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Thursday 15 August 2019
Former University Professor Sentenced for Traveling to Missouri for Sex with a MinorRead the Press Release
KANSAS CITY, Mo. – A former Ohio university professor was sentenced in federal court today for traveling to Kansas City, Missouri, to engage in sexual activity with a person whom he believed to be a 14-year-old runaway.
Kevin Connor Armitage, 54, was sentenced by U.S. District Judge Brian C. Wimes to two years and nine months in federal prison without parole.
On May 1, 2019, Armitage pleaded guilty to traveling across state lines to engage in illicit sexual conduct with a minor. Armitage was a professor of American studies at Miami University in Oxford, Ohio.
Armitage maintained a profile on a website that allows registered members to exchange information regarding commercial sex activity. The website’s public posts contain detailed accounts of sexual encounters between members and commercial sex workers, including prices and specific locations for sexual encounters. Links to well-known sex trafficking websites were posted with reviews of sexual encounters. Members of the website are able to contact the posters by private message to obtain contact information for the commercial sex workers described in the posts.
Armitage was a senior member of the website, with 576 postings that detail his prior experiences with prostitutes in Ohio, Arizona, Kansas, Colorado, and Tijuana.
On May 22, 2018, an undercover federal agent responded to a discussion thread posted by another user. Armitage contacted the undercover agent through a private message and indicated that he would be visiting the Kansas City area and was interested in recommendations. Armitage was provided a phone number for a female FBI agent, who was posing as a 14-year-old female runaway.
After several conversations, Armitage agreed to meet the 14-year-old’s cousin at a restaurant on the Country Club Plaza in Kansas City on May 30, 2018, in order to discuss payment. Once he arrived at the restaurant, Armitage was told, he would be given the address where he could meet the 14-year-old. An FBI undercover employee, posing as the cousin, met Armitage at the restaurant and he was arrested.
This case was prosecuted by First Assistant U.S. Attorney Teresa A. Moore. It was investigated by the Department of Health and Human Services, Office of Inspector General and the FBI.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."Former Tax Return Preparer Sentenced to 21 MonthsRead the Press Release
MADISON, WIS. – Scott C. Blader, United States Attorney for the Western District of Wisconsin, announced that Kimberly Harrison, 47, Beloit, Wisconsin, was sentenced yesterday by U.S. District Chief Judge James D. Peterson to 21 months in federal prison, to be followed by one year of supervised release, for aiding and abetting the preparation and filing of a false income tax return. The court will determine the amount of restitution Harrison will be ordered to pay in 30 days.
On May 24, 2019, Harrison pleaded guilty to aiding and abetting in the preparation and filing of a false income tax return with the Internal Revenue Service. Harrison had been charged on August 1, 2018, by a grand jury in Madison, Wisconsin with a 29-count indictment alleging that she prepared false and fraudulent income tax returns for various taxpayers for tax years 2013 through 2016.
At her plea hearing, Harrison admitted that the government could prove that she filed tax returns from her home in Beloit using various IP addresses that came back to her, even though she failed to sign the tax returns as the paid return preparer, and instead made it look as if the taxpayers themselves were signing and filing their own tax returns.
At yesterday’s sentencing, Judge Peterson found that Harrison had prepared and filed 374 false tax returns for tax years 2013 through 2016, which caused a tax loss of $583,298. Judge Peterson also found that Harrison earned about $9,350 a year in fees that she charged her clients and that she did not report on her own tax returns, or to other governmental authorities who were providing her with public benefits.
In imposing the 21-month prison term, Judge Peterson explained, “People need to know that our tax laws will be enforced and if you cheat on your taxes, it is going to be taken seriously.” According to the judge, Harrison’s crime was a serious offense because it involved a large tax loss to the United States government. Judge Peterson also noted there is a certain outrage to the community by Harrison’s cheating of the very government that supplies her with public benefits, and this cheating hurts other recipients who need those benefits like veterans and the disabled. In addressing Harrison, the judge told her that “claiming poverty is no excuse” because her crime was “done for pocket money, which is greed” and arrogance, not ignorance.
Judge Peterson ordered Harrison to report to the Federal Bureau of Prisons to begin her prison sentence on September 16, 2019.
The charges against Harrison are the result of an investigation conducted by the Madison office of IRS Criminal Investigation. The prosecution of this case was handled by Assistant U.S. Attorney Daniel Graber.
Former Lake Charles police officer pleads guilty to using excessive forceRead the Press Release
LAKE CHARLES, La. – Robert Hammac, 45, a former officer of the Lake Charles Police Department, pleaded guilty today before U.S. District Judge James D. Cain Jr. for using excessive force against an arrestee, announced U.S. Attorney David C. Joseph for the Western District of Louisiana, Assistant Attorney General Eric Dreiband of the Department of Justice’s Civil Rights Division and FBI’s New Orleans Field Office Acting Special Agent in Charge Andrew Anderson.
Hammac pleaded guilty to a single count of deprivation of rights under color of law, in violation of 18 U.S.C. § 242. According to documents filed today, Hammac was involved in a vehicle pursuit of G.T. on May 8, 2017, for several miles. The car was brought to a stop, and G.T. raised his hands in the air in a manner indicating surrender. Other officers then ordered G.T. out of the car and began pulling him out of the car. Hammac ran to the front passenger side door, opened it, grabbed G.T. before he could exit, pulled him back into the car, and repeatedly punched G.T.’s head with a closed fist. The victim was not resisting in any way or posing a threat.
“Law enforcement officers put their lives on the line every day to keep our communities safe,” said U.S. Attorney David C. Joseph. “The vast majority of law enforcement officers perform their difficult and dangerous duties with integrity and courage. However, law enforcement officers who betray the badge and the public’s trust, as the defendant did here, also dishonor their profession and their fellow officers. This behavior is unacceptable and will not be tolerated in the Western District of Louisiana.”
“Law enforcement officers must uphold and defend the constitution,” said Assistant Attorney General Eric Dreiband. “When an officer abuses their power, the public’s trust in law enforcement is compromised. The Department of Justice will continue to hold such officers accountable under the law.”
“Police officers respond to challenging and dynamic situations every day,” stated FBI Acting Special Agent in Charge Andrew Anderson. “They are trained to maintain professionalism and adhere to standards of conduct in any situation. In this instance, the officer did not apply his training and violated the constitutional rights of the victim. Instances such as this are unacceptable and will continue to be high priority investigations of the FBI.
Hammac faces a maximum term of imprisonment of 10 years and a $250,000 fine. The court set sentencing for Nov. 14.
The FBI conducted the investigation. Assistant U.S. Attorney Jamilla Bynog of the Western District of Louisiana and Trial Attorney Mary J. Hahn of the Civil Rights Division are prosecuting the case.
Former Lake Charles Police Officer Pleads Guilty to Using Excessive ForceRead the Press Release
Robert Hammac, 45, a former officer of the Lake Charles Police Department, pleaded guilty today before U.S. District Judge James D. Cain, Jr., for using excessive force against an arrestee, announced Assistant Attorney General Eric Dreiband of the Department of Justice’s Civil Rights Division, U.S. Attorney David C. Joseph for the Western District of Louisiana, and FBI’s New Orleans Field Office Acting Special Agent in Charge Andrew Anderson.
Hammac pleaded guilty to a single count of deprivation of rights under color of law, in violation of 18 U.S.C. § 242. According to documents filed today, Hammac was involved in a vehicle pursuit of G.T. on May 8, 2017, for several miles. The car was brought to a stop, and G.T. raised his hands in the air in a manner indicating surrender. Other officers then ordered G.T. out of the car and began pulling him out of the car. Hammac ran to the front passenger side door, opened it, grabbed G.T. before he could exit, pulled him back into the car, and repeatedly punched G.T.’s head with a closed fist. The victim was not resisting in any way or posing a threat.
“Law enforcement officers must uphold and defend the constitution,” said Assistant Attorney General Eric Dreiband. “When an officer abuses their power, the public’s trust in law enforcement is compromised. The Department of Justice will continue to hold such officers accountable under the law.”
“Law enforcement officers put their lives on the line every day to keep our communities safe,” said U.S. Attorney David C. Joseph. “The vast majority of law enforcement officers perform their difficult and dangerous duties with integrity and courage. However, law enforcement officers who betray the badge and the public’s trust, as the defendant did here, also dishonor their profession and their fellow officers. This behavior is unacceptable and will not be tolerated in the Western District of Louisiana.”
“Police officers respond to challenging and dynamic situations every day,” stated FBI Acting Special Agent in Charge Andrew Anderson. “They are trained to maintain professionalism and adhere to standards of conduct in any situation. In this instance, the officer did not apply his training and violated the constitutional rights of the victim. Instances such as this are unacceptable and will continue to be high priority investigations of the FBI."
Hammac faces a maximum term of imprisonment of 10 years and a $250,000 fine. The court set sentencing for Nov. 14.
The FBI conducted the investigation. Assistant U.S. Attorney Jamilla Bynog of the Western District of Louisiana and Trial Attorney Mary J. Hahn of the Civil Rights Division are prosecuting the case.
Former Correctional Officers Sentenced for Assault of Handcuffed Inmate at Elayn Hunt Correctional CenterRead the Press Release
Two former correctional officers at Elayn Hunt Correctional Center in St. Gabriel, Louisiana, were sentenced today for their roles in assaults on a handcuffed inmate in January 2017. Adrian Almodovar III and Charles Philson III previously pleaded guilty to depriving the inmate of his constitutional rights while acting under color of law.
“The Justice Department is committed to holding correctional officers who deprive inmates of their right to be free from cruel and unusual punishment accountable to the public,” said Assistant Attorney General Eric Dreiband. “The Civil Rights Division will continue to obtain justice for victims of these atrocious crimes.”
“The vast majority of law enforcement officers maintain a high standard of conduct and perform their duties with honesty, integrity, and bravery. Law enforcement officers at every level should be held to a high standard and those who deprive citizens of their civil rights and undermine the public trust should be held accountable. I want to thank the United States Department of Justice Civil Rights Division, the FBI, and Louisiana Office of the State Inspector General, and our staff for their efforts in this case.”
"Along with our partners, the FBI will aggressively pursue allegations wherein correctional officers abuse their position of power and authority to deny persons their constitutional right to be free from cruel and unusual punishment,” stated Acting Special Agent in Charge Andrew Anderson. “The FBI is appreciative of its partnership with the LA Department of Corrections to root out correctional officers who choose to break the law and physically abuse defenseless inmates.”
“Corrections Officers are given great authority and trust, and when they abuse that trust, it undermines the entire system,” said Louisiana Inspector General Stephen Street. “Physically abusing a handcuffed inmate can never be tolerated. It was entirely appropriate that these individuals be prosecuted and punished. The Louisiana OIG will continue working these criminal cases with our law enforcement partners for as long as necessary to protect the integrity of our system. I want to thank U.S. Attorney Brandon Fremin and the Civil Rights Division of the Department of Justice for all their efforts on this case.”
During his previous plea hearing, Almodovar admitted to unlawfully striking inmate J.H. on multiple occasions while J.H. was handcuffed. He also admitted to failing to intervene to stop his fellow correctional officers from using unlawful force on J.H. Almodovar further admitted to unlawfully striking a second inmate, L.B., in the head while L.B. was handcuffed. Almodovar was sentenced to 18 months in prison.
Philson previously pleaded guilty to witnessing other correctional officers using unlawful force on J.H. and failing to intervene to stop them. He was sentenced to 12 months probation.
This case was investigated by the FBI’s Baton Rouge Resident Agency Office and the Louisiana Office of the State Inspector General. Trial Attorney Christopher J. Perras and Assistant United States Attorney Cal Leipold also assisted in the investigation. The case was prosecuted by Trial Attorney Zachary Dembo of the Criminal Section of the Civil Rights Division.
Former Correctional Officers Sentenced for Assault of Handcuffed Inmate at Elayn Hunt Correctional CenterRead the Press Release
Two former correctional officers at Elayn Hunt Correctional Center in St. Gabriel, Louisiana, were sentenced today for their roles in assaults on a handcuffed inmate in January 2017. Adrian Almodovar III and Charles Philson III previously pleaded guilty to depriving the inmate of his constitutional rights while acting under color of law.
“The Justice Department is committed to holding correctional officers who deprive inmates of their right to be free from cruel and unusual punishment accountable to the public,” said Assistant Attorney General Eric Dreiband. “The Civil Rights Division will continue to obtain justice for victims of these atrocious crimes.”
“The vast majority of law enforcement officers maintain a high standard of conduct and perform their duties with honesty, integrity, and bravery. Law enforcement officers at every level should be held to a high standard and those who deprive citizens of their civil rights and undermine the public trust should be held accountable. I want to thank the United States Department of Justice Civil Rights Division, the FBI, and Louisiana Office of the State Inspector General, and our staff for their efforts in this case.”
