, 2017, all in East Baton Rouge Parish.
U.S. Attorney Fremin stated, “This office will not tolerate violent felons like Nathaniel Turner who insist on dealing drugs and illegally possessing firearms. This investigation and conviction is just another excellent example of the collaboration among our prosecutors and the federal and local law enforcement agencies who worked together to bring this defendant to justice. We will not relent in our commitment to bring violent offenders to justice and make our communities safer.”
Supervisory Deputy U.S. Marshal Joshua Reich stated, “Due to the cooperation of our local and federal partners, we were able to locate and arrest Nathaniel Turner and recover all weapons and evidence that eventually lead to a successful federal prosecution in the Middle District of Louisiana. If not for the help and support of our local and federal partners and the leadership of the Middle Louisiana Fugitive Task Force, this would not have been possible.”
“This individual disregarded both the law and the safety of others,” stated ATF Baton Rouge Field Office Resident Agent in Charge Mary Downie. “ATF is committed to collaborate with all of our federal, state, and local law enforcement partners so criminals like this will be held accountable for their actions.”
This matter is being handled by the U.S. Attorney’s Office for the Middle District of Louisiana, the U.S. Marshal’s Service and Bureau of Alcohol, Tobacco, Firearms and Explosives, with assistance from the East Baton Rouge Sheriff’s Office, Louisiana State Police Bureau of Identification, and the Louisiana State Police Crime Lab. The case is being prosecuted by Assistant United States Attorneys Robert W. Piedrahita and Kashan Pathan.
Federal Grand Jury in Del Rio Indicts Mother and Daughter in Fraudulent Family Unit CaseRead the Press Release
In Del Rio, a federal grand jury indicted a mother and daughter in a scheme to illegally bring a child, to which neither one was related, into the country, stated U.S. Attorney John F. Bash; Homeland Security Investigations (HSI) Special Agent in Charge Shane Folden, San Antonio Division; U.S. Border Patrol Del Rio Sector Chief Raul L. Ortiz; and, Texas Department of Public Safety Director Steven McCraw.
“Protecting innocent children must be the number one priority of our border security system. This office stands ready to prosecute anyone who commits a federal offense that harms a child,” said U.S. Attorney Bash.
The indictment, returned Wednesday afternoon, charges 42–year-old Aida Martinez of Eagle Pass, TX, and 20-year-old Aida Rodriguez, a U.S. citizen residing in Piedras Negras, Coahuila, Mexico, with one count of conspiracy to bring an alien into the U.S., one substantive count of bringing an alien into the U.S., and one count of making a false statement to a federal agent.
According to court records, on September 23, 2019, the defendants brought an undocumented female, approximately two years old, into the U.S. through the Eagle Pass Port of Entry while fraudulently using Rodriguez’s actual daughter’s birth certificate. Later that day, federal and state authorities arrested the defendants and recovered the unknown child as they were travelling northbound on Highway 57 near Batesville, TX. The defendants initially provided conflicting statements to investigators, but later admitted their intent was to take the child to unknown individuals in San Antonio, collect payment for the child, then return the money to co-conspirators in Piedras Negras.
“HSI’s message is clear – our priority is to protect the children,” said HSI Special Agent in Charge Folden. “HSI will continue to partner with the Border Patrol to identify and dismantle the criminal organizations using fraud to smuggle children.”
“Of all the people that smugglers exploit, children are the most vulnerable,” said Del Rio Sector Chief Patrol Agent Raul L. Ortiz. “Thanks to the cooperative efforts between HSI and Border Patrol, this child was removed from a dangerous situation and properly cared for.”
Martinez and Rodriguez have remained in federal custody since their arrest on September 23, 2019. The child has been placed in the care of the Department of Health and Human Services.
Upon conviction, the defendants face up to ten years in federal prison on the conspiracy charge, between three and ten years in federal prison on the substantive alien smuggling charge, and up to five years in federal prison for the false statement charge,
HSI agents, with assistance from the Texas Department of Public Safety and the U.S. Border Patrol Del Rio Sector, are conducting this investigation. Assistant U.S. Attorney James Ward is prosecuting this case on behalf of the government.
