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Wednesday 14 August 2019
Tennessee Man Convicted of Defrauding Investors in A Snack Company and A Pet Food CompanyRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced that yesterday, following a seven-day jury trial before U.S. District Judge Jed S. Rakoff, JOEL MARGULIES was convicted of participating in two schemes to defraud more than 50 investors in the Starship Snacks Corporation and the All American Pet Company of more than $2.8 million. MARGULIES made false and fraudulent representations about, among other things, the status of the companies’ products, guarantees that purportedly backed the investments, and the interest of large multi-national corporations in acquiring the companies. The jury also convicted MARGULIES of illegally transferring a firearm to an out-of-state resident. Additionally, today, MARGULIES pled guilty before Judge Rakoff to conspiracy to distribute and to possess with the intent to distribute cocaine.
U.S. Attorney Geoffrey Berman said: “Joel Margulies went to trial in Manhattan federal court to face a slew of charges related to defrauding more than 50 investors by making materially false representations about the snack and pet food companies he helped run. As part of his schemes, Margulies used other people’s identities and created falsified documents that were sent to investors, on the basis of which he and his co-conspirators raised more than $2.8 million. Rather than using those funds for their intended purpose of creating dog food bars and caffeinated candies, the co-conspirators spent the money on real estate in Bel Air, Manhattan, and West Palm beach, as well as on plastic surgery, luxury clothing, and the purchase of a Mercedes. Not only was Margulies convicted unanimously by a Manhattan jury, but he also pled guilty today to conspiracy to distribute cocaine to one of his fraud scheme co-conspirators. Margulies’s criminal conduct was as audacious as it was diverse, and he faces a lengthy sentence in federal prison.”
According to the evidence presented during the trial and statements made in related court filings and proceedings:
The All American Pet Company Fraud Scheme
From October 2013 through May 2017, MARGULIES, Lisa Bershan, and a co-conspirator raised more than $575,000 in purported loans for the All American Pet Company (“AAPT”), a penny-stock company that produced, marketed and sold food bars and other products for dogs, based on the following misrepresentations, among others: (a) that the Internal Revenue Service (“IRS”) had accepted an “offer in compromise” from AAPT that significantly reduced the back taxes AAPT owed to the IRS; (b) that Bershan had paid to the IRS the amount of this offer in compromise and had thus absolved AAPT of its outstanding tax liability; (c) that Bershan was the beneficial owner of a bank account containing over $6.9 million; (d) that Bershan would personally guarantee some of the loans; and (e) that Nestlé USA had proposed various business deals with AAPT. Margulies held himself out as AAPT’s Vice President for Marketing and Advertising, but in reality he played a number of roles at the company, including communicating with investors and creating fake documents, such as forged bank account statements and letters, to support AAPT’s misrepresentations to investors.
Although MARGULIES and his co-conspirators had promised investors that they would use the loans to help improve AAPT’s manufacturing and distribution capacities, the conspirators instead used those funds largely for their personal expenses, including the rental of a luxury villa in the Bel Air neighborhood of Los Angeles where all three of them lived.
In connection with the AAPT fraud scheme, MARGULIES used the stolen identities of three individuals – an IRS employee, a Nestlé Purina employee, and a Manhattan attorney – to create false and fraudulent letters that were sent to AAPT investors to induce them to make loans to AAPT.
The Starship Snack Corporation Fraud Scheme
From approximately August 2015 through August 2017, MARGULIES, Bershan, and a co-conspirator, Barry Schwartz, raised more than $2.3 million from investors in a company originally called the Awake Company and later renamed Starship Snacks Corporation (“Starship”), which purported to be in the business of developing and manufacturing caffeinated snack products, based on the following misrepresentations, among others: (a) that investments in Starship were guaranteed against losses by Bershan; (b) that Starship was going to be acquired by Monster Beverage (“Monster”) in a one-for-one stock exchange; (c) that Starship was engaged in actual product development and had procured samples of chocolate candies infused with caffeine; (d) that MARGULIES and others at Starship had entered into non-disclosure agreements with Monster that prohibited them from discussing Starship’s purported acquisition by Monster and its purported product development. Margulies’s title at Starship was Senior Vice President; he served as the primary point of contact for investors, to whom he made the aforementioned misrepresentations, and he also created a number of fake documents that were used in connection with the Starship fraud.
After receiving funds from Starship investors, Margulies and his co-conspirators used those funds to maintain their own extravagant lifestyles, spending hundreds of thousands of dollars on things like luxury clothing, plastic surgery, interior decorating, the rental of a high-end apartment in New York City, and the down payment for a multi-million dollar house in Florida.
The Illegal Firearm Transfer and Narcotics Distribution of Narcotics
In addition to the fraud and identity theft conduct set forth above, the jury also convicted MARGULIES of illegally transferring a firearm and ammunition from Tennessee to Bershan in New York via commercial courier without being a licensed firearms dealer.
Finally, MARGULIES pled guilty today to a narcotics distribution charge that had been severed from the charges that were the subject of the trial. Specifically, MARGULIES pled guilty to a conspiracy to distribute cocaine that lasted from October 2015 through August 2017, during which MARGULIES sent, and caused to be sent, quantities of cocaine via commercial courier in interstate commerce to Bershan.
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JOEL MARGULIES, 75, of Murfreesboro, Tennessee, was convicted at trial of wire fraud and wire fraud conspiracy in relation to AAPT; aggravated identity theft; securities fraud, wire fraud and conspiracy to commit securities and wire fraud in relation to Starship; and illegally transferring a firearm to an out-of-state resident. Today, he also pled guilty to conspiracy to distribute cocaine. The wire fraud, securities fraud, and conspiracy to commit wire fraud counts carry a maximum sentence of 20 years in prison; the conspiracy to commit securities fraud and wire fraud count carries a maximum sentence of five years in prison; the aggravated identity carries a mandatory sentence of two years in prison to run consecutively to any punishment; the firearm offense carries a maximum sentence of five years in prison; and the drug conspiracy count carries a maximum sentence of 20 years in prison. The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant would be determined by the Court.
MARGULIES is scheduled to be sentenced before Judge Rakoff on December 16, 2019, at 11:00 a.m.
Lisa Bershan and Barry Schwartz each previously pled guilty and are scheduled to be sentenced before Judge Rakoff on October 17, 2019 and October 10, 2019, respectively.
Mr. Berman praised the work of the FBI, and thanked the SEC for its assistance.
This case is being handled by the Office’s Securities and Commodities Fraud Task Force. Assistant U.S. Attorneys Negar Tekeei and Christine Magdo are in charge of the prosecution.
St. Louis Man Sentenced for Carjacking with a Sawed Off ShotgunRead the Press Release
St. Louis, MO – David Jones, 20, St. Louis, MO, was sentenced to 84 months in prison for carjacking. Jones appeared today before U.S. District Judge Ronnie White.
According to court documents, on May 22, 2018, the victim and a friend were sitting in a 2008 Malibu in the 1300 block of Ferguson when Jones and two other individuals approached and told them to get out of the car. Members of the group pointed a short-barreled shotgun and handgun at the victims. The victims complied. The three carjackers jumped in the car and drove off.
An hour after the carjacking, members of the St. Louis Metropolitan Police Department spotted the stolen Malibu. The Malibu drove in a reckless and dangerous manner before spinning out of control. Jones exited the driver’s seat. The two others also fled on foot. Jones discarded a loaded sawed off shotgun as he fled. Jones was taken into custody after a foot chase and a struggle with police officers.
The St. Louis Metropolitan Police Department investigated the case. Assistant United States Attorney Tom Mehan is handling this case.
St. Louis County Man Sentenced to 10 years for Possession of Child PornographyRead the Press Release
St. Louis, MO – Rodney Grant Sullivan, 55, St. Louis, MO, was sentenced to 10 years in federal prison for Possession of Child Pornography. Sullivan appeared before United States District Judge Ronnie L. White.
The investigation was started by the Warren County Sheriff’s Office. The Sheriff’s Office investigated a complaint that Sullivan was looking at child pornography on a computer and cell phone. Officers located the devices and found child pornography images on the cell phone.
Sometime later, St. Charles County Cyber Crimes Task Force officers assisted in locating Sullivan at his employer’s address in Crestwood, Missouri. At that time, Sullivan had a different cell phone with him and allowed the law enforcement officers to examine it. The officers found additional child pornography images on that phone. Some of the images depicted young children engaged in sexually explicit conduct.
Sullivan, who was previously convicted in 2011 of two counts of sexual misconduct involving a child during, was indicted in federal court for Possession of Child Pornography on September 12, 2018. On May 14, 2019, he pleaded guilty to possessing at least 450 images of child pornography on his cell phone between April 1, 2017, and May 4, 2018. He was sentenced today to 10 years in prison.
The Federal Bureau of Investigation, Warren County Sheriff’s Office, and the St. Charles County Cyber Crimes Task Force investigated the case. Assistant U.S. Attorney Rob Livergood is handling the case for the U.S. Attorney’s Office.
St. Albans Man Pleads Guilty to Gun CrimeRead the Press Release
CHARLESTON, W.Va. -- A St. Albans man pled guilty today to a federal gun crime, announced United States Attorney Mike Stuart. Gary Scott, 35, entered a guilty plea to being a felon in possession of a firearm before United States District Court Judge Joseph R. Goodwin. Stuart commended the investigation conducted by the St. Albans Police Department.
According to his plea agreement, Scott admitted that on April 23, 2019, he was driving a vehicle in St. Albans under the influence of narcotics. St. Albans Police Officers responded to the area where the defendant was driving and located his parked vehicle in a parking lot. Officers eventually located Scott in a nearby alley. Scott admitted to the officers that he had marijuana on his person. During a search of Scott, officers located syringes, marijuana, Alprazolam, heroin, and methamphetamine. Officers detained Scott and transported him back to his vehicle. Upon arriving at the vehicle, Scott informed an officer that he had a firearm in the car and that he knew he was not allowed to possess firearms. Officers recovered a loaded .357 Brazteck revolver in the glove box of the vehicle. Scott had previously been convicted of Attempted First Degree Robbery in Kanawha County Circuit Court.
Scott faces up to 10 years in prison when he is sentenced on November 6, 2019. Assistant United States Attorney Monica D. Coleman is handling the prosecution.
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South Charleston Meth Dealer Sentenced to 12 Years in PrisonRead the Press Release
CHARLESTON, W.Va. – A prolific South Charleston methamphetamine trafficker was sentenced to 12 years in prison, announced United States Attorney Mike Stuart. Mary Haynes, 38, previously pled guilty to distribution of methamphetamine.
“If you deal meth, we’re going to push for the longest sentences possible. Haynes and her co-defendant will be spending 12 and 14 years in federal prison, respectively,” said United States Attorney Mike Stuart. “We’re making our communities safer by putting drug dealers behind bars for as long as possible.”
As established by public court filings and hearings, on April 4, 2017, police investigators used a confidential informant to purchase a quarter ounce of pure methamphetamine from Haynes in South Charleston. Haynes’ co-defendant, Jason Haddox, supplied Haynes with the methamphetamine.
On April 7, 2017, investigators executed a search warrant on the house Haynes and Haddox shared in South Charleston. The investigators found around two ounces of pure methamphetamine, drug paraphernalia, and thousands of dollars of drug trafficking proceeds throughout the house. Haynes told an investigator on-scene that she had trafficked around 20 ounces of methamphetamine per month in the past.
Haddox was previously sentenced to 14 years in federal prison. United States District Judge Irene C. Berger imposed both sentences. The Metropolitan Drug Enforcement Network Team (MDENT), the Nitro Police Department, the Lincoln County Sheriff’s Department, the South Charleston Police Department, and the Drug Enforcement Administration (DEA) investigated the case. The cases were prosecuted by former Assistant United States Attorney Gabe Wohl and Assistant United States Attorney Drew O. Inman.
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South Bend, Indiana Man SentencedRead the Press Release
SOUTH BEND - Jeffrey Stoneburner II, age 38, of South Bend, Indiana was sentenced before South Bend District Court Judge Jon E. DeGuilio after his guilty plea to transportation of child pornography, announced U.S Attorney Kirsch.
Mr. Stoneburner was sentenced to 78 months in prison followed by 5 years of supervised release. He was also ordered to pay $20,000 in restitution to the child victims.
According to documents in this case, in August of 2018, Mr. Stoneburner sent thirteen images and videos depicting child pornography to another person through an online chat. Mr. Stoneburner admitted that the images and videos he sent depicted child pornography.
This case was investigated by the FBI with the assistance of the St. Joseph County Cyber Crimes Unit. The case was handled by Assistant U.S. Attorney John Maciejczyk.