"Along with our partners, the FBI will aggressively pursue allegations wherein correctional officers abuse their position of power and authority to deny persons their constitutional right to be free from cruel and unusual punishment,” stated Acting Special Agent in Charge Andrew Anderson. “The FBI is appreciative of its partnership with the LA Department of Corrections to root out correctional officers who choose to break the law and physically abuse defenseless inmates.”
“Corrections Officers are given great authority and trust, and when they abuse that trust, it undermines the entire system,” said Louisiana Inspector General Stephen Street. “Physically abusing a handcuffed inmate can never be tolerated. It was entirely appropriate that these individuals be prosecuted and punished. The Louisiana OIG will continue working these criminal cases with our law enforcement partners for as long as necessary to protect the integrity of our system. I want to thank U.S. Attorney Brandon Fremin and the Civil Rights Division of the Department of Justice for all their efforts on this case.”
During his previous plea hearing, Almodovar admitted to unlawfully striking inmate J.H. on multiple occasions while J.H. was handcuffed. He also admitted to failing to intervene to stop his fellow correctional officers from using unlawful force on J.H. Almodovar further admitted to unlawfully striking a second inmate, L.B., in the head while L.B. was handcuffed. Almodovar was sentenced to 18 months in prison.
Philson previously pleaded guilty to witnessing other correctional officers using unlawful force on J.H. and failing to intervene to stop them. He was sentenced to 12 months probation.
This case was investigated by the FBI’s Baton Rouge Resident Agency Office and the Louisiana Office of the State Inspector General. Trial Attorney Christopher J. Perras and Assistant United States Attorney Cal Leipold also assisted in the investigation. The case was prosecuted by Trial Attorney Zachary Dembo of the Criminal Section of the Civil Rights Division.
Former City of New Orleans Building Inspector Charged with Use of an Interstate Facility with Intent to Carry on Unlawful ActivityRead the Press Release
NEW ORLEANS - U.S. Attorney Peter G. Strasser announced today that KEVIN RICHARDSON age 56, of New Orleans, LA was charged on Thursday, August 15, 2019, by a Grand Jury sitting in the Eastern District of Louisiana in a one-count indictment with violating Title 18, United States Code, Sections 1952(a)(3) and 2, use of an interstate facility with intent to carry on unlawful activity.
According to the Indictment, between January 2011 and February 2019, RICHARDSON was employed as a building inspector for the City of New Orleans and utilized the internet to facilitate the crime of bribery. He solicited and accepted bribe money from individuals seeking favorable inspection reports and certificates of completion for properties that did not comply with the city and state building codes and for properties that had not been inspected. He also paid bribe money to a City of New Orleans permit analyst for the issuance of permits without proper documentation and plan review.
If convicted, RICHARDSON faces a maximum term of imprisonment of five (5) years, a fine of not more than $250,000, three years supervised release following any term of imprisonment, and a $100 special assessment fee.
United States Attorney Strasser reiterated that an Indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
This matter was handled by the City of New Orleans Office of Inspector General, Housing and Urban Development, Office of Inspector General, and the Department of Homeland Security, Office of Inspector General. Assistant United States Attorney Tracey N. Knight is prosecuting the matter.
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Former Chief Financial Officer of 1 Global Capital LLC Charged with Conspiracy to Commit Securities Fraud in Relation to $330 Million SchemeRead the Press Release
A former Chief Financial Officer of 1 Global Capital, LLC has been charged in connection with a $330 million securities fraud scheme, related to a commercial payday loan business that operated from early 2014 through July 2018, that impacted more than 3,600 investors in 42 different states.
Ariana Fajardo Orshan, U.S. Attorney for the Southern District of Florida and George L. Piro, Special Agent in Charge of the FBI’s Miami Field Office made the announcement.
Alan G. Heide, 61, of Lake Worth, Florida, was charged today by information with one count of conspiracy to commit securities fraud, in violation of Title 18, United States Code, Section 371, in Case No. 19-60231. The case is assigned to U.S. District Judge Roy Altman in Fort Lauderdale. If convicted, Heide faces a maximum statutory sentence of up to five years in prison and a fine up to $250,000 or double the gross proceeds of the offense.
According to the information, 1 Global Capital LLC (1 Global) was a commercial lending business based in Hallandale Beach, Florida, that made the equivalent of “pay day” loans to small businesses at high interest rates. To fund these merchant cash advance loans (“MCAs”), 1 Global obtained funds from investors nationwide, offering short-term investment contracts. The investors would supposedly receive a proportionate share of the principal and interest payments as the loans were repaid. 1 Global raised money using investment advisors and other intermediaries, with promises of significant commissions. In many cases, the commissions were not fully disclosed to investors.
Heide was the Chief Financial Officer of 1 Global from 2014 through 2016, when he became the Executive Vice President and Director of Syndicate Partner Relations. In order to attract investments, Heide and his co-conspirators allegedly made false and misleading representations to investors and potential investors as to the profitability of 1 Global’s business in marketing materials and periodic account statements. 1 Global promised investors that all or nearly all of that money would be applied to various MCA loan agreements with the investor supposedly receiving a portion of the proceeds paid back by the merchants. The information alleges that the 1 Global business lost money, and used new investor funds to pay back earlier investors who sought to cash out in a manner consistent with a Ponzi scheme. Furthermore, the conspirators are alleged to have misappropriated large amounts of cash for their personal benefit. In addition, the information alleges that 1 Global paid substantial commissions and other expenses with investor funds without disclosing the extent of these payments.
According to the allegations in the information, Heide and others at 1 Global also made false statements to investors that gave the impression that 1 Global had an independent auditor. These misrepresentations were allegedly made in monthly-mailed statements that falsely showed profitable investments. As 1 Global continued to lose money over time, the cash shortfall continued to increase and 1 Global was only able to continue operations by raising ever-increasing amounts of new investor funds, before its eventual collapse in July 2018.
According to court records, 1 Global operated from early 2014 through approximately July 27, 2018, when it filed for bankruptcy. As of that time, 1 Global had more than 3,600 investors and had raised more than $330 million, and its own internal documents showed a $50 million cash deficit. The bankruptcy case, In re: 1 Global Capital LLC, et al., No. 18-19121-RBR (S.D. Fla.), remains pending.
In connection with a parallel civil enforcement action, the SEC today announced the filing of civil fraud charges against Heide. In a related case, the SEC previously filed a civil fraud action, SEC v. 1 Global Capital LLC and Carl C. Ruderman, Case No. 18-61991-CV-BB (S.D. Fla.).
An information is a charging instrument containing allegations. A defendant is presumed innocent unless and until proven guilty in a court of law.
U.S. Attorney Fajardo Orshan commended the investigative efforts of the FBI’s Miami Field Office. She also thanked the SEC’s Miami Regional Office, IRS Criminal Investigation’s Miami Field Office, the Federal Housing Finance Authority, Office of Inspector General, and Florida’s Office of Financial Regulation for their assistance. This case is being prosecuted by Assistant U.S. Attorney Jerrob Duffy and Assistant U.S. Attorney Nicole Grosnoff is handling asset forfeiture related to this matter.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov.
Former Bank Manager Sentenced to Five-Year Term of Probation for Bank TheftRead the Press Release
NEW ORLEANS, LOUISIANA – SCOTT BREAUX (“BREAUX”), age 39, of Marrero, Louisiana, was sentenced on August 14, 2019 by U.S. District Court Judge Ivan L.R. Lemelle to 60 months probation and was ordered to pay restitution in the amount of $ 35,000.00 to ASI Federal Credit Union and its insurer, Cuna Mutual Group, announced United States Attorney Peter G. Strasser.
According to court documents, from about November 2016 to July 2017, while employed as a Branch Manager at ASI Federal Credit Union, BREAUX stole approximately $35,000.00. BREAUX was employed with ASI since in or about 2011, and during his tenure with ASI, BREAUX worked at the Harahan, Westwego, and uptown branches. In 2014, BREAUX was named Branch Manager of ASI’s Westwego branch. In February 2017, BREAUX was transferred to ASI’s uptown branch where he continued to work as Branch Manager until his termination in July 2017. ASI is a federally insured financial institution and its deposits are insured by the National Credit Union Association.
United States Attorney Peter G. Strasser praised the work of the Federal Bureau of Investigation in investigating this matter. The prosecution of this case is being handled by Assistant U. S. Attorney Brian M. Klebba, Supervisor of the Financial Crimes Unit.
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Florida Man Arrested for Child-Exploitation CrimesRead the Press Release
A Florida man was arrested today following the return of an indictment by a federal grand jury charging him with two counts of travel with intent to engage in illicit sexual activity and two counts of attempted enticement of a minor to engage in unlawful sexual activity.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney Maria Chapa Lopez of the Middle District of Florida and Special Agent in Charge James C. Spero of U.S. Immigration and Customs Enforcements’ Homeland Security Investigations (HSI) Tampa made the announcement.
According to the indictment, on March 9, 2015, and again on Feb. 23, 2016, Christopher Edwin Day, 49, of St. Petersburg, Florida, allegedly traveled in interstate and foreign commerce for the purpose of engaging in illicit sexual conduct. In addition, starting in at least in or around December 2014, he allegedly attempted to use electronic devices to persuade two minors to engage in criminal sexual conduct.
The case is being investigated by HSI. Trial Attorney Kyle P. Reynolds of the Criminal Division’s Child Exploitation and Obscenity Section (CEOS) and Assistant U.S. Attorney Candace G. Rich of the Middle District of Florida are prosecuting the case.
The charges in the indictment are only allegations. The defendant is presumed innocent until proven guilty.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Florida Man Arrested for Child-Exploitation CrimesRead the Press Release
Tampa, FL - A Florida man was arrested today following the return of an indictment by a federal grand jury charging him with two counts of travel with intent to engage in illicit sexual activity and two counts of attempted enticement of a minor to engage in unlawful sexual activity.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney Maria Chapa Lopez of the Middle District of Florida and Special Agent in Charge James C. Spero of U.S. Immigration and Customs Enforcements’ Homeland Security Investigations (HSI) Tampa made the announcement.
According to the
indictment , on March 9, 2015, and again on Feb. 23, 2016, Christopher Edwin Day, 49, of St. Petersburg, Florida, allegedly traveled in interstate and foreign commerce for the purpose of engaging in illicit sexual conduct. In addition, starting in at least in or around December 2014, he allegedly attempted to use electronic devices to persuade two minors to engage in criminal sexual conduct.The case is being investigated by HSI. Trial Attorney Kyle P. Reynolds of the Criminal Division’s Child Exploitation and Obscenity Section (CEOS) and Assistant U.S. Attorney Candace G. Rich of the Middle District of Florida are prosecuting the case.
The charges in the indictment are only allegations. The defendant is presumed innocent until proven guilty.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Five Charged Federally for Dealing Fentanyl, Heroin, and Cocaine in Prince George’s and Charles CountiesRead the Press Release
Greenbelt, Maryland – Five individuals have been charged by a federal criminal complaint with conspiracy to distribute controlled substances and possession with intent to distribute and distribution of controlled substances, in connection with an alleged drug distribution organization operating in Prince George’s and Charles Counties in Maryland, that sold heroin, fentanyl, and cocaine. The criminal complaint was filed on August 14, 2019, and was unsealed today upon the arrests of the defendants. The following defendants are charged in the complaint:
Anthony Kenneth Dotson, Jr., a/k/a Streetz, Ghost, and Rico, age 33, of Clinton, Maryland;
Marvin Windell Gray, a/k/a Marv, age 44, of Waldorf, Maryland;
James Anthony Harvey, Jr., a/k/a Fat Bread, and Patches, age 47, of King George, Virginia;
Marcellus Jerome Woodland, a/k/a Cellus, age 29, of Waldorf; and
Tiara Mackall, a/k/a Tee, age 26, of Waldorf.In addition to today’s arrests, law enforcement executed search warrants at eight locations believed to be used by the conspirators to prepare, store, and/or sell drugs and recovered six firearms, heroin, and fentanyl.
The criminal complaint was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Jesse R. Fong of the Drug Enforcement Administration - Washington Field Division; St. Mary’s County Sheriff Tim Cameron; Charles County Sheriff Troy Berry; and Chief Henry P. Stawinski III of the Prince George’s County Police Department.
U.S. Attorney Robert K. Hur stated, “Drug traffickers are on notice that dealing in fentanyl increases their odds of federal prosecution. We’re also targeting drug dealers who use guns and increase the risk of gun violence in Maryland. Working together with our local, state, and federal partners, we are determined to reduce the number of opioid overdose deaths in Maryland.”
