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17 September 2019
Three Gang Members Charged in Federal Court with Attempted MurderRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, Peter C. Fitzhugh, the Special Agent in Charge of the New York Field Office of Homeland Security Investigations (“HSI”), and James P. O’Neill, the Commissioner of the New York City Police Department (“NYPD”), today announced the unsealing of an indictment charging three members of the MacBallas street gang with attempted murder, arising out of their role in an assault and attempted murder against a fellow inmate inside a New York City jail in June 2017.
Two of the defendants, KALVIN THWAITES and ANDREW BURRELL, were taken into federal custody last week and presented before U.S. Magistrate Judge James L. Cott. The remaining defendant, KENDALL NEWLAND, was taken into federal custody this morning and presented before U.S. Magistrate Judge Ona T. Wang. The case has been assigned to U.S. District Judge Victor Marrero. An initial pretrial conference is scheduled for September 20, 2019, at 2:00 p.m., before Judge Marrero.
Manhattan U.S. Attorney Geoffrey Berman said: “As alleged in the Indictment, the defendants tried to kill a fellow inmate in order to promote their membership in the MacBallas street gang. We are committed to working with our law enforcement partners to end gang violence, wherever it occurs.”
HSI Special Agent-in Charge Peter C. Fitzhugh said: “These MacBallas gang members were already serving time for their criminal acts when they tried to take the life of another inmate. When it comes to maintaining power and position, these individuals have little regard for human life. This is why law enforcement remains diligent in its gang enforcement both on and off the streets.”
According to the allegations contained in the Indictment[1] and statements made in court:
The MacBallas gang is a criminal enterprise that operates principally in and around the New York City area, including within city, state, and federal jails and prisons. Members and associates of the MacBallas engage in, among other things, narcotics trafficking, as well as acts of violence, to preserve and protect the power of the gang.
On June 7, 2017, the defendants, who were detained at the Vernon C. Bain Center, a New York City jail in the Bronx, New York, assaulted with a dangerous weapon and attempted to murder a fellow inmate in order to maintain or increase their position in the MacBallas.
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THWAITES, 26, of Queens, New York, NEWLAND, 25, of Mount Vernon, New York, and BURRELL, 28, of the Bronx, New York, are each charged with one count of assault and attempted murder in aid of racketeering activity, which carries a maximum sentence of 20 years in prison. The maximum potential sentence is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.
Mr. Berman praised the outstanding investigative work of HSI and the NYPD.
Assistant U.S. Attorneys Jason Swergold and Adam Hobson are in charge of the prosecution. The case is being handled by the Office’s Violent and Organized Crime Unit.
The charges contained in the Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Indictment and the description of the Indictment set forth below constitute only allegations, and every fact described should be treated as an allegation.
Texas Man Admits to Involvement in Transporting 76 AliensRead the Press Release
LAREDO, Texas – A 42-year-old resident of San Antonio had pleaded guilty to conspiring to transport 76 undocumented aliens, announced U.S. Attorney Ryan K. Patrick.
On June 11, 2019, Nelson Vargas-Torres attempted to drive a tractor-trailer through the Border Patrol checkpoint located at mile-marker 29 on Interstate Highway 35, north of Laredo. Authorities became suspicious when Vargas-Torres stated he was transporting plastics, when his bill of lading actually stated “clutch parts.” A trained K-9 subsequently alerted to the possible presence of concealed humans inside the locked trailer he was hauling. Law enforcement then used wire cutters to break the seal for the trailer and eventually rescued 76 undocumented aliens from Mexico, El Salvador and Honduras who were hidden inside.
Today, Vargas-Torres pleaded guilty before U.S. Magistrate Judge Diana Song Quiroga to conspiracy to transport undocumented aliens.
U.S. District Judge Marina Garcia Marmolejo will impose sentencing at a later date. At that time, Vargas-Torres faces up to 10 years imprisonment. Vargas-Torres has been and will remain in custody pending that hearing.
Customs and Border Protection and Immigration and Immigration and Customs Enforcement’s Homeland Security Investigations conducted the investigation. Assistant U.S. Attorney Francisco J. Rodriguez is prosecuting the case.
Tax Preparer Convicted of Conspiracy to Defraud IRS and Preparing False Tax ReturnsRead the Press Release
TRENTON, N.J. – A Maryland man working as a tax preparer in New Jersey was convicted today on charges of conspiracy to defraud the IRS by preparing false income tax returns for clients in order to boost business at tax preparation companies that he and others ran, U.S. Attorney Craig Carpenito announced.
Joseph Kenny Batts, 50, of Elkridge, Maryland, was convicted following a one-week trial before U.S. District Judge Michael A. Shipp in Trenton federal court on one count of conspiracy to defraud the United States and five counts of aiding and assisting in the preparation of false federal income tax returns.
According to documents in this case and the evidence at trial:
Since at least 2009 to April 2015, Batts was co-owner, along with conspirator Damien Askew, of Tax Pro’s, a tax return preparation and payroll business in Essex County, New Jersey, where Batts and others prepared tax returns. In order to boost their business, Batts, Askew, codefendants Tony Russell, Angelo K. Thompson and Rudolph Sanders conspired to falsify their clients’ income tax returns for the purpose of generating refunds in amounts that their clients were not entitled to receive. The fraudulent practices used to inflate tax refunds included fabricating and inflating credits for education and child care; deductions, such as charitable contributions and unreimbursed employee expenses; and Schedule C business losses.
As part of their scheme, Batts, Thompson, Askew, Russell and Sanders also used fraudulent IRS Forms 1098-T to support false education credits that they had claimed on their clients’ false federal income tax returns prepared at Tax Pro’s and Tax Solutions and Associates.
Batts also used the Paid Taxpayer Identification Number (PTIN) – the identification number that paid tax preparers are required to place on tax returns that they have prepared – of his conspirator tax preparers when preparing tax returns to conceal his identity as the actual tax return preparer, due to, among other things, his prior tax fraud conviction.
By inflating the tax refunds through fraudulent means, Batts and his conspirators caused a total tax loss to the United States in excess of $900,000.
Thompson, Askew, Sanders and Russell have previously pleaded guilty to their roles in the scheme and await sentencing.
The conspiracy charge carries a maximum potential penalty of five years in prison. The maximum sentence for aiding or assisting in the filing of false returns is three years in prison. Both are also punishable by a statutory maximum fine equal to the greatest of $250,000 or twice the gross amount of any pecuniary gain that any persons derived from the offense or twice the gross amount of any pecuniary loss sustained by any victims. Sentencing for Batts is scheduled for Jan. 16, 2020.
U.S. Attorney Carpenito credited special agents of IRS-Criminal Investigation, under the direction of Special Agent in Charge John R. Tafur, with the investigation leading to today’s conviction.
The government is represented by Assistant U.S. Attorneys Cari Fais and Jihee G. Suh and of the U.S. Attorney’s Office in Newark.
Statement from United States Attorney Jay E. Town on the Death of Tuscaloosa PD Investigator Dornell CousetteRead the Press Release
“Tuscaloosa PD Investigator Dornell Cousette’s end of watch has come too soon. Our thoughts and prayers are with his family, fiancé, children, and fellow officers. This is yet another heartbreaking reminder of the dangers our brave men and women of the badge face daily.”
South Florida Securities Lawyer Charged with Securities Fraud Relating to 1 Global Capital Investment SchemeRead the Press Release
A South Florida securities lawyer and former outside counsel for 1 Global Capital, LLC has been charged with securities fraud in connection with an investment fraud scheme that impacted more than 3,600 investors in 42 different states.
Ariana Fajardo Orshan, U.S. Attorney for the Southern District of Florida, and George L. Piro, Special Agent in Charge of the FBI’s Miami Field Office made the announcement.
Jan Douglas Atlas, 74, of Ft. Lauderdale, Florida, was charged today by information with one count of securities fraud, in violation of Title 15, United States Code, Sections 77q(a) and 77x, in Case No. 19CR60258. The case is assigned to U.S. District Judge Beth F. Bloom in Fort Lauderdale. If convicted, Atlas faces a maximum statutory sentence of up to five years in prison and a fine up to $10,000.
According to the information, 1 Global Capital LLC (1 Global) was a commercial lending business based in Hallandale Beach, Florida, that made the equivalent of “pay day” loans to small businesses at high interest rates. To fund these merchant cash advance loans, 1 Global obtained funds from investors nationwide, offering short-term investment contracts. The investors would supposedly receive a proportionate share of the principal and interest payments as the loans were repaid. 1 Global raised money using investment advisors and other intermediaries, with promises of significant commissions. In many cases, the commissions were not fully disclosed to investors. According to court records, 1 Global operated from early 2014 through approximately July 27, 2018, when it filed for bankruptcy. As of that time, 1 Global had more than 3,600 investors and had raised more than $330 million, and its own internal documents showed a $50 million cash deficit.
Substantial questions arose during 1 Global’s operations as to whether 1 Global was offering or selling a security and subject to federal and state securities laws, and whether the offering was required to be registered with the U.S. Securities and Exchange Commission. These questions were raised by investors, investment advisors, and regulators. Atlas acted as outside counsel for 1 Global and allegedly knew that if 1 Global’s investment offering were determined to be a security, it would undermine the ability of 1 Global to raise funds from retail investors and to continue to operate without substantial additional expenses and reporting requirements. Such a classification would undermine the profits and fees that 1 Global and its principals would be able to obtain from 1 Global’s operations.
Atlas was a long-time South Florida securities attorney who, in addition to his role as outside counsel for 1 Global, was a partner at Law Firm #1. The information alleges that at the request of 1 Global’s principals, Atlas authored two opinion letters in 2016 containing false information that Atlas allegedly knew would be used by 1 Global to operate the business unlawfully. The opinion letters falsely described how the 1 Global investment actually worked, describing the 1 Global investment inaccurately in order to achieve the opinion that Individual #1 and others at 1 Global desired. The opinion letters falsely described the duration of the investment, among other things, omitting the automatic renewal aspect and that the investment was being targeted toward retail, non-sophisticated investors (such as IRA account holders). Atlas intentionally made false and misleading statements in these opinion letters, according to the information, to give 1 Global, and its employees and agents, false legal cover to continue to conduct business unlawfully.
Atlas’s opinion letters were used and relied upon by 1 Global employees and agents to continue to raise money illegally. At or around the time that Atlas executed these letters he received payments from Attorney #1, an attorney who worked at Law Firm #1 and also had a fundraising role at 1 Global. Atlas allegedly understood that the payments he received from Attorney #1 constituted a percentage of commissions received by Attorney #1 of money raised by 1 Global from new investors. The funds totaled approximately $627,000 and were paid to Atlas’s personal checking account. These funds were not disclosed to Law Firm #1, and Atlas and Attorney #1 allegedly knew that they were required to disclose and share all fees paid by clients of Law Firm #1, with Law Firm #1.
Previously, on August 23, 2019, former 1 Global Chief Financial Officer Alan G. Heide entered a guilty plea to one count of conspiracy to commit securities fraud in connection with the 1 Global fraud scheme, in Case No. 19-60231-CR-RKA. Sentencing for Heide is set for December 12, 2019, before U.S. District Judge Roy K. Altman in Ft. Lauderdale.
In connection with a parallel civil enforcement action, the SEC today announced the filing of civil fraud charges against Atlas. In related cases, the SEC previously has filed civil fraud actions, SEC v. 1 Global Capital LLC and Carl C. Ruderman, Case No. 18-61991-CV-BB (S.D. Fla.), and SEC v. Alan G. Heide, Case No. 19-62047-CV-FAM (S.D. Fla.). The bankruptcy case, In re: 1 Global Capital LLC, et al., No. 18-19121-RBR (S.D. Fla.), remains pending.
An information is a charging instrument containing allegations. A defendant is presumed innocent unless and until proven guilty in a court of law.
U.S. Attorney Fajardo Orshan commended the investigative efforts of the FBI’s Miami Field Office. She also thanked the SEC’s Miami Regional Office, IRS Criminal Investigation’s Miami Field Office, and Florida’s Office of Financial Regulation for their assistance. This case is being prosecuted by Assistant U.S. Attorneys Jerrob Duffy and Lisa H. Miller, and Assistant U.S. Attorney Nicole Grosnoff is handling asset forfeiture related to this matter.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov.
Smith County Man Guilty in Counterfeit Immigration Documents ConspiracyRead the Press Release
TYLER, Texas –A 45-year-old Tyler, Texas man has pleaded guilty to federal violations in the Eastern District of Texas, announced U.S. Attorney Joseph D. Brown today.
Eleazar Juarez Juarez pleaded guilty to conspiracy to produce, transfer, and forge false identification documents today before U.S. Magistrate Judge K. Nicole Mitchell.
According to information presented in court, beginning in April 2009, Juarez Juarez was involved in a conspiracy to produce and sell fictitious U.S. identification documents to others. The false documents included U.S. Social Security cards and Permanent Residence cards. Juarez Juarez admitted to being personally responsible for the transfer of at least 25 false identification documents as part of this conspiracy. Juarez Juarez was indicted by a federal grand jury on April 23, 2019.
Under the federal statute, Juarez Juarez faces up to 5 years in federal prison at sentencing. The maximum statutory sentence prescribed by Congress is provided here for information purposes, as the sentencing will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the U.S. Probation Office
This case is being investigated by the Federal Bureau of Investigation, Smith County Sheriff’s Office, U.S. Drug Enforcement Administration, U.S. Immigration and Customs Enforcement, and Texas Department of Public Safety. This case is being prosecuted by Assistant U.S. Attorney Alan R. Jackson.
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September Grand JuryRead the Press Release
United States Attorney Joe Kelly announced the federal Grand Jury for the District of Nebraska has returned 18 indictments charging 19 defendants. Indictments are charging documents that contain one or more individual counts that are merely accusations, and every defendant is presumed innocent unless and until proven guilty.
* Martin Alvarez Lopez, age 43, is charged with illegal reentry after deportation following a felony conviction on or about August 26, 2019. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment.
* Artemio Alvis-Lemus, age 45, is charged with illegal reentry after deportation on or about August 20, 2019. The maximum possible penalty if convicted is 2 years’ imprisonment, a $250,000 fine, a 1-year term of supervised release, and a $100 special assessment.
* Deaviea David Brown, age 19, is charged with felon in possession of ammunition on or about June 2, 2019. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment.