It is important to note that an indictment is merely a charge and should not be considered as evidence of guilt. The defendants are presumed innocent until proven guilty in a court of law.
Federal Grand Jury Adds Two New Charges of Distribution of Controlled Substance Resulting in Death Against Carrizo Springs DoctorRead the Press Release
In Del Rio, a federal grand jury added two new charges of distribution of a controlled substance resulting in death to an existing 20-count indictment returned in May against Dr. Alfonso Luevano, announced U.S. Attorney John F. Bash; Drug Enforcement Administration (DEA) Special Agent in Charge Will Glaspy, Houston Division; and, Texas Attorney General Ken Paxton.
The two new charges filed this week allege that Dr. Luevano, a Carrizo Springs doctor with multiple offices throughout the Southwest Texas border area, distributed Hydrocodone to two patients outside the usual course of medical practice and not for a legitimate medical purpose. One of the patients died as a result on April 28, 2017. The other patient died as a result on January 12, 2018.
Dr. Luevano, age 50, now faces one count of conspiracy to distribute a controlled substance, two substantive counts of distribution of a controlled substance resulting in death, ten substantive counts of distribution of a controlled substance, one count of conspiracy to commit Health Care Fraud, five substantive counts of Health Care Fraud, and three counts of aggravated identity theft. Ofelia Martinez, a 51-year-old employee of Dr. Luevano and resident of Carrizo Springs, is also charged in both conspiracy counts, all five Health Care Fraud counts, and all three aggravated identity theft counts.
The superseding indictment alleges that Dr. Luevano regularly provided prescriptions for scheduled controlled substances – including Hydrocodone, Oxycodone, and fentanyl – to patients outside the bounds of accepted medical practice and for no legitimate medical purpose. Dr. Luevano is alleged to have provided these prescriptions after short or perfunctory office visits, and to have issued them without performing the examination necessary to justify the prescription of an opioid pain medication.
The superseding indictment also alleges that Dr. Luevano allowed and instructed nurse practitioners and physician assistants in his employ to provide Schedule II controlled substance prescriptions by pre-signing triplicate prescription forms and leaving them at his various offices to be filled out by his staff. Ms. Martinez is alleged to have assisted in this practice by transporting the pre-signed prescriptions to the offices and instructing the staff on how to fill them out.
Dr. Luevano is also alleged to have committed Health Care Fraud by billing Texas Medicaid for the illegal office visits performed by his medical staff, and by listing himself as the providing practitioner for appointments where he never saw the patient whatsoever. It is also alleged that he defrauded Medicaid on multiple instances by misstating the length of time spent with a patient, as well as the nature of the patient’s diagnosis. Ms. Martinez is alleged to have personally entered and submitted the fraudulent bills for the entire practice, and instructed medical staff to close medical records files in a certain manner so as to conceal their involvement in an appointment.
Both defendants were arrested in May 2019 and remain on $50,000 unsecured bonds pending trial.
Upon conviction, both defendants face up to 20 years in federal prison on the counts related to the distribution of controlled substances and aggravated identity theft, as well as up to ten years in federal prison on the Health Care Fraud counts. Dr. Luevano also faces no less than 20 years in federal prison upon conviction of distribution of a controlled substance resulting in death.
This indictment resulted from a continuing joint investigation by the DEA Prescription Drug Diversion Task Force, DEA Del Rio, and the Texas Attorney General Medicaid Fraud Control Unit. Assistant U.S. Attorneys Justin Chung and Joshua Banister are prosecuting this case on behalf of the Government.
It is important to note that an indictment is merely a charge and should not be considered as evidence of guilt. The defendants are presumed innocent until proven guilty in a court of law.