According to the affidavit filed in support of the criminal complaint, law enforcement began investigating Dotson, who was allegedly supervising a drug distribution conspiracy operating primarily in Prince George’s and Charles Counties that sold heroin, fentanyl, and cocaine. According to the affidavit, the drug trafficking organization utilizes multiple cell phones (or “burner phones”) to conduct its drug trafficking activities and employs runners who sell fentanyl and heroin on Dotson’s behalf. The indictment alleges that Gray is a lieutenant in the organization and that Harvey, Woodland, and Mackall are runners.
The affidavit details numerous alleged drug transactions between Dotson and his suppliers, runners, and customers, using coded language, including controlled purchases of drugs made at the direction of law enforcement. According to the affidavit, on January 7, 2018, a victim died after ingesting drugs allegedly supplied by Dotson. The Office of the Chief Medical Examiner for Maryland determined that the victim died from fentanyl intoxication. Further, the affidavit includes conversations between Dotson and others discussing the possession and/or purchase of firearms and ammunition. Dotson is prohibited from possessing firearms or ammunition.
If convicted, the defendants face a maximum sentence of 40 years for the conspiracy and a maximum of 20 years in prison for possession with intent to distribute controlled substances. At today’s initial appearance in U.S. District Court in Greenbelt, U.S. Magistrate Judge Charles B. Day ordered that all the defendants, except for Mackall, be detained pending detention hearings scheduled for Monday, August 19, 2019. Mackall was ordered to be released under the supervision of U.S. Pretrial Services.
A criminal complaint is not a finding of guilt. An individual charged by criminal complaint is presumed innocent unless and until proven guilty at some later criminal proceedings.
United States Attorney Robert K. Hur commended the DEA, the St. Mary’s County Sheriff’s Office, the Prince George’s County Police Department, and the Charles County Sheriff’s Office for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorneys Gregory Bernstein and Erin Pulice, who are prosecuting this Organized Crime Drug Enforcement Task Force case.
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Federal Inmate Sentenced to 16 More Months in Prison for Illegally Possessing Suboxone in PrisonRead the Press Release
JOHNSTOWN, Pa. – An inmate at the Federal Correctional Institution in Loretto, Pa. pleaded guilty in federal court in Johnstown to a charge of possession of a prohibited object in prison, and immediately following, was sentenced to 16 months followed by 3 years of supervised release, United States Attorney Scott W. Brady announced today.
Ramon Santiago-Sandoval, 28, pleaded guilty to the indictment before United States District Judge Kim R. Gibson.
In connection with the guilty plea, Santiago-Sandoval possessed a quantity of Buprenorphine on October 23, 2017.
Assistant United States Attorney Maureen Sheehan-Balchon prosecuted this case on behalf of the government.
Mr. Brady commended the Laurel Highlands Resident Agency of the Federal Bureau of Investigation, and the Federal Correctional Institution, Special Investigative Staff, for the investigation leading to the successful prosecution of Santiago-Sandoval.
Federal Indictment Charges Man for Making Threatening Calls Against a Maryland SynagogueRead the Press Release
Baltimore, Maryland – A federal grand jury today indicted Stephen Lyle Orback, age 64, on the federal charge of making threatening communications, specifically multiple telephone calls threatening a synagogue.
The indictment 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 the indictment, between May 12 and May 13, 2019, Orback made multiple telephone calls to an employee of a synagogue in Owings Mills, Maryland, threatening to kill many members of that Jewish congregation.
If convicted, Orback faces a maximum sentence of five years in federal prison. No initial appearance has been scheduled. Orback is currently detained in Colorado on unrelated state charges.
An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.
United States Attorney Robert K. Hur commended the FBI for its work in the investigation. Mr. Hur thanked Assistant U.S. Attorneys P. Michael Cunningham and Mary W. Setzer, who are prosecuting the case.
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Fayetteville Sex Offender Sentenced to 12 Years in Federal Prison for Child PornographyRead the Press Release
Fayetteville, Arkansas – Duane (DAK) Kees, United States Attorney for the Western District of Arkansas, announced that Anthony Rhoden, age 42, was sentenced today to 120 months imprisonment without the possibility of parole followed by 25 years of supervised release on one count of Accessing the Internet with Intent to View Child Pornography. Rhoden received an additional 30 months imprisonment for committing the offense while on Federal Supervised Release. The Honorable Timothy L. Brooks presided over the sentencing hearing in the United States District Court in Fayetteville.
According to court records, in February 2018, Rhoden was on Federal Supervised Release following a conviction for receiving child pornography. United States Probation Officers conducted a search of Rhoden’s motel room and located a cellular phone. Rhoden stated he had been utilizing it to search the internet for child pornography. A forensic review of the phone revealed numerous images of child pornography.
Rhoden was indicted in February 2019 on federal charges and entered his guilty plea in March 2019.
This case was investigated by the Department of Homeland Security, the Internet Crimes Against Children (ICAC) Task Force, and the Fayetteville Police Department. Assistant United States Attorney Dustin Roberts prosecuted the case for the United States.
Father and Son Sentenced in Multi-Million Dollar Hearing Aid Healthcare FraudRead the Press Release
A father/son duo who submitted more than $27 million in fraudulent hearing aid claims to insurer Blue Cross and Blue Shield of Texas was sentenced yesterday to eight and seven years in federal prison, respectively, announced U.S. Attorney for the Northern District of Texas Erin Nealy Cox.
Terry Lynn Anderson, 69, and Rocky Freeland Anderson, 38, of Dallas, were convicted on multiple counts of health care fraud and aggravated identity theft in March 2018 following a 10-day jury trial before U.S. Chief District Judge Barbara M.G. Lynn.
The elder Mr. Anderson was sentenced Wednesday to eight years in federal prison and ordered to pay nearly $13.7 million in restitution to Blue Cross and Blue Shield of Texas; he was also ordered to forfeit a 300-acre ranch in Valley Mills, Texas, three vehicles, and more than $3.1 million seized from nine financial accounts. His son was sentenced to seven years in federal prison and ordered to pay more than $8.4 million in restitution to Blue Cross.
“In flagrant disregard for the law, these defendants submitted claims for equipment they knew patients neither needed nor wanted, just to line their own pockets,” said U.S. Attorney Nealy Cox. “This sort of fraud impacts healthcare costs for patients who actually need coverage and we will continue to prioritize these cases.”
According to evidence presented at trial, the defendants defrauded Blue Cross by submitting claims on behalf of American Airlines employees for hearing aids that were not needed and, in many cases, never dispensed to the patient. The fraudulent claims were submitted through Anderson Optical & Hearing Aids Center, the defendants’ family-owned business with locations in Arlington and Bedford.
To increase the number of claims they could submit to Blue Cross, the defendants engaged in marketing practices, promising patients a free pair of high-end sunglasses or a free pair of prescription eyeglasses in exchange for taking a free hearing test. At the conclusion of these hearing tests, the defendants told patients that they had slight to mild hearing loss and required them to sign an order for hearing aids in order to receive the free glasses. The defendants promised patients that the hearing aids would be provided to them at no cost, and that Anderson Optical & Hearing would waive any applicable copayments, coinsurance, or deductibles. The defendants also offered patients $100 gift cards in exchange for referring family members and coworkers for free hearing tests.
In 2012, the pair brought their fraud scheme into American Airlines’ airport facilities and started offering free hearing tests to aircraft mechanics and fleet services clerks in maintenance hangars and employee breakrooms. Attracted by the offer of free sunglasses, the pair often had long lines of employees waiting to be tested. However, an expert witness who testified for the government explained that the cursory screening tests the defendants performed, which witnesses described as lasting 3-5 minutes, were incapable of producing results upon which one could make a legitimate decision to dispense hearing aids. Witnesses from Blue Cross testified that these cursory screening tests also failed to comply with Blue Cross’s medical policies related to the evaluation of hearing impairment.
The evidence showed that, in November 2013, Blue Cross conducted an audit of Anderson Optical & Hearing and requested copies of patient records for certain American Airlines employees and their dependents. On January 6, 2014, the Texas Department of State Health Services-Professional Licensing Unit began investigating a complaint it had received concerning the Andersons. In February 2014, when given the opportunity to respond to the complaint, the defendants submitted several patient records to the Professional Licensing Unit, including some of the same patient records that had been collected by Blue Cross. The patient records submitted to the Professional Licensing Unit had altered test scores and additional notations that were not present when the same records were submitted to Blue Cross in November 2013.
During the period of the fraud scheme, Anderson Optical & Hearing submitted claims to Blue Cross for hearing aids on behalf of American Airlines employees totaling more than $27 million. As a result of these claims, Blue Cross paid Anderson Optical & Hearing more than $16.7 million.
At trial, Terry Anderson took the stand in his own defense. In an attempt to shift the blame on to patients who were more interested in his offer of free sunglasses than they were in hearing aids, he testified, “Well, unfortunately among us are people that will take advantage of perhaps any program, if they have an opportunity to.”
The Federal Bureau of Investigation conducted the investigation. Assistant U.S. Attorneys Douglas Brasher and Rachael Jones prosecuted the case with the assistance of Andrew Wirmani, Marcus Busch, Mark Tindall, and Dimitri Rocha.
Federal Grand Jury Indicts Navajo Man from Crownpoint on Federal Assault and Firearm Charges Arising from Drive-By Shooting That Injured Two Navajo ChildrenRead the Press Release
ALBUQUERQUE – A federal grand jury sitting in Albuquerque, N.M., returned an indictment yesterday charging Eli Frank Woody, 25, an enrolled member of the Navajo Nation who resides in Crownpoint, N.M., with federal assault and firearm charges arising out of a July 18, 2019 drive-by shooting that injured two Navajo children.
The three-count indictment charges Woody with two counts of assault resulting in serious bodily injury to a child, and discharging a firearm during a crime of violence. According to the indictment, Woody assaulted and seriously injured two minor children on July 18, 2019, in Indian County in McKinley County, N.M. The indictment also alleges that Woody used and discharged a firearm to assault the two minor victims, causing them to suffer serious bodily injury. Woody is scheduled to be arraigned on the indictment on Aug. 21, 2019, in federal court in Albuquerque.
Woody was arrested on July 24, 2019, on federal charges arising out of the July 18, 2019 incident which were set forth in a criminal complaint that was filed on July 19, 2019. According to the criminal complaint, on July 18, 2019, Woody allegedly fired a shotgun from a vehicle, in which he was a passenger, into a residence, injuring two Navajo children who were inside the residence. The residence was located in Crownpoint, which is located within the Navajo Indian Reservation. The complaint stated that the children were transported to a hospital for medical care and survived the shooting.
Woody has been released to a halfway house under pretrial supervision pending trial, which has yet to be scheduled.
If convicted on the charges in the indictment, Woody faces up to ten years on each of the assault charges, and a mandatory minimum of ten years and a maximum of life imprisonment on the firearms charge that must be served consecutive to any sentence imposed on the assault charges.
Charges in criminal complaints and indictment are only allegations. Defendants are presumed innocent unless and until proven guilty.
The Gallup office of the FBI and the Crownpoint office of the Navajo Nation Division of Public Safety investigated the case, which is being prosecuted by Assistant U.S. Attorney David P. Cowen.
Elk Grove and Las Vegas Residents Indicted for Violating the United States’ Trade Embargo on IranRead the Press Release
SACRAMENTO, Calif. — A three-count indictment by a federal grand jury was unsealed today charging Dariush Niknia, 56, of Elk Grove, and Richard Lant, 74, of Las Vegas, Nevada, with a conspiracy to violate the United States’ embargo on Iran and engaging in prohibited trade-related transactions with Iran, U.S. Attorney McGregor W. Scott announced.
According to the indictment, between May and October 2015, Niknia and Lant conspired to unlawfully sell and supply 500 Russian-made tank helmets to Niknia’s contact in Tehran, Iran. The indictment alleges that in May 2015, Niknia contacted Lant, who operated R&L Ltd., a company that sold Russian items, and requested to purchase 500 tank helmets and to have the helmets shipped to Tehran. Niknia initially paid R&L monies to purchase two sample tank helmets and to have the helmets sent from Russia to Iran. Once Ninkia’s customer approved the second sample tank helmet, Niknia paid Lant additional money in an attempt to purchase an additional 50 tank helmets for shipment to Iran.
The embargo on Iran, which is enforced through the International Emergency Economic Powers Act and the Iranian Transactions and Sanctions Regulations, prohibits the export, sale, and supply of goods to Iran by United States persons with very limited exceptions. It also prohibits, with very limited exceptions, United States persons from engaging in any transaction or dealing related to the sale or supply of goods to Iran.
This case is the product of an investigation by the Federal Bureau of Investigation. Assistant U.S. Attorney Shelley D. Weger is prosecuting the case.
