Latest Records
Newest first across public DOJ and U.S. Attorney press releases.
Friday 30 August 2019
Authorities Target Meth Traffickers in Coastal BendRead the Press Release
CORPUS CHRISTI, Texas - A large number of arrests have been made as part of a coordinated effort by federal, state and local law enforcement dubbed as “Operation Coastal Bender,” announced U.S. Attorney Ryan K. Patrick.
A total of 16 Coastal Bend residents from Nueces, Bee, San Patricio, Live Oak and Jim Wells Counties are now in custody for violations of various federal and state firearm and narcotics violations. Each defendant has been charged in separate and unrelated criminal complaints or indictments. Three others remain fugitives and warrants remain outstanding for their arrests. Those are Michael McDaniel, 44, of Three Rivers; Luis Vela, 19, of Alice; and Michael Alegria Jr., 18, of Victoria. Anyone with information about their whereabouts is asked to contact Immigration and Customs Enforcement’s Homeland Security Investigations at 1-866-347-2423.
“Operation Coastal Bender” is a coordinated effort by federal, state and local law enforcement to identify drug traffickers and violent offenders, stop gun violence and protect the community.
Over the course of this week, federal agents, in coordination with many local and state agencies, were able to execute more than 70 federal and state arrest warrants for individuals relating to charges of trafficking in methamphetamine and gun allegations.
During the course of this operation, authorities also served three search warrants resulting in the seizure of more than three ounces of methamphetamine and several grams of cocaine, marijuana and Xanax as well as three firearms, ammunition and other items related to the sale and distribution of narcotics. Law enforcement arrested a total of 32 individuals as a result of this coordinated effort between HSI and other federal and local agencies.
“HSI is committed to working with our federal, state and local law enforcement partners to rid our neighborhoods of the dangerous narcotics and the illegal possession of firearms that harm the citizens of our community,” said HSI Assistant Special Agent in Charge Brad Scott of Immigration and Customs Enforcement’s Homeland Security Investigations (HSI). “Law enforcement in our region are dedicated to join forces as one to clean our streets of these dangerous behaviors.”
“The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) worked side by side with HSI, Texas Department of Public Safety (DPS) as well as state and local police departments to apprehend dozens of violent criminals,” said ATF Special Agent in Charge Fred Milanowski. “This coordinated effort will make a large impact on violent crime.”
“The Beeville Police Department (BPD) participated in the operation in conjunction with other law enforcement agencies in South Texas,” said Beeville Police Chief Robert J. Bridge. “The combined efforts of all agencies provided crucial manpower assistance to seek and locate individuals involved in criminal activities.”
“Our office in Sandia would very much like to thank federal, state and local authorities from neighboring counties for their help and involvement in arresting subjects and investigations for narcotics dealing in our area,” said Jim Wells County Constable Pct.3 Jim Long, “Drugs have become a tremendous part of our investigations and agencies coming together helps us all. We will surely make this a continued event!”
The federal felon in possession of firearms charge carries up to 10 years in prison and a possible $250,000 maximum fine. Each federal charge involving a controlled substance carries a minimum penalty of not less than five but potentially up to life in prison and fines up to $1 million. Using a firearm in furtherance of a drug trafficking crime carries an additional five-year-term of imprisonment which must be served consecutively to any other prison term imposed.
Participating agencies included HSI; ATF; Drug Enforcement Administration, U.S. Marshals Service; DPS; sheriff’s offices in the counties of Live Oak, San Patricio and Nueces; Jim Wells County Constable’s Office; police departments in George West, Alice and Beeville; and Customs and Border Protection Air and Marine unit.
Assistant U.S. Attorneys from the Corpus Christi Division are prosecuting the respective cases.
An indictment is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless and until convicted through due process of law.Attorney General's Advisory Subcommittee on Native American Issues Convenes in New MexicoRead the Press Release
LAS VEGAS, Nev. – Nevada United States Attorney Nicholas Trutanich met this week with fellow members of the Attorney General’s Advisory Subcommittee on Native American Issues (NAIS) in Santa Ana Pueblo, New Mexico, in order to discuss public safety and law enforcement issues that impact Native American and Alaska Native communities.
During the three-day annual meeting, the NAIS engaged with tribal leaders and developed strategies and best practices to address missing and murdered indigenous people, drug trafficking, needed law enforcement resources, and safeguarding children from sexual abuse in Indian country.
The most common crimes investigated in Indian country include child sexual abuse, violent assaults, and adult sexual assaults, followed by homicide, other forms of child abuse, drug, and property crimes. According to a 2016 study funded by the National Institute of Justice, more than 80 percent of American Indian and Alaska Native adults have experienced some form of violence in their lifetime, and more than half of all American Indian and Alaska Native women have experienced violence from an intimate partner. Native women and girls suffer a high rate of violence, including murder.
“United States Attorneys nationwide are committed to improving public safety in Indian country and rural Alaska. The work of Attorney General Barr’s Native American Issues Subcommittee is focused on reducing violent crime, improving law enforcement resources, and combating the distribution of methamphetamine and opioids,” said US Attorney Shores, Chair of the NAIS. “The disproportionate rates of violence affecting Native American and Alaska Native women is particularly troubling to me. With Attorney General Barr’s leadership, we will continue working with tribal leaders to find solutions to the epidemic of violence against indigenous women.”
“The U.S. Attorney’s Office reaffirms its commitment to working with tribal, local, state, and federal law enforcement agencies to improve the safety and security of Native American communities,” said U.S. Attorney Trutanich. “Prosecutors are working every day to bring violent offenders to justice and to reduce and prevent crime. In addition, through the Department of Justice’s grant programs, we are helping communities become safer and providing victims with a full range of services and support.”
Panel discussions focused on the Indian Arts and Crafts Act and preserving Native American cultural patrimony. The Indian Arts and Crafts Act of 1990 is a truth-in-advertising law that prohibits misrepresentation in the marketing of Indian arts and crafts products within the United States. It is illegal to offer or display for sale, or sell any art or craft product in a manner that falsely suggests it is Indian produced, an Indian product, or the product of a particular Indian or Indian tribe or Indian arts and crafts organization, resident within the United States.
U.S. Attorney John Anderson of the District of New Mexico hosted the three-day conference.
The NAIS consists of 53 U.S. Attorneys serving in districts that include Indian Country or one or more federally recognized tribes and makes policy recommendations to the Attorney General. The NAIS has identified four priority areas: 1) Violent crime 2) Law enforcement resources 3) Drug trafficking and substance abuse, and 4) White collar crime. It is the longest standing subcommittee to the Attorney General’s Advisory Committee and helps develop, shape, and otherwise implement justice policies affecting Native Americans and Alaska Natives. U.S. Attorney Trent Shores of the Northern District of Oklahoma is the subcommittee Chair. U.S. Attorney Kurt Alme of the District of Montana is the Vice Chair.
In fiscal year 2018, the Department of Justice awarded $113 million in grant awards to improve public safety, serve victims of crime, combat violence against women, and support youth programs, to 134 Indian tribes and Alaska Native villages. In addition, the Department awarded a total of 154 grants totaling $88 million as part of the first-ever Tribal Victim Service Set-Aside program; these awards were supported by the Crime Victims Fund, a repository of federal criminal fines, fees, and special assessments. The awards will help tribes develop, expand and improve services to victims of crime by providing funding, programming and technical assistance. Even more funding will be available – up to $168 million – under the set-aside this year.
In July 2019, the Department announced a new tool giving tribal governments the ability to input data directly and gain access to the FBI’s National Sex Offender Registry (NSOR) using the Tribe and Territory Sex Offender Registry System (TTSORS). TTSORS is a fully functioning registry system that complies with Sex Offender Registration and Notification Act requirements. The system connection will be available to all tribal governments already participating in the Tribal Access Program (TAP), which allows information sharing between tribal and federal government criminal information systems. TAP has been instrumental in assisting tribes with ongoing implementation of SORNA. In fiscal year 2019, the department expanded TAP to 25 more tribes, for a total of more than 70 participating tribes across the country.
# # #
Armed Gunman with Lengthy Criminal History Sent to Federal Prison for Illegal Possession of a GunRead the Press Release
A felon who unlawfully possessed a firearm was sentenced on August 30, 2019 to more than 7 years in federal prison.
Thomas Tuttle, age 34, from Watertown, South Dakota, received the prison term after a March 27, 2019, guilty plea to possession of a firearm by a prohibited person.
Information provided by the United States at the sentencing, change of plea, and detention hearings revealed that on November 2, 2018, Tuttle walked into a convenience store in Sheldon, Iowa carrying a loaded 9 mm, Kel-Tec, Carbine, which contained 30 rounds of ammunition, and stole a pack of cigarettes, frightening customers and employees alike in the process. Tuttle, in fact, possessed and brandished the gun in connection with other felony offenses and contemporaneously with his possession of methamphetamine.
Tuttle was arrested from inside his car by a law enforcement tactical team. He had ingested a large amount of illegal drugs, and had the loaded gun in close proximity. He later commented that he had come to Iowa with “bad intentions” and had he not been sleeping when the tactical team approached him “things would have gone differently” during his arrest.
It was also revealed that Tuttle has a history of dangerousness and violence. He has been convicted four times for Driving Under the Influence, three times for assaultive conduct, and repeatedly for controlled substance violations and other offenses.
Tuttle was sentenced in Sioux City by United States District Court Chief Judge Leonard T. Strand. Tuttle was sentenced to 90 months’ imprisonment. He was ordered to make $8.00 in restitution (for the packet of cigarettes). He must also serve a 3-year term of supervised release after the prison term. There is no parole in the federal system.
This case was brought as part of Project Safe Neighborhoods (PSN). 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.
Tuttle is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was investigated by the Sheldon, Iowa, Police Department, which was assisted by the O’Brien County Attorney’s Office and Sherriff’s Office and other nearby agency and departments. The case was prosecuted by Assistant United States Attorney Forde Fairchild.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 19-4008.
Follow us on Twitter @USAO_NDIA.
Armed Career Criminal Sentenced to 10 Years on Firearm ChargeRead the Press Release
Ocala, Florida – Senior United States District Judge James D. Whittemore has sentenced Marco Glover (40, Gainesville) to 10 years in federal prison for possessing a firearm as a convicted felon. Glover had pleaded guilty on May 21, 2019.
According to court records, on February 22, 2019, Glover and his co-defendant, Harry Covert, Jr., sold three firearms to an undercover ATF agent. On March 1, 2019, Glover sold four ounces of methamphetamine to the same undercover agent. Glover’s extensive criminal record—which includes prior state convictions for sale of cocaine and a federal conviction for conspiracy to distribute cocaine—qualified him as an Armed Career Criminal for federal sentencing purposes.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives. It was prosecuted by Assistant United States Attorney Michael P. Felicetta.
This is another case prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide crime reduction strategy aimed at decreasing violent crime in communities. It involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts. In the Middle District of Florida, U.S. Attorney Maria Chapa Lopez coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.
Thursday 29 August 2019
Worcester Man Indicted on Tax and Fraud ChargesRead the Press Release
BOSTON – A Worcester man was indicted today on federal tax and fraud charges arising from his role overseeing various Worcester-based employment agencies.
Tam Vuong, 44, was charged with 14 counts of wire fraud and four counts of failing to pay taxes. Vuong had previously been charged by criminal complaint and arrested in April 2019, and has been released since that time. He will appear in U.S. District Court in Worcester for an arraignment.
According to court documents, Vuong oversaw Prime Labor LLC and UT Services, Inc., both of which were employment agencies based in Worcester. Each agency paid a few employees by check but paid most employees in cash. Each agency failed to report or pay taxes on the wages paid in cash, which Vuong fraudulently concealed in connection with tax filings and insurance audits. Vuong allegedly concealed millions of dollars in cash wages that were paid to Prime Labor workers and additional cash wages paid by UT Services. Between 2012 and 2017, more than $30 million in Prime client company checks were cashed at a check-cashing business in Worcester; Prime allegedly paid millions of these dollars in cash wages and then failed to report these wages to the IRS or to its insurer.
In addition, while in his role overseeing and controlling UT Services, it is alleged that Vuong falsely told UT Services’ insurance carrier that the company had only one employee and an annual payroll of only $50,000, when, in actuality, UT Services had dozens of employees and a significantly higher payroll. UT Services disseminated forged certificates of insurance to several clients and failed to inform clients when its workers’ compensation policy was cancelled.
It is further alleged that Vuong shifted operations from Prime Labor Services to UT Services after federal search warrants were executed in November 2017. Vuong allegedly took steps to hide his role with both Prime and UT Services.On the wire fraud charges, Vuong faces up to 20 years in prison, up to three years of supervised release and a fine of up to $250,000 on each count. On the tax charges, he faces up to five years in prison, up to three years of supervised release and a fine of up to $10,000 on each count. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Joseph Bonavolonta, Special Agent in Charge of the FBI Boston Division; Kristina O’Connell, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston; and Anthony DiPaolo, Chief of Investigations of the Insurance Fraud Bureau of Massachusetts made the announcement today. Assistant U.S. Attorney Bill Abely of Lelling’s Criminal Division is prosecuting the case.The details contained in the complaint and indictment are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Wilmington Gang Member Receives More than 12 Years in Federal PrisonRead the Press Release
WILMINGTON — United States Attorney Robert J. Higdon, Jr. announced that in federal court, United States District Judge Louise W. Flanagan sentenced JOSHUA WRIGHT, 25, of New Hanover County to 151 months’ imprisonment, followed by 2 years of supervised release. On April 8, 2019, WRIGHT pled guilty to distribution of a quantity of heroin.
