Latest Records
Newest first across public DOJ and U.S. Attorney press releases.
1 October 2019
Minnesota Man to Federal Prison for Iowa Meth ConspiracyRead the Press Release
A man who conspired to distribute meth was sentenced on September 30, 2019, in federal court in Sioux City to 15 years in federal prison.
Raul Flores Marin, 47, from Bigelow, Minnesota, was convicted on April 25, 2019, after a four-day jury trial of one count of conspiracy to distribute meth, one count of possession with intent to distribute meth, and one count of possession of a firearm in furtherance of drug trafficking.
The evidence at trial showed that in the early morning hours on July 19, 2017, the Osceola County Sheriff’s Office received a 911 call regarding a suspicious pickup truck with Minnesota license plates trespassing on property in rural Osceola County. While traveling towards the residence, law enforcement observed a pickup bearing Minnesota plates heading away from the property. Shortly after following the truck, it veered onto the left-hand side of the gravel road and almost into the ditch and a traffic stop was initiated. Law enforcement encountered Marin and after a search of the truck, law enforcement located and seized a 9mm handgun along with over 15 grams of methamphetamine. Evidence at trial further showed that Marin was involved in a conspiracy that distributed more than 50 grams of pure methamphetamine in the Osceola County, Iowa area.
Marin was sentenced in Sioux City by United States District Court Chief Judge Leonard T. Strand. Marin was sentenced to 15 years’ imprisonment. He must also serve a 5-year term of supervised release following any term of imprisonment. There is no parole in the federal system. Marin remains in custody of the United States Marshals until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Mikala M. Steenholdt and was investigated by the Iowa Department of Narcotics Enforcement, Osceola County Sheriff’s Department, Iowa Great Lakes Drug Task Force, and Iowa Division of Criminalistics Investigation.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 18-4011.
Follow us on Twitter @USAO_NDIA.
Mexican national heads to prison for 25 kilogram meth conspiracyRead the Press Release
LAREDO, Texas – A 29-year-old resident of Nuevo Laredo, Tamaulipas, Mexico, has been ordered to prison for conspiracy with intent to distribute meth, announced U.S. Attorney Ryan K. Patrick. Fernando Garcia-Leal pleaded guilty July 3.
Today, U.S. District Judge Marina Garcia Marmolejo imposed a 72-month term of imprisonment. Not a U.S. citizen, he is expected to face removal proceedings following the sentence. The court further ordered he not return to the U.S. illegally.
On March 23, Garcia-Leal applied for entry into the United States at the Juarez-Lincoln Bridge in Laredo driving a gray 2007 Jeep Commander. At inspection, an x-ray of the vehicle revealed anomalies within all four tires. A K-9 also alerted to possible narcotics.
Authorities ultimately found a total of 34 packages wrapped in black tape. All tested positive for meth and weighed approximately 25.46 kilograms.
Garcia-Leal initially denied knowledge of the narcotics, claiming he had purchased the vehicle approximately three weeks prior and was traveling to Houston to have maintenance work performed on it. He further added that he had purchased the vehicle from his wife’s relative who was in a drug cartel. He thought it might contain drugs, but was afraid to ask.
He has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Immigration and Customs Enforcement’s Homeland Security Investigations and Customs and Border Protection conducted the investigation. Assistant U.S. Attorney Michael Bukiewicz is prosecuting the case.
Mexican man admits role in conspiracy to import nearly 3K pounds of marijuanaRead the Press Release
LAREDO, Texas – A 51-year-old citizen from Tamaulipas, Mexico, now faces up to life in prison after pleading guilty to conspiracy and importation of marijuana into the country, announced U.S. Attorney Ryan K. Patrick.
Benjamin Gil Aguilera pleaded guilty today in federal court.
On Aug. 1, he arrived at the World Trade International Bridge in Laredo driving a semi-truck and trailer. During the inspection, a service canine alerted to the vehicle’s trailer where authorities observed anomalies within the doors. A search of the trailer yielded 2,949 pounds of tightly wrapped bundles of marijuana.
The drugs weighed a total of 1,338 kilograms with a value of $56ayer0,000.
He has been and will remain in custody pending his sentencing, to be set at a later date before U.S. District Judge Diana Saldaña. At that time, Gil Aguilera 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.
Immigration and Customs Enforcement’s Homeland Security Investigations conducted the investigation with assistance from Customs and Border Protection. Assistant U.S. Attorney Paul Harrison is prosecuting the case.
Medicare Fraud Strike Force Marks Tenth Anniversary with Charges Against Six Individuals as Part of Two National Healthcare Fraud TakedownsRead the Press Release
The Medicare Fraud Strike Force (“MFSF”) is part of a joint initiative between the U.S. Department of Justice and the U.S. Department of Health and Human Services to reduce and prevent Medicare and Medicaid fraud through enhanced interagency cooperation. Its purpose is to focus on the worst offenders in fraud, in the highest intensity regions, using data analysis techniques to identify abnormal billing levels in health care fraud “hot spots,” i.e., cities with unusually high levels of billing and other fraud. The U.S. Department of Justice currently maintains 15 strike forces operating in 24 federal districts, and has charged nearly 4,000 defendants who have collectively billed the Medicare program for more than $16 billion.
The Baton Rouge MFSF is comprised of the Department of Justice Fraud Division, the United States Attorney’s Office, Department of Health and Human Services - Office of the Inspector General, Federal Bureau of Investigation, and Louisiana Attorney General’s Medicaid Fraud Control Unit. Since 2009, the Baton Rouge MFSF has charged more than 100 defendants with health care fraud and related offenses, achieving a 96.8% conviction rate.
As part of the two recent National Health Care Fraud Takedowns, United States Attorney Brandon J. Fremin announced new charges against 6 individuals for health care fraud in Baton Rouge. Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal 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, Special Agent in Charge Bryan Vorndran of the FBI’s New Orleans Field Office (FBI), and Louisiana Attorney General Jeff Landry joined in this announcement.
Kevin Bernard Hanley and Mark Thomas Allen
In the first case, the grand jury returned an indictment charging Kevin Bernard Hanley, age 42, of Prairieville, Louisiana, with one count of conspiracy to defraud the United States and to pay and receive health care kickbacks and two counts of offering and paying kickbacks and bribes in connection with a federal health care program. Hanley is the CFO of Acadian Diagnostic Laboratories, LLC (“Acadian”), a laboratory in Baton Rouge that conducts toxicology, blood, and genetic testing.
Mark Thomas Allen, age 51, of Greer, South Carolina, was charged with one count of conspiracy to commit health care fraud and wire fraud, three counts of health care fraud, one count of conspiracy to defraud the United States and to pay and receive health care kickbacks, and two counts of solicitation and receipt of kickbacks and bribes in connection with a federal health care program. Allen owned Archer Diagnostics, LLC (“Archer”), a South Carolina corporation that markets medical testing services. Allen also owned or controlled JL Management Services, LLC (“JL Management”), a Wyoming-registered corporation that purported to perform management and billing services, and also did business under the name JL Billing.
The charges stem from the defendants’ roles in a scheme to solicit medically unnecessary cancer genetic (CGx) tests from Medicare beneficiaries, have the tests approved by telemedicine doctors who did not engage in treatment of the beneficiaries, and submit claims through diagnostic testing laboratories that paid kickbacks in exchange for the referrals. Allen and his co-conspirators, through companies they controlled, solicited the tests and arranged for approvals by telemedicine providers. They then transmitted the test samples and orders to labs in Louisiana, including Acadian, where Hanley was the CFO, and elsewhere. Acadian, through Hanley and others, paid kickbacks to companies controlled by Allen and others to obtain the referrals, and submitted claims to Medicare for the tests. Acadian and other labs billed Medicare for more than $240 million.
The case was investigated by HHS-OIG, FBI, and MFCU, and was brought as part of the MFSF, supervised by the Criminal Division’s Fraud Section and the U.S. Attorney’s Office for the Middle District of Louisiana. Trial Attorneys Gary Winters, Justin Woodard and Tim Loper of the Fraud Section, and Assistant U.S. Attorney Kristen Craig of the Middle District of Louisiana are prosecuting the case.
J. Foster Chapman
In the second case, the grand jury returned an indictment charging J. Foster Chapman, age 40, of Alexandria, Louisiana, with one count of conspiracy to commit health care fraud and four counts of health care fraud.
According to the indictment, Chapman worked for various purported telemedicine companies, for which he wrote medically unnecessary orders for durable medical equipment (DME), including knee braces, for Medicare beneficiaries. The indictment alleges that an international telemarketing network lured Medicare beneficiaries into the scheme through call centers, and then sent the beneficiaries’ information to purported telemedicine companies. The indictment further alleges that Chapman, working as an independent contractor for the telemedicine companies, wrote orders for DME without speaking to the beneficiaries and in the absence of any doctor-patient relationship. Chapman concealed the fraud with falsified orders that stated, among other things, that he consulted with the beneficiaries and conducted diagnostic tests, according to the indictment. The indictment alleges that Chapman caused the submission of over $4.8 million in fraudulent claims to Medicare.
The case was investigated by HHS-OIG and FBI, and was brought as part of the MFSF, supervised by the Criminal Division’s Fraud Section and the U.S. Attorney’s Office for the Middle District of Louisiana. Trial Attorney Justin M. Woodard of the Fraud Section and Assistant U.S. Attorney Kristen L. Craig of the Middle District of Louisiana are prosecuting the case.
Victor Clark Kirk and Marilyn Brown Antwine
In the third case, the grand jury returned an indictment charging Victor Clark Kirk, age 70, of Baton Rouge, and Marilyn Brown Antwine, age 51, of Baton Rouge, each with one count of conspiracy to commit health care fraud and five counts of health care fraud.
According to the indictment, Kirk was the CEO, and Antwine was the COO, of St. Gabriel Health Clinic, Inc. (St. Gabriel), a Louisiana non-profit corporation that provided health care services to Medicaid recipients, and others. St. Gabriel is a federally qualified health center (FQHC) that contracted with the Iberville Parish School Board to provide medical services within the school district. As a FQHC, St. Gabriel could provide primary care services to students as well as services related to the diagnosis and treatment of mental illnesses, provided that such services were medically necessary, among other requirements. The indictment alleges that St. Gabriel practitioners provided character development and other educational programs to entire classrooms of students during regular class periods, and then Kirk and Antwine fraudulently billed, or caused the fraudulent billing of, these programs to Medicaid as group psychotherapy. The indictment further alleges that to facilitate the fraudulent scheme, Kirk and Antwine directed that St. Gabriel practitioners falsely diagnose students with Axis I mental health disorders. According to the indictment, during the relevant time period, St. Gabriel’s claims for purported group psychotherapy services totaled more than $1.8 million.
In March 2019, Michael Dan Gaines, a former licensed clinical social worker at St. Gabriel, pleaded guilty for his role in the fraud scheme.
The case was investigated by HHS-OIG, FBI, and MFCU, and was brought as part of the MFSF, supervised by the Criminal Division’s Fraud Section and the U.S. Attorney’s Office for the Middle District of Louisiana. Trial Attorney Justin M. Woodard of the Fraud Section and Assistant U.S. Attorney Jessica M.P. Thornhill of the Middle District of Louisiana are prosecuting the case.
Casonya Williams
In the fourth case, the United States filed a bill of information charging Casonya Williams, age 45, of Hammond Louisiana, with one count of health care fraud.
According to the information, Williams worked as a registered social worker for various behavioral health service providers. The information alleges that Williams prepared and submitted false and fraudulent progress notes and time sheets to the behavioral health service providers for services purportedly rendered to Medicaid recipients. These fraudulent documents indicated that Williams provided behavioral health services to recipients when, in fact, the services were not provided. According to the information, based on the fraudulent documents prepared and submitted by Williams for services not rendered, the behavioral health service providers submitted approximately over $176,000 in claims to Medicaid.
The case was investigated by HHS-OIG, FBI, and MFCU, and was brought as part of the MFSF, supervised by the Criminal Division’s Fraud Section and the U.S. Attorney’s Office for the Middle District of Louisiana. Trial Attorney Justin M. Woodard of the Fraud Section and Assistant U.S. Attorney Elizabeth E. White of the Middle District of Louisiana are prosecuting the case.
U.S. Attorney Brandon Fremin stated, “This month marks the 10th anniversary of the Medicare Fraud Strike Force in Baton Rouge. Strike Force teams bring together the resources of the U.S. Department of Health and Human Services-Office of Inspector General, the FBI, the Fraud Section of the U.S. Department of Justice's Criminal Division, the U.S. Attorneys' Offices, and other law enforcement agencies, including, in Baton Rouge, the Louisiana Attorney General's award-winning Medicaid Fraud Control Unit. Over the past ten years, the team has continued working in Baton Rouge and expanded across southern Louisiana into the New Orleans area.
Just last week, the Department announced indictments in five federal districts involving fraudulent genetic cancer testing against 35 individuals for over 2.1 billion in losses in one of the largest health care fraud schemes ever charged. The Middle District of Louisiana was among the five federal districts who brought charges in this action.
It is important to note that HCF cases require significant resources and often involve well educated suspects who engage in sophisticated criminal behavior that requires investigators and prosecutors to navigate complex and nuanced areas of federal criminal law. Our collective success is possible because of the dedication and tenacity of the men and women charged with the responsibility of investigating and prosecuting those cases. Here in the Middle District you have some of the best.”
“Healthcare fraud is not a victimless crime. Whether corrupt providers engage in genetic testing schemes or other types of healthcare fraud, it’s the trust and well-being of patients and taxpayers that are at risk,” said Special Agent in Charge C.J. Porter of HHS-OIG. “Today’s arrests demonstrate our resolve to investigate bad actors and protect the patients served by vital federal health and human services programs.”