If convicted, Niknia and Lant face a maximum statutory penalty of 20 years in prison and a $1 million fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Dyersburg Apartment Group Settles Race Discrimination CaseRead the Press Release
Memphis, TN – Lee Clark, 42, of Dyersburg, Tennessee and the United States have entered into a civil settlement with Dyersburg Apartments, Ltd. and MACO Management Company, a Missouri limited liability company. U.S. Attorney D. Michael Dunavant announced the settlement today.
According to information presented in the consent order, in January 2012, Lee Clark (who is African American), sought to move into the Meadow Lane Apartments in Dyersburg, TN with his ex-wife and their two children. Approximately one week later, MACO rejected his application – allegedly because Clark had a prior felony conviction. Mr. Clark was later banished from the property. However, an investigation by the United States revealed that the defendants had not rejected or banished two comparable white applicants with criminal records.
The defendants agreed to a settlement wherein they will pay Mr. Clark $42,250. They have also reaffirmed their commitment to non-discrimination and agreed to make public postings on-site regarding anti-discrimination rules and include anti-discrimination language in their advertisements, rental applications, and rental agreements. Defendants' employees will receive non-discrimination training, and, for a period of three years, they will submit regular reports to the Department of Justice. Among other things, defendants will be required to report any oral or written complaint of race discrimination, any application denied due to criminal history or criminal record, and any Letter of Banishment issued.
U.S. Attorney D. Michael Dunavant said: "Racial discrimination in housing is illegal, immoral, and unacceptable. This office will uphold the rule of law by enforcing all of the requirements of the Fair Housing Act to adequately address and deter racial discrimination in housing, and we are satisfied that this settlement achieves justice for the victim and the community at large."
On August 13, 2019, U.S. District Court Judge J. Daniel Breen ordered Dyersburg Apartments, Ltd., and MACO Management Company to resolve this civil claim judgment of $42,250 payable to Lee Clark.
Assistant U.S. Attorney David Brackstone prosecuted this case on behalf of the government.
Durham Woman Sentenced to 18 Months for Elder Fraud AbuseRead the Press Release
WINSTON-SALEM, N.C. B A Durham resident was sentenced today in federal court in Winston-Salem on bank fraud and wire fraud charges, announced United States Attorney Matthew G.T. Martin of the Middle District of North Carolina.
TERESA DENISE SCHNEIDER, age 52, of Durham, North Carolina, was sentenced to an 18 month term of imprisonment by United States District Judge Loretta Copeland Biggs. In addition, SCHNEIDER was ordered to serve five years of supervised release after completing her sentence, to make restitution in the amount of $336,173.89, and is subject to a forfeiture money judgment in the amount of $336,173.89. SCHNEIDER pleaded guilty to one count of bank fraud and one count of mail fraud in February 2019.
In 2010, SCHNEIDER was hired to help a retired doctor with meals, household cleaning, personal care, and shopping. SCHNEIDER also began to help her client pay his bills. In order to provide accountability, the client asked SCHNEIDER to provide copies of the monthly bank and credit card statements for all accounts held in his name to one of his sons. SCHNEIDER complied and emailed the monthly statements to her client’s son for his review. At no time did SCHNEIDER have signature authority on or any access to funds kept in any accounts, nor did she have her client’s power of attorney.
The client died in October 2013. While working on the father’s estate, his sons discovered that the statements provided by SCHNEIDER had been altered to remove and conceal transfers of funds to SCHNEIDER. Further investigation by the family and law enforcement revealed that SCHNEIDER had embezzled approximately $336,000.00 prior to the client’s death.
“Instead of honoring the elder she was hired to assist in his time of need, Ms. Schneider took advantage of her trusted position to defraud him. Thank you to the SBI and the US Postal Inspection Service for excellent work on this case. Financial fraud and exploitation of seniors in our communities is despicable. It violates federal law and all standards of decency,” said U.S. Attorney Martin. “It is a growing problem. That’s why the Department of Justice has made addressing elder fraud a priority, and why our office will aggressively investigate and prosecute these crimes.”
Locally, the United States Attorney’s Office works with the Federal Bureau of Investigation and the AARP to educate and inform senior Americans, their caregivers, and the public about fraud schemes targeting the elderly. The next program will take place at The Shepherd’s Center, 1700 Ebert Street, Winston-Salem, NC, on Monday, August 19, 2019 from 1:00 to 3:00 p.m.
The SCHNEIDER case was investigated by the North Carolina State Bureau of Investigation and the United States Postal Inspection Service. The case was prosecuted by Assistant United States Attorney Frank J. Chut, Jr.
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Dunsmuir Man Convicted of Threatening and Intimidating a Forest Officer and Threatening to Shoot Down Fire-Fighting HelicoptersRead the Press Release
REDDING, Calif. — U.S. Magistrate Judge Dennis M. Cota found Jason A. Tobey, 46, of Dunsmuir, guilty today of one count threatening, intimidating, and interfering with a forest officer, U.S. Attorney McGregor W. Scott announced.
Immediately following the verdict, Judge Cota sentenced Tobey to two years of probation and a $500 fine. Federal law prohibits threatening to damage, destroy, or disable any aircraft in the special aircraft jurisdiction of the United States with the apparent will and determination to carry out the threat.
On May 9, 2019, a one-day bench trial was held in the District Courthouse in Redding. According to evidence presented at trial, in Sept. 2018, Tobey confronted a U.S. Forest Service employee multiple times threatening to shoot down helicopters that were assisting with efforts to fight the Delta Fire while it burned in the Shasta-Trinity National Forest. The Forest Service was using Mott Airport in Dunsmuir as a helibase in accordance with an agreement with the city and Siskiyou County. The helicopters were performing tasks such as infrared mapping to assist firefighters on the ground. Tobey lived adjacent to the airport and was angry about the helicopters’ flight path. He told a Forest Service employee and a flight crew member that he was going to “shoot those [expletive referring to helicopters] out of the sky if I have to.” The following day Tobey returned to the airport gate after a helicopter landed and told the same Forest Service employee, “Did I not [expletive] make myself clear yesterday, or am I out of my [expletive] mind?”
Evidence at trial showed that pilots altered their preferred flight paths as a direct result of Tobey’s multiple threats. Judge Cota rejected Tobey’s contention that his threats were protected by the First Amendment because threats to commit an unlawful act of violence like those made by Tobey are designed to intimidate and are not protected by the First Amendment.
This case was the product of an investigation by the U.S. Forest Service. Assistant U.S. Attorney Christopher S. Hales prosecuted the case with assistance from U.S. Forest Service Patrol Captain Carson R. Harris.
Dominican National Pleads Guilty to Identity TheftRead the Press Release
BOSTON – A Dominican national formerly residing in Lawrence pleaded guilty yesterday in federal court in Boston to Social Security fraud and aggravated identity theft.
Freddy Tejada-Diaz, 50, a Dominican national formerly residing in Lawrence, pleaded guilty to one count of false representation of Social Security number and one count of aggravated identity theft. U.S. District Court Judge Richard G. Stearns scheduled sentencing for Nov. 13, 2019. Tejada-Diaz will be subject to deportation proceedings upon completion of his sentence.
On Aug, 1, 2016, Tejada-Diaz applied for a Massachusetts identification card using the name, date of birth and Social Security number of a Puerto Rican born United States citizen. At the time of his arrest in April 2019, Tejada-Diaz had an arrest warrant out of Plymouth Superior Court for drug charges and a warrant of removal issued out of a New York immigration court. Tejada-Diaz was identified, among other things, from a fingerprint match to his immigration file bearing his photo, which showed that he was previously ordered removed on Sept. 5, 1996, but did not report to his scheduled immigration hearing. Instead, on Sept. 30, 1996, Tejada-Diaz obtained a Massachusetts identification card in the name of the United States citizen and, until his recent arrest, had been using that identity ever since.
The charge of false representation of a Social Security number provides for a sentence of no greater than five years in prison, three years of supervised release and a fine of $250,000. The charge of aggravated identity theft provides for a mandatory two year prison sentence, to be served consecutive to any other sentence imposed, one year of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Jason Molina, Acting Special Agent in Charge of Homeland Security Investigations in Boston; and Scott Antolik, Special Agent in Charge of the Social Security Administration, Office of Inspector General, Office of Investigations, Boston Field Division, made the announcement today. Assistant U.S. Attorney Lindsey E. Weinstein of Lelling’s Major Crimes Unit is prosecuting the case.
District Man Pleads Guilty to Trafficking Crack Cocaine and Maintaining a Northeast, D.C. Stash Residence and ArsenalRead the Press Release
WASHINGTON – Michael Tobias, 37 of Southeast D.C., pled guilty today to trafficking crack cocaine and maintaining a stash residence and arsenal, announced U.S. Attorney Jessie K. Liu, Ashan M. Benedict, Special Agent in Charge of the Washington Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and Peter Newsham, Chief of the Metropolitan Police Department (MPD).
Tobias pled guilty before the Honorable Beryl A. Howell in the U.S. District Court for the District of Columbia to one count of possession with intent to distribute 28 grams or more of cocaine base. Tobias faces a mandatory minimum of five years of incarceration and up to 40 years of incarceration. Chief Judge Howell scheduled Tobias’ sentencing for October 25, 2019.
According to the government’s evidence, in June 2018, ATF agents and MPD officers began investigating the trafficking of narcotics from the 5200 block of Sheriff Road, Northeast, by narcotics traffickers that included Tobias. That block intersects the 900 block of 52nd Street, Northeast. During the investigation, law enforcement purchased 75 grams of crack cocaine from Tobias.
During certain of the drug purchases, Tobias would utilize a laundry room in the basement of 927 52nd Street, Northeast, in which to conduct his drug transactions. Video from the controlled purchases showed Tobias laying crack cocaine on the washer/dryer while counting the money provided by law enforcement for the drug purchases. As part of his plea, Tobias also acknowledged to using an apartment inside of 927 52nd Street, Northeast, to store, prepare, and package narcotics.
On May 21, 2019, during a search of the apartment pursuant to a warrant, ATF and MPD officers recovered eight digital scales, approximately $4,000 in U.S. currency, numerous forms of packaging material consistent with drug trafficking, such as, sandwich bags and unused ziplocs, three BB guns (two in pistol format, one in rifle format), and extensive quantities of marijuana and marijuana edibles for distribution. Tobias used the apartment to traffic narcotics with the assistance of another occupant, who was present at the residence during the search warrant. The occupant also had keys that led to an electrical closet in the basement laundry room, where a firearm and a small arsenal was recovered. In a ceiling crawl space, ATF and MPD officers recovered: (i) a Smith & Wesson .40 caliber pistol; (ii) eleven magazines, with a number of extended magazines, some of which were loaded; (iii) 862 rounds of ammunition in eight different calibers; (iv) a digital scale; (v) empty ziplocs for the packaging of narcotics; and (vi) firearm and ammunition boxes. The occupant, who assisted Tobias in the trafficking of narcotics from the stash residence, was murdered on July 9, 2019 while sitting in a vehicle two blocks away from the stash residence.
This case is part of an Organized Crime and Drug Enforcement Task Force (OCDETF) investigation. OCDETF specializes in the investigation and prosecution of drug trafficking and money laundering organizations and related criminal enterprises.
In announcing the plea, U.S. Attorney Liu and Chief Newsham commended the work of those who investigated the case, and acknowledged the assistance of the Uniform Division of the United States Secret Service and the Federal Bureau of Investigation’s laboratory, who assisted with the recovery of evidence and the fingerprint and DNA analysis of that evidence. They also cited the efforts of those who worked on the case from the U.S. Attorney’s Office for the District of Columbia, including Paralegal Specialist Candace Battle, Legal Assistant Peter Gaboton, and Assistant U.S. Attorneys Christopher Macchiaroli and Laura Crane of the Violent Crime and Narcotics Section, who conducted the underlying investigation, indicted the case, and prosecuted Tobias.
District Clergy Member Found Guilty of Multiple Counts of Child Sexual AbuseRead the Press Release
WASHINGTON – Urbano Vazquez, 47 of Washington, D.C., was found guilty by a jury today of committing four counts of child sexual abuse against to two children in his parish from 2015 to 2017, in Northwest Washington, announced U.S. Attorney Jessie K. Liu.
The guilty verdicts were returned Thursday, August 15, 2019, following a nine-day trial in the Superior Court of the District of Columbia. The Honorable Juliet McKenna scheduled sentencing for November 22, 2019.
The government’s evidence established that between on or about April 1, 2015 and May 31, 2015, Vazquez molested a 13-year-old girl while speaking with her in a parish office. In addition, between June 2016 and August 2017, Vazquez kissed and molested a separate 9-to-10-year-old girl in various places on church grounds, including near the church confessionals, in the church basement, and in the church sacristy. The jury also heard testimony from an additional teenage girl who Vazquez kissed in a church conference room.