* Marquan Buchanan, age 20, of Lincoln, Nebraska, is charged with unlawful user of a controlled substance in possession of a firearm on or about May 16, 2019. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment.
* Antowyne L. Butler, age 18, of Lincoln, Nebraska, is charged with unlawful user of a controlled substance in possession of a firearm on or about May 13, 2019. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment.
* Lorenzo Manuel Estrada-Flores, age 34, is charged with illegal reentry after deportation on or about September 13, 2019, following an aggravated felony conviction. The maximum possible penalty if convicted is 20 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment.
* Jesus Noel Garfio, age 27, of Denver, Colorado, and Jenna Lynn Martinez, age 33, of Denver, Colorado, are charged in a two-count Indictment. Count I charges both defendants with possession with intent to distribute 5 grams or more of methamphetamine (actual) on or about July 16, 2019. The maximum possible penalty if convicted is 40 years’ imprisonment, $5,000,000 fine, 4-year term of supervised release, and a $100 special assessment. Count II charges both defendants with possession with intent to distribute a mixture or substance containing heroin on or about July 16, 2019. The maximum possible penalty if convicted is 20 years’ imprisonment, $1,000,000 fine, 3-year term of supervised release, and a $100 special assessment.
* Amiah Deshaun Jackson, age 21, of Lincoln, Nebraska, is charged in a two-count Indictment. Count I charges the defendant with unlawful user of a controlled substance in possession of a firearm between on or about March 22, 2019 and June 14, 2019. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment. Count II charges the defendant with false statement during purchase of a firearm on or about May 3, 2019. The maximum possible penalty if convicted is 5 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment.
* Marcelo Lopez-De La Paz, age 50, is charged in a two-count Indictment. Count I charges the defendant of falsely representing a social security number to be his beginning on or about November 29, 2016. The maximum possible penalty if convicted is 5 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment. Count II charges the defendant with fraudulent use of identification documents to obtain employment on or about November 29, 2016. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment.
* Lorenzo Fermin Mateo Andres, age 22, is charged with illegal reentry after deportation on or about August 6, 2019. The maximum possible penalty if convicted is 2 years’ imprisonment, a $250,000 fine, a 1-year term of supervised release, and a $100 special assessment.
* Pedro Gabriel Mulul, age 40, is charged with illegal reentry after deportation on or about September 9, 2019. The maximum possible penalty if convicted is 2 years’ imprisonment, a $250,000 fine, a 1-year term of supervised release, and a $100 special assessment.
* Keanu Davont’a Murrell, age 19, is charged with unlawful user of a controlled substance in possession of a firearm on or about May 17, 2019. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment.
* Dustin Olofson, age 41, is charged in a three-count Indictment. Count I charges the defendant with possession with intent to distribute 50 grams or more of methamphetamine (actual) on or about April 18, 2019, after a conviction for a serious drug felony. The maximum possible penalty if convicted is Life imprisonment, $20,000,000 fine, 10-year term of supervised release, and a $100 special assessment. Count II charges the defendant with felon in possession of a firearm on or about April 18, 2019. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment. Count III charges the defendant with possession with intent to distribute a mixture or substance containing methamphetamine on or about April 18, 2019, after a conviction for a serious drug felony. The maximum possible penalty if convicted is 30 years’ imprisonment, $2,000,000 fine, 6-year term of supervised release, and a $100 special assessment.
* Sean O’Neal, age 58, of Rancho Palos Verdes, California, is charged in a two-count Indictment. Count I charges the defendant with Cyber Stalking on or about April 12, 2016. The maximum possible penalty if convicted is 5 years’ imprisonment on each count, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment. Count II charges the defendant with witness tampering on or about April 12, 2016. The maximum possible penalty if convicted is 3 years’ imprisonment on each count, a $250,000 fine, a 1-year term of supervised release, and a $100 special assessment.
* David Alan Roberts, age 57, of Jacksonville, Texas, is charged with transmission of an interstate communication containing a threat to injure the person of another on or about September 3, 2019. The maximum possible penalty if convicted is 5 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment.
* Martin Rosario-Rodriguez, age 32, is charged in a two-count Indictment. Count I charges the defendant with falsely representing a social security number to be his beginning on or about October 1, 2015. The maximum possible penalty if convicted is 5 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment. Count II charges the defendant with fraudulent use of identification documents to obtain employment on or about October 1, 2015. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment.
* Walter Jeovanny Santos, age 42, is charged with illegal reentry after deportation on or about September 10, 2019. The maximum possible penalty if convicted is 2 years’ imprisonment, a $250,000 fine, a 1-year term of supervised release, and a $100 special assessment.
* Jorge Villarreal-Rojo, of Omaha, is charged with possession with intent to distribute 500 grams or more of methamphetamine (mixture) on or about August 26, 2019. The maximum possible penalty if convicted is Life imprisonment, $10,000,000 fine, 5-year term of supervised release, and a $100 special assessment.
Schuylkill County Man Sentenced to Ten Years’ Imprisonment for Heroin TraffickingRead the Press Release
SCRANTON—The United States Attorney’s Office for the Middle District of Pennsylvania announced that Anthony Navarro-Velez, age 34, of Shenandoah, Pennsylvania, was sentenced on September 9, 2019, to 121 months’ imprisonment by Senior U.S. District Court Judge James M. Munley, for his role in a conspiracy to distribute and possess with intent to distribute more than a kilogram of heroin.
According to United States Attorney David J. Freed, Navarro-Velez previously pleaded guilty to participating in the conspiracy during 2014 and 2015. Navarro-Velez admitted that he and others in the conspiracy distributed between one and three kilograms of heroin, which is approximately equivalent to between 40,000 and 120,000 retail bags of heroin. The heroin was obtained from suppliers in Paterson, New Jersey, and Hazleton, Pennsylvania.
Judge Munley also ordered Navarro-Velez to serve five years on supervised release following his prison sentence, and to forfeit firearms and his share of cash seized during the investigation.
The case was investigated by the Federal Bureau of Investigation, the Pennsylvania State Police, and the Shenandoah Police. Assistant United States Attorney Francis P. Sempa prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
This case was also brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin. Led by the United States Attorney’s Office, the Heroin Initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.
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Salvadoran National Sentence for Passport FraudRead the Press Release
BOSTON – A Salvadoran national residing in Worcester was sentenced yesterday in federal court in Worcester for passport fraud.
Neemias Pacheco-Santamaria, 33, was sentenced by U.S. District Court Judge Timothy S. Hillman to 13 months in prison and will face deportation upon completion of his sentence. Pacheco-Santamaria pleaded guilty in June 2019 to knowingly making false statements in applying for a U.S. passport.
In July 2018 Pacheco-Santamaria entered a Worcester Post Office and falsely used the name, date of birth, and Social Security number of a United States citizen from Puerto Rico to apply for a United States Passport.
The charge of passport fraud provides for a sentence of up to10 years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling and William B. Gannon, Special Agent in Charge of the U.S. Department of State, Diplomatic Security Service, Boston Field Office made the announcement today. Assistant U.S. Attorney Kristen M. Noto of Lelling’s Worcester Branch Office prosecuted the case.
Rock Island Felon to Serve Seven Years in Federal Prison for Illegally Possessing FirearmRead the Press Release
ROCK ISLAND, Ill. – On Sept. 16, 2019, Chief U.S. District Judge Sara Darrow sentenced Matthew Eric Moultrie, 20, of Rock Island, Ill., to seven years in federal prison for illegally possessing a firearm. Judge Darrow ordered that the federal sentence be served consecutively to two other criminal cases Moultrie has in Rock Island County.
On March 9, 2019, Moultrie pleaded guilty to the federal indictment that charged him with possessing a firearm as a felon on Sept. 14, 2018. According to court documents, on Sept. 14, 2018, Moultrie, a self-identified gang member, fired multiple rounds at an occupied vehicle in Rock Island. After officers identified Moultrie later that evening, he fled into an occupied home. Moultrie’s flight led to a two-hour standoff with law enforcement that ended with his surrender and arrest.
In ordering a sentence above the guideline range prescribed by the U.S. Sentencing Guidelines, Chief Judge Darrow found that Moultrie’s criminal behavior was aggravated, as he had posed a serious risk to his victims, the arresting officers, and the community at large.
The Rock Island Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the criminal investigation. Assistant U.S. Attorney Kevin Knight represented the government in the federal prosecution, in coordination with the Rock Island County State’s Attorney’s Office.
Rhode Island Man Pleads Guilty to Threatening Massachusetts ProfessorRead the Press Release
BOSTON – A Rhode Island man pleaded guilty today to sending a series of violent and threatening e‑mails to a Massachusetts professor and a university.
Matthew Haviland, 29, of North Kingstown, R.I., pleaded guilty today to one count of stalking and two counts of transmitting a threat in interstate commerce. U.S. District Court Judge Leo T. Sorokin scheduled sentencing for Dec. 10, 2019. According to the terms of a plea agreement, the government will recommend to the Court a sentence of 21 months in prison, three years of supervised release and a fine. Haviland was charged in April 2019.
Over the span of several hours on March 10, 2019, Haviland sent a Massachusetts professor a string of approximately 28 e-mails containing messages that included such threats as, “I will rip every limb from your body and eat it, piece by piece” and “I will bite through your eyeballs while you’re still alive, and I will laugh while you scream.” The professor to whom Haviland sent the threats has published and spoken in favor of abortion rights, and several of Haviland’s e‑mails made reference to abortion. In two successive e-mails, for example, Haviland wrote, “You will be held accountable for every f****** baby you murdered through your horrible deception of they are not humans” and “You will have your face ripped off and eaten by me, personally. I will enjoy raping your body after you’re dead. And that will only be the start.”
Haviland also sent several e-mails on March 15, 2019 to a professional school at the professor’s university. Those e-mails included the message: “You people are Evil, putrid, and somebody shoudl [sic] BOMB your school for spreading the idea that it’s okay to HATE people because of their race.” A later e-mail to the professional school said only, “You should be Murdered in cold blood.”
Haviland faces a sentence of up to five years in prison, three years of supervised release, a fine of up to $250,000, or twice the gross gain or loss resulting from the offense, whichever is greater, and restitution. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling and Joseph Bonavolonta, Special Agent in Charge of the FBI Boston Division, made the announcement today. Boston FBI’s Joint Terrorism Task Force conducted the investigation with the assistance of Warwick and North Kingstown (RI) Police Departments. Assistant U.S. Attorney Brian A. Pérez‑Daple of Lelling’s National Security Unit is prosecuting the case.
Political Consultant Pleads Guilty to Fraud Scheme Involving Scam PACsRead the Press Release
ALEXANDRIA, Va. – A Maryland political consultant pleaded guilty today to wire fraud as a result of his fraudulent scheme to solicit millions of dollars in political contributions through several scam-PACs that he founded and advertised as supporting candidates for office and other political causes.
“Rogers preyed upon his victims political beliefs with the intent of enriching his companies, his business partners, and himself,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “Individuals like Rogers, who engage in sophisticated fraud schemes will be held accountable for their actions. We have a long history of investigating and prosecuting fraud cases here in the Eastern District, and we remain committed to working closely with our law enforcement partners to ensure that those who choose to engage in fraud activity are held accountable and brought to justice.”
According to court documents, from August 2012 through 2018, Kelley Rogers, 55, of Annapolis, operated multiple PACs, including Conservative StrikeForce (CSF), Conservative Majority Fund, and Tea Party Majority Fund. In that role, Rogers engaged vendors to send e-mail solicitations and make telemarketing phone calls to prospective donors seeking political contributions to his PACs. Rogers approved the text and other content of all solicitations, and determined how CSF spent the contributions individual donors gave in response to the solicitations.
“Rogers defrauded countless citizens across the country who sought to participate in the political process, and instead used the money to benefit himself and to perpetuate his fraudulent scheme,” said Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division. “Today’s guilty plea shows that the Department of Justice is committed to investigating and prosecuting those who undermine the integrity of our democratic institutions, including those who commit fraud to line their own pockets along the way.”
During the course of his scheme, Rogers solicited contributions from the general public for his PACs based on materially false and fraudulent pretenses, representations, and promises. For example, in or around 2013, Rogers, working with an email vendor, represented through CSF that money contributed by donors would be used to support the campaigns of a candidate for Governor and a candidate for Attorney General of Virginia through, among other things, get-out-the-vote efforts and the hiring of attorneys to ensure the integrity of the elections. In or around 2014, Rogers represented that donations to the PAC would be spent on assistance and support for military veterans. In truth and in fact, Rogers never intended to spend, and never actually spent, any of the money raised by Rogers’ PACs on get-out-the-vote efforts or lawyers to protect the integrity of the 2013 Virginia and Attorney General elections, or on assistance and support for military veterans. Instead, Rogers spent nearly all of the money raised from donors to benefit himself, his associates, and his PACs, including by pouring the majority of donor money into the solicitation of more donations.
“Rogers swindled millions of dollars from individuals attempting to participate in our democratic process,” said Assistant Director in Charge Timothy R. Slater of the FBI’s Washington Field Office. “Instead of using donations to provide assistance and support to military veterans, as he advertised, Rogers used the money to benefit himself and his associates. I commend the dedication and hard work of our FBI agents and analysts who investigated this egregious fraud against innocent U.S. citizens.”
In addition to the misrepresentations that Rogers made to donors, Rogers and others fraudulently billed his PACs for services that were not performed, thereby misappropriating donor money that had been contributed to the PACs by individuals across the country. Rogers and his associates also made false statements to the Federal Election Commission about how they were spending PAC money.
Finally, Rogers admitted that he and several others also participated in a scheme to use conduits (“straw donors”) to make contributions to a candidate running to represent a district in the U.S. House of Representatives that exceeded the limits placed on individual campaign contributions under federal law.
As part of his guilty plea, Rogers agreed to pay $491,299 in restitution to victims of his fraud scheme, as well as a forfeiture money judgment in the amount of $208,954.
Rogers pleaded guilty to wire fraud and is scheduled to be sentenced on Jan. 17, 2020. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Brian A. Benczkowski, Assistant Attorney General of the Justice Department’s Criminal Division, and Timothy R. Slater, Assistant Director in Charge of the FBI’s Washington Field Office, made the announcement after U.S. District Judge Liam O’Grady accepted the plea. Assistant U.S. Attorney Kimberly Pedersen and Trial Attorneys John Taddei and Bill Gullotta of the Criminal Division’s Public Integrity Section are prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-270.
