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Thursday 24 October 2019
Norman Man Pleads Guilty to Failing to File Federal Tax ReturnsRead the Press Release
OKLAHOMA CITY – BRIAN LEE FOSTER, 50, of Norman, has pleaded guilty to failing to file two personal federal income tax returns, announced U.S. Attorney Timothy J. Downing.
According to a two-count information filed on October 8, Foster received gross income of approximately $1,424,449 in 2012 and approximately $981,528 in 2013. The United States alleged he willfully failed to file any income tax return for each year.
Foster pleaded guilty today before U.S. Magistrate Judge Suzanne Mitchell. He admitted he earned substantial income in 2012 and 2013 and intentionally failed to file required tax returns.
At sentencing, Foster faces a maximum penalty on each count of one year in prison and a fine of up to $100,000, in addition to up to one year of supervised release. Pursuant to his plea agreement, he will also be required to pay restitution to the Internal Revenue Service for unpaid taxes, which could include years in addition to 2012 and 2013. Sentencing will take place in approximately 90 days.
These charges are the result of an investigation by the Internal Revenue Service—Criminal Investigations. The case is being prosecuted by Assistant U.S. Attorney Charles W. Brown.
Reference is made to court filings for further information.
Norcross cousins plead guilty to operating meth lab near an elementary schoolRead the Press Release
ATLANTA - Roberto Arroyo-Garcia has pleaded guilty to methamphetamine trafficking on premises where a minor child resides and within 1,000 feet of a school. Arroyo-Garcia and two co-defendants illegally entered the United States from Mexico and then utilized a family home across the street from an elementary school to operate a methamphetamine laboratory and to distribute methamphetamine.
“Running a drug lab in a residential neighborhood demonstrates how little the defendant cared for the safety of neighbors and especially children attending the school nearby,” said U.S. Attorney Byung J. “BJay” Pak. “Also, a child lived in the residence where the three operated the lab. Clearly, Garcia only cared about making money at any cost.”
“These criminals’ days of selling poison and endangering children, neighbors and other innocent people are over,” said Homeland Security Investigations Atlanta Acting Special Agent in Charge Travis Pickard. “HSI is firmly committed to working with state and local law enforcement partners to dismantle drug trafficking organizations and protect our communities.
Robert J. Murphy, the Special Agent in Charge of the DEA Atlanta Division said, “Methamphetamine traffickers pose a clear and present danger to our nation and DEA will be unrelenting in our efforts to bring them to justice. The defendant in this case put the lives of neighbors and school-age youth at risk by engaging in illegal drug trafficking activities near an elementary school. Such traffickers are a true menace to society. Now that they have been removed from the streets, our children and the entire community, are much safer. I want to thank our federal, state and local law enforcement counterparts who had a direct impact in making this investigation a success.”
According to U.S. Attorney Pak, the charges and other information presented in court: In August 2017, HSI agents began investigating a local methamphetamine distributor. Using a combination of investigative information, agents identified a stash house they believed was used as part of the drug distribution operation. The house was located across the street from part of an elementary school in Norcross, Georgia.
As agents were surveilling the suspected drug stash house, Georgia State Patrol, working in conjunction with HSI, stopped defendant Zury Brito-Arroyo as he was driving away from the house. Inside his car, they found $10,000 cash wrapped in green cellophane and a 9mm pistol. Brito-Arroyo’s five-year-old child and wife were also in the car. Upon searching Brito-Arroyo’s cell phone pursuant to a federal search warrant, agents discovered an app that monitored security cameras mounted at the stash house. Agents then searched the stash house, and found defendants Roberto Arroyo-Garcia and Bonifacio Brito-Maldonado actively operating a methamphetamine laboratory in a shed in the backyard. Arroyo-Garcia fled after being handcuffed, but was ultimately recaptured.
Agents seized over 12 kilograms of crystal methamphetamine from the shed and inside the house, plus additional methamphetamine in liquid form. They also seized a another 9mm pistol, $8,500 cash, and other methamphetamine trafficking paraphernalia including respirators, rubber gloves, and digital scales.
The DEA Clandestine Laboratory Enforcement Team responded to the scene to remove the dangerous chemicals. Agents also found children’s clothes inside the house, and later confirmed that a ten-year-old child, who was related to the defendants, lived there. With assistance from the Sandy Springs Police Department, agents also searched another residence used by Brito-Arroyo, where they discovered a plastic bin with methamphetamine residue, another 9mm pistol, an electronic money counter, and four bundles of cash totaling $41,000 wrapped in green cellophane.
At the time of these events, all three defendants were illegally present in the United States. Roberto Arroyo-Garcia, a/k/a Jonathan Valenzuela Rodriguez, a/k/a Santiago Arroyo Prieto, 37, of Norcross, Georgia, was previously deported twice following separate drug convictions. His co-defendants, Zury Brito-Arroyo, 27, and Bonifacio Brito-Maldonado, 23, pleaded guilty on October 17, 2019, to these charges and to maintaining a premises for methamphetamine trafficking.
In determining the actual sentence, the Court will consider the United States Sentencing Guidelines, which are not binding but provide appropriate sentencing ranges for most offenders.
The U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the Drug Enforcement Administration, the Georgia State Patrol, and the Sandy Springs Police Department are investigating this case.
Assistant U.S. Attorneys Ryan M. Christian and Garrett L. Bradford, Deputy Chief of the Narcotics and Dangerous Drugs Section, are prosecuting the case.
The U.S. Attorney’s Office in Atlanta recommends parents and children learn about the dangers of drugs at the following web site: www.justthinktwice.gov.
This prosecution was brought as a part of the Department of Justice’s Organized Crime Drug Enforcement Task Forces (OCDETF) Co-located Strike Forces Initiative, which provides for the establishment of permanent multi-agency task force teams that work side-by-side in the same location. This co-located model enables agents from different agencies to collaborate on intelligence-driven, multi-jurisdictional operations against a continuum of priority targets and their affiliate illicit financial networks. These prosecutor-led co-located Strike Forces capitalize on the synergy created through the long-term relationships that can be forged by agents, analysts, and prosecutors who remain together over time, and they epitomize the model that has proven most effective in combating organized crime. The specific mission of the Atlanta Strike Force is to disrupt and dismantle the most significant drug trafficking organizations designated as Consolidated Priority Organization Targets (CPOTs) or Regional Priority Organization Targets (RPOTs) and their affiliates in the Atlanta metropolitan area and the Northern District of Georgia.
OCDETF was established in 1982 to conduct comprehensive, multilevel attacks on major drug trafficking and money laundering organizations and is the keystone of the Department of Justice’s drug reduction strategy. Today, OCDETF combines the resources and expertise of its member federal agencies in cooperation with state and local law enforcement. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking organizations, transnational criminal organizations, and money laundering organizations that present a significant threat to the public safety, economic, or national security of the United States.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
New York Man Sentenced for Fraud and Aggravated Identity TheftRead the Press Release
Bangor, Maine: A New York man was sentenced on Tuesday in federal court in Bangor for bank fraud, using other people’s Social Security numbers, and aggravated identity theft.
U.S. District Judge Lance E. Walker sentenced Mark Pignatello, 55, of Yonkers, New York, to 52 months in prison and three years of supervised release. Pignatello pled guilty on April 24, 2019. Pignatello was also ordered to pay $20,893 in restitution.
According to court records, over three days in October 2018, Pignatello traveled across Maine and New Hampshire, visiting branches of People’s United Bank, at which he would pass or attempt to pass counterfeit checks. These checks were made out to individuals other than Pignatello. In order to facilitate his scheme, Pignatello used the Social Security numbers and other personal information of these individuals to impersonate them, as well as counterfeit driver’s licenses bearing his image, but with their personal information. Pignatello was ultimately apprehended by the Newport, Maine police outside of the Newport branch of People’s United Bank, where his activity had been identified as fraudulent.
The U.S. Secret Service and the Bangor, Newport, and Orono Police Departments investigated the case.
New Carlisle Man Convicted at Trial Sentenced to Prison and Ordered to Pay $2,271,720.05 in RestitutionRead the Press Release
SOUTH BEND – Kevin Clinton, age 62, of New Carlisle, Indiana, was sentenced before U.S. District Court Judge Robert L. Miller, Jr, after being convicted on 4 counts of mail fraud during a 2-day trial in May 2019, announced U.S. Attorney Kirsch.
Clinton was sentenced to 71 months in prison and ordered to pay $2,271,720.05 in restitution.
According to evidence presented at trial, Clinton was employed as the Chief Information Officer at a business in South Bend. From about March 2012 through October 2017, he executed a scheme to defraud his employer. He incorporated a separate business called Innovation Services that supposedly provided information-technology services to his employer, and he used a virtual office to submit fraudulent billings to his employer totaling over $2.2 million. Clinton’s employer sent checks to the virtual office as payment for fake services claimed in the fraudulent billings. At the time, his employer did not know Clinton owned the sham business.
The case was investigated by the FBI. The case was prosecuted by Assistant United States Attorneys Luke N. Reilander and Joel Gabrielse.
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Mexican man previously deported 9 times faces drug chargesRead the Press Release
CINCINNATI — The United States charged a Mexican man in a three-count superseding indictment with intent to distribute cocaine and more than 400 grams of fentanyl, as well as illegally re-entering the United States after having been previously deported.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, and U.S. Immigration and Customs Enforcement’s (ICE) Enforcement and Removal Operations (ERO) Field Office Director Rebecca Adducci, announced the superseding indictment returned yesterday.
Luis Tapia, 27, was arrested at a Cincinnati residence on Sept. 13. At the time of his arrest, Tapia attempted to escape from a second-floor window onto the roof. He eventually retreated into the house and locked himself in a closet. Special Response Team agents then forcibly entered the home and apprehended Tapia. He has remained in custody since.
In August 2019, Tapia fled from law enforcement during a routine traffic stop. Before fleeing the stop, Tapia falsely identified himself as his brother, who is legitimately in the country under the Deferred Action for Childhood Arrivals (DACA) policy. Tapia is ineligible to remain in the country under DACA due to his previous felony convictions. Further investigation uncovered a photograph of Tapia illegally reentering the country at a border checkpoint.
According to ICE records, Tapia had been previously removed to Mexico nine times between 2012 and 2019. After each removal, he illegally reentered the United States. Tapia was most recently deported on April 25, 2018.
Reentry of a removed alien is punishable by up to 10 years in prison. Possessing more than 400 grams of fentanyl with the intent to distribute carries a mandatory minimum sentence of 10 years, with a potential maximum sentence of life imprisonment. Possessing cocaine with the intent to distribute carries a potential maximum sentence of 20 years in prison.
U.S. Attorney Glassman commended the investigation of this case by ICE, Homeland Security Investigations (HSI), and the Cincinnati and Norwood police departments, as well as Special Assistant United States Attorney Kelly K. Rossi, who is prosecuting the case.
An indictment should not be considered as evidence of guilt; all persons charged with a crime are presumed innocent until proven guilty beyond a reasonable doubt.
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Mexican Man Sentenced to Prison Following Deportation and Document FraudRead the Press Release
A Mexican man who had been deported, illegally returned to the United States, and then used false identification documents to obtain a job was sentenced today to almost three months in federal prison.
Jose Martinez-Lopez, age 47, a citizen of Mexico illegally present in the United States and residing in West Liberty, Iowa, received the prison term after an August 22, 2019, guilty plea to one count of unlawful use of identification documents, one count of misuse of a Social Security number, and one count of illegal reentry into the United States.
At the guilty plea, Martinez-Lopez admitted he had previously been deported from the United States and that he illegally reentered the United States without the permission of the United States government. Martinez-Lopez was deported in April 1992 following a conviction for theft in El Paso County, Texas.
Martinez-Lopez also admitted he used a fraudulent Social Security card and a fraudulent permanent resident card, also known as a “green card,” when he completed employment and tax forms in March 2019 at a business in Stanwood, Iowa. On the employment application, Martinez-Lopez falsely claimed to be a lawful permanent resident of the United States. The Social Security account number on the card used by Martinez-Lopez was fictitious. The Alien Registration number on the “green card” was issued to another person. On July 11, 2019, Martinez-Lopez was found and arrested by immigration agents at the business in Stanwood where Martinez-Lopez was employed.
Martinez-Lopez was sentenced in Cedar Rapids by United States District Court Chief Judge Leonard T. Strand. Martinez-Lopez was sentenced to 80 days’ imprisonment. He must also serve a three-year term of supervised release after the prison term. There is no parole in the federal system.
Martinez-Lopez is being held in the United States Marshal’s custody until he can be turned over to immigration officials.