In announcing the verdict, U.S. Attorney Liu commended the work of those who investigated the case from the Metropolitan Police Department and the Department of Forensic Sciences Leica Team. She also acknowledged the efforts of the FBI's Washington Field Office, and those who worked on the case from the U.S. Attorney’s Office, including Supervisory Litigation Technology Specialist Leif Hickling, Victim/Witness Program Specialist Juanita Harris Tracy Owusu, Supervisory Victim/Witness Services Coordinator Katina Adams-Washington, Supervisory Paralegal Specialist Lynda Randolph, Paralegal Tiffany Jones, Appellate Assistant U.S. Attorneys Elizabeth Trosman, Chrisellen Kolb, and Elizabeth Danello, Deputy Chief Mark O’Brien, Assistant U.S. Attorney Ryan Creighton, and interns Aquila Maliyekkal and Rustin Armknecht. In addition, she appreciated the assistance of Elizabeth Dewar, Assistant Chief Counsel, Department of Homeland Security. She also acknowledged the efforts of Assistant U.S. Attorneys J. Matt Williams and Sharon Marcus-Kurn, who investigated and prosecuted the case. Finally, she expressed appreciation for the support of members of the Order of Friars Minor Capuchin and the Archdiocese of Washington.
Ms. Liu also notes that on October 22, 2018, the Superior Court Division’s Sex Offense and Domestic Violence Section and the Victim Witness Assistance Unit of the U.S. Attorney’s Office for the District of Columbia launched a hotline and e-mail address for survivors to report child sexual abuse by clergy. She continues to encourage survivors of child sexual abuse by clergy who wish to share their experiences and/or those who have knowledge of such abuse are encouraged to report these incidents to the U.S. Attorney’s Office for potential criminal investigation and prosecution, as a part of the Office’s Superior Court Division intake process.
Survivors of child sexual abuse by a clergy member that took place in a house of worship, school, or other location in the District of Columbia can call the Clergy Abuse Reporting Line at 202-252-7008 or send an e-mail to [email protected]. Survivors can access further information by visiting the following website: https://www.justice.gov/usao-dc/victim-witness-assistance/report-clergy-abuse
All reports will be reviewed and a team of experienced criminal investigators, prosecutors, and victim advocates from the Superior Court Division of the U.S. Attorney’s Office will determine whether any criminal charges can be brought or victim services provided. The victim advocates, who are part of the Victim Witness Assistance Unit, are available to offer support and guidance to survivors who wish to report.
Depending on the nature of the report, some information may be referred to law enforcement or the Office of the Attorney General for the District of Columbia.
Individuals in need of police assistance or wishing to report any other criminal activity or sexual assault or abuse should call 911.
Detroit Man Sentenced to 292 Months for Conspiracy to Distribute Heroin and CarfentanylRead the Press Release
LEXINGTON, Ky. — Lamar Thornton, aka “Juice”, 26, of Detroit, was sentenced today, to 292 months in federal prison, by United States District Judge Karen K. Caldwell, for conspiracy to distribute heroin and carfentanyl.
In February 2019, a jury found Thornton guilty of participating in the conspiracy. The evidence at trial established that from July 2016 to January 2017, Thornton was a source of supply of heroin and carfentanyl and the Court ultimately found that, during the conspiracy, Thornton was responsible for 1.872 kilograms of heroin and 315 grams of carfentanyl. Thornton, who resided in Detroit, arranged for the heroin and carfentanyl to be distributed in Central Kentucky. The scope of this drug trafficking included an overdose in Central Kentucky. Thornton’s co-defendants, Jerrod Doolin, Jeffrey Ruggiero, Darmon Shaw, and Thomas Lehmann were previously sentenced for their participation in the conspiracy. Thornton has a prior conviction for trafficking in heroin and had absconded from parole.
“A critical component of our drug enforcement effort is the prosecution of out-of-state sources of supply and drug dealers who cause overdoses,” said Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky. “We remain committed to prosecuting these important cases. The defendant’s distribution of heroin and carfentanyl endangered many lives and contributed to addiction in Central Kentucky, for the sake of profits. His callous conduct certainly warrants the lengthy sentence he received.”
Under federal law, Thornton must serve 85 percent of his prison sentence; and upon his release, he will be under the supervision of the United States Probation Office for eight years.
United States Attorney Duncan and Christopher Evans, Special Agent in Charge of the DEA, jointly made the announcement.
The investigation was conducted by the DEA. The United States was represented by Assistant United States Attorneys Cynthia T. Rieker and Todd Bradbury.
Delaware County Man and Schoharie County Woman Sentenced for Sexual Exploitation of a ChildRead the Press Release
ALBANY, NEW YORK – Joshua Carey, age 38, of Stamford, New York, and Ariel Machia, age 28, of Middleburgh, New York, were sentenced today to 40 years and 30 years in prison, respectively, for their sexual exploitation of an infant.
The announcement was made by United States Attorney Grant C. Jaquith and James N. Hendricks, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI).
Carey and Machia both pled guilty to sexual exploitation of a child in February 2019, admitting that in 2016, they photographed one another engaged in sexually explicit conduct with a 1-year-old child. The couple was arrested for the offense in February 2018, when the images they produced were recovered by law enforcement in an unrelated investigation. They have been detained in federal custody since that time.
Today, Senior United States District Judge Thomas A. McAvoy sentenced Machia to serve 30 years in prison, followed by 20 years of supervised release. Carey, who is a registered sex offender with two prior convictions for rape in the second degree, was sentenced to serve a total of 40 years in prison, to be followed by lifetime supervised release. Both defendants will be required to register with the sex offender registry upon release.
This case was investigated by the FBI and its Child Exploitation Task Force, as well as the Schoharie County Sheriff’s Office, the Delaware County Sheriff’s Office, and the New York State Police. The case was prosecuted by Assistant U.S. Attorney Lisa M. Fletcher, Project Safe Childhood Coordinator for the Northern District of New York.
Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Defendant Pleads Guilty to Conspiring to Provide Material Support to ISISRead the Press Release
Azizjon Rakhmatov, a citizen of Uzbekistan and resident of New Haven, Connecticut, pleaded guilty today to conspiring to provide material support to a designated foreign terrorist organization, the Islamic State of Iraq and al-Sham (ISIS). Today’s plea took place before United States District Court Judge William F. Kuntz, II. When sentenced, Rakhmatov faces up to 15 years’ imprisonment.
Richard P. Donoghue, United States Attorney for the Eastern District of New York; John C. Demers, Assistant Attorney General for National Security; William F. Sweeney, Jr., Assistant Director-in-Charge, (FBI), New York Field Office; and James P. O’Neill, Commissioner, New York City Police Department (NYPD), announced the guilty plea.
According to court filings, Rakhmatov’s co-defendants Abdurasul Juraboev and Akhror Saidakhmetov planned to travel to Syria to fight on behalf of ISIS. Rakhmatov and co-defendant Abror Habibov discussed providing their own money to cover Saidakhmetov’s travel expenses and to purchase a firearm for Saidakhmetov once he arrived in Syria. Rakhmatov also agreed to collect money from others to fund Saidakhmetov’s travel. On the day before Saidakhmetov’s scheduled departure, Rakhmatov transferred $400 into co-defendant Akmal Zakirov’s personal bank account to facilitate Saidakhmetov’s travel to and expenses in Syria.
Juraboev, Saidakahmetov, Habibov and Zakirov have previously pleaded guilty. Juraboev and Saidakahmetov each were sentenced to 15 years’ imprisonment. Habibov and Zakirov are awaiting sentencing.
The government’s case is being handled by the Office’s National Security & Cybercrime Section. Assistant United States Attorneys Douglas M. Pravda, David K. Kessler, and J. Matthew Haggans are in charge of the prosecution, with assistance provided by Trial Attorney Steven Ward of the National Security Division’s Counterterrorism Section.
The Defendant:
AZIZJON RAKHMATOV
Age: 32
New Haven, ConnecticutE.D.N.Y. Docket No. 15-CR-95 (S-3)
Defendant Pleads Guilty to Conspiring to Provide Material Support to ISISRead the Press Release
Azizjon Rakhmatov, 32, a citizen of Uzbekistan and resident of New Haven, Connecticut, pleaded guilty today to conspiring to provide material support to a designated foreign terrorist organization, the Islamic State of Iraq and al-Sham (ISIS). Today’s plea took place before U.S. District Court Judge William F. Kuntz II.
John C. Demers, Assistant Attorney General for National Security; Richard P. Donoghue, U.S. Attorney for the Eastern District of New York, William F. Sweeney, Jr., Assistant Director-in-Charge, FBI, New York Field Office; and James P. O’Neill, Commissioner, New York City Police Department (NYPD), made the announcement.
According to court filings, Rakhmatov’s co-defendants Abdurasul Juraboev and Akhror Saidakhmetov planned to travel to Syria to fight on behalf of ISIS. Rakhmatov and co-defendant Abror Habibov discussed providing their own money to cover Saidakhmetov’s travel expenses and to purchase a firearm for Saidakhmetov once he arrived in Syria. Rakhmatov also agreed to collect money from others to fund Saidakhmetov’s travel. On the day before Saidakhmetov’s scheduled departure, Rakhmatov transferred $400 into co-defendant Akmal Zakirov’s personal bank account to facilitate Saidakhmetov’s travel to and expenses in Syria.
Juraboev, Saidakahmetov, Habibov and Zakirov have previously pleaded guilty. Juraboev and Saidakahmetov each were sentenced to 15 years’ imprisonment. Habibov and Zakirov are awaiting sentencing. When sentenced, Rakhmatov faces up to 15 years’ imprisonment.
Assistant United States Attorneys Douglas M. Pravda, David K. Kessler, and J. Matthew Haggans are in charge of the prosecution, with assistance provided by Trial Attorney Steven Ward of the National Security Division’s Counterterrorism Section.
Defendant Extradited to the United States from Mexico to Face Sex Trafficking ChargesRead the Press Release
Jose Miguel Melendez-Rojas was extradited to the United States yesterday, and is scheduled to be arraigned today before United States Magistrate Judge Vera M. Scanlon at the federal courthouse in Brooklyn on an 18-count indictment charging him with sex trafficking conspiracy, sex trafficking of minors, interstate prostitution, alien smuggling and money laundering conspiracy. Melendez-Rojas was arrested in February 2019 in Mexico following a joint investigation by U.S. Immigration and Customs Enforcement, Homeland Security Investigations, Mexico City and New York Offices, and the Mexican Federal Police. Melendez-Rojas is charged with five co-defendants: two were extradited from Mexico to the United States in October 2018, and three were previously arrested in the United States.
Richard P. Donoghue, United States Attorney for the Eastern District of New York, and Peter C. Fitzhugh, Special Agent-in-Charge, Homeland Security Investigations (HSI), New York, announced the extradition and charges.
“With this extradition, the defendant Jose Miguel Melendez-Rojas will be held accountable in a United States court for sex trafficking women and girls and related crimes,” stated United States Attorney Donoghue. “The Department of Justice is committed to prosecuting to the fullest extent of the law those who profit from forcing vulnerable victims into sexual servitude.”
“Melendez-Rojas was flown thousands of miles to face charges for his role in trafficking and victimizing young women purely for profit. It’s alleged that he, with others in this ‘family business,’ used intimidation and abuse to force their victims to participate in sexual acts against their will,” stated HSI Special Agent-in-Charge Fitzhugh. “The safety and well-being of the victim comes first and we will continue to work with our law enforcement partners in ensuring these criminal organizations cease to victimize for revenue.”
As alleged in the second superseding indictment and other court filings, between 2006 and July 2017, Melendez-Rojas, and his co-defendant relatives, smuggled young women and girls from Mexico into the United States, where they were forced to work as prostitutes in New York City and elsewhere. The defendants conspired to launder the proceeds of their sex-trafficking and prostitution activities to conceal the illicit nature of the proceeds.
The charges in the indictment are allegations, and the defendants are presumed innocent unless and until proven guilty. If convicted of the sex-trafficking-related charges, each defendant faces a mandatory minimum sentence of 15 years’ and a maximum of life imprisonment.
Mr. Donoghue commended HSI New York’s Trafficking in Persons Unit for leading the investigation, and thanked the HSI Mexico City Attaché Office, the Department of Justice’s Office of International Affairs, the State Department, Interpol and the New York City Police Department for their assistance. He also extended his grateful appreciation to the government of Mexico for its role in advancing bilateral anti-trafficking enforcement efforts, and acknowledged the non-governmental victim service providers and advocates for their dedicated efforts to restore and improve the lives of survivors of trafficking and their families.