Bryan A. Vorndran, FBI New Orleans Special Agent in Charge stated, “Throughout this case, the men and women of the FBI Baton Rouge Resident Agency, along with our federal, state, and local law enforcement partners, thoroughly investigated several health care facilities and ultimately uncovered a number of violations which are being highlighted here today. I believe these cases demonstrate the unparalleled collaboration and dedication between all agencies represented within the Medicare Health Care Fraud Strike Force to protect Louisiana residents.”
“Medicaid welfare fraud jeopardizes healthcare resources for Louisiana’s most needy and steals from our State’s taxpayers,” said Louisiana Attorney General Jeff Landry. “My office and I will continue our efforts to root out this type of fraud and other criminal activity that drives up medical costs for everyone.”
NOTE: A Bill of Information is an accusation by the U.S. Attorney’s Office. The defendant is presumed innocent until and unless adjudicated guilty at trial or through a guilty plea.
An indictment is an accusation by the Grand Jury. The defendants are presumed innocent until and unless adjudicated guilty at trial or through a guilty plea.
Man Sentenced to Life for Child Sexual Abuse on the Winnebago Indian ReservationRead the Press Release
United States Attorney Joe Kelly announced that Cyrus A. Free, an enrolled member of the Winnebago Tribe of Nebraska, was sentenced today by United States District Judge Robert F. Rossiter, Jr. to life imprisonment for sexually abusing a child on the Winnebago Indian Reservation. Free will be required to register as a sex offender for the remainder of his life.
Free, age 51, sexually abused the minor victim from approximately eight years old to fourteen. Free had a previous conviction for sexually abusing a child.
This case was investigated by the Winnebago Police Department and Special Agent Jeffrey Howard with the Federal Bureau of Investigation.
Leader of a Sinaloan Drug Trafficking Organization Pleaded Guilty in Federal CourtRead the Press Release
The leader of a Sinaloan drug trafficking organization pleaded guilty to conspiring to distribute over 1000 kilograms of marijuana and conspiring to import more than five kilograms of cocaine and 1000 kilograms of marijuana.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney Matthew Schneider of the Eastern District of Michigan and Special Agent in Charge Keith Martin of the Drug Enforcement Administration (DEA) made the announcement.
Marco Antonio Paredes-Machado, 55, was indicted with 25 others in Detroit, Michigan, in 2005 for conspiring to distribute more than 1000 kilograms of marijuana. According to the indictment, Paredes-Machado led a drug trafficking organization in Agua Prieta, Sonora, Mexico, that was responsible for the distribution of 40 tons of marijuana.
In 2012, Paredes-Machado was indicted in Washington, D.C., by the Narcotic and Dangerous Drug Section of the Department of Justice. According to that indictment, Paredes-Machado conspired to import more than five kilograms of cocaine and 1000 kilograms of marijuana into the United States.
Paredes-Machado agreed to plead guilty in the Eastern District of Michigan to charges in both the Michigan and DC cases. As a part of his DC plea conduct, Paredes-Machado acknowledged that he had directed a drug conspiracy from Mexico for more than 10 years, beginning in the 1990s. Paredes-Machado worked in a criminal organization that was headed by Benjamin Jaramillo-Felix. This organization was affiliated with the Sinaloa Cartel and was dedicated to the illegal trafficking of narcotics from Colombia, through Central America and Mexico, and then into the United States.
Paredes-Machado invested in shipments of cocaine and had a direct role overseeing the transportation of tonnage quantities of cocaine in Los Cabos, Mexico. Paredes-Machado directed a team of 20 to 30 men that would receive cocaine from other co-conspirators in Los Cabos, a city in the Mexican state of Baja California Sur. From Los Cabos, Paredes-Machado and others would transport the cocaine by boat or airplane to various locations in Mexico, which were controlled by the Sinaloa Cartel including Culiacan, Sinaloa, and Navajoa, Sonora.
Paredes-Machado was also responsible for collecting payments for both the purchase of drugs from drug shipment investors and receiving proceeds from the eventual sale of narcotics. These transactions typically involved tens of millions of United States dollars. Paredes-Machado transferred these funds to others within the Organization.
Paredes-Machado was also in charge of the United States and Mexican border area in Agua Prieta, a town in the Mexican state of Sonora and on behalf of the criminal organization supervised the importation of controlled substances there including tonnage quantities of marijuana.
As part of the Michigan drug conduct Paredes-Machado acknowledged that supplied an extensive marijuana criminal conspiracy where he directed others to export marijuana from Mexico to the United States and distribute it in Detroit, Michigan and throughout the United States in loads weighing more than 100 kilograms.
Paredes-Machado knew that more than 450 kilograms cocaine and more than 90,000 kilograms of marijuana would be illegally imported into the United States for further distribution.
According to court records, Mexican authorities arrested Paredes-Machado in 2011. He was extradited to the United States and first appeared in the U.S. District Court for the Eastern District of Michigan in 2015. A sentencing date has been scheduled for Feb. 5, 2020, before U.S. District Judge Victoria Roberts.
The DEA’s Detroit Field office is leading the investigation. Trial Attorney Jason Ruiz of the Criminal Division’s Narcotic and Dangerous Drug Section and Assistant U.S. Attorney Craig Wininger of the Eastern District of Michigan are prosecuting the case.
Lawton Man Pleads Guilty to Making A Bomb ThreatRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Roger Christopher Simpson, age 45, of Lawton, Oklahoma, entered a guilty plea to Use Of Telephone To Make Bomb Threat, in violation of Title 18, United States Code, Section 844(e), punishable by not more than 10 years imprisonment, a fine up to $250,000.00, or both.
The Indictment alleges that on or about January 22, 2019, in the Eastern District of Oklahoma, the defendant did, through use of a telephone, willfully make a threat to kill, injure, and intimidate any individual and to damage and destroy a building, vehicle, or other real or personal property, by means of fire and explosive, in and affecting interstate commerce.
The charges arose from an investigation by the Seminole Police Department, the Seminole County Sherriff’s Office, the Oklahoma Highway Patrol, and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
The Honorable Kimberly E. West, U.S. Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, accepted the plea and ordered the completion of a presentence investigation report.
Assistant United States Attorney Clay Compton represented the United States.
Lake Woman Sentenced for Delay or Destruction of U.S. Mail by a Postal EmployeeRead the Press Release
Jackson, Miss. – Virginia Perkins, 49, of Lake, Mississippi, was sentenced yesterday by Senior U.S. District Judge David Bramlette III to two years probation for delay or destruction of U.S. mail by a postal employee, announced U.S. Attorney Mike Hurst and Special Agent in Charge Christopher Cave with the U.S. Postal Service Office of Inspector General, Southern Area Field Office.
Perkins was employed as a rural carrier associate at the Canton, Mississippi, Post Office. On January 17, 2017, following numerous complaints regarding undelivered mail along her route, agents conducted surveillance of Perkins as she delivered mail. Agents found that mail was not being delivered as addressed. A search of her vehicle yielded approximately 2,044 pieces of letter mail and 340 flats that Perkins had not delivered.
The case was investigated by agents from the U.S. Postal Service, Office of Inspector General. The case was prosecuted by Assistant United States Attorney Kimberly Purdie.
Kansas Woman Convicted in Scam Targeting Homeowners Facing ForeclosureRead the Press Release
KANSAS CITY, KAN. - A federal jury Monday found a Kansas woman guilty of taking part in a scheme to swindle homeowners facing foreclosure with false promises to help them save their homes, U.S. Attorney Stephen McAllister said.
Sara Cordry, 69, Overland Park, Kan., was convicted on one count of conspiracy, one count of mail fraud and six counts of wire fraud.
During trial, prosecutors presented evidence that Cordry conspired with co-defendants to take money from victims by fraudulently promising to:
- Lower their interest rates.
- Lower their monthly payments.
- Help them obtain loan modifications.
Investigators identified more than 500 victims in 24 states who suffered a total loss of more than $1 million due to the scheme.
Co-defendants include:
- Tyler Korn, 30, St. Ann, Mo., who was sentenced to 51 months in federal prison.
- Ruby Price, 74, Bonner Springs, Kan., who is awaiting sentencing.
- Amjad Daud, 35, Lutz, Fla., who failed to appear at court hearings. A warrant for his arrest has been issued.
Cordry’s sentencing is set for Jan. 9, 2020. She could face up to 30 years in federal prison and a fine up to $1 million on each count.
McAllister commended the U.S. Department of Housing and Urban Development - Office of Inspector General, the Federal Housing Finance Agency - Office of Inspector General, the Johnson County District Attorney’s Office, Special Assistant U.S. Attorney Emilie Burdette and Assistant U.S. Attorney Jabari Wamble for their work on the case.
Justice Department Files Lawsuit Against Coahoma County, Mississippi, to Enforce the Rights of a United States Army ReservistRead the Press Release
The Department of Justice announced that it filed a complaint yesterday in federal court in the Northern District of Mississippi against Coahoma County, Mississippi (Coahoma County), to protect the employment rights of an Army Reservist, Staff Sergeant First Class (SSG) Jason Sims Sr.
According to the complaint, SSG Sims was employed with the Coahoma County Sheriff’s Office from 2014 to 2018 during which time he also performed military service by teaching leadership courses at the United States Army Installation at Fort Knox, Kentucky. The complaint alleges that he was fired because of this military service obligation, in violation of the Uniformed Services Employment and Reemployment Rights Act of 1994 (USERRA). The lawsuit seeks reinstatement of SSG Sims to his employment with the Coahoma County Sheriff’s Office and the recovery of back wages and other benefits of employment that Sims lost as a result of his termination.
“Our Nation has made a commitment to protect the civilian jobs of its servicemembers while they serve our Country,” said Assistant Attorney General Eric Dreiband of the Civil Rights Division. “Federal law frees members of the armed forces from the stress associated with the fear they will be fired because they were called to military service.”
“The legal rights of the members of our Armed Forces, who routinely make personal sacrifices to protect our nation, must be respected,” said U.S. Attorney William C. Lamar of the Northern District of Mississippi. “The Department of Justice is committed to protecting those rights, so that these brave men and women can return from their service to their civilian jobs with the full benefits to which they are entitled.”
USERRA protects the rights of uniformed servicemembers to retain their civilian employment following absences due to military service obligations, and provides that servicemembers shall not be discriminated against because of their military obligations. The Justice Department gives high priority to the enforcement of servicemembers’ rights under USERRA. Additional information about USERRA can be found on the Justice Department’s websites at www.justice.gov/crt-military/employment-rights-userra and www.justice.gov/servicemembers as well as on the Department of Labor’s (DOL) website at www.dol.gov/vets/programs/userra.
This case stems from a referral by the U.S. Department of Labor, at SSG Sims’ request, after an investigation by the DOL’s Veterans’ Employment and Training Service. The case is being handled by Assistant U.S. Attorneys Luke Benedict and Stuart Davis in the U.S. Attorney’s Office for the Northern District of Mississippi and Brian McEntire in the Employment Litigation Section of the Department of Justice’s Civil Rights Division.
Justice Department Files Lawsuit Against Coahoma County, Mississippi, to Enforce the Rights of A United States Army ReservistRead the Press Release
WASHINGTON – The Department of Justice announced that it filed a complaint yesterday in federal court in the Northern District of Mississippi against Coahoma County, Mississippi (Coahoma County), to protect the employment rights of an Army Reservist, Staff Sergeant First Class (SSG) Jason Sims Sr.
According to the complaint, SSG Sims was employed with the Coahoma County Sheriff’s Office from 2014 to 2018 during which time he also performed military service by teaching leadership courses at the United States Army Installation at Fort Knox, Kentucky. The complaint alleges that he was fired because of this military service obligation, in violation of the Uniformed Services Employment and Reemployment Rights Act of 1994 (USERRA). The lawsuit seeks reinstatement of SSG Sims to his employment with the Coahoma County Sheriff’s Office and the recovery of back wages and other benefits of employment that Sims lost as a result of his termination.
“Our Nation has made a commitment to protect the civilian jobs of its servicemembers while they serve our Country,” said Assistant Attorney General Eric Dreiband of the Civil Rights Division. “Federal law frees members of the armed forces from the stress associated with the fear they will be fired because they were called to military service.”
“The legal rights of the members of our Armed Forces, who routinely make personal sacrifices to protect our nation, must be respected,” said U.S. Attorney William C. Lamar of the Northern District of Mississippi. “The Department of Justice is committed to protecting those rights, so that these brave men and women can return from their service to their civilian jobs with the full benefits to which they are entitled.”
USERRA protects the rights of uniformed servicemembers to retain their civilian employment following absences due to military service obligations, and provides that servicemembers shall not be discriminated against because of their military obligations. The Justice Department gives high priority to the enforcement of servicemembers’ rights under USERRA. Additional information about USERRA can be found on the Justice Department’s websites at www.justice.gov/crt-military/employment-rights-userra and www.justice.gov/servicemembers as well as on the Department of Labor’s (DOL) website at www.dol.gov/vets/programs/userra.
This case stems from a referral by the U.S. Department of Labor, at SSG Sims’ request, after an investigation by the DOL’s Veterans’ Employment and Training Service. The case is being handled by Assistant U.S. Attorneys Luke Benedict and Stuart Davis in the U.S. Attorney’s Office for the Northern District of Mississippi and Brian McEntire in the Employment Litigation Section of the Department of Justice’s Civil Rights Division.
Jury Convicts Massachusetts Resident for Failure to Register as A Sex Offender in FloridaRead the Press Release
Orlando, Florida – A federal jury has found William Tosca (35, Kissimmee) guilty of failing to register and update a registration as required by the Sex Offender Registration and Notification Act (SORNA). He faces a maximum penalty of 10 years in federal prison. His sentencing hearing is scheduled for December 16, 2019.
According to testimony and evidence presented at trial, in January 2013, Tosca was convicted by a jury in Massachusetts of a qualifying sex offense. While incarcerated in Massachusetts, the state’s sex offender registry board notified Tosca of his need to register as a sex offender. In October 2015, after being informed of his need to update his registration, Tosca failed to register in Massachusetts. In October 2016, he then moved to Florida and again failed to update his registration.