The case was prosecuted by Assistant United States Attorney Daniel C. Tvedt and investigated by Department of Homeland Security, Immigration and Customs Enforcement, Enforcement and Removal Operations.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 19-CR-75.
Follow us on Twitter @USAO_NDIA.
Mexican Man Guilty of Illegally Using Social Security Number to Obtain EmploymentRead the Press Release
NEW ORLEANS, LOUISIANA – United States Attorney Peter G. Strasser announced that MANUEL LIRA-RIVERA, age 35, a native of Mexico, pleaded guilty October 23, 2019 to illegally using a Social Security number in order to obtain employment, in violation of Title 42, United States Code, Section 408(a)(7)(B).
According to court documents, LIRA-RIVERA submitted an application to obtain employment with Company “A.” During the application process, he presented a fraudulent United States Social Security card in the name of R.L.A. (a male) which contained the Social Security number of A.E.E. (a female) ending in 6757, which he represented to be his own. An employee suspected that the Social Security card was fraudulent and law enforcement was contacted. LIRA-RIVERA admitted that his real name was not R.L.A. and that the Social Security number ending in 6757 did not belong to him.
LIRA-RIVERA faces a maximum term of imprisonment of not more than five (5) years, a fine of $250,000.00, and a mandatory special assessment fee of $100.00. United States District Court Judge Ivan L.R. Lemelle set sentencing for December 18, 2019.
U.S. Attorney Strasser praised the work of United States Customs and Border Protection, Immigration and Customs Enforcement, Homeland Security Investigations, and Social Security Administration agents in investigating this matter. Assistant United States Attorney Jon Maestri is in charge of the prosecution.
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Member of Violent New Haven Gang Sentenced to More Than 6 Years in Federal PrisonRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that MICHAEL VIA, also known as “Mike Live,” 22, of New Haven, was sentenced today by U.S. District Judge Michael P. Shea in Hartford to 78 months of imprisonment, followed by three years of supervised release, for his role in a violent street gang.
According to court documents and statements made in court, in 2016, the New Haven Police Department’s Shooting Task Force and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) began investigating numerous unsolved shootings that had occurred in New Haven and Hamden. Ballistic examination of recovered cartridge cases determined that three firearms were used in 18 shootings committed in or around New Haven in 2016. The investigation revealed that the firearms were possessed by members and associates of the Goodrich Street Boys (“GSB”), a New Haven street gang, and that GSB members also were involved in a number of other shootings in 2016, many of them retaliatory against rival gang members.
On August 3, 2017, a grand jury in New Haven returned a 13-count indictment charging Via and five other GSB members with racketeering, attempted murder, firearm and narcotics trafficking offenses. The indictment alleged that, between September 2015 and May 2016, GSB members and associates were involved in six gang-related shootings that caused injuries to five individuals.
Via previously pleaded guilty to one count of conspiracy to engage in a pattern of racketeering activity and admitted that he and other GSB members conspired to kill an individual who they believed had been disrespectful to a GSB member. On May 27, 2016, GSB members ambushed the individual and his friend as the pair were walking on a busy street in New Haven. The individual, who survived the attack, identified GSB member Milton Westley as an assailant. Westley, also known as “Reese,” shot the victim in the stomach. After the victim collapsed to the ground, Westley stood over him and shot him in the head. Another GSB member shot the second victim in the hand as he attempted to shield his face.
The victim who was shot in the stomach and head continues to recover from his injuries. He was in coma for several weeks and had to learn to walk and talk again.
This victim had been shot at by GSB members twice prior to May 27, 2016.
GSB members also shot at rival gang members on February 6, 2016, in a densely populated residential area; March 13, 2016, during a heavily attended St. Patrick’s Day parade in downtown New Haven; and June 21, 2016, during which an innocent bystander was shot in the stomach through her bedroom window.
The investigation further revealed that Via regularly distributed marijuana. Via and other GSB members also used social media to post pictures and videos of themselves with firearms. Via also used social media to threaten rivals, including individuals who might cooperate with law enforcement.
Via has been detained since his arrest on August 9, 2017. On July 31, 2019, he pleaded guilty to one count of conspiracy to engage in a pattern of racketeering activity.
Westley and the four other defendants also have pleaded guilty to various charges and are detained while awaiting sentencing.
U.S. Attorney Durham noted that this prosecution is a part of the Justice’s Department’s Project Safe Neighborhoods (PSN) program and Project Longevity. PSN is a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make neighborhoods safer for everyone. Project Longevity is a comprehensive initiative to reduce gun violence in Connecticut’s major cities. Through Project Longevity, community members and law enforcement directly engage with members of groups that are prone to commit violence and deliver a community message against violence, a law enforcement message about the consequences of further violence and an offer of help for those who want it.
This investigation is being conducted by ATF and the New Haven Police Department. The FBI, Hamden Police Department and New Haven State’s Attorney’s Office have provided critical assistance in the investigation.
An instrumental component of this investigation has been the work of the Connecticut State Crime Laboratory in utilizing the National Integrated Ballistic Information Network (NIBIN) to analyze ballistics evidence.
This matter is being prosecuted in the District of Connecticut by Assistant U.S. Attorneys Peter D. Markle, Rahul Kale and Jocelyn Courtney Kaoutzanis.
McClellandtown, PA Man Charged with Possessing IEDsRead the Press Release
PITTSBURGH, Pa – A resident of Fayette County, Pennsylvania has been indicted by a federal grand jury in Pittsburgh on a charge of violating federal firearms laws, United States Attorney Scott W. Brady announced today.
The one-count Indictment, returned on October 15 and unsealed yesterday, named Nathanael Varney, age 24, of McClellandtown, PA, as the sole defendant.
According to the Indictment, on or about August 15, 2019, Varney possessed an unregistered firearm, specifically four improvised explosive devices.
The law provides for a maximum sentence of not more than 10 years in prison, a fine of not more than $250,000.00, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Brian M. Czarnecki is prosecuting this case on behalf of the government.
The Pennsylvania State Police and the Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation leading to the Indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Mandeville Nurse Charged with Conspiracy to Alter or Falsify Records in a Federal InvestigationRead the Press Release
NEW ORLEANS - U.S. Attorney Peter G. Strasser announced that SUZANNE C. MAY, age 61, of Mandeville was charged October 22, 2019 by a Bill of Information with conspiracy to alter or falsify records in connection with a federal investigation, namely, a Medicare audit of a hospice facility located in New Orleans, identified in court documents as Company 1.
According to court documents, MAY was a registered nurse in the State of Louisiana and served as the administrator of Company 1. In 2015, Medicare audited Company 1 and concluded that Company 1 did not have the proper patient documentation to justify Company 1’s level of billing for hospice services. As a result, Medicare reversed all the claims for hospice services under review in that audit, which amounted to $383,107.26. In connection with that audit, Medicare sent an education letter to MAY regarding what was required of Company 1 in order to bill for hospice services.
In August 2017, Medicare performed another audit of Company 1 and requested patient documentation for 99 beneficiaries for whom Company 1 submitted claims for purportedly providing hospice care services. MAY was in charge of gathering the documents requested by the August 2017 audit. After reviewing Company 1’s files for these beneficiaries, MAY understood that Company 1 did not have the required records to justify Company 1’s billings to Medicare for purported hospice care services for the claims under review.
According to court documents, between August 2017 and October 2017, MAY and other employees of Company 1, altered, amended, and falsified patient records to hide the fact that Company 1 lacked required medical records to justify bills submitted to Medicare for purported hospice services for the beneficiaries at issue in the audit. Court documents detail an instance where MAY placed whiteout on one patient record and created a note on that record indicating that she treated that patient as a nurse in November 2014, when she had not done so. MAY caused all these falsified patient records to be submitted to Medicare in response to the August 2017 audit so that Company 1 would pass the Medicare audit. Despite the falsifications, Medicare still determined that Company 1’s patient records were still largely deficient.
If convicted, MAY faces a possible maximum sentence of 5 years imprisonment, a $250,000 fine, and up to three years supervised release in addition to a $100 special assessment.
U.S. Attorney Strasser praised the work of the Federal Bureau of Investigation, the Department of Health and Human Services, and the Louisiana Attorney General’s Office’s Medicaid Fraud Control Unit for their work investigating the case.
U.S. Attorney Strasser reiterated that the Bill of Information is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
The case is being prosecuted by Jared Hasten of the Criminal Division’s Fraud Section and Assistant United States Attorney Kathryn McHugh.
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Man Sentenced for 5 Years for Madison Bank RobberyRead the Press Release
MADISON, WIS. - Scott C. Blader, United States Attorney for the Western District of Wisconsin, announced that Albert Singer, 24, Madison, Wisconsin, was sentenced today by U.S. District Judge James Peterson to five years in federal prison for bank robbery. Singer pleaded guilty to this charge on July 25, 2019.
Singer robbed the Chase Bank on East Towne Boulevard in Madison on August 11, 2018. During the bank robbery, Singer presented the victim bank teller with a note stating that it was a robbery, and threatened them harm if they didn’t give him money.
Noting that bank robberies have a significant effect on victims, Judge Peterson said that even though a weapon was not used, Singer still harmed the victim. Singer was on state supervision for robbery at the time of this bank robbery, and is facing revocation in that case.
This case has been brought as part of Project Safe Neighborhoods (PSN), the U.S. Justice Department’s program to reduce violent crime. The PSN approach involves collaboration by federal, state and local law enforcement agencies, prosecutors and communities to prevent and deter violent crime.
The charge against Singer was the result of an investigation conducted by the Federal Bureau of Investigation and Madison Police Department. The prosecution of the case has been handled by Assistant U.S. Attorney Corey Stephan.
Lincoln Man Sentenced for Conspiracy to Distribute Methamphetamine and CocaineRead the Press Release
United States Attorney Joe Kelly announced that on October 24, 2019, Senior United States District Judge Richard G. Kopf, sentenced Hersel Raymar Bradley, 41, of Lincoln, to 19 years and seven months, (235 months) in prison. Bradley pled guilty to a charge of conspiracy to distribute, and possess with intent to distribute, 500 grams or more of methamphetamine, 5 grams or more of methamphetamine actual and 500 grams of cocaine in July of 2019. Information provided to law enforcement indicated Bradley was responsible for the distribution of at least 15 kilograms (approximately 33 pounds) of methamphetamine mixture, at least 20 grams (approximately ¾ ounce) of methamphetamine actual and at least 500 grams (approximately 18 ounces) of cocaine in the Lincoln area between August of 2016 and August of 2018. Following the prison term, Bradley will serve five years on supervised release.
This case was investigated by the Lincoln/Lancaster County Drug Task Force.
Lewiston Man Pleads Guilty to Cocaine ChargeRead 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 Frank Rowles, 59, of Lewiston, NY, pleaded guilty before U.S. District Judge Lawrence J. Vilardo to possession with intent to distribute cocaine. The charge carries a maximum penalty of 20 years in prison, and a fine of $1,000,000.
Assistant U.S. Attorney Justin G. Bish, who is handling the case, stated that on January 3, 2019, law enforcement officers executed a search warrant at 5150 Homestead Place in Lewiston, NY, and recovered two digital scales and a quantity of cocaine.
The plea is the result of an investigation by Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly, and the Niagara County Drug Task Force, under the direction of Niagara County Sheriff James Voutour.
Sentencing is scheduled for March 6, 2020, at 10:30 a.m. before Judge Vilardo.
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Law Enforcement, Community Leaders Announce New Cooperative Effort to Curb Violent CrimeRead the Press Release
Roanoke, VIRGINIA – Leaders from the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the Drug Enforcement Administration (DEA), Federal Bureau of Investigation (FBI), Virginia State Police, City of Roanoke Police Department, and Roanoke City Public Schools, joined United States Attorney Thomas T. Cullen today in announcing the formation of Roanoke C.A.R.E.
Roanoke C.A.R.E. is the Coalition of federal, state, and local law enforcement agencies and partners Acting together to more effectively investigate, and prosecute crimes to Reduce the number of shootings, violent crimes, and gang activity in the City of Roanoke, and to Educate both the school and broader community about the dangers of gun violence and gang life.
“We are committed to working directly with the Roanoke Police Department and our other federal, state, and local partners to prosecute acts of violence, gun-related crimes, and gang activity in federal court,” U.S. Attorney Cullen stated today. “I am also pleased to support our Mayor and Dr. Bishop in their critical efforts to curb the rise of organized gang activity in our neighborhoods and classrooms.”
U.S. Attorney Cullen explained during today’s announcement that the agencies involved in Roanoke C.A.R.E. will meet regularly to share intelligence on trends, examine crime data, and work to move ongoing criminal investigations more efficiently toward federal prosecution. In addition, partner agencies will work with officials from the City of Roanoke, Roanoke City Public Schools, and community groups to engage residents about the dangers of gun violence and a gang lifestyle.