The investigation, prosecution, bilateral enforcement action and extradition of the defendants apprehended in Mexico were coordinated through the U.S.-Mexico Bilateral Human Trafficking Enforcement Initiative. Since 2009, the Departments of Justice and Homeland Security have collaborated with Mexican law enforcement counterparts in the bilateral initiative to more effectively dismantle human trafficking networks operating across the U.S.-Mexico border, bring human traffickers to justice, restore the rights and dignity of human trafficking victims and reunite victims with their children. These efforts have resulted in successful prosecutions in both Mexico and the United States, including U.S. federal prosecutions of more than 170 defendants in multiple cases in Georgia, New York, Florida and Texas, in addition to numerous Mexican federal and state prosecutions of associated sex traffickers. The extraditions in this case are the latest development in the Eastern District of New York’s comprehensive anti-trafficking program, which has to date indicted more than 80 defendants for sex trafficking; assisted more than 150 victims, including over 40 minors; reunited 19 victims’ children with their mothers; and secured restitution orders of over $4 million on behalf of trafficking victims.
The government’s case is being handled by the Office’s Civil Rights Section. Assistant United States Attorneys Erin E. Argo and Monica K. Castro are in charge of the prosecution.
The New Defendant:
JOSE MIGUEL MELENDEZ-ROJAS
Age: 45
MexicoDefendants Previously Arrested:
FRANCISCO MELENDEZ-PEREZ (also known as “Paco” and “el Mojarra”)
Age: 25
Queens, New YorkFABIAN REYES-ROJAS
Age: 39
Queens, New YorkABEL ROMERO-MELENDEZ (also known as “La Borrega” and “Borrego”)
Age: 33
Queens, New YorkJOSE OSVALDO MELENDEZ-ROJAS
Age: 45
MexicoROSALIO MELENDEZ-ROJAS (also known as “Leonel, “Wacho” and “El Guacho”)
Age: 37
MexicoE.D.N.Y. Docket No. 17-CR-434 (ARR)
Convicted Drug Dealer Sentenced to Life in Prison for First Degree Murder of Drug SupplierRead the Press Release
LAS VEGAS, Nev. – A convicted drug dealer with a lengthy criminal history was sentenced to life in federal prison today in connection with the killing of a drug supplier at point-blank range during a drug deal gone bad in November 2013, announced United States Attorney Nicholas A. Trutanich for the District of Nevada.
Following a seven-day jury trial in May 2019, Louis Matthews, 37, was found guilty of conspiracy to possess marijuana with intent to distribute and using a firearm during and in relation to a drug trafficking crime resulting in death. United States District Judge Andrew P. Gordon presided over the trial.
The evidence at trial showed that Matthews, less than a month after being released from prison, having just served a lengthy sentence for possessing cocaine with the intent to distribute, planned the drug deal. On November 20, 2013, Matthews and his cousin, co-conspirator John Thomas, met in a North Las Vegas apartment to buy 20 pounds of marijuana from three suppliers: Angel Juarez, Julio Nunez, and Luciano Madrigal-Herrera. During the deal, Matthews and Thomas drew handguns and shot Madrigal-Herrera seven times at point-blank range in the chest, killing him. Matthews and Thomas then grabbed the marijuana and ran. Nunez chased after them with a shotgun, shooting Thomas in the back shoulder and causing him to drop the marijuana they stole.
Thomas, Nunez, and Juarez have all been sentenced to prison on charges related to the homicide.
Matthews has prior felony convictions for Possession of a Controlled Substance in 2001, Bribing or Intimidating Witness to Influence Testimony in 2004, Possession of a Controlled Substance in 2005, Possession with Intent to Distribute Cocaine Base in 2005 and Battery with Substantial Bodily Harm in 2015.
The investigation was conducted jointly by the Bureau of Alcohol, Tobacco, Firearms and Explosives and North Las Vegas Police Department. The case was prosecuted by Assistant United States Attorneys Alexandra Michael, Phillip Smith, and Steven Myhre.
This case was brought as part of Project Safe Neighborhoods (PSN), a nationwide program by the Department of Justice that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. The Department has made turning the tide of rising violent crime in America a top priority. In October 2017, as part of a series of actions to address this crime trend, the Department announced the reinvigoration of PSN. For more information about PSN, visit www.justice.gov/usao-nv.
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Chester County Man Sentenced to Two Years of Imprisonment for Fleeing from Federal Park RangersRead the Press Release
SCRANTON- The United States Attorney’s Office for the Middle District of Pennsylvania announced that on August 14, 2019, Jeffrey J. Steigelmann III, age 27, of Chester County, Pennsylvania, was sentenced to 24 months’ imprisonment, by United States District Court Judge James M. Munley, for fleeing from a law enforcement official.
According to United States Attorney David J. Freed, Steigelmann fled from National Park Service Rangers in the Delaware Valley Water Gap Recreation Area on October 21, 2018, in an automobile. After a lengthy high-speed chase, he was ultimately apprehended in Port Jervis, New York, after attempting to drive through a police barricade and puncturing his tires. Law enforcement recovered heroin and marijuana from Steigelmann’s vehicle.
Another individual involved in the incident, Saul Rivkin, age 55, of Chester County, pleaded guilty on July 2, 2019, to fleeing from National Park Service Rangers. Rivkin is awaiting sentencing.
The investigation was conducted by the National Park Service Rangers and other state and local law enforcement officials. Assistant United States Attorney Phillip J. Caraballo is prosecuting the case.
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Cheryl Broussard Pleads Guilty to Wire FraudRead the Press Release
KNOXVILLE, Tenn. – Cheryl D. Broussard, 63, of Miami, Florida, entered a plea of guilty on August 14, 2019, in the United States District Court for the Eastern District of Tennessee at Knoxville, to a federal indictment charging her with wire fraud. Sentencing has been set for January 16, 2020, at 2:00 p.m., in United States District Court in Knoxville. Broussard faces a term of up to 20 years in prison.
In a written plea agreement, Broussard admitted to entering into an investment agreement with Iota Phi Lambda Sorority, Inc., a national business and professional women’s sorority, through which she would manage $100,000 of the sorority’s funds in securities. She told the sorority that she was employed at Contenta Capital Group, and falsely claimed that she was a registered investment advisor. Broussard sent periodic reports, containing fabricated information, to the sorority concerning the status of their investments. Rather than investing the funds, however, Broussard converted the money to her own use.
This prosecution was the result of an investigation by the Federal Bureau of Investigation. Trial Attorneys Tracee Plowell and Michelle Pascucci, of the U.S. Department of Justice, Fraud Section, and Assistant United States Attorney Frank M. Dale, Jr., represented the United States.
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Cardinal Lawn and Landscape, Inc. and its President both Plead Guilty to Conspiracy to Commit Visa FraudRead the Press Release
St. Louis, MO – William J. Richardet, 64, of Jefferson County, and Cardinal Lawn and Landscape, Inc., of High Ridge, MO, both pled guilty to one count each of conspiracy to commit visa fraud. Richardet appeared before U.S. District Court Judge Henry Autrey who accepted his plea and set sentencing for November 12, 2019.
According to court documents, from January 2012 until December 2017, Richardet knowingly caused Cardinal Lawn and Landscape, Inc. (Cardinal) to submit false and fraudulent claims and statements on both Form 9142s (submitted to Department of Labor) and Form I-129s (submitted to Department of Homeland Security, Citizenship and Immigration Services) related to Cardinal’s application to receive H-2B Non-Immigrant workers. On these forms, Cardinal and Richardet fraudulently represented that they would seasonally employ foreign workers to provide landscaping and grounds keeping labor exclusively for Cardinal. These statements were falsely made as Richardet intended to lease, and did lease, a number of the foreign workers to various other companies for profit. Over the course of the conspiracy, Cardinal and Richardet leased 74 H-2B Non-Immigrant workers to seven different companies.
“William Richardet and his company, Cardinal Lawn & Landscape, submitted false documents to the U.S. Departments of Labor and Homeland Security to perpetrate a scheme by illegally subcontracting foreign workers he sponsored for H2-B visas. We will continue to work with our law enforcement partners to vigorously pursue those who defraud worker visa programs for their own personal gain,” said Irene Lindow, Special Agent in Charge, Chicago Region, U.S. Department of Labor Office of Inspector General.
Richardet faces a maximum penalty of 15 years in prison, a fine of $250,000 or both. Cardinal faces a maximum fine of $500,000 and 5 years probation. In determining the actual sentence, a Judge is required to consider the U.S. Sentencing Guidelines, which provides recommended sentencing ranges.
The U.S. Department of Labor, Office of Inspector General and the U.S. Department of Homeland Security, with the assistance of the U.S. Department of State’s Bureau of Diplomatic Security, investigated the case. Assistant United States Attorney Kyle Bateman is handling the case for the U.S. Attorney’s Office.
Busby man sentenced to prison for sexually abusing minorRead the Press Release
BILLINGS—A Busby man who admitting having sex with a minor on the Northern Cheyenne Reservation in 2017 was sentenced today to 37 months in prison and to five years of supervised release, said U.S. Attorney Kurt Alme.
Romer Jesse Jaure, 28, pleaded guilty in April to sexual abuse of a minor.
U.S. District Judge Susan P. Watters presided.
In court documents filed in the case, the prosecution said Jaure had sex with a minor in September 2017 at his residence after he and the victim had been drinking and smoking marijuana. The victim told Jaure no but he ignored her. The victim was between the ages of 12 and 16 at the time.
Assistant U.S. Attorney Bryan Dake prosecuted the case, which was investigated by the FBI.
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Buffalo Man Sentenced for Possession of Butyryl FentanylRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051Buffalo, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Myles Scales, 28, of Buffalo, NY, who was convicted of possession with intent to distribute butyryl fentanyl, was sentenced to serve 18 months in prison by Chief U.S. District Judge Frank P. Geraci, Jr.
Assistant U.S. Attorney Seth T. Molisani, who handled the case, stated that on November 14, 2017, two Buffalo Police Officers observed a blue 2013 Dodge Avenger park in the vicinity of 1310 Broadway for a few minutes before leaving. Approximately 20 minutes later, the officers observed the same vehicle park again near 1310 Broadway, where it once again remained for a few minutes before departing.
The officers followed the vehicle to the intersection of Broadway and Miller Avenue, at which time the defendant jumped out of the front passenger door of the vehicle and shuffled through traffic to the sidewalk. The officers got out of their vehicle and approached Scales who placed his right hand into the pocket of his hoodie. Concerned that the defendant was reaching for a weapon, one the officers took the defendant’s hand and pulled it from the pocket. Scales was clutching a large plastic bag. Inside the bag were nine bundles which contained 81 white and blue-checkered glassine envelopes of butyryl fentanyl.
The sentencing is the result of an investigation by the Buffalo Police Department, under the direction of Commissioner Byron Lockwood, and the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division.
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Buffalo Man Pleads Guilty to Committing A Bomb HoaxRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that James Timpanaro, 55, of Buffalo, NY, pleaded guilty before Chief U.S. District Judge Frank P. Geraci, Jr. to false information and hoaxes. The charge carries a maximum penalty of five years in prison and a $250,000 fine.
Assistant U.S. Attorneys Joel L. Violanti and Brendan T. Cullinane, who are handling the case, stated that on October 26, 2018, the defendant placed an apparent explosive device near the front door of the Buffalo Police Department station house on South Park Avenue in Buffalo. He then placed a second similar-type device in the back of the same police station. Both devices had all the features of a homemade explosive-type bomb, with protruding wires wrapped around a pipe-like instrument. The devices were safely secured by the Erie County Sheriff’s Department’s bomb squad, the ATF, and the FBI, but were later determined to be “clear of hazard.”
The following day, on October 27, 2018, Timpanaro placed another apparent explosive device near the front of the United States Postal Service, also on South Park Avenue in Buffalo. Once again, the device appeared to be a bomb, with protruding wires wrapped around a pipe-like instrument, with screws and nails. This device also contained a note stating, “RESIST COMMUNISM, THE POLICE STATE AND THE DEMOCRATIC PARTY.” This device was also safely secured and determined to be “clear of hazard.”
On November 2, 2018, the FBI and Buffalo Police executed a search warrant at the defendant’s Richfield Avenue residence. Investigators seized materials consistent with fake bombs, including broom stick handles, shavings, wires, and other materials. Timpanaro was subsequently arrested and charged by criminal complaint.
Later on November 2, 2018, the defendant made an initial appearance before U.S. Magistrate Judge H. Kenneth Schroeder, Jr., who ordered Timpanaro to complete an inpatient psychiatric and alcohol evaluation at the Buffalo VA Medical Center. Between January 26 and January 27, 2019, the defendant failed to comply with Judge Schroeder’s order to abide by all rules and directives of the inpatient treatment program, when he left the facility. Timpanaro was quickly apprehended by the U.S. Marshal Fugitive Task Force.