SORNA is part of the Adam Walsh Child Protection and Safety Act of 2006. The Adam Walsh Act also provides for the use of federal law enforcement resources, including the United States Marshals Service, to assist state and local authorities in locating and apprehending non-compliant sex offenders.
This case was investigated by the United States Marshals Service, the Osceola County Sherriff’s Office, the Florida Department of Law Enforcement, and the Massachusetts Sex Offender Registry Board. It is being prosecuted by Assistant United States Attorney Sean P. Shecter.
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 United States Attorney’s Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Irish National Extradited to the United States from the United Kingdom for Pleading Guilty to Trafficking of Rhinoceros Horns Sentenced to PrisonRead the Press Release
An Irish national who was extradited to the United States in August pleaded guilty and was sentenced today for his role in trafficking a libation cup made from the horn of a protected rhinoceros.
After entering his guilty plea today in Miami, U.S. District Judge Jose E. Martinez sentenced Sheridan to a term of 14 months in prison and two years of supervised release.
On Aug. 29, 2019, Richard Sheridan, 50, an Irish national from Cottenham, Cambridge, United Kingdom, was arraigned in federal court in Miami, Florida, on a May 15, 2014, indictment that charged Sheridan and Michael Hegarty, also an Irish national, with conspiracy to traffic in a libation cup made from the horn of protected rhinoceros. In addition to the conspiracy, the indictment charged Sheridan with smuggling a libation cup made from the horn of protected rhinoceros out of the United States. According to the indictment and a Joint Factual Statement signed by the parties, in 2012, Sheridan and Hegarty purchased a rhinoceros horn libation cup from an auction house in Rockingham, North Carolina, and then smuggled the cup out of the United States.
“Sheridan conspired to profit from the demise of one of the world’s most endangered species,” said Assistant Attorney General Jeffrey Bossert Clark of the Justice Department’s Environment and Natural Resources Division. “We will continue to work with our international partners to fight the trade in protected and endangered species, and organized criminal enterprises associated with it.”
“For our critically endangered wildlife, every case that serves to deter their illegal poaching and trafficking in their artifacts is important to the global effort to preserve these iconic specimens for our children and the generations to come,” said U.S. Attorney Ariana Fajardo Orshan of the Southern District of Florida. “Only through the continued, collective efforts of the international community will the goal of preserving species under threat of extinction be realized. The U.S. Attorney’s Office for the Southern District of Florida commends the agencies and investigators on both sides of the Atlantic who worked together to make this result a reality.”
“Combating transnational organized crime that involves the trafficking of some of the worlds’ most endangered species continues to be of the highest priority,” said Edward Grace, Assistant Director of the U.S. Fish and Wildlife Service, Office of Law Enforcement. “This investigation is one more example of the accomplishments that can be achieved when investigators around the globe share information and collectively pursue those who attempt to profit from the illegal trade of wildlife. It was that type of cooperation between Service special agents and London Metropolitan Police that resulted in today’s sentencing. ”
Following his extradition to the United States from Belgium, Hegarty pleaded guilty to conspiring with Sheridan to traffic in the libation cup. In November 2017, Hegarty was sentenced in federal court in Miami to 18 months in prison to be followed by three years of supervised release.
The U.S. Fish and Wildlife Service Office of Law Enforcement investigated the case. Trial Attorney Gary N. Donner of the Justice Department’s Environmental Crimes Section and Southern District of Florida Assistant U.S. Attorney Tom Watts-FitzGerald are prosecuting the case with assistance from the Justice Department's Office of International Affairs.
Irish National Extradited to the United States from the United Kingdom Pleads Guilty to Trafficking of Rhinoceros Horns and is Sentenced to PrisonRead the Press Release
MIAMI – An Irish national who was extradited to the United States in August pleaded guilty and was sentenced today for his role in trafficking a libation cup made from the horn of a protected rhinoceros.
After entering his guilty plea today in Miami, U.S. District Judge Jose E. Martinez sentenced Sheridan to a term of 14 months in prison and two years of supervised release.
On Aug. 29, 2019, Richard Sheridan, 50, an Irish national from Cottenham, Cambridge, United Kingdom, was arraigned in federal court in Miami, Florida, on a May 15, 2014, indictment that charged Sheridan and Michael Hegarty, also an Irish national, with conspiracy to traffic in a libation cup made from the horn of protected rhinoceros. In addition to the conspiracy, the indictment charged Sheridan with smuggling a libation cup made from the horn of protected rhinoceros out of the United States. According to the indictment and a Joint Factual Statement signed by the parties, in 2012, Sheridan and Hegarty purchased a rhinoceros horn libation cup from an auction house in Rockingham, North Carolina, and then smuggled the cup out of the United States.
“For our critically endangered wildlife, every case that serves to deter their illegal poaching and trafficking in their artifacts is important to the global effort to preserve these iconic specimens for our children and the generations to come,” said U.S. Attorney Ariana Fajardo Orshan of the Southern District of Florida. “Only through the continued, collective efforts of the international community will the goal of preserving species under threat of extinction be realized. The U.S. Attorney’s Office for the Southern District of Florida commends the agencies and investigators on both sides of the Atlantic who worked together to make this result a reality.”
“Sheridan conspired to profit from the demise of one of the world’s most endangered species,” said Assistant Attorney General Jeffrey Bossert Clark of the Justice Department’s Environment and Natural Resources Division. “We will continue to work with our international partners to fight the trade in protected and endangered species, and organized criminal enterprises associated with it.”
“Combating transnational organized crime that involves the trafficking of some of the worlds’ most endangered species continues to be of the highest priority,” said Edward Grace, Assistant Director of the U.S. Fish and Wildlife Service, Office of Law Enforcement. “This investigation is one more example of the accomplishments that can be achieved when investigators around the globe share information and collectively pursue those who attempt to profit from the illegal trade of wildlife. It was that type of cooperation between Service special agents and London Metropolitan Police that resulted in today’s sentencing. ”
Following his extradition to the United States from Belgium, Hegarty pleaded guilty to conspiring with Sheridan to traffic in the libation cup. In November 2017, Hegarty was sentenced in federal court in Miami to 18 months in prison to be followed by three years of supervised release.
The U.S. Fish and Wildlife Service Office of Law Enforcement investigated the case. Southern District of Florida Assistant U.S. Attorney Tom Watts-FitzGerald and Trial Attorney Gary N. Donner of the Justice Department’s Environmental Crimes Section are prosecuting the case with assistance from the Justice Department's Office of International Affairs.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
International Arms Trafficker Sentenced to More Than Eight Years in Federal PrisonRead the Press Release
Fort Myers, FL – U.S. District Judge Sheri Polster Chappell has sentenced Jose Mario Moreno Parada (37, Naples) to eight years and four months in federal prison for smuggling goods from the United States, possessing firearms with obliterated serial numbers, and making false statements to federal agents. The court also ordered Parada to forfeit the firearms involved in the offenses.
Parada had pleaded guilty on May 10, 2019.
According to court documents, Parada and his coconspirators purchased rifles in southwest Florida, obliterated their serial numbers, concealed them in vehicles, and then arranged to export the loaded vehicles to South America. In 2018, in connection with this case, 133 firearms, concealed in three vehicles and destined for Bolivia, were intercepted by law enforcement in south Florida.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, Homeland Security Investigations, the Collier County Sheriff’s Office, and U.S. Customs and Border Protection. It was prosecuted by Assistant United States Attorney Simon R. Eth.
Inmate indicted for assaultRead the Press Release
WHEELING, WEST VIRGINIA – Elijah Jeremiah Smith, an inmate at FCI Hazleton, was indicted today for allegedly assaulting a correctional officer while being housed at FCI Gilmer, U.S. Attorney Bill Powell announced.
Smith, age 23, was indicted on one count of “Assault of a Correctional Officer Resulting in Bodily Injury.” Smith is accused of assaulting a correctional officer employed by the Bureau of Prisons at FCI Gilmer in Gilmer County in September 2019.
Smith faces up to 20 years incarceration and a fine of up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Brandon S. Flower is prosecuting the case on behalf of the government. The Bureau of Prisons investigated.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
Independence Man Pleads Guilty to Illegally Selling FirearmsRead the Press Release
KANSAS CITY, Mo. – An Independence, Missouri, man pleaded guilty in federal court today to illegally selling firearms without a license, some of which have been seized during arrests at several crime scenes.
Frank E. Hedden, 25, waived his right to a grand jury and pleaded guilty before U.S. District Judge Roseann Ketchmark to engaging in the business of dealing firearms without a license.
By pleading guilty today, Hedden admitted that he sold 21 firearms to an undercover special agent with the Bureau of Alcohol, Tobacco, Firearms and Explosives for a total of $11,155 between Feb. 26 and July 16, 2019.
On May 7, 2019, investigators served Hedden with a warning notice. Investigators explained to Hedden that several firearms he purchased from licensed firearms dealers had been recovered in crimes within a relatively short amount of time after Hedden purchased them. This indicated Hedden could be re-selling them, thereby dealing in firearms without a license. Investigators further explained to Hedden that he could be prosecuted if he was buying firearms with the intent to resell them. Hedden signed an acknowledgement receipt for the Warning Notice of Unlicensed Firearms Dealing in Violation of Federal Law.
A few days later, however, Hedden met again with the undercover agent and illegally sold the agent two pistols for $1,200. During that meeting, which was recorded, Hedden told the undercover agent about the warning notice. “I don’t know if it’s anything, you know, of your or somebody else,” he said, “they said I had several firearms show up in crime scenes lately.” Hedden then added, “I knew this would happen eventually.”
The undercover agent told Hedden the firearms he purchased were going to Mexico and asked Hedden if he could obtain more AK-47 type pistols, to which Hedden responded “Yeah. So, I’ll have to figure out something … I’m going to try to figure something out cause like I said, I like doing the business, it’s nice to come into a little extra money.”
Hedden subsequently sold three more firearms to the undercover agent on two separate occasions.
On July 17, 2019, law enforcement officers executed a search warrant at Hedden’s residence and seized 33 firearms (which must be forfeited to the government). Officers also seized a red binder that contained 100 bills of sale for firearms; 18 of the documents were for firearms sold to the undercover agent, 72 of the documents were for firearms that Hedden sold to other individuals, and 10 of the documents were for firearms that Hedden purchased from other individuals.
Under federal statutes, Hedden is subject to a sentence of up to five years in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Bradley K. Kavanaugh. It was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Project Safe Neighborhoods
The U.S. Attorney’s Office is partnering with federal, state, and local law enforcement to specifically identify criminals responsible for significant violent crime in the Western District of Missouri. A centerpiece of this effort is Project Safe Neighborhoods, a program that brings together all levels of law enforcement to reduce violent crime and make neighborhoods safer for everyone. Project Safe Neighborhoods is an evidence-based program that identifies the most pressing violent crime problems in the community and develops comprehensive solutions to address them. As part of this strategy, Project Safe Neighborhoods focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.Illegal Alien Sentenced for Unlawful Reentry After RemovalRead the Press Release
Gulfport, Miss. – Noel Velasquez-Lucas, 50, a citizen of Guatemala, was sentenced today by U.S. District Judge Sul Ozerden to “time served” (effectively 148 days in prison), and one year of supervised release, for unlawful reentry by an alien after deportation or removal, announced U.S. Attorney Mike Hurst, and William Joyce, Acting Field Office Director of Immigration and Customs Enforcement, Enforcement and Removal Operations in New Orleans.
Velasquez-Lucas pled guilty to the felony offense before Judge Ozerden on June 20, 2019. After completion of his imprisonment, he will be transferred to the U.S. Department of Homeland Security, Immigration & Customs Enforcement, where he will be subject to administrative detention and removal proceedings to remove him from the United States to his home nation of Guatemala.
On May 2, 2019, Immigration and Customs Enforcement (ICE) agents encountered Noel Velasquez-Lucas while conducting fugitive operations in Biloxi, Mississippi. The agents identified themselves as ICE Deportation Officers and determined that Velasquez-Lucas was an illegal alien from Guatemala, with multiple prior immigration removals. Velasquez-Lucas was arrested and transported to the Gulfport, Mississippi, ICE office for processing.
An investigation revealed that Velasquez-Lucas initially unlawfully entered the United States in March, 2002, near Lukeville, AZ. Border Patrol Agents arrested him and granted him a Voluntary Return in lieu of formal removal.
On March 7, 2014. Velasquez-Lucas was arrested by Border Patrol Agents near Kingsville, Texas. He was issued a lawful order of removal on March 12, 2014, and was physically removed from the United States pursuant to that order from Harlingen, Texas.
On April 21, 2014, Velasquez-Lucas was arrested again by US Border Patrol Agents near McAllen, Texas, and his order of removal was reinstated on April 29, 2014, and he was physically removed from the United States.
On January 16, 2019, Velasquez-Lucas was arrested yet again by US Border Patrol Agents near San Luis, Arizona. His order of removal was again reinstated, and he was released with supervision including electronic monitoring. On January 23, 2019, a tampering alert identified that Velasquez-Lucas had absconded, and he was found in the Southern District of Mississippi.
U.S. Attorney Hurst praised the cooperation exhibited by the Department of Homeland Security, Immigration & Customs Enforcement, Enforcement Removal Operations, and the Jackson County Sheriff’s Department. Assistant United States Attorney Stan Harris was the prosecutor for this case.
Illegal Alien Previously Removed Four Times Pleads Guilty to Illegally Possessing a FirearmRead the Press Release
Hattiesburg, Miss. – Gregorio Xolotl-Hipolito, 42, an illegal alien from Mexico, pled guilty today before U.S. District Judge Keith Starrett to possession of a firearm by an illegal alien, announced U.S. Attorney Mike Hurst and Mr. William Joyce, Acting Field Office Director of Immigration and Customs Enforcement, Enforcement and Removal Operations, in New Orleans.