Owner of Defense Contracting Firm Sentenced to 42 Months in Prison for Defrauding U.S. Department of Defense and Conspiring to Violate Arms Export Control ActRead the Press Release
CAMDEN, N.J. – A Camden County, New Jersey, man was sentenced today to 42 months in prison for defrauding the U.S. Department of Defense (DoD) by providing military equipment parts that were not what he had contracted to provide and illegally accessing technical information as a non-United States citizen, U.S. Attorney Craig Carpenito announced.
Oben Cabalceta, 53, of Atco, New Jersey, previously pleaded guilty before U.S. District Judge Noel L. Hillman to an information charging him with one count of wire fraud and one count of conspiracy to violate the Arms Export Control Act. Judge Hillman imposed the sentence today in Camden federal court.
According to documents filed in this case and statements made in court:
Cabalceta was the owner of two companies: Owen’s Fasteners Inc. (Owen’s) and United Manufacturer LLC (United), two manufacturing companies in West Berlin, New Jersey.
Cabalceta admitted that between August 2004 and March 2016, Owen’s and United obtained contracts with the DoD by falsely claiming that the military parts it contracted to provide would be the exact product provided by authorized manufacturers. The DoD contracts specified that the military parts were critical application items for military equipment, including aircraft. Contrary to the contract, Cabalceta either used his companies to contract with local manufacturers to supply non-conforming parts or made the parts himself at a significantly reduced cost. The non-conforming parts were shipped from New Jersey to various DoD locations around the country. DoD paid Owen’s and United $1,890,939 for those parts.
Cabalceta also admitted that he was a native and citizen of the Republic of Costa Rica who overstayed his tourist visa in 2000 and was not a United States citizen or lawfully in the United States. To further his fraud on the DoD, in August 2005 and November 2010, Cabalceta caused his brother-in-law, Roger Sobrado, to submit to the DoD a fraudulent application for access to export controlled drawings and technical data on behalf of Owen’s. In 2015, Cabalceta caused an accomplice to submit to the DoD a fraudulent application for access to export controlled drawings and technical data on behalf of Owen’s.
Cabalceta acknowledged that access to the controlled drawings and technical data was limited to citizens of the United States and those lawfully in the United States. He admitted that on July 28, 2011, and at various times between January 2013 and November 2015, while unlawfully in the United States, he accessed or downloaded drawings that were sensitive in nature that required special access.
In addition to the prison term, Judge Hillman sentenced Cabalceta to two years of supervised release and ordered to pay $1.8 million in restitution. He will also be deported to Costa Rica upon completion of his sentence.
On Oct. 11, 2018, Sobrado pleaded guilty before Judge Hillman to a three-count information charging him with conspiracy to commit wire fraud, conspiracy to violate the Arms Export Control Act, and income tax evasion. He was sentenced Sept. 4, 2019, to three years in prison.
U.S. Attorney Carpenito credited special agents of the U.S. Department of Defense, Defense Criminal Investigative Service Northeast Field Office, under the direction of Special Agent in Charge Leigh-Alistair Barzey; special agents of the U.S. Attorney’s Office; special agents of the Department of Homeland Security, Homeland Security Investigations, under the direction of Special Agent in Charge Brian Michael; special agents of IRS - Criminal Investigation, under the direction of Special Agent in Charge John R. Tafur; and special agents of the Social Security Administration, Office of Inspector General, under the direction of Special Agent in Charge John F. Grasso for the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Jason M. Richardson of the U.S. Attorney=s Office Criminal Division in Camden.
North Branford Woman Charged with Embezzlement, Fraud and Identity Theft OffensesRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that MELISSA MEOLE, 34, of North Branford, was arrested today on a federal criminal complaint charging her with multiple embezzlement, fraud and identity theft offenses.
MEOLE appeared this afternoon before U.S. Magistrate Judge Robert M. Spector in New Haven and was released on a $200,000 bond.
As alleged in the criminal complaint, Meole was employed by Bridgeport Health Care Center Inc. (“BHCC-INC”), a corporation that operates a nursing and rehabilitation facility in Bridgeport known as Bridgeport Health Care Center (“BHCC”). Prior to November 2018, BHCC-INC also operated a second nursing and rehabilitation facility in Bridgeport known as Bridgeport Manor. Meole worked in BHCC-INC’s business office and was responsible for processing payroll and for handling the finances of the Bridgeport Manor resident trust account. Between approximately January and October 2018, Meole embezzled approximately $150,000 from the BHCC and Bridgeport Manor resident trust accounts.
In addition, the complaint alleges that Meole stole more than $29,000 from BHCC-INC in the form of payroll checks, which she deposited into her personal bank account.
It is further alleged that, after Meole’s employment with BHCC-INC was terminated in October 2018, Meole defrauded another employer of more than $9,000, and she defrauded multiple banks in an identity theft and check kiting scheme.
The complaint charges Meole with theft or embezzlement in connection with health care, which carries a maximum term of imprisonment of 10 years; health care fraud, which carries a maximum term of imprisonment of 10 years; wire fraud, which carries a maximum term of imprisonment of 20 years; bank fraud, which carries a maximum term of imprisonment of 30 years; and aggravated identity theft, which carries a mandatory two-year term of imprisonment.
U.S. Attorney Durham stressed that a complaint is only a charge and 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 matter is being investigated by the U.S. Department of Labor – Office of Inspector General, U.S. Department of Labor – Employee Benefits Security Administration, Boston Regional Office, Internal Revenue Service – Criminal Investigation Division. The case is being prosecuted by Assistant U.S. Attorneys David E. Novick and Neeraj N. Patel.
New Jersey Tax Return Preparer Sentenced to Six Years in Prison for False Tax FilingRead the Press Release
NEWARK, N.J. – A tax preparer from Bergen County, New Jersey, was sentenced today to 72 months in prison for filing false federal income tax returns, stealing client refunds, and committing identity theft in connection with refunds stolen from a deceased taxpayer, U.S. Attorney Craig Carpenito announced.
Wayne Dunich-Kolb, 54, previously pleaded guilty before U.S. District Judge Kevin McNulty to four counts of a second superseding indictment: aiding and assisting preparation of false tax returns; subscribing to false tax returns; mail fraud while on pretrial release; and aggravated identity theft. Judge McNulty imposed the sentence today in Newark federal court.
According to documents filed in this case and statements made in court:
Dunich-Kolb operated a tax preparation business through which he prepared and filed tax returns through various tax preparation entities, including Dunich-Kolb LLC, Jadran Services Corp., Adriatica Payroll Corp., Adriatica Tax Planning LLC, and Adriatic Tax Planning LLC (collectively, the “tax preparation entities”), which he ran from his former residences in Saddle River and Montvale, New Jersey. Dunich-Kolb also maintained a U.S. Post Office box in Las Vegas, Nevada, that he used in connection with his tax preparation business.
Dunich-Kolb caused many of his clients to form fictitious partnerships or corporations that existed in name only and had no business purpose other than to falsely reduce the clients’ tax liability. He prepared fraudulent business returns for clients’ fictitious businesses by fabricating and inflating business expenses, such as advertising, travel and other miscellaneous expenses, in order to generate fraudulent business and partnership losses, which he then used to substantially reduce taxpayers’ taxable income on their individual federal income tax returns.
Dunich-Kolb falsified clients’ individual federal income tax returns, partnership returns, and corporation returns by fabricating and inflating: (1) business and partnership Schedule K-1 losses; (2) deductions for unreimbursed employee business expenses, including home office, vehicle mileage and fuel expenses; and (3) expenses and cost basis of rental properties, including vehicle mileage and travel expenses for rentals located within or a short distance from the primary residence.
Dunich-Kolb also falsified his own personal federal income tax returns by substantially underreporting income from his tax preparation and accounting business. For tax year 2008, Dunich-Kolb received gross income totaling approximately $638,000 while claiming income of only $489.
Dunich-Kolb also stole certain clients’ federal tax refunds, including the refunds of a deceased client, by causing the IRS to mail the refund checks to Dunich-Kolb’s Las Vegas Post Office box, from where they were forwarded to Dunich-Kolb’s residence in Montvale. Dunich-Kolb, without authorization, used the Social Security numbers of the deceased client and another client on IRS forms claiming that the latter client was entitled to the deceased client’s refunds for tax years 2013 and 2014 and causing the IRS to mail the deceased client’s refunds to his Las Vegas Post Office box. Once in receipt of the clients’ tax refund checks, Dunich-Kolb deposited the checks into accounts that he controlled and converted the funds to his own personal use.
In addition to the prison term, Judge McNulty sentenced Dunich-Kolb to three years of supervised release and ordered him to pay restitution of $2.2 million to the IRS.
U.S. Attorney Carpenito credited special agents of IRS-Criminal Investigation, under the direction of Special Agent in Charge Jonathan R. Tafur, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Sarah Devlin, Chief of the Asset Recovery and Money Laundering Unit.
Defense counsel: Jeffrey G. Garrigan Esq., Summit, New Jersey
Navajo Man Sentenced to 36 Years in Prison for Seven Counts of Aggravated Sexual Abuse of a ChildRead the Press Release
PHOENIX – Last week, Bo Lane, 36, of Coppermine, Ariz., was sentenced by Chief U.S. District Judge G. Murray Snow to 432 months in prison, followed by a lifetime term of supervised release, on seven counts of aggravated sexual abuse of a child, each count to run concurrently. Lane was found guilty of those counts by a federal jury on June 14, 2019.
The evidence at trial showed that between 2013 and 2017, Lane sexually abused two minor victims. The abuse started when the victims were six years old and took place on the Navajo Indian Reservation. Both Lane and the victims are members of the Navajo Nation.
The investigation in this case was conducted by the Federal Bureau of Investigation and the Navajo Nation Police Department. The prosecution was handled by Christina J. Reid-Moore and Dimitra H. Sampson, Assistant U.S. Attorneys, District of Arizona, Phoenix.
Milledgeville Tax Preparer Enters Guilty Plea in Tax Fraud Case, Investigators Marked 5K+ "Suspicious" ReturnsRead the Press Release
MACON – The former owner of Mr. Tax, Etc., a tax preparation business, admitted to manipulating and falsifying client information on filed tax returns in federal court on Thursday, announced Charles “Charlie” Peeler, the United States Attorney for the Middle District of Georgia. Willie Moore, Jr., 48, of Braselton, Georgia, entered a guilty plea to one count of Conspiracy to Defraud the United States on Thursday, September 12, 2019 before U.S. District Judge Tilman “Tripp” Self. A co-defendant in the case, James Prather, 47, of Douglasville, Georgia, previously pleaded guilty to one count Conspiracy to Defraud the United States on May 8, 2019, causing a $1,000,000 loss to the United States Government. The total loss to the United States Government caused by Mr. Moore will be determined at his sentencing. The Conspiracy charge carries a maximum sentence of five years, a maximum fine of $250,000 and up to three years of supervised release. Both defendants agreed to be permanently enjoined from preparing or filing federal tax returns for anyone other than themselves. A sentencing date has not been set.
“Both defendants criminally manipulated the tax system for their benefit, ultimately stealing a vast sum of money from taxpayers,” said Charlie Peeler, the U.S. Attorney. “We will continue to work vigorously to protect taxpayers from government fraud. I want to commend the investigating agents with the Southeast Scheme Development Center and the IRS for their work.”
“Mr. Moore used a foundation of fraud and deceit in order to cheat the government and victimize innocent taxpayers and is now being held accountable for his egregious behavior,” said IRS Criminal Investigation, Atlanta Field Office Special Agent in Charge, Thomas J. Holloman. “We want the individuals who engage in these schemes to know that we will pursue prosecution and seek to hold them accountable for their corrupt endeavors to rob the nations’ taxpayers. IRS – Criminal Investigation is particularly appreciative of the partnership we enjoy with the Office of the United States Attorney in the investigation and prosecution of tax crimes.”
"Together with U.S. Attorney Peeler and our law enforcement partners, we will continue to pursue fraud and abuse in bankruptcy cases,” said Nancy J. Gargula, U.S. Trustee for Georgia, Florida, the Commonwealth of Puerto Rico and the U.S. Virgin Islands (Region 21).
Co-defendants and business partners Mr. Moore and Mr. Prather orchestrated a tax refund scheme through Mr. Moore’s tax return preparation business AMAB Enterprises, d/b/a/ Mr. Tax, Etc., a storefront location on North Columbia Street in Milledgeville, Georgia. Investigators identified a total of 5,529 suspicious federal income tax returns for the 2011, 2012, 2013, and 2014 tax years, and a high percentage of returns, 97%, receiving a refund. Mr. Moore admitted in his guilty plea agreement that to increase a client’s tax returns, he would manipulate the taxpayer’s returns by listing fraudulent businesses, profits, educational expenses, and household income. Most of the clients interviewed stated that their income tax returns were not explained to them nor were they reviewed with them. Some clients never even received a copy of their returns or were given partial copies missing pages, parts, or schedules. Bank records show more than $400,000 in transfers to the defendants, the profits of the tax refund scheme.
The case was investigated by the Internal Revenue Service’s (IRS) Criminal Investigation Division and the IRS’s Southeast Scheme Development Center. The charges resulted, in part, from a referral by the U.S. Trustee for Region 21 to the U.S. Attorney. The U.S. Trustee Program is the component of the Justice Department that protects the integrity of the bankruptcy system by overseeing case administration and litigating to enforce the bankruptcy laws. Region 21 is headquartered in Atlanta, with additional offices in Macon and Savannah, Georgia; Miami, Orlando, Tallahassee and Tampa, Florida; and San Juan, Puerto Rico.
Assistant U.S. Attorney Shanelle Booker 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.
Mexican National Pleads Guilty to Illegal Reentry, Transporting Illegal AliensRead the Press Release
Roanoke, VIRGINIA – An illegal alien from Mexico, who was removed from the United States on April 2, 2018 and reentered the country without permission, pleaded guilty today in U.S. District Court in Roanoke to illegally reentering the United States without permission and transporting illegal aliens. United States Attorney Thomas T. Cullen made the announcement.