“The safety of all citizens in the City of Roanoke is the paramount concern of Roanoke City Council. Roanoke City Council has taken several actions to address the issue of violence, including the creation of a community-based task force focused on finding tangible, meaningful, and transformative solutions to gun violence in our community,” said Roanoke Mayor Sherman P. Lea Sr. “Roanoke City strongly endorses this federal, state, and local initiative to address violence within our City and Region as an exciting opportunity to engage all community stakeholders to partner with agencies in implementing effective solutions to violence in the Roanoke Valley. Roanoke City is committed to being an active contributor and participant in this initiative and applauds the commitments of all partners in this program.”
“Student safety is the number one priority of Roanoke City Public Schools. I appreciate the cooperation of the U.S. Attorney, the Mayor, Chief of Police, and other partner agencies in addressing violence in Roanoke,” said Dr. Rita Bishop, Superintendent of Roanoke City Public Schools. “The School Division will be an active partner in confronting the problem.”
“We are looking forward to this enhanced partnership opportunity, and are ready to loosen the ties these dangerous individuals have in the Roanoke Valley,” said City of Roanoke Police Chief Timothy Jones. “When the influences of gang life and violence become focused on our children, the community must collectively respond to protect our most vulnerable members.”
“ATF is fully committed to working with our federal, state, and local law enforcement partners to reduce violent crime and gang activity in the City of Roanoke,” said Special Agent in Charge Ashan M. Benedict, ATF Washington Field Division. “The C.A.R.E. initiative is a forward-looking and comprehensive approach to combating violent crime on multiple fronts. Not only are we focusing resources on more effectively investigating gun crime and bringing criminals to justice, we are also concentrating on earlier intervention in the school to provide students with the knowledge and tools necessary to avoid the reach of gang life and gun violence. This holistic approach will keep the Roanoke community safer by removing illegal guns and violent offenders from our streets and curbing violence before it begins.”
“This announcement of the Roanoke C.A.R.E. effort is an exciting initiative for law enforcement and a valuable resource to help protect the citizens of Roanoke and hold criminals accountable,” said Jesse R. Fong, Special Agent in Charge of DEA’s Washington Field Division. “Combining the unique skills, talents, and capabilities of the participating agencies and resources will enable us to better address the wide variety of significant drug and violent crime threats facing Roanoke-area communities. The DEA is fully committed to helping assist in this critical new initiative with substantial resources and effort.”
“We all see the families who are affected somehow by the violence that's erupting in our communities and schools - theft to fuel a drug dependency; children that are exposed to drugs or gangs on the streets, in the schools or in their own homes; or the death of a loved one from an overdose or some other violent crime - these are hard truths for the community,” said Neil L. Mathison, Acting Special Agent in Charge of the FBI’s Richmond Division. “Creating this initiative, combining these collective resources, will be a significant factor in addressing violent crime; but law enforcement can't do it alone. Please work with us, be engaged and report suspicious activity - help us, help you!"
Roanoke C.A.R.E. is part of the Western District of Virginia’s Project Safe Neighborhoods [PSN] initiative to reduce gun and violent crime in Roanoke and Danville. PSN, the centerpiece of the Department of Justice’s violent crime reduction efforts, is an evidence-based program proven 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.
Latin King Gang Member Sentenced to Prison for Racketeering ConspiracyRead the Press Release
HAMMOND-David Ulmenstine, 28, of Posen, Illinois, and a member of the Chicago-based Latin Kings, was sentenced by Judge Simon to 70 months in prison and 2 years of supervised release following his guilty plea to conspiracy to participate in racketeering activity, announced U.S. Attorney Kirsch.
According to documents in the case, Ulmenstine was held responsible for activity involving between 400 and 500 grams of cocaine distributed by the Latin Kings street gang. As a member of the Latin Kings, Ulmenstine attended gang meetings and paid dues, which went to the purchase of such things as firearms and narcotics for the gang. Ulmenstine was involved in distributing narcotics and patrolled Latin King neighborhoods looking out for rival gang members and police.
This case is the result of the investigative efforts of the Federal Bureau of Investigation, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the East Chicago Police Department, the Gary Police Department, the Hammond Police Department, the Lake County, Indiana, Sheriff’s Department and Lake County High Intensity Drug Trafficking Area officers and agents. The Lake County Prosecutor’s Office and the U.S. Attorney’s Office, Northern District of Illinois, have also provided assistance. The Latin King case is being prosecuted by Northern District of Indiana Assistant U.S. Attorneys David J. Nozick and Nicholas J. Padilla.
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KC Man Sentenced to 14 Years for Armed Robbery of Pizza Hut, Illegal FirearmRead the Press Release
KANSAS CITY, Mo. – A Kansas City, Mo., man was sentenced in federal court today for illegally possessing the firearm he used in the armed robbery of a Pizza Hut restaurant.
Teandre L. Wilson, 40, was sentenced by U.S. District Judge Roseann Ketchmark to 14 years in federal prison without parole.
On April 9, 2019, Wilson pleaded guilty to one count of armed robbery and one count of being a felon in possession of a firearm. Wilson admitted he robbed the Pizza Hut at 9515 Blue Ridge Blvd., Kansas City, Mo. Wilson entered the Pizza Hut at about 4:30 p.m. on Aug. 12, 2018. He approached the register, made brief small talk with the cashier, then lifted the right side of his shirt to reveal a firearm tucked in his waistband. “Give me your money,” he told the cashier, “or I’ll pop ya.” The cashier emptied the register and handed the money to Wilson, who fled from the premises.
Shortly afterward, on Aug. 24, 2018, Kansas City police officers responded to a report of gunshots in the area of 6th Street and Benton Boulevard. The caller told officers he heard shots from his residence, then looked out his window and saw a man later identified as Wilson hiding behind a car. Wilson was found by officers in the parking lot of a 7-Eleven store. Wilson was arrested and officers seized a loaded Springfield Armory .45-caliber pistol from his right waistband.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Wilson has prior felony convictions for possessing or distributing a controlled substance, and a prior felony conviction for robbery.
This case was prosecuted by Assistant U.S. Attorney Jeffrey Q. McCarther. 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 Tulsa Woman for Conspiracy to Distribute MethamphetamineRead the Press Release
A federal jury found a Tulsa woman guilty Wednesday of conspiring to distribute 500 grams or more of methamphetamine, two counts of possession with intent to distribute methamphetamine, and maintaining a drug involved premises, announced U.S. Attorney Trent Shores.
The jury convicted Amy Lee Davis, 38, of Tulsa, for her role as the primary source of supply in the Tulsa methamphetamine distribution operation.
“Amy Davis was charged with moving more than 20 pounds of methamphetamine, and today a jury of her peers found her guilty as charged,” said U.S. Attorney Shores. “Methamphetamine continues to be the most widely abused drug in Oklahoma. Ms. Davis spread addiction on the streets of Tulsa. I am proud of the prosecution and investigative teams for their hard work to pursue justice for our community.”
During the investigation, officers with the Tulsa Police Department’s Special Investigations Division discovered that Davis consistently supplied a group of drug dealers with pound quantities of methamphetamine for distribution and was suspected of routinely traveling to Oklahoma City in order to re-up her supply of the drug. Davis was further found to have maintained a commercial property in Tulsa where she regularly stored and sold the drug.
On Nov. 13, 2018, Tulsa police officers executed search warrants at multiple locations routinely visited by Davis. Multiple firearms, methamphetamine, digital scales, and large amounts of cash were discovered in the searches. The same day, officers also stopped Davis and a co-conspirator on a return trip from Oklahoma City for a traffic violation. Officers found drug paraphernalia and seven pounds of methamphetamine in the vehicle. Davis was arrested and detained at the David L. Moss Criminal Justice Center. After being released on bond, Davis was arrested again in April for failure to appear for preliminary proceedings in Tulsa County District Court. At that time, officers found approximately 3 ounces of methamphetamine in her possession.
During the trial, the United States presented text messages Davis had exchanged with a person she believed to be a methamphetamine customer but turned out to be an undercover Tulsa police officer. In the texts, Davis used coded language that officers testified was consistent with language used by drug traffickers arranging a sale. Officers also testified about jailhouse calls made by Davis while she was housed at the David L. Moss Criminal Justice Center. The United States showed that Davis contacted her known co-conspirators to collect on debts and to assist with posting bond. Officers explained that it is a common practice for drug conspirators to bond one another out in order to maintain their drug distribution operations and profits associated with their crimes.
In closing, the United States argued that the evidence showed Davis was a “top-tier drug trafficker” who stored drugs and drug proceeds at multiple locations in Tulsa and used a team of individuals to funnel pounds of methamphetamine into Tulsa and surrounding communities. The United States noted that officers had testified to conducting multiple different types of surveillance over the course of several weeks to track Davis’s drug distribution activities before they arrested Davis.
U.S. District Judge Gregory K. Frizzell presided over the trial and scheduled sentencing for Jan. 30, 2020. At sentencing, Davis faces a minimum penalty of 10 years in prison and a maximum penalty of life imprisonment. She also faces maximum fine of $10 million.
The Tulsa Police Department Special Investigations Division and the Drug Enforcement Administration investigated the case. Assistant U.S. Attorneys Joel-lyn A. McCormick, Thomas E. Duncombe, and Vani Singhal are prosecuting the case for the United States. AUSA McCormick serves as the lead attorney for the United States Attorney’s Office’s Organized Crime Drug Enforcement Task Force unit.
Inmate-Gang Member Sentenced for Using the Mail to Threaten to Kill Federal Prosecutor and His FamilyRead the Press Release
Jacksonville, Florida – U.S. District Judge Brian J. Davis has sentenced Dylan Ray Langley (25, Fort Myers) to two years and six months in federal prison for using of the U.S. Mail to threaten to injure an officer of the United States.
Langley had pleaded guilty on June 19, 2019.
According to court documents, while serving a state prison sentence for armed robbery, Langley mailed a letter to an Assistant United States Attorney. In his letter, Langley threatened to kill the prosecutor as revenge for his having prosecuted Langley’s “brother.” He also made serious threats against the prosecutor’s family. When interviewed by federal agents, Langley admitted that he had sent the letter and intended to carry out his threats. He explained that the letter’s mention of a “brother” did not refer to any biological brother, but rather a fellow gang member. Langley changed his story after an agent told him that if a state prisoner commits, and is convicted of, a federal crime, the prisoner must serve his state sentence and then the federal sentence. During a second interview with agents, Langley claimed that he never intended to carry out the threat and mistakenly had believed that threatening a federal official would result in him being moved from state custody into federal custody.
This case was investigated by Federal Bureau of Investigation, the U.S. Marshals Service, and the Florida Department of Corrections. It was prosecuted by Assistant United States Attorney Michael J. Coolican.
Illegal alien admits to reentry chargeRead the Press Release
MARTINSBURG, WEST VIRGINIA – Jesus Sinaca-Ambrose, a citizen of Mexico, has admitted to a reentry charge, U.S. Attorney Bill Powell announced.
Sinaca-Ambrose, age 30, pled guilty to one count of “Reentry of Removed Alien.” Sinaca-Ambrose admitted to being in Berkeley County in July 2019 after being removed twice for being in the country illegally.
Sinaca-Ambrose faces up to two years incarceration and a fine of up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Jeffrey A. Finucane is prosecuting the case on behalf of the government. The Department of Homeland Security Immigrations and Customs Enforcement and the Martinsburg Police Department investigated.
U.S. Magistrate Judge Robert W. Trumble presided.
Illegal Alien from Mexico Found Guilty of Assault on Federal Law Enforcement OfficerRead the Press Release
Jackson, Miss. – Vincente Lopez-Sanchez, 40, an illegal alien from Mexico, was found guilty by a federal jury Tuesday before U.S. District Judge Henry T. Wingate of assaulting and inflicting serious bodily injury upon a federal law enforcement officer, announced U.S. Attorney Mike Hurst and Special Agent in Charge Jere T. Miles with Immigration and Customs Enforcement’s Homeland Security Investigations in New Orleans.
“Our men and women in law enforcement put themselves in harm’s way every day, and any time someone attacks or harms them, our office will be there to quickly and aggressively prosecute such criminals. This defendant, who has previously broken our nation’s immigration laws multiple times and who should have never been in the country to begin with, is another example of the importance of strong enforcement of our immigration laws and the protection of our nation’s border, so that our citizens and our law enforcement can remain safe,” said U.S. Attorney Hurst.
On August 2, 2018, Lopez-Sanchez was stopped by an officer with the Brandon Police Department for a traffic violation. The police officer contacted Immigration and Customs Enforcement and a Deportation Officer came to the scene. Once on the scene, Lopez-Sanchez assaulted the ICE Deportation Officer, causing serious bodily injury to the officer.