Father and Son Indicted for Killing A Niagara Falls Man in Furtherance of A Drug Conspiracy Involving Five Other DefendantsRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that a federal grand jury has returned a superseding indictment charging Lavon Parks, a/k/a Dutch, 29, and his father, James C. Parks, 55, both of Niagara Falls, NY, with discharge of firearm causing death involving the murder of Kevin Turner. The charge carries a mandatory minimum penalty of 10 years in prison, a maximum of life, and a $250,000 fine.
In addition, Lavon and James Parks are also charged with narcotics conspiracy, along with Annette Lugo Rodriguez, 39, Vivian Pintado-Figueroa, 41, both of San Juan, Puerto Rico; Yarimar Berrios Alvarado, 24, Wilmer Casiano-Perez, 26, both of Buffalo, NY; and Wayne E. Payne, 63, of Niagara Falls. That charge carries a mandatory minimum penalty of 10 years in prison, a maximum of life, and a $10,000,000 fine.
Some defendants also face other charges including possession with intent to distribute cocaine, maintaining a drug involved premises, and possession of a firearm in furtherance of drug trafficking.
Assistant U.S. Attorney Laura A. Higgins, who is handling the case, stated that according to the superseding indictment, between May 2017 and March 2019, all seven defendants engaged in a conspiracy to sell cocaine in the Niagara Falls and Buffalo, NY areas.
According to the superseding indictment and alleged by the government during court proceedings, on the afternoon of January 21, 2018, at approximately 4:00 p.m., 21 year old Kevin Turner was shot and killed as he exited a residence on Niagara Street in Niagara Falls.
The investigation included a series of controlled buys and payments involving defendant Lavon Parks. Investigators seized approximately 8.5 kilograms of cocaine and $52,000 in U.S. currency from postal parcels shipped from Puerto Rico to various locations in the Western District of New York, Florida, Alaska, Georgia, and Pennsylvania using the United States Postal Service. The shipments were made to co-conspirators. Additionally, the investigation identified $55,700 in U.S. currency and/or money orders shipped in parcels from co-conspirators to Puerto Rico as payment to the source of supply for the cocaine
The superseding indictment is the result of an investigation by the Niagara Falls Police Department, under the direction of Superintendent Thomas Licata; the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division; the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Gary Loeffert; the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Special Agent-in-Charge John B. Devito, New York Field Division; and the U.S. Postal Inspection Service, under the direction of Inspector-in-Charge Joseph W. Cronin of the Boston Division.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Duplin County Source of Methamphetamine Receives 15 Years in Federal PrisonRead the Press Release
RALEIGH – United States Attorney Robert J. Higdon, Jr. announced that in federal court, Chief United States District Judge Terrence W. Boyle sentenced WILLIam USHER, 33, of Duplin County North Carolina, to 180 months imprisonment, followed by 5 years of supervised release.
On March 21, 2019, USHER pled guilty to conspiracy to distribute and possess with the intent to distribute five-hundred (500) grams or more of methamphetamine, possession with intent to distribute fifty (50) grams or more of methamphetamine, possession of a firearm in furtherance of a drug trafficking crime and possession with intent to distribute a quantity of methamphetamine.
According to the investigation, on July 11, 2017, Duplin County Narcotic Detectives served a search warrant on USHER’S residence in Duplin County. Law enforcement found more than one-hundred twenty-five (125) grams of methamphetamine, $13,000 and twenty-one (21) firearms. USHER had previously sent a family member to Georgia to pick up to two (2) kilograms of methamphetamine for distribution.
On November 7, 2017, Duplin County Detectives conducted a controlled purchase of an ounce of methamphetamine from USHER at his residence. Following his arrest, detectives served a search warrant at the residence and found and additional ounce of methamphetamine and a loaded .25 caliber handgun.
On February 6, 2018, Duplin County Detectives conducted a traffic stop on a car driven by USHER and a passenger as they returned to USHER’S residence from picking up methamphetamine. Detectives found a quantity of methamphetamine laying on the ground near the car.
According to law enforcement and information obtained during the investigation, between July 2017 and February 2018, USHER was responsible for the importation and distribution of approximately 5 kilograms of methamphetamine. USHER’S sources of supply included a violent large-scale methamphetamine organization.