Xolotl-Hipolito will be sentenced by Judge Starrett on January 9, 2020, at 10:00 a.m. He faces a maximum penalty of 10 years in prison followed by 3 years of supervised release and a maximum $250,000 fine. He also faces being removed from the United States to his home nation of Mexico, following the completion of any prison sentence.
On June 24, 2019, while conducting Criminal Alien Program duties at the Forrest County Adult Detention Center, an Immigration & Customs Enforcement (ICE) agent encountered Xolotl-Hipolito, who had been arrested by Hattiesburg Police for possession of a stolen firearm and driving while consuming alcohol. When stopped by police, Xolotl-Hipolito had no driver’s license and only a Tennessee ID card. A .22 caliber pistol was found in plain view next to Xolotl-Hipolito in the vehicle. Police also found .22 ammunition in Xolotl-Hipolito’s pocket as well as elsewhere in the vehicle. Additionally, police determined that the pistol had been reported as stolen.
Local officials notified ICE, and Xolotl-Hipolito was identified as an illegal alien from Mexico who had been previously removed from the United States. Records revealed that, in 2011, an Immigration Judge ordered Xolotl-Hipolito removed from the U.S. Records also documented that Xolotl-Hipolito illegally reentered the U.S. and was removed four additional times.
U.S. Attorney Hurst praised the cooperation of the Department of Homeland Security, Immigration & Customs Enforcement, Enforcement Removal Operations, the Hattiesburg Police Department and the Forrest County Sheriff’s Department. Assistant United States Attorney Stan Harris is the prosecutor for the case.
Illegal Alien Pleads Guilty to Re-Entering the Unites StatesRead the Press Release
NASHVILLE, Tenn. – October 1, 2019 – Jose Lopez-Ruiz, 39, an illegal alien from Guatemala, pleaded guilty yesterday in U.S. District Court in Nashville, to re-entering the U.S. after having been previously deported, announced Don Cochran, U.S. Attorney for the Middle District of Tennessee.
In May 2019, Immigration and Customs Enforcement, Enforcement and Removal Operations (ICE ERO) agents encountered Lopez-Ruiz while detaining another individual in Madison, Tennessee, as part of its Criminal Alien Program. During this encounter, Lopez-Ruiz fled on foot and was not apprehended. Approximately two months later, on July 9, 2019, ICE ERO, after receiving information on his whereabouts, engaged Lopez-Ruiz again in Madison. After initially resisting officers, Lopez-Ruiz was taken into custody.
Lopez-Ruiz is a native a Guatemala and has been physically deported from the United States on seven previous occasions beginning in 2000 and most recently in January 2018. While in the United States illegally, Lopez-Ruiz has been convicted of Driving Under the Influence on five occasions with another DUI offense still pending.
Lopez-Ruiz faces up to two years in prison when he is sentenced on January 24, 2020.
Assistant U.S. Attorney Josh Kurtzman is prosecuting the case.
# # # # #
Hudson County Public Official Admits Accepting Bribes for Patient ReferralsRead the Press Release
NEWARK, N.J. – A Jersey City woman employed by the Hudson County Office of Aging today admitted accepting bribes for referring patients in need of home health care aides, U.S. Attorney Craig Carpenito announced.
Myrtha Nicolas, 61, of Jersey City, New Jersey, pleaded guilty before U.S. District Judge Katherine Hayden in Newark federal court to an information charging her with one count of extortion under color of official right.
According to documents filed in this case and statements made in court:
The Hudson County Office on Aging is an agency of the N.J. Division of Disability Services (DDS) in the Department of Human Services. The DDS works to streamline access to services and information designed to promote and enhance independent living for individuals with disabilities. Included among these services coordinated by DDS were Managed Long Term Services and Supports (MLTSS), which provide comprehensive service and support, whether for an individual living at home, in an assisted living facility, or a nursing home.
Nicolas was employed as a referral coordinator at the Hudson County Office on Aging. She exercised control over the coordination and assignment of patients with disabilities in need of home health care services to home health care companies which provide these services through home health care aides.
In June of 2016, Nicolas was approached by a confidential witness (CW), who was a self-employed executive of a home health care company that provided various services, including the training, hiring and assignment of home health care aides to patients with disabilities. Nicolas agreed to help refer patients to the CW and agreed to accept $500 dollars per patient she referred to the CW’s company.
On Aug. 4, 2016, Nicolas accepted a payment of $600 for the referral of a patient. The CW complained that the CW was forced to redirect the patient to another health care company because the patient proved difficult, prompting Nicolas to assure the CW that the CW “will get the easy ones,” in the future. On Jan. 23, 2017, Nicolas accepted another $600 cash payment for a patient referral. Nicolas confirmed that she had previously received gift cards from the CW, but expressed no preference whether future payments from the CW in exchange for patient referrals would be in cash or gift cards. On Oct. 17, 2017, Nicolas accepted a final corrupt payment of $1,000 from the CW for patient referrals, promising the CW that in terms of future patients, “whatever I have, you’ll have.”
The extortion under color of official right charge carries a maximum potential penalty of up to 20 years in prison and a fine of up to $250,000 or twice the gross pecuniary gain or loss. Sentencing is scheduled for Jan. 15, 2020.
U.S. Attorney Craig Carpenito credited special agents of the FBI, under the direction of Special Agent in Charge Gregory W. Ehrie, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Mark J. McCarren, of the Special Prosecutions Division in Newark.
Houston Man Sentenced for Federal Drug Trafficking ViolationsRead the Press Release
BEAUMONT, Texas – A 52-year-old Houston man has been sentenced to federal prison for drug trafficking violations in the Eastern District of Texas, announced U.S. Attorney Joseph D. Brown today.
Gary Allen Patterson pleaded guilty on Feb. 2, 2019, to conspiracy to possess with intent to distribute methamphetamine and was sentenced to 262 months in federal prison by U.S. District Judge Marcia A. Crone on Sep. 30, 2019.
According to information presented in court, Patterson was identified during a federal drug investigation as trafficking large quantities of methamphetamine in the Houston, Liberty County and Beaumont, Texas area. In October 2017, Patterson arranged two methamphetamine deals with an undercover agent and directed a co-defendant to meet with the agent and deliver the drugs. In April 2018, a Nederland, Texas traffic stop resulted in the discovery of 24 ounces of methamphetamine that had been supplied by Patterson. Overall, Patterson was responsible for the possession with intent to distribute and distribution of more than one kilogram of methamphetamine. Patterson was indicted by a federal grand jury on May 2, 2018.
This case was investigated by the U.S. Drug Enforcement Administration and the Bureau of Alcohol, Tobacco, Firearms and Explosives and prosecuted by Assistant U.S. Attorneys Michelle S. Englade and Michael Anderson.
######
Grant County woman sentenced for mail fraudRead the Press Release
ELKINS, WEST VIRGINIA – Sandra Mae Evans, of Petersburg, West Virginia, was sentenced today to five years probation for mail fraud, United States Attorney Bill Powell announced.
Evans, age 62, pled guilty to one count of “Mail Fraud” in May 2019. Evans admitted to opening an IRA account at Pendleton Community Bank’s Petersburg, West Virginia, branch in July 2018. A check in the amount of $82,170.50 was mailed from St. Louis, Missouri to Pendleton Community Bank to be deposited into Evan’s IRA account. Evans then deposited the check in August 2018, knowing the check was fraudulent. Evans admits to then requesting and successfully collecting withdrawals from the fraudulent check totaling more than $42,000. Evans then sent $18,000 cash to someone in Florida and $11,000 cash to someone in Utah.Evans was ordered to pay $35,808.05 in restitution to the Pendleton Community Bank. The amount represents the unrecovered amount of withdrawals made against the fraudulent check.
Assistant U.S. Attorney Jarod J. Douglas prosecuted the case on behalf of the government. The U.S. Postal Inspection Service and the West Virginia State Police investigated.
U.S. District Judge Thomas S. Kleeh presided.
Grant County man sentenced for firearms chargeRead the Press Release
ELKINS, WEST VIRGINIA – Carmen Liseno, of Cabins, West Virginia, was sentenced today to 92 months incarceration for a firearms charge, U.S. Attorney Bill Powell announced.
Liseno, age 36, pled guilty to one count of “Unlawful Possession of a Firearm” in May 2019. Liseno, having been previously convicted of two felonies, admitted to having a .40 caliber pistol in December 2017 in Grant County.
This case was brought as part of Project Safe Neighborhoods (PSN). Project Safe Neighborhoods is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.Assistant U.S. Attorney Danae DeMasi-Lemon prosecuted the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Grant County Sheriff’s Department investigated.
U.S. District Judge Thomas S. Kleeh presided.
Georgia drug smuggler confesses to importing 88 kilos of methRead the Press Release
LAREDO, Texas – A 21-year-old woman from Brunswick, Georgia, now faces up to life in prison after pleading guilty to conspiring to import a large quantity of meth into the country, announced U.S. Attorney Ryan K. Patrick.
Lidia Maria Nandi Bibiano pleaded guilty today in federal court.
On June 28, 2019, she arrived in Laredo at the Juarez-Lincoln International Bridge driving a Dodge Caravan. During inspection, law enforcement discovered 93 bundles of meth hidden inside a modified compartment in the vehicle’s floor.
The drugs weighed a total of 88.40 kilograms with an approximate value of more than $500,000.
Bibiano has been and will remain in custody pending sentencing, which will be set at a later before U.S. District Judge Diana Saldana. At that time, Bibiano faces a minimum of 10 years and up to life in prison as well as a possible $10 million maximum fine.
Immigration and Customs Enforcement’s Homeland Security Investigations conducted the investigation with assistance from Customs and Border Protection. Assistant U.S. Attorney Jennifer Day is prosecuting the case.
Fort Dodge Woman Sentenced to Federal Prison for Meth ConspiracyRead the Press Release
A woman who conspired to distribute methamphetamine was sentenced October 1, 2019, to five years in federal prison.
Chelsea Collins, 31, from Fort Dodge, Iowa, was convicted of one count of conspiracy to distribute methamphetamine and one count of distributing methamphetamine.
At the plea hearing, Collins admitted her involvement in a conspiracy that distributed methamphetamine in the Fort Dodge area from January 2018 through September 2018. In four separate transactions in July 2018, Collins distributed and aided others in the distribution of over 35 grams of pure methamphetamine to individuals cooperating with law enforcement. Evidence at sentencing also showed Collins threatened cooperators and law enforcement officers involved in the investigation of her and her co-conspirators.
Collins was sentenced in Sioux City by United States District Court Chief Judge Leonard T. Strand. Collins was sentenced to 60 months’ imprisonment. She must also serve a 4-year term of supervised release after the federal prison term. This term was ordered consecutive to two state prison sentences Collins is also serving at this time. There is no parole in the federal system. Collins is being held in the United States Marshal’s custody until she can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Shawn S. Wehde and was investigated by the Fort Dodge Police Department, Webster County, Iowa Sheriff’s Office, and Iowa Division of Criminal Investigation.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 18-3041.
Follow us on Twitter @USAO_NDIA.
Former law enforcement officer indicted for using his position to steal cocaine and methamphetamineRead the Press Release
ATLANTA - Former Gwinnett County Sheriff’s Deputy Antione Riggins, who was also a federal task-force member, has been arraigned on federal charges that he used his former position to steal cocaine and methamphetamine before the drugs could be secured in evidence, and made a series of false statements to cover up his drug theft.
“Riggins’ alleged theft of previously seized drugs is shocking,” said U.S. Attorney Byung J. “BJay” Pak. “He also allegedly fabricated documents and made false statements to prevent the arrest and prosecution of the drug trafficking suspects from whom the drugs were seized, in an apparent effort to cover his tracks. Riggins’s alleged actions betray the community he was sworn to protect.”
“The allegations in this indictment are particularly disturbing because they are against a law enforcement officer,” said Special Agent in Charge Chris Hacker of the FBI Atlanta field office. “The alleged actions of this individual undermine and insult the integrity of every law enforcement officer who takes an oath to serve and protect the people in their communities.”
“As a Task Force Officer, Riggins engaged in conduct that betrayed the oath he took to faithfully serve the people of Gwinnett County. His behavior should not take away from the outstanding work done each day by the vast majority of law enforcement professionals around the country.” DHS OIG’s Acting Special Agent in Charge Ronnie Tippett.
“This former officer violated his oath of office and the public’s trust. Corruption within the law enforcement ranks will not be tolerated. The GBI is committed to working with local and federal partners to investigate these types of crimes to ensure the public trust of officers is upheld,” said Vic Reynolds, Director, Georgia Bureau of Investigation.
According to U.S. Attorney Pak, the charges, and other information presented in court: In 2017 and 2018, Riggins was a federally-deputized task force officer with Homeland Security Investigations (HSI), while also employed as a deputy sheriff with the Gwinnett County Sheriff's Office (GCSO). Riggins’s duties during this time included investigating drug trafficking cases with HSI agents and other law enforcement officers. Riggins was also responsible for assisting Gwinnett County authorities to prosecute local drug cases investigated by HSI. In this role, Riggins was entrusted with transporting seized drugs from HSI crime scenes to the Gwinnett County evidence vault, and obtaining arrest warrants for drug traffickers.
On February 23, 2017, an HSI investigation resulted in the seizure of three kilograms of cocaine following a high-speed car chase and crash on I-285. HSI identified the suspected owner of the cocaine, even though he fled from the crash and was not apprehended. HSI agents tasked Riggins with transporting the cocaine to the Gwinnett County evidence vault. The next day, Riggins allegedly checked only one kilogram of cocaine into evidence, not three, and he failed to secure a warrant for the arrest of the cocaine trafficker.
On July 14, 2017, an HSI investigation resulted in the seizure of approximately six kilograms of methamphetamine from an Atlanta hotel room. An HSI agent again tasked Riggins with transporting the methamphetamine to the Gwinnett County evidence vault; however, none of the methamphetamine was subsequently checked into evidence.