Lopez-Sanchez has two previous federal felony convictions for smuggling illegal aliens and two previous federal felony convictions for illegal reentry into the United States.
Lopez-Sanchez will be sentenced by Judge Wingate on February 18, 2020, and faces a maximum sentence of 20 years in federal prison and a $250,000 fine.
The case was investigated by Homeland Security Investigations and the Brandon Police Department. It is being prosecuted by Assistant United States Attorneys Lynn Murray and Ted Cooperstein.
Hudson County Man Admits Role in Wire Fraud Scheme to Defraud Financial Institution CustomersRead the Press Release
NEWARK, N.J. – A Hudson County, New Jersey, man today admitted participating in a scheme that involved defrauding financial institution customers of almost half a million dollars, U.S. Attorney Craig Carpenito announced.
Ramon Herrera, 36, of Union City, New Jersey, pleaded guilty before U.S. District Judge Katharine S. Hayden to an information charging him with one count of wire fraud.
According to documents filed in this case and statements made in court:
Between May 2015 and January 2018, Herrera used his position as a registered broker and financial advisor at a clearing services company associated with “Financial Institution-1” to meet and learn confidential information about Financial Institution-1 customers in the Hudson County area, for whom he was ostensibly providing advice and brokerage services. Herrera caused the Financial Institution-1 customers he was advising, many of whom were elderly and/or communicated with Herrera in Spanish, to sign blank withdrawal slips, which Herrera then completed and presented to bank tellers at Financial Institution-1 branches. Herrera directed the bank tellers to withdraw the money from the customers’ accounts in the form of cashier’s checks, which enabled Herrera to then apply the checks against the various personal accounts that Herrara and a family member maintained at Financial Institution-1. In total, Herrera stole more than $450,000 from approximately 40 Financial Instiution-1 customers. He used the stolen funds for his own purposes without the customers’ knowledge or authorization.
The conspiracy to commit wire fraud charge carries a maximum potential penalty of 20 years in prison and a fine equal to the greater of $250,000 or twice the gain derived from or loss caused by the offense. Sentencing is scheduled for Feb. 4, 2020.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Special Agent in Charge Gregory W. Ehrie in Newark, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Jennifer S. Kozar of the U.S. Attorney’s Office Economic Crimes Unit in Newark.
Defense counsel: Jason LeBoeuf Esq., Livingston, New Jersey
Hartford Man with Violent Criminal History Pleads Guilty to Illegal Possession of AmmunitionRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that TYSHAWN COLEMAN, 30, of Hartford pleaded guilty today in Hartford federal court to one count of possession of ammunition by a convicted felon.
According to court documents and statements made in court, in the early morning hours of August 5, 2017, Hartford Police stopped a car after a witness had reported that the car was involved in a fatal shooting on Edgewood Street less than 30 minutes earlier. Coleman was sitting in the front passenger seat. An officer conducted a pat-down of Coleman and retrieved two clear zip-lock bags from his pocket. One of the bags contained marijuana, and the other contained a .45 caliber bullet.
Prior to August 2017, Coleman had sustained two felony convictions for conspiracy to commit murder, three felony convictions for accessory to first-degree assault, one felony conviction for first degree assault, and one felony conviction for sale of a controlled substance.
It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.
Coleman has been detained since his arrest. He is scheduled to be sentenced by U.S. District Judge Alvin W. Thompson on January 16, 2020, at which time he faces a maximum term of imprisonment of 10 years.
This matter is being investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Hartford Police Department. The case is being prosecuted by Assistant U.S. Attorney Michael J. Gustafson.
This prosecution 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 neighborhoods safer for everyone.
Hammond Woman Sentenced for Wire Fraud, Mail Fraud and Aggravated Identity TheftRead the Press Release
HAMMOND – Temika Coleman, age 41, of Hammond, Indiana was sentenced before U.S. District Court Judge James T. Moody upon her plea of guilty to wire fraud, mail fraud, and aggravated identity theft, announced U.S. Attorney Kirsch.
Coleman was sentenced to 121 months in prison and ordered to pay in excess of $180,000 in restitution to various financial institutions and retailers.
According to documents in this case, Coleman participated in a scheme that involved stolen personal identifying information from victims in more than 10 states and Canada. Coleman and co-defendants stole some of the victims’ information from a hospital in Arizona. The stolen records included birth dates, social security numbers, addresses, telephone numbers, employment information, insurance carriers, treating physicians, and identifying information related to the victims’ emergency contacts. Coleman and others fraudulently opened credit cards, bank accounts, and retail credit accounts on-line.
Co-defendant Vincent Prunty of Chicago was sentenced in August 2019, to 154 months in prison for his role in the scheme. Co-defendant Germico Childress of Calumet City, IL pled guilty in June 2018, and is awaiting sentencing.
The case was the result of an investigation by the U.S. Postal Inspection Service. This case was prosecuted by Assistant United States Attorney Toi Denise Houston.
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Gilmer County woman and Braxton County man admit to roles in a methamphetamine distribution operationRead the Press Release
CLARKSBURG, WEST VIRGINIA – Kisha Starr Riggs, of Glenville, West Virginia, and Duncan Currie Canter, of Burnsville, West Virginia, have admitted to their involvement in methamphetamine distribution operation, U.S. Attorney Bill Powell announced.
Riggs, age 31, and Canter, age 25m each pled guilty to one count of “Aiding and Abetting Distribution of Methamphetamine in Proximity to a Protected Location.” Riggs and Canter admitted to selling methamphetamine near Glenville State College in September 2018 in Gilmer County.Riggs and Canter each face at least one year and up to 40 years incarceration and a fine of up to $2,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Brandon S. Flower is prosecuting the cases on behalf of the government. The Mountain Lakes Drug & Violent Crimes Task Force investigated.
U.S. Magistrate Judge Michael John Aloi presided.
Georgia attorney sentenced for obstructionRead the Press Release
ATLANTA - Natasha Simone White, has been sentenced for obstructing an official forfeiture proceeding. White, a lawyer and licensed real estate agent, used drug proceeds to renovate a house she owned in California. She blatantly disobeyed warnings from the federal government not to sell the house, and made off with a profit of almost one million dollars from the sale.
“While she did not sell the drugs, White lined her pockets with the excessive profits gained from drug trafficking, using the funds to build her dream house in California,” said U.S. Attorney Byung J. “BJay” Pak. “But when the Government came knocking, White packed her bags and tried to leave town, along with $1 million dollars in profit. As an attorney herself, White should have known better than to obstruct the federal government in its pursuit of justice.”
“HSI is firmly committed to targeting the illegal import and sale of narcotics; following the money trails, and leveraging our transnational partnerships to stop drug trafficking organizations in their tracks,” said Homeland Security Investigations Atlanta Acting Special Agent in Charge Travis Pickard. “HSI will continue to focus on bringing to justice members of drug trafficking organizations, those complicit in their activities as well as seizing every illicitly-derived proceed and ill-gotten gain.”
“The sentencing of Natasha White signals an important victory for the American public. The role of IRS Criminal Investigation in narcotics investigations is to follow the money so we can financially disrupt and dismantle major international drug trafficking organizations,” said Thomas J. Holloman III, IRS Criminal Investigation, Special Agent in Charge, Atlanta Field Office. “One of the government's most powerful weapons is the ability to seize the assets associated with narcotics-related crime. We are proud to work hand-in-hand with our law enforcement partners to bring these criminals to justice.”
According to U.S. Attorney Pak, the charges and other information presented in court: In 2012, federal agents began investigating a drug trafficking and money laundering organization operating in the Atlanta area. In 2015, agents identified White, who was at the time a romantic interest of a target of the drug investigation, for her possible involvement in the laundering of the drug proceeds.
Through the investigation, agents began to suspect White was involved in concealing the source of the drug proceeds. Agents learned that White is an attorney admitted to the State Bar of Georgia and a real estate broker licensed in California. Agents also learned that White had received hundreds of thousands of dollars in drug proceeds, which she used to purchase a house located in Los Angeles, California, for $625,000, and then renovate and improve with an additional $600,000.
Once in 2015, and again in 2016, agents interviewed White about the drug and money laundering investigation, and each time, the agents informed White that the Los Angeles house was subject to federal forfeiture on the grounds that it was the proceeds of drug trafficking and that it was involved in money laundering. Agents also advised White not to sell the property, and she agreed.
In August 2016, agents discovered that White listed the Los Angeles house for sale on various real estate websites with an asking price of $1,600,000. White's attorney agreed to have her withdraw the property from the listing services, and a few days later, agents confirmed that she had done so.
On September 29, 2016, the United States filed a civil forfeiture complaint against the Los Angeles house in the U.S. District Court for the Northern District of Georgia. Agents then contacted White's lawyer to inform him that the complaint had been filed and that the government would be recording a lien, known as a lis pendens, against the house in the real property records of Los Angeles County, California. Agents also informed the attorney that White could be charged with obstruction if she were to sell the house.
On November 6, 2016, despite instructions to the contrary from the federal government, White sold the Los Angeles house for $1,550,000 to a third-party who had no knowledge that the property was subject to forfeiture. After paying off the mortgage, White received sale proceeds of more than $997,196, which she spent, among other things, to purchase a house in Union City, Georgia, to fund her bank accounts, and to pay off hundreds of thousands of dollars in personal and family debt, including her school loans.
Natasha White, 44, of Inglewood, California, pleaded guilty to obstruction before U.S. District Judge Mark Cohen on July 22, 2019. White was sentenced to six months in prison followed by two years of supervised release with the first six months to be served on home confinement. She was also ordered to pay a personal forfeiture money judgment of $997,196 and to forfeit the real property located in Union City, Georgia and approximately $59,000 in funds seized from her bank accounts.
The U.S. Department of Homeland Security, Homeland Security Investigations, the Internal Revenue Service, and the Drug Enforcement Administration investigated this case.
Assistant U.S. Attorneys C. Brock Brockington, Sekret T. Sneed, Deputy Chief of the Asset Forfeiture and Money Laundering Section, and former Assistant U.S. Attorney Timothy H. Lee prosecuted the case. Assistant U.S. Attorney Michael J. Brown, Chief of the Asset Forfeiture and Money Laundering Section, prosecuted the related civil forfeiture case against the Los Angeles house.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Fulton County man indicted for allegedly attempting to coerce a 15-year-old girl into sexual activityRead the Press Release
A Fulton County man was indicted for allegedly attempting to coerce a 15-year-old girl into sexual conduct.
Kyle Brackman, 25, of Delta, Ohio, was indicted on one count of coercion and enticement of a minor.
According to court documents:
A high school principal in Iowa contacted local police in 2017 after learning a 15-year-old student was communicating with Brackman and the messages were sexual in nature.
Brackman sent the juvenile four images of his genitals and solicited a video from the girl, according to court documents.
Brackman was arrested on July 28, 2019 after officers responded to reports of a male making sexually suggestive remarks and gestures to a 10-year-old girl and a 13-year-old girl, according to court documents
If convicted, the defendant’s sentence will be determined by the Court after reviewing factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
The Federal Bureau of Investigation investigated the case, which is being prosecuted by Assistant U.S. Attorney Tracey Ballard Tangeman.
An indictment is only a charge and is not evidence of guilt. Defendants are entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Fort Hall Man Pleads Guilty to Assault Resulting in Serious Bodily InjuryRead the Press Release
POCATELLO – Stormy Ray Adakai, 24, of Fort Hall, Idaho, pleaded guilty to assault resulting in serious bodily injury, U.S. Attorney Bart M. Davis announced today. Adakai was indicted by a federal grand jury in Pocatello on November 27, 2018. Sentencing for Adakai is set for January 22, 2020, before Chief U.S. District Judge David C. Nye at the federal courthouse in Pocatello.
According to court records, on September 2, 2018, at approximately 3:02 a.m., the Fort Hall Police were notified of a truck driver who had been assaulted while inside his semi-truck parked near the TP Gas Station on Ross Fork Road, in the area of the Fort Hall Casino, on the Fort Hall Indian Reservation. The victim told police that, while he was asleep in his truck’s cab, an unknown male, later identified as Adakai, broke into the cab and assaulted him. Adakai demanded money and struck the victim repeatedly with rocks. As a result of the assault, the victim suffered a broken nose, a broken orbital (eye) bone, and a brain hemorrhage. The victim also had seizures as a result of the brain hemorrhage.
A witness identified Adakai as the assailant. Investigators then interviewed Adakai. Adakai admitted assaulting the victim, using rocks to beat the victim. He stated that he was intoxicated and wanted money from the victim.