Eliezer Ramos-Arriola, a.k.a. Francisco Gaitan-Arreola, a.k.a. Francisco Gaitan Arreola, a Citizen of Mexico, waived his right to be indicted and pleaded guilty today to an Information.
“Human smuggling – particularly when it involves unaccompanied children – is a serious federal crime,” U.S. Attorney Cullen stated today. “I appreciate the commitment and hard work of our partners at the Department of Homeland Security in investigating this case and other criminal violations of our immigration laws.”
“Individuals cannot expect to repeatedly flout our immigration laws without consequence,” said Lyle Boelens, acting field office director of U.S. Immigration and Customs Enforcement’s (ICE) Enforcement and Removal Operations (ERO) Washington, D.C. “This individual had already been afforded due process in our nation’s immigration courts and not only again defied our laws but facilitated the illegal entry of countless others.”
“As the lead federal agency investigating alien smuggling, HSI is committed to employing the full range of our unique law enforcement authorities and techniques,” said Raymond Villanueva, special agent in charge of ICE Homeland Security Investigations (HSI) Washington, D.C. “Human life may not be treated like a commodity.”
According to court documents, Ramos-Arriola is a citizen of Mexico who was removed on April 2, 2018 from El Paso, Texas. The defendant never sought nor obtained authorization to reapply for admission into the United States.
However, On April 4, 2019, Ramos-Arriola was the driver of a vehicle stopped by law enforcement in Christiansburg, Virginia. Inside the vehicle, officers located seven illegal aliens, consisting of six adult males and one, unaccompanied, minor female. These individuals were citizens of Mexico and Honduras and not authorized to be in the United States.
In exchange for assistance in illegally crossing into the United States, Ramos-Arriola had agreed to work for a smuggling service to transport passengers to various locations throughout the United States, including within the Western District of Virginia. The defendant picked-up the seven passengers in Phoenix, Arizona and was paid $600 to feed the passengers and to pay for fuel. In addition, the mother of the juvenile female entered into an agreement with the smuggling service to pay an additional $4,000 to the driver who delivered her daughter to the Western District of Virginia.
The investigation of the case was conducted by the U.S. Immigration and Customs Enforcement, Virginia State Police, and Montgomery County Sheriff’s Office. Assistant United States Attorney Charlene R. Day is prosecuting the case for the United States.
Maryland Man Sentenced to Nine Years in Prison for Possessing Six Firearms in Furtherance of a Drug Trafficking ConspiracyRead the Press Release
WASHINGTON – Russell Harrison, 40, of Temple Hills, Md., was sentenced today to nine years in prison for possessing six firearms in furtherance of his participation in a drug trafficking conspiracy, announced U.S. Attorney Jessie K. Liu and Timothy M. Dunham, Special Agent in Charge of the FBI’s Washington Field Office’s Criminal Division.
Harrison pled guilty in August 2018 in the U.S. District Court for the District of Columbia to one count of possession of a firearm in furtherance of a drug trafficking offense. Judge Richard J. Leon sentenced Harrison to 110 months in prison, followed by five years of supervised release.
Harrison was arrested with seven other individuals in March 2018 in relation to a conspiracy to distribute and possess with intent to distribute cocaine and 280 grams or more of cocaine base. Numerous defendants were also charged with possessing and distributing various narcotics, including cocaine base, cocaine, PCP and fentanyl, during the period of the investigation. The charges followed an investigation into narcotics trafficking in the Washington, D.C. area.
On March 15, 2018, during the execution of a search warrant on Harrison’s residence, FBI agents and members of the U.S. Marshals Service recovered six separate firearms, multiple rounds of ammunition, a 50-round capacity drum, a firearm silencer, and drug paraphernalia. During his plea hearing, Harrison acknowledged that he possessed the firearms in furtherance of his participation in a drug trafficking conspiracy.
Harrison’s conviction represents his fourth felony conviction. He was convicted twice before for trafficking narcotics and once for committing an assault with a firearm. Harrison was held without bond following his March 2018 arrest. While incarcerated at the D.C. jail, Harrison stabbed a fellow inmate and was subsequently convicted of assault and attempted possession of a prohibited weapon in the District of Columbia Superior Court.
Five others have pled guilty to charges in the case. They include Darnell Catlett, 46, of Upper Marlboro, Md; Brian Jenkins, 44, of Brentwood, Md.; Everette Reel, 46, of Upper Marlboro, Md; Jamal Curtis, 41, of Washington, D.C.; and Derek Holmes, 54, of Washington, D.C. Catlett, Reel, Curtis, and Holmes are now serving sentences. Jenkins has not yet been sentenced. Jenkins faces a mandatory minimum sentence of five years of incarceration and up to 40 years of imprisonment for his participation in the drug trafficking conspiracy. As the leader of the conspiracy, Catlett was sentenced on August 9, 2019 to 16 years of incarceration and 5 years of supervised release.
This case is part of an Organized Crime and Drug Enforcement Task Force (OCDETF) investigation. OCDETF specializes in the investigation and prosecution of drug trafficking and money laundering organizations and related criminal enterprises.
In announcing the sentence, U.S. Attorney Liu and Special Agent in Charge Dunham commended the work of those who investigated the case. They also expressed appreciation for the assistance provided by the U.S. Marshals Service. They also cited the efforts of those who worked on the case from the U.S. Attorney’s Office for the District of Columbia, including Paralegal Specialists Candace Battle and Teesha Tobias, Legal Assistant Emma Atlas, Assistant U.S. Attorneys Christopher Macchiaroli and Kevin Rosenberg of the Violent Crime and Narcotics Section, who conducted the underlying investigation, indicted the case, and prosecuted the defendants, and Assistant U.S. Attorney Shehzad Akhtar, who prosecuted Harrison’s prison assault matter.
Maryland Man Pleads Guilty to Fraudulent Scheme to Solicit Millions of Dollars in Contributions to Scam-PacsRead the Press Release
A Maryland political consultant pleaded guilty today to wire fraud as a result of his fraudulent scheme to solicit millions of dollars in political contributions through several scam-PACs that he founded and advertised as supporting candidates for office and other political causes.
Kelley Rogers, 55, of Annapolis, Maryland, pleaded guilty to one count of wire fraud before U.S. District Judge Liam O’Grady of the Eastern District of Virginia. A sentencing hearing is scheduled for Jan. 17, 2020, before Judge O’Grady.
“Rogers defrauded countless citizens across the country who sought to participate in the political process, and instead used the money to benefit himself and to perpetuate his fraudulent scheme,” said Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division. “Today’s guilty plea shows that the Department of Justice is committed to investigating and prosecuting those who undermine the integrity of our democratic institutions, including those who commit fraud to line their own pockets along the way.”
“Rogers preyed upon his victims political beliefs with the intent of enriching his companies, his business partners, and himself,” said U.S. Attorney G. Zachary Terwilliger for the Eastern District of Virginia. “Individuals like Rogers, who engage in sophisticated fraud schemes will be held accountable for their actions. We have a long history of investigating and prosecuting fraud cases here in the Eastern District, and we remain committed to working closely with our law enforcement partners to ensure that those who choose to engage in fraud activity are held accountable and brought to justice.”
“Rogers swindled millions of dollars from individuals attempting to participate in our democratic process,” said Assistant Director in Charge Timothy R. Slater of the FBI’s Washington Field Office. “Instead of using donations to provide assistance and support to military veterans, as he advertised, Rogers used the money to benefit himself and his associates. I commend the dedication and hard work of our FBI agents and analysts who investigated this egregious fraud against innocent U.S. citizens.”
According to admissions Rogers made in connection with his guilty plea, from August 2012 through 2018, in the Eastern District of Virginia and elsewhere, the defendant operated multiple PACs, including Conservative StrikeForce (CSF), Conservative Majority Fund, and Tea Party Majority Fund. In that role, the defendant engaged vendors to send e-mail solicitations and make telemarketing phone calls to prospective donors seeking political contributions to his PACs. Rogers approved the text and other content of all solicitations, and determined how CSF spent the contributions individual donors gave in response to the solicitations.
During the course of his scheme, Rogers solicited contributions from the general public for his PACs based on materially false and fraudulent pretenses, representations, and promises. For example, in or around 2013, Rogers, working with an email vendor, represented through CSF that money contributed by donors would be used to support the campaigns of a candidate for Governor and a candidate for Attorney General of Virginia through, among other things, get-out-the-vote efforts and the hiring of attorneys to ensure the integrity of the elections. In or around 2014, Rogers represented that donations to the PAC would be spent on assistance and support for military veterans. In truth and in fact, the defendant never intended to spend, and never actually spent, any of the money raised by Rogers’ PACs on get-out-the-vote efforts or lawyers to protect the integrity of the 2013 Virginia and Attorney General elections, or on assistance and support for military veterans. Instead, the defendant spent nearly all of the money raised from donors to benefit himself, his associates, and his PACs, including by pouring the majority of donor money into the solicitation of more donations.
In addition to the misrepresentations that Rogers made to donors, Rogers and others fraudulently billed his PACs for services that were not performed, thereby misappropriating donor money that had been contributed to the PACs by individuals across the country. Rogers and his associates also made false statements to the Federal Election Commission about how they were spending PAC money.
Finally, Rogers admitted that he and several others also participated in a scheme to use conduits (“straw donors”) to make contributions to a candidate running to represent a district in the United States House of Representatives that exceeded the limits placed on individual campaign contributions under federal law.
As part of his guilty plea, Rogers agreed to pay $491,299.00 in restitution to victims of his fraud scheme, as well as a forfeiture money judgment in the amount of $208,954.00.
The FBI’s Washington Field Office is investigating the case. Trial Attorneys John Taddei and Bill Gullotta of the Criminal Division’s Public Integrity Section and Assistant U.S. Attorney Kimberly Pedersen of the Eastern District of Virginia are prosecuting the case. Former PIN attorney Molly Gaston provided significant assistance in the case.
Man Sentenced to 36 Months in Prison for Sexually Abusing MinorRead the Press Release
PHOENIX, Ariz. – On September 16, 2019, Jordan Lee Manuel, 23, of Casa Blanca, Ariz., was sentenced by U.S. District Judge Diane J. Humetewa to 36 months in prison followed by ten years of supervised release for sexually abusing a minor on the Gila River Indian Community. Manuel will also be required to register as a sex offender.
Manuel used Facebook to befriend the minor victim and pursue a romantic relationship before ultimately sexually abusing the victim. Both the victim and Manuel are members of the Gila River Indian Community.
The investigation in this case was conducted by the Gila River Police Department. The prosecution was handled by Christine D. Keller, Assistant U.S. Attorney, District of Arizona, Phoenix.
Madras Man Sentenced to 10 Years in Federal Prison for Role in Meth Distribution Conspiracy, Bank RobberyRead the Press Release
EUGENE, Ore.—Tyler Wayne Fuller, 30, of Madras, Oregon, was sentenced today to 10 years in federal prison and three years’ supervised release for his role in a Central Oregon methamphetamine distribution conspiracy and for robbing a Madras bank.
According to court documents, Fuller is the son of career criminal and known drug dealer Ronald Wayne Thrasher, 49, also of Madras. By age 28, Fuller had his own extensive criminal history and had spent the majority of his adulthood incarcerated. In December 2016, after Fuller was released from federal prison, Thrasher began giving his son methamphetamine to sell. Within a month, Thrasher was supplying and Fuller was distributing quarter and half-pound quantities of methamphetamine throughout Central Oregon.
In February 2017, Fuller’s volatile relationship with his father led to a confrontation. Armed with a pistol, Fuller unsuccessfully attempted to rob his father of his methamphetamine supply. The resulting estrangement left Fuller without a supplier and illicit income. Now homeless, he continued selling drugs obtained from his father’s customers. In August 2017, Fuller robbed a U.S. Bank in Madras, collecting $517 in cash.
During sentencing, U.S. District Court Judge Michael J. McShane ordered Fuller to pay $517 in restitution to U.S. Bank and forfeit any property or proceeds derived from his drug trafficking activities.
On April 25, 2018, Fuller pleaded guilty to one count each of conspiracy to distribute and possess with intent to distribute fifty or more grams of methamphetamine and bank robbery.
Thrasher was convicted at trial in August 2019 for purchasing and transporting methamphetamine for distribution and being a felon in possession of a firearm. He will be sentenced on February 4, 2020.
Fuller is the first of 11 defendants to be sentenced for their involvement in his father’s drug trafficking conspiracy. One defendant, Russell Marvin Jones, 53, of Gresham, Oregon, was convicted at trial alongside his father. Nine others pleaded guilty. All are scheduled to be sentenced in the next six months before Judge McShane.
This case was investigated by Central Oregon Drug Enforcement (CODE), the Drug Enforcement Administration (DEA), the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) and the Oregon State Police. It was prosecuted Frank R. Papagni Jr. and Judi Harper, Assistant U.S. Attorneys for the District of Oregon, with the assistance of the Jefferson, Crook and Deschutes County District Attorney’s Offices.
The case was brought as part of Project Safe Neighborhoods (PSN). PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
MEDIA ADVISORY: United States Attorney Mike Stuart to Hold Press Conference in Beckley TomorrowRead the Press Release
CHARLESTON, W.Va. –Mike Stuart, United States Attorney for the Southern District of West Virginia, joined by federal, state and local law enforcement officials, will hold a press conference in Beckley on Wednesday, September 18, 2019 at 3:00 p.m. to discuss indictments resulting from a long-term investigation.
Where: Robert C. Byrd Federal Building
110 North Heber Street
Beckley, WV
When: Wednesday, September 18, 2019 @ 3:00 p.m.
Follow us on Twitter: SDWVNews
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Louisville Man Who Shot at LMPD Officer Pleads Guilty to Federal CrimeRead the Press Release
LOUISVILLE, Ky. – A Louisville, Kentucky, man has pleaded guilty to the federal crime of being a felon in possession of a firearm, announced United States Attorney Russell Coleman.
Elijah Eubanks, age 21, was charged by a Louisville federal Grand Jury on July 24, 2018, in a single count Indictment of being a felon in possession of a Ruger .357 caliber revolver. Eubanks pleaded guilty to the Indictment yesterday in U.S. District Court.