Riggins also allegedly made false documents and statements in relation to the cocaine theft, for the purpose of covering up his theft of those drugs. In particular, the indictment alleged that Riggins created and submitted a falsified evidence form to the GCSO, Riggins presented a false court order to the Magistrate Court of Gwinnett County, and made two false statements to HSI agents, all to prevent prosecutors from discovering the missing drugs.
Riggins’s role at HSI ended in early 2018, and his employment with the GCSO ended after these alleged actions came to the attention of law enforcement.
Antione Riggins, 40, of Loganville, Georgia, was arraigned before U.S. Magistrate Judge Catherine M. Salinas. The defendant was indicted by a federal grand jury in the Northern District of Georgia on September 24, 2019, on charges of possession with intent to distribute controlled substances, unlawfully removing property to prevent government seizure, and making false statements and documents.
Members of the public are reminded that the indictment only contains charges. The defendant is presumed innocent of the charges and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial.
The Federal Bureau of Investigation, Department of Homeland Security - Office of the Inspector General, the Georgia Bureau of Investigation, and the Gwinnett County District Attorney’s Office are investigating this case.
Assistant United States Attorney Trevor C. Wilmot is prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Former VA Supply Technician Sentenced to Federal Prison for Theft of Government MoneyRead the Press Release
GAINESVILLE, FLORIDA – United States Attorney Lawrence Keefe for the Northern District of Florida today announced the sentencing of Caron Griffis, 44, of Melrose, Florida, after she pleaded guilty in U.S. District Court in Gainesville to a charge of theft of government money.
Griffis, who was employed by the U.S. Department of Veterans Affairs (VA) as a supply technician at the Gainesville VA Medical Center, was responsible for purchasing supplies for the center from outside vendors. Griffis’ responsibilities required that government purchase cards be issued in her name. She was also responsible for completing internal purchase orders and reconciliation documents for each transaction that would be charged to her VA purchase cards.
For over a year, Griffis utilized her VA-issued purchase cards to obtain unauthorized items from retail stores, including Walmart and Office Depot, both in person and online. She also created false reconciliation forms in the VA computer system in an attempt to justify the transactions and avoid being caught.In addition to receiving a sentence of one month in federal prison, five months home detention, and two-half years supervised release, Griffis was ordered to pay restitution to the VA in the amount of $26,456.11, to Office Depot in the amount of $6,260.47, and to Walmart in the amount of
$3,310.08.Assistant United States Attorney Justin M. Keen prosecuted the case, which was investigated by the
Department of Veterans Affairs Office of Inspector General (VA-OIG). David Spilker, Special Agent in Charge with VA-OIG, said, "Griffis’ deceitful actions violated the public’s trust and stole from
VA’s limited resources, which are needed to care for our nation’s veterans. The Inspector General’s
Office is committed to safeguarding the integrity of VA’s procurement programs."The United States Attorney’s Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of
Florida website. For more information about the United States Attorney’s Office, Northern
District of Florida, visit http://www.justice.gov/usao/fln/index.html.Former Social Security Administration Employee Pleads Guilty to Obtaining Unauthorized BenefitsRead the Press Release
FRESNO, Calif. — Martin Hernandez, 45, of Selma, pleaded guilty on Monday to one count of wire fraud in connection with a scheme to fraudulently obtain unauthorized Social Security benefit payments, U.S. Attorney McGregor W. Scott announced.
According to court documents, Hernandez met Social Security benefit recipients through his employment at the Social Security Administration. Hernandez recruited certain recipients to receive fraudulent payments in addition to the benefits that they were entitled to receive. These recipients agreed to return a substantial amount of the money they received from the fraudulent payments back to Hernandez. Hernandez electronically initiated the payments from his workstation at the Social Security Administration offices where he worked. After Hernandez caused the beneficiaries to receive the fraudulent overpayments, he would instruct them to meet him in person to give him cash. During the course of the scheme, Hernandez caused the Social Security Administration to make unauthorized payments of over $446,000.
This case is the product of an investigation by the Social Security Administration, Office of Inspector General. Assistant U.S. Attorney Mark J. McKeon is prosecuting the case.
Hernandez is scheduled to be sentenced by U.S. District Judge Dale A. Drozd on Jan. 13, 2020. Hernandez faces a maximum statutory penalty of 20 years in prison and a $250,000 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Former Pine Ridge Indian Health Services Pediatrician Convicted of Multiple Sex Offenses Against ChildrenRead the Press Release
RAPID CITY, SD – United States Attorney Ron Parsons announced that Stanley Patrick Weber, age 70, of Spearfish, South Dakota, was found guilty by a federal jury of 5 counts of Aggravated Sexual Abuse and 3 counts of Sexual Abuse of a Minor following a week-long jury trial in Rapid City, South Dakota.
Aggravated Sexual Abuse carries a penalty of a mandatory minimum of 30 years up to life in federal prison and/or a $250,000 fine, a minimum of 5 years up to lifetime supervised release, and a $500 special assessment to the Federal Crime Victims Fund. Sexual abuse of a minor carries a penalty of 15 years in federal prison and/or a $250,000 fine, a minimum of 5 years up to lifetime supervised release, and a $100 special assessment to the Federal Crime Victims Fund for each count. Restitution may also be ordered.
Evidence at trial established that Weber, while employed as a pediatrician with the Indian Health Services at Pine Ridge, sexually abused minors between 1999 and 2011.
“This defendant is the worst kind of sexual predator: a person placed in a position of trust – a pediatrician – who abused that position to rape and sexually assault the children entrusted to his care,” said U.S. Attorney Parsons. “I want to commend the courage and bravery of the men who came forward to testify about what happened to them as boys. I know that the jury’s unanimous verdict has brought them some measure of justice. I hope that it will bring them some measure of peace. Let us never forget that with the justice granted by these convictions comes an obligation shared by us all. We must resolve to do everything we can to ensure that nothing like this can ever happen again to any of our children in any of our communities.”
This case was investigated by the United States Health and Human Services, Office of Inspector General and the Bureau of Indian Affairs, Office of Justice Services. Assistant United States Attorneys Sarah B. Collins and Eric Kelderman prosecuted and tried the case. A sentencing date is set for February 10, 2020. Weber was remanded to the custody of the U.S. Marshals Service pending sentencing.
Former Olympic Athlete and Track Coach Sentenced to 20 Years in Prison for Unlawful Sexual Activity with a StudentRead the Press Release
SAN JUAN, P.R. – United States District Court Judge Francisco A. Besosa sentenced Alexander Greaux-Gómez to 20 years in prison followed by a supervised release term of 15 years for sexual enticement of a minor, and transportation with intent to engage in criminal sexual activity, announced United States Attorney Rosa Emilia Rodríguez-Vélez. On May 22, 2019, after a three-day jury trial, Greaux-Gómez was found guilty. The case was prosecuted by Assistant United States Attorney Ginette Milanés.
On February 9, 2017, U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) special agents, working jointly with Puerto Rico Police Department’s Division of Sexual Crimes in Guayama, and prosecutors from the Puerto Rico Department of Justice, arrested Greaux-Gómez, former teacher and track and field coach of the Salinas’s specialized sports school, “Albergue Olímpico,” for sexual enticement of a minor and production of child pornography.
During the trial, the government’s evidence proved that the female minor first met the defendant when she was in 7th grade and went to train and attend boarding school at “Albergue Olímpico.” The defendant, a former Olympic athlete, took a special interest in the minor. This interest became personal and then eventually sexual in nature. The minor was 15 years old and the defendant was 39 when he began preying on her and convincing her to engage in sexual acts at the school, in his car, and at an abandoned home school he once operated.
The defendant also communicated with the minor over WhatsApp about the secrecy of their relationship and would send extremely sexually graphic communications to her.
“The defendant was entrusted by the families of our community to care for their children and act as a role model. He betrayed that trust in the most profound way – by preying on a student he was supposed to protect. This sentence should serve to reassure the public that we are paying close attention to the well-being of our children, and that we will spare no expense to take child predators off the streets,” said United States Attorney for the District of Puerto Rico, Rosa Emilia Rodríguez-Vélez. “We will continue to focus on protecting our children from the depraved individuals who would seek to abuse them.”
# # #
Former NNS Inspector Plead Guilty to Falsely Certifying WeldsRead the Press Release
NEWPORT NEWS, Va. – A Suffolk man pleaded guilty today to making a false statement in a matter within the jurisdiction of the United States.
According to court documents, in November 2012, Joseph Powell, 29, was hired by Newport News Shipbuilding to be a Non-Destructive Test (NDT) Inspector, in Newport News. As an NDT Inspector, Powell performed weld inspections on vessels such as Virginia Class Submarines and Aircraft Carriers. Powell had extensive training on and familiarity with the proper protocol for types of weld inspections. To track and ensure quality control with inspections, NDT Inspectors certify their inspections using NNS’s Electronic Record System (“ERS”). ERS falls within the jurisdiction of the United States Navy and the Department of Defense.
In June 2016, NNS received information that Powell appeared to have certified the inspection of a weld joint in ERS without conducting the requisite inspection protocol. As a result of this information, NNS initiated an inquiry/inspection. Various welds certified by Powell in ERS subsequently were investigated by NNS in June 2016, which led to the identification of additional welds that were not in acceptable condition for inspection, did not contain the required physical markings indicating an inspection had been completed, nor had residue or powder on or around the job from the inspection equipment.
Numerous NDT weld joints certified by Powell in ERS were re-inspected. The re-inspections revealed that a number of weld joints previously certified by Powell as being satisfactory were, in the opinion of the personnel who did the re-inspections, in fact, unsatisfactory, as these weld joints contained indications or defects subject to rejection, and specifically required repair by a welder. Powell agreed, for sentencing purposes, that the estimated loss to the United States attributable to his false certifications of weld inspections from in or about December 2015 through June 2016 is approximately $43,500.
Powell pleaded guilty to false statements and faces a maximum of five years in prison when sentenced on Jan. 15, 2020. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Cliff Everton, Special Agent in Charge of the Naval Criminal Investigative Service (NCIS) Norfolk Field Office, and Robert Craig, Special Agent in Charge for Defense Criminal Investigative Service Mid-Atlantic Field Office, made the announcement after U.S. District Judge Raymond A. Jackson accepted the plea. Assistant U.S. Attorney Brian J. Samuels is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:19-cr-40.
Former Jackson County Treasurer Sentenced to Prison for Identity Theft and Wire Fraud SchemeRead the Press Release
The former treasurer of Jackson County, Kentucky, was sentenced today to 45 months in prison followed by three years of supervised release.
U.S. District Judge Claria Horn Boom sentenced Beth N. Sallee, 39, of McKee, Kentucky, in the U.S. District Court for the Eastern District of Kentucky. Sallee was also ordered to pay $161,808.23 in restitution for devising a multi-year scheme to defraud the Jackson County Fiscal Court of over $160,000 and for misusing the identity of a Jackson County employee to facilitate her theft.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, United States Attorney Robert M. Duncan of the Eastern District of Kentucky, Special Agent in Charge James Robert Brown Jr. of the FBI’s Louisville Field Division and Richard Sanders, Commissioner of the Kentucky State Police, made the announcement.
Sallee pleaded guilty on Feb. 4, 2019, to one count of wire fraud and one count of aggravated identity theft. As part of her plea, Sallee admitted that beginning in 2013, she misused her position to write a number of checks, totaling approximately $161,808.23, payable to herself without the approval of the Jackson County Fiscal Court. Sallee proceeded to either deposit these checks into her personal checking account or exchange these checks for cash. The unauthorized checks drew on various Jackson County Fiscal Court accounts, including the Department of Emergency Services grant, payroll and general fund accounts.
To enable her scheme, Sallee forged the signature of other Jackson County employees on unauthorized checks without their knowledge or permission. She later attempted to conceal her scheme by removing pages of Jackson County financial documents, obscuring page numbers with Wite-Out and requesting the deletion of check images from bank statements that were to be given to an auditor.
The FBI and the Kentucky State Police conducted the investigation. Trial Attorney Jessica C. Harvey of the Criminal Division’s Public Integrity Section and Assistant U.S. Attorney Andrew T. Boone of the Eastern District of Kentucky prosecuted the case.
Former Jackson County Treasurer Sentenced to Prison for Identity Theft and Wire Fraud SchemeRead the Press Release
LONDON, Ky.—The former treasurer of Jackson County, Kentucky, was sentenced today to45 months in prison followed by three years of supervised release and ordered to pay $161,808.23 in restitution for devising a multi-year scheme to defraud the Jackson County Fiscal Court of over $160,000 and for misusing the identity of a Jackson County employee to facilitate her theft.
Beth N. Sallee, 39, of McKee, Kentucky, was sentenced in the U.S. District Court for the Eastern District of Kentucky by U.S. District Judge Claria Horn Boom. Sallee pleaded guilty on Feb. 4, 2019, to one count of wire fraud and to one count of aggravated identity theft. As part of her plea, Sallee admitted that beginning in 2013, she misused her position to write a number of checks, totaling approximately $161,808.23, payable to herself without the approval of the Jackson County Fiscal Court. Sallee deposited these checks into her own personal checking account or for cash. The unauthorized checks drew on various Jackson County Fiscal Court accounts, including the Department of Emergency Services grant, payroll, and general fund accounts.According to the plea agreement, in order to enable her scheme, Sallee forged the signature of other Jackson County employees on unauthorized checks without their knowledge or permission. She later attempted to conceal her scheme by removing pages of Jackson County financial documents, obscuring page numbers with white-out, and requesting the removal of check images from bank statements that were to be given to an auditor.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, United States Attorney Robert M. Duncan, Jr., for the Eastern District of Kentucky, and Special Agent in Charge James Robert Brown, Jr. of the FBI’s Louisville, Kentucky Field Division and Richard W. Sanders, Commissioner of the Kentucky State Police, made the announcement.