The charge of assault resulting in serious bodily injury is punishable by up to ten years in prison, a maximum fine of $250,000, and a term of supervised release of up to three years.
This case was investigated by the Federal Bureau of Investigation and the Fort Hall Police Department.
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Fort Belknap man sentenced to 22 years for sexually abusing girlRead the Press Release
GREAT FALLS—A Fort Belknap man convicted of sexually abusing a girl on the Fort Belknap Indian Reservation was sentenced this week to 22 years in prison and 15 years of supervised release, U.S. Attorney Kurt Alme said today.
James Edward Snell, Jr., 42, pleaded guilty to aggravated sexual abuse.
U.S. District Judge Brian Morris presided at the Oct. 22 sentencing hearing.
Prosecutors said in court records that an investigation of Snell, and defendant Geneva Marie Nadeau, found photographs and videos of them in 2015 sexually abusing a girl, who was under the age of 12. Nadeau confirmed that Snell was in a photograph of a sex act involving the victim. Nadeau was sentenced in February to 22 years in prison and 15 years of supervised release after pleading guilty to aggravated sexual abuse.
Assistant U.S. Attorneys Ryan Weldon and Jared Cobell prosecuted the case, which was investigated by the FBI and Fort Belknap law enforcement.
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Former U.S. Air Force Staff Sergeant Sentenced to 40 Years in Federal Prison for Receipt and Distribution of Child PornographyRead the Press Release
This morning, a federal judge sentenced a former U.S. Air Force Staff Sergeant assigned to Lackland Air Force Base to 40 years in federal prison for receipt and distribution of child pornography, announced U.S. Attorney John F. Bash, U.S. Air Force Office of Special Investigations (AFOSI) Special Agent/Lt. Col. Jeffrey Hall, Commander of the 11th Field Investigations Squadron, Joint Base San Antonio, and FBI Special Agent in Charge Christopher Combs, San Antonio Division.
In addition to the prison term, Chief U.S. District Judge Orlando Garcia ordered that 34-year-old Rowell Flora of San Antonio, TX, be placed on supervised release for a period of 20 years after completing his prison term. Judge Garcia also ordered Flora to pay $20,000 restitution and a $10,000 special assessment under the Justice for Victims of Trafficking Act.
“This case is yet another example of a child predator put behind bars for decades. I’m proud of the work of our office and our law-enforcement partners,” stated U.S. Attorney Bash.
On February 1, 2018, Flora pleaded guilty to one count of receipt of child pornography and one count of distribution of child pornography. According to court records, federal authorities executed a search warrant at the defendant’s residence on August 2, 2017, and seized numerous electronic devices, including the defendant’s cell phone, desktop computer, laptop computer and several external hard drives. A forensics examination of the seized materials revealed the presence of child pornography. By pleading guilty, Flora admitted to using his phone and computer equipment to receive and distribute multiple images and videos depicting child pornography, including files created and sent to him in June 2017 by a female with whom he was involved in a romantic relationship, 21-year-old Jaelene Roxana Fenior. Flora persuaded Fenior to sexually exploit a minor child for Flora’s own self-gratification.
Fenior, who has admitted to generating images and videos of child pornography and transmitting them to Flora, was sentenced on June 20, 2018, to time served (approx. 10 months) and 15 years of supervised release.
Flora has remained in federal custody since his arrest on August 2, 2017.
“This case was a perfect example of the joint capabilities of AFOSI and FBI. We are very proud of the special agents from both agencies that worked tirelessly to ensure a child predator was removed from society,” stated Lt. Col. Hall.
AFOSI and the FBI investigated this case. Assistant U.S. Attorneys Tracy Thompson prosecuted this case on behalf of the government.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Former President of Our Lady of the Lake Foundation Sentenced to Federal Prison for Wire Fraud and Money LaunderingRead the Press Release
United States Attorney Brandon J. Fremin announced that U.S. District Judge John W. deGravelles sentenced John Paul Funes, age 49, of Baton Rouge, to 33 months in federal prison following his conviction for wire fraud and money laundering. The Court further sentenced Funes to two years of supervised release following his term of imprisonment. As the Court noted at the sentencing hearing, the defendant has already forfeited $796,309, and the Court ordered the defendant to pay an additional $50,000 as a fine.
According to admissions made during his plea, Funes executed a scheme to defraud Our Lady of the Lake Foundation (the “Foundation”), a non-profit organization that supports the Our Lady of the Lake Regional Medical Center, and caused a loss of more than $550,000. During today’s sentencing hearing, the Court determined that the defendant’s fraudulent scheme caused a specific loss of $796,309. Funes prepared, signed, and submitted payment vouchers that caused the Foundation's accounting personnel to issue checks for the payees, amounts, and purposes reflected on the vouchers. Because of his position at the Foundation, Funes could approve his own vouchers, which enabled him to submit dozens of false and fraudulent vouchers that misrepresented the purpose of the checks. In furtherance of the scheme, for example, Funes submitted numerous fraudulent vouchers in which he represented that Foundation funds were necessary to pay a charter flight company to make time-sensitive “outbound patient transports” from Our Lady of the Lake Children’s Hospital, when in fact Funes was repeatedly using the flight company's services for his own personal benefit, unbeknownst to the Foundation. On numerous occasions, after fraudulently causing the Foundation to issue payments to other individuals, Funes would direct those individuals to funnel the majority of the funds back to him, by check or money order, thereby conducting financial transactions designed in part to conceal proceeds of the fraudulent scheme. In August of 2018, when the Foundation’s finance department began an internal audit of the expenses described above, Funes created numerous false documents in an effort to conceal the scheme.
U.S. Attorney Brandon J. Fremin stated, “This defendant blatantly violated the trust bestowed upon him by the Our Lady of the Lake Foundation and people they serve by stealing valuable resources from those who needed it most. This conviction and sentence should serve as a warning to those who would betray such trust. We are pleased that justice has prevailed, and I am grateful to the Foundation for the full cooperation and valuable assistance it has provided throughout this investigation. I am extremely proud of our prosecutor and the agents from the Secret Service, the FBI, and the IRS-Criminal Investigation Division for quickly getting to the bottom of this scheme and bringing the defendant to justice.”
Tara McLeese, Resident Agent in Charge of the United States Secret Service in Baton Rouge said “Today’s sentencing is the result of an outstanding collaborative effort between Federal Prosecutors and Federal investigative agencies based in the Baton Rouge area.”
Bryan A. Vorndran, FBI New Orleans Special Agent in Charge stated, “John Paul Funes betrayed Our Lady of the Lake Foundation, its donors, and the Baton Rouge community by embezzling funds that were intended to benefit the area's sick and injured children. The FBI New Orleans Field Office, along with the Internal Revenue Service – Criminal Investigation Division and U.S. Secret Service, will continue to vigorously investigate and hold those accountable who illegally profit at the expense of our community's institutions.”
“Funes abused his CEO position while engaging in a series of fraudulent transactions devised to siphon funds from a worthwhile public charity. IRS Criminal Investigation is proud to have assisted our partners in unraveling the criminal activity and fraudulent financial transactions undertaken by Funes for his personal benefit,” said Thomas J. Holloman III, Special Agent in Charge, IRS Criminal Investigation Atlanta Field Office. “Pooling the skills of each agency makes a formidable team as we investigate allegations of wrong-doing. Today's sentencing demonstrates our collective efforts to enforce the law and ensure public trust.”
This investigation is being handled by the United States Secret Service, along with the Federal Bureau of Investigation and the Internal Revenue Service-Criminal Investigation Division. This matter is being prosecuted by Assistant United States Attorney Alan Stevens, who also serves as Deputy Criminal Chief.
Former Owner of Giovanni’s Roast Beef & Pizza Sentenced for Tax FraudRead the Press Release
BOSTON – The former owner of Giovanni’s Roast Beef & Pizza in Saugus was sentenced today in federal court in Boston for failing to report $800,000 in corporate and personal income to the IRS.
Steve Konis, 70, was sentenced by U.S. Senior District Court Judge Douglas P. Woodlock to three months in prison, two years of supervised release, and ordered to pay a fine of $100,000 and restitution of $178,196. In July 2019, Konis pleaded guilty to two counts of aiding and assisting in filing false corporate tax returns.
Konis was the sole owner of Giovanni’s Roast Beef & Pizza in Saugus. From 2012 through October 2016, Konis underreported the gross receipts of Giovanni’s in order to reduce the federal income taxes owed by Konis and Giovanni’s. Konis accomplished this by diverting some of the restaurant’s cash receipts for his own benefit, paying for some supplies with cash, and paying a portion of his employees’ wages in cash. In addition, Konis failed to report all of Giovanni’s business expenses in order to make the false gross receipts he reported appear more realistic. As a result, Konis failed to report on cash receipts totaling approximately $800,000 and cash expenses of $312,000 on Giovanni’s tax returns. As a result, for tax years 2012 through 2015, Konis avoided paying corporate and personal taxes totaling $178,169.
United States Attorney Andrew E. Lelling and Kristina O’Connell, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston made the announcement. Assistant U.S. Attorney Mark J. Balthazard of Lelling’s Securities and Financial Fraud Unit prosecuted the case.
Former Norfolk Sheriff Indicted on Public Corruption ChargesRead the Press Release
NORFOLK, Va. – A federal grand jury returned an indictment today charging a former Sheriff of the City of Norfolk with defrauding the citizens of Norfolk through a bribery scheme.
According to allegations in the indictment, Robert McCabe, 61, who currently resides in West Palm Beach, Florida, and Gerard Boyle, 64, of Franklin, Tennessee, engaged in an illicit quid pro quo relationship while McCabe was the Sheriff of the City of Norfolk. During most of the time covered in the indictment, Boyle was the Chief Executive Officer of Correct Care Solutions, a company that he founded and which contracted with the Norfolk Sheriff’s Office to provide medical services to the inmates at the Norfolk City Jail.
According to allegations in the indictment, between about January 2004 and December 2016, Boyle provided McCabe with cash, travel, a loan, entertainment, gift cards, personal gifts and campaign contributions, in exchange for official actions that favored Boyle’s company in connection with the medical services contract, including contract extensions and renewals, as well as inside bidding information.
The indictment also alleges that McCabe engaged in a similar illicit quid pro quo relationship with the unnamed Chief Executive Officer of a Louisiana-based company that provided food services management to the Norfolk City Jail.
McCabe is charged with eleven counts, including conspiracy to commit honest services mail fraud, honest services mail fraud, conspiracy to obtain property under color of official right, obtaining property under color of official right, and conspiracy to commit money laundering. If convicted, he faces a maximum penalty of 20 years in prison for each count. Boyle is charged with six counts, including conspiracy to commit honest services mail fraud, honest services mail fraud, conspiracy to obtain property under color of official right, and conspiracy to commit money laundering. If convicted, Boyle faces a maximum penalty of 20 years in prison for each count. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Martin Culbreth, Special Agent in Charge of the FBI’s Norfolk Field Office; and Kelly R. Jackson, Special Agent in Charge, Washington, D.C. Field Office, IRS-Criminal Investigation (IRS-CI), made the announcement. Assistant U.S. Attorneys Melissa E. O’Boyle, Alan M. Salsbury, and Randy C. Stoker are 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. 2:19-cr-171.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.
Former Jacksonville High School Teacher Sentenced to More Than 9 Years for Distributing Child Sexual Abuse Video over the InternetRead the Press Release
Jacksonville, Florida – United States District Judge Timothy J. Corrigan has sentenced Jordan Frederic Schemmel (38, Ormond Beach) to nine years and two months in federal prison for distributing depictions of child sexual abuse over the internet. Schemmel had pleaded guilty on May 22, 2019. Schemmel was also sentenced to a 10-year term of supervised release and ordered to register as a sex offender upon his release.
According to court documents, on September 5, 2018, Schemmel, using the username “Profsunrise15,” responded to a message on an internet bulletin board frequented by individuals with a sexual interest in children and incest. The message had been posted by an undercover FBI agent. Schemmel began an online conversation with the agent using a popular social messaging application. After some conversation about his sexual interest in children between the ages of 9 and 13, Schemmel sent a video to the agent that depicted a young child being sexually assaulted by an adult male, and later sent a photo depicting similar criminal conduct with a child. During this time, Schemmel was a teacher at Terry Parker High School in Jacksonville.
On October 19, 2018, FBI agents and other law enforcement officers executed a search warrant at Schemmel’s residence in Jacksonville. During an interview, Schemmel stated that he was interested in incest and bestiality, that he had sent the child-pornographic video using the app, and that he had tried unsuccessfully to stop viewing child pornography after receiving sexual gratification from it. Forensic examination of Schemmel’s smartphone and a USB thumb drive seized from his residence revealed that he had collected 102 images and 28 videos depicting child pornography, several of which depicted the sadistic sexual abuse of young children.