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Shreveport felon sentenced for possessing pistolRead the Press Release
SHREVEPORT, La. – United States Attorney David C. Joseph announced that Earl Vinson III, 21, of Shreveport, Louisiana, was sentenced Tuesday by U.S. District Judge Elizabeth E. Foote to serve 20 months in federal prison for possession of a firearm by a convicted felon. He previously pleaded guilty to the federal firearm charge on April 10, 2019.
Shreveport police made contact with Vinson on April 24, 2018, outside a restaurant after receiving a call regarding Vinson being a possible suspect in an automobile burglary. The officers found that Vinson was in possession of a Keltec .380-caliber pistol. Vinson admitted that he knew he was not allowed to have a firearm as a convicted felon. He was convicted on December 18, 2017, in state court for accessory after the fact to armed robbery. Under federal law, it is illegal for felons to possess a firearm or ammunition.
The ATF and the Shreveport Police Department conducted the investigation. Assistant U.S. Attorney Tennille M. Gilreath prosecuted the case.
Project Safe Neighborhoods (PSN) is the centerpiece of the Department of Justice’s violent crime reduction efforts. Project Safe Neighborhoods is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Serial Bank Robber Pleads GuiltyRead the Press Release
GREENSBORO, N.C. - Matthew G.T. Martin, United States Attorney for the Middle District of North Carolina, announced today that TYRONE THOMAS WOODS pleaded guilty to multiple bank robberies and a firearm charge.
WOODS, age 44, of Greensboro, North Carolina, pleaded guilty before Chief United States District Judge Thomas D. Schroeder in federal court in Winston-Salem.
WOODS pleaded guilty to four armed bank robberies, one bank robbery, and one count of brandishing a firearm during and in relation to a crime of violence. The armed bank robberies occurred in the following dates and locations:
• May 21, 2018 – SunTrust Bank, 5705 Gate City Blvd., Greensboro, NC;
• June 20, 2018 – Fidelity Bank, 1035 Randolph St., Thomasville, NC;
• July 23, 2018 – Piedmont Federal Savings Bank, 505 Pineview Dr., Kernersville, NC; and
• November 2, 2018 – Sharonview Federal Credit Union, 4418 Park Rd., Charlotte, NC.
WOODS also pleaded guilty to one count of bank robbery occurring on October 2, 2018, at PNC Bank, 823 South Main St., Kernersville, NC.
The defendant faces a maximum penalty on the robbery counts of not more than twenty-five years imprisonment, a fine of up to $250,000, or both. On the firearm count, the defendant faces a sentence of not less than seven years, nor more than life, that will run consecutive to the sentence imposed for the bank robberies. The defendant will also be subject to a term of supervised release of up to five years, and may be ordered to pay restitution. Sentencing will occur in Winston-Salem on November 20, 2019 at 2:00 p.m.
The case was investigated by the Greensboro Police Department, Thomasville Police Department, Kernersville Police Department, Charlotte-Mecklenburg Police Department, and the FBI Safe Streets Task Force. The case was prosecuted by Assistant United States Attorney Lisa B. Boggs.
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Rochester Man Pleads Guilty for His Role in Drug Trafficking OrganizationRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Rayshawn Mullins, 32, of Rochester, NY, pleaded guilty before Chief U.S. District Judge Frank P. Geraci, Jr. to conspiracy to possess with intent to distribute, and to distribute, fentanyl, cocaine, and crack cocaine. The charge carries a maximum penalty of 20 years in prison, and a $1,000,000 fine.
Assistant U.S. Attorney Matthew T. McGrath, who is handling the case, stated that the defendant was a member of a drug trafficking organization led by co-defendant Jose Casado. Between December 2017 and May 2019, the organization distributed large quantities of fentanyl, cocaine, and crack cocaine out of drug houses located on Clifford Avenue and Treyer Street in Rochester.
Jose Casado would obtain bulk quantities of fentanyl, heroin, and cocaine, and he and other members of the conspiracy would package the substances to be sold to individual drug users. Drug users would contact Jose Casado directly via cellular phone to order quantities of drugs, and Mullins and others would serve as drug runners, delivering the drugs to the customer. On November 28, 2018, the defendant delivered 30 baggies of cocaine and 30 baggies of fentanyl to an undercover law enforcement officer.
On March 14, 2019, a search warrant was executed at the Clifford Avenue residence used by the drug trafficking organization. Investigators recovered 18 baggies of fentanyl, nine baggies of powder cocaine and nine baggies of crack cocaine, as well as numerous materials used to package controlled substances, 1,800 rounds of .22 caliber ammunition, and 50 shotgun shells.
Mullins is one of seven defendants charged in this case; he is the first to be convicted. Charges remain pending against the remaining six defendants. The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
The plea is the result of an investigation by the Drug Enforcement Administration under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division; and the Rochester Police Department, under the direction of Chief La’Ron Singletary.
Sentencing is scheduled for November 14, 2019, at 2:30 p.m. before Judge Geraci.
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Portland, Maine Tax Return Preparer Pleads Guilty to Preparing False Tax ReturnRead the Press Release
A Portland, Maine tax return preparer pleaded guilty today to one count of aiding and assisting in the preparation of a false tax return, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and U.S. Attorney Halsey B. Frank of the District of Maine.
According to plea documents and statements made in court, Ashraf Eldeknawey operated a tax return preparation business located inside the Ahram Halal Market in Portland during the years 2015 through 2018. Eldeknawey admitted to willfully preparing a false 2015 tax return for two clients that intentionally included overstated self-employment income in order to claim the Earned Income Tax Credit and a fraudulently increased refund from the Internal Revenue Service (IRS). Eldeknawey admitted that his preparation of false tax returns caused a loss to the government between $40,000 and $100,000.
Eldeknawey faces up to three years in prison, as well as monetary penalties. As part of the plea, Eldeknawey also agreed to pay restitution to the IRS in the amount of the loss caused by his conduct.
Principal Deputy Assistant Attorney General Zuckerman and U.S. Attorney Frank thanked Trial Attorneys Melissa S. Siskind and William Guappone of the Tax Division, who are prosecuting the case. Zuckerman and Frank also commended IRS Criminal Investigation; the Federal Bureau of Investigation; the U.S. Department of Agriculture, Office of Inspector General; and the Maine Department of Health and Human Services, Fraud Investigation and Recovery Unit, who investigated the case.
Additional information about the Tax Division’s enforcement efforts can be found on the Division’s website.
Penn Hills Woman with Felony Conviction Pleads Guilty to Unlawfully Possessing 3 Firearms and AmmunitionRead the Press Release
PITTSBURGH – An Allegheny County resident pleaded guilty in federal court to a charge of violating federal firearms laws, United States Attorney Scott W. Brady announced today.
Latisha Butler, 29, of Penn Hills, Pa., pleaded guilty to one count before Senior United States District Judge Donetta W. Ambrose.
In connection with the guilty plea, the court was advised that on or about May 14, 2018, Butler, an individual with a prior felony conviction for Possession with the Intent to Distribute Controlled Substances, did knowingly and unlawfully possess a Smith & Wesson Model M&P-15 Rifle, a Smith & Wesson, Model SD9VE handgun, a Diamondback Model DB9 Handgun, and various types of ammunition. Federal law prohibits anyone who has been convicted of a crime punishable by a term of imprisonment exceeding one year from possessing a firearm or ammunition..
Judge Ambrose scheduled sentencing for Dec. 18, 2019 at 10 a.m. The law provides for a total sentence of not more than 10 years in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
This case was brought as part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Assistant United States Attorney Brendan T. Conway is prosecuting this case on behalf of the government.
The United States Department of Homeland Security, United States Postal Inspection Service, and the Pennsylvania State Police conducted the investigation that led to the prosecution of Butler. The Bureau of Alcohol, Tobacco, Firearms and Explosives also provided assistance to the investigators.
Opelika Woman Sentenced to 42 months for Wire FraudRead the Press Release
BIRMINGHAM –An Opelika woman who stole money from the Talladega County Association of Volunteer Fire Departments was sentenced yesterday, announced U.S. Attorney Jay E. Town and FBI Special Agent in Charge Johnnie Sharp, Jr.
U.S. District Judge R. David Proctor sentenced Andrea Payne, 63, to 42 months for wire fraud. Payne pled guilty in April to one-count of wire fraud.
“Our brave first responders often do more with less, so it is especially aggravating when the public trust is violated not only for the sake of greed but at the ultimate expense of public safety,” Town said. “Payne will repay her debt over the next 42 months which comes as little comfort to the citizens protected by the Talladega County Association of Volunteer Fire Departments and the Association itself.”
“This case should send a message to the citizens of North Alabama, if you choose to violate the public trust and steal tax payer dollars, the FBI and our partners will be right behind you,” Sharp said. “Payne will now spend the next several years behind bars reflecting on her actions. I want to extend my personal thanks to the Talladega County Sheriff’s Office and the Talladega County District Attorney’s Office for their assistance in this case.”
According to the plea agreement, Payne previously served as the Treasurer of the Talladega County Association of Volunteer Fire Departments. Between 2012 and 2018, the Association received quarterly checks from the Talladega County Commission as distributions from the two-cent sales tax revenue. The purpose of the distributions was to provide financial assistance to fifteen volunteer fire departments throughout Talladega County. As the Treasurer, Payne was responsible for receiving the funds from the Talladega County Commission and distributing the funds equally among the fifteen volunteer fire departments within Talladega County. Payne was not authorized to receive any compensation for her role as the elected Treasurer and was not authorized to use the funds for personal use. Payne embezzled funds from the Association by using the funds to pay for her personal credit card. The defendant’s scheme resulted in Payne stealing over $640,000 from the Association.
The FBI investigated the case, along with the Talladega County Sheriff’s Office and the Talladega District Attorney’s Office, which Assistant U.S. Attorney Robin Beardsley Mark prosecuted.
North Suburban Man Sentenced to 25 Years in Prison on Child Pornography ChargesRead the Press Release
CHICAGO — A north suburban man has been sentenced to 25 years in federal prison for distributing thousands of sexually explicit images and videos of children.
RONALD FEDER offered to give child pornography to an individual he met online in exchange for what Feder thought would be access to molest the individual’s nephew and niece. During a December 2017 meeting in a coffee shop in Lincolnwood, Feder handed the individual a flash drive containing approximately 453 videos and 7,932 images of child pornography. Unbeknownst to Feder, the individual was an undercover law enforcement officer, and the nephew and niece did not exist. Feder was arrested at the coffee shop and has remained in custody since then.
The online communication and coffee shop meeting occurred while Feder was free on bond in connection with a previous child pornography charge.
Feder, 32, of Skokie, pleaded guilty earlier this year to child pornography charges in both cases. U.S. District Judge Matthew F. Kennelly on Tuesday imposed a total sentence of 25 years in prison, to be followed by 25 years of supervised release.
The sentence was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; Brian Benczkowski, Assistant Attorney General of the U.S. Department of Justice’s Criminal Division; Leo Lamont, Special Agent-in-Charge of the Naval Criminal Investigative Service, Resident Agency Great Lakes; James M. Gibbons, Special Agent-in-Charge of the Chicago office of the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations; and Josh Kaul, Wisconsin Attorney General. Substantial assistance was provide by the Skokie Police Department. The government is represented by Assistant U.S. Attorneys Andrew Dixon and Jennifer Maguire.
In the first case against Feder, a grand jury in Chicago indicted him in 2016 for possessing a sexually explicit image of a minor under the age of twelve. The conduct occurred while Feder was working as a civilian employee of the Armed Forces and living overseas. Feder initially pleaded not guilty to that charge and was ordered released on bond in September 2016, with a condition of the release prohibiting him from accessing the internet.
Feder violated the bond condition when he went online and began communicating with the undercover officer. Using the online aliases “Tom Bradly” and “Jack Wayne,” Feder engaged in online and telephone communications with the undercover officer prior to the meeting in the Lincolnwood coffee shop.
If you believe you are a victim of sexual exploitation, you are encouraged to call the National Center for Missing and Exploited Children at 1-800-843-5678. The hotline is available 24 hours a day, seven days a week.
Noel Man Charged with Kidnapping Murder Victim's DaughterRead the Press Release
SPRINGFIELD, Mo. – A Noel, Missouri, man has been charged in federal court with kidnapping the 4-year-old daughter of a woman whose body was discovered in a suitcase last month.
Mahamud Tooxoow Mahamed, 37, a Somali national, was charged in a criminal complaint filed late Tuesday in the U.S. District Court in Springfield, Mo. Mahamed is not in federal custody and is a fugitive from justice.
According to an affidavit filed in support of the federal criminal complaint, the body of Jessica McCormack, of Noel, was discovered on July 29, 2019, near Missouri Highway 59 between Lanagan, Mo., and Noel. The last time McCormack was seen alive, the affidavit says, was when law enforcement officers responded to a call at her home on July 16, 2019. Also present in the residence were Mahamed, who was identified as McCormack’s paramour, and McCormack’s three daughters, identified in court documents as Jane Doe 1 (four years old), Jane Doe 2 (two years old), and Jane Doe 3 (six months old). Jane Doe 2 is Mahamed’s daughter.