The plea is the result of an investigation by the Federal Bureau of Investigation, Buffalo office, under the direction of Special Agent-in-Charge Gary Loeffert; the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge John B. Devito, New York Field Division; the Buffalo Police Department, under the direction of Commissioner Byron Lockwood; the U.S. Marshal Service, under the direction of Marshal Charles Salina; and the U.S. Probation Department, under the director of Chief Probation Officer Anthony SanGiacomo.
Sentencing is scheduled for November 14, 2019, at 2:00 p.m. before Judge Geraci.
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Birmingham Psychologist Agrees to Plead Guilty to Defrauding State Medicaid Agency of $1.5 Million by Filing False Claims for CounselingRead the Press Release
BIRMINGHAM— A one-count information filed yesterday in U.S. District Court charges a Birmingham psychologist with defrauding the Alabama Medicaid Agency by filing false claims for counseling services that were not provided, announced U.S. Attorney Jay E. Town, U.S. Department of Health and Human Services-OIG Special Agent in Charge Derrick L. Jackson, and Alabama Attorney General Steve Marshall.
SHARON D. WALTZ, 50, operated Capstone Medical Resources in a number of locations around Alabama, with its primary office in Birmingham. Among other services, Waltz provided individual and group counseling sessions for at-risk youth. The information charges that many of the services billed to the Alabama Medicaid Agency were never performed. Waltz has agreed to plead guilty to conspiracy to defraud Medicaid of at least $1.5 million. Waltz has also agreed to pay restitution to Medicaid in the amount of $1.5 million.
“The greed of this defendant deprived mental health care to many at-risk young people in Alabama, with the focus on profit rather than the efficacy of care,” Town said. “The costs are not just monetary, but have social and health impacts on the entire Northern District. This prosecution, and this investigation, demonstrates what is possible when federal and state law enforcement agencies work together.”
“This defendant was entrusted to provide essential mental health care for young people who were at risk, and to provide these services through an agency with scarce resources for vulnerable Alabamians who are truly in need,” said Attorney General Marshall. “Her actions demonstrate a callous abuse of this trust and a fraud of staggering proportions against the Alabama Medicaid Agency and the taxpayers of our state. Thankfully, the vigilance of this agency served to protect public funds from further misuse and she has been held to account and punished for her crimes.”
“Stealing tax payer dollars meant for vital community services will not be tolerated,” said Derrick L. Jackson, Special Agent in Charge for the Office of Inspector General of the U.S. Department of Health and Human Services. “The OIG will continue to work with our partners at the Alabama Medicaid Fraud Control Unit to ensure that fraud schemes such as these are identified and the perpetrators punished.”
An investigation was initiated by the Program Integrity Division of the Alabama Medicaid Agency after an audit showed that Waltz’s billings to the Medicaid Agency had increased from $99,000 in 2015 to more than $2.2 million in 2017. The Program Integrity Division referred its findings to the Attorney General’s Medicaid Fraud Control Unit after Waltz submitted falsified records during the Program Integrity audit.
A subsequent investigation was conducted by the Medicaid Fraud Control Unit and the Office of Investigations of the U.S. Department of Health and Human Services Office of Inspector General. This investigation determined that the majority of claims submitted by Capstone during 2016 through 2018 were fraudulent and that Waltz submitted and directed her employees to submit claims for counseling services that never occurred, and in some instances for individuals—including family members and friends of employees—who never received services at all.
The U.S. Department of Health and Human Services OIG, the Alabama Attorney General’s Medicaid Fraud Control Unit, and the Program Integrity Division of the Alabama Medicaid Agency, investigated the case, which Assistant U.S. Attorney J.B. Ward and Assistant Attorney General Bruce Lieberman, working as a Special Assistant U.S. Attorney, are prosecuting.
Attorney Licensed in New Jersey and New York Charged with Marijuana OffensesRead the Press Release
SACRAMENTO, Calif. — Manish Patel, 33, of Granite Bay, appeared today in federal court on charges of conspiracy and possession with intent to distribute marijuana plants and tetrahydrocannabinols contained in hashish oil, U.S. Attorney McGregor W. Scott announced.
According to court documents, Patel is a licensed attorney in New Jersey (admitted in 2015) and New York (admitted in 2017). The complaint alleges that Patel conspired to transport marijuana and concentrated cannabis oil across the country using his private airplane, a Learjet. In May and June 2019, law enforcement in California executed search warrants that resulted in the seizure of approximately 1,400 pounds of marijuana contraband and $400,000 in cash.
One of the locations searched was a warehouse being used as a concentrated cannabis manufacturing laboratory, from which detectives seized over 980 pounds of processed marijuana and 88.27 pounds of concentrated cannabis. A second location searched was a Granite Bay mansion rented by Patel that contained processed marijuana, items commonly used to manufacture concentrated cannabis, and over $400,000 cash. In August 2018, the DEA interdicted Patel and several associates at an executive airport in Albuquerque, New Mexico and seized $80,000 in cash. When investigators searched the Learjet in June 2019, it contained 181.51 pounds of dried marijuana and 18.41 pounds of concentrated cannabis. The flight plan for the Learjet showed that it was scheduled to fly to Colorado, then Illinois, and then New Jersey.
This case is the product of an investigation by the Drug Enforcement Administration, the El Dorado Sheriff’s Office, the El Dorado District Attorney’s Office, the Placer County Sheriff’s Office, and the Placer County District Attorney’s Office. Assistant U.S. Attorneys Kevin Khasigian and Vincenza Rabenn are prosecuting the case.
If convicted, Patel faces a maximum statutory penalty of 20 years in prison. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Assault sends Crow Agency man to prisonRead the Press Release
BILLINGS—Crow Agency resident Ralph Kenneth Costa was sentenced today to two years in prison and three years of supervised release after he admitted to assault charges for dragging the victim with his vehicle, U.S. Attorney Kurt Alme said.
Costa, 34, pleaded guilty in April to assault resulting in substantial injury to a dating partner.
U.S. District Judge Susan P. Watters presided.
The prosecution said in court records that the assault occurred on July 4, 2017 as Costa and the victim were driving from Dunmore, on the Crow Indian Reservation, to Hardin. Both were intoxicated. During the trip, Costa got angry with the victim and began hitting her in the head. The victim asked Costa to pull over so she could get out. Costa pulled over on a concrete bridge, and as the victim got out, Costa pulled forward, knocking down the victim. Costa then backed up, pulling the victim under the open door and dragging her on the concrete. A witness who was behind Costa’s vehicle took the victim to the hospital. The victim suffered cuts, abrasions and road rash.
Assistant U.S. Attorney Tom Godfrey prosecuted the case, which was investigated by the FBI.
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Albany County Man Pleads Guilty to Sexually Exploiting a Child and Child Pornography OffensesRead the Press Release
ALBANY, NEW YORK – Douglas Fountain, age 30, of Colonie, New York, pled guilty today to eight counts of sexual exploitation of a child, one count of transportation of child pornography, and two counts of possession of child pornography.
The announcement was made by United States Attorney Grant C. Jaquith and Kevin Kelly, Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI).
As part of his guilty plea, Fountain admitted that on eight occasions between July 2017 and July 2018, he used cell phones to create videos and images of a minor engaging in sexually explicit conduct, some of which included Fountain engaging in sexual acts with the minor. Fountain also admitted to sharing some of those images on a foreign, image-sharing website, and to possessing images of child pornography on his laptop computers, including images depicting the sexual abuse and exploitation of pre-pubescent girls.
Sentencing is scheduled for December 11, 2019 in Albany before Senior United States District Judge, Thomas J. McAvoy. Fountain faces at least 15 years and up to 30 years in prison on each of the sexual exploitation counts, between 5 and 20 years in prison on the transportation count, and up to 20 years in prison on each of the possession counts. Fountain also can be sentenced to at least 5 years and up to lifetime post-imprisonment supervised release. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.
This case was investigated by HSI and is being prosecuted by Assistant U.S. Attorney Alicia Giglio Suarez.
This case is being prosecuted as part of Project Safe Childhood. Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), and is designed to marshal federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Wednesday 14 August 2019
Willowick man indicted on child pornography chargesRead the Press Release
A Willowick man was indicted on child pornography charges,
Craig A. Gruden, 37, was indicted on one count of receiving and distributing visual depictions of minors engaged in sexually explicit conduct and one count of possessing child pornography.
Gruden knowingly received and distributed computer files which contained images of real minors engaged in sexually explicit conduct. This took place between August and December 2018, according to the indictment.
Gruden, on July 16, 2019, possessed a computer which contained images of children under the age of 12 engaged in sexually explicit conduct, according to the indictment.
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases, the sentence will not exceed the statutory maximum and, in most cases, it will be less than the maximum.
The case is being prosecuted by Assistant United States Attorney Danielle K. Angeli following an investigation by the Department of Homeland Security.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Virgin Islands U.S. Attorney’s Office and Project Safe Neighborhoods Sponsor Camp DEFY: VI Youth Meet with the Legislature of the Virgin IslandsRead the Press Release
St. Thomas, USVI - United States Attorney Gretchen C.F. Shappert announced today that approximately 50 V.I. youths are attending Camp DEFY (Drug Education for Youth) this week in St. Thomas with plans for Camp DEFY next week on St. Croix. Camp DEFY is supported by the United States Attorney’s Office through the Project Safe Neighborhoods (PSN) initiative and through Weed and Seed. Additional funding is also provided through the PR/VI High Intensity Drug Trafficking Area (HIDTA) partnership. Camp DEFY trainers and facilitators are provided by the Virgin Islands Police Department (VIPD) and the Virgin Islands National Guard.
Camp DEFY has two phases, In Phase 1, youths attend a one-week residential camp. Over the course of the week, the participants learn important skills such as setting goals, avoiding violent conflicts, and refusing drugs offered by a friend. Camp DEFY uses a variety of activities to develop the whole person: body, mind, and spirit. Students are taught in a classroom setting the following topics: substance abuse prevention; self-esteem; setting goals; developing healthy, positive relationships; conflict resolution; citizenship; gang awareness; de-glamorization and hygiene; nutrition, safety, and first aid. Every session of Camp DEFY is designed to foster positive values and a healthy drug-free lifestyle.
"Camp DEFY is a prime example of how federal and territorial law enforcement, community leaders, and concerned citizens are working together to provide recreational opportunities for young Virgin Islanders, delivered with a positive message of hope and empowerment. At Camp DEFY, our young people spend time with role models and caring adults, who encourage them to set goals, dream big, and resist the negative influences of gangs, drugs, and violence," U.S. Attorney Shappert said. "Camp DEFY is a vital part of the PSN prevention initiative in the Territory. While law enforcement and prosecutors work to take violent offenders off the streets, we also collaborate with members of this community who care deeply about the well-being of our children. Today’s trip to the Legislature in St. Thomas provided our young people with an opportunity to see democracy in action and to celebrate their commitment to a drug-free, gang-free future."
In particular, Shappert singled out Jaqueline Freeman, Director of the VIPD Crime Prevention Bureau and Chair of the USVI PSN Law Enforcement Planning Commission for her work in the organization of Campy DEFY. "Director Freeman does an amazing job for VIPD and this community," Shappert said. "We are grateful for her leadership and for the assistance provided by all of our PSN partners and Camp DEFY supporters."
Violent Mexican national sentenced for illegally re-entering the United StatesRead the Press Release
GAINESVILLE, Ga. – Sadat Alvarez-Sanchez, a Mexican national, has been sentenced for illegally entering the United States after having previously been deported.
“This office continues to collaborate closely with our federal partners to identify and prosecute violent criminals who disregard our immigration laws and unlawfully re-enter the United States,” said U.S. Attorney Byung J. “BJay” Pak.
“This case is another example of the important work that the women and men of ICE do daily to keep our communities safe,” said ICE Atlanta Field Office Director Sean Gallagher.
According to U.S. Attorney Pak, the charge, and other information presented in court: Enforcement and Removal Operations (ERO) officers with Immigration and Customs Enforcement (ICE) encountered Alvarez-Sanchez on September 24, 2018, in Hall County, Georgia. At the time, Alvarez-Sanchez was being held at the Hall County Detention Center following his arrest on felony drug charges. ERO officers performed a background check and determined that Alvarez-Sanchez had recently been deported from the United States on April 12, 2018.
Alvarez-Sanchez’s previous deportation resulted from convictions for violent felony offenses in North Carolina, including 2005 convictions for attempted first degree murder, robbery with a dangerous weapon, and first degree kidnapping and a 2012 conviction for assault with a deadly weapon with the intent to seriously injure.
Alvarez-Sanchez, 40, of Veracruz, Mexico, was sentenced by U.S. District Judge Richard Story to two years, six months in federal prison. He will be deported after completing his sentence. Alvarez-Sanchez pleaded guilty on March 25, 2019, to illegally re-entering the United States.
This case was investigated by the Department of Homeland Security, Immigration and Customs Enforcement’s Office of Enforcement and Removal Operations.