This case was investigated by the Federal Bureau of Investigation, U.S. Customs and Border Protection, and the Jacksonville Sheriff’s Office. It was prosecuted by Assistant United States Attorney D. Rodney Brown.
It is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Former Hennepin County Employee and Husband Sentenced to Prison for Theft of Government FundsRead the Press Release
United States Attorney Erica H. MacDonald today announced the sentencing of ROBERT ANTHONY COLEMAN, 46, to one year and one day in prison and YOLANDA YVETTE COLEMAN a/k/a YOLANDA YVETTE PITTMAN, 51, to six months in prison for conspiring to defraud multiple government social services programs over the course of several years. The defendants, who pleaded guilty on May 8, 2019, were sentenced on October 23, 2019, before Senior Judge David S. Doty in U.S. District Court in Minneapolis, Minnesota.
According to the defendants’ guilty pleas and documents filed with the court, from 2002 through December 2016, PITTMAN was employed by the Hennepin County Human Services and Public Health Department (HSPHD). From at least October 2009, PITTMAN’s job duties gave her access to computer databases used in processing applications for government benefits intended to assist low-income persons with food, medical, and other living expenses, including Medical Assistance and SNAP food stamp benefits. During this time, PITTMAN became romantically involved with COLEMAN, who was a HSPHD client prior to and continuing into their relationship. PITTMAN and COLEMAN were married on August 17, 2014.
According to the defendants’ guilty pleas and documents filed with the court, from October 2010 through August 2018, PITTMAN and COLEMAN conspired to fraudulently obtain Section 8 rental housing assistance subsidies, SNAP benefits, Medical Assistance benefits, Supplemental Security Income (SSI) benefits from the Social Security Administration, and other public assistance, by concealing information and submitting false applications to the government entities responsible for implementing these programs. For example, PITTMAN and COLEMAN failed to disclose that they resided together while COLEMAN received Section 8, SNAP, Medical Assistance, and SSI public assistance benefits. PITTMAN also acted as COLEMAN’S Personal Care Attendant (PCA) for several years, with COLEMAN’S Medical Assistance benefits paying for these PCA services. The total loss amount was $248,838.
This case was the result of an investigation conducted by the Department of Housing and Urban Development – Office of the Inspector General, Hennepin County Fraud Investigations Unit, and the Social Security Administration – Office of the Inspector General.
Assistant U.S. Attorney Sarah Hudleston and Special Assistant U.S. Attorney Lindsey Middlecamp prosecuted the case.
Defendant Information:
ROBERT ANTHONY COLEMAN, 46
Minneapolis, Minn.
Convicted:
- Conspiracy to commit theft of government funds, 1 count
Sentenced:
- One year and one day in prison
- Three years of supervised release
YOLANDA YVETTE COLEMAN, a/k/a YOLANDA YVETTE PITTMAN, 51
Minneapolis, Minn.
Convicted:
- Conspiracy to commit theft of government funds, 1 count
Sentenced:
- Six months in prison
- Two years of supervised release
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United States Attorney’s Office, District of Minnesota: (612) 664-5600
Former Director of Corporate Law at Global Technology Company Indicted for Insider TradingRead the Press Release
NEWARK, N.J. – The former corporate secretary and director of corporate law at a global technology company headquartered in Cupertino, California, was indicted today for orchestrating a five-year insider trading scheme, U.S. Attorney Craig Carpenito announced.
Gene Levoff, 45, of San Carlos, California, was indicted on six counts of securities fraud and six counts of wire fraud. Levoff was initially charged by complaint in February 2019.
According to documents filed in this case and statements made in court:
Between February 2011 and April 2016, Levoff – the top corporate attorney at “Company-1,” who also served as the company’s assistant secretary and corporate secretary –allegedly misappropriated material, nonpublic information about Company-1’s financial results and then executed trades involving the company’s stock. This scheme to defraud Company-1 and its shareholders allowed Levoff to realize profits of approximately $227,000 on certain trades and to avoid losses of approximately $377,000 on others.
Levoff used his position as a member and co-chairman of Company-1’s Disclosure Committee – which reviewed and discussed the company’s draft quarterly and yearly earnings materials and periodic U.S. Securities and Exchange Commission (SEC) filings before they were disclosed to the public – to obtain material, nonpublic financial information about Company-1. Levoff used this confidential information to buy and sell stock in Company-1 ahead of its quarterly earnings announcements. When Levoff discovered that Company-1 had posted strong revenue and net profit for a given financial quarter, he purchased large quantities of stock, which he later sold for a profit once the market reacted to the news. When he learned that Company-1 had posted lower-than-anticipated revenue and net profit, he sold large quantities of Company-1 stock, avoiding significant losses.
Levoff was subject to Company-1’s regular quarterly “blackout periods,” which prohibited individuals who had access to material nonpublic information from engaging in trades until a certain period after the company disclosed its financial results to the public. Levoff ignored this restriction, as well as the company’s broader Insider Trading Policy – which he was responsible for enforcing – and instead repeatedly executed trades based on material, nonpublic information without Company-1’s knowledge or authorization. On several occasions, Levoff executed trades within a blackout period after notifying other individuals subject to the restriction that they were prohibited from buying or selling Company-1 stock until the blackout period terminated.
The securities fraud counts carry a maximum penalty of 20 years in prison and a $5 million fine. The wire fraud counts carry a maximum penalty of 20 years and a fine of the greater of $250,000 or twice the gain derived from or loss caused by the offense.
The U.S. Securities and Exchange Commission (SEC) previously filed a civil complaint against Levoff based on the same conduct.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Special Agent in Charge Gregory W. Ehrie in Newark, with the investigation. He also thanked the SEC, for the assistance provided by its Enforcement Division, and Company-1, which cooperated with law enforcement over the course of the investigation.
The government is represented by Senior Trial Counsel Courtney A. Howard of the Economic Crimes Unit and Assistant U.S. Attorney Daniel V. Shapiro, Chief of the Economic Crimes Unit.
The charges and allegations contained in the indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Former Director of Perry County Family Center Pleads Guilty to EmbezzlementRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that the former Executive Director of the Perry County Family Center, Shelly A. Dreyer-Aurila, age 53, of New Bloomfield, Pennsylvania, pleaded guilty on October 22, 2019, before Senior U.S. District Court Judge Sylvia H. Rambo, for embezzlement of funds involving federal programs.
According to United States Attorney David J. Freed, Dreyer-Aurila admitted that between 2010 and 2017, as Executive Director of the 501(c)(3) charitable organization in New Bloomfield, Pennsylvania, knowingly embezzled and converted to her own personal use more than $200,000 under the care and control of the Center. The Center annually receives more than $10,000 in federal grants from the U.S. Department of Health and Human Services through the Pennsylvania Department of Health and Human Services to fund programs such as its Maternal, Infant & Early Childhood Home Visiting program and its Child Abuse Prevention program.
The case was investigated by the Pennsylvania Department of State, Bureau of Enforcement and Investigation, Charitable Investigation Unit. Assistant U.S. Attorney James T. Clancy is prosecuting the case.
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 10 years of imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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Former Chairman of Rochester Housing Authority Facing Additional Charges in Superseding IndictmentRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that a federal grand jury has returned a 28-count superseding indictment charging George H. Moses, 50, of Rochester, NY, with conspiracy to commit wire fraud, wire fraud, and aggravated identity theft. The conspiracy and wire fraud charges carry a maximum penalty of 20 years in prison and a $250,000 fine, while the aggravated identity theft charge carries a mandatory consecutive term of two years in prison. In May 2018, the defendant was charged in a two-count indictment for making false statements to the FBI. Those charges are also part of the superseding indictment, and carry a maximum penalty of 20 years in prison and a $250,000 fine.
Assistant U.S. Attorney Richard A. Resnick, who is handling the case, stated that according to the superseding indictment, the new charges involve alleged schemes to defraud Quad A for Kids and Rochester Housing Charities.
Moses is the Executive Director of North East Area Development Association (NEAD) in Rochester, a not-for-profit neighborhood organization governed by a volunteer board of directors, which worked with city officials and agencies to revitalize and stabilize the Sector 8 neighborhood in the northeast quadrant of Rochester. The defendant was also the Chairman of the Board of Commissioners of the Rochester Housing Authority (RHA) until 2018, and a member of the board of directors of the Rochester Housing Charities (RHC) from March 2015 to 2017.
Former Rochester City Councilmember Adam McFadden was the Executive Director of Quad A for Kids, which provided after-school and extended-day learning programs at some elementary schools in the Rochester City School District. The organization operated as an entity separate from the Rochester City School District and received funding from the Rochester Area Community Foundation Initiatives Inc. (RACF). Quad A for Kids shared some of the RACF’s administrative staff but employed its own executive director, executive assistant, and program staff. McFadden also owned Caesar Development LLC, a limited liability company located in Rochester.
Moses is accused of conspiring with Adam McFadden to defraud Quad A for Kids and the RACF. In August 2017, and February 2018, McFadden created two false invoices stating that Quad A for Kids owed NEAD $4,000 for purported training and other services NEAD provided on behalf of Quad A for Kids at various Rochester City schools. Moses and McFadden fraudulently caused the RACF, on behalf of Quad A for Kids, to pay NEAD $8,000, knowing that services were never provided. McFadden then created two invoices which falsely stated that NEAD owed his company Caesar Development LLC a total of $7,000 for purported consultation services Caesar Development LLC provided to NEAD. In fact, Caesar Development LLC did not provided such consultation services to NEAD. Earlier this month, McFadden pled guilty in federal court for his role in the Quad A for Kids fraud and is awaiting sentencing.
Moses is also charged with defrauding the RHC by causing the RHC to overpay the RHC’s Executive Director’s salary and to make other payments to the Executive Director to which the Executive Director was not entitled. The defendant then received a portion of the funds which were overpaid to the Executive Director, either in the form of a cash payment or a wire transfer to a bank account controlled by Moses. Specifically, between January 2018 and September 2019, the defendant caused the RHC to pay to the RHC’s Executive Director $500 in salary every two weeks to which the Executive Director was not entitled. Moses then caused $380 from each fraudulent payment to be transferred to the defendant’s bank account without the knowledge of the Executive Director.
“As alleged in the superseding indictment, Mr. Moses, a public servant, unlawfully sought to divert public money to himself,” noted U.S. Attorney Kennedy. “This Office, together with our partners in law enforcement, will remain vigilant in our efforts to bring to justice all of those, like the defendant, who decide to betray the public trust in order to line their own pockets.”
The superseding indictment is the result of an investigation by the Federal Bureau of Investigation, Rochester Office, under the direction of Special Agent-in-Charge Gary Loeffert; the Department of Housing and Urban Development, Office of Inspector General, under the direction of Special Agent-in-Charge Brad Geary; and the Internal Revenue Service, Criminal Investigations Division, under the direction of Jonathan D. Larsen, Special Agent-in-Charge, New York Field Office.
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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Five Indicted in Insurance Fraud Scheme Involving a Staged AccidentRead the Press Release
NEW ORLEANS, LOUISIANA – United States Attorney Peter G. Strasser announced today the Indictment of DAMIAN K. LABEAUD (“LABEAUD”), age 47, of New Orleans and LUCINDA THOMAS (“THOMAS”), age 63, MARY WADE (“WADE”), age 55, JUDY WILLIAMS (“WILLIAMS”), age 59, and DASHONTAE YOUNG (“YOUNG”), age 25, all of Houma, Louisiana. These five defendants were charged in a six-count federal indictment with one (1) count of Conspiracy to Commit Wire Fraud in violation of Title 18, United States Code, Section 371 and five (5) counts of Wire Fraud in violation of Title 18, United States Code, Section 1343. If convicted, the defendants face a maximum penalty of five (5) years for Count 1 and twenty (20) years as to Counts 2-6. Upon their release from prison, each defendant can be placed on a term of supervised release up to five (5) years and fined up to $250,000.00 per count.
According to the Indictment, on June 6, 2017, THOMAS, WADE, WILLIAMS, and YOUNG drove from Houma, LA, to meet with LABEAUD for the purpose of staging an automobile accident in order to obtain money through fraud. After their meeting, THOMAS, WADE, WILLIAMS, and YOUNG agreed to allow LABEAUD to drive THOMAS’ 2009 Chevrolet Avalanche vehicle. The defendants then drove around the vicinity of Chef Menteur Highway and Downman Road of New Orleans until they located a 2017 Freightliner tractor-trailer operated by an Arkansas trucking company. At approximately 12:30 P.M., LABEAUD intentionally collided with the tractor-trailer. LABEAUD then exited THOMAS’ vehicle and instructed THOMAS to get behind the wheel of THOMAS’ Avalanche to make it appear that THOMAS was driving the vehicle at the time of the staged accident.