McCormack’s children could not be located after her body was discovered and identified. An Amber Alert was issued for McCormack’s three children, who were located at a residence in Des Moines, Iowa, and taken into state custody on Aug. 8, 2019. According to the affidavit, a woman who formerly worked with Mahamed at the Tyson plant in Noel told law enforcement officers that Mahamed arrived at her Des Moines residence with the children on Aug. 5, 2019. She discovered he had left on Aug. 8, 2019, the affidavit says, when she found a note from Mahamed informing her that he could not care for the children.
Investigators confirmed with the father of McCormack’s oldest child that Mahamed did not have his consent to take Jane Doe 1 outside the state of Missouri. The biological father of Jane Doe 3 cannot be positively identified at this time.
The charge contained in this complaint is simply an accusation, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney Ami Harshad Miller. It was investigated by the FBI, the McDonald County, Mo., Sheriff’s Department, and the Des Moines, Iowa, Police Department.
New Orleans Man Sentenced to 439 Months for Accessory to Murder, Carjacking, Robbery, and Firearms OffensesRead the Press Release
NEW ORLEANS – U.S. Attorney Peter G. Strasser announced that KWAME FLEMING, age 28, of New Orleans, was sentenced today for one count of accessory to murder through use of a firearm, in violation of 18 U.S.C. § 924(j), two counts of carjacking, in violation of 18 U.S.C. § 2119, two counts of brandishing a firearm during a crime of violence, in violation of 18 U.S.C. § 924(c), one count of Hobbs Act Robbery, in violation of 18 U.S.C. § 1951, and one count of discharging a firearm during a crime of violence, in violation of 18 U.S.C. § 924(c).
FLEMING pled guilty on July 30, 2018, to the above-described offenses. According to court documents, FLEMING assisted two individuals who committed a murder on June 1, 2015, in New Orleans, in attempting to hinder and prevent their apprehension, trial, and punishment.
Furthermore, FLEMING took part in two carjackings, during which firearms were brandished.
FLEMING committed a Hobbs Act robbery, during which FLEMING and his co-conspirators stole items from a residence in Mississippi, including marijuana and an assault rifle.
Judge Ivan L.R. Lemelle sentenced FLEMING on the accessory to commit murder count to 151 months imprisonment as well as (3) three years of supervised release. FLEMING was sentenced on the carjacking counts to 151 months imprisonment as well as (3) three years of supervised release. On the Hobbs Act robbery, FLEMING was sentenced to 151 months imprisonment as well as (3) three years of supervised release. On the two counts of brandishing a firearm during a crime of violence, FLEMING was sentenced to 84 months imprisonment, to be served consecutively, followed by (3) three years of supervised release. Finally, for discharging a firearm during a crime of violence, FLEMING was sentenced to 120 months imprisonment, to be served consecutively, as well as (3) three years of supervised release. FLEMING was also sentenced to pay $5,320 in restitution.
“Today’s sentencing signifies a “win”, not only for the dedicated law enforcement personnel responsible for investigating and prosecuting Mr. Fleming, but also for to those personally affected by the crimes, as well as the entire community,” stated U.S. Attorney Peter G. Strasser. “Violent criminals, intent on victimizing our citizens, will not be tolerated and they will continue to be vigorously pursued by law enforcement in order to be held accountable for their criminal actions.”
“This was a long, complex case, but now justice has been served. We hope this sentencing can help bring closure to the families and friends of those who were needlessly victimized during a violent spree of murder, robberies, and carjackings,” said ATF New Orleans Special Agent in Charge Kurt Thielhorn. “Agents from ATF New Orleans along with our law enforcement partners were relentless in the pursuit of justice in this case. We will continue to work together to protect the public by removing violent criminals from our communities.”
U.S. Attorney Strasser praised the work of the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the New Orleans Police Department, the Jefferson Parish Sheriff’s Office, the Baton Rouge Police Department, the Zachary Police Department, and the Wilkinson County, Mississippi, Sheriff’s Office in investigating this matter. Assistant United States Attorney Jonathan L. Shih and Trial Attorney Joseph K. Wheatley, of the Organized Crime and Gang Section of the Department of Justice, are in charge of the prosecution.
Project Safe Neighborhoods (PSN) is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
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New Haven Doctor Charged with Unlawfully Prescribing OxycodoneRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration for New England, and Brian C. Turner, Special Agent in Charge of the Federal Bureau of Investigation, today announced that a federal grand jury in New Haven returned an indictment yesterday charging DR. JENNIFER FARRELL, 37, with 35 counts of distribution of narcotics without a legitimate medical purpose.
As alleged in the indictment, Farrell was a medical resident at Yale New Haven Health (“YNHH”) in the Emergency Department from July 2017 until June 2019. From March 2018 to March 2019, Farrell wrote at least 35 prescriptions for oxycodone for non-legitimate medical purposes outside the scope of her professional practice in the name of at least five individuals. Farrell did not see any of the individuals for any medical purpose at any YNHH facility during the entire period of her residency.
If convicted, Farrell faces a maximum term of imprisonment of 20 years on each count.
Farrell was arrested on a federal criminal complaint on July 31, 2019, and is released on a $200,000 bond.
Farrell, who was living in New Haven at the time of her arrest, is currently residing in Chapel Hill, North Carolina.
U.S. Attorney Durham stressed that an indictment is not evidence of guilt. Charges are only allegations, and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This investigation is being conducted by the Drug Enforcement Administration, Diversion Control Group, and the Federal Bureau of Investigation. The case is being prosecuted by Assistant U.S. Attorney Heather Cherry.
Navajo Man from Smith Lake Sentenced to 18 Years for Federal Aggravated Child Sexual Abuse ConvictionRead the Press Release
ALBUQUERQUE – Galvan L. Betonie, 25, an enrolled member of the Navajo Nation who resides in Smith Lake, N.M., was sentenced yesterday in federal court in Albuquerque, N.M., to 216 months of imprisonment for his conviction on two aggravated child sexual abuse charges.
Betonie previously pleaded guilty to the two charges on April 18, 2019. In his plea agreement, Betonie admitted committing the crimes in Indian Country in McKinley County, N.M., on Nov. 18, 2016. According to the plea agreement, Betonie sexually abused a child who had not attained the age of twelve years.
The case was investigated by the Gallup office of the FBI and the Crownpoint office of the Navajo Nation Division of Public Safety. Assistant U.S. Attorney Novaline D. Wilson prosecuted the case as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice (DOJ) to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and DOJ’s Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/.
Middletown Man Sentenced to Prison for Trafficking Meth, Preparing False Tax ReturnsRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that EUGENE CARLIN, 59, of Middletown, was sentenced today by U.S. District Judge Alvin W. Thompson in Hartford to 18 months of imprisonment, followed by three years of supervised release, for drug trafficking and tax offenses.
According to court documents and statements made in court, in July 2018, law enforcement executed a search warrant at Carlin’s Middletown residence and seized approximately 170 grams of d-methamphetamine hydrochloride of very high purity. Carlin subsequently admitted that, for over a year, he worked with others to distribute methamphetamine in the Middletown area.
The investigation further revealed that Carlin he helped clients to prepare and file false tax returns with the Internal Revenue Service.
In 2007, Carlin was convicted in Hartford federal court of tax evasion, and aiding in the preparation of false tax returns. That matter also involved Carlin helping clients of his tax preparation business to file false returns. In August 2007, Carlin was sentenced to 12 months and one day of imprisonment, and six months of home confinement. He also agreed to refrain, permanently, from preparing tax returns for other people.
As part of the resolution of this case, Carlin has been ordered to forfeit $100,000, which represents his proceeds from the sale of methamphetamine.
On October 26, 2018, Carlin pleaded guilty to one count of conspiracy to distribute, and to possess with intent to distribute, methamphetamine, and one count of aiding in the preparation of false tax returns.
This matter was investigated by the Internal Revenue Service – Criminal Investigation Division, Drug Enforcement Administration’s New Haven Task Force and Middletown Police Department, with the assistance of the U.S. Postal Inspection Service. The case was prosecuted by Assistant U.S. Attorney Jennifer R. Laraia.
Meth Trafficker Gets over 20 Years in Prison for Drug and Gun CrimesRead the Press Release
CHARLESTON, W.Va. – A dangerous methamphetamine trafficker was sentenced to 20 years and 6 months in prison, announced United States Attorney Mike Stuart. Bruce Lee Boardman, 38, previously pled guilty to possession with intent to distribute methamphetamine and carrying a firearm during a drug trafficking crime
“A sentence of over 20 years and Boardman had an extensive history of violence. Since I became United States Attorney, the average length of sentence has more than doubled. We are tough on those involved in drug and gun crimes,” said United States Attorney Mike Stuart. “Boardman was a violent meth dealer that earned every year and month of his prison sentence.”
As established by public court filings and hearings, on June 30, 2017, police in Nitro, West Virginia, stopped Boardman for driving his truck erratically. Boardman had a revoked license because of a previous DUI conviction. Due to an odor of marijuana, officers searched Boardman’s truck and found marijuana, almost 50 grams of methamphetamine, and a digital scale. Officers also found two loaded pistols under the driver’s and passenger’s seats.
On December 12, 2017, police investigators used a confidential informant to purchase methamphetamine from Shaine Ray Dingess at a house in Nellis, West Virginia. The informant’s hidden camera captured Boardman inside the home supplying Dingess with approximately a quarter ounce of methamphetamine. During the drug transaction, Boardman was holding a pistol in his hand.
The United States argued that Boardman’s extensive criminal history included many convictions for dangerous and violent crimes, justifying a lengthy sentence.
Senior United States District Judge John T. Copenhaver, Jr. imposed the sentence. Assistant United States Attorneys R. Gregory McVey and Drew O. Inman prosecuted the case.
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Mercer County Woman Sentenced for Theft of Social Security Income MoneyRead the Press Release
Defendant fraudulently obtained over $77,000 dollars in benefits
BLUEFIELD, W.Va. – Kimberly Hall was sentenced to federal prison for one year and a day for the felony offense of fraudulently obtaining Social Security income benefits, announced United States Attorney Mike Stuart. Hall, 43, of Bluefield, previously entered a guilty plea on March 21, 2019. She was ordered to pay restitution back to the United States Treasury in the amount of $77,717 and will be placed on supervised release for three years after she discharges her prison sentence. Stuart praised the work of the Social Security Administration (SSA) and SSA-Office of Inspector General (OIG).
“A despicable, heinous, selfish crime. Social Security benefits are critical for so many West Virginia families,” said United States Attorney Mike Stuart. “We’re not going to tolerate anyone stealing from this or any other federal benefits program.”
Hall applied for Title II Social Security benefits in 2007 and to be a representative payee for a minor child. These Social Security benefits are based on income and living arrangements and create a duty to report a change in income or living arrangements. From 2011 to 2016, the minor child no longer resided in Hall’s home. Hall did not report this change in living arrangements, which would have lowered the amount of money she was receiving each month. Rather, Hall indicated that the minor child resided at her home when the child no longer resided with her. From August 2011 through September 2016, Hall received $77,717 of Social Security benefits in excess of the amount she was due. On November 9, 2016, Hall gave a false statement to a SSA claims representative concerning the minor child. SSA-OIG investigators investigated the claims and Hall admitted to them that the she had given false statements and that the minor child no longer resided at her home. She also knew that she was receiving money that she was not entitled to receive.
Senior United States District Judge David A. Faber presided over the hearing. Assistant United States Attorney Erik S. Goes handled the prosecution.
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Local Pastor Charged with Coercing Minor FemaleRead the Press Release
CINCINNATI – The pastor of a Sharonville church has been charged federally with coercing a minor female in a criminal complaint that details interactions with two alleged victims.
Cesar Agusto Guerrero, Jr., 41, of Liberty Township, was charged federally on August 9. The criminal complaint was unsealed today following Guerrero’s initial appearance in federal court at 2:30pm before U.S. Magistrate Judge Karen L. Litkovitz.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Todd A. Wickerham, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, and Sharonville Police Chief Steve Vanover announced the charges.
According to the affidavit filed in support of the criminal complaint, the Sharonville Police Department received several complaints on August 7 regarding the pastor of Mision Cristiana el Calvario Church and a minor female victim.
Guerrero allegedly contacted the 17-year-old victim through the Facebook Messenger app and told the victim he had dreamt of her dressed in white and walking in a dark place. The victim told the pastor she had been sexually molested in Guatemala.
It is alleged Guerrero told the victim that God was speaking to him and the only way to get out of the dark place was for her to have sexual relations with Guerrero. The pastor allegedly referred to this as a “cleansing process.”
The affidavit details that Guerrero requested a nude video call with the victim as well as photos of her genitalia. He cited several biblical verses while making the request.