On May 2, 2018, the Wilmington Police Department (WPD) conducted a controlled purchase of heroin from WRIGHT in the parking lot of the Indochine Restaurant. WRIGHT was wearing a GPS ankle monitor at the time of this sale because he was on post–supervision release from prison for a prior drug conviction. According to law enforcement, WRIGHT is a validated gang member.
This case is part of a joint Federal Bureau of Investigation (FBI), Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and WPD operation led by the United States Attorney’s Office’s Organized Crime Drug Enforcement Task Force (OCDETF), which focused on gang related heroin distribution in Eastern North Carolina. OCDETF is a joint federal, state, and local cooperative approach to combat drug trafficking and is the nation’s primary tool for disrupting and dismantling major drug trafficking organizations, targeting national and regional level drug trafficking organizations. This investigation is focused on gang related heroin distribution and the violence associated with this gang in Eastern North Carolina.
This case is also part of the Take Back North Carolina Initiative of The United States Attorney’s Office for the Eastern District of North Carolina. This initiative emphasizes the regional assignment of federal prosecutors to work with law enforcement and District Attorney’s Offices on a sustained basis in those communities to reduce the violent crime rate, drug trafficking, and crimes against law enforcement.
The investigation of this case was conducted by the Federal Bureau of Investigation Safe Street Task Force and the Wilmington Police Department Gang Unit. Assistant United States Attorney Timothy Severo prosecuted the case on behalf of the government.
Williamsville Man Who Teaches at Buffalo High School Arrested with Drugs, Guns and ExplosivesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Michael Masecchia, 53, of Williamsville, NY, was arrested and charged by criminal complaint with possession with intent to distribute, and distribution of, marijuana, maintaining a drug-involved premises, and possession of firearms in furtherance of drug trafficking crimes. The charges carry a mandatory minimum penalty of five years in prison, a maximum of life, and a $250,000 fine.
Assistant U.S. Attorney Joseph M. Tripi, who is handling the case, stated that according to the complaint, on August 23, 2019, investigators from Homeland Security Investigations, the Federal Bureau of Investigation, the Erie County Sheriff's Office, and the Niagara County Sheriff's Office, executed a search warrant at the defendant’s residence on Main Street in Williamsville.
During the search of the residence, investigators seized:
• Two rifles, five shotguns, and a pistol;
• Various ammunition for the firearms;
• Seven homemade explosives;
• Three Mason jars containing marijuana;
• Various steroids in liquid and tablet form;
• Hypodermic needles;
• THC edibles;
• Cannabis syrup;
• Two grams of a white powder suspected to be cocaine;
• Tylenol with Codeine tablets;
• Suspected hashish;
• A digital scale;
• A suspected marijuana cigarette;
• Numerous plastic bags and small bottles containing marijuana; and
• Four cell phones.Investigators also recovered $27,950.00 in U.S. currency, which was discovered hidden in clothing and rubber banded in two bundles. A narcotics detection canine later alerted for the odor of a controlled substance on the currency.
According to Erie County Sheriff's records, one of the shotguns was reported stolen on September 23, 2015.
Investigators also discovered marijuana and a marijuana smoking pipe inside a vehicle registered to the defendant.
The complaint further states that, based on information developed during this investigation, Masecchia has been involved in the growing and distribution of significant quantities of marijuana for at least the past 20 years.
The defendant made an initial appearance this afternoon before U.S. Magistrate Judge Michael J. Roemer and was released on conditions.
The complaint is the result of an investigation by Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly; the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Gary Loeffert; the Erie County Sheriff's Office, under the direction of Sheriff Timothy Howard; the Niagara County Sheriff's Office, under the direction of Sheriff James Voutour; and the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of John B. Devito.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
# # # #
Wilkinsburg Felon Sentenced to Prison for Unlawfully Possessing a FirearmRead the Press Release
PITTSBURGH, PA - A resident of Wilkinsburg, Pennsylvania, has been sentenced in federal court to three years and two months (38 months) in prison and three years’ supervised release on his conviction of violating federal firearms laws, United States Attorney Scott W. Brady announced today.
Chief United States District Judge Mark R. Hornak imposed the sentence on Mitchell Thompson, 21.
According to information presented to the court, on August 30, 2018, law enforcement officials were performing a saturation patrol detail in Wilkinsburg in response to a recent homicide and several shootings. Upon seeing an unmarked police vehicle, Thompson threw a loaded Glock 9 millimeter pistol onto the sidewalk near a row of bushes. Thompson was arrested and it was later determined that the firearm had been reported stolen. The court was further informed that Thompson was previously convicted of crimes punishable by more than one year in prison, including one conviction for a firearms violation and one conviction for possession with intent to deliver a controlled substance and conspiracy to deliver a controlled substance. Federal law prohibits anyone who has been convicted of a crime punishable by a term of imprisonment exceeding one year from lawfully possessing a firearm or ammunition..
Assistant United States Attorney Christy C. Wiegand prosecuted this case on behalf of the government.
The Federal Bureau of Investigation, along with the Bureau and Alcohol, Tobacco, Firearms and Explosives and the Wilkinsburg Police Department, conducted the investigation leading to the successful prosecution of Thompson.
The case was brought as part of Project Safe Neighborhoods. 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.
U.S. Attorney’s Office Reaches Settlement with Roberts Riverwalk Hotel in Detroit to Improve Access for People with DisabilitiesRead the Press Release
The United States Attorney’s Office for the Eastern District of Michigan has reached a settlement agreement with Roberts Hotels Detroit, LLC, owner of the Roberts Riverwalk Hotel in Detroit, Michigan under the Americans with Disabilities Act (ADA), United States Attorney for the Eastern District of Michigan Matthew Schneider announced today. The agreement resolves the U.S. Attorney’s Office’s investigation into a complaint alleging that the hotel was not accessible to individuals who have mobility impairments. Title III of the ADA prohibits businesses who serve the public from discriminating against individuals who have disabilities. The failure to design, construct, or alter facilities in compliance with applicable standards is a form of discrimination under the ADA.
Roberts Hotels Detroit, LLC agreed to make extensive changes to the hotel’s interior and exterior that will improve accessibility for people who have disabilities, including modifications to several guest rooms as well as the hotel’s parking areas. The Roberts Riverwalk Hotel is located at 1000 River Place Drive in the City of Detroit.
“We are thankful to the Roberts Riverwalk Hotel for their willingness to cooperate in our investigation and bring their hotel into legal compliance for people who have disabilities,” United States Attorney Matthew Schneider said. “The Roberts Riverwalk Hotel is part of the revitalization of Detroit, and under this settlement, people with disabilities can continue to share in the City’s revitalization.”
More information about the ADA is available at the Justice Department’s toll free ADA Information line at (800) 514 0301 or (800) 514 0383 (TTY) and on the ADA website at www.ada.gov. ADA complaints may be emailed to [email protected] or by contacting the U.S. Attorney's Office’s civil rights hotline at (313) 226 9151.
U.S. Attorney's Office Partners with Meals on Wheels in Wake County to Roll-Out Phase III of the Department of Justice's Elder Justice InitiativeRead the Press Release
The U.S. Attorney’s Office for the Eastern District of North Carolina continues to promote the Department of Justice’s (DOJ) Elder Justice Initiative (EJI) throughout the Wake County area. On August 29, 2019, the Eastern District partnered with Meals on Wheels in Wake County to conduct Phase III of its outreach to approximately 1,300 seniors in the area to raise awareness about DOJ’s Elder Justice Initiative and provide facts about financial scams and how seniors can protect themselves from falling victim.
Below are some facts shared with the community about financial scams:
- Fraud Victimization
- Over 13% of older Americans become victims of financial fraud every year
- Of those who are subject to a fraud attempt, 25% will become a fraud victim
- Oder adults lose more than $3 billion annually to financial scams
- Examples of fraud & scams
- Overcharging for products or services
- Lottery and sweepstakes fraud
- Pretend romantic attention towards an older adult
- Scammers posing as government employees telling you to pay a fee
- Someone posing to be from the information technology field offers to fix a non-existent problem with your computer
- Fraud victims have been approached:
- While in the grocery store
- By knocking at the door
- Through the phone
- Through the internet
- Through the mail
- It’s Your Right
- If someone approaches you in any of these ways, you do not have to respond
- It’s ok to hang up the phone
- It’s ok to not answer the door
- It’s ok to not open an email or a piece of mail
- It’s ok to say, “No, thank you” to someone who approaches you
The mission of the Elder Justice Initiative is to support and coordinate DOJ’s enforcement and programmatic efforts to prevent and combat elder abuse, neglect, financial exploitation and scams that target our nation’s seniors by promoting justice for older adults; helping older victims and their families; enhancing state and local efforts through training and resources; and supporting research to improve elder abuse policy and practice.
For more information about DOJ’s efforts to prevent and combat elder abuse, please visit the Elder Justice Website at https://www.justice.gov/elderjustice. Elder fraud complaints may be filed with the FTC at www.ftccomplaintassistant.gov or at 877-FTC-HELP. You can also contact the Victim Connect Hotline between 9am-6pm, Monday through Friday, at: 1- 855-4VICTIM (1-855-4842846), or contact the Elder Justice Coordinator at the U.S. Attorney’s Office for the Eastern District of North Carolina at (919) 856-4530.
- Fraud Victimization
U.S. Attorney Justin Herdman's comments on recent Ohio cases involving political violenceRead the Press Release
Remarks as prepared announcing federal criminal charges against James Reardon:
Good morning. Thank you for coming today and thank you to all of the local police chiefs who are here. Special thanks to Chief D’Egidio who drove here from New Middletown.
We are here to announce the unsealing of a federal complaint against James Reardon, age 20, of New Middletown, Ohio. He is charged with one count of making threats using a facility of interstate commerce.
Federal rules give us a few weeks before seeking an indictment in the Grand Jury and we will continue to use that time to further our investigation of Mr. Reardon’s conduct and to determine if others were involved. In just a moment, Special Agent Eric Smith of the FBI will detail the facts uncovered in our investigation thus far.
I want to start by thanking the community. This case is the result of a concerned citizen who took the time to point out Mr. Reardon’s social media activity to a New Middletown Police Officer. This case is just one of several over the past few weeks that are the product of our friends and neighbors seeing something, and then saying something.
For example, a few weeks ago, Timothy Ireland was indicted on firearms and threat charges after a private citizen alerted law enforcement. And at the beginning of this month, Vincent Armstrong pleaded guilty to charges related to a planning an attack on a bar in Toledo. That case started with a tip from a concerned citizen to Toledo police. There are several more examples and they illustrate the fact that these type of cases rely on very two important people – a concerned citizen and a responsive law enforcement officer. Fortunately, we have both of those in abundance in northern Ohio.
I want to thank the men and women who make up our police departments, and some of their leadership are here today. As I said, tips only matter if police officers take them seriously and investigate them thoroughly. The presence of our local law enforcement highlights the message that police officers are trained to be responsive to information from the public, and the officers assigned to these departments – and many others – will do just that when confronted with credible and specific threats. I also want to thank the FBI and ATF agents who joined with the police in each of these cases and bring outstanding expertise to these investigations.
Now let me speak generally to those who are advocates for white supremacy, or white nationalism. I am talking directly to you. The Constitution protects your right to speak, your right to think, and your right to believe. If you want to waste the blessings of liberty by going down a path of hatred and failed ideologies, that is your choice.
Democracy allows you to test those ideas in the public forum. If you want to submit your beliefs to the American people and get their reaction, please be my guest. Keep this in mind, though. Thousands and thousands of young Americans already voted with their lives to ensure that this same message of intolerance, death, and destruction would not prevail - you can count their ballots by visiting any American cemetery in North Africa, Italy, France, or Belgium and tallying the white headstones. You can also recite the many names of civil rights advocates who bled and died in opposing supporters of those same ideologies of hatred. Their voices may be distant, but they can still be heard.
Go ahead and make your case for Nazism, a white nation, and racial superiority. The Constitution may give you a voice, but it doesn’t guarantee you a receptive audience.
Your right to free speech does not automatically mean that people will agree with you. In fact, you have an absolute God-given and inalienable right to be on the losing end of this argument.
What you don’t have, though, is the right to take out your frustration at failure in the political arena by resorting to violence. You don’t have any right to threaten the lives and well-being of our neighbors. They have an absolute God-given and inalienable right to live peacefully, to worship as they please, to be free from fear that they might become a target simply because of the color of their skin, the country of their birth, or the form of their prayer.
Threatening to kill Jewish people, gunning down innocent Latinos on a weekend shopping trip, planning and plotting to perpetrate murders in the name of a nonsense racial theory, sitting to pray with God-fearing people who you execute moments later - those actions don’t make you soldiers, they make you criminals. Law enforcement doesn’t go to war with cowards who break the law, we arrest them and send them to prison.
As I said, this case was made by a concerned member of the public and a responsive police officer. That’s all it takes to stop you. The men and women of our community are allied with law enforcement. And every single member of law enforcement took an oath to protect and defend the Constitution of the United States against all enemies, foreign and domestic. Many of us have taken that oath several times - as police officers, federal agents, prosecutors, military members, and elected officials.
Together, we represent the absolute best of what America has to offer. Our skin is every color you can imagine, our families come from a hundred different countries and a hundred different faiths. What makes us different doesn’t split us apart, though. Those differences are insignificant compared to what is the same about us - we are united in our commitment to each other, to our families, and to our communities. We are the living embodiment of everything you say is impossible.
Together, we are united to ensure that you commit no further acts of violence in the name of your beliefs. When you wake up tomorrow morning, no matter what time, I want you to remember something. You can’t set your alarm clock early enough to beat us out of bed. The men and women of law enforcement don’t wake up. We never went to sleep. We are always awake. And arm in arm with the public, when your hatred leads you to break the law, we will do everything we can to be there to stop you.