“This case presents another example of a selfish and corrupt official, who stole taxpayer money and spent it on herself,” said United States Attorney Duncan. “Disgraceful conduct like this erodes the public’s faith in government institutions and causes lasting damage. Combatting these betrayals of trust is critical, both to holding people accountable and to repairing the public’s faith. Prosecuting public corruption will remain a fundamental priority for our Office.”
The investigation was conducted by the FBI and the Kentucky State Police. Trial Attorney Jessica C. Harvey of the Criminal Division’s Public Integrity Section and Assistant U.S. Attorney Andrew T. Boone of the Eastern District of Kentucky prosecuted the case.
# # #
Former Credit Union Teller and Co-Conspirator Sentenced to Federal Prison for Bank Fraud and Identity TheftRead the Press Release
NASHVILLE, Tenn. – October 1, 2019 – Nicole C. Walker, 40, of Clarksville, Tennessee, was sentenced yesterday in U.S. District Court to three years in prison for conspiracy to commit bank fraud and aggravated identity theft, announced U.S. Attorney Don Cochran for the Middle District of Tennessee. LaToya Chambers, 43, of Nashville, Tennessee, also charged in this case, was sentenced in August to 30 months in prison. Both pleaded guilty earlier this year. U.S. District Judge Eli J. Richardson also ordered the defendants to pay $84,416.00 in restitution.
Chambers, a former teller at NGH Credit Union, (now Cornerstone Financial Credit Union) and Walker were indicted on December 19, 2018, after an investigation determined that Chambers had used her position to obtain personal identifying information of credit union customers. During their plea hearings, Chambers and Walker admitted that from March 2018 through July 2018, Chambers shared the personal information that she had obtained with Walker, who used the identities to make fraudulent withdrawals from the victims’ credit union accounts without their knowledge. Chambers and Walker divided the proceeds of many of the fraudulent transactions between themselves. Several of the credit union customers were elderly and had accumulated assets. According to court records, the financial institutions involved in these transactions lost over $80,000. Walker also used some of the stolen identities to conduct other personal transactions outside of the credit union.
This case was investigated by the Federal Bureau of Investigation and prosecuted by Assistant U.S. Attorney Christopher C. Sabis. This case is supported by the Department of Justice’s Elder Justice Initiative, which coordinates the Department’s activities combatting elder abuse, neglect, and financial exploitation. This case is a product of the Elder Justice Task Force of the United States Attorney’s Office for the Middle District of Tennessee. For more information about the Department’s Elder Justice Initiative and the Elder Justice Task Force, see https://www.justice.gov/elderjustice/ and https://www.justice.gov/usao-mdtn/elder-justice-task-force .
# # # # #
Former Banker Sentenced to 18 Months in Federal Prison for FraudRead the Press Release
WILMINGTON, Del. – David C. Weiss, United States Attorney for the District of Delaware, announced today that on Monday, September 30, 2019, District Judge Richard G. Andrews sentenced Tae Kim, age 49, of Wayne, Pennsylvania, to an 18-month prison sentence for bank fraud and conspiracy to commit bank fraud. The Court also ordered Kim to pay mandatory restitution of at least $2,459,150.49, and to serve three years of supervised release following his sentence.
Kim, a former relationship manager (loan officer) for Citibank and WSFS Bank, pleaded guilty in August 2017, to committing bank fraud in connection with loans obtained by one of his customers, Dr. Zahid Aslam. Kim’s conduct involved allowing Aslam to use third-party nominees to obtain loans on Aslam’s behalf at Citibank and WSFS Bank. These loans, which Aslam could not have otherwise qualified for on his own, fueled the growth of his medical practices. Kim acknowledged that he was responsible for additional misconduct, including: (1) submitting false information about Aslam’s available deposits at Citibank in connection with a loan application at another bank, which was eventually declined; and (2) falsifying the scope of Aslam’s liabilities in connection with multiple loans at WSFS Bank. Aslam’s loans eventually went into default. Aslam pleaded guilty, acknowledged making false statements to Citibank and WSFS Bank, and received a sentence of 30 months imprisonment.
In imposing sentence on Kim, Judge Andrews stated that “loan officers at banks are supposed to protect the bank’s interests and act as the first line of defense.” Instead, defendant Kim was “working for Dr. Aslam, not the banks, when it came to Dr. Aslam’s loans.” The Court told Kim, “This was a very rewarding relationship for you,” and that there was “a strong element of greed here.” The Court referenced Kim’s status as a banking professional in noting that a prison sentence was important to place other bankers on notice of the consequences of committing criminal conduct during their employment. As a result of his criminal conviction, Kim agreed to a bar from working in the banking industry.
U.S. Attorney Weiss stated the following, “We couldn’t agree more with the Court that banking professionals have a special responsibility to safeguard the interest of financial institutions in protecting depositor funds. Here, Mr. Kim placed greed and his own financial needs over prudent banking. His conduct resulted in significant losses to Citibank and WSFS, for which he was punished appropriately by the Court. My Office will continue to exercise vigilance in protecting the integrity of the banking system. I commend the hard work of the agents and prosecutors who helped bring Mr. Kim and Dr. Aslam to justice.”
"The FBI remains committed to working with our local, state and federal law enforcement partners in Delaware to protect our nation’s financial security, to include aggressively pursuing those who defraud our banking institutions,” said Special Agent in Charge Jennifer Boone of the FBI’s Baltimore Division. “This defendant abused his position as a loan officer and will now serve federal jail time for his fraudulent actions.”
“The IRS Criminal Investigation stands ready to partner with all law enforcement agencies to combat fraud against financial institutions,” said IRS-CI Special Agent in Charge Guy Ficco. “Those considering similar behavior should be aware of the steep penalties, which often include jail time.”
The case was investigated by the FBI Baltimore Division’s Wilmington Office and the Internal Revenue Service – Criminal Investigations Division, the Federal Housing Finance Agency – Office of Inspector General, and the Federal Deposit Insurance Commission – Office of Inspector General.
Florissant Man Charged with Federal Drug and Firearm ChargesRead the Press Release
St Louis - Dayon J. Fips, 37, of Florissant, Missouri, pleaded guilty to multiple criminal counts before United States District Judge John A. Ross today. His sentencing has been set for January 10, 2020.
According to court documents, on July 31, 2018, Fips distributed fentanyl to victim N.B. who ingested that fentanyl and died as a result. The investigation into N.B.’s death determined that, on the date of his death, N.B. contacted Fips multiple times via mobile phone. Shortly before N.B.’s death, Fips picked up N.B. at his residence, drove N.B. to a bank and then returned N.B. to his residence. Ninety minutes later, N.B.’s father called 911 after finding his son unresponsive in the family’s basement. N.B. died of acute fentanyl intoxication.
Following N.B.’s death, Fips distributed fentanyl on multiple occasions to a confidential informant. In connection with those sales, Florissant Police executed a search warrant at Fips’ residence in the 8800 block of Harold in Berkeley, Missouri, in August 2018. Officers recovered heroin, fentanyl, multiple firearms, and body armor. Fips was on parole to the Missouri Department of Corrections for Robbery in the First Degree at the time of N.B.’s death and when the warrant was executed. During an interview with police, Fips admitted that he knew N.B. and had sold N.B. drugs on multiple occasions.
After Fips was arrested, incarcerated and awaiting trial, Fips attempted to tamper with one or more witnesses connected to the investigation. Fips’ efforts were detected and prevented by jail staff. In court today, Fips admitted that he attempted to induce others to give false testimony.
Following today’s guilty plea, Florissant Police Department Chief Timothy Fagan stated, “Mr. Fips’ conduct resulted in the loss of one life and presented a danger to countless others. Even incarceration did not deter Mr. Fips’ conduct, and we are grateful to the jail staff for their diligent efforts, which thwarted an attempt to tamper with a witness. His continued criminal conduct while on parole must be met with serious consequences.”
Fips pleaded guilty to one count of felon in possession of a firearm, one count of ownership of body armor by violent felons, one count of possession with intent to distribute a controlled substance drug and one count of influencing testimony of any person in an official proceeding.
Felon in possession charges carries a penalty of not more than 10 years and a fine of $250,000; ownership of body armor carries a penalty of not more than three years and a fine of $250,000; possession with intent to distribute carries a penalty of not more than life and a fine not more than $1,000,000; and influencing testimony carries a penalty of not more than life and a fine of $250,000.
The Florissant Police Department is handling the case.
Five Members of a Talladega-based Heroin, Cocaine, and Methamphetamine Conspiracy ArrestedRead the Press Release
BIRMINGHAM -- Federal and local law enforcement today arrested 5 of 12 defendants indicted in September as part of a conspiracy to distribute heroin, cocaine, and methamphetamine sourced from Mexico, announced U.S. Attorney Jay E. Town and DEA Assistant Special Agent in Charge Clay Morris.
Today's arrests bring the number of people arrested to 10, as a result of the nearly three-year Organized Crime Drug Enforcement Task Force investigation into the Talladega-based drug-trafficking conspiracy.
A 21-count indictment filed in U.S. District Court charges PATRICK NOLAN “YoYo” McSwain, 50, of Talladega, NOLBERTO ORTEGA, 54, of Chicago, Ill., EDGAR AGUILAR-TERRAZAS, 31, of Mexico, JOSE FERNANDO PEREZ LEYVA, 30, of Ind., AMANDA DENISE CONNELL, 33, KELVIN DENARD CHATAM, 36, AMECHE LASHUAN “Meche” CURRY, 50, LASHONDA RENEA WHITE, 40, MICHAEL TWYMON, 49, ROBERT SHURONE CHATMAN, 40, FLEMMINGS “Boobang” CHATMAN, 37, all of Talladega, and CHRISTOPHER LANE, with conspiracy to distribute drugs including heroin, methamphetamine, and cocaine between May 2017 and July 2019. The indictment also charges four defendants with money laundering and six defendants with using a telephone to facilitate a drug-trafficking crime.
“Today’s arrests are an important step in reducing the flow of heroin, cocaine and methamphetamines, sourced from Mexico, into the Northern District of Alabama,” Town said. “These dealers will go to extreme lengths to profit from this deadly poison with no regard to the pain and ruin they leave behind. To the drug traffickers out there, you’ll have company soon.”
“This investigation and the subsequent indictments are a clear example of the drug pipeline running directly from Mexico to Alabama and specifically Talladega,” Morris said. “The size, scope and magnitude of the McSWAIN Drug Trafficking Organization cannot be understated. Literally, weekly shipments of methamphetamine, cocaine and heroin were pouring into Talladega county. Those arrested today could care less about the countless lives they tragically affected. Their sole purpose of existence was selling poison and making money. Fortunately, DEA and the Talladega Drug Task Force has found a new home for them…prison.”
The indictment includes special findings of the grand jury regarding the amount of heroin, cocaine, and methamphetamine attributable to various defendants as part of the drug-trafficking conspiracy.
Ortega, McSwain, and Terrazas, are charged with conspiring to traffic five kilograms or more of cocaine.
Ortega, McSwain, Leyva, and Connell are charged with conspiring to traffic one kilogram or more of heroin.
Kelvin Chatman, Curry, Robert Chatman, and White are charged with conspiring to traffic five hundred grams or more of methamphetamine.
Ortega, Kelvin Chatman, and McSwain are charged with conspiring to traffic four hundred grams or more of fentanyl.
The leaders of the organization, McSwain and Ortega, were already in custody on federal charges related to a large seizure of cocaine and heroin on July 7th. DEA agents arrested McSwain after he met with a drug courier coordinated by Ortega. Agents found 16 kilograms of cocaine and one kilogram of heroin in McSwain’s vehicle. Agents then executed on search warrant on Mcswain’s home in Talladega, Alabama and discovered two kilograms of heroin, 383.8 grams of cocaine, 267.1 grams of marijuana, 884.4 grams of methamphetamine, two drug presses, multiple cellphones, scales, a handgun, and an AR-15 rifle.
After McSwain’s arrest DEA agents intercepted two drug shipments coordinated by Ortega on July 10th and July 12th. On July 10th Ortega sent a drug courier from Mexico that was intercepted by DEA in Jefferson County with six kilograms of cocaine. On July 12th Ortega coordinated the shipment of a wooden crate intercepted by DEA in Jefferson County containing seven kilograms of heroin. Both shipments were intended for McSwain and distribution in Northern Alabama.
Through investigation, the DEA identified McSwain as the source of supply of heroin and methamphetamine to a drug trafficking organization led by Kelvin Denard “Cabo” Chatman in Talladega. In October of 2018, DEA agents intercepted a shipping crate sent to north Alabama by Ortega. DEA agents obtained a search warrant and found 69 kilograms of methamphetamine and two kilograms of fentanyl inside the wooden crate. The wooden crate was addressed to a car lot owned by Chatman.
The maximum penalty for conspiracy and possession with intent to distribute a controlled substance is life in prison. The minimum prison penalty for possessing a firearm in furtherance of a drug-trafficking crime is five years in prison, which must be served after completion of any other sentenced related to the crime. The maximum penalty for being a convicted felon in possession of a firearm is 10 years in prison.
The penalty for money laundering is a maximum of 20 years in prison and a $250,000 fine.
Each count of using a telephone in furtherance of a drug-trafficking crime carries a maximum penalty of four years in prison.
The DEA and other law enforcement agencies have seized a total of 81 kilograms of methamphetamine, 22 kilograms for cocaine, 11 kilograms of heroin, two kilograms of fentanyl, and 150 pounds of marijuana as a part of the investigation.
Defendants Curry and Twymon are currently fugitives from justice.
The DEA and Talladega County Drug Task Force investigated the case, which Assistant U.S. Attorneys M. Blake Milner and Austin D. Shutt are prosecuting.
An indictment contains only charges. Defendants are presumed innocent unless and until proven guilty.