Further, it is alleged the victim met with the pastor at the Sharonville church on July 30. At that time, the pastor allegedly said he would “free her mouth” by having the victim perform oral sex on him. The pastor also allegedly raped the victim.
On August 9, officials with the FBI and Sharonville Police received information from a second alleged victim. According to the affidavit, the second victim had been sexually assaulted by the pastor on more than one occasion, beginning when the victim was 14 years old.
Guerrero allegedly told the second victim to show him how she kissed her boyfriend before assaulting her and telling her if she was a child of God she would obey him.
It is also alleged that Guerrero sexually assaulted this second victim on another occasion at his home.
Guerrero was arrested last week on state charges and was transferred to federal custody today.
Coercing a minor is a federal crime punishable by a mandatory minimum 10 years and up to life in prison.
If you believe you are also a victim in this case, or have relevant information related to Guerrero, please contact the FBI tip line at 513-979-8822.
U.S. Attorney Glassman commended the investigation of this case by the FBI and Sharonville Police Department, as well as Assistant United States Attorney Kyle J. Healey, who is prosecuting the case.
A criminal complaint merely contains allegations, and the defendant is presumed innocent unless proven guilty in a court of law.
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Lincoln County Man Pleads Guilty to Possessing Unregistered Sawed Off ShotgunRead the Press Release
CHARLESTON, W.Va. – A Hamlin, West Virginia man pled guilty to being in possession of a sawed off shotgun that was not registered with the National Firearms Registration and Transfer Record, announced United States Attorney Mike Stuart. Jeffery Turley admitted that on March 17, 2018, he was in possession of a sawed off shotgun that was not registered.
Turley faces up to 10 years in prison when sentenced on November 30, 2019.
The Lincoln County Sheriff’s Office, the West Virginia State Police, and the Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation. United States District Judge Berger presided over the hearing. Assistant United States Attorney Christopher R. Arthur is handling the prosecution.
This case is being prosecuted as part of the Project Safe Neighborhoods (PSN) program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
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Last Defendant Sentenced in a Multi-Defendant Methamphetamine ConspiracyRead the Press Release
St. Louis, MO – Nathan Cavin, 38, of St. Louis, MO, was sentenced to 135 months in prison for his involvement in a multi-defendant methamphetamine conspiracy in the Eastern District of Missouri. Cavin appeared today before U.S. District Judge Henry E. Autrey.
According to court documents, in April 2017, a multi-pound supplier of methamphetamine was identified, who had several sources of supply for drugs in Oklahoma City and Kansas City. Eleven people were indicted and connected to this conspiracy, which was responsible for at least 40 kilograms of methamphetamine. The methamphetamine was transported to the St. Louis area from Oklahoma City and Kansas City between April and August 2017. During the course of the investigation, law enforcement officers seized approximately nine kilograms of methamphetamine, 11 guns (including a silencer and a short-barrel rifle) and $148,000 in U.S. currency.
Defendants also sentenced in the conspiracy are as follows:
Eric Broadaway, 49, 120 months in prison;
Keith English, 27, 180 months in prison;
Tommy Hopkins, 37, 144 months in prison;
Brandon Jones, 36, 135 months in prison;
Dione Schwartz, 50, 120 months in prison;
Bryan Warren, 40, 180 months in prison and;
David Wilson, 38, 60 months in prison.
The Drug Enforcement Administration, the St. Charles Drug Task Force and the St. Ann Police Department investigated this case. Assistant U.S. Attorney Sara Koppenaal handled the case for the U.S. Attorney’s Office.
Las Vegas Man Indicted on Federal Extortion ChargeRead the Press Release
LAS VEGAS, Nev. – A Las Vegas man was arraigned in federal court today for extorting $100,000 from another person who was visiting Las Vegas, announced United States Attorney Nicholas A. Trutanich for the District of Nevada.
Fredi Kazimirsky, 27, was arraigned on an indictment that charged him with one count of use of a facility of interstate commerce to promote extortion before United States District Magistrate Judge Cam Ferenbach. A Grand Jury returned the indictment on August 7, 2019.
According to court documents, Kazimirsky and the victim had an intimate encounter at a hotel room on the Las Vegas Strip. Approximately two months later, he and the victim planned to meet again, but they did not meet each other. On June 27, 2019, Kazimirsky sent text messages to the victim stating he had footage of their prior sexual encounter and he would sell the video to a porn site if the victim did not give him $100,000 in cash. On June 28, 2019, Kazimirsky agreed to meet the victim at a hotel room to receive the extortion money. When he arrived at the hotel, he was taken into custody by law enforcement. During an interview with agents from the FBI, Kazimirsky admitted to sending the text messages to the victim.
A jury trial is scheduled for October 7, 2019, before United States District Judge Andrew P. Gordon. If convicted, the maximum penalty is five years’ imprisonment and a $250,000 fine.
An indictment merely alleges that a crime has been committed, and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
The case was investigated by the FBI. Assistant United States Attorney Nicholas Dickinson is prosecuting the case.
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La Grange Man Indicted on Child Pornography ChargesRead the Press Release
RALEIGH — Robert J. Higdon, Jr., the United States Attorney for the Eastern District of North Carolina, announces that a Federal grand jury in Greenville has returned an eleven-count indictment charging Jeremy Dwight Lane, age 38, of La Grange, North Carolina, with ten counts of receipt of child pornography, and one count of possession of child pornography.
The indictment alleges that beginning at a time unknown and ending on June 12, 2017, LANE received at least ten images containing visual depictions of minors engaged in sexually explicit conduct. The indictment further alleges that on June 12, 2017, Lane was found to be in possession of digital media containing images and videos involving minors engaged in sexually explicit conduct.
If convicted of these charges, LANE would face a statutory minimum sentence of 5 years’ imprisonment and a maximum sentence of up to 20 years per count. He also would face up to a lifetime of supervised release following any term of imprisonment.
The charges and allegations contained in the Indictment are merely accusations. The defendant is presumed innocent unless and until proven guilty in a court of law.
This case is part of the Project Safe Childhood initiative, a national program aimed at ensuring that criminals exploiting children are effectively prosecuted by making full use of all available law enforcement resources at every level. For more information about this important national initiative, go to www.projectsafechildhood.gov.
The case is being investigated by the North Carolina State Bureau of Investigation and the Greene County Sheriff’s Office. Assistant United States Attorney Jake D. Pugh is prosecuting the case for the government.
Kentwood Resident Charged with Stealing Identites as Part of Nationwide Prostitution SchemeRead the Press Release
NEW ORLEANS – U.S. Attorney Peter G. Strasser announced that DOMINIQUE ALAINA BERRY, age 30, a resident of Kentwood, Louisiana, was charged today in a two-count bill of information with conspiracy to commit wire fraud, bank fraud, and interstate transportation and use of an interstate facility with intent to carry on unlawful activity, in violation of Title 18, United States Code, Sections 371, 1343, 1344, and 1952(a)(3), and aggravated identity theft, in violation of Title 18, United States Code, Section 1028A.
According to the bill of information, BERRY and R.S. met in about early 2013 and soon developed a romantic relationship. Thereafter, BERRY began working for an escort agency under R.S.’s supervision, often engaging in prostitution activities. BERRY and R.S. travelled nationally engaging in their prostitution scheme. BERRY often used the alias “Desiree Knowles.” Thereafter, the enterprise evolved into one that involved meeting individuals online who were interested in companionship, arranging face-to-face interactions with them, and incapacitating them by giving them illegal drugs and prescription medication with neuro-suppressive side effects, including anti-psychotic medications, which the victims unknowingly ingested. BERRY and R.S. would then steal the victims’ valuables. Between at least November 2015 and September 2017, R.S. and BERRY implemented the scheme on not fewer than fifty (50) occasions throughout the United States, including in California, Arizona, New Mexico, Texas, Louisiana, and Georgia. BERRY and R.S. were arrested at a hotel in Sandy Springs, Georgia, on September 13, 2017. When law enforcement authorities found BERRY at the hotel, she was bleeding from her nose, had a swollen lip and puncture consistent with her teeth biting through her lip, and black electrical tape around one of her arms.
According to the bill of information, on about February 24, 2017, BERRY met S.A., a resident of Metairie, Louisiana, through a social media application. After exchanging text messages and phone calls, BERRY and S.A. agreed to meet at S.A.’s apartment. Thereafter, R.S. dropped BERRY off at S.A.’s apartment. While at S.A.’s apartment, BERRY placed drugs designed to incapacitate S.A., including multiple anti-psychotic medications, into S.A.’s beverages without his knowledge or authorization. After S.A. lost consciousness, BERRY told R.S. that S.A. was incapacitated, and R.S. returned to S.A.’s residence. Thereafter, R.S. and one or more conspirators stole S.A.’s valuables, including his wallet, two cellular phones, his keys, and his 2012 Toyota Tacoma truck. On February 25, 2017, BERRY and R.S. used S.A.’s debit card to make multiple purchases in the New Orleans area. Additionally, on February 25, 2017, detectives with the Jefferson Parish Sheriff’s Office responded to a wellness check at S.A.’s residence and found him to be deceased. Among its findings, toxicology tests found anti-psychotic medications in S.A.’s body and determined them to have contributed to his death.
If you believe you are a victim of these criminal activities, please contact the FBI at 1-800-CALL-FBI (800-225-5324), and reference this case.
If convicted, BERRY faces a maximum term of seven (7) years in prison, a fine of up to $250,000.00, up to three (3) years of supervised release after imprisonment, and a mandatory $100 special assessment.
U. S. Attorney Strasser reiterated that a bill of information is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
U.S. Attorney Strasser praised the work of the Federal Bureau of Investigation in investigating this matter and expressed appreciation for the support provided by the Jefferson Parish District Attorney’s Office and the Jefferson Parish Sheriff’s Office. Assistant United States Attorneys Jordan Ginsberg, supervisor of the Public Corruption Unit, and Elizabeth Privitera, supervisor of the Violent Crime Unit, are in charge of the prosecution.
Keithville convicted felon sentenced to seven years in federal prison for illegal possession of pistolRead the Press Release
SHREVEPORT, La. – United States Attorney David C. Joseph announced that Michael Roy Reed, 44, of Keithville, Louisiana, was sentenced Tuesday by U.S. District Judge Elizabeth E. Foote to serve seven years in federal prison for illegally possessing a .380-caliber pistol. Reed previously pleaded guilty on February 12, 2019, to one count of possession of a firearm by a convicted felon.
Shreveport Police received a call on January 23, 2018, from a concerned citizen about a Colt, Model: Mustang XSP, .380-caliber pistol. The caller informed the police that he had received the firearm from Reed as payment for performing work on Reed’s truck. After investigating the matter further, police officers learned that the Mustang Colt pistol was one of seven firearms reported stolen from a pawn shop days earlier and that Reed was a convicted felon.
Reed was convicted in Ouachita Parish on July 8, 2013, for illegal possession of stolen things, conspiracy to distribute cocaine and possession with intent to distribute methamphetamine. Reed was indicted September 27, 2018. Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition.
The ATF and Shreveport Police Department conducted the investigation. Assistant U.S. Attorneys Jessica D. Cassidy and Allison D. Bushnell prosecuted the case.
Project Safe Neighborhoods (PSN) is the centerpiece of the Department of Justice’s violent crime reduction efforts. Project Safe Neighborhoods is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Kanawha County Man Pleads Guilty to Federal Drug CrimeRead the Press Release
CHARLESTON, W.Va. – A Kanawha County man was convicted of a federal drug crime, announced United States Attorney Mike Stuart. Shyqwon Carter, 21, of Charleston, pled guilty to possession with intent to distribute marijuana. Stuart commended the investigation conducted by the Charleston Police Department and the Metropolitan Drug Enforcement Network Team (MDENT).
“Marijuana, meth, guns and cash,” said United States Attorney Mike Stuart. “If you are distributing illegal drugs, whether it’s marijuana, meth, heroin, or any other controlled substance, we will prosecute you.”
Carter resided with family in Charleston, West Virginia. On May 17, 2018, MDENT detectives arrived at this residence to execute an arrest warrant issued by Kanawha County Circuit Court for Carter’s arrest. Detectives were given permission to search the home by a family member. Officers recovered two loaded .40 caliber Glock handguns, one of which was stolen, over 100 grams of marijuana, several baggies of marijuana, methamphetamine, and digital scales. Over $4,000 cash was found in Carter’s pants pocket. Detectives believed there to be additional marijuana in the area and ultimately obtained a search warrant for an abandoned vehicle outside of Carter’s home. Inside the car, detectives seized additional marijuana, two more loaded firearms, and ammunition. In all, MDENT officers recovered over 10 pounds of marijuana that Carter intended for distribution.
Carter is facing up to 5 years in prison and a fine of up to $250,000 when he is sentenced on November 12, 2019. Assistant United States Attorney L. Alexander Hamner is handling the prosecution. United States District Judge Joseph R. Goodwin presided over the hearing.