Treyton Thomas Sentenced to 262 Months' Imprisonment for Multi-Million Dollar Investment Fraud Scheme and Income Tax EvasionRead the Press Release
RALEIGH – Robert J. Higdon, Jr., United States Attorney for the Eastern District of North Carolina, announces that today, United States District Judge James C. Dever III sentenced TREYTON LEE THOMAS, age 63, to 262 months’ imprisonment for wire fraud and 60 months’ imprisonment for income tax evasion, to run concurrently. Judge Dever also ordered THOMAS to pay approximately $7.3 million in restitution to the victims of the investment and bank fraud schemes, the Internal Revenue Service and the United States Attorney’s Office and to forfeit an additional $7.3 million to the United States.
On November 22, 2016, THOMAS was charged in a 21-Count Indictment with wire fraud, bank fraud and money laundering. This Indictment charged THOMAS, who represented himself as a successful Harvard educated investment advisor, with defrauding his father’s used car warranty company, NC&VA Warranty of Roxboro, N.C., several of its customers, his wife, and his father-in-law. THOMAS claimed he was conservatively investing their money in U.S. Treasury Bills. Instead, through an on-line brokerage firm, THOMAS used these funds to conduct risky trades in the commodities and futures market. To conceal this fraud scheme, THOMAS provided these victims and various financial institutions with false information and fabricated bank and brokerage statements. To obtain additional funds, the Indictment charged THOMAS with using the same false information and fabricated statements to defraud financial institutions out of approximately 1.9 million dollars in loan proceeds. In addition to losing the victims’ money in risky trades, the Indictment charged THOMAS with spending more than 1.6 million dollars to pay personal expenses.
On March 15, 2018, THOMAS was charged in another Indictment with six counts of income tax evasion for the calendar years 2010 through 2015 and two counts of failing to disclose his interest in and authority over foreign bank accounts. According to court records, THOMAS failed to file United States Income Tax Returns (Forms 1040) or pay taxes for two decades. To conceal his income, THOMAS used offshore entities, in the Cayman Islands, the British Virgin Islands and Nevis, and employed individuals from offshore corporation management companies to act as his nominee in numerous business ventures. These foreigners opened and managed bank accounts through which THOMAS moved the victims’ funds in and out of the United States. Additionally, THOMAS created fake or “ghost” employees to make it appear that he operated a large, successful investment fund. To conceal his own identity, THOMAS used aliases or variations of his given name.
The Court agreed with the Government that THOMAS had attempted to obstruct justice and was not entitled to a reduced sentence for acceptance of responsibility even though he pled guilty. Several victims spoke at the sentencing hearing, describing the financial and emotional toll THOMAS’ crimes had caused.
Investigation of this case was conducted by the Federal Deposit Insurance Corporation-Office of the Inspector General, the Internal Revenue Service Criminal Investigations, and the United States Secret Service. Assistant United States Attorneys Susan Menzer and John Harris represented the government in this case.
Tonawanda Man Sentenced for Drug Possession Near A High SchoolRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that James Nelson, 63, of Tonawanda, NY, who was convicted of possession with intent to distribute crack cocaine, oxycodone, and hydrocodone within 1,000 feet of a private school, was sentenced to serve 24 months in prison by U.S. District Judge Richard J. Arcara.
Assistant U.S. Attorney Laura A. Higgins, who handled the case, stated that on December 11, 2017, investigators with the Drug Enforcement Administration and the Town of Tonawanda Police Department executed a state search warrant at the defendant’s residence at 11 Fayette Avenue in Tonawanda. Nelson was found in the living room area of the residence. Investigators recovered suspected crack cocaine, numerous pills containing suspected controlled substances, two compact digital scales, and approximately $1,442 in U.S. currency.
Subsequent testing determined that the substances recovered included crack cocaine, diazepam, oxycodone, butalbital, hydrocodone, and alprazolam.
The defendant’s residence is located within 1,000 feet of St. Joseph’s Collegiate Institute, a private secondary school, located at 845 Kenmore Avenue in Buffalo.
The sentencing is the result of an investigation by the Tonawanda Police Department, under the direction of Acting Chief James P. Stauffiger and the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division.
# # # #
Toledo woman pleaded guilty to terrorism charges related to her role in a conspiracy to launch an attack on a bar in ToledoRead the Press Release
A Toledo woman pleaded guilty to terrorism charges related to her role in a conspiracy to launch an attack on a bar in Toledo.
Elizabeth Lecron, 24, pleaded guilty in U.S. District Court in Toledo to one count of conspiracy to provide material support or resources to terrorists and one count transporting explosives in interstate commerce.
Her co-conspirator, Vincent Armstrong, pleaded guilty earlier this month to one count of conspiracy to transport or receive an explosive with intent to kill, injure, or intimidate any individual, and maliciously damage or destroy by fire or explosive.
“This defendant has admitted to plotting a terrorist attack in downtown Toledo,” U.S. Attorney Justin Herdman said. “She purchased a shotgun, black powder, screws and other items for the purpose of launching mass-casualty attacks. For years we have used this statute to prosecute those who supported our enemies abroad, and are gratified we are able to use it to hold accountable people who planned to attack our neighbors, regardless of ideology.”
"Elizabeth Lecron has accepted responsibility for planning and obtaining weapons and explosive components as preparation to conduct a mass shooting,” FBI Special Agent in Charge Eric B. Smith said. “The two recent mass shootings that took 29 lives remind us that without the vigilance of the citizen that alerted law enforcement of Lecron and Armstrong's desire to kill, Toledo could have been the site of a massacre. Law enforcement urges the public to report suspicious, concerning behavior - see something, say something."
Toledo Police Chief George Kral said: “This week should show all Ohioans the threats that are ever present in our communities. With this plea, a dangerous potential mass murderer will be off our streets. Our citizens have to be a part of the solution. I strongly encourage people to report suspicious behavior to law enforcement. It quite honestly could be a matter of life or death.”
According to the plea agreement and other documents filed in the case:
Lecron conspired with Armstrong from April 2018 through December 10, 2018. The two met in February 2018, started dating a few months later and moved in together at residence in Toledo. Shortly after meeting, Lecron expressed her interest in mass murderers in introduced Armstrong to the “True Crime Community” or TCC. Lecron allegedly engaged with members of the community via Tumblr, under the username “ligaturemarkings” and “charlestonchurchmiracle.” Armstrong joined the Tumblr TCC community with the username “societysheretic.”
Lecron routinely posted items about the Columbine High School shooters and the Charleston church shooter. Armstrong and Lecron privately discussed committing their own mass murder in the Toledo area. They referred to the attack as “D-Day” and discussed using guns and explosives. Armstrong owned an AK-47 while Lecron purchased a shotgun with Armstrong. Both guns were to be used in the attack and Lecron and Armstrong went to the shooting range to practice their firearm skills.
Lecron showed Armstrong a web site that had detailed instructions on how to make improvised bombs they intended to use during the attack. The two agreed to build a pipe bomb. Armstong purchased end caps from a local hardware store and they discussed the additional parts they needed to buy to build the pipe bomb.
The pair agreed what to wear during the attacks, looking to emulate the Columbine shooters. Lecron purchased combat boots that she felt would not slip on all the blood during the attack, as well as a t-shirt that read “False Prophet.”
They discussed numerous possible targets for the attack and settled on a bar in downtown Toledo.
Lecon wrote about “D-Day” in her journal. In a journal entry dated June 5, 2018, she wrote that visiting friends that weekend was exhausting, but that “D-Day will be my salvation.”
Lecron and Armstrong flew to Denver in August 2018 to visit sights related to the shooting at Columbine High School. Lecron posted that their next trip would be to Charleston to visit “the church.”
Law enforcement agents executed search warrants on Armstrong and Lecron’s house and vehicles on December 10, 2018. The trunk of Armstrong’s vehicle contained a duffel bag with a tactical vest with two loaded magazines for an AK-47, two loaded magazines for a pistol, a gas mask and printed instructions on how to construct various bombs. In the house, law enforcement found an AK-47, two shotguns (including the one purchased by Lecron), two handguns and ammunition.
Additionally, Lecron on December 8, 2018, purchased two pounds of Hodgdon Triple Seven Muzzleloading Propellant from a retailer in Rossford, Ohio. She then purchased 665 screws from another retailer nearby. She then gave the items to a confidential human source with whom she began communicating in August 2018 about mass shootings via the Tumblr TCC group.
On September 11, 2018, Lecron, the confidential source and two undercover agents discussed conducting a bomb attack. Lecron said: “I want to get out there. I want to like, you know, be part of it, you know. I want to help any way I can. I’ve never had an in to this sort of thing so now that I do I just want to do anything I can.” When asked if she had any concerns about human casualties, Lecron replied: “Take them out. I don’t really feel any type of way for that…I’m here to send a message and get the job done…if they are in the way of the explosion, they’re probably part of the problem so maybe it’s for the best.”
On December 4, 2018, the confidential source called Lecron asking for help in a plan to bomb a pipeline in Georgia. The source asked Lecron to purchase black powder. Lecron replied: “Absolutely…Thank you so much. Hell yeah. This is exactly what I wanted to do.”
She purchased the black powder and screws four days later and delivered them to the confidential source.
The Federal Bureau of Investigation’s Joint Terrorism Task Force, which is comprised of members of the FBI, Homeland Security Investigations, U.S. Customs and Border Protection, Ohio State Highway Patrol and Toledo Police Department, investigated the case. It is being prosecuted by Assistant U.S. Attorneys Michael Freeman, Michelle Baeppler and Tracey Tangeman.
Three Ohio Men Sentenced to Prison in Case Involving Sexual Abuse of ToddlersRead the Press Release
COLUMBUS, Ohio – Three defendants in a child pornography case have been sentenced to prison.
David E. Fairchild, 45, of Kirkersville, was sentenced in U.S. District Court today to 456 months in prison. In March, Jesse G. Szuba, 31, of Newark, was sentenced to 220 months in prison and Mike Allen, 36, of Heath, was sentenced to 68 months in prison.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Franklin County Sheriff Dallas Baldwin, Vance Callander, Special Agent in Charge, Homeland Security Investigations (HSI), and other members of the Franklin County Internet Crimes Against Children (ICAC) Task Force announced the sentences imposed by U.S. District Judge Michael H Watson.
The three men were charged in May 2018 in a second superseding indictment that was unsealed in late October.
According to court documents, in January 2018, the Franklin County ICAC Task Force received a CyberTip from the National Center for Missing and Exploited Children (NCMEC) regarding a video depicting child sexual abuse. The video was uploaded to Google from the username “David TwistedBottomFreak Fairchild” and depicted an adult male anally penetrating a toddler-aged child.
Investigation of the CyberTip revealed that Fairchild sexually abused a female victim, born in 2016, and created child pornography involving the victim. He thereafter sent the child pornography he created to others, including Szuba.
Likewise, Szuba attempted to produce child pornography involving a boy born in 2014.
Szuba and Fairchild met on Craigslist and communicated with each other about sexually abusing the toddlers. During their communications, they exchanged child pornography files and discussed plans to engage in various sex acts with each other and the victims.
Further, Szuba suggested other sex acts that Fairchild perpetrate against the female victim and asked Fairchild to send Szuba pictures or videos of that abuse. Fairchild similarly suggested that Szuba engage in sex acts with the male victim, and live stream such sexual abuse online.
In response to watching a video of Fairchild sexually abusing the toddler girl, Szuba messaged Fairchild that he “liked” the video “espically [sic] when she started whimpering.” Between January 26 and January 31, 2018, Szuba repeatedly requested, and Fairchild repeatedly sent, images and videos depicting sexual abuse of the female toddler.
Fairchild sent child pornography files to Allen, as well, including a link to Fairchild’s Google Drive account, which contained the video that prompted the CyberTip to NCMEC.
In January 2018, Fairchild sent six emails containing child pornography to a fourth related defendant, Caleb Cumberland, 31, of Tarlton, Ohio. Cumberland pleaded guilty in May to distributing and receiving child pornography. The parties in his case are recommending a sentencing range of 72 to 96 months in prison.
U.S. Attorney Glassman commended the investigation of this case by the Franklin County ICAC Task Force, HSI, and Ohio Attorney General’s Bureau of Criminal Investigation (BCI), as well as Assistant United States Attorneys Heather A. Hill and Jonathan J.C. Grey, who are prosecuting the case.
# # #
Three Men Indicted for Drug-Related Fairfax MurderRead the Press Release
ALEXANDRIA, Va. – A federal grand jury returned an indictment today charging three Reston men with murder in the course of a drug trafficking crime.
According to allegations in the indictment, Fredy Alfaro, 28, Jimmie McCray, 34, and Charles Forbes, 28, murdered Michael Cooker in Fairfax County on April 18, 2018, in furtherance of a conspiracy to distribute marijuana.
According to the indictment, the defendants were engaged in a conspiracy in which they obtained marijuana from California and distributed it in the Eastern District of Virginia. Alfaro, who was in California, was in a dispute with Cooker, who was in the Eastern District of Virginia. Alfaro placed a call to McCray indicating that Cooker needed to be taken care of. McCray gave that message, along with a gun, to Forbes who drove Cooker to a wooded area of Fairfax Station where Forbes shot and killed Cooker.
All three defendants are charged with conspiracy to distribute marijuana and use of a firearm in connection with conspiracy to distribute marijuana resulting in death. Both McCray and Forbes are charged with possession of a firearm by a prohibited person. If convicted, they each face a mandatory minimum of 10 years in prison and a maximum penalty of life in prison or death. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Mark R. Herring, Attorney General of Virginia, and Timothy M. Dunham, Special Agent in Charge, Criminal Division, FBI Washington Field Office, and Colonel Edwin C. Roessler Jr., Fairfax County Chief of Police, made the announcement. Assistant U.S. Attorney Michael P. Ben’Ary, along with Special Assistant U.S. Attorneys Marc J. Birnbaum and Rachael C. Tucker are prosecuting the case.