###
Fishing Vessel Crew Member Held for Assault on the High Seas After Allegedly Stabbing Ship's Captain Off Pensacola CoastRead the Press Release
PENSACOLA, FLORIDA – United States Attorney for the Northern District of Florida Lawrence Keefe today announced a criminal complaint against Robert Odom, a crew member on a commercial fishing vessel who allegedly attacked and wounded the vessel’s captain with a pellet gun and long-blade knife as the vessel was underway in the Gulf of Mexico off Pensacola. The criminal complaint against Odom, 46, was lodged by the United States Coast Guard Investigative Service.
Odom is being held by the United States Marshals Service pending a detention and probable cause hearing on Thursday, October 3, 2019, at 2:30 pm CST at the United States Courthouse in Pensacola.
According to the complaint, the vessel was at sea approximately 20-26 nautical miles south-southeast of Perdido Pass, with a captain and two crew members. While fishing shortly before 9:30 pm on Friday, September 27, Odom allegedly shot the captain in the chest with a pellet rifle and then, after a struggle, stabbed the captain twice, causing "immediate, profuse bleeding." Coast Guard and Florida Fish and Wildlife Conservation Commission officers responded to a call for help, and Coast Guard personnel administered first aid to the captain. The captain was taken by helicopter to Sacred Heart Hospital in Pensacola. Odom was taken into custody by the United States Coast Guard Investigative Service.
A criminal complaint is merely an allegation that a defendant has committed a violation of federal criminal law and is not evidence of guilt. All defendants are presumed innocent and entitled to a fair trial, during which it will be the government’s burden to prove guilt beyond a reasonable doubt at trial.
This case was investigated by the United States Coast Guard Investigative Service. Assistant United States Attorney Ryan Love is prosecuting the case.
The United States Attorney’s Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
Federal Jury Convicts “Father of Identity Theft”Read the Press Release
Memphis, TN – After a week-long federal jury trial, James Jackson, 58, of Memphis, Tennessee was found guilty of 13 counts of mail fraud, aggravated identity theft, access device fraud and theft of mail. U.S. Attorney D. Michael Dunavant announced the conviction today.
According to the information presented in court, in 2014-2015, Jackson devised a scheme to steal money from banks, financial companies and other individuals. Jackson obtained the personal identifying information of numerous individuals, most of whom were deceased, and used this information to take over the victims’ financial accounts (stock, credit card, and bank accounts). Jackson would search online obituaries and noteworthy articles to discover the identities of recently deceased individuals and then he would research the individuals to determine if they had any credit accounts or financial investment accounts. He would then impersonate the victims (both male and female) and use their information when contacting customer service representatives of banks, credit card and financial firms. Jackson would convince the businesses to mail new bank/credit cards to other addresses (vacant homes and hotels in Memphis area) and also caused the sale of over $340,000 of stock out of one victim’s investment account. Jackson recruited another individual to use the cards to withdraw funds from the victim accounts and to purchase gift cards.
On February 27, 2015, Jackson called the Cordova Post Office claiming to be a Charles Fulks and inquired about a credit card package that should have been delivered the day before to 10022 Cameron Ridge Trail. United States Postal Inspectors and members of the Tennessee Highway Patrol Identity Crimes Unit determined this was an imposter because the true Charles Fulks had died on February 2, 2015 and the 10022 Cameron Ridge Trail address was a vacant house at the time. Later, agents watched the package containing credit cards be delivered to the mailbox at 10022 Cameron Ridge Trail. Twelve hours later, agents observed Jackson emerge from a house at 10027 Cameron Ridge Trail and walk across the street to retrieve the credit card package from the mailbox and then went back into his residence. No one answered the door when agents announced their presence. Later, agents noticed smoke coming out of the home. Agents eventually located Jackson in the house pretending to be asleep. Numerous small fires had been set throughout the house in what appeared to be an attempt to destroy evidence.
U.S. Attorney D. Michael Dunavant said, "Aggravated identity theft and schemes to defraud or compromise the personal and financial security of vulnerable and deceased victims will not be tolerated. This case demonstrates our commitment to protect the personal and financial information of citizens and institutions, and to hold offenders accountable for these disturbing crimes of dishonesty. We are pleased to work with our federal, state, and local law enforcement partners to achieve justice for the victims in this case."
In the home, agents located items associated with identity theft, including documents and a guide entitled "How to Find Anyone and Anything" and computers. A search of Jackson’s computers revealed that he had been researching the deceased victims. This was done through use of numerous online obituary sites and nationwide news articles. In a subsequent search of Jackson’s mother’s house, agents found a box of Jackson’s business cards, wherein he claimed to be the "Father of Identity Theft." A copy of the business card was introduced by the government as an exhibit at trial, and a copy of the same is included below in this release.
Based upon this conviction and his prior federal convictions for mail fraud, credit card fraud and bank fraud from the Southern District of New York, and mail fraud, credit card fraud and social security fraud from the Western District of Tennessee, Jackson is facing up to 30 years in prison.
Sentencing is scheduled for December 13, 2019, before U.S. District Court Judge John T. Fowlkes Jr.
The United States Postal Inspection Service (USPIS), the Tennessee Department of Safety and Homeland Security, Tennessee Highway Patrol and the Memphis Police Department investigated this case.
Assistant U.S. Attorney Stephen Hall prosecuted this case on behalf of the government.
###
Ellicott City Man Pleads Guilty to Federal Charge for Attempted Possession of Child PornographyRead the Press Release
Baltimore, Maryland – Mark David Franklin, age 44, of Ellicott City, Maryland, pleaded guilty today to the federal charge of attempted possession of child pornography.
The guilty plea was announced by United States Attorney for the District of Maryland Robert K. Hur and Special Agent in Charge Jennifer C. Boone of the Federal Bureau of Investigation, Baltimore Field Office.
According to his guilty plea, between September 7 and October 10, 2018, Franklin used online applications to attempt to induce an individual he believed to be a 13-year-old girl to engage in sexually explicit activity and send Franklin photos of the sexual conduct. In fact, Franklin was communicating with an undercover FBI Special Agent.
As detailed in his plea agreement, Franklin engaged in sexually explicit conversations with the minor female, sent her sexually explicit photographs of himself, and requested that she send him sexually explicit photographs of herself. During their conversations, Franklin also discussed meeting in person to engage in sex acts and described the photographs he wished to take during their sexual encounter.
On October 10, 2018, Franklin traveled from Ellicott City to Frederick, Maryland, to meet and engage in sex acts with the 13-year-old girl. When Franklin arrived at the agreed-upon location, he was arrested. At the time of his arrest Franklin was in possession of a teddy bear requested by the 13-year-old girl, condoms, two blankets, and a towel.
Franklin faces a maximum sentence of 10 years in prison. U.S. District Judge Catherine C. Blake has scheduled sentencing for December 17, 2019 at 10:15 a.m.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about Internet safety education, please visit www.justice.gov/psc and click on the "Resources" tab on the left of the page.
United States Attorney Robert K. Hur commended the FBI’s Child Exploitation Task Force for their work in the investigation and thanked the Frederick City Police Department for its assistance. Mr. Hur thanked Assistant U.S. Attorneys Daniel A. Loveland, Jr. and Paul E. Budlow, who are prosecuting the federal case.
# # #
Drug Trafficking Organization Member Is Going to Prison for Selling Cocaine, Crack Cocaine, and HeroinRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Christopher Harrison, 25, of Rochester, NY, who was convicted of conspiracy to possess with intent to distribute, and distribution of, 40 grams or more of fentanyl, and 28 grams or more of crack cocaine, cocaine, and heroin, was sentenced to serve 94 months in prison by Chief United States District Court Judge Frank P. Geraci, Jr.
Assistant U.S. Attorney Matthew T. McGrath, who handled the case, stated that the defendant conspired with Michael Wyatt, who would obtain quantities of fentanyl, cocaine, and heroin from various suppliers, and Andre Cunningham. After obtaining the drugs, Wyatt and Cunningham supervised and directed the distribution and sale of them to individual drug users. Harrison was responsible for processing, breaking down, and re-packaging the controlled substances into smaller quantities to be sold to individual drug users out of houses at 218 Emerson Street and 131 Saratoga Avenue in Rochester. The defendant was also responsible for selling the controlled substances to individual buyers. At times, Harrison also “cooked” the crack cocaine.
Michael Wyatt and Andre Cunningham were previously convicted and are awaiting sentencing.
The sentencing is the result of an investigation by Bureau of Alcohol, Tobacco, Firearms & Explosives, under the direction of Special Agent-in-Charge John B. Devito, New York Field Division; the Monroe County Sheriff’s Office, under the direction of Sheriff Todd K. Baxter; and the Rochester Police Department, under the direction of Chief La’Ron D. Singletary. Additional assistance was provided by the Monroe County District Attorney’s Office, under the direction of District Attorney Sandra Doorley.
# # # #
Downey Man Sentenced to Ten Years in Federal Prison for Possessing Sexually Explicit Images of MinorsRead the Press Release
POCATELLO – James Clifford Goodwin, III, 46, of Downey, Idaho, was sentenced in U.S. District Court to 120 months in prison followed by a lifetime of supervised release for possessing sexually explicit images of minors, U.S. Attorney Bart M. Davis announced today. Goodwin was sentenced by Chief U.S. District Judge David C. Nye. Goodwin pleaded guilty on January 16, 2019.
According to court records, law enforcement agents searched Goodwin’s Downey residence in October 2017. Agents discovered that Goodwin had cell phones and other electronic storage devices. During a forensic search of Goodwin’s phones, agents found 33 images of child pornography. At Goodwin’s change of plea hearing, he admitted to knowingly possessing the images. At the time of the search, Goodwin was on supervised release for a federal felony conviction for possessing child pornography. The terms of his supervised release prohibited him from possessing any electronic storage devices or cell phones.
At sentencing, Judge Nye ordered Goodwin to forfeit the phones used in the commission of the offense. As a result of his conviction, Goodwin will be required to register as a sex offender.
This case was investigated by Homeland Security Investigations in Idaho Falls, and was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims.
For more information about Project Safe Childhood, please visit www.usdoj.gov/psc.
For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab “resources.”
# # #
District Man Sentenced to 102 Months in Prison for Traffic Fatality in Northeast WashingtonRead the Press Release
WASHINGTON – Robert E. Little, 25, of Washington, D.C., was sentenced today to eight and a half years in prison on a charge of voluntary manslaughter in a crash that killed bicyclist, David Salovesh in Northeast Washington, announced U.S. Attorney Jessie K. Liu and Peter Newsham, Chief of the Metropolitan Police Department (MPD).
Little pled guilty on July 23, 2019, in the Superior Court of the District of Columbia. The plea, which was contingent upon the Court’s approval, called for the eight and a half years prison sentence, which was agreed upon by the government and the defense. The Honorable Craig Iscoe accepted the plea and sentenced Little accordingly.
According to the government’s evidence, the fatal crash occurred on Friday, April 19, 2019, at approximately 10:15 a.m. Uniformed MPD officers in a marked cruiser attempted to stop the van that Little was driving earlier near the intersection of Bladensburg Road and Benning Road NE, because the van was reported stolen from Maryland the day before. When officers activated their emergency lights behind Little’s van, he fled from police, turning west onto Florida Avenue NE. For safety concerns, officers discontinued their attempt to stop the van, after realizing that the van was not going to stop.
Continuing to flee, Little drove at a high rate of speed west in the 1200 block of Florida Avenue NE. He ran a red light at the intersection of Florida Avenue, 12th Street and Montello Avenue, and struck a vehicle that was driving through the intersection with the green light. The collision caused Little’s van to be redirected, and it struck the victim, David Salovesh, who had been riding a bicycle and was stopped at the red light waiting to continue east bound on Florida Avenue. During the crash, Little’s van dragged Mr. Salovesh’s body, struck a tree, a trash can and came to a rest, pinning Mr. Salovesh against a second tree, killing him.
The pursuing officers came upon the crash scene while Little was still behind the wheel of the stolen van. Little, who was injured, was taken to a hospital and treated. His blood taken at the hospital was later analyzed and found to contain PCP. The crash data recorder of the van was downloaded and showed that the Little was driving at speeds up to 78 miles per hour, in a 25 mile per hour zone, leading up to the crash.
In announcing the sentence, U.S. Attorney Liu and Chief Newsham commended the work of the officers and detectives who investigated the case from the Major Crash Investigations Unit of the Metropolitan Police Department. They acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Investigative Analyst Zachary McMenamin, Paralegal Specialists Stephanie Siegerist and Lorce Applewhite, and Victim/Witness Advocate Marcia Rinker.
Finally, they commended the work of Assistant U.S. Attorney Edward A. O’Connell, who prosecuted the case.
Distributor of potentially tainted pills charged in federal court with drug crimesRead the Press Release
A Bellingham, WA man was charged in federal court today with two drug crimes related to cocaine and heroin found in his apartment, announced U.S. Attorney Brian T. Moran. TONY LEE WILLIAMS, 33, was arrested this morning following an investigation by the Lummi Tribal Police and the FBI. The investigation began late yesterday, when medics responded to a home on the Lummi reservation where a woman was unresponsive. The woman could not be revived with NARCAN and is deceased. Pills ingested by the woman are linked to those sold by WILLIAMS. Lab analysis of the pills is underway to determine whether they are tainted with a substance such as fentanyl.
“It is critically important that the word go out about these potentially deadly pills,” said U.S. Attorney Brian T. Moran. “Right now we don’t know whether the pills are directly connected to the death. However, anyone buying street pills that appear to be oxycodone 30s – like those described in this case -- could be risking his or her life by ingesting them.”
The pills were sold to those associated with nightclubs in Bellingham, as well as on the Lummi Reservation.
WILLIAMS is charged with possession of cocaine with intent to distribute and possession of heroin with intent to distribute. According to the criminal complaint, WILLIAMS sold the pills to a brother and sister who distributed them to others. When law enforcement searched WILLIAMS’ apartment, they recovered cocaine, heroin, and 30 additional pills that appear to be oxycodone.
The drug crimes are punishable by up to 20 years in prison.
