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Wednesday 23 October 2019
Nigerian Citizen Sentenced for Role in International Cyber-Fraud SchemeRead the Press Release
A citizen of Nigeria residing in Atlanta, Georgia, was sentenced to 78 months in prison yesterday for his role in an international cyber fraud scheme, announced Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division and U.S. Attorney D. Michael Dunavant of the Western District of Tennessee.
Olufolajimi Abegunde, 32, was sentenced by U.S. District Judge Sheryl L. Lipman of the Western District of Tennessee who also ordered Abegunde to pay $57,911.62 in restitution to the victims of his offense. Abegunde and Javier Luis Ramos-Alonso, 29, were convicted in March after a seven-day trial in the U.S. District Court for the Western District of Tennessee. Ramos-Alonso previously received a 31-month sentence for his role in the scheme.
Abegunde and Ramos-Alonso participated in a criminal organization in which members “spoofed” emails and created fake profiles on dating websites in order to fool victims into sending money to bogus bank accounts under the control of members of the conspiracy. The proceeds would be laundered and subsequently wired out of the United States to destinations including West Africa. The organization as a whole is believed to have caused more than $10,000,000 in damage to U.S. citizens and businesses.
The evidence presented at trial showed that Abegunde, who received an MBA from Texas A&M University in College Station, Texas, engaged in black-market currency exchanges over the life of the conspiracy. Purporting to hold himself out as a legitimate businessman, Abegunde claimed association with a business entity that was not yet operational in late 2017, so for his primary source of income he relied on his off-the-book currency exchanges. Through this network, Abegeunde played a key role, along with Ramos-Alonso, in laundering fraud funds from an Oct. 3, 2016, business email compromise (BEC) of a land title company located in Bellingham, Washington. The proceeds of another BEC perpetrated in July 2016 upon a real estate company in Memphis, Tennessee, also moved through parts of the same criminal organization.
Abegunde, who faced numerous account closures from banks in the United States, used a complicated network of third-party bank accounts to disguise his illicit activity. The proof at trial established that Abegunde told people that he could not receive payments into accounts that could be “tracked,” and that he preferred to engage in cash transactions because they were easier to clean and “eliminated the risk.”
In addition to his financial activities, Abegunde also engaged in a conspiracy to commit marriage fraud. Abegunde was married during his studies at Texas A&M, but divorced his wife in 2016 to marry a U.S. service member through whom he could obtain immigration and health care benefits and also open new bank accounts. He continued to live with his first wife in Atlanta while his U.S. service member wife was deployed to South Korea. While incarcerated and awaiting trial in the Western District of Tennessee, Abegunde continued his conspiratorial activities, trying to convince his fake spouse, who has since filed for divorce, to refuse to testify against him. Abegunde also engaged in witness tampering by sending a self-written Motion to Dismiss bearing his former attorney’s name and professional attestation. The evidence at trial established that Abegunde drafted and sent the motion, which his attorney expressly did not authorize, to his faux spouse in an effort to deceive her into not testifying against him.
Five other individuals have pleaded guilty to being involved in the scheme. Additionally, several foreign nationals are awaiting extradition to the United States to face trial. Others are still at large.
The FBI’s Memphis Field Office investigated the case with assistance from agents in Atlanta and San Jose, California. Senior Trial Attorney Timothy C. Flowers with the Department of Justice’s Computer Crime and Intellectual Property Section and Assistant U.S. Attorney Debra L. Ireland prosecuted the case. The Criminal Division’s Office of International Affairs is handling the extraditions.
For more information or to view a list of aliases used by members of the conspiracy on dating websites and social media, visit https://www.justice.gov/usao-wdtn/victim-witness-program.
New Jersey Man Pleads Guilty to Smuggling over 1,000 Illegally Collected Box Turtles from OklahomaRead the Press Release
TULSA, Okla. – A New Jersey man pleaded guilty Wednesday in federal court to conspiring with others to purchase, transport and sell more than 1,000 box turtles that were unlawfully collected from the state of Oklahoma, announced U.S. Attorney Trent Shores.
From May 1, 2017 to May 31, 2018, William T. Gangemi, 26, of Freehold, New Jersey, knowingly facilitated the purchase and transport of unlawfully collected three-toed and western (ornate) box turtles from Oklahoma to New Jersey in order to sell them for profit. Gangemi was part of a syndicate of wildlife smugglers where protected turtles were exchanged back and forth between the United States and China.
By smuggling the turtles, Gangemi violated the Lacey Act, a federal law which makes it a felony to engage in the sale or purchase of protected wildlife with a market value in excess of $350 knowing that the wildlife was taken, possessed, transported or sold in violation of laws or regulations of any state. In Oklahoma, the collection of both types of box turtles for commercial purposes is against the law. Box turtles reach sexual maturity at approximately 10 years of age and have a high nest and juvenile mortality rate. Due to these factors, the harvest of the turtles can have highly detrimental effects on populations.
“Oklahomans respect and value wildlife, and we don’t appreciate those who would seek to exploit our vulnerable wildlife populations for their corrupt greed. Laws created by Congress to protect wildlife, like the box turtle, will be enforced by the U.S. Attorney’s Office. Defendant Gangemi flagrantly violated state and federal laws by illegally collecting and exporting box turtles to the black market,” said U.S. Attorney Trent Shores. “As a result of the diligent investigative work undertaken by agents from the U.S. Fish and Wildlife Service and Oklahoma Department of Wildlife Conservation, Mr. Gangemi must now face the consequences.”
“This case is an excellent example of how state and federal law enforcement agencies work together to combat the illegal wildlife trade," said Phillip Land, a Special Agent in Charge for the U.S. Fish and Wildlife Service. "We would like to thank the Oklahoma Department of Wildlife Conservation and the U. S. Attorney's Office for their assistance with this case. Together, we can hold traffickers accountable and protect imperiled species for future generations."
As part of his plea agreement, Gangemi agreed to pay $250,000 in restitution to the Oklahoma Department of Wildlife Conservation and a $100,000 fine to the U.S. Fish and Wildlife Service for violation of the Lacey Act. The final restitution and fine amounts will be determined by the Court at the time of sentencing, which is scheduled for Jan. 27, 2020.
Gangemi also pleaded guilty to additional federal charges for trafficking wildlife in South Carolina and New Jersey.
The United States Fish and Wildlife Service, the Oklahoma Department of Wildlife Conservation and the U.S. Postal Inspection Service conducted the investigation. Assistant U.S. Attorney Ryan M. Roberts is prosecuting the case.
New Hartford Accountant Sentenced to 12 Months for Failure to File Tax ReturnsRead the Press Release
SYRACUSE, NEW YORK – James Becker, age 53, of New Hartford, New York, was sentenced today to 12 months in prison, to be followed by 1 year of supervised release, for failing to file his personal income tax returns for the years 2012-2015. He also was ordered as part of the conditions of his supervised release to pay restitution to the Internal Revenue Service in the amount of $162,049.
The announcement was made by United States Attorney Grant C. Jaquith and Jonathan D. Larsen, Special Agent in Charge, New York Filed Office, IRS-Criminal Investigation.
James Becker, who operated Becker’s Accounting Services in Whitesboro, New York, pleaded guilty in June 2019 to four counts of failing to file his tax returns notwithstanding having gross income in excess of $100,000 in each of the tax years.
This case was investigated by the IRS-Criminal Investigation and is being prosecuted by Assistant U.S. Attorney Michael D. Gadarian.
Nevada Man Sentenced to 12 Months in Federal Prison for His Role in Staged Accident SchemeRead the Press Release
Spokane – William D. Hyslop, United States Attorney for the Eastern District of Washington, announced that Matthew David Carter, age 36, of Las Vegas, Nevada, was sentenced after having pleaded guilty on April 9, 2019, to one count of conspiracy to commit mail and wire fraud and four counts of mail fraud. Chief United States District Judge Thomas O. Rice sentenced Carter to a 12-month and one day term of imprisonment, to be followed by a 3-year term of court supervision after he is released from federal prison. Chief Judge Rice also ordered Carter to pay restitution in the amount of $50,500 and forfeiture of $50,500.
According to information disclosed during court proceedings, between June 2015, and November 2017, Carter was involved in two phony automobile accidents in Las Vegas, Nevada, that defrauded insurance companies out of $568,744. Carter played “injured victim” in one of the phony accidents and allowed his BMW to be used as the “at fault” vehicle in another.
United States Attorney Hyslop said, “Staged accident automobile insurance fraud is not a victimless crime. It affects every driver, as fraud causes insurance rates to increase. It also distracts police and medical personnel from responding to legitimate distress calls. I commend the FBI, IRS Criminal Investigation and U.S. Marshals Service for their outstanding work investigating this case.”
This case was investigated by the Federal Bureau of Investigation, Internal Revenue Service Criminal Investigation, U.S. Marshals Service and U.S. Attorney’s Office for the Eastern District of Washington Criminal Healthcare Fraud Investigator, with assistance from the National Insurance Crime Bureau. This case was prosecuted by George J.C. Jacobs, III, and Brian Donovan, Assistant United States Attorneys for the Eastern District of Washington.
Muskogee Man Pleads Guilty to Methamphetamine DistributionRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Jason Douglas Lee, a/k/a “J Rock”, a/k/a “Douglas Fresh”, age 38, of Muskogee, Oklahoma, entered a guilty plea to Distribution Of Methamphetamine, in violation of Title 21, United States Code, Sections 841(a)(1) and 841(b)(1)(A), punishable by not less than 10 years and not more than life imprisonment, a fine up to $10,000,000.00, or both.
The Superseding Indictment alleges that on or about August 15, 2018, within the Eastern District of Oklahoma, the defendant did knowingly and intentionally distribute 50 grams or more of methamphetamine (actual), a Schedule II controlled substance.
The charges arose from a joint investigation by the Federal Bureau of Investigation, the Drug Enforcement Administration, the Oklahoma Bureau of Narcotics and Dangerous Drugs, the Muskogee County Sheriff’s Office, and the Muskogee Police Department. Additionally, many different agencies that are members of the DEA High Intensity Drug Trafficking Areas Task Force (“HIDTA”) and the FBI Safe Trails Task Force played important roles in the investigation. The investigation was coordinated by the Organized Crime Drug Enforcement Task Force (“OCDETF”) of the Eastern District of Oklahoma. OCDETF is an initiative led and coordinated by the Office of the United States Attorney.
The Honorable Steven P. Shreder, U.S. Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, accepted the plea and ordered the completion of a presentence investigation report.
Assistant United States Attorney Rob Wallace represented the United States.
Morgantown man sentenced for child pornography chargeRead the Press Release
CLARKSBURG, WEST VIRGINIA – John Ontko, of Morgantown, West Virginia, was sentenced today to 12 months and one day for a child pornography charge, U.S. Attorney Bill Powell announced.
Ontko, age 67, pled guilty to one count of “Possession of Child Pornography” in April 2019. Ontko admitted to having child pornography from February to April 2018 in Monongalia County.
Assistant U.S. Attorney David J. Perri prosecuted the case on behalf of the government. The U.S. Department of Energy Office of Inspector General investigated.
Senior U.S. District Judge Irene M. Keeley presided.
Maryland Man Facing Federal Indictment for Sex Trafficking and Drug DistributionRead the Press Release
Baltimore, Maryland – A federal grand jury has returned an indictment charging De’Angelo Johnson, a/k/a Cowboy, a/k/a D, age 31, of Maryland, with sex trafficking and distribution of heroin and cocaine. The indictment was returned on October 22, 2019.
The federal indictment was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge John Eisert of Homeland Security Investigations (HSI) Baltimore; Chief Melissa R. Hyatt of the Baltimore County Police Department; and Chief Lisa D. Myers of the Howard County Police Department; and Howard County State’s Attorney Rich H. Gibson, Jr.
“Sex traffickers prey on vulnerable women in order to profit by selling them for sex. These particularly cruel crimes often involve the use of violence and threats and the exploitation of victims’ drug addictions,” said U.S. Attorney Robert K. Hur. “Through the Maryland Human Trafficking Task Force, local, state and federal law enforcement partners are working with non-profit organizations to help human trafficking victims and prosecute the traffickers. Together, we are determined to rescue victims and bring sex traffickers to justice.”
According to the six-count indictment, from August 2018 through May 21, 2019, Johnson was a pimp, engaging in the business of recruiting, enticing, harboring, transporting, providing, obtaining, advertising, and maintaining women to engage in commercial sex acts for his own financial benefit. The indictment refers to five victims, all over the age of 18 and residents of Maryland, whom Johnson allegedly caused to engage in commercial sex acts for his own financial benefit, by means of force, fraud, and coercion.