The federal charge stemmed from a shooting involving a Louisville Metropolitan Police Officer on March 31, 2018. Eubanks fired at an officer who attempted to question him while he was in a vehicle with another person. Jefferson County Commonwealth Attorney Tom Wine’s Office previously convicted Eubanks of attempted murder for this incident.
At the time of the March 31st shooting, Eubanks had previously pleaded guilty to one count of Wanton Endangerment I, and one count of Criminal Mischief I, in Jefferson Circuit Court on November 2016, as part of a pre-trial diversion agreement. He was prohibited from possessing a firearm because of his guilty plea.
“Shoot a peace officer, shoot at a peace officer, and the United States Attorney’s Office will seek to send you to federal prison for as long as the law allows,” said U.S. Attorney Russell Coleman.
Eubanks is scheduled for sentencing on November 1, 2019, at 10 a.m., before United States District Court Judge David J. Hale.
The maximum sentence for unlawfully possessing a firearm is no more than ten years in federal prison, a $250,000 fine, and three years of supervised release. There is no parole in the federal system.
The case is being prosecuted by Assistant United States Attorney Amanda Gregory and it was investigated by the Louisville Metro Police Department (LMPD) and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
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Local Man Sent to Prison for Armed Drug Trafficking in School ZoneRead the Press Release
CORPUS CHRISTI, Texas – A 23-year-old Corpus Christi man has been ordered to federal prison for possession with intent to distribute cocaine and carrying a firearm during a drug trafficking offense, announced U.S. Attorney Ryan K. Patrick. A federal jury convicted Roman Valdez following a two-day trial and approximately one hour of deliberations May 21, 2019.
Today, U.S. District Judge Nelva Gonzalez Ramos handed Valdez a 12-month sentence for the drug charges. He also received an additional 60 months for the firearms offense which must be served consecutively for a total sentence of 72 months in federal prison. The sentence will be immediately followed by three years of supervised release.
During the trial, the jury heard testimony from multiple law enforcement officers.
On Nov. 14, 2018, at approximately 3:00 p.m., they discovered Valdez passed out behind the wheel of his vehicle at a traffic light in front of Flour Bluff Elementary School as students were being released. When the officers opened the door to check on him, he became combative and began reaching around inside the vehicle. During the struggle, officers discovered a loaded handgun between the driver’s seat and the center console.
Law enforcement secured the firearm but Valdez continued to reach behind the driver’s seat. He was ultimately removed from the vehicle and taken into custody.
When officers searched his vehicle, they discovered multiple bags of white powder, a black tar substance, a bag of synthetic cannabinoids, assorted prescription pills, small bags, a digital scale and a second loaded handgun in the back seat.
The controlled substances were sent to the Drug Enforcement Administration (DEA) Laboratory. Testing confirmed the substances were cocaine, heroin and 5F-MDMB-PICA – a synthetic cannabinoid.
The defense attempted to convince the jury Valdez possessed the cocaine for personal use and the firearms were not related to any of the drugs. They did not believe those claims and found him guilty as charged.
Synthetic cannabinoids are chemical compounds that mimic the psychoactive ingredient in marijuana. These chemical compounds can be applied to carrier mediums such as plant material and ingested using rolling papers, pipes, vaporizers or otherwise taken orally. Synthetic cannabinoids are usually sold in small, foil or plastic bags containing dried leaves (resembling potpourri) and is marketed as incense that can be smoked. It is commonly sold and known on the street as synthetic marijuana, fake weed, legal and by its popular brand names such as Spice, K2, Kush, Klimaxx and many others.
In custody since his arrest, Valdez will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The Corpus Christi Police Department, Bureau of Alcohol, Tobacco, Firearms and Explosives and the Drug Enforcement Administration conducted the investigation. Assistant U.S. Attorneys Lance Watt and Joel Dunn are prosecuting the case.
Lincoln County Felon Sentenced to 20 Years in Prison for Dealing Drugs and IllegallyRead the Press Release
EUGENE, Ore.—Jon Michael Walsh, 46, of Neskowin, Oregon, was sentenced today to 20 years in federal prison and 10 years’ supervised release for possessing with intent to distribute methamphetamine and heroin and illegally possessing a firearm as a convicted felon.
According to court documents, in February 2018, Walsh was on post-prison supervision for a 2015 federal firearms conviction, when probation officers conducted a routine search of his vehicle outside a community center and found a stolen loaded pistol and concealed packages of methamphetamine and heroin.
During a subsequent search of Walsh’s Neskowin residence, officers found additional distribution quantities of methamphetamine and heroin. Walsh later admitted to buying and selling methamphetamine and heroin in Lincoln and surrounding coastal counties to support his own methamphetamine addiction.
U.S. District Court Judge Michael J. McShane also ordered Walsh to forfeit the stolen pistol and any property derived from his drug trafficking activities.
On March 8, 2019, Walsh pleaded guilty to one count each of possession with intent to distribute methamphetamine, possession with intent to distribute heroin and felon in possession of a firearm. Walsh admitted to dealing methamphetamine and heroin while possessing the loaded pistol to protect himself and drug supplies.
Walsh previously served nine years in federal prison for distributing methamphetamine while in possession of a firearm after being sentenced in June 1998.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Oregon State Police, Tillamook County Sheriff’s Office and the Lincoln City Police Department. It was prosecuted by Frank R. Papagni, Jr., Assistant U.S. Attorney for the District of Oregon, and Michelle Branam, Lincoln County District Attorney.
The case was brought as part of Project Safe Neighborhoods (PSN). PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Last defendant in Calcasieu Parish cocaine distribution ring sentenced to more than 12 years in prisonRead the Press Release
LAFAYETTE, La. – United States Attorney David C. Joseph announced that the last defendant in a Calcasieu Parish cocaine distribution ring was sentenced last week. United States District Judge Jay C. Zainey sentenced Derrick Harrison, 41, of Houston Texas, on September 9, 2019, to 151 months in prison for conspiracy to distribute cocaine. Harrison previously pleaded guilty on September 24, 2018.
Harrison was one of six defendants named as part of an indictment filed December 14, 2017. From January 2016 to August 2016, Harrison conspired with four co-defendants to distribute cocaine in the Calcasieu Parish area. Harrison lived in the Houston area and supplied cocaine to Vanchiese Green, who served as a middleman for Eric Beloney, Anthony Celestine and Donnie Lewis for distribution of cocaine in Calcasieu Parish.
Beloney acquired 9 pounds of cocaine on July 26, 2018, using Green as a conduit to acquire the narcotics in Houston. On his return to Lake Charles from Houston, law enforcement conducted a traffic stop on Beloney’s car and found 9 pounds of cocaine and 16 grams of cocaine base. Following the traffic stop, officers executed a search warrant at Beloney’s residence and recovered additional controlled substances, approximately $3,432 in cash and a Hi-Point .40-caliber handgun that had been reported stolen. Tramicke Taylor was a courier of cocaine and cash for the Vanchiese Green Drug Trafficking organization. Altogether, the group was responsible for distributing from 50 to 150 kilograms of cocaine.
All six defendants have now been convicted and sentenced for their part in the conspiracy:
Co-Defendant
Date of Guilty Plea
Sentencing
Vanchiese Green, 43, of Lake Charles
July 18, 2018
October 3, 2018 - 109 months in prison for conspiracy to distribute and possess with intent to distribute cocaine.
Eric Beloney, 43, of Lake Charles
August 16, 2018
November 13, 2018 - 188 months in prison for possession with intent to distribute a controlled substance (cocaine).
Anthony Celestine, 44, of Lake Charles
September 24, 2018
January 9, 2019 - 212 months in prison for conspiracy to distribute and possess with intent to distribute cocaine.
Donnie Jermaine Lewis, 42, of Houston, Texas
September 24, 2018
January 9, 2019 - 212 months in prison for conspiracy to distribute and possess with intent to distribute cocaine.
Tramicke Taylor, 44, of Lake Charles
July 18, 2018
November 13, 2018 – five years of probation for conspiracy to distribute and possess with intent to distribute cocaine.
The FBI and Calcasieu Parish Combined Anti-Drug Team conducted the investigation. Assistant U.S. Attorneys Daniel J. McCoy and David J. Ayo prosecuted the case.
Klamath County Man Sentenced to 15 Months in Federal Prison for Stealing Missing Mother's Social Security BenefitsRead the Press Release
MEDFORD, Ore.—On Friday, September 13, 2019, Theodore Martin Kirk, 64, of Klamath County, Oregon, was sentenced to 15 months in federal prison and three years’ supervised release for stealing more than $30,000 in Social Security benefits dispersed in the name of his elderly mother, Nadine Kirk. Ms. Kirk has been missing since March 2010 and is presumed to be deceased.
U.S. District Court Judge Michael J. McShane announced his intent to sentence Kirk to 15 months in federal prison at a sentencing hearing on September 6, 2019, but held off on entering the judgement to allow Kirk one week to give the location of his mother’s remains to investigators. Kirk failed to produce this information and was formally sentenced on September 13, 2019.
According to court documents and information shared during trial, in July 2015, a concerned community member contacted the Klamath County Sheriff’s Office regarding the whereabouts of Ms. Kirk as she had not been seen for multiple years. At the time of this call, Ms. Kirk would have been 98 years old. Shortly thereafter, a sheriff deputy visited the residence shared by Ms. Kirk and her son in Bonanza, Oregon. Kirk claimed his mother had left with friends to travel to California two months prior, but would not permit the deputy to enter his property to confirm his mother was not there.
In an August 2015 interview with a detective, Kirk again told law enforcement he believed his mother was in California with friends. He added that it had been "quite some time" since his mother had seen a doctor despite having suffered from multiple strokes. Kirk claimed to be suspicious of his mother’s medications and reported previously removing her from them. Further, he acknowledged that he shared a joint checking account with his mother, into which her monthly Social Security payments were deposited.
Later in August, the Social Security Administration suspended payments to the Kirk’s joint checking account based on Ms. Kirk’s unknown whereabouts. A Social Security investigator reviewed Ms. Kirk’s bank records and found that the last transaction bearing her signature was dated January 2010. From January 2010 until August 2015, over $1,000 in benefits were deposited monthly into the joint checking account and nearly every month, Theodore Kirk would withdraw the entire amount in cash. All of the withdrawals from the account occurred in Oregon, not in California where Ms. Kirk was purported to be.
In August 2017, investigators conducted a search of the Kirk property and recovered a detailed calendar kept by Theodore Kirk. Prior to 2010, the calendar included activities for both Kirk and his mother. The calendar revealed a series of strokes experienced by Ms. Kirk beginning in 2004 and continuing into the beginning of 2010, where the calendar showed she experienced two strokes in three days. Following the multiple strokes, there were no additional calendar entries for Ms. Kirk’s activities.
During sentencing, U.S. District Court Judge Michael J. McShane ordered Kirk to pay $30,868 in restitution to the Social Security Administration.
On March 13, 2019, Kirk was convicted at trial by a federal jury in Medford on one count of theft of government funds.
This case was investigated by the Social Security Administration, Office of Inspector General with the assistance of the Klamath County Sheriff’s Office and prosecuted by Adam E. Delph and Gavin W. Bruce, Assistant U.S. Attorneys for the District of Oregon.
Jackson County Man Charged with Gun & Drug CrimesRead the Press Release
MADISON, WIS. – Scott C. Blader, United States Attorney for the Western District of Wisconsin, announced that Victor Williams, 40, Melrose, Wisconsin has been charged with being a felon in possession of a firearm and ammunition and with four counts of possessing controlled substances with the intent to distribute.
Williams was charged in a sealed indictment returned on August 28, 2019, by a federal grand jury sitting in Madison, Wisconsin. The indictment was unsealed on September 9, 2019, when Williams was arraigned in U.S. District Court in Madison. He is being detained in federal custody pending his trial, which is scheduled for February 3, 2020, before U.S. District Judge William M. Conley.
The indictment alleges that on July 2, 2019, Williams possessed a 9mm firearm and ammunition, and that he possessed cocaine, heroin, and marijuana with the intent to distribute. He is charged with two counts of possessing heroin with intent to distribute. In the second heroin count, the indictment alleges that he possessed heroin in a residence in Melrose.
If convicted, Williams faces a maximum penalty of 10 years in federal prison on the gun charge, and 20 years on each of the drug charges. The charges against Williams are the result of an investigation by the Tomah Police Department, West Central Metropolitan Enforcement Group, Jackson and Monroe County Sheriffs’ Offices, and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Elizabeth Altman is handling the prosecution.
You are advised that a charge is merely an accusation and that a defendant is presumed innocent until and unless proven guilty.
Irondequoit Man Arrested, Charged with Cyberstalking; Investigators Asking for Assistance from the PublicRead 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 Theodore Loria, 53, of Irondequoit, NY, was arrested and charged by criminal complaint with cyberstalking. The charge carries a maximum penalty of five years in prison and $250,000 fine.
Assistant U.S. Attorney Melissa M. Marangola, who is handling the case, stated that according to the complaint, the Buffalo FBI Cyber Task Force was notified in June 2018 of a possible cyber stalking campaign being executed by the defendant.
Subsequent investigation determined that the Victim in the case met Loria in May 2015 at her place of employment. Shortly after that meeting, the defendant expressed an interest in dating, which was not reciprocated by the Victim. In September 2015, Loria contacted the Victim and told her that her life was in danger and they needed to talk. During a conversation, the defendant told the Victim that he had overheard her ex-boyfriend in a restaurant say that the Victim was better off dead and that the ex-boyfriend was going to kill her. Loria then offered to keep an eye on the ex-boyfriend and the Victim to ensure her safety.
On October 31, 2015, the defendant told the Victim that he had seen a mysterious car circling her property and that he chased it away. Loria also said that Halloween is an easy night to commit murder because it was the one night when wearing a mask was not questioned. The defendant told the Victim he would stay on her driveway through the night to ensure her safety.
Loria and the Victim became romantically involved for approximately three months from late spring to early summer of 2016. During that time, the defendant became protective of the Victim, jealous of any male clients or employees, and routinely monitored her Facebook page, commenting to her about online conversations she had with males on the Facebook page.
In the summer of 2016, the Victim began to distance herself from Loria. In June 2016, the defendant asked to meet the Victim at a local coffee shop, during which he gave her a diamond ring so that people would know the Victim was spoken for. The Victim refused to take the ring. Loria stated “take the (expletive) ring” and “put the (expletive) ring on your (expletive) finger.” The Victim kept the ring and left the coffee shop. The defendant followed the Victim to another location where he apologized. The two did not speak for several months after. Months later the Victim saw Loria in her driveway. He told her, “give me my (expletive) ring back,” which the Victim did.