SDWVNews and USAttyStuart
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Justice Department Commends Federal Communications Commission on its Important Step Toward Approving the T-Mobile/Sprint Transaction and Divestiture to DishRead the Press Release
Chairman Ajit Pai of the Federal Communications Commission announced today that his office has circulated a draft order approving the combination of T-Mobile and Sprint along with the divestiture of Sprint’s prepaid business to Dish Network Corp. Just as the Department determined last month, the FCC’s draft order concludes that the merger and divestiture should move forward. As the FCC explained, the circulation of the draft order means that the matter is now ready for consideration by the full Commission.
“I commend the FCC on passing this important milestone toward approval of the merger and divestiture, and congratulate them on completing their thorough review and analysis,” said Assistant Attorney General Makan Delrahim of the Justice Department’s Antitrust Division. “We are now one step closer to strengthening competition for high-quality 5G networks that will benefit American consumers nationwide.”
The Department’s Antitrust Division, along with the offices of five state Attorneys General (Plaintiff States), filed a civil antitrust lawsuit on July 26 in the U.S. District Court for the District of Columbia to block the proposed transaction. At the same time, the Department and the Plaintiff States filed a proposed settlement that, if approved by the court, would resolve the Department’s and the Plaintiff States’ competitive concerns. The participating state Attorneys General offices represent Kansas, Nebraska, Ohio, Oklahoma, and South Dakota.
Under the terms of the proposed settlement, T-Mobile and Sprint must divest Sprint’s prepaid business, including Boost Mobile, Virgin Mobile, and Sprint prepaid, to Dish Network Corp., a Colorado-based satellite television provider. The proposed settlement also provides for the divestiture of certain spectrum assets to Dish. Additionally, T-Mobile and Sprint must make available to Dish at least 20,000 cell sites and hundreds of retail locations. T-Mobile must also provide Dish with robust access to the T-Mobile network for a period of seven years while Dish builds out its own 5G network.
T-Mobile US Inc. is a Delaware corporation headquartered in Bellevue, Washington. In 2018, T-Mobile posted revenues of more than $43 billion. Deutsche Telekom AG, a German corporation headquartered in Bonn, Germany, is the controlling shareholder of T-Mobile US Inc.
Sprint Corporation is a Delaware corporation headquartered in Overland Park, Kansas. In 2018, its posted revenue was over $32 billion. Sprint is controlled by SoftBank Group Corp., a Japanese Corporation headquartered in Tokyo, Japan.
Jury convicts Billings man of meth trafficking crimesRead the Press Release
BILLINGS – A jury on Wednesday convicted Billings resident Charles Eugene Venditti of methamphetamine trafficking crimes, U.S. Attorney Kurt Alme said. The trial began on Monday.
The jury found Venditti, 42, guilty of all five counts in an indictment, including conspiracy to possess with intent to distribute meth, possession with intent to distribute meth and three counts of distribution.
Venditti faces a minimum mandatory 10 years to life in prison, a $10 million fine and five years of supervised release.
Chief U.S. District Judge Dana L. Christensen set sentencing for Jan. 14, 2020. Venditti is detained.
“Mr. Venditti’s conviction sends the message that those who sell meth will be held responsible for pushing this poison in the community. I want to commend the Eastern Montana High Intensity Drug Trafficking Area Task Force and the prosecution team for their work on this case,” U.S. Attorney Alme said.
Prosecutors presented evidence at trial that law enforcement received information in May 2018 that Venditti was distributing meth. Law enforcement worked with a confidential informant to make three monitored meth buys from Venditti. Two of the buys occurred at Venditti’s tattoo business at 145 Grand Ave., and one occurred in Venditti’s vehicle. Each purchase was for an ounce of meth for $800.
Law enforcement served search warrants in June 2018 on Venditti’s residence and tattoo business and on another person’s residence. The search found drug paraphernalia and a small amount of meth at Venditti’s residence.
Assistant U.S. Attorneys Tom Godfrey and Colin Rubich prosecuted the case, which was investigated by the Eastern Montana High Intensity Drug Trafficking Area Task Force.
The case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
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Jury Convicts Three Men of Trafficking Nearly $17 Million Dollars of CocaineRead the Press Release
NEWS RELEASE SUMMARY – August 14, 2019
SAN DIEGO – Three defendants were convicted by a federal jury on charges stemming from their efforts to traffic approximately 734 kilograms (1614 pounds) of cocaine -- worth nearly $17 million dollars -- on the high seas. The verdict came yesterday afternoon after a 10-day trial in the United States District Court for the Southern District of California before the Honorable Janis L. Sammartino.
At trial, the United States proved that on May 24, 2017, a United States Maritime Patrol Aircraft spotted a suspicious vessel alongside multiple packages of suspected floating contraband in the Eastern Pacific Ocean, approximately 364 nautical miles south of Chiapas, Mexico. The patrol aircraft notified the nearby the United States Coast Guard Cutter WAESCHE, which launched two small boats to intercept the vessel. The United States Coast Guard found Defendants aboard a vessel approximately 50 yards away from 15 bales of cocaine. The United States Coast Guard detained the defendants, recovered the cocaine, and transported them to the United States.
“This verdict is a result of the dedication of our law enforcement partners at the Coast Guard and DEA as well as the excellent trial advocacy of Assistant U.S. Attorneys Francis DiGiacco, Victor Pablo White, and Nicole Bredariol,” said U.S. Attorney Robert S. Brewer, Jr. “Stopping dangerous drugs before they reach our shores is a key priority for the U.S. Attorney’s Office and we will continue to target these maritime smuggling routes to protect the citizens of our district.”
“These smugglers have been brought to justice thanks to the dedication of the cutter Waesche’s officers and crew,” said Rear Adm. Peter W. Gautier, Eleventh Coast Guard District Commander. “This seizure adds to the thousands of kilograms of deadly narcotics seized at sea every month through the efforts of the Coast Guard, our partner agencies, and partner nations. Together we will continue our determined fight against narcotics trafficking and the criminal networks that threaten our country.”
“We may not have a wall at sea, but we do have an elite group of DEA Agents working from South America, Central America and Mexico to protect the land, sea and air borders in San Diego and Imperial Counties,” said DEA Special Agent in Charge Karen Flowers. “Utilizing all tools available, DEA merges actionable intelligence with the capabilities of other agencies to unleash the Coast Guard’s fury to stop drugs from getting to the United States. One Team, One Goal – to keep Americans safe and free from the scourge of illegal drugs.”
This case is the result of the ongoing efforts by the Organized Crime Drug Enforcement Task Force (OCDETF), a partnership that brings together the combined expertise and unique abilities of federal, state and local law enforcement agencies. The principal mission of the OCDETF program is to identify, disrupt, dismantle and prosecute high-level members of drug trafficking, weapons trafficking and money laundering organizations and enterprises.
The defendants will be sentenced on November 15, 2019 before the United States District Judge Janis L. Sammartino.
DEFENDANT Case No. 17-CR-1585-JLS
Jorge Ivan Cobena-Laje (41)
Jose Manuel Murillo-Pivaque (33)
Diomedes Valverde-Magla (65)
CHARGES
Conspiracy to Possess with Intent to Distribute Cocaine on Board a Vessel - 46 U.S.C. §§ 70503 and 70503(b)
Maximum Penalty: Life in prison and $10,000,000 fine
Possession of Cocaine with Intent to Distribute on Board a Vessel
46 U.S.C. § 70503
Maximum Penalty: Life in prison and $10,000,000 fine
AGENCIES
U.S. Coast Guard
Drug Enforcement Administration
Organized Crime and Drug Enforcement Taskforce (OCDETF)
Hudson Man Sentenced to 120 Months for Crack Cocaine ConspiracyRead the Press Release
ALBANY, NEW YORK – William “Whoody” Morrison, age 32, of Hudson, New York, was sentenced yesterday to 120 months in prison for his involvement in a crack cocaine distribution ring that operated in Columbia County. Senior United States District Judge Thomas J. McAvoy ordered that the sentence run consecutive to a 36-month term of imprisonment Morrison is serving for violating supervised release conditions imposed as part of a 2011 federal drug conviction.
The announcement was made by United States Attorney Grant C. Jaquith; Keith M. Corlett, Superintendent of the New York State Police; James N. Hendricks, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI); and Chief L. Edward Moore of the Hudson Police Department.
As part of his guilty plea, Morrison admitted that between August and December 2017, he was involved in a conspiracy to distribute crack cocaine in Columbia County. The defendant further admitted that members of the conspiracy made weekly trips to New York City where they purchased hundreds of grams of powder cocaine, returned it to Hudson, converted it to crack cocaine, and then sold it to customers. The defendant admitted that the organization sold at least 464 grams of crack cocaine between August and December 2017.
Judge McAvoy also imposed a 5-year term of supervised release, to begin after Morrison’s release from prison.
This case was investigated by the New York State Police’s Special Investigations Unit in Albany, the FBI, and the Hudson Police Department, and was prosecuted by Assistant U.S. Attorneys Wayne A. Myers and Joshua R. Rosenthal.
Haughton man sentenced to 90 months in federal prison for persuading a minor to engage in illegal sexual activityRead the Press Release
SHREVEPORT, La. – United States Attorney David C. Joseph announced that Blake Lee Bissell, 28, of Haughton, Louisiana, was sentenced Monday by U.S. District Judge Elizabeth E. Foote to serve seven and a half years in prison for persuading a minor to travel with him from West Virginia to Louisiana in order to engage in illegal sexual activity. Bissell previously pleaded guilty on January 16, 2019, to one count of coercion and enticement to travel to engage in criminal sexual activity.
Blake Bissell began an online relationship with a 14-year-old in early 2018. He used a cell phone and social media applications to send text messages and other electronic communications to the victim in order to convince the victim to travel to the Western District of Louisiana. Shortly thereafter, Bissell traveled to West Virginia on June 30, 2018, picked up the minor and transported the minor back to Louisiana where they engaged in illegal sexual activity.
This case is part of Project Safe Childhood, a U.S. Department of Justice nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood combines 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.
Those concerned may leave tips with the FBI at tips.fbi.gov. Tips may be submitted anonymously. The Shreveport FBI office number is (318) 861-1890.
The FBI and the Wheeling Police Department of West Virginia conducted the investigation. Assistant U.S. Attorneys Brian C. Flanagan and Earl M. Campbell prosecuted the case.
Guilty Plea for Centralia Felon Distributing Methamphetamine While Armed with a FirearmRead the Press Release
Dominique Lavelle Oatis, of Centralia, Illinois, pleaded guilty today to an indictment charging him
with distribution of methamphetamine (3 counts), carrying a firearm during and in relation to a
drug trafficking crime, and unlawful possession of a firearm by a convicted felon. The offenses all
occurred in Centralia in March 2018. Oatis, 28, remains in custody without bond after he was
arrested on the charges in Kansas earlier this year.Sentencing is scheduled for December 5. For the drug distribution charges, Oatis faces a maximum
sentence of 20 years’ imprisonment, a $1 million fine, and at least three years supervised release.
For carrying a gun during and relation to a drug trafficking crime, Oatis faces 5 years to life
imprisonment, which must follow any other term of imprisonment imposed, a fine of up to
$250,000, and supervised release of not more than five years. Being a felon in possession of a
firearm carries a maximum sentence of 10 years imprisonment, a $250,000 fine, and three years
supervised release.Information leading to the charges against Oatis was obtained in an investigation conducted by the
FBI, the Bureau of Alcohol, Tobacco, Firearms & Explosives, the Marion County Sheriff’s
Office, the Centralia Police Department, and the Carlyle Police Department.
Guilford Man Receives Additional Prison Time for Failing to Report to PrisonRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that BRIAN PAGE, 45, of Guilford, was sentenced today by U.S. District Judge Alvin W. Thompson in Hartford to an additional three months of imprisonment for failing to surrender for service of his federal sentence.
According to court documents and statements made in court, on October 17, 2017, Judge Thompson sentenced Page to 97 months of imprisonment, followed by four years of supervised release, for his role in a scheme to distribute oxycodone that was obtained through fraudulent prescriptions. Judge Thompson ordered Page, who was released on a $200,000 bond, to surrender for service of his sentence on November 17, 2017.
Page was subsequently designated by the Bureau of Prisons to the Federal Correctional Institute at Fort Dix, New Jersey.
Page did not surrender to FCI Fort Dix on November 17, 2017. The U.S. Marshals Service located and arrested Page at a hotel in Branford on December 7, 2017. He has been detained since his arrest.
Judge Thompson ordered Page to serve three months of imprisonment, followed by six months of home confinement, when Page completes his original 97-month sentence.
This case was prosecuted by Assistant U.S. Attorneys Jocelyn Courtney Kaoutzanis and Anthony E. Kaplan.