The indictment alleges that Johnson routinely took half or all of the money the victims working for him had earned through sex acts and kept it for himself. Further, the indictment alleges that all of the sex trafficking victims suffered from serious substance abuse disorders, including addictions to heroin and crack cocaine. According to the indictment, Johnson sold narcotics, including heroin and crack cocaine, to the victims, who were required to pay him with whatever money they were permitted to retain from the sex acts they had performed. Johnson also was allegedly responsible for posting advertisements of the victims on websites that marketed commercial sex workers, often not allowing the victims to see or have access to the advertisements, even when they asked. Johnson allegedly communicated with potential sex customers regarding price, location, and all other logistics, often purporting to be the victim during these communications.
If convicted, Johnson faces a mandatory minimum sentence of 15 years in federal prison and a maximum sentence of life in federal prison for each of five counts of sex trafficking. Johnson faces a maximum sentence of 20 years in federal prison for distribution of controlled substances. An initial appearance has not yet been scheduled in U.S. District Court in Baltimore. Johnson remains detained on unrelated state charges.
An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.
This case was investigated by law enforcement agencies who are members of the Maryland Human Trafficking Task Force, formed in 2007 to discover and rescue victims of human trafficking while identifying and prosecuting offenders. Members of the Task Force include federal, state, and local law enforcement, as well as victim service providers and local community members. For more information about the Maryland Human Trafficking Task Force, please visit http://www.justice.gov/usao/md/priorities_human.html. Suspected instances of human trafficking can be reported to HSI’s tip line at 866-DHS-2ICE (1-866-347-2423) or by completing its online tip form. Both are staffed around the clock by investigators.
United States Attorney Robert K. Hur commended HSI, the Baltimore County Police Department, the Howard County Police Department, and the Howard County State’s Attorney’s Office for their work in the investigation and prosecution. Mr. Hur thanked Assistant U.S. Attorney Mary Setzer, who is prosecuting the federal case.
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Marketing Company CEO Sentenced in College Admissions CaseRead the Press Release
BOSTON – A California woman became the 11th parent to be sentenced in the college admissions case.
Jane Buckingham, 50, of Beverly Hills, Calif., was sentenced by U.S. District Court Judge Indira Talwani to three weeks in prison, one year of supervised release, and ordered to pay a fine of $40,000. In May 2019, Buckingham pleaded guilty to one count of conspiracy to commit mail fraud and honest services mail fraud.
The government recommended a sentence of six months in prison, one year of supervised release and a fine of $40,000.
Beginning in 2018, Buckingham agreed with William “Rick” Singer and others to pay $50,000 to participate in the college entrance exam cheating scheme for her son. As part of the scheme, Buckingham made arrangements for her son to take the ACT at a test center in Houston, Texas, that Singer “controlled” through a corrupt test administrator, and for his answers to be corrected by co-conspirator Mark Riddell, who would purport to proctor the exam. Two days prior to the scheduled exam date, a physician advised Buckingham that her son could not fly to Houston due to a medical condition. Buckingham, in turn, asked Singer if it would be possible for Riddell simply to take the test in his place while she administered a fake exam to her son at her home in Los Angeles.
On July 14, 2018, Riddell completed the ACT exam by himself in a Houston hotel room. Three days later, Buckingham make a purported charitable donation of $35,000 to Singer’s sham charity, the Key Worldwide Foundation, to pay for the fraud, and advised Singer that she intended to have her former husband pay the remaining $15,000. In October 2018, Buckingham told Singer that she wanted to pursue the scheme again for her daughter. Ultimately, Buckingham was arrested before she had the opportunity to engage in the fraud a second time.
Case information, including the status of each defendant, charging documents and plea agreements are available here: https://www.justice.gov/usao-ma/investigations-college-admissions-and-testing-bribery-scheme.
United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Kristina O’Connell, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston made the announcement today. Assistant U.S. Attorneys Eric S. Rosen, Justin D. O’Connell, Leslie A. Wright and Kristen A. Kearney of Lelling’s Securities and Financial Fraud Unit prosecuted the case.
Managing Director and Chief Compliance Officer of Private Equity Firm Indicted for Obstruction of JusticeRead the Press Release
A superseding indictment was unsealed today in federal court in Central Islip charging Michael S. Cohn, Managing Director and Chief Compliance Officer of GPB Capital Holdings, LLC (GPB), with obstruction of justice, unauthorized computer access and unauthorized disclosure of confidential information. Cohn, a former employee of the Securities and Exchange Commission (SEC), was arraigned this morning before United States Circuit Judge Joseph F. Bianco and released on a $250,000 bond.
Richard P. Donoghue, United States Attorney for the Eastern District of New York, William F. Sweeney, Jr., Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), and Carl W. Hoecker, Inspector General of the SEC Office of Inspector General, announced the charges.
“As alleged in the superseding indictment, the defendant abused the trust placed in him as an SEC employee, obstructing an active investigation,” stated United States Attorney Donoghue. “No one gets a pass for breaching the security of government computer networks and misusing sensitive and confidential information for their own benefit.” Mr. Donoghue expressed his appreciation to the New York City Business Integrity Commission and the New York City Police Department for their assistance during the investigation.
“When Cohn left the SEC to join GPB, he left with more than his own career ambitions. The proprietary information he allegedly retrieved—from databases he wasn’t authorized to access—included compromising information about a GPB investigation and sensitive details related to the same. The charges announced today demonstrate the FBI’s commitment to protect the securities industry, in addition to guarding the confidential information that is essential to the success of our investigations,” stated FBI Assistant Director-in-Charge Sweeney.
“The charges announced by the U.S. Attorney’s Office reflect the Office of Inspector General’s commitment to investigate individuals who obstruct SEC enforcement activities,” stated SEC Inspector General Hoecker.
As set forth in the superseding indictment and other court documents, Cohn previously worked as a Securities Compliance Examiner and Industry Specialist in the SEC’s Enforcement Division, where he assisted investigations into violations of securities laws. In approximately October 2018, Cohn left the SEC to join GPB, a private equity firm based in Manhattan and Garden City, New York, that manages over $1.5 billion in assets. However, prior to leaving the SEC, Cohn accessed information on SEC servers relating to an Enforcement Division investigation into GPB. Cohn was not authorized to access this highly sensitive material, which included confidential information, privileged attorney-client work product and contacts with law enforcement and other regulatory agencies. During discussions with GPB personnel about obtaining a job there, Cohn advised them that he had inside information about the SEC’s investigation, and on several occasions he disclosed information to members of GPB’s senior management about that investigation.
The charges in the superseding indictment are allegations, and the defendant is presumed innocent unless and until proven guilty. If convicted, Cohn faces a maximum sentence of 20 years’ imprisonment on the obstruction of justice count, a maximum of five years’ imprisonment on the unauthorized computer access count and a maximum of one year imprisonment on the unauthorized computer disclosure count.
The government’s case is being handled by the Office’s Business and Securities Fraud and National Security & Cybercrime Sections. Assistant United States Attorneys Artie McConnell and Lauren Howard Elbert are in charge of the prosecution.
The Defendant:
MICHAEL S. COHN
Age: 59
Norwalk, ConnecticutE.D.N.Y. Docket No. 19-CR-97 (S-1) (JFB)
Local man indicted for ramming military baseRead the Press Release
CORPUS CHRISTI, Texas – The 47-year-old man who allegedly rammed the Naval Air Station (NAS) has been formally charged with destruction of government property and possession of a stolen firearm, announced U.S. Attorney Ryan K. Patrick.
A federal grand jury has returned the two-count indictment against Brian Dale Robinson, Beeville, today.
A criminal complaint was filed Oct. 7, after Robinson allegedly stole a truck and hit the denial barricade located at the North gate entrance of the NAS in Corpus Christi. The charges allege he was at a gas station in Beeville when he spotted a Dodge Ram 3500 pickup truck with the engine running. Robinson then allegedly entered the vehicle without permission and departed the area.
He approached the NAS and attempted to gain unauthorized access to the base, according to the charges. After he hit the barricade, the vehicle allegedly become inoperable. The charges allege Robinson exited the vehicle and left on foot with a handgun he had found inside and hid next to a dumpster.
Robinson allegedly had suicidal thoughts. However, he opted to drop the weapon so no one else would be hurt.
Following Robinson’s arrest, law enforcement located an HS Produkt, model XDM-9, 9mm pistol loaded with a full magazine.
If convicted of either of the charges, Robinson faces up to 10 years in federal prison and a possible $250,000 maximum fine.
The Naval Criminal Investigative Service and Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation. Assistant U.S. Attorney Robert D. Thorpe Jr. is prosecuting the case.
An indictment or information is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law.Lebanese National Charged with Being Illegal Alien in Possession of a FirearmRead the Press Release
NEW ORLEANS, LOUISIANA – United States Attorney Peter G. Strasser announced that KAMAL AL JAWHARI, age 28, a native of Lebanon, was charged Friday, October 18, 2019 in a two-count indictment with illegal alien in possession of a firearm, in violation of Title 18, United States Code, Section 922(g)(5)(A).
According to the Indictment, on or about October 3, 2019, JAWHARI, an alien present illegally in the United States, was found in possession of a Taurus 9mm pistol and a Winchester 12 gauge shotgun.
If convicted, AL JAWHARI faces a maximum term of imprisonment of 10 years, a fine of $250,000, and three years of supervised release.
U.S. Attorney Strasser reiterated that an indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
U.S. Attorney Strasser praised the work of the United States Immigration and Customs Enforcement agency in investigating this matter. Assistant United States Attorney Spiro G. Latsis is in charge of the prosecution.
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Last Defendant in Large-Scale Drug Trafficking Conspiracy Pleads GuiltyRead the Press Release
RENO, Nev. – On Monday, three Nevada men pleaded guilty to their participation in a 17-defendant drug trafficking distribution conspiracy that operated in the Reno area in 2018, announced United States Attorney Nicholas A. Trutanich. All 17 defendants now have pleaded guilty and await sentencing before Chief U.S. District Judge Mirada Du.
“Our office, through its vigorous implementation of the Project Safe Neighborhoods program, worked together with partner agencies to dismantle a large-scale drug trafficking organization in northern Nevada,” said U.S. Attorney Nicholas A. Trutanich for the District of Nevada. “We will continue to aggressively pursue traffickers who push poison into our communities.”
“The FBI is committed to working with our local partners in sophisticated investigations to reduce violence and drug trafficking throughout our state,” said Special Agent in Charge Aaron C. Rouse for the FBI. “This case underscores the impact of the FBI’s increased resources devoted to northern Nevada.”
The men who pleaded guilty on Monday are: Jose Vega, 34; Angel Diaz, 22; and Juan Baca, 45. The other defendants who pleaded guilty earlier this year are: Jose Valentin Mora, 37; Sandy Diaz Tavares, 35; Javier Chavez, 59; Shawn Curl, 36; Marcos Antonio Hernandez-Cisneros, 59; Roberto Mora-Mora, 53; Elizabeth Reyes-Delacerda, 27; Richard Rossall, 53; Ciara Hernandez, 19; Marco Antonio Ramirez, 37; Leon DeJesus Munera, 29; Kelsea Barbara Riley, 28; and Jorge Ayala-Chavez, 44, all of Reno. One defendant, Francisco Meza Recio, 32, of Simi Valley, California, remains a fugitive.
According to admissions and court documents, between January 25, 2018 to June 14, 2018, the defendants conspired with each other to possess and distribute large amounts of methamphetamine, cocaine, and heroin in the Reno area, and used their phones to further this drug trafficking conspiracy. On several occasions, Jose Valentin Mora, the conspiracy’s leader, arranged for four co-conspirators to drive to California to pick up a large amount of drugs to bring back to Mora in Reno. Mora maintained a trailer in Reno, where he kept the drugs before distributing them to others, including several co-conspirators. These co-conspirators redistributed the drugs to others in Reno.
According to court documents, much of the evidence establishing the existence of the drug trafficking conspiracy was obtained through Court-authorized interception of Mora’s cellular telephones and the execution by law enforcement agents of 25 search warrants for premises and vehicles. During the investigation, law enforcement agents recovered close to 20 pounds of methamphetamine and 18 firearms.