In the months to follow, the Victim received threatening phone calls and text messages from the defendant. One text read, “Your DEAD cop calling (expletive) [address of Victim].” And during one phone call, Loria stated he would burn down her place of business. The defendant also told the Victim that he had connections to the mafia and to cold-blooded killers who owed him favors, and who would take care of people who crossed him.
In February 2017, Loria confronted the Victim and her ex-boyfriend at a restaurant. The defendant approached the ex-boyfriend and told him that he would beat him every day for the rest of his life and that if he went to jail that he would beat him again after he got out. Following this incident, the Victim began receiving escalating threats via phone call, text message, or in person at her place of business. Loria stated that the Victim had crossed him and he had no choice but to teach her a lesson.
In a series of text messages, emails, and phone calls, the defendant also accused the Victim of plotting with Charlie Tan to murder him. In 2015, Charlie Tan was accused of murdering his father, but a state court jury failed to reach a verdict. However, in November 2018, Tan was sentenced to serve 20 years in prison on federal gun charges. The Victim confirmed to investigators that she allowed Tan to volunteer at her place of business during his legal proceedings.
The defendant made an initial appearance today before U.S. Magistrate Judge Jonathan W. Feldman and was detained. Loria is schedule to be back in court on September 18, 2019, at 11:00 a.m.
Members of the public who have information related to this case are asked to call the Federal Bureau of Investigation at 585-546-2220.The criminal complaint is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Gary Loeffert, and the Rochester Police Department, under the direction of Chief La’Ron Singletary.
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.
# # # #Illegal Alien and Convicted Bank Robber Sentenced for Fourth Illegal Reentry into United StatesRead the Press Release
PHILADELPHIA – First Assistant United States Attorney Jennifer Arbittier Williams announced that Mario Calderon-Medina, 55, a native and citizen of Mexico, was sentenced to 15 months’ imprisonment and one year of supervised release by United States District Judge Juan R. Sanchez for illegally reentering the United States after having been deported previously. The defendant was found by the judge to fall within Criminal History Category II based on his previous offenses.
Calderon-Medina reentered the United States illegally after having been deported to his native Mexico four times, the most recent occurrence being in 2003. During his most recent illegal return to this country, he committed a bank robbery in Montgomery County, PA, for which he was sentenced to 1½ to 3 years in state prison.
“The defendant has demonstrated a complete lack of respect for our country’s laws and has also now clearly shown that he represents a danger to the community if he should return again,” said First Assistant U.S. Attorney Williams. “The need to enforce immigration law is underscored in this case when an alien not only reenters the country unlawfully, but commits a serious crime upon his reentry.”
The case was investigated by the Department of Homeland Security, Immigration and Customs Enforcement, Enforcement and Removal Operations, and is being prosecuted by Assistant United States Attorneys Sarah Wolfe and Thomas Perricone.
Illegal Alien Involved in Deadly Interstate 70 Crash Sentenced to 42 MonthsRead the Press Release
INDIANAPOLIS - United States Attorney Josh J. Minkler announced that a Guatemalan man who was involved in a February 2018 crash that killed Indianapolis Colts player Edwin Jackson and rideshare driver Jeffrey Monroe was convicted and sentenced for illegally reentering the United States after having been previously deported. Manuel Orrego-Zavala, 38, was sentenced following a guilty plea to 42 months in federal prison by U.S. District Chief Judge Jane E. Magnus-Stinson at the federal courthouse in Indianapolis.
"Mr. Orrego-Zavala re-entered the country illegally for the second time before he put the public safety of Indianapolis at risk and took the lives of two innocent men on February 4, 2018," said Minkler. "This prosecution represents our office’s commitment to charging aliens that illegally re-enter the country, especially if they are a risk to public safety or there is a criminal history present." According to court records, Orrego-Zavala was convicted of two drug felonies in California prior to his removal from the United States the first time in 2007. Orrego-Zavala was found in the United States again in May 2009 and subsequently removed a second time.
On February 4, 2018, Orrego-Zavala was back in the United States illegally and driving a pickup truck westbound on Interstate 70 in Indianapolis. Orrego-Zavala swerved and struck Monroe and his rideshare passenger, Jackson, who were standing alongside the highway after Jackson had become ill and Monroe pulled over. The impact killed Monroe and Jackson. Orrego-Zavala, who had a blood alcohol content of twice the legal limit, was later convicted in state court and sentenced to 16 years for causing death when operating a vehicle while under the influence of alcohol.
At the sentencing hearing, Assistant United States Attorney William L. McCoskey told the Court that a consecutive federal sentence would be appropriate because it would "send a strong message to the defendant and others similarly situated that we are a nation of laws, and that there are real consequences that come from violating those laws."
Chief Judge Magnus-Stinson ordered that Orrego-Zavala’s sentence of 42 months must be served consecutively to the state sentence of 16 years.
This case was the result of an investigation by the Indiana State Police and the Department of Homeland Security.
"This individual’s criminal and immigration histories clearly demonstrate a total disregard for U.S. law," said Special Agent in Charge James M. Gibbons. "Let this sentence serve as a reminder that Homeland Security Investigations prioritizes the prosecution of those who are intent on disrespecting our laws and putting the community at risk."
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 utilize and partner with law enforcement agencies to prosecute illegal immigration cases. See United States Attorney’s Office, Southern District of Indiana Strategic Plan Section 1.8
Illegal Alien Indicted for Re-Entering the United States After Having Been Previously DeportedRead the Press Release
NASHVILLE, Tenn. – September 17, 2019 – A federal indictment unsealed today, charged Jose Fernando Andrade-Sanchez, 39, a citizen of Mexico, with unlawful re-entry into the United States, after having been previously removed, announced U.S. Attorney Don Cochran for the Middle District of Tennessee and John Condon, Acting Special Agent in Charge of the U.S. Homeland Security Investigations Nashville Field Office.
Andrade-Sanchez was indicted by a federal grand jury on September 11, 2019, after encountering U.S. Immigration & Enforcement agents in Nashville on September 5, 2019, and eluding apprehension. Andrade-Sanchez was arrested by ICE agents in Nashville earlier today.
According to documents filed with the court, Andrade-Sanchez was found and removed from the United States on four prior occasions, most recently on October 13, 2013. While in the U.S. illegally and living in Nashville, Andrade-Sanchez was charged under the alias of Eduardo Negrete, with domestic assault and aggravated child abuse after striking a three-year old child in the face, while assaulting his then girlfriend and the child’s mother. Both required transport to a local hospital where the girlfriend was treated for facial injuries and the child was evaluated for a possible broken nose. Andrade-Sanchez later pleaded guilty to domestic assault and the child abuse charge was retired.
Following his removal to Mexico on July 16, 2009, Andrade-Sanchez illegally returned to the U.S. and on April 21, 2013, he was charged with criminal impersonation after falsely identifying himself to a Metro Nashville Police officer as Erik Valazquez. He pleaded guilty to that charge in May 2013.
On September 5, 2019, two ICE Enforcement & Removal agents located Andrade-Sanchez in a parking lot in Antioch, Tennessee. While speaking to Andrade-Sanchez, he refused to exit his truck and drove forward instead. One of the agents fired his weapon twice and one shot struck Andrade-Sanchez. Andrade-Sanchez then fled the area.
Andrade-Sanchez will make an initial appearance tomorrow before a U.S. Magistrate Judge. He is presumed innocent until proven guilty in a court of law.
Assistant U.S. Attorney Brent Hannafan is prosecuting this case.
# # # # #
Huntsville Man Convicted of Federal Gun and Drug ChargesRead the Press Release
Montgomery, Alabama – On Monday, September 16, 2019, Robert Williams, Jr., a 56-year-old resident of Huntsville, Alabama, was found guilty of being a felon in possession of a firearm, possession of cocaine, and illegal possession of oxycodone, announced United States Attorney Louis V. Franklin, Sr. A federal jury convicted Williams on all three counts in his indictment.
Evidence presented at trial showed that during the early morning hours of September 27, 2015, the Dothan Police Department observed Williams speeding on his motorcycle and performed a traffic stop. While approaching the vehicle, the officer saw Williams pass a pack of cigarettes to his female passenger, who was riding on the back seat. Upon inspection, the officer discovered that the pack contained a small amount of cocaine and two oxycodone pills. The officer also discovered that Williams had a handgun in his waistband. Williams has a previous felony conviction and is prohibited by federal law from possessing a firearm.
William’s sentencing hearing will take place in the next few months and he faces a maximum sentence of ten years in prison.
The Dothan Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) investigated this case, with assistance from the Alabama Department of Forensic Sciences and the Montgomery County Sheriff’s Office.
Assistant United States Attorneys Kevin Davidson and Josh Wendell prosecuted this case.
Honduran Man Charged with Illegal Re-entry into the United StatesRead the Press Release
NASHVILLE, Tenn. – September 17, 2019 – Franklin Pineda-Caceres, 18, of Honduras, was charged yesterday with illegally re-entering the United States after having been previously deported, announced U.S. Attorney Don Cochran for the Middle District of Tennessee.
According to charging documents, agents with Homeland Security Investigations (HSI) and officers of the Metropolitan Nashville Police Department (MNPD) first encountered Pineda-Caceres in October 2017, during the execution of an arrest warrant on another individual at a Nashville residence. Pineda-Caceres was taken into custody at that time by the MNPD and charged with drug crimes. HSI agents determined that Pineda-Caceres unlawfully entered the United States in 2014 and a final order of removal was issued in June 2016.
In February 2018, Pineda-Caceres was transferred to the custody of HSI and on May 3, 2018, he was placed on a plane and deported from the United States.
In July, HSI and MNPD learned that Pineda-Caceres had returned to the United States and attempted to arrest him at a residence in Nashville on an outstanding warrant for aggravated kidnapping. Pineda-Caceres was able to evade arrest but officers found cocaine, marijuana and digital scales inside the car he abandoned.
On September 15, Pineda-Caceres was involved in an automobile accident in Nashville and MNPD officers recovered a substantial amount of cocaine from his vehicle. Pineda Caceres was transported to Vanderbilt Hospital where MNPD officers subsequently identified him and arrested him on the outstanding kidnapping warrant.
If convicted, Pineda-Caceres faces up to 2 years in prison and a fine of $250,000.
This case is being prosecuted by Assistant U.S. Attorney Ahmed Safeeullah.
The charge is merely an accusation and the defendant is presumed innocent until proven guilty in a court of law.
# # # # #
Heroin and Fentanyl Dealer Sentenced to PrisonRead the Press Release
NORFOLK, Va. – A Norfolk man was sentenced today to 13 years in prison for conspiring to distribute heroin.
“Alexander dumped a significant amount of opioids into our community,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “This is a just sentence for Alexander, a defendant with a significant criminal history that includes over 30 previous convictions.”
According to court documents, Barry Jamel Alexander, 33, sold heroin mixed with fentanyl to an undercover police officer at a Norfolk 7-Eleven. He used his cousin as a middle man in an attempt to protect himself from criminal exposure, but the store security cameras caught him handing the drugs to his cousin and, soon after, receiving the drug money.
“Alexander’s distribution of heroin and fentanyl in our Virginia communities carried grave consequences, causing drug overdoses, and potentially ripping away the future of loved ones and leaving families devastated,” said Jesse R. Fong, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division. “The investigation and prosecution of these drug-related crimes that so gravely affect our communities continues to be a top priority for the DEA Washington Division, and we remain steadfast in our pursuit of those who spread this poison across our cities.”
Earlier that month, Alexander sold heroin mixed with fentanyl to a customer who overdosed on the substance and had to be revived with Narcan. At the time Alexander sold the heroin to the undercover officer, he knew that a customer had previously overdosed on his product. Agents later interviewed some of Alexander’s customers, who reported that over an approximately five-year period they had purchased more than two kilograms of heroin from Alexander.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Jesse R. Fong, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division, made the announcement after sentencing by Senior U.S. District Judge Rebecca Beach Smith. Assistant U.S. Attorneys William B. Jackson and John F. Butler prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:19-cr-5.
Hawaii Man Pleads Guilty to Possession of Child PornographyRead the Press Release
HONOLULU – Aaron A. Hood, 42, of Honolulu, Hawaii pleaded guilty today in federal court to one count of possession of child pornography. This guilty plea occurred on the second day of Hood’s jury trial involving a separate charge of production of child pornography. Under the terms of the plea agreement, the parties agreed to a recommended sentence of 10 years of imprisonment and a 25-year term of supervised release. Sentencing is scheduled for January 30, 2020 before U.S. District Judge Leslie E. Kobayashi.
According to U.S Attorney Kenji M. Price, the government alleged during trial that Hood met the 14-year-old minor female victim on January 23, 2016, outside the store where he worked in Waikiki. The minor had run away from home. Over a four-day period, Hood provided the minor with cocaine, marijuana, and alcohol, and had her stay in an apartment that he had access to, which was located behind the store where he worked. During that time, Hood engaged in sexual activity with the minor and took photos and videos of her engaged in sexually explicit conduct.
This case was investigated by the Department of Homeland Security (Homeland Security Investigations), the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Honolulu Police Department. It was prosecuted by Assistant U.S. Attorneys Margaret Nammar and Rebecca Perlmutter.
Notably, this is the second child pornography trial handled by the U.S. Attorney’s Office District of Hawaii within the past month. On August 27, 2019, a federal jury in Honolulu, Hawaii found defendant Grant Manaku, 34, of Kauai, Hawaii guilty of one count of possession of child pornography, announced U.S. Attorney Price.
Haverhill Nurse Pleads Guilty to Drug TamperingRead the Press Release
BOSTON – A Haverhill licensed practical nurse pleaded guilty yesterday in federal court in Boston to drug tampering.
Lauren Perrin, 47, pleaded guilty to one count of tampering with a consumer product, specifically the Schedule II controlled substance morphine, which is used for pain relief. U.S. District Court Senior Judge Mark L. Wolf scheduled sentencing for Dec. 4, 2019. Perrin was charged in an Information in March 2019.