Guatemalan Man Sentenced for Transporting a Minor with Intent to Engage in Sexual ActivityRead the Press Release
BROWNSVILLE, Texas – A 48-year-old Guatemalan citizen was ordered to federal prison after pleading guilty to multiple crimes, announced U.S. Attorney Ryan K. Patrick.
Gildardo Perez-Reyes pleaded guilty May 13, 2019, to engaging in illicit sexual conduct in foreign places, transporting a minor with intent to engage in criminal sexual activity and possession of child Pornography.
Today, U.S. District Judge Rolando Olvera Jr. sentenced Perez-Reyes to a total of 120 months in prison. Perez-Reyes was further ordered serve 10 years on supervised release following completion of his prison term, during which time he will have to comply with numerous requirements designed to restrict his access to children and the internet. He will also be ordered to register as a sex offender. Not a U.S. citizen, he is expected to face removal proceedings following the sentence.
On or about April 26, 2018, authorities conducted a traffic stop on a vehicle driving through McAllen. Perez-Reyes was driving and traveling with a minor female. During the stop, law enforcement noticed discrepancies in their statements and discovered the minor female had just been smuggled into the United States illegally.
Perez-Reyes admitted he was aware she was a minor and was involved in a sexual relationship with her. Further, Perez-Reyes also possessed several images and videos of child pornography contained within his cellular phone.
Immigration and Customs Enforcement’s Homeland Security Investigations - Rio Grande Valley Child Exploitation Task Force conducted the investigation.
Assistant U.S. Attorneys Ana Cano and Jason Corley prosecuted the case, which 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."
Greenbrier County Man Sentenced to Five Years on Federal Gun CrimesRead the Press Release
CHARLESTON, W.Va. – Ronald Collins, 39, of Greenbrier County, was sentenced to 60 months in prison for federal gun crimes, announced United States Attorney Mike Stuart. The sentence was an upward departure from the U.S. Sentencing Guidelines. The Court found that Collins obstructed justice when he assaulted his former counsel. Further, the Court found that an upward departure was warranted because of the defendant’s violent ideations, threatening behavior and lack of respect for law enforcement.
“Another upward departure from the federal sentencing guidelines granted by the Court at my request. This is the second request for an upward departure granted in the past two weeks based on the gravity of the offense. I will continue to seek upward departures where the circumstances warrant,” said United States Attorney Mike Stuart. “Prosecution of cases like this are important. By enforcing federal gun laws, we keep guns out of the wrong hands.”
In March 2019, a federal jury convicted Collins of making a false and fictitious written statement on an ATF Form 4473 in order to acquire a firearm and of being in possession of a firearm after being committed to a mental institution. In January 2018, Collins lied on ATF form 4473, indicating that he had never been committed to a mental institution, and thereafter purchased a firearm. Collins posted several videos of himself with the firearm on social media, including one of him shooting the firearm, which were shown to the jury.
The Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF) and the West Virginia State Police conducted the investigation. United States District Judge Irene C. Berger imposed the sentence. Assistant United States Attorneys Steve Loew and Alex Hamner handled the prosecution.
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German Citizen Sentenced for Violating U.S. Sanctions Against IranRead the Press Release
ALBANY, NEW YORK – Mojtaba Biria, age 68, and a citizen of Germany, was sentenced today to time served (approximately 21 months in jail) for conspiring to unlawfully export gas turbine parts from the United States to Iran.
The announcement was made by United States Attorney Grant C. Jaquith; James N. Hendricks, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI); Kevin Kelly, Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI); and Jonathan Carson, Special Agent in Charge, U.S. Department of Commerce, Office of Export Enforcement, New York Field Office.
United States District Judge Mae A. D’Agostino also ordered Biria to pay a $5,000 fine.
Biria pled guilty to one count of conspiring to violate the International Emergency Economic Powers Act (IEEPA), and the Iranian Transactions and Sanctions Regulations.
Biria was the Technical Managing Director of Energy Republic GmbH (“Energy Republic”), an export company based in Cologne, Germany; most of Energy Republic’s customers were located in Iran.
Biria admitted to conspiring in 2017 with Olaf Tepper and others to acquire about $1 million worth of energy turbine parts from a company in Saratoga County, New York. The parts would have been shipped to Germany and then immediately re-shipped to Iran, as part of a scheme to willfully violate U.S. export control laws.
Biria was arrested on November 23, 2017 at Boston’s Logan International Airport. He had been in custody since that day.
Two of Biria’s co-conspirators have also pled guilty.
Tepper, age 53, and a citizen of Germany, pled guilty to conspiring to violate IEEPA. On August 3, 2018, Judge D’Agostino sentenced him to 24 months in prison, and to pay a $5,000 fine. Tepper was the founder and Managing Director of Energy Republic.
Mahin Mojtahedzadeh, age 74, and a citizen of Iran, pled guilty on July 19, 2019 to conspiring to violate IEEPA. She is scheduled to be sentenced on November 12, 2019.
These cases are the result of a joint investigation by FBI, HSI and the Department of Commerce Office of Export Enforcement, and are being prosecuted by Assistant U.S. Attorneys Rick Belliss and Michael Barnett, with assistance from Trial Attorney Scott A. Claffee of the Department of Justice’s National Security Division, Counterintelligence & Export Control Section.
Former St. Louis Community College Employee Steals over $7.5 million from the Missouri Job Training ProgramRead the Press Release
St. Louis, MO – Donald L. Robison, 57, Ballwin, MO, pleaded guilty to 15 counts of wire fraud, mail fraud and money laundering before United States District Judge Stephen R. Clark. Sentencing is scheduled for November 12, 2019.
According to his plea agreement, from August 1998 through November 2018, Robison stole millions of dollars allocated for New and Retained Job Training Programs established by the Missouri Department of Economic Development. Robison stole program-allocated funds from both the Missouri Department of Revenue and St. Louis Community College. Robison subsequently moved the stolen funds between bank and investment accounts to conceal their origin.
"All the money stolen was meant for a program designed for people who wanted to better themselves by learning new skills to become employable," said Special Agent in Charge Richard Quinn of the FBI St. Louis Division. "Instead, Donald Robison helped himself to millions of taxpayer dollars and deprived the program of money destined to help Missouri workers."
Wire fraud and mail fraud carry a maximum penalty of 20 years imprisonment for each count and a fine of $250,000 or both. Money laundering carries a maximum penalty of 10 years imprisonment for each count and a fine of $250,000 or both. In determining the actual sentence, a Judge is required to consider the U.S. Sentencing Guidelines, which provides recommended sentencing ranges. Restitution to the victims is also mandatory.
The Federal Bureau of Investigation is investigating the case with the assistance and cooperation of St. Louis Community College and the State of Missouri. Assistant United States Attorney Lindsay McClure-Hartman is handling the case for the U.S. Attorney’s Office.
Former Principal Chief of Muscogee (Creek) Nation Indicted for BriberyRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Bristow, Oklahoma, resident GEORGE PHILLIP TIGER, age 69, has been Indicted for Bribery Concerning Programs Receiving Federal Funds, in violation of Title 18, United States Code, Section 666(a)(1)(B), punishable by not more than 10 years imprisonment, up to a $250,000.00 fine, or both.
Tiger, the former Principal Chief of the Muscogee (Creek) Nation, was an agent of the Alabama-Quassarte Tribal Town (AQTT) from September 26, 2017 through December 4, 2018. His duties included serving as the Chairman of the Economic Development Authority (EDA) Board. The AQTT formed the EDA to identify, plan, initiate and develop tribal economic and industrial activities on behalf of the AQTT. The AQTT is an Indian tribal government and organization that received federal assistance in excess of $10,000.00 during any one-year period from January 1, 2012 through the date of the indictment. The AQTT is headquartered in Wetumka, Oklahoma.
The Indictment alleges that from on or about September 26, 2017 through on or about February 15, 2019, in the Eastern District of Oklahoma and elsewhere, Defendant George Phillip Tiger did corruptly solicit, demand, accept and agree to accept a thing of value from persons known to the Grand Jury, intending to be influenced and rewarded in connection with a transaction or series of transactions of the Alabama-Quassarte Tribal Town (AQTT) involving $5,000.00 or more.
The Defense Criminal Investigative Service (DCIS), Office of Inspector General, the Federal Bureau of Investigation (FBI), Internal Revenue Service, Small Business Administration – Office of Inspector General, General Services Administration – Office of Inspector General, Army Criminal Investigations Division, and Naval Criminal Investigative Service participated in the investigation that lead to the Indictment. Assistant United States Attorney Douglas Horn, Assistant United States Attorney Ryan Heatherman, and Special Assistant United States Attorney Courtney Jordan represent the United States.
The above named individual has been charged with a federal crime or crimes by the return of an indictment by the Grand Jury. A grand jury Indictment does not constitute evidence of guilt. A grand jury Indictment is a method of bringing formal charges against the defendant. A defendant is presumed innocent of the charges and may not be found guilty unless evidence establishes guilt beyond a reasonable doubt.
Former Executive Director of Non-Profit Charged with EmbezzlementRead the Press Release
Ariana Fajardo Orshan, U.S. Attorney for the Southern District of Florida, Teri Donaldson, Inspector General, U.S. Department of Energy, Office of Inspector General (DOE-OIG), Nadine Gurley, Special Agent in Charge of the Southeast Caribbean Region, U.S. Department of Housing and Urban Development Office of Inspector General (HUD-OIG), and Scott McInerney, Director, Florida Department of Law Enforcement (FDLE), Office of Executive Investigations announced that Donna Carman, 59, of Martin County, Florida has been charged by an Information with theft from an organization receiving federal funds (Case No. 19-14039-CR-Martinez/Maynard).
According to the Information, Indiantown Nonprofit Housing, Inc. (“Indiantown”), is a Florida not-for-profit corporation that provides affordable housing and community, social, and economic development opportunities for low and moderate income residents in Martin County. Indiantown applied for and received funds through various Federal programs. As the Executive Director of Indiantown, Carman was responsible for planning, organizing and monitoring the activities of the organization, coordinating with consultants, architects, contractors, funding agencies, property management companies, and other related professionals in furtherance of Indiantown’s mission, maintaining the fiscal records of the organization, ensuring appropriate and timely processing of all fiscal reporting requirements, and providing administrative support to Indiantown’s Board of Directors. She was authorized to use an American Express credit card bearing her name and issued to Indiantown for business-related purchases. Beginning as early as August 21, 2014, Carman began siphoning funds from for her own personal use, including repairs and upgrades made to real property she owned. Carman used the Indiantown American Express credit card on several occasions to purchases goods and services for herself and others unrelated to Indiantown’s mission.
If convicted, Carman faces up to 10 years in prison and a maximum fine of $250,000 or twice the loss or twice the gain caused by the offense.
An information merely contains 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 DOE-OIG, HUD-OIG, and FDLE in this matter. This case is being prosecuted by Assistant U.S. Attorney Michael D. Porter.
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 CEO, CFO of South Florida Tech Support Scam Plead Guilty to Federal Charges in Southern IllinoisRead the Press Release
There will be no trial for two South Florida men who owned and operated a fraudulent tech support
business known as Client Care Experts, LLC (CCE), U.S. Attorney Steven D. Weinhoeft announced
today. Michael Austin Seward, 32, of Deerfield Beach, Florida, and Kevin James McCormick, 46, of
Delray Beach, Florida, have both pleaded guilty to a federal indictment charging them with
conspiracy to commit wire fraud, admitting in the process that their business
– formerly known as “First Choice Tech Support” – was a scam.Seward and McCormick were part owners of CCE, based in Boynton Beach, Florida, and held themselves
out as the chief executive officer and chief financial officer respectively. As part of their
guilty pleas, both men admitted that they also oversaw the operations of another fraudulent tech
support business called ABC Repair Tech (ABC), located in Costa Rica.According to court documents, the defendants purchased pop-up advertisements that would appear
suddenly on a person’s computer screen. The pop-ups were made to look like system warnings and
falsely informed the victims that serious problems, such as viruses or malware, had been detected
on their computers. Often, the pop-ups caused the person’s internet browser to freeze up and stop
responding. The pop-ups also typically warned the victims not to shut down their computers or else
they would lose all their data. Instead, the ads directed them to call a toll-free number, where
they were connected to sales representatives who continued the fraud.The sales representatives would convince the victims to grant them remote access to their
computers, where normal computer functions and routine processes were highlighted as evidence of
serious computer problems. Victims were never told that the pop-ups that had hijacked their
computers were just advertisements purchased by the tech support company, or that in most instances
they could make the pop-ups go away simply by rebooting their computers. Instead, they were sold
remote “tune-ups” for $250 and anti-virus protection software for another $400. If victims balked
at the steep prices, the sales representatives would offer them a discount for being
a senior citizen or a military veteran or something else.
From 2013-2016, the two companies – CCE and ABC – combined to defraud more than 40,000 people.