This case was investigated by the Washington Field Office’s Violent Crime Safe Streets Task Force, which is composed of FBI Special Agents, and task force officers from the Arlington County Police, the Alexandria City Police, the Fairfax County Police, the Prince William County Police, the Loudoun County Sheriff’s Office, the Fauquier County Sheriff’s Office, the Leesburg Police Department, the Herndon Police Department, the Fairfax City Police, and the Vienna Police, and works in partnership with the USMS. The task force worked cooperatively and extensively with the Fairfax County Police on this investigation. The task force is charged with identifying, investigating, disrupting and bringing to justice the most violent and egregious criminal enterprises and actors impacting the National Capital Region.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-260.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.
Texas woman pleads guilty to conspiracy to facilitate adoptions from Uganda through bribery and fraudRead the Press Release
A Texas woman who managed aspects of an international program at an Ohio-based adoption agency pleaded guilty today for her role in a scheme to corruptly facilitate adoptions of Ugandan children through bribing Ugandan officials and defrauding U.S. adoptive parents and the U.S. Department of State.
Robin Longoria, 58, of Mansfield, Texas, pleaded guilty before U.S. Magistrate Judge William H. Baughman, Jr. of the Northern District of Ohio to one count of conspiracy to violate the Foreign Corrupt Practices Act (FCPA), to commit wire fraud and to commit visa fraud. Sentencing is scheduled for January 8, 2020, before U.S. District Judge Christopher A. Boyko of the Northern District of Ohio.
“The defendant compromised protections for vulnerable Ugandan children and undermined the United States’ visa screening process,” said Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division. “Today’s plea ensures that she is held accountable for the far-reaching consequences of her corrupt conduct.”
“This defendant has admitted to playing a part in a conspiracy in which judges and other court officials in Africa were paid bribes to corrupt the adoption process,” said U.S. Attorney Justin Herdman of the Northern District of Ohio. “We are committed to pursuing justice for the adoptive parents and for all parties involved.”
“While adoptive families were financially and emotionally invested in the welfare of their future child, misrepresentations were made by Ms. Longoria and others to disguise bribe payments made to court officials in Uganda,” said Special Agent in Charge Eric B. Smith of the FBI’s Cleveland Field Office. “We are pleased Ms. Longoria has accepted responsibility for her role in facilitating an international adoption scam.”
As part of her guilty plea, Longoria admitted, among other things, that she and her co-conspirators agreed to, and did, cause bribes disguised as fees to be paid to an Uganda Agent. Longoria knew that these fees would and were used by the to pay bribes to court registrars and Ugandan High Court judges to corruptly influence the court registrars to assign particular cases to “adoption-friendly” judges and to corruptly influence the judges to grant the U.S. clients of the adoption agency the authority to bring the Ugandan children to the United States for the purpose of adoption. Longoria also admitted that she and her co-conspirators agreed to, and did, conceal these bribes from the adoption agency’s U.S. clients. Further, Longoria admitted that she and her co-conspirators agreed to, and did, create false documents for submission to the U.S. State Department to mislead it in its adjudication of visa applications for the Ugandan children being considered for adoption.
If you believe you are a victim of this offense, please visit https://www.justice.gov/criminal-fraud/victim-witness-program or call (888) 549-3945.
The FBI’s Cleveland Field Office is investigating the case. Assistant U.S. Attorney Chelsea Rice and Trial Attorney Jason Manning of the Criminal Division’s Fraud Section are prosecuting the case.
The Fraud Section is responsible for investigating and prosecuting all FCPA matters. Additional information about the Justice Department’s FCPA enforcement efforts can be found at www.justice.gov/criminal/fraud/fcpa.
Texas Woman Pleads Guilty to Conspiracy to Facilitate Adoptions from Uganda Through Bribery and FraudRead the Press Release
A Texas woman who managed aspects of an international program at an Ohio-based adoption agency pleaded guilty today for her role in a scheme to corruptly facilitate adoptions of Ugandan children through bribing Ugandan officials and defrauding U.S. adoptive parents and the U.S. Department of State.
Robin Longoria, 58, of Mansfield, Texas, pleaded guilty before U.S. Magistrate Judge William H. Baughman, Jr. of the Northern District of Ohio to one count of conspiracy to violate the Foreign Corrupt Practices Act (FCPA), to commit wire fraud and to commit visa fraud. Sentencing will be before U.S. District Judge Christopher A. Boyko of the Northern District of Ohio.
“The defendant compromised protections for vulnerable Ugandan children and undermined the United States’ visa screening process,” said Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division. “Today’s plea ensures that she is held accountable for the far-reaching consequences of her corrupt conduct.”
“This defendant has admitted to playing a part in a conspiracy in which judges and other court officials in Africa were paid bribes to corrupt the adoption process,” said U.S. Attorney Justin Herdman of the Northern District of Ohio. “We are committed to pursuing justice for the adoptive parents and for all parties involved.”
“While adoptive families were financially and emotionally invested in the welfare of their future child, misrepresentations were made by Ms. Longoria and others to disguise bribe payments made to court officials in Uganda,” said Special Agent in Charge Eric B. Smith of the FBI’s Cleveland Field Office. “We are pleased Ms. Longoria has accepted responsibility for her role in facilitating an international adoption scam.”
As part of her guilty plea, Longoria admitted, among other things, that she and her co-conspirators agreed to, and did, cause bribes disguised as fees to be paid to a Ugandan agent. Longoria knew that these fees would be and were used to bribe court registrars and Ugandan High Court judges to corruptly influence the court registrars to assign particular cases to “adoption-friendly” judges and to corruptly influence the judges to grant the U.S. clients of the adoption agency gaurdianship rights over the Ugandan children. Longoria also admitted that she and her co-conspirators agreed to, and did, conceal these bribes from the adoption agency’s U.S. clients. Further, Longoria admitted that she and her co-conspirators agreed to, and did, create false documents for submission to the U.S. State Department to mislead it in its adjudication of visa applications for the Ugandan children being considered for adoption.
If you believe you are a victim of this offense, please visit https://www.justice.gov/criminal-fraud/victim-witness-program or call (888) 549-3945.
The FBI’s Cleveland Field Office and the U.S. Department of State’s Diplomatic Security Service are investigating the case. Trial Attorney Jason Manning of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Chelsea Rice of the Northern District of Ohio are prosecuting the case.
The Fraud Section is responsible for investigating and prosecuting all FCPA matters. Additional information about the Justice Department’s FCPA enforcement efforts can be found at
https://www.justice.gov/criminal-fraud/foreign-corrupt-practices-act.
Tennessee Health Care Executive Sentenced to Prison for Role in $4.6 Million Kickback SchemeRead the Press Release
A Tennessee health care executive was sentenced to 42 months in prison yesterday for her role in a $4.6 million kickback scheme.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney Don Cochran of the Middle District of Tennessee, Special Agent in Charge Derrick Jackson of the U.S. Department of Health and Human Services Office of Inspector General's (HHS-OIG) Atlanta Region, Special Agent in Charge John F. Kihn of the U.S. Department of Defense Criminal Investigative Service’s (DCIS) Southeast Field Office and Director David Rausch of the Tennessee Bureau of Investigation made the announcement.
Brenda Montgomery, 71, of Camden, Tennessee, was sentenced by U.S. District Judge William Campbell Jr., of the Middle District of Tennessee. Judge Campbell also ordered Montgomery to forfeit $595,676.80. Montgomery pleaded guilty on Jan. 7, 2019, to one count of conspiracy to violate the anti-kickback statute and seven counts of violating the anti-kickback statute.
As part of her guilty plea, Montgomery admitted that she agreed to pay John Davis, the former CEO of Comprehensive Pain Specialist (CPS), illegal kickbacks in exchange for his arranging for Medicare referrals for durable medical equipment (DME) ordered by CPS employees. Davis agreed to arrange for referrals of DME for Medicare beneficiaries from the providers he supervised in exchange for a kickback equaling 60 percent of the Medicare proceeds. In addition, Montgomery and Davis took a number of steps to conceal their illegal agreement, including making kickback payments through a nominee, creating and filing false tax documents, and, for Davis, intervening as CEO to prevent the owners of CPS from obtaining their own Medicare DME supplier numbers that would have allowed CPS to bill for its own Medicare DME orders.
Beginning in or around May 2015, Montgomery renegotiated her illegal agreement with Davis to further obscure their personal contract from Medicare and from CPS owners and employees, the court found. From approximately May 2015 until approximately November 2015, Montgomery agreed to pay Davis $200,000 for the sham purchase of a shell entity known as ProMed Solutions LLC (ProMed). Montgomery again sought to renegotiate the sham transaction with Davis after she complained that her referrals from CPS had been lower than expected. Montgomery ultimately paid $150,000 for ProMed. The true purpose of this payment was to induce Davis to continue driving CPS referrals to CCC Medical, which was Montgomery’s DME supplier.
The Court further found that Montgomery received as much as $2.9 million in fraudulent reimbursements from Medicare. In addition, Montgomery admittedly paid more than $770,000 in illegal kickbacks to Davis.
Davis was tried for his role in the conspiracy on March 26, 2019. On April 4, 2019, a jury in the Middle District of Tennessee returned a verdict of guilty on one count of conspiracy to defraud the United States and to violate the anti-kickback statute, and seven counts of violating the anti-kickback statute. Davis’ sentencing has not yet been scheduled.
This case was investigated by the HHS-OIG Atlanta Region, the DCIS’s Southeast Field Office and the Tennessee Bureau of Investigation Medicaid Fraud Control Unit. Trial Attorney Anthony J. Burba of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Henry Leventis of the Middle District of Tennessee are prosecuting the case.
The Criminal Division’s Fraud Section leads the Medicare Fraud Strike Force. Since its inception in March 2007, the Medicare Fraud Strike Force, now operating in nine cities across the country, has charged nearly 4,000 defendants who have collectively billed the Medicare program for more than $14 billion. In addition, the HHS Centers for Medicare & Medicaid Services, working in conjunction with the HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.
Tennessee Health Care Executive Sentenced to Prison for Role in $4.6 Million Kickback SchemeRead the Press Release
NASHVILLE, Tenn. – August 29, 2019 - A Tennessee health care executive was sentenced to 42 months in prison yesterday for her role in a $4.6 million kickback scheme, announced U.S. Attorney Don Cochran for the Middle District of Tennessee, Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, Special Agent in Charge Derrick Jackson of the U.S. Department of Health and Human Services Office of Inspector General's (HHS-OIG) Atlanta region, Special Agent in Charge John F. Kihn of the U.S. Department of Defense Criminal Investigative Service’s (DCIS) Southeast Field Office and Director David Rausch of the Tennessee Bureau of Investigation.
Brenda Montgomery, 71, of Camden, Tennessee, was sentenced by U.S. District Judge William Campbell, Jr., of the Middle District of Tennessee. Judge Campbell also ordered Montgomery to forfeit $595,676.80. Montgomery pleaded guilty on Jan. 7, 2019, to one count of conspiracy to violate the anti-kickback statute, and seven counts of violating the anti-kickback statute.
As part of her guilty plea, Montgomery admitted that she agreed to pay John Davis, the former CEO of Comprehensive Pain Specialist (CPS), illegal kickbacks in exchange for his arranging for Medicare referrals for durable medical equipment (DME) ordered by CPS employees. Davis agreed to arrange for referrals of DME for Medicare beneficiaries from the providers he supervised in exchange for kickbacks equaling 60 percent of the Medicare proceeds. In addition, Montgomery and Davis took a number of steps to conceal their illegal agreement, including making kickback payments through a nominee, creating and filing false tax documents, and, for Davis, intervening as CEO to prevent the owners of CPS from obtaining their own Medicare DME supplier numbers that would have allowed CPS to bill for its own Medicare DME orders.
Beginning in or around May 2015, Montgomery renegotiated her illegal agreement with Davis to further obscure their personal contract from Medicare and from CPS owners and employees, the court found. From approximately May 2015 until approximately November 2015, Montgomery agreed to pay Davis $200,000 for the sham purchase of a shell entity known as ProMed Solutions, LLC (ProMed). Montgomery again sought to renegotiate the sham transaction with Davis after she complained that her referrals from CPS had been lower than expected. Montgomery ultimately paid $150,000 for ProMed. The true purpose of this payment was to induce Davis to continue driving CPS referrals to CCC Medical.
The Court further found that Montgomery received as much as $2.9 million in fraudulent reimbursements from Medicare. In addition, Montgomery admittedly paid more than $770,000 in illegal kickbacks to Davis.
Davis was tried for his role in the conspiracy on March 26, 2019. On April 4, 2019, a jury in the Middle District of Tennessee returned a verdict of guilty on one count of conspiracy to defraud the United States and to violate the anti-kickback statute, and seven counts of violating the anti-kickback statute. Davis’ sentencing has not yet been scheduled.
This case was investigated by the HHS-OIG Atlanta region, the DCIS’s Southeast Field Office and the Tennessee Bureau of Investigation Medicaid Fraud Control Unit. Assistant U.S. Attorney Henry Leventis and Trial Attorney Anthony J. Burba of the Criminal Division’s Fraud Section are prosecuting the case.
# # # # #
Teachers’ Union Treasurer Indicted for Bank Fraud and Stealing Union FundsRead the Press Release
SAN FRANCISCO - A federal grand jury handed down an eight-count felony indictment charging Kenneth Morris with bank fraud and theft of union assets, announced United States Attorney David L. Anderson and U.S. Department of Labor, Office of Labor Management Standards (DOL OLMS) Supervisory Investigator Kenric Michel.