In a separate case, Jose Valentin Mora pleaded guilty to unlawfully possessing a firearm following an earlier felony conviction for drugs that made him ineligible to possess firearms. He faces a maximum statutory penalty of life in prison and a fine of $10,000,000 for his guilty plea in the drug trafficking conspiracy, and a maximum sentence of 10 years’ imprisonment and a $250,000 fine for his felon in possession case.
Mora’s codefendants, whose guilty pleas correspond to the various roles they played in this drug conspiracy, face a maximum penalty of between 4 years and life in prison.
The case was investigated by the FBI’s Safe Streets Task Force with significant assistance by the Reno Police Department, the Sparks Police Department, the Washoe County Sheriff’s Office, the Nevada Attorney General’s Office, and the Nevada Gaming Control Board. Assistant U.S. Attorneys James E. Keller and Andolyn Johnson are prosecuting the case.
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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KC Man Pleads Guilty to $900,000 Romance Fraud SchemeRead the Press Release
KANSAS CITY, Mo. – A Kansas City, Missouri, man pleaded guilty in federal court today to participating in a romance fraud scheme that bilked victims across the United States and overseas of nearly $900,000.
Ronayerin K. Ogolor, 50, a naturalized U.S. citizen from Nigeria, pleaded guilty before U.S. Chief District Judge Beth Phillips to one count of conspiracy to commit wire fraud. Ogolor, who was arrested at Kansas City International Airport on Oct. 19, 2018, before he boarded a plane to Frankfurt, Germany, remains in federal custody.
By pleading guilty today, Ogolor admitted that he participated in a conspiracy since 2013 that targeted people, some of them elderly, in search of companionship or romance through online websites such as Facebook, ChristianMingle.com, or Hangout.com. Ogolor defrauded his victims of $878,489 in total. Under the terms of today’s plea agreement, Ogolor must forfeit that amount in a money judgment to the government.
The perpetrators of the romance scams created several profiles on online dating sites. Conspirators then contacted men and women throughout the United States, Canada, and Europe, with whom they cultivated a sense of affection and often romance. Having established relationships with the victims, the perpetrators of the romance scams ultimately requested money for hospital fees, travel fees, “customs expenses,” “gold import taxes,” or investment opportunities. Conspirators directed the victims to wire transfer or deposit money into various bank accounts, including accounts established and maintained by Ogolor. Often after the victims transferred money into the specified accounts, conspirators claimed more money was needed, “to release the package” or “to pay customs expenses” on money or gold.
On other occasions, conspirators fraudulently obtained checks through business email compromise, and had the victims deposit the checks into their accounts and wire and deposit money into various accounts, including accounts established and maintained by Ogolor. In a business email compromise, the conspirators hack into a business email account, and then send an email from what appears to be an employee with authority to approve payments, instructing that a check be disbursed in the victim’s name and sent to the victim. By using victims to deposit the checks and distribute the money, the conspirators distanced themselves from the business email hacking and fraud.
In furtherance of the scheme, Ogolor opened several bank accounts in his name and in the names of sham businesses. The romance fraud victims wired and deposited their money and money from counterfeit or fraudulently obtained checks into Ogolor’s accounts. Soon after receiving the fraudulently obtained wires or deposits, Ogolor wired money to co-conspirators and/or withdrew the money in cash.
Court documents refer to 13 victims (in Alabama, Ohio, Washington, Arizona, Florida, Illinois, California, and Italy) who each sent tens of thousands of dollars to Ogolor. One victim (a widow in Indiana who received a friend request on Facebook) believed a co-conspirator was a widower working on an oil rig off the coast of Louisiana; she lost a total of $450,000 to Ogolor and others. Another victim in Texas, who believed a co-conspirator was a widower and U.S. Army general deployed in Afghanistan, lost at least $300,000.
Under federal statutes, Ogolor is subject to a sentence of up to 20 years in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Kathleen D. Mahoney. It was investigated by the FBI, the Kansas City, Mo., Police Department and Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI).
Jury convicts Montana City man in firearms caseRead the Press Release
HELENA – After a two-trial, a jury today convicted a Montana City man of a firearms violation, U.S. Attorney Kurt Alme said.
K. Jeffery Knapp, 42, was charged with being a prohibited person in possession of a firearm.
The jury found Knapp guilty of the crime in a trial that began on Tuesday. Knapp faces a maximum 10 years in prison, a $250,000 fine and three years of supervised release.
Senior U.S. District Judge Charles C. Lovell presided. Knapp was released pending sentencing, which was set for April 16, 2020.
“Felons who possess firearms are a threat to community safety. Mr. Knapp’s conviction sends the message that persons illegally possessing firearms will be held responsible. I want to thank Assistant U.S. Attorney Tom Bartleson, the prosecution team, the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Jefferson County Sheriff’s office for their work on the case,” U.S. Attorney Alme said.
The prosecution presented evidence at trial that on April 3, law enforcement agents served a federal search warrant at Knapp’s home and found 16 firearms and hundreds of rounds of ammunition. Two pistols were found on what appeared to be Knapp’s side of the bed. Knapp, having been convicted of two felonies in Colorado in 1994, knowingly illegally possessed firearms.
Assistant U.S. Attorney Tom Bartleson prosecuted the case, which was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and Jefferson County Sheriff’s Office.
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Jefferson City woman Sentenced for Embezzling $65,000 from EmployerRead the Press Release
JEFFERSON CITY, Mo. – A Jefferson City, Missouri, woman has been sentenced in federal court for embezzling more than $65,000 from her employer.
Laura Lynn Winge, 48, was sentenced by U.S. District Judge Roseann Ketchmark on Tuesday, Oct. 22, to one year and one day in federal prison without parole. The court also ordered Winge to pay $65,531 in restitution.
On Feb. 21, 2019, Winge pleaded guilty to one count of bank fraud and one count of theft from an employee benefit plan.
Winge worked as a bookkeeper for Turk’s Construction, Inc., a residential construction company, and an affiliated company, Pools Unlimited, LLC, which builds in-ground swimming pools and spas, from July 2009 until she left employment on March 11, 2016. Company employees participated in an IRA plan that was administered by Winge.
Winge admitted that she withheld $56,876 of the IRA plan deferrals from employees’ payroll from Jan. 1, 2013, to March 31, 2016, but never forwarded them to their individual accounts. Winge also admitted that she never forwarded the required employer matching contributions of $38,913 for the same time period. Instead, Winge kept those funds in the companies’ operating accounts, and used the employees’ deferrals for her own use and the use of another, including approximately $49,214 for her own personal benefit.
Winge’s theft consisted of $12,871 in unauthorized payroll checks to herself, $19,073 in unauthorized pay by inflating her hours worked, $5,447 in unauthorized spending on the companies’ credit card, and $11,822 in health insurance premiums for her dependents, totaling $49,214. Winge also admitted that she obtained $16,316 in services and products from the companies and a related company (Midwest Welding) for which she did not pay, but amended the invoices to show as paid. Winge’s theft from the companies totaled $65,531.
This case was prosecuted by Assistant U.S. Attorney Lawrence E. Miller. It was investigated by the U.S. Department of Labor – Employee Benefits Security Administration and Office of Inspector General, and the Cole County, Mo., Sheriff’s Department.
Jackson Man Sentenced under Project EJECT to 10 Years in Federal Prison for Illegally Possessing a Firearm as a Convicted FelonRead the Press Release
Jackson, Miss – Deviassi Adams, 41, of Jackson, was sentenced yesterday by U.S. District Judge Henry T. Wingate to 120 months in federal prison, followed by 3 years of supervised release, for possessing a firearm as a convicted felon, announced U.S. Attorney Mike Hurst and Michelle A. Sutphin, Special Agent in Charge of the Federal Bureau of Investigation.
On September 10, 2018, just before dawn, the United States Marshals Service Gulf Coast Regional Fugitive Task Force arrived at a home in the City of Jackson to serve a felony arrest warrant on Adams. During the arrest, task force members observed two firearms: a pistol on the bed Adams had occupied and an AR-style rifle protruding from beneath the bed. In a subsequent interview, Adams confessed to possessing both firearms. Adams was previously convicted in Hinds County, Mississippi, of manslaughter, sale of cocaine, perjury, racketeering and other felony crimes.
The case was investigated by the Federal Bureau of Investigation and prosecuted by Assistant United States Attorney Bert Carraway.
This case is part of Project EJECT, an initiative by the U.S. Attorney’s Office for the Southern District of Mississippi under the U.S. Department of Justice’s Project Safe Neighborhoods (PSN). EJECT is a holistic, multi-disciplinary approach to fighting and reducing violent crime through prosecution, prevention, re-entry and awareness. EJECT stands for "Empower Justice Expel Crime Together." PSN is bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Former Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
Jackson Man Sentenced to 35 Years for Distributing FentanylRead the Press Release
A Jackson man was sentenced yesterday to 35 years’ imprisonment for convictions of distributing heroin mixed with fentanyl, causing the death to at least one individual, announced United States Attorney Matthew Schneider.
Schneider was joined in the announcement by James Deir, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives.
"Overdose deaths from heroin and fentanyl have become a national epidemic, including here in Michigan, and illegal opioid pushers such as DeMario Peterson are a significant part of our problem,” Schneider said. “Michigan law enforcement is fully committed to battling back against these opioid traffickers and the tremendous pain they are causing to overdose victims and their families.”
“Armed drug traffickers present a significant threat to public safety leading to a path of destruction in the community,“ said Special Agent in Charge James Deir. “In this case, the path intersected with the greed of Demario Peterson who knowingly sold poison to members of the community which resulted in the death a vibrant 21 year old mother. ATF will continue to partner with our law enforcement partners to utilize every available resource to remove these dangerous criminals from our communities.”
In May of this year, a jury convicted DeMario Peterson, 31, of multiple drug and firearms crimes. At trial, the government admitted evidence demonstrating that Peterson mixed fentanyl into the heroin that he distributed through numerous runners. A 21 year old woman overdosed and died from Peterson’s drugs.
This case was investigated by Special Agents of the Bureau of Alcohol, Tobacco, Firearms and Explosives, in cooperation with Jackson County Sheriff’s Department. The case was prosecuted by Assistant United States Attorney Maggie Smith of the Drug Task Force, and Assistant United States Attorney Blake Hatlem of the Violent and Organized Crime Unit.
Indictment: It Began When Troopers Stopped a Truck with 35 Pounds of MethRead the Press Release
KANSAS CITY, KAN. – Two men living in Kansas were indicted today on charges of trafficking in methamphetamine, U.S. Attorney Stephen McAllister said.
According to court records, the investigation began when the Kansas Highway Patrol stopped a truck carrying automobiles and discovered 35 pounds of methamphetamine.
Jovanny Medina, 22, Kansas City, Kan., and Aron Rodriguez-Posada, 45, Kansas City, Kan., were charged with one count of conspiracy to possess with intent to distribute methamphetamine and one count of attempted possession with intent to distribute methamphetamine. In addition, Medina was charged with three counts of distributing methamphetamine. In addition, Rodriguez-Posada, a citizen of Mexico, was charged with one count of unlawfully re-entering the United States after being deported and one count of making false statements to the FBI.
According to court records, a trooper stopped a car carrier on Oct. 9, 2019, in Meade, Kan. The trooper found 35 pounds of methamphetamine in the gas tank of a white Buick the truck was carrying. The car was scheduled for delivery to a Dollar General store in Kansas City, Kan., and DEA agents arranged to conduct a controlled delivery to that destination with a portion of the drugs. In Kansas City, Kan., the two defendants were arrested when they attempted to take possession of the Buick.
If convicted, the defendants could face the following penalties:
Conspiracy: Not less than 10 years in federal prison and a fine up to $10 million.
Distributing methamphetamine: Not less than 10 years in federal prison and a fine up to $10 million.
Attempted distribution of methamphetamine: Not less than 10 years in and a fine up to $10 million.
Unlawful re-entry: Up to two years and a fine up to $250,000.
False statement: Up to five years and a fine up to $250,000.
The case was investigated by the FBI and the Kansas City Metro Strike Force. Assistant U.S. Attorney Sheri Catania is prosecuting.
Tommy Benson, 24, Cedric Sanders, 22, Courtney Sanders, 20, Verdell Mays Jr., 24, all from Kansas City, Kan., are charged with one count of possession with intent to distribute five pounds of marijuana and one count of unlawful possession of a firearm in furtherance of drug trafficking. The crimes are alleged to have occurred Sept. 26, 2017, in Johnson County, Kan.
According to court records, investigators found the marijuana and the firearms when they served a search warrant at an apartment in Overland Park, Kan.