Victims were located in all 50 States, the District of Columbia, Puerto Rico, several
U.S. territories, all 10 Canadian provinces, the United Kingdom, and several other foreign
countries. At least 57 victims of the scams were residents of the Southern District of Illinois,
representing 22 of the district’s 38 counties, including St. Clair and Madison. All told, the two
companies took in over $25 million.Before Seward and McCormick pleaded guilty, they had been set for trial on Sept. 9. Their case has
been pending since May 2018, when a federal grand jury in East St. Louis returned a superseding
indictment charging them and their former vice president, Grant Clark Wasik, 35, of Boynton Beach,
Florida, with one count of conspiracy and 13 counts of wire fraud. Wasik pleaded guilty to the
conspiracy count earlier this year.The Honorable Joe Billy McDade from the Central District of Illinois was recently appointed to
preside over the case and will handle the defendants’ sentencing hearings from the federal district
courthouse in East St. Louis. Seward and McCormick are set to be sentenced on November 18. Wasik’s
sentencing is scheduled for October 8.The former CEO of ABC, Michael Cary Lawing, is due to be sentenced on October 15 before the
Honorable Nancy J. Rosenstengel, Chief United States District Judge for the Southern District of
Illinois. Lawing, 34, of Lincolnton, North Carolina, pleaded guilty to his role in the conspiracy
late last year.Since April 2017, 14 other employees of CCE and ABC have also pleaded guilty to federal fraud
violations in the Southern District of Illinois:• Joseph Ralph Aievoli, IV, 26, of Boynton Beach, FL – Salesperson at CCE
• Cory Steven Bachman, 26, of Boynton Beach, FL – Salesperson at CCE
• Andrew Douglas Broad, 27, of Boynton Beach, FL – Director of Training at CCE
• Ryan Stocker Carr, 24, of Mount Laurel, NJ – Team Leader at CCE
• Joshua Dennis Cortez, 38, of Lake Worth, FL – Director of Training at CCE
• Nicholas James Davidson, 27, of Boynton Beach, FL – Salesperson at CCE
• Patrick M. Dougherty, 36, of Boynton Beach, FL – Salesperson at CCE
• Tatum Elyse Espenshade, 27, of West Palm Beach, FL – Salesperson at CCE
• Eric M. Iannaccone, 33, of Monroe Township, NJ – Sales Manager at CCE
• Anthony Vincent Ludena, 30, of Boca Raton, FL – Salesperson at CCE
• Robert Thomas McCart, 33, of Boynton Beach, FL – Team Leader at CCE
• Timothy James Miller, II, 28, of Schwenksville, PA – Salesperson at CCE
• Jonathan Matthew Richardson, 28, of Lake Worth, FL – Salesperson at CCE
• Kyle Evan Swinson, 27, of Boynton Beach, FL – Team Leader at ABC/CCE
Another CCE salesperson, Erica Crowell, 30, of Maple Shade, New Jersey, remains under indictment
and is scheduled for trial on Sept. 9. Members of the public are reminded that an indictment is
merely a formal charge against a defendant. All defendants are presumed innocent unless and until
proven guilty beyond a reasonable doubt to a jury.
Because the crimes allegedly took place in connection with telemarketing and victimized 10 or more
persons over the age of 55, the maximum punishment in each case is 30 years imprisonment. The
defendants could also be ordered to serve up to five years of supervised release and pay a fine of
up to $250,000. Under federal law, restitution to identified victims is mandatory.Ten of the convicted defendants have been sentenced already:
Date Defendant Prison Sentence Restitution Mar. 8, 2018 Ryan Carr 12 months + 1 day $20,384.36 May 7, 2018 Joshua Cortez 18 months $3,034.00 June 8, 2018 Patrick Dougherty 12 months + 1 day $240,966.94 June 14, 2018 Anthony Ludena 12 months + 1 day $176,692.26 June 29, 2018 Nicholas Davidson 5 years probation $181,808.40 July 26, 2018 Timothy Miller 5 years probation + 200 hours community service $127,042.06 Aug. 3, 2018 Tatum Espenshade 1 day + 18 months home detention $132,683.68 Sept. 11, 2018 Andrew Broad 12 months + 1 day $55,238.28 Sept. 20, 2018 Jonathan Richardson 12 months + 1 day $78,638.99 Oct. 4, 2018 Corey Bachman 1 day $156,806.25
These cases are part of an ongoing investigation by the St. Louis Field Office of the Chicago
Division of the United States Postal Inspection Service. The cases are being prosecuted by
Assistant United States Attorneys Scott A. Verseman, Ranley R. Killian, and Nathan D. Stump.The Florida Attorney General’s Office raided CCE in June 2016 and has been cooperating with the
federal investigation, in addition to bringing its own civil enforcement action against CCE under
Florida state law.The Federal Trade Commission has been working for some time to shut down illegal tech support
scams. For more information about the FTC’s “2019 Tech Support Takedown,” please visit
https://www.consumer.ftc.gov/blog/2019/03/ftcs-tech-support-takedown-2019.Some consumers who were victimized by ABC or CCE / First Choice Tech Support have received
additional fraudulent calls. These calls typically come from companies claiming either
(a) that the technical support the victims purchased has been transferred to them and additional
funds are now needed; or (b) that they can help the victims obtain a refund. Victims should be
advised that no companies have been authorized to provide them with any tech support services on
behalf of ABC or CCE / First Choice Tech Support, or to provide them with a refund for any
previous purchases.
Former Blackwater Employee Sentenced to Life Imprisonment for Murder in 2007 Shooting at Nisur Square in IraqRead the Press Release
WASHINGTON – Nicholas Slatten, 35, a former security guard for Blackwater USA, was sentenced today to life in prison without parole for committing first-degree murder in the killing of Ahmed Haithem Ahmed Al Rubia’y, one of 14 unarmed civilians who were killed in a shooting by Blackwater guards that took place at Nisur Square in Bagdhad on Sept. 16, 2007.
The announcement was made by Jessie K. Liu, U.S. Attorney for the District of Columbia and Timothy Dunham, Special Agent in Charge of the FBI’s Washington Field Office’s Criminal Division.
Slatten, formerly of Sparta, Tenn., was initially found guilty of the murder charge in October 2014, following a trial in the U.S. District Court for the District of Columbia. He was sentenced by the Honorable Royce C. Lamberth to life in prison.
Three other former guards for Blackwater USA were found guilty in the 2014 trial, of voluntary manslaughter, attempted manslaughter, and other charges. Slatten subsequently was sentenced in April 2015 to a mandatory term of life in prison without parole; the co-defendants were each sentenced to 30 years and one day in prison.
The defendants appealed the convictions. In August 2017, the District of Columbia Circuit of the U.S. Court of Appeals reversed Slatten’s conviction. The appeals court also ordered Slatten’s three co-defendants -- Paul Alvin Slough, Evan Shawn Liberty, and Dustin Laurent Heard -- to be re-sentenced for their roles in the crime. Slough, Liberty and Heard remain in custody and their re-sentencing proceedings are scheduled for September 5, 2019, before Judge Lamberth.
Slatten initially was retried on the murder charge last summer but a mistrial was declared on Sept. 5, 2018, after that jury was unable to reach a verdict. The second retrial began on Nov. 5, 2018, and the jury reached the guilty verdict on its fifth day of deliberations.
According to the government’s evidence, at approximately noon on Sunday, Sept. 16, 2007, several Blackwater security contractors, including Slatten and his former co-defendants, opened fire in and around Nisur Square, a busy traffic circle in the heart of Baghdad.
When they stopped shooting, 14 Iraqi civilians were dead. Those killed included 10 men, two women, and two boys, ages 9 and 11. At least another 17 victims were injured. According to the evidence, Slatten was the first to fire, without provocation, killing Ahmed Haithem Ahmed Al Rubia’y, an aspiring doctor, who was driving his mother to an appointment.
Slatten was among 19 Blackwater security contractors assigned to a convoy of four heavily-armed trucks known as a Tactical Support Team, using the call sign “Raven 23.” Shortly before noon, Raven 23 learned that a car bomb had detonated in central Baghdad near a location where a U.S official was being escorted by a Blackwater personal security detail team. Raven 23 team members promptly reported to their convoy vehicles, and the convoy drove to a secured checkpoint between the Green Zone and Red Zone.
Once there, in disregard of an order from Blackwater’s command, the team’s shift leader directed Raven 23 to leave the Green Zone and establish a blockade in Nisur Square, a busy traffic circle that was immediately adjacent to the Green Zone. All told, seven of the 19 members of Raven 23 fired their weapons.
In announcing the sentence, U.S. Attorney Liu, and Special Agent in Charge Dunham commended the work of those who investigated the case from the FBI’s Washington Field Office Northern Virginia Violent Crime Squad, which has extraterritorial investigative responsibilities, The Iraqi Ministry of Interior, and the Iraqi National Police who provided cooperation and assistance in the investigation.
They also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office including Paralegal Specialist Jessica Moffat, Victim Witness Advocate Yvonne Bryant, Supervisory IT Specialist Leif Hickling, Victim Witness Service Coordinator Tonya Jones, Assistant U.S. Attorneys T. Patrick Martin, Fernando Campoamor-Sanchez, Karen Seifert, and Michael Friedman, and Special Assistant U.S. Attorney Alexandra Hughes.
Fishers Resident Receives 57 Months for Stealing Identities and Defrauding BanksRead the Press Release
INDIANAPOLIS B United States Attorney Josh Minkler announced today the conviction and sentencing of Arielle Wilkerson, age 25, to 57 months in federal prison after her admission of guilt to charges that she used the identities of victims throughout the United States to obtain new and take-over current credit cards and other financial instruments in the name of these victims for her own personal benefit, such as to purchase gift cards, airline tickets and other personal items.
"This sentence sends a strong message to those out there who steal victims’ identities and profit from the use of those identities, that this behavior is illegal and those who do so will face real consequences," said Minkler. "Protecting the public from the illegal use of personal information to commit fraud is a priority of this office."
From about 2012 through about March 16, 2018, Wilkerson devised a scheme to defraud banks and individuals throughout the United States, whereby she used the identities of many individuals, without their knowledge and authority, to obtain new and/or take-over current credit cards and other financial instruments in the name of these victims. Wilkerson then used those financial instruments to purchase gift cards and other personal items from stores located throughout the Southern District of Indiana and elsewhere, including through the internet.
At the sentencing hearing, the Court deemed Wilkerson "a consumer’s worst nightmare." Wilkerson obtained files over the internet containing personally identifiable information ("PII") of hundreds of individuals located throughout the United States, including names, dates of birth, social security numbers, phone numbers, credit card numbers, and bank account and routing numbers. Wilkerson ran credit reports on some of the victims to identify the financial institutions at which those victims had accounts. Wilkerson then used these stolen identities at multiple banks in order to obtain new and/or take-over current credit cards and other financial instruments
in the name of the victim. Wilkerson used those credit cards to purchase gift cards, beauty products, clothing, food and other personal items and merchandise at a variety of locations around Fishers and Indianapolis, including at Target, Meijer, Lowes, Walgreens and Macys. Wilkerson also used these credit cards to purchase airline flights and hotel reservations. In certain circumstances, Wilkerson wired money from victim accounts to accounts controlled by Wilkerson. Wilkerson had an extensive criminal history pertaining to fraudulent offenses, and re-victimized some of the same victims she had been previously been convicted of victimizing. In total, the banks suffered actual losses totaling at least $115,360.38 and at least another $41,500.00 in attempted loss.
This case was investigated by the U.S. Postal Inspection Service (USPIS) as well as members of the Indiana Financial Fraud and Identity Theft Task Force.
"The identity theft crimes Wilkerson committed could eventually cause the victims immeasurable time in an effort to clear their good names," said Patricia Armstrong, Inspector in Charge of the U.S. Postal Inspection Service, Detroit Division. "Not only did she use the U.S. Mail to further her scheme, but Wilkerson also targeted victims she had previously harmed. With this 57-month sentence, she will have time to reflect on her deeds."
According to Assistant United States Attorney MaryAnn T. Mindrum, who prosecuted this case for the government, Wilkerson must also serve four years of supervised release following her sentence.
In October 2017, United States Attorney Josh J. Minkler announced a Strategic Plan designed to shape and strengthen the District’s response to its most significant public safety challenges. This prosecution demonstrates the Office’s firm commitment to prosecuting those who engage in fraudulent activity using identity fraud. See United States Attorney’s Office, Southern District of Indiana Strategic Plan 4.4 and 4.5
Federal Jury Convicts Prior Felon for a Violent Armed Robbery of the Carlsbad Motel 6Read the Press Release
NEWS RELEASE SUMMARY – August 14, 2019
SAN DIEGO – Yesterday, a federal jury found Lance Lamont Lavert, a Utah resident, guilty of robbing the Motel 6 in Carlsbad, California, using and brandishing a Smith and Wesson .357 magnum revolver during the robbery, and being a felon in possession of a firearm. The jury returned their verdict after hearing the testimony of 11 witnesses and deliberating for approximately two hours.