This case is part of an extensive Organized Crime Drug Enforcement Task Force (OCDETF) operation “Fall of the House of Usher” led by the Drug Enforcement Administration (DEA). This is part of an extensive investigation by the Organized Crime Drug Enforcement Task Force (OCDETF). This investigation is focused on national and international distribution of methamphetamine and firearms associated with this organization into southeastern North Carolina.
This case is also part of the Take Back North Carolina Initiative of the United States Attorney’s Office for the Eastern District of North Carolina. This initiative emphasizes the regional assignment of federal prosecutors to work with law enforcement and District Attorney’s Offices on a sustained basis in those communities to reduce the violent crime rate, drug trafficking, and crimes against law enforcement.
The Drug Enforcement Administration, Bureau of Alcohol Tobacco and Firearms, Duplin County Sheriff’s Office, New Hanover County Sheriff’s Office, Sampson County Sheriff’s Office, North Carolina State Bureau of Investigation and Wilmington Police Department conducted this investigation. Assistant United States Attorney Timothy Severo prosecuted the case on behalf of the government.
Doddridge County man sentenced for role in a methamphetamine distribution operationRead the Press Release
CLARKSBURG, WEST VIRGINIA – Jacob Wright, of West Union, West Virginia, was sentenced today to 78 months incarceration for his involvement in a methamphetamine distribution conspiracy, U.S. Attorney Bill Powell announced.
Wright, age 37, pled guilty to one count of “Conspiracy to Distribute Methamphetamine” in March 2019. Wright admitted to working with others to distribute methamphetamine in Harrison County and elsewhere from the fall of 2017 to September 2018.
Assistant U.S. Attorney Zelda E. Wesley prosecuted the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Greater Harrison Drug & Violent Crimes Task Force, a HIDTA-funded initiative, 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. District Judge Thomas S. Kleeh presided.
District Man Sentenced to Five Years for Trafficking Crack Cocaine and Maintaining a Northeast, D.C. Stash Residence and ArsenalRead the Press Release
WASHINGTON – Michael Tobias, 37 of Southeast D.C., was sentenced to five years in prison today for trafficking crack cocaine and maintaining a stash residence and arsenal, announced U.S. Attorney Jessie K. Liu, Ashan M. Benedict, Special Agent in Charge of the Washington Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and Peter Newsham, Chief of the Metropolitan Police Department (MPD).
Tobias pled guilty in August 2019 before the Honorable Beryl A. Howell in the U.S. District Court for the District of Columbia to one count of possession with intent to distribute 28 grams or more of cocaine base. Chief Judge Howell sentenced Tobias to five years of incarceration to be followed by four years of supervised release.
According to the government’s evidence, in June 2018, ATF agents and MPD officers began investigating the trafficking of narcotics from the 5200 block of Sheriff Road, Northeast, by narcotics traffickers that included Tobias. That block intersects the 900 block of 52nd Street, Northeast. During the investigation, law enforcement purchased 75 grams of crack cocaine from Tobias.
During some of the drug purchases, Tobias would utilize a laundry room in the basement of 927 52nd Street, Northeast, to conduct his drug transactions. Video from the controlled purchases showed Tobias laying crack cocaine on the washer/dryer while counting the money provided by law enforcement for the drug purchases. As part of his plea, Tobias also acknowledged to using an apartment inside of 927 52nd Street, Northeast, to store, prepare, and package narcotics.