According to the indictment filed August 22, 2019, and unsealed earlier today, Morris, 50, of Alameda, CA, was the treasurer of the American Federation of Teachers Local 2240 (AFT 2240). AFT 2240 represents teachers, counselors, and librarians employed by the Catholic Diocese of San Jose and the Catholic Archdiocese of San Francisco.
As AFT 2240’s treasurer, Morris received the union’s dues checks from the Archdiocese of San Francisco and the Diocese of San Jose. The indictment alleges that instead of depositing the checks into AFT 2240’s bank account, Morris endorsed the checks and deposited them into his own personal bank account under false pretenses. The indictment describes five such deposits, each between $1,000 and $4,000, that Morris is alleged to have made between September 10, 2018, and December 10, 2018. Furthermore, the indictment charges Morris with stealing union property on three additional occasions between November 13, 2017 and January 12, 2018. According to the indictment, the combined value of the additional property stolen amounts to $18,720.75. In sum, Morris is charged with five counts of bank fraud, in violation of 18 U.S.C. § 1344(2), and three counts of theft of union assets, in violation of 29 U.S.C. § 501(c).
Morris made his initial federal court appearance this morning before U.S. Magistrate Judge Elizabeth Laporte. He was arraigned, pleaded not guilty to the charges, and was released on bond. Morris’s next appearance, a status conference before Senior U.S. District Judge Charles Breyer, is scheduled for September 18, 2019.
An indictment merely alleges that crimes have been committed, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt. If convicted, the defendant faces maximum terms of imprisonment of 30 years for each bank fraud count and 5 years for each count of theft of union assets. However, any sentence following conviction would be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Special Assistant U.S. Attorney Christopher Vieira is prosecuting the case with the assistance of Kimberly Richardson. This case is brought as a result of an investigation by the DOL OLMS.
Stockton Man Charged for Possessing a Firearm as a FelonRead the Press Release
SACRAMENTO, Calif. — A federal grand jury returned an indictment today against Roeuth Korm, 32, of Stockton, charging him with being a felon in possession of a firearm, U.S. Attorney McGregor W. Scott announced.
According to court documents, on July 26, Korm was found in possession of a Glock 22 firearm. Korm is a previously convicted felon and is prohibited by law from possessing a firearm.
This case is the product of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the San Joaquin County Sheriff’s Department. Assistant U.S. Attorneys Tanya B. Syed and Cameron L. Desmond are prosecuting the case.
If convicted, Korm faces a maximum statutory penalty of 10 years in prison and a $250,000 fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case was brought as part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
South Texas Man Guilty of Smuggling More Than 50 Pounds of MethRead the Press Release
CORPUS CHRISTI, Texas – A 35-year-old Edinburg man has pleaded guilty to possessing with the intent to distribute more than 25 kilograms of methamphetamine, announced U.S. Attorney Ryan K. Patrick.
On July 7, 2019, Sarafin Rodriguez Pena drove a white Ford Focus into the primary inspection area of the Border Patrol checkpoint near Falfurrias. A careful search of the vehicle revealed bundles of methamphetamine concealed within after-market speakers mounted in the car.
Laboratory analysis later confirmed the substance in the bundles was methamphetamine.
The methamphetamine had a total weight of 25.5 kilograms with a value of more than $1.7 million.
At a hearing today before U.S. Magistrate Judge B. Janice Ellington, Pena admitted he had knowingly attempted to smuggle the narcotics past the checkpoint.
U.S. District Judge David S. Morales will impose sentence Nov. 26, 2019. At that time, Pena faces a minimum of 10 years and up to life in prison as well as a possible $10 million maximum fine.
He has been and will remain in custody pending that hearing.
This Drug Enforcement Administration conducted the investigation with the assistance of Border Patrol. Assistant U.S. Attorney Robert D. Thorpe Jr. is prosecuting the case.
San Bernardino County Man Indicted for Methamphetamine Trafficking in Sacramento CountyRead the Press Release
SACRAMENTO, Calif. — A federal grand jury returned a two-count indictment today against Juan Francisco Nunez-Roman, 21, of Fontana, charging him with possessing controlled substances for distribution, and conspiracy to do the same, U.S. Attorney McGregor W. Scott announced.
According to court records, in May 2019, an undercover agent arranged to purchase approximately 40 pounds of methamphetamine and 5,000 counterfeit Oxycodone pills. On the day of the planned buy, Nunez-Roman arrived at a hotel parking lot in Elk Grove and showed the undercover agent a package of narcotic pills. Nunez-Roman agreed to follow the undercover agent to a secondary location, where he was going to sell the agent the pills and methamphetamine. While the two were en route, an officer stopped Nunez-Roman and searched his vehicle. That search yielded approximately 9.74 kilograms (21.47 pounds) of methamphetamine and three packages containing suspected counterfeit Oxycodone pills.
This case is the product of an investigation by the Tri-County Drug Enforcement Team (TRIDENT), with special assistance from Homeland Security Investigations, California Highway Patrol, and Sacramento County District Attorney’s Office.
If convicted of either charge, Nunez-Roman faces a mandatory minimum penalty of 10 years in prison, and a maximum statutory penalty of life in prison and a $10 million fine. Any sentence would be determined at the discretion of the district court after considering any applicable statutory factors and the Federal Sentencing Guidelines. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Prince George’s County Felon Sentenced to More Than 10 Years in Federal Prison for Drug Distribution and Related Firearms ChargesRead the Press Release
Greenbelt, Maryland – U.S. District Judge Theodore C. Chuang today sentenced Tyrone Lavon White, age 28, of Landover, Maryland, to 126 months in federal prison, followed by five years of supervised release, for possession with intent to distribute controlled substances, possession of firearms and ammunition in furtherance of a drug trafficking crime, and for being a felon in possession of a firearm and ammunition.
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Rob Cekada of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Baltimore Field Division; and Chief Henry P. Stawinski III of the Prince George’s County Police Department.
“Drug traffickers must know that gun crime will lead to federal time, which has no parole—ever,” said United States Attorney Robert K. Hur. “We will continue to work with our law enforcement partners to remove those who would commit violence from our community. Please put down the guns. You’ll save a life, maybe even your own.”
According to his guilty plea, White was present at a residence when Prince George’s County Police Department officers executed a search warrant. At the commencement of the search, White and the other occupants of the residence were advised of their rights.
During the search of the residence, law enforcement located in an upstairs bedroom a black backpack that contained a loaded 9x19mm semi-automatic pistol with an extended magazine containing 32 rounds of ammunition; a loaded 9x19mm semi-automatic pistol containing 16 rounds of ammunition; and nine bags of a substance containing marijuana. In addition, two vials of phencyclidine (“PCP”) were recovered from the closet of the bedroom, and $2,250 in cash was found under the mattress in this bedroom. White admitted to the officers that all of the items recovered during the search belonged to him. Further, White admitted that he possessed the guns in furtherance of drug trafficking.
White had two previous felony drug trafficking convictions in Prince George’s County Circuit Court and was prohibited from possessing firearms or ammunition.
This case was made possible by investigative leads generated from the Bureau of Alcohol, Tobacco, Firearms, and Explosives’ (ATF) National Integrated Ballistic Information Network (NIBIN). NIBIN is the only national network that allows for the capture and comparison of ballistic evidence to aid in solving and preventing violent crimes involving firearms. NIBIN is a proven investigative and intelligence tool that can link firearms from multiple crime scenes, allowing law enforcement to quickly disrupt shooting cycles. For more information on NIBIN, visit https://www.atf.gov/firearms/national-integrated-ballistic-information-network-nibin.
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. 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.
United States Attorney Robert K. Hur commended the ATF and the Prince George’s County Police Department for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorney Jessica C. Collins, who prosecuted the case.
# # #
Pennsylvania Man Sentenced for Trafficking Protected TurtlesRead the Press Release
David Sommers, 64, of Levittown, Pennsylvania, was sentenced to six months imprisonment, three years of supervised release including six months of home detention, and to pay $250,000 in restitution for trafficking protected turtles.
From November 2011 until October 2017, Sommers poached thousands of protected diamondback terrapins and their eggs from coastal marshes in New Jersey and illegally sold the turtles. A grand jury indicted Sommers on July 10, 2018 for his criminal conduct involving the sale, export and false-labeling of packages containing protected diamondback terrapins. On Feb. 4, 2019, Sommers pleaded guilty to false-labeling of packages containing protected diamondback terrapins.
“Sommers used a sham business to shamelessly mask an illegal trade in threatened and protected species,” said Assistant Attorney General Jeffrey Bossert Clark of the Justice Department’s Environment and Natural Resources Division. “The Justice Department and our law enforcement partners will safeguard our nation’s natural resources and biodiversity and prosecute wildlife traffickers to the fullest extent of the law.”
“The defendant had a simple business plan: poach protected turtles and their eggs from their natural habitat, advertise them for sale online and then illegally ship them to customers by concealing the actual contents of the packages,” said U.S. Attorney William M. McSwain for the Eastern District of Pennsylvania. “Sommers represented himself as a legitimate reptile breeder, when he was in fact endangering the lives of these animals and breaking the law. Thanks to our partners at the New Jersey Division of Fish and Wildlife and the United States Postal Inspection Service, this defendant will be held responsible for his actions.”
Diamondback terrapins (Malaclemys terrapin) are a semi-aquatic species of turtle native to brackish waters in eastern and southern United States. They are not found in the wild in Pennsylvania, where Sommers resided, but have a dwindling habitat range in neighboring New Jersey. The terrapins are prized in the reptile pet trade for their unique, diamond-shaped shell markings. The turtles are protected under New Jersey law and by an international treaty, the Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES).
The United States, Canada and approximately 181 other countries are signatories to CITES, which provides a mechanism for regulating international trade in species whose continued survival is threatened by such trade. Due to declining populations, CITES listed the diamondback terrapin as threatened in 2013, and New Jersey banned collecting, possessing and transporting them in 2016.
This case was investigated by the United States Fish and Wildlife Service with assistance from the New Jersey Division of Fish and Wildlife. It is being prosecuted by trial attorney Ryan Connors of the Justice Department’s Environmental Crimes Section and Assistant U.S. Attorney Joan E. Burnes.
Paralegal Arrested on Federal Grand Jury Indictment Alleging She Defrauded Clients of Immigration Law FirmsRead the Press Release
LOS ANGELES – A local paralegal was arrested today on a seven-count federal grand jury indictment charging her with defrauding clients of various immigration law firms by depositing payments for legal services and filing fees into her personal bank account, thus depriving clients of the legal services for which they had paid.
Tanya Garcia, 40, of Whittier, was arrested at her residence this morning. She has been charged with six counts of wire fraud and one count of aggravated identity theft. Garcia is scheduled to be arraigned on the charges this afternoon in United States District Court in Los Angeles.
According to the indictment, Garcia worked as a paralegal at various immigration law firms in Los Angeles and Riverside counties. The law firms assisted clients with matters such as obtaining asylum, relief from deportation, U.S. residence and citizenship, and work permits. From at least October 2014 until October 2018, Garcia collected payments from clients and represented the payments would be used for immigration-related legal services and filing fees. Garcia allegedly instructed the clients to leave the “pay to” line on money orders and checks blank.
Garcia then wrote her own name in the “pay to” line on the money orders and checks, and on multiple occasions, she crossed out “U.S. Department of Homeland Security” from the “pay to” line of money orders and wrote in her own name, the indictment alleges. Garcia allegedly deposited the payments into her personal bank accounts and used the money on personal expenses including her mortgage, credit card bills, and clothes.
When the immigration law firms’ clients realized they were not receiving any legal services after paying Garcia, she refused to permit the clients to speak to a licensed lawyer, according to the indictment. Garcia allegedly defrauded the immigration law firms and their clients out of approximately $181,344.
If convicted of all charges, Garcia would face a statutory maximum sentence of 122 years in federal prison.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This matter was investigated by United States Secret Service, the Inglewood Police Department, and the United States Postal Inspection Service.
This case is being prosecuted by Assistant United States Attorney Roger A. Hsieh of the Major Frauds Section and Brian R. Faerstein of the General Crimes Section.
Orlando Woman Sentenced to More Than Seven Years in Federal Prison for Stolen Identity Refund FraudRead the Press Release
Orlando, Florida – U.S. District Judge G. Kendall Sharp has sentenced Scharlene Alisa Hudson to 7 years and 10 months in federal prison for fraudulent possession of unauthorized access devices (credit cards) and aggravated identity theft. Hudson had pleaded guilty on May 23, 2019.
According to court documents, in February 2015, law enforcement officers discovered Hudson squatting in an Orlando residence. At the time, Hudson had in her possession approximately 50 debit cards in other people’s names, a notebook, and other documents containing ledgers listing the names, Social Security numbers, and dates of birth of numerous victims. Hudson used the personal identification information of the victims to file false tax returns and claim fraudulent tax refunds. The total loss to the government exceeded $297,000. During the sentencing hearing, the government presented evidence that many of the victims were elderly.
This case was investigated by the Internal Revenue Service – Criminal Investigation and the Orlando Police Department. It was prosecuted by Assistant United States Attorney Emily C. L. Chang.
Operation Cookout Indictment Charges 39 Defendants in Heroin and Fentanyl Trafficking ConspiracyRead the Press Release
NEWPORT NEWS, Va. – Over 120 law enforcement officers from 30 law enforcement agencies in Virginia, North Carolina and Texas executed a major arrest operation over the last three days, resulting in 35 of defendants being arrested for their respective roles in a conspiracy to distribute and possess with intent to distribute large amounts of heroin, fentanyl, cocaine, and cocaine base in Hampton Roads.
In addition to the arrests, law enforcement seized 24 firearms, 30 kilograms of fentanyl, 30 kilograms of heroin, 5 kilograms of cocaine, and over $700,000 in cash during the three-day takedown.