THOMAS, WADE, WILLIAMS, and YOUNG contacted the New Orleans Police Department (“NOPD”) and falsely reported that THOMAS had been the driver of the Avalanche and that the traitor-trailer had struck her vehicle. LABEAUD then returned to the scene and also made false statements to the NOPD that he had witnessed the accident and that the driver of the tractor-trailer had been at fault.
According to the Indictment, before and after the staged accident, LABEAUD contacted Attorney A and arranged a meeting with THOMAS, WADE, WILLIAMS, and YOUNG at a fast food restaurant on Chef Menteur Highway. It is further alleged in the Indictment that Attorney A paid LABEAUD $7,500.00 on the day of the staged accident. Attorney A then demanded approximately $1,000,000.00 per plaintiff in settlement for THOMAS, WADE, and WILLIAMS. Attorney A then filed two lawsuits in the Civil District Court (“CDC”) for the Parish of Orleans. Both of the lawsuits filed in CDC by Attorney A were removed to the U.S. District Court for the Eastern District of Louisiana. The Indictment alleges that THOMAS, WADE, and WILLIAMS each provided false testimony in various depositions taken in conjunction with the lawsuits filed by Attorney A.
Ultimately, but only after a year of pursuing their fraudulent lawsuits, did THOMAS, WADE, and WILLIAMS settle their cases for $7,500.00 each. Each of these five defendants are charged with substantive counts of Wire Fraud based on settlement payments issued by the victim trucking company.
THOMAS, WADE, WILLIAMS, and YOUNG were ordered to appear for an initial appearance and arraignment on this Indictment. LABEAUD was arrested today by special agents with the Federal Bureau of Investigation after the indictment was returned by the Grand Jury.
The U.S. Attorney’s Office would also like to acknowledge the assistance of the Federal Bureau of Investigation, Louisiana State Police, and the Metropolitan Crime Commission with this matter. The prosecution of this case is being handled by Assistant U.S. Attorney Brian M. Klebba, Supervisor of the Financial Crimes Unit, Assistant U.S. Attorney Edward Rivera, Assistant U.S. Attorney Shirin Hakimzadeh, and Trial Attorney Jared Hasten of the U.S. Department of Justice’s Fraud Section, Health Care Fraud Unit.
Felon Pleads Guilty to Unlawful Possession of A FirearmRead the Press Release
RENO, Nev. — Donte Jamar Smith, 41, of Reno, pleaded guilty today to felon in possession of a firearm, U.S. Attorney Nicholas A. Trutanich announced.
According to court documents, Reno Police officers encountered Smith at a street intersection in Reno on July 27, 2019, asleep inside a running vehicle in a travel lane and smelling of alcohol. Upon exiting the vehicle, Smith became noncompliant with officers and during a search of his pants pocket, he was found in possession of a stolen .380 caliber semi-automatic firearm. Smith falsely informed the officers that he had been issued a concealed weapon permit. Smith is unable to lawfully possess firearms because he previously sustained three felony convictions in Clark County for offenses including Robbery with a Deadly Weapon, Burglary with use of a Deadly Weapon, and Ex-Felon in Possession of a Firearm. As Smith was escorted to a patrol vehicle, he attempted to flee on foot but was tackled and subdued.
This case was the product of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Megan Rachow is prosecuting the case.
Smith is scheduled to be sentenced by Chief U.S. District Judge Miranda Du on February 24, 2020. Smith faces a maximum statutory penalty of 10 years in prison and a $250,000 fine. Any 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.
This case is part of Project Safe Neighborhoods (PSN), a program that brings together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer. The Department of Justice reinvigorated PSN in 2017 as part of its renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime. For more information about PSN, visit www.justice.gov/usao-nv.
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Felon Indicted for Armed CarjackingRead the Press Release
St. Louis – A federal grand jury returned an indictment today against Brandon Shell, 20, of St. Louis City, Missouri, on multiple criminal counts stemming from a carjacking that took place on October 12, 2019.
According to court documents, on October 12, 2019, in the 3700 block of Juniata, Brandon Shell approached a group of four people with a gun in his hand. As he held the victims at gunpoint, Shell demanded their money and keys to the car they had just parked, a 2013 Kia Optima. The victims, fearing for their safety, gave Shell their money and the keys. Shell fled the scene in the car. St. Louis Metropolitan Police Department officers were able to track the stolen car, which was found in the 5300 block or Oriole near Pine Lawn, a short time after the robbery. Shell got out of the car and continued to flee on foot. The police officers ultimately apprehended Shell and took him into custody.
Shell has been charged with three felony counts of carjacking; brandishing a firearm in furtherance of a violent crime; and being a felon in possession of a firearm.
If convicted, carjacking carries a penalty of not more than fifteen years and a fine of $250,000; brandishing a firearm in furtherance of a violent crime carries a penalty of not less than seven years and no more than life and a fine of $250,000; and being a felon in possession carries a penalty of not more than ten years and a fine of $250,000.
The St. Louis Metropolitan Police Department and the Federal Bureau of Investigation jointly investigated the case.
Charges set forth in the indictment are merely accusations and do not constitute proof of guilt. Every defendant is presumed to be innocent unless and until proven guilty.
Federal jury convicts disgruntled employee of arson at Savannah's historic Gryphon Tea RoomRead the Press Release
SAVANNAH, GA: A Savannah man is facing a substantial prison sentence after a federal jury returned a guilty verdict against him.
Chase Anthony Davis, 30, of Savannah, was convicted of Arson on Thursday, Oct. 24, 2019, after a three-day trial in U.S. District Court, said Bobby L. Christine, U.S. Attorney for the Southern District of Georgia. Davis faces a sentence of five to 20 years in prison, followed by a period of supervised release. There is no parole in the federal system.
According to evidence presented at trial, on the evening of May 8, 2019, Davis, an employee of the Gryphon Tea Room, broke into the landmark restaurant located at 337 Bull Street in Savannah’s Historic District. Davis set six separate fires in the dining room area of the restaurant owned by the Savannah College of Art and Design. The fires self-extinguished, and the property damage caused to the restaurant has since been restored.
Gryphon shares space with The Arts Café and The Scottish Rite Temple and is closely connected with St. John’s Episcopal Church and numerous historic residential structures. It is housed in an adapted early 20th century apothecary constructed between 1913 and 1926.
“It’s fortunate that this malicious arson attack from a disgruntled employee failed to destroy a historical treasure in Savannah, and a welcome victory for justice that a jury of his peers is holding Davis accountable,” said U.S. Attorney Christine. “We commend the Savannah Fire Department, the Savannah Police Department, Savannah College of Art and Design security personnel and the Bureau of Alcohol, Tobacco, Firearms, and Explosives for their combined efforts to make our district safer.”
“This verdict shows ATF and the U.S. Attorney’s Office realize that starting a fire is a crime of violence that places innocent people’s lives and property in harm’s way, and demonstrates their collaborative efforts to fight the crime of arson,” said Beau Kolodka, Assistant Special Agent in Charge of the Atlanta Field Division of the Bureau of Alcohol, Tobacco, Firearms and Explosives (AFT).
This case was investigated by the ATF and the Savannah Police Department, and was prosecuted for the United States by Assistant U.S. Attorneys Joshua Bearden and Jenna Solari.
Federal Jury Convicts Twin Falls Man of Producing Child PornographyRead the Press Release
BOISE – U.S. Attorney Bart Davis announced today that a federal jury sitting in Boise returned guilty verdicts on October 18, 2019, against Seth Anthony Johnson, 35, of Twin Falls, Idaho, on charges that he sexually exploited an 8-year-old child by using her to produce sexually explicit images. The jury also found Johnson guilty of possessing child pornography and sexually exploiting an 8-year-old girl while required to register as a sex offender under federal and state law. The trial began on October 15 and concluded Friday afternoon when the jury returned their verdicts. The case was tried before Chief U.S. District Judge David C. Nye.
According to court records, Johnson was arrested on November 29, 2017. At that time, federal agents discovered six images of child pornography on his cell phone. After eight months of investigation, agents identified the minor victim as an eight-year-old girl. Agents also determined that Johnson had produced the images of child pornography with his cell phone. At the time that he did so, Johnson was required to register as a sex offender under federal and state law due to a prior rape conviction.
The charge of sexual exploitation of a child carries a mandatory penalty of life in prison. The charge of possession of child pornography is punishable by up to 20 years in prison, a fine of up to $250,000, and at least 5 years and up to lifetime of supervised release. For being a registered sex offender at the time he exploited the child, Johnson also faces a consecutive mandatory penalty of 10 years imprisonment, which must be served consecutively to any other term of imprisonment.
Sentencing is set for February 19, 2020, before Judge Nye at the federal courthouse in Boise.
This case was investigated by Homeland Security Investigations and the U.S. Marshals Service.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals, who sexually exploit children, and to identify and rescue victims.
For more information about Project Safe Childhood, please visit www.usdoj.gov/psc.
For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab “resources.”
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Eight pounds of meth found in spare tire sends California man to prisonRead the Press Release
BILLINGS—A California man was sentenced to more than 15 years in prison today after law enforcement officers found eight pounds of methamphetamine hidden in a spare tire of the rental vehicle he was driving, U.S. Attorney Kurt Alme said.
Manuel Paz Sanchez, Jr., 32, of Sacramento, CA, pleaded guilty in May to possession with intent to distribute meth.
U.S. District Judge Susan P. Watters sentenced Sanchez to 15 years and eight months in prison and to five years of supervised release.
The prosecution said in court records that a Montana Highway Patrol trooper stopped a Ford sedan that Sanchez was driving on Dec. 12, 2017 near Columbus. Sanchez, the sole occupant, had rented the vehicle three days earlier in Sacramento and told the trooper he was driving to Bismarck, N.D. from Idaho, where he had been visiting family. Sanchez planned to fly back to California from Bismarck. The trooper found Sanchez’s story suspicious and asked permission to search the vehicle. Sanchez consented.
Law enforcement officers found in the car a tire repair kit, which they thought was unusual for a rental vehicle. Officers removed the spare tire from the trunk and the spare appeared to be deflated. Officers took the spare to a repair shop in Columbus, where the tire was removed from the rim. Inside the tire were six, vacuum-sealed packages containing approximately 8.3 pounds, or about 30,000 doses, of meth.
Assistant U.S. Attorney Tom Godfrey prosecuted the case, which was investigated by the Drug Enforcement Administration.
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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Department of Justice Awards more than $85.3 Million in Grants to Address School ViolenceRead the Press Release
The Department of Justice announced this week it has awarded more than $85.3 million to bolster school security—including funding to educate and train students and faculty—and support first responders who arrive on the scene of a school shooting or other violent incident.
“These federal resources will help to prevent school violence and give our students the support they need to learn, grow, and thrive,’ said Attorney General William P. Barr. “By training faculty, students and first responders, and by improving school security measures, we can make schools and their communities safer.”
The grants award more than $5 million in funding to prevent violence in schools in the Western District of Texas. President Trump signed the STOP School Violence Act into law in March 2018, authorizing grants that are designed to improve threat assessments, train students and faculty to provide tips and leads, and prepare law enforcement officers and emergency professionals to respond to school shootings and other violent incidents. The grant programs are managed by OJP’s Bureau of Justice Assistance and the Justice Department’s Office of Community Oriented Policing Services.
The Bureau of Justice Assistance, within the Department’s Office of Justice Programs, and the Office of Community Oriented Policing Services manage the programs and administer the grants, which include funds to:
- Develop school threat assessment teams and pursue technological solutions to improve reporting of suspicious activity in and around schools;
- Implement or improve school safety measures, including coordination with law enforcement, as well as the use of metal detectors, locks, lighting and other deterrent measures;
- Train law enforcement to help deter student violence against others and themselves;
- Improve notification to first responders through implementation of technology that expedites emergency notifications;
- Develop and operate anonymous reporting systems to encourage safe reporting of potential school threats;
- Train school officials to intervene when mentally ill individuals threaten school safety; and
- Provide training and technical assistance to schools and other awardees in helping implement these programs.
For more details about these individual award programs, as well as listings of individual 2019 awardees, visit https://go.usa.gov/xVJuV.
About the Office of Justice Programs:
The Office of Justice Programs, directed by Principal Deputy Assistant Attorney General Katharine T. Sullivan, provides federal leadership, grants, training, technical assistance and other resources to improve the nation’s capacity to prevent and reduce crime, assist victims and enhance the rule of law by strengthening the criminal justice system. More information about OJP and its components can be found at www.ojp.gov.