On May 21, 2019, during a search of the apartment pursuant to a warrant, ATF and MPD officers recovered eight digital scales, approximately $4,000 in U.S. currency, numerous forms of packaging material consistent with drug trafficking, such as, sandwich bags and unused ziplocs, three BB guns (two in pistol format, one in rifle format), and extensive quantities of marijuana and marijuana edibles for distribution. Tobias used the apartment to traffic narcotics with the assistance of another occupant, who was present at the residence during the search warrant. The occupant also had keys that led to an electrical closet in the basement laundry room, where a firearm and a small arsenal was recovered. In a ceiling crawl space, ATF and MPD officers recovered: (i) a Smith & Wesson .40 caliber pistol; (ii) eleven magazines, with a number of extended magazines, some of which were loaded; (iii) 862 rounds of ammunition in eight different calibers; (iv) a digital scale; (v) empty ziplocs for the packaging of narcotics; and (vi) firearm and ammunition boxes. The occupant, who assisted Tobias in the trafficking of narcotics from the stash residence, was murdered on July 9, 2019 while sitting in a vehicle two blocks away from the stash residence.
This case is part of an Organized Crime and Drug Enforcement Task Force (OCDETF) investigation. OCDETF specializes in the investigation and prosecution of drug trafficking and money laundering organizations and related criminal enterprises.
In announcing the sentence, U.S. Attorney Liu, Special Agent in Charge Benedict, and Chief Newsham commended the work of those who investigated the case, and acknowledged the assistance of the Uniform Division of the United States Secret Service and the Federal Bureau of Investigation’s laboratory, who assisted with the recovery of evidence and the fingerprint and DNA analysis of that evidence. They also cited the efforts of those who worked on the case from the U.S. Attorney’s Office for the District of Columbia, including Paralegal Specialist Candace Battle, Legal Assistant Peter Gaboton, and Assistant U.S. Attorney Christopher Macchiaroli of the Violent Crime and Narcotics Section, who conducted the underlying investigation, indicted the case, and prosecuted Tobias.
District Man Sentenced to 52 Years for Killing Two Men - Including a Government WitnessRead the Press Release
WASHINGTON – Terik McLeod, 33, of Northeast, Washington, D.C., was sentenced today to 52 years in prison for the fatal shooting of two men in Northeast Washington, one of which was a government witness, announced U.S. Attorney Jessie K. Liu.
Earlier today, the Honorable Ronna L. Beck of the Superior Court of the District of Columbia sentenced McLeod to 52 years in prison. On July 26, 2019, McLeod was found guilty by jury verdict after a retrial of Second Degree Murder while Armed in the killing of Devaun Drayton in 2004 and First Degree Murder while Armed in the killing of a government witness – Carlton Fisher in 2006. The first trial ended with a hung jury in April. McLeod will also be placed on five years of supervised release.
According to the government’s evidence at trial, Devaun Drayton was shot one time in the back of the head on March 10, 2004 behind the Phelps School in the Langston Terrace/21st & Maryland NE neighborhood. Shortly before his murder, Drayton borrowed a gun from David Warren, who in turn was going to sell the gun to the defendant. When Drayton did not return the gun to Warren as agreed upon, McLeod shot Drayton in the head. Shortly after Drayton’s murder, McLeod admitted to Carlton Fisher that he killed Drayton. A few weeks after Drayton’s murder, Carlton Fisher was arrested on gun and drug charges and began cooperating with the government and shared McLeod’s confession to the Drayton murder. McLeod learned of Mr. Fisher’s cooperation and murdered him with the assistance of Lovell Harris on October 1, 2006 by shooting Fisher 7 times, once in the back of the head, on Fisher’s front porch with his family and baby daughter inside.
In announcing the sentence, U.S. Attorney Liu, commended the work of those who investigated the case from the Metropolitan Police Department. She also expressed appreciation for the work of Supervisor/IT Specialist Leif Hickling and IT Specialist Jeanie Lattimore-Brown; paralegals Meridith McGarrity and Lashone Samuels; Victim/Witness Advocate Marcia Rinker; Supervisory Victim/Witness Services Coordinator Katina Adams-Washington and Victim/Witness Services Coordinator La June Thames; CSO (and former MPD Officer) Michael Derian; the U.S. Marshall’s Service; Assistant U.S. Attorneys Jean Sexton and Glenn Kirschner for their efforts in investigating the cases.