If convicted, the defendants could face a penalty of not less than five years in federal prison and a fine up to $250,000 on each count. The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Kansas City Metro Strike Force investigated. Assistant U.S. Attorney Sheri Catania is prosecuting.
Ramon Guadalupe Najar, 26, Kansas City, Kan., is charged with two counts of unlawful possession of a firearm following a felony conviction. The crime is alleged to have occurred Aug. 31, 2019, in Wyandotte County, Kan.
According to court records, the guns were found when police were called to the scene of an auto accident in which Najar was injured.
If convicted, he faces up to 10 years in federal prison and a fine up to $250,000 on each count. The FBI and the Kansas City Metro Strike Force investigated. Assistant U.S. Attorney Sheri Catania is prosecuting.
OTHER INDICTMENTS
James D. Vaughn, 33, is charged with escaping from federal custody at the Grossman residential re-entry center in Leavenworth, Kan. The crime is alleged to have occurred Oct. 9, 2019,
If convicted, he could face up to five years in federal prison and a fine up to $250,000. The U.S. Marshals Service investigated. Assistant U.S. Attorney Leon Patton is prosecuting.
Anthony Todd Benjamin, 34, Colony, Kan., is charged with one count of distributing methamphetamine, one count of possession with intent to distribute methamphetamine and one count of unlawful possession of a firearm in furtherance of drug trafficking. The crimes are alleged to have occurred in May and June 2019 in Franklin County, Kan.
If convicted, he could face a penalty of not less than five years and not more than 40 years and a fine up to $5 million on each drug count, and not less than five years and a fine up to $250,000 on the firearm charge. The Drug Enforcement Administration investigated. Special Assistant U.S. Attorney Michelle McFarlane is prosecuting.
Carmelo Castro-Vacio, 25, a citizen of Mexico, is charged with unlawfully re-entering the United States after being deported. He was found Sep. 24, 2019, in Sedgwick County, Kan.
If convicted, he could face up to 10 years in federal prison and a fine up to $250,000. Immigration and Customs Enforcement investigated. Assistant U.S. Attorney Jason Hart is prosecuting.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.
Harrisburg Man Sentenced to 8+ Years in Prison for Carjacking Senior Citizen at Knifepoint in Lancaster, PARead the Press Release
PHILADELPHIA – United States Attorney William M. McSwain announced that Suudimon Washington, 33, of Harrisburg, PA, was sentenced to 100 months’ incarceration, three years’ supervised release, and ordered to pay a $2,000 fine and $200 restitution by United States District Judge Edward G. Smith for a violent carjacking in Lancaster on October 12, 2018.
The defendant approached an 85-year-old man in Lancaster City, brandished a knife and demanded the victim’s keys. Washington then ordered the victim to open the door to the car and climb into the passenger seat. After he drove the victim for several miles through the Lancaster area, he dropped the victim off at a campground in Lancaster County. Later that evening, the defendant was observed driving the victim’s vehicle in West Philadelphia. Philadelphia Police Department officers conducted a traffic stop and arrested the defendant. In May 2019, Washington pled guilty to one count of carjacking.
“When a defendant in a high-profile violent crime case such as this is brought to justice and put behind bars, it brings a sense of relief to the community,” said U.S. Attorney McSwain. “And when a particularly vulnerable person is targeted – like children, the disabled or the elderly – it puts us all on edge. Thanks to the work of our investigative partners, Mr. Washington is in prison where he belongs.”
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
The case was investigated by the Federal Bureau of Investigation, the Lancaster City Bureau of Police, and the Philadelphia Police Department, and is being prosecuted by Assistant United States Attorney Robert E. Eckert.
Fort Wayne Man Sentenced to PrisonRead the Press Release
FORT WAYNE – Tyson Hudson, age 34, of Fort Wayne, Indiana was sentenced before U.S. District Court Judge Holly A. Brady upon his plea of guilty to being a felon in possession of a firearm, announced U.S. Attorney Kirsch.
Hudson was sentenced to 90 months in prison followed by 2 years of supervised release.
According to documents in this case, in February 2019 Hudson was found in possession of 3 handguns after being convicted and sentenced in federal court for distribution of 5 grams or more of crack cocaine in 2007. The handguns found during the search warrant of Mr. Hudson’s residence consisted of .45 caliber pistol, a 9mm pistol, and a .25 caliber pistol. Mr. Hudson was also in possession of ammunition.
The case was investigated by Bureau of Alcohol, Tobacco, Firearms and Explosives and the Fort Wayne Police Department. The case was handled by Assistant United States Attorney Lesley J. Miller Lowery.
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Former Woonsocket Man Admits to Trafficking Crack CocaineRead the Press Release
PROVIDENCE – A former Woonsocket man arrested by members of the FBI Safe Streets Task Force during a Project Safe Neighborhoods investigation into the trafficking of crack cocaine pleaded guilty in federal court in Providence to conspiracy and drug distribution charges.
James Ruth, 31, appeared on Tuesday before U.S. District Court Chief Judge William E. Smith and pleaded guilty to conspiracy to distribute and possess with intent to distribute 28 grams or more of cocaine base, conspiracy to distribute and possess with intent to distribute cocaine base, and four counts of distribution of cocaine base, announced United States Attorney Aaron L. Weisman and Special Agent in Charge of the FBI Boston Division Joseph R. Bonavolonta.
Project Safe Neighborhoods (PSN) 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.
According to information presented to the court, members of the FBI Safe Streets Task Force arranged several controlled purchases of crack cocaine from Ruth. The purchases were electronically monitored by law enforcement. Four of the transactions took place between March 19 and April 30, 2019. During those transactions, Ruth sold between 3.2 grams and 27.42 grams of cocaine base in exchange for between $170 and $1,200.
Ruth was arrested by members of the Safe Streets Task Force on July 2, 2019. He is scheduled to be sentenced on January 23, 2020.
Conspiracy to distribute and possess with intent to distribute 28 grams or more of cocaine base is punishable by statutory penalties of 5-40 years imprisonment and a term of 4 years to lifetime supervised release. Conspiracy to distribute and possess with intent to distribute cocaine base and distribution of cocaine base is punishable by statutory penalties of up to 20 years imprisonment and a term of 3 years to lifetime supervised release.
The case is being prosecuted by Assistant U.S. Attorneys Christine D. Lowell and Sandra R. Hebert.
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Former North Braddock Man Pleads Guilty to Selling Deadly Heroin/Fentanyl MixRead the Press Release
PITTSBURGH - A former resident of North Braddock, PA pleaded guilty in federal court to a charge of possession with intent to distribute and distribution of a substance containing heroin and fentanyl, United States Attorney Scott W. Brady announced today.
Demiyr Johnson, 21, pleaded guilty to one count before United States District Judge Mark R. Hornak.
In connection with the guilty plea, the court was advised that on March 30, 2016, Johnson distributed a mixture of heroin and fentanyl to an individual who later redistributed the substance to an individual with the initials J.W. J.W. used the substance and died from an overdose. As part of the guilty plea, Johnson accepted responsibility for causing the death.
Judge Hornak scheduled sentencing for February 21, 2020 at 2:30 p.m.
The law provides for a total sentence of 20 years in prison, a fine of $1,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Pending sentencing, the court ordered that Johnson remained detained.
Assistant United States Attorney Lee J. Karl is prosecuting this case on behalf of the government.
The Drug Enforcement Administration conducted the investigation that led to the prosecution of Johnson.
Former Kansas City Business Owner Sentenced to Prison for Tax CrimeRead the Press Release
The former owner of a Kansas City, Missouri, business was sentenced today to 18 months in prison for obstructing the government’s effort to collect more than $378,000 in taxes owed, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and United States Attorney Timothy A. Garrison of the Western District of Missouri.
According to court documents and information provided to the court, Barrett Prelogar, 48, was a founding partner of a now-defunct company, Winntech Digital Systems Inc. (Winntech). Winntech produced electronic displays to be used in stores or at trade shows.
In 2002 and 2003, Prelogar withheld payroll taxes from Winntech employees’ paychecks, but he failed to pay the taxes over to the Internal Revenue Service (IRS) and was personally assessed more than $263,000. Prelogar also filed his personal tax return for 2008 reporting more than $500,000 in gross income, and a tax due of more than $100,000, but failed to pay the taxes due. Rather than paying the taxes he owed, from 2009 through 2011, Prelogar spent more than $362,000 towards a house at the Lake of the Ozarks, a house near the Plaza in Kansas City, Missouri, a house in Leawood, Kansas, a Porsche, a Jeep, and a boat.
When the IRS tried to collect the unpaid Winntech trust fund taxes, and the taxes Prelogar owed from 2008, he obstructed the IRS’s collection efforts. In particular, from 2011 to 2016, Prelogar used corporate funds to pay his personal expenses, structured cash withdrawals from Winntech’s bank account to avoid federal bank reporting requirements, and cashed his payroll checks from his wife’s company, Bare Skull Innovation LLC, rather than placing the money into a personal bank account.
In addition to the term of imprisonment, U.S. District Judge Stephen R. Bough ordered the defendant to serve one year of supervised release, and to pay over $ 263,959.27 in restitution to the United States.
Principal Deputy Assistant Attorney General Zuckerman and U.S. Attorney Garrison thanked special agents of IRS-Criminal Investigation, who conducted the investigation, and Tax Division Trial Attorneys David Zisserson, and Assistant U.S. Attorney Paul S. Becker, who prosecuted this case.
Former KC Business Owner Sentenced for Tax CrimeRead the Press Release
KANSAS CITY, Mo. – The former owner of a Kansas City, Missouri, business was sentenced in federal court today for obstructing the government’s effort to collect more than $378,000 in taxes owed.
Barrett Prelogar, 48, of Leawood, Kansas, was sentenced by U.S. District Judge Stephen R. Bough to 18 months in federal prison without parole. The court also ordered Prelogar to pay $263,959 in restitution.
On April 5, 2019, Prelogar was found guilty at trial of corruptly endeavoring to impede the due administration of the internal revenue laws. Prelogar engaged in a five-year-long scheme to avoid paying $378,207 in taxes that had been due and owing for almost 15 years. Prelogar committed multiple deliberate acts in order to obstruct or impede the enforcement of the IRS laws.
Prelogar was a founding partner in now-defunct Winntech Digital Systems, Inc. The Kansas City, Missouri, company primarily produced electronic displays to be used in stores or at trade shows.
Prelogar failed to pay over to the government the payroll taxes withheld from Winntech employees’ paychecks in 2002 and 2003. He then obstructed the collection process of the Trust Fund Recovery Penalty, which had been assessed against him personally for the unpaid trust fund taxes of Winntech. He also obstructed the IRS’s collection of the income taxes he owed for 2008.
On Oct. 28, 2009, Prelogar filed his 2008 tax return. The return reported over $500,000 in gross income and a tax due and owing of $120,103. Prelogar did not submit any payments with the 2008 tax return. Yet, from November 2009 through April 2011, he paid a total of more than $362,000 towards a house at the Lake of the Ozarks, a house near the Plaza in Kansas City, Missouri, a house in Leawood, Kansas, a Porsche, a Jeep, and a boat. During that time, he made no payments on his 2008 tax debt.
Prelogar engaged in several strategies from May 2011 to March 28, 2016, to obstruct the collection of taxes and penalties he owed to the government. Prelogar used corporate funds to pay his personal expenses, structured cash withdrawals from Winntech’s bank account to avoid federal bank reporting requirements, and cashed his payroll checks from his wife’s company, Bare Skull Innovation, LLC, rather than placing the money into a personal bank account, all to avoid IRS collections.
The total tax loss was $378,207. The loss amount consisted of the Trust Fund Recovery Penalty amounts of $167,237, assessed for the first quarter of 2003, and $96,721 for the second quarter of 2003, as well as the 2008 personal income tax due and owing at the time of the indictment, $114,248.
This case was prosecuted by Assistant U.S. Attorney Paul S. Becker and Trial Attorney David Zisserson of the U.S. Department of Justice’s Tax Division. It was investigated by IRS-Criminal Investigation.
Former IRS Employee Sentenced to Prison for Tax EvasionRead the Press Release
A former Internal Revenue Service (IRS) employee and former attorney was sentenced yesterday to 32 months in prison in Las Vegas, Nevada, for tax evasion and obstructing the IRS, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and U.S. Attorney Nicholas Trutanich for the District of Nevada.