About the Office of Community Oriented Policing Services:
The COPS Office is a federal agency responsible for advancing community policing nationwide. Since 1994, the COPS Office has invested more than $14 billion to advance community policing, including grants awarded to more than 13,000 state, local and tribal law enforcement agencies to fund the hiring and redeployment of approximately 130,000 officers and provide a variety of knowledge resource products including publications, training and technical assistance. For additional information about the COPS Office, please visit www.cops.usdoj.gov.
DOJ reaches $6.4 million settlement with large engineering and scientific consulting firm regarding overbilling on government contractsRead the Press Release
Seattle – The U.S. Department of Justice and CH2M Hill have reached a $6.4 million settlement to resolve allegations that CH2M Hill overbilled the U.S. Air Force for environmental consulting work and then continued to overbill despite an audit highlighting the problem, announced U.S. Attorney Brian T. Moran. At issue is the use of consulting staff who did not meet the minimum educational requirements of two Air Force contracts.
“We rely on those who apply for, and receive, government contracts to fulfill their end of the deal -- and that includes making sure that the personnel on the job are qualified for the job,” said U.S. Attorney Brian T. Moran. “As stewards of American's tax dollars, we need to make sure we get what we paid for.”
According to the settlement agreement, in 2017, CH2M Hill headquartered in Englewood, Colorado and with offices in Bellevue, Washington, reported an overpayment from the Air Force and paid the government $10,529,707. The sum represents $8,323,179 in overbilling and $2,206,528 in interest between 2003 and 2014. In connection with that agreement, CH2M Hill admits that it billed under the government contract for employees who did not meet the educational and work experience qualifications in the contract.
The government contends that CH2M Hill knew of the overpayment as early as 2011, but attempted to keep the information secret by claiming that an audit of its labor practices was privileged information. Under the law, the government is allowed to collect double damages, but due to statute of limitations constraints, that amount is capped at $6,400,000.
“This investigation highlights the patience and perseverance of the Air Force Office of Special Investigations’ Office of Procurement Fraud Investigations and our Department of Defense and Department of Justice partners, who work diligently day in and day out to identify and neutralize fraudulent activity affecting the DoD and our U.S. Government,” said Special Agent Anthony Walker, AFOSI Office of Procurement Fraud Investigations, Detachment 2. “No company or person who defrauds the U.S. Government is outside of the reach of justice.”
CH2M Hill is not admitting any wrongdoing with the settlement, which resolves all claims.
The case was investigated by the Defense Contract Audit Agency (DCAA) and the settlement was negotiated by Assistant United States Attorneys Kayla Stahman and Pooja Davé.
DEA will now accept vaping cartridges as the agency and partners hold National Prescription Drug Take Back Day on Saturday October 26Read the Press Release
The National Prescription Drug Take Back Day initiative continues to remove ever-higher amounts of opioids and other medicines from the nation’s homes, where they are vulnerable to misuse, theft or abuse by family members and visitors, including children and teens.
DEA and its national, tribal and community partners will hold National Prescription Drug Take Back Day across the country on Saturday, October 26. The service is free and anonymous.
Vaping cartridges will now be accepted as part of the event.
Now in its ninth year, DEA has collected a total of nearly 11 million pounds (more than 5,400 tons) of expired, unused and unwanted prescription medications through its Take Back Day events. During the April 2019 event, they collected nearly 940,000 pounds of prescription drugs -- more than twice the weight of the Statue of Liberty.
DEA and its community partners set up drop off sites across the nation where individuals turned in their unused, unneeded or expired prescription medications, as well as vaping cartridges. This weekend, approximately 6,000 collection sites manned by nearly 5,000 partner law enforcement agencies will be open 10 a.m. to 2 p.m. local time. The public can find a nearby collection site at www.DEATakeBack.com or by calling 800-882-9539. (DEA cannot accept liquids, needles or sharps.)
“I encourage everyone to go into their medicine cabinets this Saturday and safely dispose of their leftover pills and medication,” U.S. Attorney Justin Herdman said. “We know of far too many heartbreaking stories of addiction that begin with someone abusing or misusing prescription medication. Drug Take Back Day is a way for everyone to get involved in combating this drug epidemic that has devastated so many families here in Ohio.”
Rates of prescription drug abuse in the United States continue to be alarmingly high, as are the number of accidental poisonings and overdoses due to these drugs. The majority of prescription drug abusers say they get their drugs free from friends and family, including from the home medicine cabinet. Take Back Day is a unique opportunity for Americans to protect their homes and medicine cabinets from theft and abuse.
DEA to Accept Electronic Vaping Devices and Cartridges as Part of National Prescription Drug Take Back Day this Saturday, Oct. 26thRead the Press Release
MIAMI - U.S. Attorney Ariana Fajardo Orshan for the Southern District of Florida joins the Drug Enforcement Administration (DEA) in announcing that this Saturday, October 26, 2019, from 10 a.m. to 2 p.m., DEA will host events throughout the country, including in South Florida, in support of National Prescription Drug Take Back Day. The initiative is an effort to rid homes of potentially dangerous expired, unused, and unwanted prescription drugs, as well as vaping devices and cartridges. The service is free and anonymous.
With robust public participation over the course of 16 prior events, the National Prescription Drug Take Back Day initiative continues to remove ever-higher amounts of opioids and other medicines from the nation’s homes, where they are vulnerable to misuse, theft or abuse by family members and visitors, including children and teens.
For the first time, DEA will now 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, DEA encourages individuals to 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 among America’s youth, DEA is committed to doing all it can to help safely dispose of vaping devices and substances.
U.S. Attorney Ariana Fajardo Orshan said, "I encourage everyone in our South Florida community to bring their unused, unwanted and expired medications, as well as vaping devices and cartridges, to a local collection site this Saturday. Help us to stop the wake of destruction and devastation caused by the opioid crisis and protect our loved ones from harm.”
"DEA’s National Prescription Drug Take Back Initiative helps get unused and unwanted prescription medications out of circulation and ensures their safe disposal," said Acting Administrator Uttam Dhillon. "This year, we are taking a step further by accepting vaping devices and cartridges as we work with our federal 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. As of Oct. 15th, more than 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.
Florida will have over 200 collections located throughout the state. The public can find a nearby collection site at www.DEATakeBack.com or by calling or 800-882-9539 or the DEA Miami Office at 571-362-3098.
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.
For more information about the harms of youth vaping, please visit: https://www.justthinktwice.gov/facts/vaping-what-you-should-know.
DEA prepares for prescription drug take back across MontanaRead the Press Release
BILLINGS -- U.S. Attorney Kurt Alme will join the Drug Enforcement Administration in support of the 18th National Prescription Drug Take Back Day on Saturday, Oct. 26. The biannual event will be held from 10 a.m. to 2 p.m., at 26 collection sites across Montana. The event is an effort to rid homes of potentially dangerous expired, unused, and unwanted prescription drugs.
New for this campaign, the DEA will be accepting vaping devices and cartridges, in addition to tablets, capsules, patches and other medications in solid form.
“The primary way opioid abusers first get pills is from family, friends or the medicine cabinet. That’s why getting rid of unneeded and expired prescriptions is an important step Montanans can take to prevent opioid abuse and addiction,” U. S. Attorney Alme said.
“The DEA, along with its community partners, will be collecting unused, unneeded and expired prescription medications. In addition, DEA will also accept vaping devices and cartridges with no questions asked. Just place your items in a bag or box and, in Billings, drop them off in the parking lot area of the Elks Lodge, located at 934 Lewis Ave., or the First Interstate Bank parking lot, located at 730 Main Street, in the Heights,” said DEA Montana Resident Agent in Charge Stacy Zinn-Brittain.
Last April, Americans turned in 468 tons (937,443 pounds) of prescription drugs at 6,258 sites operated by the DEA and more than 4,969 of its state and local law enforcement partners. Montanans turned in 4,113 pounds of prescription drugs, including 78 pounds from Indian reservations, at the April event.
The disposal service is free and anonymous, no questions asked. The DEA cannot accept liquids, needles, or sharps, only pills or patches. Flushing medications down the toilet or throwing them in the trash pose safety and health hazards. This initiative addresses the public safety and health issues that surround medications languishing in home cabinets, becoming highly susceptible to diversion, misuse, and abuse.
For more information or to locate a collection site near you, go the DEA Prescription Drug Take Back Day web site at https://takebackday.dea.gov/#collection-locator where you can search by zip code, city, or state.
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Craig Cowles Pleads Not Guilty to Tax Evasion ChargesRead the Press Release
The United States Attorney for the District of Vermont announced that Craig Cowles, 51, of Richmond, pleaded not guilty today in United States District Court in Burlington to tax-related fraud charges. U.S. Magistrate Judge John M. Conroy released Cowles on conditions pending trial, which has not been scheduled.
On September 25, a federal grand jury in Rutland returned an indictment charging Cowles with five counts of tax evasion and 14 counts of structuring bank transactions to avoid currency reporting requirements. According to the indictment, Cowles is the owner of Cowles Excavating, an earth-moving business located in Richmond. The indictment charges that between 2012 and 2017, Cowles generated approximately $2.8 million in gross revenue from Cowles Excavating and other businesses he operated. It alleges that during that period, Cowles filed no tax returns with the Internal Revenue Service and paid no federal income taxes despite earning hundreds of thousands of dollars in net profits.
The indictment further accuses Cowles of structuring financial transactions to avoid federal currency reporting requirements. Under law, a financial institution must file a report with the Secretary of the Treasury whenever a customer engages in a financial transaction, such as a bank deposit or withdrawal, that involves more than $10,000 in cash. According to the indictment, Cowles structured a number of transactions to avoid this reporting requirement. He allegedly did this by breaking down checks he received from business clients into cash amounts that were slightly under $10,000, then using additional funds from the checks to buy cashiers checks payable to himself. Cowles often converted these cashiers checks into additional cash. Federal law prohibits anyone from structuring deposits and withdrawals that are intended to circumvent the $10,000 cash reporting requirement.
The United States Attorney emphasizes that the charges in the indictment are merely accusations and that the defendant is presumed innocent unless and until he is proven guilty.
The tax evasion charges are punishable by up to five years of imprisonment and a fine of up to $100,000. The structuring charges are also punishable by up to five years of imprisonment and a fine of up to $250,000. The actual sentence in the event of a conviction would be determined with reference to federal sentencing guidelines.
The case was investigated by the Criminal Investigation Division of the Internal Revenue Service.
Cowles is represented by Tris Coffin and Tim Doherty. The prosecutor is Assistant U.S. Attorney Gregory Waples.
Couple Operating Alabama Construction Company Sentenced to Prison for Payroll Tax FraudRead the Press Release
BIRMINGHAM – A Crane Hill husband and wife were sentenced to 20 months collectively in prison today for failing to pay over payroll taxes, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division, U.S. Attorney Jay E. Town for the Northern District of Alabama and Internal Revenue Service Criminal Investigation Special Agent in Charge Thomas J. Holloman.
U.S. District Judge Liles C. Burke sentenced WALTER MICHAEL WILLIAMS to 13 months in prison and AMY BUTLER WILLIAMS to 7 months in prison for failing to pay over payroll taxes. According to court documents and information provided to the court, Walter Michael Williams and Amy Butler Williams operated Dixie Steel Erectors (DSE), a commercial construction business in Hanceville, Alabama. Walter Michael Williams, president and owner of DSE, and Amy Williams, bookkeeper and office manager of DSE, were responsible for withholding and paying over DSE’s payroll taxes. During 2012 and 2013, DSE accrued payroll tax liabilities and the Williamses withheld those taxes from the pay of the business’s employees, but willfully failed to pay over the withheld amounts to the Internal Revenue Service (IRS). Instead, the Williamses caused DSE to pay for a number of their personal expenses, including mortgages, alimony, and football season tickets. The Williamses also failed to file personal tax returns, and failed to file corporate tax returns for DSE.
“Employers who lead their employees to believe that they are properly paying their taxes, but instead pocket that money for their own greed and personal use, are not above the law,” Town said. “The imposition of prison sentences in these cases show that the Justice Department remains steadfast in its commitment to seek equal justice under the law, and that access to power and wealth will not protect white collar criminals from the bars of a federal prison.”
In addition to the term of imprisonment imposed, the Williamses were ordered to serve three years of supervised release and to pay restitution in the amount of $502,683.23 to the IRS.
Principal Deputy Assistant Attorney General Zuckerman and U.S. Attorney Town commended special agents of IRS-Criminal Investigation, who conducted the investigation, and Assistant United States Attorneys Allison Garnett and Melissa Atwood, who are prosecuting the case