Finally, she commended the work of Assistant U.S. Attorneys Ellen D’Angelo and John Giovannelli who also investigated and tried the case, not once, but twice while successfully overcoming the challenges inherent in a cold case homicide investigation that involved murders that occurred well over 13 years prior to trial.
District Man Pleads Guilty to Attacking Woman in Her Apartment’s Stairwell, Intending to Rape HerRead the Press Release
WASHINGTON – Ratek Bogan, 45, of the District, pleaded guilty today to assaulting a woman on August 26, 2019, in the stairwell of her apartment building, intending to rape her, U.S. Attorney Jessie K. Liu announced today.
Bogan pleaded guilty to assault with intent to commit first degree sexual abuse. The Honorable Craig Iscoe scheduled sentencing for January 10, 2020. Bogan faces up to 15 years in prison.
According to the government’s evidence, the victim encountered Bogan on Minnesota Avenue, S.E. She asked Bogan if he would help carry her groceries into her apartment building, and he followed the victim into her building. Once inside the building, Bogan grabbed the woman, intending to rape her. At that point, however, one of the victim’s neighbor’s opened his door, asked Bogan what he was doing and told Bogan that he was going to call 911. Responding to the neighbor’s 911 call, officers of the Metropolitan Police Department arrived on the scene, confronted Bogan there and arrested him.
In announcing the plea, U.S. Attorney Liu commended the work of the Sexual Assault Unit of the Metropolitan Police Department, and officers of MPD’s Sixth District. She also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialist Brenda C. Williams and Victim/ Witness Advocate Tracey Hawkins. Finally, U.S. Attorney Liu commended the work of Assistant U.S. Attorney Peter V. Taylor, who investigated and prosecuted this case.
Detroit Man Sentenced for Trafficking Oxycodone throughout KentuckyRead the Press Release
Lexington, KY- Emmanuel Maurice Strange, who previously admitted to conspiring to distribute hundreds of oxycodone pills throughout Nicholasville, Kentucky, and surrounding areas, was sentenced this week.
U.S. District Court Chief Judge Danny C. Reeves sentenced Strange, who had no prior drug trafficking history, to 46 months imprisonment. Strange is the last of his co-defendants to be sentenced in the case. The other four defendants involved, Derald Johnson, Jami Oliver, Dave Barnett, and Roberto Avalos Gallegos, were previously sentenced to 67 months, 41 months, 37 months, and 18 months, respectively.
According to plea agreements, Strange, Johnson, Oliver, Barnett, Avalos, and others, worked together to distribute oxycodone throughout Nicholasville, Kentucky and surrounding areas. Strange was responsible for transporting oxycodone pills from Detroit, Michigan to Nicholasville, Kentucky, where Barnett would further distribute the pills. Johnson, aided and abetted by Oliver, also supplied large quantities of oxycodone to Barnett, and were observed conducting a distribution to Avalos on the day of their arrest.
Under federal law, the defendants must serve 85 percent of their prison sentence. Afterwards, Johnson will be under the supervision of the U.S. Probation Office for five years, and all other defendants will be under supervision for three years.
“The distribution of opioids, such as oxycodone pills, remains a significant issue in central Kentucky,” said Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky. “Our Office is committed to working with our law enforcement partners to hold opioid traffickers, like these defendants, accountable for their criminal conduct. I commend the hard work and cooperation of federal, state, and local law enforcement in dismantling a significant, multi-state drug trafficking operation that was responsible for the distribution of thousands of oxycodone pills in our region.”
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky, Daniel Dodds, Acting Special Agent in Charge, DEA, Louisville Field Division; Commissioner Chief Todd Justice, Nicholasville Police Department Drug Task Force jointly announced the sentences.
The investigation was conducted by DEA and Nicholasville Police Department’s Drug Task Force. The U.S. Attorney’s Office was represented by Assistant U.S. Attorneys Lauren Tanner Bradley.
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Dentist Charged with Child Exploitation OffensesRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, and Brian C. Turner, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation, announced that SCOTT DAVID COHEN, 39, of Stratford, was arrested today and charged by federal criminal complaint with multiple child sexual exploitation offenses.