In May 2019, a jury convicted Craig Orrock, 72, of Salt Lake City, Utah, of evading the payment of federal income taxes and obstructing IRS efforts to collect those taxes. Evidence at trial showed that Orrock filed tax returns for the years 1993 through 2015, but did not pay the income taxes reported as due on those returns. Orrock attempted to prevent the IRS from collecting the reported income taxes by using entities, bank accounts, and trusts in other names to hide his income and assets from IRS collection officers, filing frivolous bankruptcy petitions, and filing an offer-in-compromise falsely representing to the IRS that he had virtually no assets. For example, Orrock used an entity known as Arville Properties LLC to conceal from the IRS his ownership of real property that he sold in 2007 for $1.5 million. In all, Orrock evaded the payment of over $500,000 in federal income taxes.
In addition to the term of imprisonment, Orrock was ordered to pay $923,666.73 in restitution and to serve three years of supervised release.
Principal Deputy Assistant Attorney General Zuckerman and U.S. Attorney Trutanich commended special agents of IRS-Criminal Investigation, who conducted the investigation, and Tax Division Trial Attorney Erin S. Mellen and Assistant U.S. Attorney Patrick Burns, who prosecuted the case.
Former IRS Employee Sentenced to Prison for Tax EvasionRead the Press Release
LAS VEGAS, Nev. - A former Internal Revenue Service (IRS) employee and former attorney was sentenced Tuesday to 32 months in prison in Las Vegas, Nevada, for tax evasion and obstructing the IRS, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and U.S. Attorney Nicholas A. Trutanich for the District of Nevada.
In May 2019, a jury convicted Craig Orrock, 72, of Salt Lake City, Utah, of evading the payment of federal income taxes and obstructing IRS efforts to collect those taxes. Evidence at trial showed that Orrock filed tax returns for the years 1993 through 2015, but did not pay the income taxes reported as due on those returns. Orrock attempted to prevent the IRS from collecting the reported income taxes by using entities, bank accounts, and trusts in other names to hide his income and assets from IRS collection officers, filing frivolous bankruptcy petitions, and filing an offer-in-compromise falsely representing to the IRS that he had virtually no assets. For example, Orrock used an entity known as Arville Properties, LLC to conceal from the IRS his ownership of real property that he sold in 2007 for $1.5 million. In all, Orrock evaded the payment of over $500,000 in federal income taxes.
In addition to the term of imprisonment, Orrock was ordered to pay $923,666.73 in restitution and to serve three years of supervised release.
Principal Deputy Assistant Attorney General Zuckerman and U.S. Attorney Trutanich commended special agents of IRS-Criminal Investigation, who conducted the investigation, and Tax Division Trial Attorney Erin S. Mellen and Assistant U.S. Attorney Patrick Burns, who prosecuted the case.
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Florida Man, Texas Woman Sentenced for Making and Passing Counterfeit $100 Bills in Shreveport AreaRead the Press Release
SHREVEPORT, La. – United States Attorney David C. Joseph announced today that Edward Christopher Deyoung, 46, of Crestview, Florida, and Antonia Esperanza Hernandez, 39, of Amarillo, Texas, were sentenced by U.S. District Judge Donald E. Walter to serve two years in prison each for conspiring to make, possess and pass counterfeit currency. They were also sentenced to three years of supervised release.
In March of 2019, Deyoung and Hernandez were arrested by Shreveport police following an investigation into a counterfeiting operation in the Shreveport/Bossier area. Prior to their arrest officers identified two individuals who were using counterfeit $100 bills to make purchases at a Shreveport gas station. The individuals told police that they obtained the counterfeit cash from a man and a woman staying at a hotel in Shreveport. On March 12, 2019, law enforcement agents executed a search warrant at the hotel room where Deyoung and Hernandez were staying, and found $4,000 in counterfeit bills, a fake identification with Deyoung’s picture, laptops, cellphones, paper cutters, a computer printer, and other items used to make counterfeit currency. Officers also recovered $600 from local merchants in connection with Deyoung’s and Hernandez’s counterfeiting operation. During their guilty plea hearing on July 2, 2019, the defendants admitted to manufacturing the counterfeit bills.
The U.S. Secret Service, Shreveport/Caddo Parish White Collar Crimes Task Force and Shreveport Police Department conducted the investigation. Assistant U.S. Attorney Seth D. Reeg prosecuted the case.
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Florida Man Pleads Guilty to Failing to Pay Child SupportRead the Press Release
CONCORD - Richard E. Goulet, Jr., 50, of Ocala, Florida, pleaded guilty in federal court to failing to pay child support, United States Attorney Scott W. Murray announced today.
According to court documents and statements made in court, in December of 2007, a decree of divorce was issued in the Portsmouth Family Division Court ordering Richard Goulet of Ocala, Florida, to pay support in a specified amount for his three children, all of whom are residents of New Hampshire.
Since the date of the decree in 2007, the defendant has failed to pay child support as ordered by the Family Division and is currently in arrears of over $100,000.00
Goulet is scheduled to be sentenced on January 30, 2020.
“When out-of-state parents fail to pay their child support obligations, it can violate federal law,” said U.S. Attorney Murray. “In appropriate cases, we will not hesitate to bring federal criminal charges against those who refuse to provide court-ordered financial support to their children.”
"Parents who willfully avoid paying child support by moving to another state will instead face consequences for their crime, said Phillip M. Coyne, Special Agent in Charge for the Office of Inspector General of the U.S. Department of Health and Human Services. “We will continue to investigate parents who fail to pay court-ordered support for the care of their children.”
This matter was investigated by the Department of Health and Human Services, Office of the Inspector General. The case is being prosecuted by Assistant U.S. Attorney Helen Fitzgibbon.
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Felon Sentenced to 33 Months for Possessing FirearmRead the Press Release
MADISON, WIS. - Scott C. Blader, United States Attorney for the Western District of Wisconsin, announced that John Stroman, 31, Madison, Wisconsin, was sentenced today by U.S. District Judge William M. Conley to 33 months in federal prison for unlawfully possessing a loaded firearm as a convicted felon. Stroman pleaded guilty to this charge on July 16, 2019. His prison term will be followed by a three-year period of supervised release.
Stroman, a convicted felon, had an extraditable warrant for his arrest from Maryland. The U.S. Marshals Fugitive Task Force learned Stroman was in Wisconsin and they were tracking his phone. They also identified a car Stroman was driving. The Marshals contacted the Wisconsin State Patrol, and on April 18, 2019, a trooper saw the car near Mauston. After following the car for a while, the trooper contacted other units, because it was reported that Stroman would likely be armed and attempt to flee.
When State Patrol troopers attempted to stop Stroman, he led them on a high-speed chase for 28 miles, sometimes traveling at speeds of 119 mph. While Stroman was able to avoid several deflation devices, he eventually hit one and his car came to a stop. Stroman was the sole occupant of the vehicle.
A witness told the State Patrol that she saw the driver of the car forcibly throw a black object out of the passenger window. Troopers went to the location described by the witness, and recovered a Hi Point 9mm pistol with one round in the chamber.
Stroman has felony convictions for possession with intent to distribute LSD/PCP (Maryland, 2014) and burglary (Ohio, 2008).
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 gun violence.
The charge against Stroman was the result of an investigation conducted by the Wisconsin State Patrol, the U.S. Marshals Fugitive Task Force, and the Bureau of Alcohol, Tobacco, Firearms and Explosives. The prosecution of the case has been handled by Assistant U.S. Attorney Rita M. Rumbelow.
Federal Officials Announce National Prescription Take Back DayRead the Press Release
BATON ROUGE, LOUISIANA – Residents of Louisiana have an opportunity to safely and anonymously rid their homes of unused, unwanted, unneeded, or expired prescription medications, announced United States Attorney Brandon Fremin of the Middle District of Louisiana.
The National Prescription Take Back Day is Saturday, October 26, 2019, at four locations within the Middle District of Louisiana and almost 60 locations across Louisiana. During this one-day event, federal and local law enforcement will, once again, partner together to increase awareness of prescription drug abuse and provide an opportunity to reduce the availability of prescription pain medications in local homes.
U.S. Attorney Brandon Fremin stated: “This program seeks to reduce the massive amount of prescription drugs available at the homes throughout our district. The proper disposal of these drugs greatly benefits all citizens in our combined efforts to keep our communities safe. Reducing this available supply is an important step in our fight against opioid abuse.”
DEA Special Agent in Charge Brad Byerley stated: “Prescription drugs often end up in the wrong hands, feeding an epidemic that kills more Americans than car accidents. DEA’s Take Back Initiative provides citizens an easy and safe way to dispose of unused and unwanted prescription medications. This year, we are taking it 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.”
Prescription Drug Take Back days have historically been very successful. For example, in April 2019, the 17th National Prescription Drug Take-Back Day, which involved almost 5,000 national, tribal, state, and local law enforcement partners, resulted in the collection of 937,443 pounds (468 tons) of prescription drugs at more than 6,200 collection sites. The program has resulted in the collection of almost 12 million pounds (more than 5,900 tons) since it began 19 years ago.
The Prescription Drug Take Back is part of a nationwide effort sponsored by the DEA. Containers where unwanted and expired prescription medications may be safely disposed will be at locations across the Baton Rouge Metropolitan area on Saturday, October 26th from 10 a.m. to 2:00 p.m. New this year, DEA will be accepting vaping devices and cartridges at the drop-off sites. DEA is unable to accept devices containing lithium ion batteries. (DEA cannot accept liquids, needles or sharps). The service is free and anonymous, with no questions asked.
A complete list of locations may be found at WWW.DEA.GOV by clicking on Drug Take Back and typing in your zip code.
Many Americans are unsure of how to properly dispose of their unused medications and often flush them down the toilet or throw them away. This poses safety and health hazards. More information on how to properly dispose of unused medicines can be found on the Drug Enforcement Administration website.
Federal Grand Jury Indicts Two on Child Pornography ChargesRead the Press Release
PROVIDENCE – A federal grand jury in Providence has returned indictments charging two women in related cases with child pornography charges.
The grand jury returned a three-count indictment charging Samantha York, 31, of Newport, with two counts of sexual exploitation of a minor and one count of distribution of child pornography. The grand jury returned a single-count indictment charging Karissa C. Cave, 23, of Newport, with receipt of child pornography.
According to information presented to the Court, in December 2016, Woonsocket Police discovered a video depicting child pornography on the cell phone of an individual they were investigating for allegedly attempting to entice a minor to engage in sexual activity. It is alleged that the video was created and shared by Samantha York. It is alleged that sometime later that same video was shared with Karissa Cave by someone other than York.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
Sexual Exploitation of a minor is punishable by statutory penalties of 15-30 years imprisonment and a term of 5 years to lifetime supervised release. Distribution of child pornography and receipt of child pornography are punishable by statutory penalties of 5-20 years in prison and 5 years to lifetime supervised release.
The matter was investigated by the Woonsocket Police Department, Rhode Island State Police Internet Crimes Against Children Task Force, and Homeland Security Investigations.
The cases are being prosecuted by Assistant U.S. Attorney Denise M. Barton.
United States Attorney Aaron L. Weisman, who announced the indictments along with Woonsocket Police Chief Thomas Oates, Superintendent of the Rhode Island State Police Colonel James M. Manni, and Homeland Security Investigations Acting Special Agent in Charge Jason Molina, thanks the Rhode Island Department of the Attorney General for their assistance.
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Federal Felon Pleads Guilty to Firearm and Drug ChargesRead the Press Release
UTICA, NEW YORK – Sakena Kocer, age 32, of Schenectady, New York, pled guilty today to illegally possessing a .22 caliber pistol, and possessing and intending to distribute marijuana.
The announcement was made by United States Attorney Grant C. Jaquith; Kevin Kelly, Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI); and John B. DeVito, Special Agent in Charge of the New York Field Division of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF).
As part of her plea, Kocer acknowledged that on December 19, 2014, while on supervised release and after serving a prison sentence for a prior federal drug trafficking offense, federal agents recovered a .22 caliber semi-automatic pistol and over 15 pounds of marijuana from various locations under her control. Kocer’s prior felony drug trafficking conviction prevented her from legally possessing a firearm.
Kocer faces up to 10 years in prison, a fine of up to $500,000, and a term of post-imprisonment supervised release of at least 4 years when she is sentenced on February 19, 2020 by United States District Judge David N. Hurd. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.
This case was investigated by HSI, ATF, the U.S. Probation Office for the Northern District of New York, and the Schenectady Police Department. This case is being prosecuted by Assistant U.S. Attorney Emmet O’Hanlon.