“We are working tirelessly with our local and federal law enforcement partners to find and prosecute violent criminals and keep our community safe,” said U.S. Attorney Robert Brewer. “We are gratified to have brought this defendant to justice and some measure of peace to his victims, thanks to the diligent efforts of Assistant U.S. Attorneys Brandon Kimura and Matthew Brehm and our law enforcement partners.”
During trial before Chief District Judge Larry Alan Burns, the prosecution relied on victims from the Motel 6, a Carlsbad police detective, forensic specialists from the San Diego Sheriff’s Department, and federal agents, among others, as witnesses to prove Lavert’s traumatizing crimes. Witnesses described how, on the morning of July 9, 2018, Lavert and his girlfriend, a co-defendant, entered the Motel 6 on Paseo Del Norte in Carlsbad, California. Lavert approached the counter and asked for a room. When his request was denied due to a lack of identification, Lavert pulled a gun out of his backpack, pointed it at the clerk and her manager, and then demanded money. The clerk and manager ran from Lavert but Lavert jumped the counter, kicked in the door of the bathroom where the clerk was hiding, and then brought the clerk (at gun point) back to cash register. Lavert demanded money and pistol-whipped her in the head. After the clerk opened a drawer that held the motel’s cash, Lavert grabbed money from the drawer and ordered the clerk to give him keys to her personal vehicle. Lavert then jumped back over the counter and he and his girlfriend departed.
Two days later, Lavert was arrested trying to enter the United States from Mexico at the San Ysidro Port of Entry. He had the Smith and Wesson .357 magnum revolver concealed in his waistband. The prosecution introduced certified court documents to prove Lavert had several prior felony convictions, including for arson.
“This case serves as a great example of the close cooperation that exists between federal and local law enforcement and the U.S. Attorney’s Office, “said Timothy J. Tubbs, Acting Special Agent in Charge of Homeland Security Investigations (HSI) in San Diego. “HSI will continue working with our regional partners to ensure that violent criminals are brought to justice.”
Lavert’s co-defendant and girlfriend (at the time of the offense) accepted a resolution before trial.
This case is the result of the ongoing efforts of the Violent Crime and Human Trafficking (VCHT) Section. Formed in 2019, by U.S. Attorney Robert S. Brewer, Jr., the VCHT is tasked with leading collaborations between federal and local law enforcement in the investigation and prosecution of cases involving violent crimes, firearms and gang cases; sex trafficking and child exploitation; civil rights, labor trafficking and alien smuggling. The VCHT Section oversees the Southern District of California Coordinators for Project Safe Neighborhoods, Human Trafficking, and Project Safe Childhood.
DEFENDANT Case Number 18cr3485-LAB
Lance Lamont Lavert Age: 37 Salt Lake City, UT
SUMMARY OF CHARGES
Interference with Commerce by Threats or Violence – Title 18, U.S.C., Section 1951(a)
Maximum penalty: 20 years’ imprisonment and $250,000 fine
Using and Brandishing a Firearm During and in Relation to a Crime of Violence –
Title 18, U.S.C., Section 924(c)
Maximum penalty: life imprisonment; a mandatory minimum seven years in prison; and $250,000 fine
Felon in Possession of a Firearm
Title 18, U.S.C., Section 922(g)(1)
Maximum penalty: 10 years’ imprisonment and $250,000 fine
AGENCY
Carlsbad Police Department
San Diego Sherriff’s Department
Homeland Security Investigations
Customs and Border Protection
*The charges and allegations contained in an indictment or complaint are merely accusations, and the defendants are considered innocent unless and until proven guilty.
Denver Man Convicted of Large-Scale Cocaine TraffickingRead the Press Release
DENVER – Michael Benitez-Lopez, aka “Mikey” aka “Money Mike”, age 36 of Denver, Colorado, was found guilty late Friday, August 9, 2019, on one count of conspiracy to distribute cocaine, one count of cocaine distribution, and one count of use of a telephone in furtherance of drug trafficking.
According to court documents and evidence presented at trial, from March 2017, through April 1, 2018, Benitez-Lopez received multiple kilograms of cocaine as part of a large scale drug trafficking organization that was responsible for the importation of more than 200 kilograms of cocaine during the course of the conspiracy. The defendant then sold multi-kilogram quantities of cocaine to lower level dealers throughout Metro Denver.
“Cocaine continues to be a serious problem in Metro Denver and in Colorado,” said U.S. Attorney Jason Dunn. “Working with the DEA and other law enforcement partners, we are targeting these large-scale traffickers and their networks. Getting Mr. Benitez-Lopez off the streets and in prison for at least 10 years sends a strong signal to like-minded criminals that we will seek lengthy sentences for traffickers that try to use Colorado as a base to pedal their poison.”
“The DEA continues to see an increase in the distribution and abuse of cocaine along the Front Range,” said Special Agent in Charge of DEA’s Denver Division William McDermott. “The investigation and prosecution of Mr. Benitez-Lopez on serious cocaine distribution charges is indicative of DEA’s commitment to work with the U.S. Attorney and law enforcement partners, and prioritize investigative resources towards dismantling the most significant illicit drug networks operating in Colorado. “
Benitez-Lopez faces not less than 10 years, and up to life in federal prison.
The trial lasted three days before Chief U.S. District Court Judge Philip A. Brimmer. The jury deliberated for two hours before reaching their guilty verdicts. Benitez-Lopez is scheduled to be sentenced by Judge Brimmer on November 1, 2019.
This case was investigated by the Drug Enforcement Administration. The defendant was prosecuted by Assistant U.S. Attorneys Stephanie Podolak and Zachary Phillips.
CASE NUMBER: 18-cr-00328
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Crafton Man Charged in Superseding Indictment with Drug and Gun Law ViolationsRead the Press Release
PITTSBURGH - A resident of Crafton, Pennsylvania, has been indicted by a federal grand jury in Pittsburgh on charges of violating federal narcotics and firearms laws, United States Attorney Scott W. Brady announced today.
The four-count Superseding Indictment, returned on August 13, named Robert Allen, 40, as the sole defendant.
According to the Superseding Indictment, on May 11, 2017, the Federal Bureau of Investigation Western Pennsylvania Opioid Task Force, assisted by the Pittsburgh Bureau of Police, executed a series of search warrants in Allegheny County. Agents recovered over two kilograms of pure fentanyl, an AK-47 assault rifle, and over $100,000 in cash.
As a result, according to the Superseding Indictment, Allen is charged with conspiracy to distribute and possess with the intent to distribute over 400 grams of fentanyl, distribution and possession with intent to distribute more than 40 grams of fentanyl on April 26, 2017, distribution and possession with intent to distribute over 400 grams of fentanyl on May 11, 2017, and possession of a firearm as a convicted felon. As a convicted felon, Allen is prohibited by federal law from possessing a firearm.
The law provides for a maximum total sentence of not less than 15 years nor more than life in prison, a fine of up to $20,000,000, or both. The United States is also seeking the forfeiture of $116,054 in United States Currency, a black Infinity QX56 SUV, a Romarm Assault Rifle, and numerous items consistent with drug packaging and distribution. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history of the defendant.
Assistant United States Attorney Timothy M. Lanni is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation, Pittsburgh Bureau of Police, Port Authority Police Department, Munhall Township Police Department, and West Mifflin Police Department conducted the investigation leading to the Superseding Indictment in this case.
A superseding indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Convicted Felon Charged with Illegal Possession of A Pipe Bomb Appears in Federal CourtRead the Press Release
ASHEVILLE, N.C. – U.S. Attorney Andrew Murray announced that Thomas Derreck Charlet, 40, of Valdese, N.C., appeared in federal court today on charges of illegal possession of a destructive device. Charlet was indicted by a federal grand jury on August 6, 2019, and was arrested by law enforcement this morning. The federal indictment also charges Charlet with possession of ammunition by a felon and drug trafficking.
According to allegations in the federal indictment, on or about November 24, 2018, Charlet knowingly possessed a destructive device known as a pipe bomb, not registered to him in the National Firearms Registration and Transfer Record. In addition to the explosive device, the indictment alleges that, during the relevant time period, Charlet was found to be in possession of ammunition, which he is prohibited from possessing due to prior felony convictions. In addition to the firearm offenses, Charlet is also charged with knowingly and intentionally possessing with intent to distribute methamphetamine.
Charlet appeared in federal court before U.S. Magistrate Judge W. Carleton Metcalf. The maximum penalty for possession of a pipe bomb and possession of ammunition by a convicted felon is up to 10 years in prison and a $250,000 fine for each offense. The drug trafficking charge carries a maximum penalty of 20 years in prison and a $1,000,000 fine.
The charges in the indictment are allegations. Charlet is presumed innocent until proven guilty beyond reasonable doubt in a court of law.
In making today’s announcement U.S. Attorney Murray commended the Valdese Police Department for their investigation of the case, and thanked the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the North Carolina State Bureau of Investigation for their assistance with this case.
Assistant United States Attorney Richard Edwards of the U.S. Attorney’s Office in Asheville is in charge of the prosecution.
Columbus Tax Preparers Plead Guilty to Fake Tax Return SchemeRead the Press Release
COLUMBUS – A Columbus, Georgia tax preparer pleaded guilty to federal wire fraud and identity theft charges, said Charles “Charlie” Peeler, the United States Attorney for the Middle District of Georgia. Keven Walker, 33, of Columbus, Georgia was the owner of Walker Tax Financial Group, an income tax preparation business operating in Columbus. Mr. Walker pleaded guilty to one count of Wire Fraud and one count of Identity Theft in front of U.S. District Judge Clay Land on Tuesday, August 13, 2019. Mr. Walker’s co-defendant, Tiffany Gist a/k/a Tiffany Walker, 46, of Columbus, Georgia, entered a guilty plea on July 23, 2019 to one count Wire Fraud and one count Identity Theft. Both defendants face up to twenty years imprisonment and a $250,000 fine for Wire Fraud and a mandatory two year prison sentence for Identity Theft. They will be sentenced at a later date.
Mr. Walker and Ms. Gist e-filed tax returns with Walker Tax Financial Group. During the 2013 tax year, Internal Revenue Service agents discovered that the co-defendants filed 126 fraudulent returns, attempting to steal approximately $216,684 in refunds. According to Mr. Walker’s signed plea agreement, the co-defendants used one victim’s correct social security number to file a phony tax return, but the address and W-2 form were false. Victims signed affidavits stating they never did business with the defendants and did not authorize them to file tax returns.
“Dishonest tax return preparers will be held accountable for filing fictitious returns and stealing from taxpayers,” said Charles “Charlie” Peeler, the U.S. Attorney for the Middle District of Georgia. “Protecting the integrity of our tax system is important, and all citizens must play by the same rules. I want to thank the IRS investigators for their good work in this case, and helping shut down these unscrupulous tax return preparers.”
“IRS Criminal Investigations Division is sworn to protect the tax system and bring to justice those who would steal from the Treasury,” said Thomas J. Holloman, Special Agent in Charge, IRS Criminal Investigation, Atlanta Field Office. “Would-be criminals should know: we are committed to combating identity theft related refund fraud. We understand that in these types of cases, the government is not the only victim. Identity theft can have a catastrophic emotional and financial impact on its victims. Our agents are determined to keep up the fight to eradicate identity theft and protect the honest taxpayers who would otherwise personally shoulder the immense burden of this crime.”
The case was investigated by the Internal Revenue Service. Assistant U.S. Attorney Mel Hyde prosecuted the case for the Government. Questions can be directed to Pamela Lightsey, Public Information Officer, United States Attorney’s Office, at (478) 621-2603 or Melissa Hodges, Public Affairs Director (Contractor), United States Attorney’s Office, at (478) 765-2362.
Clifton Park Man Sentenced for Lying to the FBIRead the Press Release
ALBANY, NEW YORK - Thomas Ruchlicki, age 63, of Clifton Park, New York, was sentenced today to 1 year of probation for making a false statement to the Federal Bureau of Investigation, announced United States Attorney Grant C. Jaquith and James N. Hendricks, Special Agent in Charge of the FBI Albany Field Office.
As part of his August 15, 2018 guilty plea, Ruchlicki admitted that on January 3, 2018, when questioned by FBI Special Agents, he falsely told the agents that his financial dealings with an owner/operator of a property construction and development company involved the owner/operator’s purchasing of an antique car from Ruchlicki. In fact, Ruchlicki never sold a car, and never had any plans to sell the owner/operator a car.
Senior United States District Judge Lawrence E. Kahn also ordered Rucklicki to pay a $3,000 fine and perform 50 hours of community service.
This case was investigated by the FBI and prosecuted by Assistant U.S. Attorney Rick Belliss.