While working as a licensed practical nurse at Maplewood Care and Rehabilitation Center in Amesbury, Perrin tampered with three bottles of morphine sulfate prescribed to a hospice patient. In an attempt to avoid detection, she replaced the extracted medication with another liquid. Perrin’s tampering lowered the potency of the three bottles of morphine sulfate to only 4-29% of the intended potency.
The charging statute provides for a sentence of no greater than 10 years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Andrew Lelling; Jeffrey Ebersole, Special Agent in Charge of the Food and Drug Administration, Office of Criminal Investigations; Phillip Coyne, Special Agent in Charge of the U.S. Department of Health and Human Services, Office of the Inspector General; and Commissioner Monica Bharel, MD, MPH, of the Massachusetts Department of Public Health made the announcement. Assistant U.S. Attorney Elysa Wan of Lelling’s Health Care Fraud Unit is prosecuting the case.
Hamden Deli Owner Sentenced to Prison for Tax EvasionRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that RAYMOND GEORGE, 53, of Hamden, was sentenced today by U.S. District Judge Stefan R. Underhill in Bridgeport to nine months of imprisonment, followed by one year of supervised release, for tax evasion. Judge Underhill also ordered George to pay a $5,000 fine.
According to court documents and statements made in court, George owns and operates a Ray & Mike’s, LLC, a delicatessen located at 3030 Whitney Avenue in Hamden. For the 2012 and 2013 tax years, George evaded payment of his federal income taxes in multiple ways. First, George failed to deposit all of the cash receipts of the business into his business bank account. He used a portion of the cash to fill an in-store ATM and failed to report the cash as income.
In addition, George used the Ray & Mike business account to pay personal expenses. He also deposited three large checks totaling nearly $300,000 from the Ray & Mike’s business account into his personal investment account, without reporting the funds as income in any capacity, and then withdrew funds from the investment account to purchase personal investment properties. He also deposited a $25,800 check from the Ray & Mike’s lottery account into his personal investment account without reporting the funds as income.
On his federal tax returns, George underreported his income by approximately $365,065 for the 2012 tax year and by $273,108 for the 2013 tax year, and failed to pay a total of approximately $220,000 in taxes for those two years.
George has paid the IRS approximately $480,000 in back taxes, interest and penalties.
On May 17, 2019, George pleaded guilty to one count of tax evasion.
George, who is released on a $100,000 bond, is required to report to prison on March 17, 2020.
This case was investigated by the Internal Revenue Service – Criminal Investigation Division, and was prosecuted by Assistant U.S. Attorney Michael S. McGarry with the assistance of Law Student Intern Virginia Manoyan.
Georgia Supplier Sentenced to Ten Years in Federal Prison for Drug ChargeRead the Press Release
Jacksonville, FL – U.S. District Judge Brian J. Davis has sentenced Anthony Donta Jones (39, Atlanta) to 10 years in federal prison for possession with intent to distribute 500 grams or more of a mixture and substance containing a detectable amount of methamphetamine. Jones was found guilty on April 10, 2019.
According to court documents, on May 23, 2018, Jones traveled to Jacksonville, Florida from Atlanta, Georgia, after agreeing to deliver 15 pounds of methamphetamine to a confidential informant. Jones arrived in Jacksonville where he was detained. A Jacksonville Sheriff’s Office canine performed a narcotics “sniff” of Jones’ vehicle and alerted to the presence of narcotics near the vehicle’s trunk. Agents then searched the vehicle and located six gallon-sized plastic bags containing methamphetamine that was concealed in comforter bags. Agents also located a stolen, loaded Ruger .38 caliber revolver in the driver’s side door and seized a total of $2,611 in U.S. currency.
This case was investigated by the Drug Enforcement Administration, along with the Putnam County Sheriff’s Office, and the Jacksonville Sheriff’s Office. It was prosecuted by Assistant United States Attorney Beatriz Gonzalez.
Gary Woman Ordered to Pay $195,602.09 in RestitutionRead the Press Release
HAMMOND-Felicia Blount, 44, of Gary, Indiana, was sentenced by U.S. District Court Judge Philip Simon following her plea of guilty to health care fraud, announced U.S. Attorney Kirsch.
Blount was sentenced to 12 months and a day in prison, 2 years of supervised release and ordered to pay 195,602.09 in restitution.
According to documents in the case, Felicia Blount owned and operated Lending Hand Transportation, a company that provided transportation for medical appointments and services. Blount and co-defendant Charlotte Hunter, a company secretary, defrauded Indiana Medicaid by submitting claims for multiple trips to Indianapolis without corresponding medical claims. The investigation revealed that the defendants submitted bills for trips not taken, inflated mileage, billed multiple-passenger trips as individual single-passenger trips, and altered travel documentation. The fraudulent claims submitted to Indiana Medicaid equaled $443,917 and Indiana taxpayers paid Blount and Hunter $195,602.09 for those false claims. Earlier this year, Hunter pleaded guilty to one count of health care fraud and was sentenced to two years supervised release and ordered to pay $195,602.09 in restitution.
“Defrauding the healthcare system steals from hard working tax payers while compromising the integrity of the system,” said U.S. Attorney Thomas L. Kirsch II. “We will continue to work with the Indiana Attorney General and all other federal, state and local agencies to aggressively prosecute these cases.”
“Indiana Medicaid serves more than one million Hoosiers across the state,” Attorney General Curtis Hill said. “Many of these individuals are children, the disabled, and the less fortunate among us. To commit Medicaid fraud is to take advantage of our most vulnerable while also defrauding hardworking Hoosier taxpayers. Our Medicaid Fraud Control Unit works diligently to pursue those who abuse the system and commit fraud against the state so that they may be brought to justice.”
This case was referred by the Indiana Family and Social Services Administration and investigated by the Indiana Attorney Generals Medicaid Fraud Control Unit along with the U.S. Department of Health and Human Service Office of Inspector General. This case was handled by Northern District of Indiana Assistant U.S. Attorney Diane Berkowitz.
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Fresno Man Sentenced to over 10 Years in Prison After Pulling Out a Gun While Fleeing from Police During a Drug Trafficking CrimeRead the Press Release
FRESNO, Calif. — Bert Harris, 38, of Fresno, was sentenced on Monday by U.S. District Judge Dale A. Drozd to 10 years and three months in prison for using or carrying a firearm during and in relation to a drug trafficking crime, being a felon in possession of a firearm, and possession of methamphetamine with intent to distribute, U.S. Attorney McGregor W. Scott announced.
According to court documents, on Dec. 6, 2017, law enforcement officers saw Harris conducting what appeared to be hand-to-hand drug deals outside an apartment complex in Fresno. When the officers tried to arrest Harris, he fled on a bicycle. Officers chased Harris as he rode away, and eventually Harris turned into a parking lot outside an apartment complex and jumped off his bike. He started running away as an officer gave chase. While Harris was running, he reached in his pocket and pulled out a gun. The officer shot Harris though his hip and Harris dropped the gun on the ground. Harris ran a short distance farther and fell to the ground.
Officers searched Harris and found methamphetamine in his pocket and marijuana in the backpack he was carrying. Harris admitted that he had been selling the methamphetamine and that he had the gun for protection.
This case was the product of an investigation by the Bureau of Alcohol, Tobacco and Firearms, and the Multi-Agency Gang Enforcement Consortium. Assistant U.S. Attorneys Ross Pearson and Melanie Alsworth prosecuted the case.
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.
Freight Transportation Company Agrees to Plead Guilty to Antitrust ChargeRead the Press Release
Dip Shipping Company LLC, a Louisiana-based freight forwarder, has agreed to plead guilty to an antitrust charge for its role in a conspiracy to fix prices of freight forwarding services sold to customers in the United States and elsewhere, the Department of Justice announced today. Under the terms of its plea agreement, Dip Shipping agreed to pay a $488,250 criminal fine.
According to a one-count felony charge filed today in the U.S. District Court for the Southern District of Florida in Miami, Dip Shipping conspired with other providers of freight forwarding services to fix, raise and maintain prices charged to customers from September 2010 until at least March 2015. According to court documents, Dip Shipping and its co-conspirators met in the United States and elsewhere to discuss and agree to fix prices. Freight forwarders arrange for and manage the shipment of goods, including receiving, packaging and otherwise preparing cargo destined for international ocean shipment. Dip Shipping is the first company to be charged and to agree to plead guilty in the Justice Department’s ongoing investigation in the freight forwarding industry. The plea agreement is subject to court approval.
As a result of this ongoing federal investigation, Dip Shipping executives Roberto Dip and Jason Handal earlier had pleaded guilty to price fixing. Dip and Handal were sentenced in June 2019 to 18-month and 15-month terms of imprisonment, respectively, for their roles in the conspiracy.
“Dip Shipping and its executives and co-conspirators sought to profit by cheating some of the most vulnerable American consumers,” said Assistant Attorney General Makan Delrahim of the Justice Department’s Antitrust Division. “The Sherman Act provides for prosecution of both individuals and the companies on whose behalf they act. Today’s charge is further proof that crime does not pay and that we will prosecute those who conspire to violate the antitrust laws to the fullest extent of the law.”
“The FBI remains committed to upholding the Constitution and protecting the American people,” said Acting Special Agent in Charge Anthony Riedlinger of the FBI New Orleans Field Office. “Throughout this investigation the men and women of the FBI, in conjunction with the Department of Justice’s Antitrust Division, were focused on holding accountable those who illegally profited from U.S. consumers. Let today’s plea serve as a stern warning to all companies seeking to defraud the American people, that price fixing will be aggressively investigated and prosecuted to the fullest extent of the law.”
A criminal violation of Section 1 of the Sherman Act carries a maximum fine of $100 million for corporations. The maximum fine may be increased to twice the gain derived from the crime or twice the loss suffered by the victims of the crime, if either of those amounts is greater than the statutory maximum fine.
The ongoing investigation into price fixing in the international freight forwarding industry is being conducted by the Antitrust Division’s Washington Criminal I Section and the FBI’s New Orleans Field Office. Anyone with information in connection with this investigation is urged to call the Antitrust Division’s Washington Criminal I Section at 202-307-6694, visit www.justice.gov/atr/contact/newcase.html or call the FBI tip line at 415-553-7400.
Former President of Radnor Township Board of Commissioners Sentenced for Trafficking in Child PornographyRead the Press Release
PHILADELPHIA – First Assistant United States Attorney Jennifer Arbittier Williams announced that defendant Philip Ahr, 68, of Radnor, Pennsylvania, was sentenced to 151 months’ incarceration and 10 years’ supervised release by United States District Court Judge Michael M. Baylson after pleading guilty to three counts of distribution, receipt and possession of child pornography. His sentence requires him to register as a sex offender under Megan’s Law.
The defendant, who created online aliases like “DaddyX” and “DaddyXX” to commit these crimes, was originally arrested by the Delaware County District Attorney’s Office Criminal Investigation Division, and then later by the Federal Bureau of Investigation as part of an online investigation into the sexual exploitation and trafficking of children.
For more than four years, the defendant communicated online with hundreds of other child offenders, distributing horrific images of children being sexually abused and collecting an extensive supply of the unlawful videos and images. He did so at all times of the day and night and from various locations and devices, including at his home, his place of employment, and using his government-issued iPad which he had received as President of the Board of Commissioners in Radnor Township. During the same time that he was committing these offenses, Ahr also involved himself in numerous community service activities that were geared toward and gave him access to children of the same age that he sexually exploited as part of his crimes.
“The defendant’s days of exploiting his position of trust in our community for his perverse gratification are over,” said First Assistant U.S. Attorney Williams. “Child sexual exploitation is appallingly pervasive, exacerbated by the easy availability of online file sharing, and it demands an aggressive response. We stand ready with our federal partners to identify and prosecute individuals that perpetuate this abuse.”
This case is part of Project Safe Childhood (PSC), a program bringing together all levels of law enforcement and the communities they serve to reduce the sexual exploitation and abuse of children. The case was investigated by the Federal Bureau of Investigation, the Delaware County District Attorney’s Office, and is being prosecuted by Assistant United States Attorney Michelle Rotella.
Former Detroit Police Officer Convicted of Conspiracy to Distribute DrugsRead the Press Release
A former Detroit Police Office was convicted today by a federal jury in Detroit on the charge of conspiracy to distribute controlled substances, U.S. Attorney Matthew Schneider announced today.
Joining Schneider in the announcement were Acting Special Agent in Charge Rainer S. Drolshagen of the Federal Bureau of Investigation’s Detroit Division, and Special Agent in Charge Keith Martin, Drug Enforcement Administration, Detroit Field Division.
The four-day trial was conducted before U.S. District Judge Sean Cox. The jury deliberated approximately one day before convicting Christopher Staton, 52.
According to the evidence presented at trial, Staton, a former officer with the Detroit Police Department, was part of a drug trafficking organization and conspired with Meltwaine Dukes and Sedrick Jackson, both known drug dealers, to distribute and to possess with the intent to distribute controlled substances, including cocaine and fentanyl. Staton used his position as a police officer to assist the drug trafficking organization by running license plates and providing other sensitive law enforcement information. For instance, after a law enforcement officer stopped one of the organization’s drug couriers who was trying to deliver almost one kilogram of fentanyl, Staton provided advice to Dukes about how to handle the situation, and also agreed to find out if the courier was actually arrested. On another occasion, Staton, at the request of Dukes, conducted a staged traffic stop of Jackson, who was transporting drugs or drug proceeds, in order to fool their drug supplier to think that police had taken the drugs / money. Staton was in a police vehicle and armed with a firearm at the time of the stop. Staton was paid $20,000 in cash for performing the staged traffic stop and fake arrest. In addition to using his position as a police officer to assist Dukes and Jackson in running the drug business, Staton was also a drug customer—purchasing drugs from Dukes for re-sale.
“Although the vast majority of police officers in Michigan are fully dedicated to protecting the public, sometimes there is an infrequent example of an officer driven by corruption and greed,” stated United States Attorney Matthew Schneider. “Here, instead of protecting and serving the public, Staton acted at the behest of the drug dealers peddling fentanyl. Nonetheless, former Officer Staton’s actions, while egregious, do not overshadow the outstanding work of so many other great police officers.”
“Christopher Staton turned his back on his oath to serve and protect the citizens of Detroit. He used his position to make it easier for drug traffickers to push controlled substances into our community and now faces justice for his greed,” stated DEA Special Agent in Charge Martin. “I applaud our law enforcement partners and the U.S. Attorney’s Office of Eastern Michigan for their efforts in this investigation.”