Dunbar Man Sentenced for Federal Drug CrimeRead the Press Release
CHARLESTON, W.Va. – A Dunbar drug dealer was sentenced to federal prison for a drug crime, announced United States Attorney Mike Stuart. Samuel Manriquez, 34 was sentenced to 15 months in prison for distribution of furanyl fentanyl and U-47700. Furanyl fentanyl is an analog of fentanyl and U-477001 is a synthetic opioid. The investigation was conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives (“ATF”) and the Metropolitan Drug Enforcement Network Team (“MDENT”).
“Manriquez was caught selling deadly and powerful drugs on Charleston’s West Side,” said United States Attorney Mike Stuart. “We are laser focused and working with a sense of urgency to get drug dealers and their poisons off of our streets.”
Manriquez previously admitted that on May 8, 2017, on Delaware Avenue in Charleston he sold a confidential informant U-47700 and furanyl fentanyl. He also admitted that there was a firearm present during the drug transaction. Manriquez admitted that on the same date and at the same location, he sold another confidential informant U-47700.
Senior United States District Judge John T. Copenhaver, Jr. imposed the sentence. Assistant United States Attorney Ryan A. Saunders is handling the prosecution.
This case is being prosecuted as part of the Project Safe Neighborhoods (PSN) program, 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.
Follow us on Twitter: SDWVNews and USAttyStuart
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Dorchester Man Sentenced on Counterfeiting ChargesRead the Press Release
BOSTON – A Dorchester man was sentenced yesterday in federal court in Boston for selling counterfeit bills.
Franklin Perry, 53, was sentenced by U.S. Senior District Court Judge George A. O’Toole Jr. to 15 months in prison, two years of supervised release and forfeiture. In April 2019, Perry pleaded guilty to one count of dealing in counterfeit currency and two counts of passing and uttering counterfeit obligations of the United States. Perry was arrested in August 2018 during a law enforcement sweep targeting federal drug, firearms and counterfeiting offenses.
On June 27, 2018, Perry sold 10 counterfeit $100 bills to an individual who was working with federal law enforcement officers. On July 25, 2018, Perry purchased items from a retail store in Westwood, including an ink jet printer, with $500 in counterfeit $100 bills. That same day, he also purchased items at another retail store in Walpole with $500 in counterfeit bills. All of the counterfeit bills were manufactured using an inkjet printer on real currency that had been bleached first.
On Aug. 23, 2018, five inkjet printers, cleaning solution, bleach, counterfeit currency and real currency were found during a search of Perry’s residence.
United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Stephen A. Marks, Special Agent in Charge of the U.S. Secret Service, Boston Field Division, made the announcement. Assistant U.S. Attorney S. William Abely of Lelling’s Major Crimes Unit prosecuted the case.
Doctor of Osteopathic Medicine Sentenced for Drug DistributionRead the Press Release
CHARLESTON, W.Va. – A Doctor of Osteopathic Medicine was sentenced to federal prison for drug distribution, announced Acting United States Attorney Lisa G. Johnston. Mathew Sisson, 29, was sentenced to 57 months in prison for distributing oxycodone for no legitimate medical purpose and outside the bounds of professional practice. Sisson was also ordered to serve three years of supervised release following his release from prison.
Sisson previously admitted that while holding an education permit granted by the West Virginia Board of Osteopathic Medicine, he participated in a training program at the Charleston Area Medical Center (CAMC) located in Charleston, Kanawha County, West Virginia. The training program authorized him to practice medicine and prescribe controlled substances within the confines of the program. Sisson acknowledged that his privileges at CAMC and the limited permit issued by the West Virginia Board of Osteopathic Medicine did not permit him to issue prescriptions that were not for legitimate medical purposes, and issued outside the course of professional medical practice.
According to Sisson, he met with an individual on October 17, 2017 in the CAMC lobby and provided a written prescription for 60 oxycodone 30 mg pills to that individual. At the time Sisson provided the prescription, the individual was not a patient of the CAMC program, nor was another physician supervising Sisson at the time. Sisson admitted that he did not do a physical exam on the individual and that the prescription he provided was not for legitimate medical purposes, and outside the bounds of a professional medical practice. Sisson also previously admitted to providing prescriptions for controlled substances to individuals who were not patients in CAMC’s program from September 2017 through January 2018.
The Drug Enforcement Administration and the Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation. Assistant United States Attorney Monica D. Coleman handled the prosecution.
United States Attorney Mike Stuart was recused from this prosecution.
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Des Peres Man Sentenced to 15 Years in Prison for Production of Child PornographyRead the Press Release
St. Louis, MO – William Timothy Hopmeier, 48, of Des Peres, was sentenced to 15 years in prison for his involvement in production of child pornography. Hopmeier appeared before United States District Judge Audrey G. Fleissig.
According to court documents, from June 2017 to January 31, 2018, Hopmeier used a cell phone to video record two minor females engaging in sexually explicit conduct on several occasions.
The St. Louis County Police Department and the Federal Bureau of Investigation investigated the case. Assistant U.S. Attorney Rob Livergood is handling the case for the U.S. Attorney’s Office.
Dayton man sentenced to 77 months in prison for possessing firearm after felony convictionRead the Press Release
DAYTON – James Jamar Warren, 33, of Dayton, was sentenced in U.S. District Court to 77 months in prison for possessing a firearm as a convicted felon.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Joseph Deters, Acting Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, Jonathan McPherson, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and Montgomery County Sheriff Rob Streck announced the sentence handed down today by U.S. District Judge Thomas M Rose.
According to court documents, investigators from the RANGE Task Force served a search warrant at Warren’s west Dayton residence on March 27, 2019. They found two handguns, a rifle and more than 50 rounds of ammunition. Investigators checked Warren’s criminal history and determined that he had been convicted in Montgomery County in 2008 of felonious assault and drug trafficking. Federal law prohibits people with felony convictions from owning or possessing firearms or ammunition.
Agents arrested Warren on April 1. He has been in custody since his arrest. Warren pleaded guilty on July 8 to one count of possession of a firearm by a convicted felon.
After Warren completes his prison sentence, he will remain under court supervision for three years. The court also ordered Warren to forfeit the firearms and ammunition.
This case is being prosecuted as part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. 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.
U.S. Attorney Glassman commended the cooperative investigation by the FBI Southern Ohio Safe Streets Task Force, the ATF and the Montgomery County Sheriff’s Office, as well as Assistant United States Attorney Andrew Hunt, who is representing the United States in this case.
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Department of Justice Awards More Than $85.3 Million in Grants to Address School Violence and Combat Drug TraffickingRead the Press Release
SIOUX FALLS – The Department of Justice announced 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 2018 STOP School Violence Act authorized the Department of Justice to create a series of grant award programs under a School Violence Prevention Program. This year, the Department made 215 awards to schools, districts and other jurisdictions throughout the United States.
The South Dakota Department of Public Safety was awarded grants for the following: $500,000 for School Violence Technology and Threat Assessment Solutions for Safer Schools Program, $998,240 for a State School Safety Center, and a $500,000 for a School Violence Prevention and Mental Health Training Program.
“The Department of Justice is committed to school safety,” said U.S. Attorney Ron Parsons. “These new federal grants will help to secure our schools and keep our children protected and safe.”
Additionally, the Department of Justice Office of Community Oriented Policing Services (COPS) awarded the South Dakota Attorney General’s office $714,268 as part of the COPS Anti-Heroin Task Force Program Awards.
“We are also pleased to announce this substantial new grant to help our drug task forces combat the opioid crisis,” continued U.S. Attorney Parsons. “Every life is precious. This new funding will help us dismantle drug trafficking organizations and relieve the misery they inflict on our communities.”
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.
More details about these individual award programs, as well as listings of individual 2019 awardees, can be found here.
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.
DEA to Accept Electronic Vaping Devices and Cartridges as Part of National Prescription Drug Take Back Day on SaturdayRead the Press Release
Memphis, TN – U.S. Attorney D. Michael Dunavant joins the Drug Enforcement Administration in announcing that on Saturday, October 26, 2019, DEA will hold its National Prescription Drug Take Back Day. The biannual event will be held from 10 a.m. to 2 p.m. at thousands of collection sites around the country, including here at Kroger, 7615 Highway 70 Bartlett, Tennessee. The event is an effort to rid homes of potentially dangerous expired, unused, and unwanted prescription drugs. 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 D. Michael Dunavant said: "Addressing the opioid crisis in our communities requires a comprehensive approach which includes prevention, education, treatment, and enforcement. The DEA National Prescription Drug Take Back event allows everyone to participate in prevention and education that promotes public safety, and I encourage all West Tennesseans to turn in your unused, unwanted, and expired medications. Together, we can prevent addiction, injury and death, and educate the public about the dangers of prescription drug abuse."
"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 October 15, 2019, 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 Collection sites will be open from 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.
National Prescription Drug 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.
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.
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DEA Prescription Drug Take Back Day is October 26Read the Press Release
BIRMINGHAM – Saturday is the Drug Enforcement Administration’s 18th National Prescription Drug Take Back Day, announced U.S. Attorney Jay E. Town.
“Most of us have a loaded gun with a hair-trigger with no safety in our medicine cabinets in our homes…and most of us don’t even realize it,” Town said. “Let’s do our part to protect our loved ones by getting rid of those prescription drugs in our possession that we no longer need. Not only does this make us all safer, it raises awareness to the dangers of prescription drug abuse, opioid addiction, and shines a bright light on the new threat of counterfeit pills hitting the streets.”
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. As of October 21, more than 5,250 collection sites manned by more than 4,500 registered law enforcement partners will be open from 10:00 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. This service is free and anonymous.
For the first time, DEA will now accept vaping devices and cartridges – in addition to tablets, capsules, patches and other medications in solid forms – at any of its drop off locations. DEA is doing all it can to help dispose safely of vaping devices and liquids to get these products off our street and out of the hands of children. 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.
The National Prescription Drug Take Back Day Initiative addresses a vital public safety and public health issue. Medicines that languish in home cabinets are highly susceptible to diversion, misuse and abuse. The rate of prescription drug abuse in the United States is alarmingly high, as are the number of accidental poisonings and overdoses due to these drugs.
National Take Back Day has received robust 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 dangers of drugs please visit DEA’s websites at www.JustThinkTwice.com, www.GetSmartAboutDrugs.com and www.dea.gov
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Corporate Insider Convicted of Conspiring with Others at Long Island Boiler Room to Pump and Dump Stock on Unsuspecting Elderly InvestorsRead the Press Release
A federal jury in Central Islip returned a guilty verdict on all counts this afternoon against Michael Watts, a former registered broker, for his role in a conspiracy to promote and manipulate the price of shares in Hydrocarb Energy Corp. (Hydrocarb) and other companies. Specifically, Watts was convicted of conspiracy to commit securities fraud, securities fraud, conspiracy to commit wire fraud, money laundering conspiracy and money laundering. The verdict followed a three-week trial before United States District Judge Joanna Seybert. When sentenced, Watts faces a maximum sentence of more than 20 years’ imprisonment.
Richard P. Donoghue, United States Attorney for the Eastern District of New York, announced the verdict.
“With today’s verdict, the jury has delivered a measure of closure to the victims, many of them elderly and vulnerable, who were preyed upon by Watts and his co-conspirators,” stated United States Attorney Donoghue. “The defendant will face another reckoning when he is sentenced for his crimes.”
As proven at trial, from 2014 to 2016, Watts and his co-conspirators at a Melville-based boiler room artificially inflated the price and trading volume of Hydrocarb stock. They did so through an illegal cold-calling campaign that used lies and high-pressure sales tactics to lure victim investors, including many elderly victims, into purchasing stock. Watts, who was one of the largest shareholders in Hydrocarb and knew that the business was failing, also used the boiler room to dump more than $2 million worth of Hydrocarb shares that he owned or controlled on unsuspecting investors in the months leading to the company’s April 2016 bankruptcy. The government has alleged that the conspiracy’s market manipulation fraudulently inflated the stock price of Hydrocarb and four other companies by more than $147 million.
Watts is the 13th defendant convicted in this case. Three others are scheduled for trial in January 2020. Four defendants have been sentenced for their roles in the scheme: Ronald Hardy was sentenced to 10 years’ imprisonment; Dennis Verderosa was sentenced to six years’ imprisonment; McArthur Jean was sentenced to four years’ imprisonment; and Emin Cohen was sentenced to two years’ imprisonment.