“This massive interdiction of narcotics, which included enough fentanyl to kill over 14 million people, is proof positive of the power and strength of federal, state, and local law enforcement collaboration,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “The 39 charged defendants are just that—charged—and remain innocent unless and until proven otherwise. This operation, through its seizure of scores of kilograms of illicit narcotics, saved lives in the Eastern District and elsewhere. Any day where we can do that is particularly meaningful and impactful. An incredible thank you to our dedicated law enforcement partners and prosecutors.”
According to the 106-count indictment, which was returned by a federal grand jury on August 14 and unsealed this afternoon, the 39 co-conspirators were involved in an alleged large-scale drug trafficking conspiracy that began in March 2016. The co-conspirators participated in various criminal acts throughout the alleged conspiracy, including armed drug distribution, while assuming and carrying out different roles such as a supplier, packager, transporter, financier, distributor, and facilitator throughout the life of the alleged drug trafficking ring.
“The narcotics organization identified by our team reached far and wide, spanning state lines and crossing all the way to and from our southern border,” said Michael K. Lamonea, Assistant Special Agent in Charge of Homeland Security Investigations in Norfolk. “This indictment, and the 106 counts within, demonstrates clearly that the dangerous and illegal smuggling operations from the border limitlessly stretch into the United States and reach directly into our neighborhoods and communities.”
The indictment alleges that the defendants and unindicted co-conspirators would purchase and receive narcotics from suppliers in Mexico, California, and New York, and would arrange for heroin, fentanyl, cocaine, and cocaine base to be transported to and within the Eastern District of Virginia using hidden traps in privately owned vehicles, couriers, and semi-trailers, trucks, and recreational vehicles.
It was further part of the conspiracy that the defendants and co-conspirators would utilize various locations throughout Hampton Roads to possess and prepare for distribution heroin, fentanyl, cocaine, and cocaine base, and to meet and discuss previous and future narcotics transactions. These various locations include houses and parking lots of businesses located in Newport News, Hampton, Suffolk, Carrolton, Yorktown, Lawrenceville, South Hill, and Richmond.
“The DEA will continue to prioritize operations like this one, which target the criminal organizations that bring dangerous drugs and violence into our communities here in Virginia,” said Jesse R. Fong, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division. “We stand united with our outstanding federal, state, and local law enforcement counterparts in this endeavor.”
According to the indictment, throughout the life of the drug trafficking ring, the co-conspirators used at least 94 different telecommunication devices such as pre-paid cell phones, Facebook, and encrypted communications apps like FaceTime and WhatsApp to conduct the day-to-day operations, including negotiating prices, and arranging locations for purchasing and selling the drugs. Some of co-conspirators changed devices on a regular basis in an effort to thwart law enforcement surveillance. Typically, the cell phone numbers that were used were in pre-paid cell phones that did not need a subscriber’s name.
The 106-count indictment alleges various offenses, including conspiracy to distribute and possess with intent to distribute cocaine, heroin, cocaine base, and fentanyl; conspiracy to launder money; felon in possession of a firearm; maintaining a drug-involved premises; use of a communication facility in furtherance of drug trafficking; interstate travel in aid of racketeering enterprises; and illegal re-entry by a previously deported or removed alien.
The case was investigated as part of the Organized Crime Drug Enforcement Task Forces (OCDETF), Operation Cookout. The OCDETF program is a federal multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
The High Intensity Drug Trafficking Areas (HIDTA) program, created by Congress with the Anti-Drug Abuse Act of 1988, provides assistance to Federal, state, local, and tribal law enforcement agencies operating in areas determined to be critical drug-trafficking regions of the United States. This grant program is administered by the Office of National Drug Control Policy (ONDCP). There are currently 28 HIDTAs, which include approximately 18 percent of all counties in the United States and 66 percent of the U.S. population.
This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Raymond Villanueva, Special Agent in Charge of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations Washington D.C., Jesse R. Fong, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division, Kelly R. Jackson, Special Agent in Charge, Washington, D.C. Field Office, IRS-Criminal Investigation (IRS-CI), Colonel Gary T. Settle, Superintendent of Virginia State Police, Steve R. Drew, Chief of Newport News Police, Terry L. Sult, Chief of Hampton Police Division, Col. K.L. Wright, Chief of Chesapeake Police, and Hampton Commonwealth's Attorney Anton A. Bell, made the announcement after the indictment was unsealed. Assistant U.S. Attorneys Kevin P. Hudson and Peter G. Osyf, and Special Assistant U.S. Attorney Amy E. Cross are prosecuting the case.
The following law enforcement agencies provided significant assistance during the investigation and arrest operation: U.S. Marshals, Newport News Sheriff’s Office, Chesapeake Sheriff’s Office, York-Poquason Sheriff’s Office, Tennessee Highway Patrol, Amarillo Police, and Brunswick County Sheriff’s Office. Approximately 30 law enforcement agencies assisted in the arrest operation in Virginia, North Carolina and Texas.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:19-cr-47.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.
New York Man Sentenced to 92 Months for Illegal Possession of a FirearmRead the Press Release
Portland, Maine: United States Attorney Halsey B. Frank announced that Timothy Ortiz, a/k/a “Tyson,” 25, of Bronx, New York, was sentenced today in U.S. District Court by Judge John A. Woodcock, Jr., to 92 months in prison and three years of supervised release for possession of a firearm by a felon. Ortiz pleaded guilty on January 4, 2019.
According to court documents, on September 26, 2016, Ortiz was involved in an argument over a drug debt that led to his fatal shooting of Jonathan Methot using a Ruger, Blackhawk, .357 revolver at a duplex apartment building in Biddeford. Ortiz was prohibited from possessing the firearm as the result of 2016 Maine felony convictions for aggravated sex trafficking and heroin distribution.
In imposing the sentence, Judge Woodcock varied upward from the applicable guideline range of 37-46 months, noting that the defendant’s criminal history was “disturbing” and the need to protect the public was “obvious.”
This case was investigated by the Biddeford Police Department; the Maine State Police; the Maine Attorney General’s Office; U.S. Immigration and Customs Enforcement’s Homeland Security Investigations; the FBI; and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It was prosecuted as part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
New Haven Teen Pleads Guilty to Firearm OffenseRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that ARMOND TROUTMAN, 19, of New Haven, pleaded guilty today in Hartford federal court to possessing a firearm with an obliterated serial number.
According to court documents and statements made in court, on February 7, 2019, Troutman was arrested by New Haven Police after a search of his bedroom revealed a Colt .45 caliber handgun and an unloaded 9mm Sig Sauer magazine. Later that day, officers conducted a search of the basement of Troutman’s home and located a .40 caliber Taurus semi-automatic pistol with an obliterated serial number. A subsequent search of Troutman’s phone revealed numerous videos and pictures of Troutman holding the Taurus firearm.
Troutman is scheduled to be sentenced by U.S. District Judge Vanessa L. Bryant on January 22, 2020, at which time he faces a maximum term of imprisonment of five years.
This matter is being investigated by the New Haven Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives, with the assistance of the New Haven State’s Attorney’s Office. The case is being prosecuted by Assistant U.S. Attorneys Maria del Pilar Gonzalez and Sarah P. Karwan.
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 neighborhoods safer for everyone.
New Haven Crack Dealer Sentenced to 5 Years in Federal PrisonRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that MARQUIS PARKER, 26, of New Haven, was sentenced today by U.S. District Judge Vanessa L. Bryant in Hartford to 60 months of imprisonment, followed by four years of supervised release, for his role in a New Haven drug trafficking ring.
According to court documents and statements made in court, in June 2017, the FBI’s New Haven Safe Streets/Gang Task Force initiated an investigation into a New Haven drug trafficking organization headed by Jermayne Butler. The investigation, which included physical surveillance, 13 controlled purchases of narcotics, and court-authorized wiretaps on multiple phones, revealed that members of the organization were distributing crack cocaine and oxycodone in the New Haven area.
Parker was intercepted on a wiretap communicating with Butler. The conversations confirmed that Butler supplied crack cocaine to Parker, who sold the drug to customers in New Haven.
Butler, Parker and several other members of the organization were arrested on federal criminal complaints on February 6, 2018. On February 8, 2018, a grand jury in New Haven returned a 30-count indictment charging 19 individuals with various offenses.
Parker has been detained since his arrest. On April 29, 2019, he pleaded guilty to one count of conspiracy to distribute, and to possess with intent to distribute, 28 grams or more of cocaine base. (“crack”).
Butler pleaded guilty to the same offense on August 9, 2019. He awaits sentencing.
This matter is being investigated by the FBI’s New Haven Safe Streets/Gang Task Force, which includes members from the New Haven Police Department, Milford Police Department, West Haven Police Department and Connecticut Department of Correction. The case is being prosecuted by Assistant U.S. Attorneys Patrick F. Caruso and David C. Nelson.
New Hampshire man sentenced for bank fraudRead the Press Release
WHEELING, WEST VIRGINIA - Kelvin L. Potter, of Dover, New Hampshire, was sentenced today to 40 hours in U.S. Marshal custody and five years of supervised release for bank fraud, United States Attorney Bill Powell announced.
Potter, age 38, pled guilty to one count of “Bank Fraud” in September 2017. Potter admitted to transferring money from an account at Chase Bank belonging to Velco, Inc., which holds the business account of Vocelli Pizza in Wheeling, without authorization. The crime occurred in May 2015.
The judge ordered a money judgment of $45,000. Potter was also ordered to pay restitution in the amounts of $1,598.76 to Velco Inc. and $68,399.73 to JP Morgan Chase Bank.
Assistant U.S. Attorney Jarod J. Douglas prosecuted the case on behalf of the government. The Federal Bureau of Investigation investigated.
U.S. District Judge John Preston Bailey presided.
Multi-Convicted Felon Sentenced to 16 Years in Federal Prison on Gun, Ammunition ChargesRead the Press Release
Ocala, Florida – Senior United States District Judge James D. Whittemore has sentenced Winyontis Quavari Gordon (29, Ocala) to 16 years in federal prison for possessing a firearm and ammunition as a convicted felon. Gordon had pleaded guilty on May 16, 2019.
According to court documents, on July 5, 2018, detectives from the Ocala Police Department attempted to arrest Gordon on an outstanding state warrant. Upon seeing the approaching detectives, Gordon exited the driver’s side of a parked car and fled on foot. Following a brief chase, the detectives took Gordon into custody and discovered a loaded .45 caliber handgun on the driver’s seat of the car, where Gordon had been sitting. During a subsequent interview with law enforcement, Gordon admitted that he had possessed the loaded firearm and repeatedly told the agent, “I’ll take that charge.” He also admitted to having an assault rifle in the trunk of the car.
A records check confirmed that Gordon had prior state felony convictions for aggravated battery with a firearm, possession of a firearm by a convicted felon, domestic battery by strangulation, and felony battery. These felony convictions prohibit Gordon from lawfully possessing a firearm or ammunition under federal law. They also qualified Gordon for an enhanced sentence as an Armed Career Criminal.
The City of Ocala Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives jointly investigated this case. It was prosecuted by Assistant United States Attorney Robert E. Bodnar, Jr.
This is another case prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide, crime reduction strategy aimed at decreasing violent crime in communities. It involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts. In the Middle District of Florida, U.S. Attorney Maria Chapa Lopez coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.
Montana Native Women’s Coalition Board ex-chairwoman charged with fraud in embezzlement of grant moneyRead the Press Release
BILLNGS—The former chairwoman of the Montana Native Women’s Coalition was arraigned today on charges in a 10-count indictment accusing her, and the Coalition’s ex-treasurer, of stealing federal grant funds to make unapproved trips to Las Vegas and to receive other unauthorized benefits, U.S. Attorney Kurt Alme said.
Meredith McConnell, 50, of Busby, pleaded not guilty to seven counts charging her with theft from a program receiving federal funding, wire fraud, fraudulent travel claims and misprision of felony. McConnell was the Coalition’s chairwoman and the executive director of Healing Hearts.
Co-defendant Barbara Mary Daychief, 43, of Browning, the Coalition’s former treasurer, pleaded not guilty on Aug. 13 to six counts.
U.S. Magistrate Judge Timothy J. Cavan presided and released McConnell pending further proceedings.
If convicted of the most serious crime, McConnell faces a maximum 20 years in prison, a $250,000 fine and three years of supervised release.
The indictment is merely an accusation and the defendants are presumed innocent until proven guilty.
The indictment accuses McConnell and Daychief of stealing from Lame Deer-based coalition from about August 2017 until March 2018. The Coalition’s purpose is to help Native American victims of domestic and sexual violence. In addition, the Coalition brings together Native American leaders and state representatives who administer state and federal funds for domestic violence and programming to improve resources for Native women and tribal programs.
The Coalition receives funding from the U.S. Department of Justice’s Office on Violence Against Women, which provides grants for victim services. From October 2017 to September 2018, the OVW awarded the Coalition $318,008 in federal funds.
In March 2017, the Coalition’s previous executive director, Toni Louise Plummer-Alvernaz, pleaded guilty to fraud for stealing from the Coalition. Plummer-Alvernaz was sentenced to one year and one day in federal prison and ordered to pay $246,024 restitution.
Two months later, the First Nations Development Institute held a two-day training for the Coalition in Billings, where it taught board members, including McConnell and Daychief, about conflicts of interest, whistleblower policies, code of ethics and financial oversight. The Coalition also received a special condition about reporting fraud in its September 2017 award package.
The indictment alleges McConnell and Daychief committed travel fraud, received travel payments on non-approved trips, including to Las Vegas, received and authorized double-payment for “days in service,” authorized unapproved construction projects and took other benefits they were not entitled to receive.
Assistant U.S. Attorneys Ryan Weldon and Bryan Dake are prosecuting the case, which was investigated by the Department of Justice Office of the Inspector General.