Special Assistant U.S. Attorney Greg Radics prosecuted 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.
Venezuelan National Indicted in ATM "Jackpotting" CaseRead the Press Release
LAS VEGAS, Nev. – A Venezuelan national was arraigned in federal court today for allegedly hacking into several ATM machines at a casino in Primm causing the machines to dispense large amounts of cash similar to a jackpot, announced United States Attorney Nicholas A. Trutanich for the District of Nevada.
“Our office is committed to investigating and prosecuting all cybercriminals – including computer hackers who illegally ‘jackpot’ ATM machines in Nevada – as they attempt to come up with new ways to circumvent cybersecurity systems,” said United States Attorney Trutanich.
Jesus Ernesto Reyes Garcia, aka “Abraham Meza Cardenas,” 42, was indicted by a Grand Jury on August 6, 2019, with six counts of computer fraud. Reyes Garcia was arrested in California on a federal complaint and appeared today before United States Magistrate Judge Cam Ferenbach. A jury trial is scheduled for October 7, 2019, before United States District Judge James C. Mahan.
According to court documents, in March 2019, the United States Secret Service was contacted regarding tampering with ATM machines in the Primm, Nevada area. It was reported there was a discrepancy between the amount of money requested and the amount actually dispensed. This is an indication of ATM “jackpotting” or a “Man-in-the-Middle” attack. ATM jackpotting refers to the use of malware to exploit the vulnerabilities in ATM machines that result in the machines dispensing more cash than authorized. ATM Man-in-the-Middle attacks refer to the use of a device being inserted into the ATM to effectively tricking the ATM into dispensing cash.
As alleged, from February 18, 2019 to March 3, 2019, Reyes Garcia and others were observed on surveillance video placing an unknown device behind various ATM machines located in the Primm Valley Resort Chevron. While at the ATM, Reyes Garcia allegedly used stolen and fraudulent credit cards to withdraw cash. Each time a $20 withdrawal was requested, $800 or $1,000 would be dispensed. As alleged, Reyes Garcia conducted a total of approximately 150 transactions and fraudulently withdrew a total of about $125,000 in cash.
An indictment is merely an allegation, and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
The case was investigated by the United States Secret Service and is being prosecuted by Assistant United States Attorney Christopher Chiou.
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U.S. Department of Justice Celebrates the Asset Recovery UnitRead the Press Release
INDIANAPOLIS - There are a multitude of duties performed by the United States Attorney’s Office (USAO) for the Southern District of Indiana (SDIN) that gain consistent recognition. The Asset Recovery Unit continually works to collect federal debts and forfeit assets related to criminal activity. Each USAO employee in the Asset Recovery Unit works toward one primary objective: to use their best efforts to divest criminals of their property and return the proceeds to victims of crime.
"I am proud of the members of the Asset Recovery Unit for performing great work and for their continued efforts, which have resulted in the large collection of funds and other assets generated from criminal activity," said United States Attorney, Josh Minkler. "The Asset Recovery Unit does important work in making victims of crime whole again."
The Asset Recovery Unit is comprised of two units: the Financial Litigation Unit (FLU) and the Asset Forfeiture Unit (AFU). The two units joined forces in 2012 to form the Asset Recovery Unit. Both of these sectors are significant to tax payers because they collect debts owed to the United States government and victims of crime.
The FLU is responsible for collecting civil and criminal debts that are owed to the United States and victims of crime in a timely, aggressive, and effective manner. Cases opened in the FLU remain open years past their initial debt, but that does not stop new cases from being opened. So far in Fiscal Year 2019 (beginning on Oct. 1, 2018 and ending on Sept. 30, 2019) there have been 381 cases opened. Through the Fiscal Year to date the FLU has collected $5,490,559.
The AFU generally handles the forfeiture of all assets related to criminal activity and/or belonging to a criminal defendant. Cases can be either civil or criminal asset forfeiture litigation. So far into the Fiscal Year the AFU’s efforts have resulted in recoveries of $2,444,262.
"With dedication and resolve, those working in the ARU do everything in their power to make sure that offenders do not profit from their crimes and that victims receive the support and assistance they are entitled to," said First Assistant United States Attorney and former Asset Recovery Unit Manager, John Childress.
Two Georgia Residents Sentenced to Federal Prison for Participating in Fraud that Scammed Iowa VictimRead the Press Release
Two Georgia residents who participated as “money mules” in a scheme to defraud victims across the country out of more than $300,000 were each sentenced today to federal prison.
Ikenna Orakwelu, age 33, a naturalized U.S. citizen originally from Nigeria, and Schylundye Thomas, age 27, both currently living in Atlanta, Georgia, received the prison terms after previous guilty pleas to wire fraud.
In a plea agreement, Orakwelu admitted that from August 2015 through June 2016, he participated in a scheme to defraud businesses and individuals across the country. Orakwelu admitted that he or his wife, who he admitted he recruited and directed in the scheme, controlled multiple bank accounts and that other participates of the scheme lied to businesses and individuals to get the victims to transfer money to these bank accounts. In total, more than $150,000 in fraudulent money was wired into Orakwelu’s bank accounts, though some of the money was recovered by authorities.
Thomas did not know Orakwelu but participated in the same scheme to defraud by also controlling bank accounts into which victims of fraud wired money. Victims from Iowa, Utah, Idaho, and other states all wired money into Thomas’s bank accounts. Overall, more than $290,000 was wired into Thomas’s accounts.
Orakwelu and Thomas were sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Orakwelu was sentenced to 12 months’ imprisonment. He was ordered to make $25,000 in restitution the victims of the scheme. He must also serve a two-year term of supervised release after the prison term. Thomas was sentenced to 9 months’ imprisonment. She was ordered to make $237,388.12 in restitution the victims of the scheme. She must also serve a two-year term of supervised release after the prison term. There is no parole in the federal system.
Orakwelu was released on the bond previously set and is to surrender to the Bureau of Prisons on a date yet to be. Thomas remains in the custody of the United States Marshall.
The case was prosecuted by Assistant United States Attorney Anthony Morfitt and investigated by Homeland Security Investigations and the Dubuque Police Department.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 18-cr-1033.
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Two Allegan County Men Indicted for Stealing Nearly $300,000 in Elder Fraud SchemeRead the Press Release
Picture of James Black and Tyler HarrisThe federal grand jury alleges that James Black and Tyler Harris deceived an elderly victim into paying nearly $300,000 in fraudulent home repairs.
GRAND RAPIDS, MICHIGAN — United States Attorney Andrew Birge announced today that a federal grand jury indicted James Robert Black (a/k/a “Jim Gribble” and “Victor Valentine”) and Tyler Maurice Harris for their scheme to defraud an elderly Holland, Michigan homeowner out of nearly $300,000. Harris was taken into custody and appeared today before federal Magistrate Judge Ellen Carmody. Black’s whereabouts remain unknown.
Black, age 55, and Harris, 24, are charged together in a conspiracy to commit wire fraud. Harris also faces a separate charge of welfare fraud. The conspiracy charge carries a possible prison term of 20 years. The welfare fraud charge carries a maximum penalty of up to ten years.
The indictment alleges that Black and Harris defrauded an elderly Holland homeowner of $298,000 through a fraudulent home repair scheme. The homeowner hired Black, who went by the name “Jim Gribble” to do a roof repair. After that, the defendants persuaded the homeowner to pay almost $300,000 for a series of false problems associated with the project, including dangerous working conditions, employee injuries, lawsuits and tax issues.
The investigation into the activities of Black and Harris remains ongoing. Anyone who believes they have dealt with either man and are the victim of fraud should call Homeland Security Investigations at 616-235-3936 or the U.S. Attorney’s Office at 616-808-2034. Anyone knowing the whereabouts of Black should call Homeland Security Investigations at 616-235-3936.
Homeland Security Investigations (HSI) is handling this investigation; Assistant U.S. Attorney Timothy VerHey is handling the prosecution.
The charges in an indictment are merely accusations, and a defendant is presumed innocent until and unless proven guilty in a court of law.
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Trumbull Man Who Illegally Removed Asbestos at New Haven Property is SentencedRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, and Tyler C. Amon, Special Agent in Charge of EPA’s Criminal Investigation Division in New England, announced that ALEKS RAKAJ, 46, of Trumbull, was sentenced today by U.S. District Judge Janet Bond Arterton in New Haven to one year of probation and a $9,500 fine for illegally removing asbestos at a New Haven property.
According to court documents and statements made in court, Aleks Rakaj and his two cousins purchased a commercial property located at 206-220 Wallace Street in New Haven. Prior to purchasing the property, the realtor informed Rakaj and his cousins that the property contained asbestos. Shortly after the purchase was completed, Rakaj and his cousins failed to abide by laws and regulations concerning asbestos removal, resulting in exposure of those who were at the site to the negative health effects of asbestos.
On November 20, 2015, inspectors from the City of New Haven Health Department, conducting an unannounced inspection, discovered the illegal asbestos removal project at 206-220 Wallace Street. The inspection revealed multiple instances of illegal removal of asbestos-containing “air cell” pipe wrap and asbestos-containing “mag block” tank and boiler insulation. The workers failed to abide by legally required safety measures, failed to perform necessary wetting and failed to dispose of the asbestos-containing waste material at appropriate disposal sites. Inspectors also observed and photographed 100-150 standard garbage bags filled with unlabeled, unwetted asbestos-containing material.
On May 22, 2019, Rakaj pleaded guilty to one count of illegal asbestos removal in violation of the Clean Air Act.
Rakaj’s cousins, Rezart Rakaj, of Ansonia, and Kliton Rakaj, of Monroe, previously pleaded guilty to the same offense. On April 1, 2019, they were each sentenced to one year of probation, a fine of $9,500, and 50 hours of community service.
“The illegal removal of asbestos insulation and the associated removal of scrap pipe and boilers from old buildings continues to be a problem throughout the Northeast,” said EPA-CID Special Agent in Charge Amon. “Inhalation of asbestos fibers can result in lung cancer and it therefore poses significant health risks to all exposed. EPA will continue to hold accountable those who commit such offenses.”
This investigation was conducted by the U.S. Environmental Protection Agency, Criminal Investigation Division, with the assistance of the City of New Haven Health Department and U.S. Department of Labor, Occupational Safety and Health Administration. The case was prosecuted by Assistant U.S. Attorneys Sarala V. Nagala and Elena L. Coronado.
Third Rollover Incident in a Week Nets Charges Against Another Laredo ManRead the Press Release
LAREDO, Texas – A 28-year-old Laredo resident has been detained on charges of transporting an undocumented alien, announced U.S. Attorney Ryan K. Patrick.
Adrian Zavala is the third young Laredoan to face charges in similar incidents that occurred in just one week.
He waived his preliminary examination and detention hearing today and will now remain in custody pending further criminal proceedings.
The criminal complaint alleges that on Aug. 5, law enforcement attempted make a traffic stop for driving on an improved shoulder when prohibited. According to the charges, the vehicle failed to yield and attempted to flee. Law enforcement observed the vehicle veer off the road and roll over several times. Several people were ejected from the vehicle during the crash, according to the charges.
According to the complaint, there were a total of 12 people inside the vehicle, including Zavala. The other 11 were determined to be undocumented aliens, the complaint alleges.
If convicted of transporting an undocumented alien, Zavala faces up to 10 years in federal prison and a possible $250,000 maximum fine.
Immigration and Customs Enforcement’s Homeland Security Investigations conducted the investigation with the assistance of Border Patrol and the Texas Department of Public Safety. Assistant U.S. Attorney April Ayers-Perez is prosecuting the case.
Texas Man Sentenced for Conspiracy to Distribute CocaineRead the Press Release
NEW ORLEANS – U.S. Attorney Peter G. Strasser announced that TREVIAN EDWARDS, age 48, of Crosby, Texas, was sentenced today for conspiring to distribute cocaine hydrochloride.
EDWARDS pled guilty on March 27, 2019, to one count of conspiracy to distribute and possess with the intent to distribute 5 kilograms or more of cocaine hydrochloride.
U.S. District Judge Jane Triche Milazzo sentenced EDWARDS to a term of (10) ten years imprisonment followed by (5) five years of supervised release.
U.S. Attorney Strasser praised the work of the Drug Enforcement Administration in investigating this matter. Assistant United States Attorney Jonathan L. Shih is in charge of the prosecution.
This prosecution is part of an extensive investigation by the Organized Crime Drug Enforcement Task Force (“OCDETF”). OCDETF is a joint federal, state and local cooperative approach to combat drug trafficking and is the nation’s primary tool for disrupting and dismantling major drug trafficking organizations, targeting national and regional level drug trafficking organizations and coordinating the necessary law enforcement entities and resources to disrupt or dismantle the targeted criminal organization and seize their assets.
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