United States Attorney Donoghue thanked the Federal Bureau of Investigation, New York Field Office, for its hard work and dedication in leading the investigation, and expressed his appreciation to the Securities and Exchange Commission and the Financial Industry Regulatory Authority, Inc., Criminal Prosecution Assistance Group for their cooperation and assistance.
The government’s case is being handled by the Office’s Business and Securities Fraud Section. Assistant United States Attorneys Whitman G.S. Knapp and Kaitlin T. Farrell are in charge of the prosecution.
The Defendant:
MICHAEL WATTS
Age: 63
Sugarland, TexasE.D.N.Y. Docket No. 17-CR-372 (JS)
Cazenovia Man Sentenced to 45 Years for Sexually Exploiting a ChildRead the Press Release
SYRACUSE, NEW YORK – Naven Conley, age 75, of Cazenovia, New York, was sentenced today to serve 45 years in prison for sexually exploiting a child, announced United States Attorney Grant C. Jaquith; Kevin Kelly, Special Agent in Charge of the Buffalo Field Office of United States Homeland Security Investigations (HSI); and New York State Police Superintendent Keith Corlett.
As part of his guilty plea, Conley admitted that on three separate occasions he engaged in sexually explicit conduct with a minor who was under the age of 7, and produced videos capturing that conduct over the course of three years. Conley further admitted that from 2016 through 2018 he used a cellular telephone to record sex acts that he engaged in with the child. In addition, to that conduct, Conley also admitted that he possessed 21 images and 15 video files depicting child pornography that he received over the internet, and that he showed those images and videos to the child victim in his efforts to convince the child to engage in sex acts with him.
Chief United States District Judge Glenn T. Suddaby also imposed a lifetime term of supervised release, which will start after Conley is released from prison, and ordered a $300 special assessment. As a result of his conviction, Conley will be required to register as a sex offender upon his release from prison.
Conley’s case was investigated by the New York State Police, Troop D, Computer Crimes Unit and United States Homeland Security Investigations (HSI) and prosecuted by Assistant U.S. Attorney Geoffrey J. L. Brown as a part of Project Safe Childhood. Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS). 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 https://www.justice.gov/psc.
California Woman Sentenced to 7 Months in Federal Prison for Her Role in Staged Accident SchemeRead the Press Release
Spokane – William D. Hyslop, United States Attorney for the Eastern District of Washington, announced that Stephanie Stock, age 44, of Los Banos, California, was sentenced after having pleaded guilty on April 26, 2019, to one count of conspiracy to commit mail and wire fraud. Chief United States District Judge Thomas O. Rice sentenced Stock to a 7-month term of imprisonment, to be followed by a 3-year term of court supervision after she is released from federal prison. Chief Judge Rice also ordered Stock to pay restitution in the amount of $10,000 and forfeiture of $10,000.
According to information disclosed during court proceedings, Stock was involved in a staged automobile accident in Henderson, Nevada, that defrauded insurance companies out of $257,157. Stock allowed her Toyota 4Runner to be deliberately driven by another individual into a Jaguar XK8 occupied by co-conspirator Sandra Victoria Talento and another individual. Before police arrived, and in furtherance of the scheme, the person who deliberately crashed Stock’s vehicle was driven away from the scene by another individual. Stock then posed as the “at fault” driver to police and the insurance companies.
United States Attorney Hyslop said, “Staged accident automobile insurance fraud is not a victimless crime. It affects every driver, as fraud causes insurance rates to increase. It also distracts police and medical personnel from responding to legitimate distress calls. I commend the FBI, IRS Criminal Investigation and U.S. Marshals Service for their outstanding work investigating this case.”
This case was investigated by the Federal Bureau of Investigation, Internal Revenue Service Criminal Investigation, U.S. Marshals Service and U.S. Attorney’s Office for the Eastern District of Washington Criminal Healthcare Fraud Investigator, with assistance from the National Insurance Crime Bureau. This case was prosecuted by George J.C. Jacobs, III, and Brian Donovan, Assistant United States Attorneys for the Eastern District of Washington.
Brooklyn Man Pleads Guilty to Stealing More Than $80,000 from New York State Assemblyman’s Campaign AccountRead the Press Release
Earlier today in federal court in Brooklyn, Maruf Alam, the former chief of staff for a New York State assemblyman, pleaded guilty to wire fraud for stealing more than $80,000 of donor contributions from the assemblyman’s campaign account for his own personal use. Alam admitted that, as part of the scheme, he filed false reports to the New York State Board of Elections (NYSBOE) to conceal his years-long theft. The proceeding took place before United States District Judge Ann M. Donnelly. When sentenced, Alam faces up to 20 years in prison.
The guilty plea was announced by Richard P. Donoghue, United States Attorney for the Eastern District of New York.
“Alam was caught with his hand in the till, and now he must face the consequences,” stated United States Attorney Donoghue. “Those who corrupt the political campaign contribution process to enrich themselves will be caught and prosecuted.” Mr. Donoghue extended his grateful appreciation to the Federal Bureau of Investigation, New York Field Office, and to the enforcement staff at the NYSBOE for their assistance during the investigation.
Alam was employed by a New York State assemblyman in various capacities since 2008, including as chief of staff. He also acted, on a voluntary basis, as treasurer for the assemblyman’s campaign account, and was responsible for filing periodic disclosure reports with the NYSBOE that reported contributions received and expenditures made by the assemblyman’s campaign committee. Between approximately January 2012 and January 2019, Alam stole a total of approximately $80,000 from that account, which were funds that had been contributed to support the assemblyman’s candidacy, and deposited the cash into his personal account.
The government’s case is being handled by the Office’s Public Integrity Section. Assistant United States Attorneys Nathan Reilly and Maria Cruz Melendez are in charge of the prosecution
The Defendant:
MARUF ALAM
Age: 29
Brooklyn, New YorkE.D.N.Y. Docket No. 19-CR-342 (AMD)
Brandon Man Sentenced to 10 Years in Federal Prison for Trafficking MethamphetamineRead the Press Release
Jackson, Miss. – John Barrett Cotting, 39, of Brandon, was sentenced yesterday by U.S. District Judge Carlton W. Reeves to 120 months in federal prison, followed by three years of supervised release, for conspiring to possess with intent to distribute 50 grams or more of actual methamphetamine, announced U.S. Attorney Mike Hurst and Special Agent in Charge Brad L. Byerley with the Drug Enforcement Administration. Cotting was also ordered to pay a $1,500 fine.
Cotting was indicted following an extensive investigation, dubbed “Drama Queen,” targeting illegal methamphetamine distribution in Central Mississippi. During a prostitution sting, agents received messages from Cotting who wanted to meet for sexual purposes related to a Backpage.com ad. Cotting stated that he was willing to bring narcotics with him to the meeting. Once Cotting arrived at the meeting location, agents retrieved approximately 140 grams of actual methamphetamine intended for distribution. Cotting pled guilty before Judge Reeves on July 2, 2019 to conspiracy to possess with intent to distribute 50 grams or more of actual methamphetamine.
The case was investigated by the Drug Enforcement Administration, Bureau of Alcohol, Tobacco, Firearms and Explosives, U.S. Marshals Service, Hinds County Sheriff’s Office, Jones County Sheriff’s Office, Jackson Police Department, Richland Police Department, Mississippi Bureau of Narcotics and the Internal Revenue Service. It was prosecuted by Assistant United States Attorney Chris Wansley.
Bellevue Man Sentenced for Possessing Child PornographyRead the Press Release
PITTSBURGH, PA – A suburban Pittsburgh resident has been sentenced in federal court to four years’ (48 months’) imprisonment and 10 years of supervised release on his conviction of possession of child pornography, United States Attorney Scott W. Brady announced today.
United States District Judge Arthur J. Schwab imposed the sentence on Monday on Christopher Morrison, 26, of Bellevue, Pennsylvania.
According to information presented to the court, on June 20, 2018, Adams Township Police officers seized Morrison’s cellular phone during a narcotics related traffic stop. Upon extracting the contents of the phone, officers observed multiple images of suspected child pornography. The Federal Bureau of Investigation forensically examined the phone, and confirmed that Morrison possessed approximately 700 images and 11 videos that depicted the sexual exploitation of a minor, and multiple screen captures of the defendant browsing child pornography. The court was further informed that some of pornography depicted minors under the age of 12 years, as well as minors who were bound at the ankles with their mouths duct-taped.
The Federal Bureau of Investigation and the Adams Township Police Department conducted the investigation that led to the prosecution of Morrison.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Attorney General William Barr Recognizes Department Employees and Others for Their Service at 67th Annual Attorney General AwardsRead the Press Release
Four Assistant U.S. Attorneys for the Southern District of Florida Among Honorees
WASHINGTON – Attorney General William P. Barr recognized 295 department employees for their distinguished public service today at the 67th Annual Attorney General’s Awards Ceremony. Sixty-two other individuals outside of the department were also honored for their work. This annual ceremony recognizes employees and other individuals who have demonstrated exceptional achievements, leadership, and service to the Department of Justice and the American people.
“Our greatest strength in our fight for justice is our people – the thousands of men and women who have dedicated their careers, often at great personal sacrifice, to working for justice in America,” said Attorney General William P. Barr. “As we reflect on the contributions of each of the 357 individuals we honor today, we should hold them up as examples of excellence that continue to inspire our own commitment, and also as reminders of the professionalism and the qualities exhibited throughout the Department.”
“The extraordinary efforts undertaken by Assistant U.S. Attorneys Adam Fels, Andrea Goldbarg, Lynn Kirkpatrick and John Shipley, to ensure that justice is served and that the rules of professional conduct are upheld, are undeniably deserving of these prestigious honors,” stated U.S. Attorney Ariana Fajardo Orshan. “Their contributions have helped to protect the public from the scourge of illicit drugs and violence, and to promote professional responsibility within the legal profession. The Southern District of Florida is incredibly proud of their unwavering commitment to the highest caliber of public service.”
This year’s program honors individuals across the department and our federal, state, local, and tribal partners for their self-less efforts, protecting our national security and our civil rights, addressing rising violent crime in our communities, going after gangs and those trafficking in dangerous narcotics and human beings. The awards also honor the work of civil and environmental litigation, which enforces the rule of law and upholds our Constitution. They also recognize employees whose ideas and efforts save taxpayer dollars and help our government operate more effectively and efficiently, among other contributions to public safety and good governance.
Assistant U.S. Attorney John C. Shipley, Jr., was part of a team that was recognized for its outstanding litigation assistance with respect to critical ethical and professional responsibility issues that arose in the case of U.S. v. Philip Esformes, et al., the single largest healthcare fraud case ever brought against individuals by the Department of Justice involving over $1 billion in false and fraudulent claims to Medicare and Medicaid for services that were not provided, were not medically necessary, or were procured through the payment of kickbacks. The recipients were called upon to independently review and defend Department of Justice attorneys and special agents against charges of prosecutorial misconduct and invasion of the defense camp. The team exhibited a high degree of professionalism and responsibility by making a thorough, yet independent, evaluation of the facts and then skillfully represented the interests of the U.S. by presenting the facts and legal argument in a manner best suited to achieve the best result for the case, defend the reputational interests of their colleagues, and maintain the Department’s commitment to professional integrity.
Assistant U.S. Attorneys Adam S. Fels, Andrea Goldbarg, and Lynn M. Kirkpatrick, along with the rest of the prosecution team received the sole award of the Department’s highest recognition, the Exceptional Service Award. This team successfully investigated and convicted Joaquín Guzmán Loera, also known as “El Chapo,” one of the most notorious international drug cartel leaders. Guzmán was a principal leader of the Sinaloa Cartel, a Mexico- based international drug trafficking organization responsible for importing and distributing staggering quantities – tens of thousands of tons – of narcotics from Central and South America into the U.S. over a 25-year period. The cartel controlled significant portions of Mexico and relied on the use of violence and corruption to maintain its power. Guzmán directed his hitmen to kidnap, interrogate, torture, and kill members of rival drug organizations, at times carrying out acts of violence personally. Guzmán also utilized a sophisticated encrypted communications network to operate the global narcotics trafficking operation. To maintain his grip on certain parts of Mexico and further the interests of the cartel, Guzmán took advantage of a vast network of corrupt Government officials from local law enforcement officers, prison guards, and State officials to high-ranking members of the armed forces and politicians. Although indicted in multiple districts across the country, the U.S. Attorney’s Office for the Southern District of Florida, the Department’s Narcotic and Dangerous Drug Section, and the U.S. Attorney’s Office for the Eastern District of New York combined their efforts and resources to seek justice in a U.S. federal court in Brooklyn, New York for Guzman’s 25-year continuing criminal enterprise, plus multiple substantive international narcotics trafficking and weapons charges. The resulting 12- week trial included testimony from 56 witnesses; 14 cooperating witnesses; narcotics seizures totaling over 130,000 kilograms of cocaine and heroin; and the seizure of weapons, ledgers, text messages, letters, videos, and voice recordings detailing the drug trafficking activity of Guzmán and his co- conspirators. On Feb. 12, 2019, Guzmán was convicted by a Federal jury in Brooklyn of all counts of the superseding indictment. On July 17, 2019, Guzmán was sentenced to life in prison plus 30 years. The Court also ordered Guzmán to pay $12.6 billion pursuant to a forfeiture judgment.