The charges contained in the complaint are only allegations. A person is presumed innocent unless and until he or she is proven guilty beyond a reasonable doubt in a court of law.
The case is being prosecuted by Assistant United States Attorneys Rebecca Cohen, Chantelle Dial, and J. Tate London.
williams_complaint.pdfDayton man sentenced to 70 months in prison for possessing firearm after felony convictionRead the Press Release
DAYTON – Rasu Taylor, 45, of Dayton, was sentenced in U.S. District Court to 70 months in prison for possessing a firearm as a convicted felon.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Jonathan McPherson, Special Agent in Charge, U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and Clark County Sheriff Deborah K. Burchett announced the sentence handed down on September 30 by U.S. District Judge Thomas M Rose.
According to court documents, in September 2018, while Taylor was on parole, a Clark County Sheriff’s deputy conducted a traffic stop of Taylor’s vehicle in the parking lot of a Motel 6 in Springfield. Upon approaching the vehicle, the deputy noticed an open container of alcohol in the console and Taylor attempting to hide a firearm.
A search of the vehicle revealed a pistol with a full magazine, marijuana, scales and nearly $2,000 in cash.
A subsequent search of the motel room Taylor had been living in for 19 days revealed marijuana, fentanyl, body armor, a Glock pistol with two magazines and more than $2,600 in cash.
Taylor had been previously convicted of felonies, including possession of drugs in Montgomery County and felonious assault in Clark County.
Taylor pleaded guilty on September 9 to illegally possessing a firearm after being convicted of a felony offense. Federal law prohibits anyone who has been convicted of a crime punishable by more than one year in prison from owning or possessing a firearm or ammunition.
This case is being prosecuted as part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
U.S. Attorney Glassman commended the investigation by the ATF and Clark County Sheriff’s Office, as well as Assistant United States Attorney Amy M. Smith, who is representing the United States in this case.
###
Corning Man Pleads Guilty to Possession of Child PornographyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Robert W. Wood, 49, of Corning, NY, pleaded guilty before Chief U.S. District Judge Frank P. Geraci, Jr. to possession of child pornography. The charge carries a mandatory minimum penalty of 10 years in prison, a maximum of 20 years, and a $250,000 fine.
Assistant U.S. Attorney Meghan K. McGuire, who is handling the case, stated that in 2011, the defendant was convicted of possession of child pornography and sentenced to 24 months in prison and 15 years supervised release. While on supervised release, members of the U.S. Probation Department made an unannounced visit to Wood’s residence and found an unauthorized smart phone in his possession.
A search of the phone revealed that the defendant was in possession of over 2,300 images and over 20 videos of child pornography, some of which depicted the sexual abuse of infants and toddlers.
The plea is the result of an investigation by the Federal Bureau of Investigations, under the direction of Special Agent-in-Charge Gary Loeffert, and the U.S. Probation Department, under the direction of Chief Probation Officer Anthony SanGiacomo.
Sentencing is scheduled for January 10, 2020, before Judge Geraci.
# # # #
Congressman Christopher Collins Pleads Guilty to Insider Trading Scheme and Lying to Federal Law Enforcement AgentsRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced today that CHRISTOPHER COLLINS, who represented the 27th District of New York as a member of the U.S. House of Representatives, pled guilty to participating in a scheme to commit insider trading and to making false statements to federal law enforcement agents when interviewed about his conduct.
U.S. Attorney Geoffrey S. Berman said: “By virtue of his office, Christopher Collins helped write the laws of this country, but he acted as if the law did not apply to him. Today, by pleading guilty, Collins acknowledged that while he was a member of Congress he committed insider trading and then lied to the FBI in an attempt to cover it up. Today’s plea is a reminder that all citizens stand equal before the law in our criminal justice system.”
The following facts are based on the allegations contained in the Superseding Indictment and statements made in related court filings and proceedings:[1]
The Insider Trading Scheme
The Scheme
In or about June 2017, CHRISTOPHER COLLINS, who, in addition to serving on the board of directors of Innate Immunotherapeutics (“Innate”), an Australian biotechnology company, was also one of Innate’s largest shareholders, participated in a scheme to commit insider trading. Specifically, on or about June 22, 2017, CHRISTOPHER COLLINS learned that MIS416 – a multiple sclerosis drug that Innate was developing – had failed a critical drug trial that was meant to determine the drug’s clinical efficacy (the “Drug Trial”). The negative Drug Trial results were highly confidential, and, as an insider who owed duties of trust and confidence to Innate, CHRISTOPHER COLLINS was obligated to keep the Drug Trial results secret until Innate publicly released them. Instead, in breach of those duties, CHRISTOPHER COLLINS tipped his son, Cameron Collins, who was also a substantial Innate shareholder, so that Cameron Collins could make timely trades and tip others before Innate publicly released the Drug Trial results. Cameron Collins traded on the inside information and passed it to the father of his fiancée, Stephen Zarsky, as well as to three individuals not named in the Superseding Indictment (“Individual-1,” “Individual-2,” and “Individual-6”), so that they could utilize the information for the same purpose. Zarsky, in turn, traded on the information and used it to tip three more individuals not named in the Superseding Indictment (“Individual-3,” “Individual-4,” and “Individual-5,”) so that they too could engage in timely trades in Innate stock. All of the trades preceded the public release of the negative Drug Trial results.
In total, these trades allowed Cameron Collins and Zarsky, and Individual-1 through Individual-6, to avoid over $768,000 in losses that they would have otherwise incurred if they had sold their stock in Innate after the Drug Trial results became public.
The Drug Trial Results
In or about October 2014, Innate initiated a Phase 2B clinical trial of its primary drug, MIS416. Successful completion of the Drug Trial was a necessary prerequisite to the commercialization of MIS416. Because Innate had no other significant products in development, its stock price was tied to the success of MIS416.
The Drug Trial was widely expected to be completed around the summer of 2017. For example, on or about June 9, 2017, Innate’s chief executive officer (“CEO”) sent various individuals, including CHRISTOPHER COLLINS, an email stating that “the delivery date for [the] review and ‘verdict’” of the Drug Trial “will [] occur at COB on US Thursday June 22nd.” As the summer progressed, individuals within Innate remained optimistic that MIS416’s Drug Trial results would be positive. The initial Drug Trial results were made available by trial administrators to Innate’s CEO on June 22, 2017. These results established that MIS416 lacked therapeutic value in the treatment of multiple sclerosis. The results were not publicly released at that time. Instead, they were released publicly on June 26, 2017, after the U.S. markets had closed (the “Public Announcement”). Innate’s stock price subsequently crashed, dropping 92% on the first trading day following the Public Announcement.
Dissemination of the Drug Trial Results
On or about June 22, 2017, at approximately 6:55 p.m., Innate’s CEO sent an email describing the Drug Trial results to the company’s board of directors, including CHRISTOPHER COLLINS. The email explained to Innate’s board of directors for the first time that the Drug Trial had been a failure. The email began, in part, “I have bad news to report,” and continued to explain that “the top line analysis of the ‘intent to treat’ patient population (ie every subject who was successfully enrolled in the study) would pretty clearly indicate[s] ‘clinical failure.’” The email continued, “Top-line 12-month data . . . show no clinically meaningful or statistically significant differences in [outcomes] between MIS416 and placebo,” and concluded by stating, “No doubt we will want to consider this extremely bad news. . . .”
At the time CHRISTOPHER COLLINS received this email, he was attending the Congressional Picnic at the White House. At 7:10 p.m., CHRISTOPHER COLLINS replied to the email, stating, in part, “Wow. Makes no sense. How are these results even possible???” After responding to the Innate CEO’s email, CHRISTOPHER COLLINS called his son, Cameron Collins. They traded six missed calls between 7:11 p.m. and 7:15 p.m.. At 7:16 p.m., CHRISTOPHER COLLINS and Cameron Collins spoke for more than six minutes. During that six-minute phone call, CHRISTOPHER COLLINS told Cameron Collins, in sum and substance, that MIS416 had failed the Drug Trial.
Trading and Tipping by Cameron Collins and Zarsky
Cameron Collins began placing orders to sell his Innate shares the morning after he received inside information from CHRISTOPHER COLLINS. Between the morning of Friday, June 23, 2017 and the close of the market on Monday, June 26, 2017, Cameron Collins sold approximately 1,391,500 shares of Innate stock. These sales allowed Cameron Collins to avoid approximately $570,900 in losses.
Furthermore, after learning the Drug Trial results from CHRISTOPHER COLLINS, on or about the night of June 22, 2017, Cameron Collins provided the Drug Trial results to at least the following three sets of individuals so that they could trade in advance of the Public Announcement: (1) his fiancée, Individual-1; (2) Zarsky and Zarsky’s wife, Individual-2; and (3) Cameron Collins’s friend, Individual-6. Collectively, these individuals avoided approximately $186,620 in losses as a result of their trading on inside information.
On or about the morning of June 23, 2017, Zarsky provided the negative Drug Trial results that he had learned from Cameron Collins and Individual-1 to at least the following individuals, among others, or otherwise caused them to trade or attempt to trade in advance of the Public Announcement: (1) his brother, Individual-3; (2) his sister, Individual-4; and (3) his longstanding friend, Individual-5. Collectively, these individuals avoided approximately $10,900 in losses as a result of their trading on inside information.
False Statements to the FBI
On or about April 25, 2018, special agents from the FBI separately interviewed CHRISTOPHER COLLINS, Cameron Collins, and Zarsky. During these interviews, and as detailed in the Superseding Indictment, CHRISTOPHER COLLINS, Cameron Collins, and Zarsky made false statements to the FBI to cover up their participation in the insider trading scheme.
* * *
CHRISTOPHER COLLINS, 69, pled guilty to one count of conspiracy to commit securities fraud, in violation of Title 18, United States Code, Section 371, which carries a maximum penalty of five years in prison, and one count of making false statements to law enforcement officials, in violation of Title 18, United States Code, Section 1001, which also carries a maximum penalty of five years in prison. The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the Judge.
COLLINS will be sentenced January 17, 2020.
Mr. Berman praised the outstanding work of the FBI and thanked the U.S. Securities and Exchange Commission for its assistance.
This case is being handled by the Office’s Securities and Commodities Fraud Task Force. Assistant U.S. Attorneys Scott Hartman, Max Nicholas, and Damian Williams are in charge of the prosecution.
The charges against Cameron Collins and Stephen Zarsky are merely accusations, and they are deemed innocent unless and until proven guilty.
[1] As for the defendants who have not pled guilty, the description of the charges set forth herein constitute only allegations.
Columbus man sentenced to life in prison for murdering potential witnessesRead the Press Release
COLUMBUS, Ohio – Antwan L. Hutchinson, 28, of Columbus, was sentenced in U.S. District Court to life in prison with no chance of parole for murdering two potential witnesses and conspiring to distribute narcotics.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Jonathan McPherson, Special Agent in Charge, Bureau of Alcohol, Tobacco Firearms and Explosives (ATF) and Interim Columbus Police Chief Thomas Quinlan announced the sentence imposed this afternoon by U.S. District Judge Michael H. Watson.
Hutchinson and Michael J. Favors, 27, also of Columbus, were indicted in April 2017 and charged with conspiracy to distribute and possess with intent to distribute controlled substances and murdering two potential witnesses.
According to court documents, Hutchinson led a drug trafficking organization and possessed and distributed cocaine, heroin, oxycodone and marijuana. As part of the drug conspiracy, he and Favors used “trap houses” that were in others’ names as locations to store and sell the drugs. This included using threat of force and using the homes of drug-addicted individuals.
Hutchinson also intimidated, assaulted, threatened and tortured individuals with serious physical harm who were perceived as owing money or drugs to the members of the conspiracy. Further, he tortured and killed individuals who were seen as potential witnesses against the members of the conspiracy.
As part of his plea in April 2019, Hutchinson admitted he intentionally killed Sidney Campbell and Marie Stamp in February 2017 because they were perceived as potential witnesses against the defendants.
Hutchinson also beat and tortured Cody Campbell in February 2017. Hutchinson used a two-by-four to beat and extension cords to whip Campbell, who died hours after the incident.
Pursuant to the murder charges to which Hutchinson pleaded, the defendant must be sentenced to life imprisonment without the possibility of release.
“Today Antwan Hutchinson was sentenced to life in prison for his heinous conduct,” U.S. Attorney Glassman said. “He will never be paroled, and he cannot appeal the sentence. This swift, severe, and certain punishment is appropriate for his crimes, and I hope it gives his victims’ families some sense of closure.”
U.S. Attorney Glassman commended the investigation of this case by ATF and the Columbus Police, as well as Assistant United States Attorneys David M. DeVillers and Jessica W. Knight who are prosecuting the case.
# # #
Citizen of Guatemala Is Sentenced to Eight Years in Prison on Child Pornography ChargesRead the Press Release
CHARLOTTE, N.C. – Robson Gustavo Morales Santos, 31, was sentenced on Monday, September 30, 2019, to 96 months in prison on child pornography charges, announced Andrew Murray, U.S. Attorney for the Western District of North Carolina. Santos, who is a citizen of Guatemala residing illegally in the United States, was also sentenced to a lifetime of supervised release and was ordered to register as a sex offender. U.S. District Judge Robert J. Conrad Jr. presided over the sentencing hearing.
According to information contained in filed court documents and yesterday’s sentencing hearing, law enforcement received a cybertip that Santos was uploading child pornography to a cloud application. A forensic analysis of Santos’ cell phone, and a subsequent search of his cloud account by law enforcement, revealed that Santos possessed more than 600 videos depicting the sexual abuse of children, some of whom were prepubescent minors as young as infants. Santos pleaded guilty on April 29, 2019, to receiving child pornography.
In making today’s announcement U.S. Attorney Murray thanked the Charlotte Mecklenburg Police Department and the FBI for their investigation of this case.
Assistant U.S. Attorney Alfredo De La Rosa, of the U.S. Attorney’s Office in Charlotte, prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.