Pacer case reference. 19-90. The case may be monitored through the U.S. District Court calendar and the PACER system. To establish a PACER account, please go to, http://www.pacer.gov/register.html. To access the district court’s calendar, please go to https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.
XXX
Monroe County Man Guilty of Sex TraffickingRead the Press Release
SCRANTON—The United States Attorney’s Office for the Middle District of Pennsylvania announced that William Battle, age 28, of Stroudsburg, Pennsylvania, pleaded guilty on August 28, 2019, before U.S. District Court Judge Malachy E. Mannion, to participating in a sex trafficking conspiracy that involved using threats and coercion to force women to engage in prostitution in the Monroe County area between 2011 and June 2015.
According to United States Attorney David J. Freed, Battle, who also used the street name of “Buck,” admitted to being a member of the Black P-Stones, a street gang that engaged in sex trafficking and drug trafficking in the Stroudsburg area and the state of Maine. Members of the conspiracy, including Battle, advertised prostitutes on websites, transported the prostitutes, and rented hotel and motel rooms for the purpose of having the women engage in commercial sex acts with customers.
The prostitutes were threatened, physically assaulted, and provided drugs, including heroin, by members of the conspiracy to persuade them to engage or continue to engage in prostitution. Virtually all of the money earned by the prostitutes was turned over to the gang leaders, and the prostitutes were compensated with illegal drugs.
Judge Mannion ordered a pre-sentence investigation to be completed. Sentencing for Battle will be scheduled at a later date. Battle remains in custody pending sentencing.
The case was prosecuted by the Federal Bureau of Investigation, the Pennsylvania State Police, local police in the state of Maine, the Monroe County District Attorney’s Office, and local police in Monroe County. Assistant U.S. Attorneys Francis P. Sempa and Phillip Caraballo prosecuted the case.
This prosecution is part of an extensive investigation by the Organized Crime Drug Enforcement Task Force (OCDETF). OCDETF is a joint federal, state, and local cooperative approach to combat drug trafficking and is the nation’s primary tool for disrupting and dismantling major drug trafficking organizations, targeting national and regional level drug trafficking organizations and coordinating the necessary law enforcement entities and resources to disrupt or dismantle the targeted criminal organization and seize their assets.
This case was also brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin. Led by the United States Attorney’s Office, the Heroin Initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.
This case is also a 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 maximum penalty under federal law for this offenses is life imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
# # #
Monongalia County man admits to sex offender registry violationRead the Press Release
CLARKSBURG, WEST VIRGINIA – Earnest Parrie Dille, of Morgantown, West Virginia, ahas admitted to failing to register as a sex offender, United States Attorney Bill Powell announced.
Dille, age 63, pled guilty to one count of “Failure to Update Sex Offender Registration.” Dille, a person required to register as a sex offender, is accused of traveling from Idaho to West Virginia without updating his sex offender registration from January 2018 to April 2019.
Dille faces up to 10 years incarceration and a fine of up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
This case is prosecuted as part of Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorneys’ Offices, 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 identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/.
Assistant U.S. Attorney Sarah E. Wagner is prosecuting the case on behalf of the government. The United States Marshal Service investigated.
U.S. Magistrate Judge Michael John Aloi presided.
Mexican Nationals Charged with Marijuana Cultivation in Sierra National Forest in Madera CountyRead the Press Release
FRESNO, Calif. — A federal grand jury returned a three-count indictment today against Lester Eduardo Cardenas-Flores, 23, and Luis Madrigal-Reyes, 36, illegal aliens from Mexico, charging them with conspiring to manufacture, distribute, and possess with intent to distribute marijuana, manufacturing marijuana, and damaging public lands and natural resources, U.S. Attorney McGregor W. Scott announced.
According to court documents, law enforcement officers located over 1,000 marijuana plants in the Dutch Oven Creek area of the Sierra National Forest in Madera County. Both defendants were found in a processing area near growing marijuana plants and fled when law enforcement officers arrived to investigate.
The marijuana cultivation operation caused significant damage to the land and natural resources. Highly toxic, illegal pesticides, including carbofuran, were found at the site.
This case is the product of an investigation by the U.S. Forest Service with assistance from the California National Guard, California Department of Justice’s Campaign Against Marijuana Planting (CAMP), and Madera County Sheriff’s Office. Assistant U.S. Attorney Karen A. Escobar is prosecuting the case.
If convicted of the drug conspiracy and manufacturing offense, the defendants face a mandatory minimum statutory penalty of 10 years in prison and a maximum penalty of life in prison, as well as a $10 million fine. The environmental charge carries a maximum statutory penalty of 10 years in prison and a fine of up to $250,000. In addition, both men may be liable for restitution to the U.S. Forest Service for damage sustained to the land and natural resources as a result of the cultivation activities. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.
Marion County Convicted Felon Pleads Guilty to Federal Firearm OffenseRead the Press Release
Ocala, Florida – Travis Antwan Yates (31, Anthony) today pleaded guilty to possessing a firearm and ammunition as a convicted felon. He faces a maximum penalty of 10 years in federal prison. Yates had been indicted on August 14, 2019.
According to court documents, on June 27, 2019, Yates was driving a vehicle with a suspended driver license. During a traffic stop, a canine unit alerted to the presence of illegal drugs inside the car. When officers searched the vehicle, they located a black bag containing cocaine, a loaded handgun, a digital scale, a black cotton ski mask, several pair of black gloves, and Yates’s wallet. Yates admitted that these items belonged to him and that he cannot lawfully possess firearms because he is a convicted felon. A records check subsequently confirmed that Yates has two prior state burglary convictions from 2011.
This case was jointly investigated by the Federal Bureau of Investigation, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the City of Ocala Police Department. It is being prosecuted by Assistant United States Attorney Robert E. Bodnar, Jr.
This is another case prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide crime reduction strategy aimed at decreasing violent crime in communities. It involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts. In the Middle District of Florida, U.S. Attorney Maria Chapa Lopez coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.
Man Sentenced to Seven Years for Possession of a Firearm in Furtherance of a Drug Trafficking OffenseRead the Press Release
RALEIGH – United States Attorney Robert J. Higdon, Jr. announced that in federal court, United States District Judge James C. Dever III sentenced AKEEM TERON FLOOD, 27, of Durham, North Carolina, to 84 months’ imprisonment, followed by a 5 year term of supervised released.
On December 19, 2018, FLOOD was named in a four-count Indictment and, on April, 2019, FLOOD pled guilty to Count Four, Possession of a Firearm in Furtherance of a Drug Trafficking Crime.
In April 2018, Raleigh Police Department (RPD) conducted a controlled purchase of cocaine base (crack) from FLOOD outside his residence in Raleigh. A search warrant was subsequently obtained and executed at FLOOD’s residence in Raleigh on April 21, 2018. The search resulted in the seizure of more than 150 grams of marijuana, more than 22 grams of cocaine, drug paraphernalia, over $5,500 in U.S. currency, ammunition, and a loaded .380 caliber pistol.
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. Since 2017 the United States Department of Justice has reinvigorated the PSN program and has targeted 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.
That effort has been implemented through the Take Back North Carolina Initiative of the United States Attorney’s Office for the Eastern District of North Carolina. This initiative emphasizes the regional assignment of federal prosecutors to work with law enforcement and District Attorney’s Offices in those communities on a sustained basis to reduce the violent crime rate, drug trafficking, and crimes against law enforcement. For more information about this initiative click here: https://www.justice.gov/usao-ednc/tbnc.
The investigation of this case was conducted by the Raleigh Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). Assistant United States Attorney Bryan M. Stephany prosecuted the case for the government.
Man Sentenced in Drug Trafficking ConspiracyRead the Press Release
RICHMOND, Va. – A Drewryville man was sentenced today to three years in prison for his role in a multi-kilograms cocaine ring in Emporia.
According to court documents, George Wyche, 47, entered into a conspiracy in Emporia to distribute cocaine from 2015 to 2017. Through significant efforts, including surveillance, agents of the FBI and state law enforcement learned that Wyche, Powell, and others were involved in a large-scale drug trafficking conspiracy and that Powell regularly sold cocaine to Wyche for years. As part of the plea agreement, Wyche admitted that he should be held accountable for over 600 grams of cocaine.
The case was investigated by the FBI’s Richmond Area Violent Enterprises Task Force, as part of the Organized Crime Drug Enforcement Task Force’s (OCDETF), Operation Bulls Eye. The OCDETF program is a federal multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and David W. Archey, Special Agent in Charge of the FBI’s Richmond Field Office, made the announcement after sentencing by Senior U.S. District Judge Robert E. Payne. Assistant U.S. Attorney Peter S. Duffey prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:19-cr-14.
Man Sentenced for Lying on Farm Loan ApplicationRead the Press Release
MADISON, WIS. -- Scott C. Blader, United States Attorney for the Western District of Wisconsin, announced that Henry Berg, 42, formerly of Arcadia, Wisconsin, and currently of Geneva, Illinois, was sentenced today by U.S. District Judge James D. Peterson to one year and one day in federal prison for lying on a farm loan application. He was also sentenced to four years of supervised release following incarceration.
On May 2, 2019, Berg pleaded guilty to knowingly making a false statement for the purpose of influencing an Agricultural Credit Association, Badgerland Financial ACA (now Compeer Financial), in connection with a $650,000 agricultural loan.
Berg failed to disclose certain debts on his 2015 loan application, and also misrepresented to the bank that he had obtained crop insurance. Once he defaulted on the loan, Badgerland learned that Berg did not farm in 2015 and had disposed of the collateral he had pledged in connection with the loan. Badgerland also learned that Berg sub-leased his land and sold farming-related items to another farmer, for which the defendant received compensation that he did not disclose or turn over to Badgerland.
Because Berg’s Badgerland loan was partially guaranteed by the Department of Agriculture’s Farm Service Agency, the federal government suffered a loss of $596,036.30. Badgerland suffered a loss of $53,963.70. Berg was ordered to pay restitution.
The charge against Berg was the result of an investigation conducted by the U.S. Department of Agriculture Office of Inspector General and the Federal Bureau of Investigation. The prosecution of the case has been handled by Assistant U.S. Attorney Meredith P. Duchemin.
Man Sentenced for Involvement in Methamphetamine Drug ConspiracyRead the Press Release
RALEIGH – United States Attorney Robert J. Higdon, Jr. announced that today in federal court, United States District Judge James C. Dever III sentenced BRANDON DUWAYNE WRIGHT, 33, of High Point, North Carolina, to 300 months imprisonment, followed by 5 years of supervised release.
WRIGHT was named in an indictment filed on August 28, 2018 charging him with conspiracy to distribute and possess with the intent to distribute fifty grams or more of methamphetamine; and distribution and possession with intent to distribute fifty grams or more of methamphetamine. On May 14, 2019, WRIGHT was convicted of both charges after a jury trial.
According to the investigation, WRIGHT traveled from Atlanta, Georgia to Greenville, North Carolina to deliver five kilograms of crystal methamphetamine hidden inside two large dog food bags and a box of laundry detergent. WRIGHT met a cooperator in a parking lot of a Walmart in Greenville, North Carolina and provided what WRIGHT described as groceries to the cooperator. After receiving the dog food bags, law enforcement immediately noticed the packages had previously been opened as they were resealed with clear plastic tape.
The prosecution of WRIGHT was a part of an Organized Crime and Drug Enforcement Task Force Operation (OCDETF) targeting drug traffickers in Greenville, North Carolina. This case is part of the United States Attorney’s Office’s Take Back North Carolina Initiative. This initiative emphasizes the regional assignment of federal prosecutors to work with law enforcement and District Attorney’s Offices on a sustained basis in those communities to reduce the violent crime rate, drug trafficking, and crimes against law enforcement.
Investigation of this enforcement operation was conducted by the Greenville Regional Drug Task Force consisting of the Greenville Police Department, Drug Enforcement Administration (DEA), Winterville Police Department, East Carolina University Police Department, and North Carolina State Bureau of Investigation. Assistant United States Attorney Dena King represented the government.
Man Pleads Guilty to Producing Child PornographyRead the Press Release
NORFOLK, Va. – A Franklin man pleaded guilty today to producing child pornography.
According to court documents, Quinton Thomas Myrick, 25, met an 11 year-old girl online in December 2018. Myrick convinced the girl to produce child pornography and send it to him, and she complied. When Myrick suspected the 11 year-old was talking to other boys, he posted the child pornography on the girl’s social media account. Myrick also produced child pornography with a second minor victim, a 17 year-old girl. When Myrick became angry with her, Myrick also posted her videos on social media.
Myrick pleaded guilty to production of child pornography and faces a mandatory minimum of 15 years and a maximum of 30 years in prison when sentenced on December 11. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Michael K. Lamonea, Assistant Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Norfolk, and Robert Porti, Deputy Chief of Franklin Police, made the announcement after U.S. Magistrate Judge Douglas E. Miller accepted the plea. Assistant U.S. Attorney Elizabeth M. Yusi is prosecuting the case.
The Columbus Police Department provided significant assistance during this investigation.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:19-cr-91.
Man Charged with Misuse of a Social Security NumberRead the Press Release
NEW ORLEANS, LOUISIANA – LUIS FELIPE PALAFOX-ALVAREZ (PALAFOX-ALVAREZ), age 25, a citizen of Mexico, was charged on Wednesday, August 28, 2019 in federal court in a one-count Bill of Information with misuse of a Social Security Number.
PALAFOX-ALVAREZ faces a maximum term of imprisonment of not more than five years, a fine of $250,000.00, and a mandatory special assessment of $100.00. Additionally, PALAFOX-ALVAREZ is subject to a period of supervised release after imprisonment of up to one year.