As alleged in the criminal complaint, earlier this month, Cohen, using the username “drpinstripe13,” began communicating on Instagram with an individual whom he believed was a 15-year-old girl. In numerous chat conversations, Cohen expressed in graphic detail his desire to engage in sexual activity with the “minor.” Cohen described a variety of sexual activities he wanted to have with the minor and sent her sexually explicit images of himself.
The complaint further alleges that the minor told Cohen that she lived out of state and had plans to travel to New York to visit a relative. Cohen, who is a dentist with a practice in Trumbull, expressed a willingness to reschedule patients at his dental practice in order to meet the girl.
Cohen was arrested this afternoon after he traveled to the Stratford train station to meet the “girl.”
Following his arrest, Cohen appeared before U.S. Magistrate Judge William I. Garfinkel in Bridgeport and was ordered detained pending a detention hearing that is not yet scheduled,
The complaint charges Cohen with enticement of a minor to engage in illegal sexual activity, travel with intent to engage in illicit sexual conduct, transfer of obscene material to minors, and sexual exploitation of children.
U.S. Attorney Durham stressed that a criminal complaint is not evidence of guilt. Charges are only allegations, and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This matter is being investigated by the Federal Bureau of Investigation and the Connecticut Child Exploitation Task Force, which includes federal, state and local law enforcement agencies. The case is being prosecuted by Assistant U.S. Attorney Maria del Pilar Gonzalez.
This prosecution is part of the U.S. Department of Justice’s Project Safe Childhood Initiative, which is aimed at protecting children from sexual abuse and exploitation. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
To report cases of child exploitation, please visit www.cybertipline.com.
DEA to Accept Prescription Drugs and Electronic Vaping Devices Across South Carolina on National Prescription Drug Take Back DayRead the Press Release
Columbia, South Carolina – United States Attorney Sherri A. Lydon announced today that the Drug Enforcement Administration’s (DEA) Columbia District Office is partnering with national, state, local, and tribal law enforcement officials, as well as community coalition groups, to hold its 18th National Prescription Drug Take Back Day at over 80 locations across South Carolina this Saturday, October 26, 2019, from 10 a.m. to 2 p.m.
This one-day event will make it convenient for the public to rid their homes of potentially dangerous prescription drugs. South Carolinians will be able to drop off their expired, unused, and unwanted pills at sites across the state free of charge, no questions asked. By doing so, they will help prevent prescription drug abuse and theft. South Carolinians participating in DEA’s last take-back held on April 27, 2019, yielded 11,825 pounds of unwanted or expired medications for safe and proper disposal at sites set up throughout the state.
For the first time, DEA will also accept vaping devices and cartridges at any of its drop off locations during National Prescription Drug Take Back Day. It is important to note that DEA cannot accept devices containing lithium ion batteries. If batteries cannot be removed prior to drop-off, individuals should consult with stores that recycle lithium ion batteries.
Concerns have been raised across the United States over illnesses and death caused by vaping and the high youth vaping initiation rates. In an effort to support a healthy lifestyle and energetic population, especially amongst America’s youth, DEA is committed to doing all it can to help safely dispose of vaping devices and substances.
“Saturday’s Prescription Drug Take Back Day is an opportunity for South Carolinians to safely dispose of unwanted prescription drugs, helping to keep dangerous narcotics out of the wrong hands and off of our streets,” said U.S. Attorney Lydon. “This is an important first step in preventing the misuse and abuse of prescription medication. We are grateful to DEA for their leadership and to each of our local partners for helping make this event a reality.”
“DEA’s 18th Prescription Drug Take Back event will allow Americans to safely and properly dispose of their unwanted/unused prescription medications,” said Robert J. Murphy, the Special Agent in Charge of the DEA Atlanta Field Division. “During Saturday’s Take Back event, DEA is taking a proactive step by collecting vaping devices and cartridges as we work with our partners to combat this emerging public health threat to the nation’s youth.”