Attorney General William Barr Recognizes Department Employees and Others for Their Service at 67th Annual Attorney General AwardsRead the Press Release
John Gay and Mary Toscano from U.S. Attorney’s Office Also Recognized by City of Newark for Roles in Formation and Leadership of Newark Violent Crime Initiative
NEWARK, N.J. – Attorney General William P. Barr recognized 295 department employees for their distinguished public service today at the 67th Annual Attorney General’s Awards Ceremony. Sixty-two other individuals outside of the department were also honored for their work. This annual ceremony recognizes employees and other individuals who have demonstrated exceptional achievements, leadership, and service to the Department of Justice and the American people.
“Our greatest strength in our fight for justice is our people – the thousands of men and women who have dedicated their careers, often at great personal sacrifice, to working for justice in America,” Attorney General Barr said. “As we reflect on the contributions of each of the 357 individuals we honor today, we should hold them up as examples of excellence that continue to inspire our own commitment, and also as reminders of the professionalism and the qualities exhibited throughout the Department.”
“I am extremely proud that our law enforcement partners have been chosen for these prestigious awards,” U.S. Attorney Carpenito said. “The Violent Crime Initiative has proven to be effective in making the streets of Newark safer for all citizens, and it works because of the tremendous cooperation among city, state, county and federal law enforcement.”
In the District of New Jersey, six members of state and local law enforcement won the William French Smith Award for Outstanding Contributions to Cooperative Law Enforcement – the only such award presented by the Attorney General this year. This award recognizes State and local law enforcement officials who have made significant contributions to cooperative law enforcement endeavors. New Jersey’s recipients were recognized for their contributions to the Violent Crime Initiative (VCI) to Improve Public Safety in Newark.
The recipients are:
Sgt. Christopher J. Bozios Jr., Bureau of Narcotics, Essex County Sheriff’s Office; Detective Sgt. John M. Marcelli, Professional Standards Bureau, Essex County Prosecutor’s Office; Lt. R. Craig Costello, Regional Operations Intelligence Center, N.J. State Police; Sgt. Matthew J. Testa, Special Operations Group, N.J. Parole Board; and Capt. William Mehalaris and Anthony S. Venancio, both of the Major Crimes Division, Newark Department of Public Safety, Police Division.
The VCI was formed in August 2017 by the U.S. Attorney’s Office for the District of New Jersey, the Essex County Prosecutor’s Office, and the City of Newark’s Department of Public Safety as a community-wide cooperative effort aimed at combatting violent crime in and around Newark. As part of this partnership, federal, state, county, and city agencies collaborate, share intelligence, and pool resources to prosecute violent offenders who endanger the safety of the community. VCI has not only improved the community, but has strengthened relationships among federal, state, county and city agencies as a result of the trust developed among the participants.
The VCI’s community-wide, collaborative approach has had a powerful impact on improving the community, which is experiencing a sharp decrease in overall crime, in general, and violent crime, in particular. Due in part to the VCI’s concentrated efforts, overall crime in Newark has been reduced 15 percent over the past year. The VCI, and other measures, have had an even greater impact on violent crime, with a 30 percent reduction in shooting victims between 2017 and 2018. In 2019, the number of shooting victims and shooting incidents have again declined significantly, with a reduction of 39 percent compared to the same period in 2018. Newark officials said there have been 30 fewer murders, 150 fewer shootings and 500 fewer robberies. Overall, according to the Newark Department of Public Safety, there have been 800 fewer victims of violent crime since the VCI’s creation.
Also today, Newark Mayor Ras J. Baraka issued an official proclamation honoring Assistant United States Attorneys John Gay, Chief of the Criminal Division, and Mary Toscano, Deputy Chief of the Criminal Division, for their contributions and founding and leading the VCI to reduce violent crime. Mayor Baraka’s proclamations stated that the VCI “has had a dramatic impact on crime in Newark,” and credited Gay and Toscano for their work “to make Newark a safer, more empowered, and more equitable City.”
“We commend the hard work of the men and women of the Police Division,” Newark Department of Public Safety Director Anthony F. Ambrose said. “We also thank the U.S. Attorney’s Office for their dedication and commitment in successfully prosecuting these cases, which has definitely made Newark a safer place. The beneficiaries are the members of the public, who have seen 150 fewer people shot and 30 fewer funerals.”
“We congratulate today’s recipients for this well-deserved and hard-earned recognition,” Newark FBI Special Agent in Charge Gregory W. Ehrie. “We are proud to work alongside them toward the common goal of reducing violent crime in Newark and improving the quality of life for our neighbors.”
“I congratulate all my state and federal partners in being recognized for their hard work and dedication in combatting drug trafficking violence,” DEA Special Agent in Charge Susan A. Gibson said. “I am so proud of the cooperative efforts and their unrelenting dedication to arrest those who prey on the innocent.”
“The Newark Violent Crime Initiative (VCI) has been a major component for success in addressing the most violent offenders and groups that wreak havoc in our communities,” ATF Special Agent in Charge Charlie J. Patterson said. “ATF is proud to serve with our partner organizations, in doing the meaningful and impactful work of making our communities safer, one case at a time. On behalf of the ATF Newark Field Division, I extend my gratitude to the Newark VCI participating agencies, especially to our local and State counterparts who are often the catalyst to the VCI’s overall success. ATF remains steadfast in our support of the Newark VCI, and we look forward to continued success in combatting violent crime in and around Newark.”
“Information sharing and collaboration are the keys to reducing violent crime in our state and the Newark Violent Crime Initiative stands out as a model of what we can accomplish when we work together,” New Jersey Attorney General Gurbir S. Grewal said. “I am proud to work with United States Attorney Craig Carpenito, Newark Public Safety Director Anthony Ambrose, Newark Police Chief Darnell Henry, and Colonel Patrick Callahan of the NJ State Police on this groundbreaking effort to improve public safety. I congratulate the dedicated men and women who are on the front lines of this initiative and are being recognized today. With this award, I am certain that the Newark Violent Crime Initiative will become a national model for law enforcement agencies across the country to follow.”
“The New Jersey State Police is proud to be a part of a cooperative partnership of dedicated individuals determined to improve the quality of life for the residents of the City of Newark by targeting recidivist, violent offenders and removing them from the streets,” Col. Patrick Callahan, superintendent of the state police, said. “The members of the Newark Violent Crime Initiative bring great credit and distinction to their agencies for their outstanding efforts, and although they are law enforcement professionals who perform their duties seeking no praise, it is nevertheless a great honor for them to be recognized at the 67th Annual Attorney General's Award Ceremony.”
Attorney General William Barr Recognizes Department Employees and Others for Their Service at 67Th Annual Attorney General AwardsRead the Press Release
WASHINGTON – Attorney General William P. Barr recognized 295 department employees for their distinguished public service today at the 67th Annual Attorney General’s Awards Ceremony. Sixty-two other individuals outside of the department were also honored for their work. This annual ceremony recognizes employees and other individuals who have demonstrated exceptional achievements, leadership, and service to the Department of Justice and the American people.
“Our greatest strength in our fight for justice is our people – the thousands of men and women who have dedicated their careers, often at great personal sacrifice, to working for justice in America,” said Attorney General William P. Barr. “As we reflect on the contributions of each of the 357 individuals we honor today, we should hold them up as examples of excellence that continue to inspire our own commitment, and also as reminders of the professionalism and the qualities exhibited throughout the Department.”
This year’s program honors individuals across the department and our federal, state, local, and tribal partners for their self-less efforts, protecting our national security and our civil rights, addressing rising violent crime in our communities, going after gangs and those trafficking in dangerous narcotics and human beings. The awards also honor the work of civil and environmental litigation, which enforces the rule of law and upholds our Constitution. They also recognize employees whose ideas and efforts save taxpayer dollars and help our government operate more effectively and efficiently, among other contributions to public safety and good governance.
Attorney General Recognizes the District of North Dakota for Exceptional Work in Operation Hard CopyRead the Press Release
WASHINGTON, DC – Attorney General William P. Barr today awarded the District of North Dakota with The Attorney General’s Award for Fraud Prevention for Exceptional Work in Operation Hard Copy to Combat Fraud against the Elderly and Most Vulnerable at the 67th Annual Attorney General’s Awards Ceremony, held at the Daughters of the American Revolution Constitution Hall, Washington, DC. This annual ceremony honors employees and other individuals who have demonstrated exceptional achievements, leadership, and service to the Department of Justice and the American people. The Award for Fraud Prevention recognizes exceptional dedication and effort to prevent, investigate, and prosecute fraud, white collar crimes, and official corruption. The District received the award for its work in “Operation Hard Copy”.
“Operation Hard Copy” targeted a transnational telemarketing advance-fee fraud scheme commonly known as the Jamaican Lottery Fraud. The scheme was designed to prey on elderly and otherwise vulnerable victims and caused them to send their life savings to scammers operating overseas. The District of North Dakota worked with law enforcement to spearhead a multi-year investigation resulting in the extradition of 14 Jamaican nationals and the successful prosecution of 31 defendants in the U.S. District Court for the District of North Dakota. The investigation identified over 100 victims in 31 states and 97 cities across the United States, with reported losses in excess of $6 million. Individual victims lost as little as $199 and as much as $850,000. Nationwide, the number of victims targeted by scammers is likely in the millions, with estimates of annual losses in excess of $1 billion.
“Our greatest strength in our fight for justice is our people – the thousands of men and women who have dedicated their careers, often at great personal sacrifice, to working for justice in America, said Attorney General William P. Barr. “As we reflect on the contributions of each of the 357 individuals we honor today, we should hold them up as examples of excellence that continue to inspire our own commitment, and also as reminders of the professionalism and the qualities exhibited throughout the Department.”
“This award recognizes many years of arduous investigative and prosecutorial work, and it highlights the nationwide impact of toppling a fraudulent enterprise responsible for taking millions of dollars from victims all across North Dakota and the United States,” said Unites States Attorney Drew H. Wrigley. “These fraudsters were stopped in their tracks and scores of potential victims were protected up ahead. This marks the very first time that a North Dakota case has been selected for the prestigious Attorney General’s Award and this team will be commemorated in our office, in a place of honor.”
This marks the first-ever Attorney General’s Award presented to the District of North Dakota. Only one Award for Fraud Prevention was given this year. Other awards presented at this year’s program honor Department employees, and federal, state, local, and tribal partners, for their selfless efforts protecting national security and civil rights, addressing rising violent crime and pursuing gang trafficking in dangerous narcotics and human beings. The awards also honor the work of civil and environmental litigators, who enforce the rule of law and uphold the Constitution. The awards also recognize employees whose ideas and efforts save taxpayer dollars and help the government operate more effectively and efficiently, among other contributions to public safety and good governance. Recipients include 295 Department employees, and 62 other individuals outside of the Department, for their distinguished public service.
THE ATTORNEY GENERAL’S AWARD FOR FRAUD PREVENTION RECIPIENTS:
Assistant U.S. Attorneys from the District of North Dakota:
Nicholas W. Chase
Jonathan J. O’Konek
James Patrick Thomas
Legal Assistants from the District of North Dakota:
Renita A. Berger
Trina M. Gilhooly
Jacqueline K. Haag
Paralegal Specialist from the District of North Dakota:
Leigh A. Johnson
Victim/Witness Specialists from the District of North Dakota:
Beth M. Lang
Dimple A. Smith
Trial Attorneys, Fraud Section Criminal Division, Washington DC:
Leila E. Babaeva
Lorinda I. Laryea
Federal Bureau of Investigation, Bismarck, Minneapolis Division:
Special Agent Francis W. Gasper
U.S. Marshals Service, Investigative Operations Division:
Supervisory Deputy U.S. Marshal Henry E. Geberth III
U.S. Postal Inspection Service, Miami Division:
Postal Inspector B. Scott Horne