According to the Bill of Information, on or about August 14, 2019, PALAFOX-ALVAREZ, for the purpose of obtaining employment and for other purposes, knowingly and with intent to deceive, did falsely represent that a Social Security Number not issued to him, was assigned to him; all in violation of Title 42, United States Code, Section 408(a)(7)(B).
U.S. Attorney Peter G. Strasser praised the work of the United States Department of Homeland Security, Immigration and Customs Enforcement, United States Border Patrol and the Office of the Inspector General, Social Security Administration in investigating this matter. Assistant United States Attorney Julia K. Evans is in charge of the prosecution.
* * *
Man Charged with Misuse of a Social Security NumberRead the Press Release
NEW ORLEANS, LOUISIANA – ALVARO JOSE MEZA-GONZALEZ (MEZA-GONZALEZ), age 38, a citizen of Nicaragua, was charged on Wednesday, August 28, 2019 in federal court in a one-count Bill of Information with misuse of a Social Security Number.
MEZA-GONZALEZ faces a maximum term of imprisonment of not more than five years, a fine of $250,000.00, and a mandatory special assessment of $100.00. Additionally, MEZA-GONZALEZ is subject to a period of supervised release after imprisonment of up to one year.
According to the Bill of Information, on or about August 14, 2019, MEZA-GONZALEZ, for the purpose of obtaining employment and for other purposes, knowingly and with intent to deceive, did falsely represent that a Social Security Number not issued to him, was assigned to him; all in violation of Title 42, United States Code, Section 408(a)(7)(B).
U.S. Attorney Peter G. Strasser praised the work of the United States Department of Homeland Security, Immigration and Customs Enforcement, United States Border Patrol and the Office of the Inspector General, Social Security Administration in investigating this matter. Assistant United States Attorney Julia K. Evans is in charge of the prosecution.
* * *
Mahoning County man charged in federal court with making threats against Jewish Community Center in YoungstownRead the Press Release
A Mahoning County man was charged in federal court with making threats against a Jewish community center in Youngstown.
James P. Reardon, 20, of New Middletown, was charged in U.S. District Court with one count of transmitting threatening communications via interstate commerce. The investigation is ongoing.
According to the criminal complaint filed in the case:
New Middletown police contacted the FBI on August 16, 2019, after being made aware of a video posted on Instagram page by user “ira_seamus.” The video depicted Reardon holding an assault rifle. It began with Reardon stating “(expletive) a life.” He then held the rifle in multiple firing positions with audio of gunshots and sound effects of sirens and people screaming added into the background, according to the complaint.
The video also had a caption that stated: “ira_seamus Police identified the Youngstown Jewish Family Community shooter as local white nationalist Seamus O'Rearedon". The video is shown to be tagged at the Jewish Community Center of Youngstown, according to the complaint.
New Middletown police officers showed federal agents on August 16, 2019, other videos in which Reardon was depicted, including: a National Geographic documentary in which Reardon was at the "Unite the Right" rally in Charlottesville, Virginia in August 2017 and an Instagram video posted by Reardon in which he discharges two rounds of ammunition into a cover of a video while making a remark about “Jewish media.”
Members of law enforcement executed a search warrant at Reardon’s residence later that day. Upon entering the basement, investigators observed several firearms and clothing articles that were observed in Reardon’s Instagram video postings, including: an MP-40 sub-machine gun like the one depicted in the video; an AR-15 assault rifle; numerous Nazi World War II propaganda posters; a rifle bayonet; a Hitler Youth Knife; and vintage U.S. military equipment, according to the complaint.
Reardon pulled up to the residence while officers were executing the search warrant and was arrested without incident.
“The Constitution affords citizens many rights, but it does not allow people to threaten others with violence,” U.S. Attorney Justin Herdman said. “Law enforcement will continue to work together to thwart those who threaten people based on their religion, race or national origin. We don’t go to war with people who break the law, we arrest them and send them to prison.”
“In today's environment, shootings in public places, churches and schools have occurred too often,” said FBI Special Agent in Charge Eric B. Smith. “Law enforcement must react swiftly to threats of violence. This defendant’s video demonstrated that he had access to weapons and he posed a threat to a Jewish community center. Law enforcement cannot wait to see if a shooting is going to occur, law enforcement must act quickly within the confines of the law to disrupt any potential violent act. The public is reminded -- if you see something, say something.”
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases, the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
This case was investigated by the Federal Bureau of Investigation, the Mahoning Valley Violent Crimes Task Force and the New Middletown Police Department. It is being prosecuted by Assistant U.S. Attorneys David Toepfer and Yasmine Makridis.
A charge is only an allegation and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
MS-13 Gang Member Pleads Guilty in Connection with Gang-Related AssaultRead the Press Release
ALEXANDRIA, Va. – An MS-13 gang member pleaded guilty today for his role and participation in a violent gang-related assault of a victim with multiple bats.
“The reasons for this callous and violent crime were as senseless as the brutality of the assault itself,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “For several minutes, Rivera and other members and associates of MS-13, savagely beat the victim with baseball bats within inches of his life to instill fear in members of the community and enforce MS-13’s warped code of violence and rules. Our investigation and prosecution of this case should send a clear message that law enforcement will not stand by as MS-13 attempts to terrorize our community, and that those involved in the violent acts of MS-13 will be prosecuted.”
Marlon Edgardo Huezo Rivera, aka “Oscuro”, 19, of Falls Church, a member or associate of the Chilangueras clique of MS-13 in Northern Virginia, is the final charged defendant to plead guilty in this case.
According to court documents, Rivera conspired with several other members and associates of MS-13 to lure the victim to James Lee Park in Falls Church so that they could assault the victim. Rivera and other members and associates of MS-13 believed the victim was cooperating with law enforcement, falsely representing himself as a member of MS-13, and disparaging the Silvas clique of MS-13. After luring the victim to the park under false pretenses, Rivera, and approximately a dozen other members and associates of MS-13, beat the victim with bats, fists, and feet for approximately three minutes. As a result of the beating, the victim suffered multiple broken limbs and was hospitalized for several days.
“MS-13 members like Rivera cause horrific violence and terrorize our community. This investigation shows that the FBI Washington Field Office and our law enforcement partners will not stop investigating and prosecuting those who seek to harm our community in engage in criminal gang activity,” said Timothy M. Dunham, Special Agent in Charge of the FBI’s Washington Field Office Criminal Division. “I would like to thank the FBI Special Agents that investigated this case, the prosecutors, and our local partners who are actively engaged in disrupting and dismantling MS-13 in order to combat these senseless crimes."
Rivera pleaded guilty to assault with a dangerous weapon in aid of racketeering activity and faces a maximum penalty of 20 years in prison when sentenced on November 22. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
The case was also investigated as part of the Organized Crime Drug Enforcement Task Force’s (OCDETF) Operation Rusty Gate. The OCDETF program is a federal multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking, and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Timothy M. Dunham, Special Agent in Charge, Criminal Division, FBI Washington Field Office, and Colonel Edwin C. Roessler Jr., Fairfax County Chief of Police, made the announcement after Senior U.S. District Judge T.S. Ellis III accepted the plea. Assistant U.S. Attorneys Nicholas U. Murphy II and Cristina Stam, and Trial Attorney Shauna Hale of the Criminal Division’s Organized Crime and Gang Section are prosecuting the case.
This matter was investigated by the FBI WFO’s Safe Streets/HIDTA Task Force – Northern Virginia which is composed of FBI Agents along with Task Force Officers from the Fairfax County Police, the Prince William County Police, the Loudoun County Sheriff’s Office, Leesburg Police Department, the Alexandria City Police, Fairfax City Police, Vienna Police Department, Herndon Police Department, and the Fauquier County Sheriff’s Office, along with Agents from the Department of Homeland Security, Homeland Security Investigations and ATF. The mission of this task force is to identify, investigate, disrupt and dismantle the most egregious and violent gangs operating in the Capital Region to include members of MS-13, a transnational street gang, known for its acts of violence.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-129.
Louisiana Physician’s Assistant Sentenced to Prison for Scheme to Unlawfully Distribute Controlled SubstancesRead the Press Release
A Baton Rouge, Louisiana-based physician’s assistant was sentenced to seven years in prison today for his role in a scheme to unlawfully distribute prescriptions for thousands of oxycodone pills.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney Brandon J. Fremin of the Middle District of Louisiana, Special Agent in Charge Stephen G. Azzam of the U.S. Drug Enforcement Administration (DEA)’s New Orleans Field Division, Special Agent in Charge C.J. Porter of the U.S. Department of Health and Human Services Office of Inspector General’s (HHS-OIG) Dallas Field Office and Acting Special Agent in Charge Anthony T. Riedlinger of the FBI’s New Orleans Field Office made the announcement.
Christopher William Armstrong, 45, of Prairieville, Louisiana, was sentenced by U.S. District Judge John W. deGravelles of the Middle District of Louisiana, who also ordered Armstrong to serve three years of supervised release and forfeit $168,000. In November 2018, Armstrong pleaded guilty to one count of an indictment charging him with conspiracy to distribute oxycodone, a Schedule II controlled substance.
Armstrong was a licensed physician’s assistant employed by Louisiana Spine & Sports LLC, a pain management clinic located in Baton Rouge, from approximately August 2004 through January 2014. As part of his guilty plea, Armstrong admitted that he logged into the clinic’s computer system and, without authorization, created fraudulent prescriptions for controlled substances such as oxycodone. He then printed the fraudulent prescriptions and either forged the signatures of the clinic’s physicians on the prescriptions or caused those physicians to unknowingly sign the prescriptions. Armstrong further admitted that he distributed the fraudulent prescriptions to co-conspirators, whom he instructed to fill the prescriptions at pharmacies and return the controlled substances to him in exchange for cash payments. Armstrong admitted that in an effort to conceal the scheme, he deleted records of the fraudulent prescriptions from the clinic’s computer system. As part of his plea, Armstrong admitted that from approximately May 2009 through March 2014, he fraudulently generated prescriptions for at least 40,470 oxycodone pills.
The case was investigated by the DEA, HHS-OIG and the FBI, and was brought as part of the Medicare Fraud Strike Force, supervised by the Criminal Division’s Fraud Section and the U.S. Attorney’s Office for the Middle District of Louisiana, with assistance from the East Baton Rouge District Attorney’s Office. Trial Attorney Justin M. Woodard of the Fraud Section and Assistant U.S. Attorney Demetrius D. Sumner of the Middle District of Louisiana are prosecuting the case.
The Medicare Fraud Strike Force is part of a joint initiative between the Department of Justice and HHS to focus their efforts to prevent and deter fraud and enforce current anti-fraud laws around the country. Since its inception in March 2007, the Medicare Fraud Strike Force, which maintains 14 strike forces operating in 23 districts, has charged nearly 4,000 defendants who have collectively billed the Medicare program for more than $14 billion. In addition, the HHS Centers for Medicare & Medicaid Services, working in conjunction with HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.
Louisiana Physician’s Assistant Sentenced to Prison for Scheme to Unlawfully Distribute Controlled SubstancesRead the Press Release
BATON ROUGE – A Baton Rouge, Louisiana-based physician’s assistant was sentenced to seven years in prison today for his role in a scheme to unlawfully distribute prescriptions for thousands of oxycodone pills.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney Brandon J. Fremin of the Middle District of Louisiana, Special Agent in Charge Stephen G. Azzam of the U.S. Drug Enforcement Administration (DEA)’s New Orleans Field Division, Special Agent in Charge C.J. Porter of the U.S. Department of Health and Human Services Office of Inspector General’s (HHS-OIG) Dallas Field Office and Acting Special Agent in Charge Anthony T. Riedlinger of the FBI’s New Orleans Field Office made the announcement.
Christopher William Armstrong, 45, of Prairieville, Louisiana, was sentenced by U.S. District Judge John W. deGravelles of the Middle District of Louisiana, who also ordered Armstrong to serve three years of supervised release and forfeit $168,000. In November 2018, Armstrong pleaded guilty to one count of an indictment charging him with conspiracy to distribute oxycodone, a Schedule II controlled substance.
Armstrong was a licensed physician’s assistant employed by Louisiana Spine & Sports LLC, a pain management clinic located in Baton Rouge, from approximately August 2004 through January 2014. As part of his guilty plea, Armstrong admitted that he logged into the clinic’s computer system and, without authorization, created fraudulent prescriptions for controlled substances such as oxycodone. He then printed the fraudulent prescriptions and either forged the signatures of the clinic’s physicians on the prescriptions or caused those physicians to unknowingly sign the prescriptions. Armstrong further admitted that he distributed the fraudulent prescriptions to co-conspirators, whom he instructed to fill the prescriptions at pharmacies and return the controlled substances to him in exchange for cash payments. Armstrong admitted that in an effort to conceal the scheme, he deleted records of the fraudulent prescriptions from the clinic’s computer system. As part of his plea, Armstrong admitted that from approximately May 2009 through March 2014, he fraudulently generated prescriptions for at least 40,470 oxycodone pills.
The case was investigated by the DEA, HHS-OIG and the FBI, and was brought as part of the Medicare Fraud Strike Force, supervised by the Criminal Division’s Fraud Section and the U.S. Attorney’s Office for the Middle District of Louisiana, with assistance from the East Baton Rouge District Attorney’s Office. Trial Attorney Justin M. Woodard of the Fraud Section and Assistant U.S. Attorney Demetrius D. Sumner of the Middle District of Louisiana are prosecuting the case.
The Medicare Fraud Strike Force is part of a joint initiative between the Department of Justice and HHS to focus their efforts to prevent and deter fraud and enforce current anti-fraud laws around the country. Since its inception in March 2007, the Medicare Fraud Strike Force, which maintains 14 strike forces operating in 23 districts, has charged nearly 4,000 defendants who have collectively billed the Medicare program for more than $14 billion. In addition, the HHS Centers for Medicare & Medicaid Services, working in conjunction with HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.