“This former officer took illegal advantage of his law enforcement position,” Acting Special Agent in Charge Drolshagen said. “His conviction is a reminder that the laws apply evenly to every Michigan resident, including those who carry badges to uphold them. I extend thanks to our partners at the Drug Enforcement Administration and the Detroit Police Department’s Office of Internal Affairs for their collaboration in removing this individual from his position of authority.”
The case was investigated by the by the FBI Detroit Area Public Corruption Task Force, in collaboration with the Detroit Police Department’s Office of Internal Affairs and the Drug Enforcement Administration. The case is being prosecuted by Assistant U.S. Attorneys Steven Cares and Mitra Jafary-Hariri.
Eastern Panhandle man indicted on heroin, cocaine, and fentanyl distribution chargesRead the Press Release
MARTINSBURG, WEST VIRGINIA –Karl Justin Dunn, III, of Kearneysville, West Virginia, was indicted today on multiple drug charges, United States Attorney Bill Powell announced.
Dunn, age 32, was indicted one count of “Distribution of Cocaine Base,” one count of “Distribution of Fentanyl,” six counts of “Distribution of Heroin,” two counts of “Distribution of Heroin and Fentanyl,” and one count of “Possession with Intent to Distribute Heroin.” Dunn is accused of distributing cocaine base, heroin, and fentanyl from May 2018 to February 2019 in Berkeley County.
Dunn faces up to 20 years incarceration and a fine of up to $1,000,000 for each count. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
These charges are the result of investigations supported by the Organized Crime Drug Enforcement Task Force (OCDETF) under the Attorney General-led Synthetic Opioid Surge (SOS)/Special Operations Division (SOD) Project Clean Sweep. This initiative seeks to reduce the supply of synthetic opioids in “hot spot” areas previously identified by the Attorney General of the United States, thereby reducing drug overdoses and drug overdose deaths, and identify wholesale distribution networks and sources of supply operating nationally and internationally.
Special Assistant U.S. Attorney C. Lydia Lehman, also with the Berkeley County Prosecuting Attorney’s Office, is prosecuting the case on behalf of the government. The Eastern Panhandle Drug & Violent Crimes Task Force, a HIDTA-funded initiative, investigated.
The investigation was funded by the federal Organized Crime Drug Enforcement Task Force Program (OCDETF). The OCDETF program supplies critical federal funding and coordination that allows federal and state agencies to work together to successfully identify, investigate, and prosecute major interstate and international drug trafficking organizations and other criminal enterprises.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
Drug Dealer Pleads Guilty in Fentanyl Overdose DeathRead the Press Release
Assistant U. S. Attorneys Mark Conover (619) 546-6763 and David P. Finn (619) 546-7342
NEWS RELEASE SUMMARY – September 17, 2019
SAN DIEGO – Uriah Odish pleaded guilty in federal court today, admitting that he supplied fentanyl that led to the fatal overdose of 25-year-old Tiffany Hansen of La Mesa on January 23, 2018.
According to his plea agreement, Odish sold more than 500 grams of what he knew to be fentanyl between 2017 and the day of the fatal overdose. He pleaded guilty before U.S. Magistrate Judge Karen Crawford to Conspiracy to Distribute Fentanyl and is scheduled to be sentenced on December 17, 2019 by U.S. District Judge Barry Ted Moskowitz.
“Every time we have an overdose death, we are going to come looking for the dealer,” said U.S. Attorney Robert Brewer. “We are using every available criminal and civil tool to combat this deadly epidemic and stop these tragic losses.”
“We work every day to save lives and we grieve when we lose a precious soul to drugs,” said DEA Special Agent in Charge Karen Flowers. “We will continue to pursue anyone who deals death. Is that you? If so, we are coming and your time will soon be spent behind bars. We are relentless.”
The United States Attorney’s Office is working closely with the San Diego County District Attorney’s Office, the San Diego County Sheriff’s Office, the Drug Enforcement Administration and our other federal, state and local law enforcement partners to investigate and prosecute cases targeting those who supply drugs in fatal overdose cases.
U.S. Attorney Brewer praised prosecutors Mark Conover and David Finn as well as DEA agents and La Mesa police for their hard work on the case.
For those who suffer from addiction, please know there is help. Call the Crisis line at 888-724-7240; it’s always open.
DEFENDANT Case Number 18-CR-1812-BTM
Uriah Odish Age: 28
SUMMARY OF CHARGES
Conspiracy to Distribute Fentanyl – Title 21, U.S.C., Section 841(a)(1)
Maximum penalty: Mandatory minimum 10 years in prison up to life
AGENCY
La Mesa Police Department
U.S. Drug Enforcement Administration, Narcotics Task Force
Dominican National Sentenced for Social Security FraudRead the Press Release
BOSTON – A Dominican national residing in Salem was sentenced yesterday in federal court in Boston for Social Security fraud.
Romulo Alvarez Reyes, 36, was sentenced by U.S. District Court Judge Richard G. Stearns to 12 months and one day in prison. Alvarez Reyes will face deportation proceedings upon completion of his sentence. Alvarez Reyes previously pleaded guilty to one count of false representation of a Social Security number. He was arrested and charged as part of a 2018 federal law enforcement sweep of 25 individuals accused of document and benefit fraud.
Dubbed “Double Trouble,” the July 2018 investigation was conducted by Homeland Security Investigation’s Document and Benefit Fraud Task Force (DBFTF), comprised of local, state and federal agencies with expertise in detecting, deterring and disrupting organizations and individuals involved in various types of document, identity and benefit fraud schemes.
On Nov. 19, 2014, Alvarez Reyes, a citizen of the Dominican Republic, applied for a Massachusetts identification card using the name and Social Security number of a Puerto Rican citizen. He presented a Puerto Rican birth certificate and a Social Security card in the other person’s name to the Massachusetts Registry of Motor Vehicles as proof of his identity. Based on the application and supporting identity documents, Alvarez Reyes was issued an identification card in the name of the Puerto Rican citizen.
United States Attorney Andrew E. Lelling; Jason Molina, Special Agent in Charge of Homeland Security Investigations in Boston; Phillip Coyne, Special Agent in Charge of the U.S. Department of Health and Human Services, Office of the Inspector General; Scott Antolik, Special Agent in Charge of the Social Security Administration, Office of Inspector General, Office of Investigations, Boston Field Division; Christina Scaringi, Special Agent in Charge of the U.S. Department of Housing and Urban Development, Office of Inspector General, Northeast Regional Office; Michael Mikulka, Special Agent in Charge of the U.S. Department of Labor, Office of Inspector General, Office of Investigations; William B. Gannon, Special Agent in Charge of the U.S. Department of State, Diplomatic Security Service, Boston Field Office; Joseph W. Cronin, Inspector in Charge of the U.S. Postal Inspection Service; Colonel Kerry A. Gilpin, Superintendent of the Massachusetts State Police; and Massachusetts State Auditor Suzanne M. Bump made the announcement. Special Assistant U.S. Attorney Karen Burzycki of Lelling’s Major Crimes Unit prosecuted the case.
Doctor and Physician Practice to Pay $178,000 to Resolve False Claims Act Liability Arising from Billing of “P-Stim” DevicesRead the Press Release
PHILADELPHIA, PA – First Assistant U.S. Attorney Jennifer Arbittier Williams announced that Richard P. Frey, D.O., and Physicians Alliance Ltd. (“PAL”) have agreed to pay $178,398.35 to resolve liability under the False Claims Act for the alleged improper billing of “P-Stim” devices.
From May 2013 through June 2014, Frey and PAL billed Medicare for the implantation of neurostimulator electrodes, a surgical procedure typically necessitating an operating room for which Medicare reimburses thousands of dollars. Frey did not conduct surgery, however. Instead, he applied a “P-Stim” device in an office setting without surgery or anesthesia.
P-Stim is an electric acupuncture device that, pursuant to manufacturer’s instructions, is affixed behind a patient’s ear using an adhesive. Needles are inserted into the patient’s ear and affixed using another adhesive. Once activated, the device then provides intermittent stimulation by electrical pulses. It is a single-use, battery-powered device designed to be worn for approximately four days until its battery runs out, at which time the device is thrown away. Medicare does not reimburse for acupuncture or for acupuncture devices such as P-Stim, nor does Medicare reimburse for P-Stim as a neurostimulator or as implantation of neurostimulator electrodes. Other brand names for this device include Stivax, NeuroStim, ANSiStim, E-Pulse, and NSS-2 Bridge.
“P-Stim is an acupuncture device that was billed here as a surgically implanted neurostimulator,” said First Assistant U.S. Attorney Williams. “Medicare does not reimburse a dime for acupuncture devices, but it paid these defendants thousands of dollars because of their alleged improper billing. We appreciate Dr. Frey and PAL’s willingness to promptly negotiate a resolution in this matter, and we will continue working closely with our partners at CMS’s Center for Program Integrity, the Department of Health and Human Services Office of the Inspector General, and sister U.S. Attorney’s Offices around the country to hold accountable any other providers who inappropriately billed for this device and any distributors or marketers who carried out such a billing scheme.”
“Every dollar saved is critical to the sustainability of our Medicare program and the needs of our beneficiaries,” said Centers for Medicare and Medicaid Services Administrator Seema Verma. “We thank our partners at the Department of Justice and Department of Health and Human Services Office of Inspector General for working hard with us to identify, investigate, and eliminate waste, fraud and abuse in our federal healthcare programs.”
“Accurately billing for services provided to Medicare beneficiaries is required of all health care providers,” said Maureen R. Dixon, Special Agent in Charge for the U.S. Department of Health and Human Services, Office of the Inspector General. “HHS-OIG, CMS’s Center for Program Integrity, and the U.S. Attorney’s Office will continue to evaluate and pursue inaccurate billings of P-Stim and similar devices.”
The settled civil claims are allegations only. There has been no determination of civil liability. This case was investigated by the U.S. Department of Health and Human Services Office of the Inspector General. It was handled by Assistant U.S. Attorney Matthew E. K. Howatt, Civil Chief Gregory B. David, and Auditor Dawn Wiggins.
Doctor Charged in Manhattan Federal Court for Illegal Distribution of Oxycodone PillsRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, William F. Sweeney Jr., the Assistant Director-in-Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), and James P. O’Neill, the Commissioner of the New York City Police Department (“NYPD”), announced the unsealing of an indictment charging RUVIM KRUPKIN, a New York state-licensed doctor, with writing medically unnecessary prescriptions for oxycodone over at least an 11-year period. KRUPKIN is expected to be presented before U.S. Magistrate Judge Ona T. Wang later today. The case has been assigned to United States District Judge Analisa Torres.
Manhattan U.S. Attorney Geoffrey S. Berman said: “As alleged, for more than a decade, as the nationwide opioid crisis mushroomed and left death and destruction in its wake, Ruvim Krupkin wrote thousands of medically unnecessary prescriptions for oxycodone. He allegedly charged $200 per prescription. Now he will learn the true cost of his alleged crime.”
FBI Assistant Director William F. Sweeney said: “While society continues to grapple with a solution to end the plague of drug addiction throughout this country, Ruvim Krupkin, as alleged, was complicit in prescribing medically unnecessary doses of oxycodone pills to patients under his care. Those with access to a now-virtual prescription pad carry a heavy responsibility to uphold the ethics of their profession. Those who don’t will be held accountable.”
NYPD Commissioner James P. O’Neill said: “As alleged, the doctor who’s charged in this case not only broke the law, he betrayed his oath and his ethical obligations for millions in personal profit – and he did this at a time when the nation and our city was in the throes of an opioid epidemic. I want to thank the investigators who worked to bring federal charges in this case. Whether you purport to be a medical professional or you’re a street-level drug dealer, the NYPD and its law enforcement partners will find you and hold you accountable.”
According to the allegations in the Indictment unsealed today in federal court:[1]
From in or about 2006 up to and including July 2017, RUVIM KRUPKIN wrote prescriptions resulting in the unlawful distribution of more than four million oxycodone pills to individuals he knew had no legitimate medical need for this medication. In exchange for writing these medically unnecessary oxycodone prescriptions, KRUPKIN received over $3.8 million in cash payments.
During the time period charged in the Indictment, KRUPKIN was an internal medicine doctor with specialties in oncology and hematology. KRUPKIN practiced out of a medical office located in Coney Island, New York. As a hematologist, KRUPKIN treated patients who had, or claimed to have, sickle cell anemia – a medical condition that can cause pain for which oxycodone, in conjunction with other treatments – may be legitimately prescribed. However, KRUPKIN wrote thousands of prescriptions for large quantities of oxycodone to patients, knowing that they in fact had no legitimate medical need for the prescriptions. KRUPKIN generally performed little to no physical examination on these patients; indeed, the medical notes for each patient were largely the same from one visit to the next. KRUPKIN charged each patient $200 in cash for each visit, payable directly to him.
Notwithstanding having performed little to no physical examination of the patients, KRUPKIN typically issued them prescriptions for a large dose of oxycodone – typically 180 80-milligram pills, until approximately 2010, when the formula for oxycodone changed, reducing the street value of the 80-milligram pills. At that time, KRUPKIN began prescribing 180 or 240 30-milligram pills. KRUPKIN’s patients filled their prescriptions at pharmacies throughout New York, and in certain cases, sold the oxycodone pills they received to drug dealers, who in turn re-sold the pills at high value on the street. KRUPKIN knew that certain of his patients were diverting the oxycodone pills he was prescribing, but he nonetheless continued writing prescriptions of oxycodone for such individuals.
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KRUPKIN, 68, of Summit, New Jersey, is charged with one count of participating in a conspiracy to distribute narcotics, which carries a maximum sentence of 20 years in prison. The maximum potential penalty is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendant would be determined by the judge.
Mr. Berman praised the outstanding investigative work of the FBI-NYPD Health Care Fraud Task Force. Mr. Berman also thanked the New York City Human Resources Administration for its work on the investigation.
This case is being handled by the Office’s Narcotics Unit. Assistant United States Attorneys Tara M. La Morte and Alexandra Rothman are in charge of the prosecution.
The charges contained in the Indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Indictment and the description of the Indictment set forth below constitute only allegations, and every fact described should be treated as an allegation.