Now in its tenth year, DEA has collected a total of more than 11 million pounds (almost 6,000 tons) of expired, unused, and unwanted prescription medications through its Take Back Day events. DEA is continuing to register law enforcement partners and collection sites for the upcoming Take Back Day. Over 4,500 registered law enforcement partners will assist with more than 5,250 registered sites and 135 tribal locations across the country, with more being added each day. Collection sites will be open from 10 a.m. to 2 p.m. The public can find a nearby collection site at www.DEATakeBack.com or by calling 800-882-9539.
National Take Back Day has received enthusiastic public support since its inception in 2010. Last April, the public turned in 469 tons (937,443pounds) of prescription drugs at more than 6,258 sites operated by the DEA and its 4,969 local and tribal partners.
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For more information about the harms of youth vaping, please visit: https://www.justthinktwice.gov/facts/vaping-what-you-should-know.
The DEA also encourages parents, along with their children, to educate themselves about the dangers of legal and illegal drugs by visiting DEA’s interactive websites at www.justhinktwice.com, www.GetSmartAboutDrugs.com and www.dea.gov.
DEA to Accept Electronic Vaping Devices as Part of National Prescription Take Back DayRead the Press Release
United States Attorney SHAWN N. ANDERSON, for the Districts of Guam and the Northern Mariana Islands (NMI), will join the Drug Enforcement Administration (DEA) on October 26th for its 18th National Prescription Drug Take Back Day. The biannual event will be held from 10:00 a.m. to 2:00 p.m., at thousands of collection sites around the country, including here in Guam and the NMI. This event is an effort to rid homes of potentially dangerous expired, unused, and unwanted prescription drugs.
For the first time, DEA will also accept vaping devices, cartridges – in addition to tablets, capsules, patches, and any other medication in solid forms – at any of its drop off locations. It is important to note that DEA cannot accept devices containing lithium-ion batteries. If batteries cannot be removed before drop off, please consult with stores that recycle lithium-ion batteries. DEA is doing all it can to help dispose safely of vaping devices and liquids to get these products off our streets and out of the hands of children.
Last April, citizens of Guam and the NMI turned in 675 pounds collectively. Nationwide, Americans turned in 469 tons (940,000 pounds) of prescription drugs at almost 6,300 sites operated by the DEA and more than 5,000 by its state and local law enforcement partners. Overall, in its 17 previous Take Back events, DEA and its partners have taken in over 12 million pounds—more than 5,900 tons of medication from circulation. The disposal service is free and anonymous; no questions asked.
Rates of prescription drug abuse in the U.S. are alarmingly high, as are the number of accidental poisonings and overdoses due to these drugs. Studies show that a majority of abused prescription drugs are obtained from family and friends, including from home medicine cabinets. According to the Centers for Disease Control and Prevention, more than 46 Americans die every day from overdoses involving opioid prescriptions. Some opioid abusers move on from prescription drugs to heroin: Four out of five new heroin users started with painkillers.
Flushing medications down the toilet or throwing them in the trash pose potential safety and health hazards to others and the environment. This initiative addresses the public safety and public health issues that surround drugs languishing in home cabinets, becoming highly susceptible to diversion, misuse, and abuse.
The following sites in Guam and the NMI are designated to receive unused prescription drugs and vaping device products on Saturday, October 26, 2019, between 10:00 a.m. and 2:00 p.m.:
- Agana Shopping Center (across from Vitamin World)
- K-Mart (Entrance)
- Andersen Air Force Base Exchange (Inside Entrance)
- Naval Base Guam (Navy Exchange Food Court)
- Saipan Commonwealth Health Center (in front of the pharmacy)
- Rota Health Center
- Tinian Health Center
Contact DEA Resident Agent in Charge Edward Talbot at 671-472-7384 regarding any questions about prescription drug abuse and any concerns regarding drug-related activity on Guam or in the NMI.
For more information, go to www.dea.gov, www.DEATakeBack.com