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6 September 2019
Lexington Man Gets 10 Years in Federal Prison on Firearm and Drug ChargesRead the Press Release
Columbia, South Carolina -- United States Attorney Sherri A. Lydon announced today that Gabrielle Chase Watts, age 35, of Lexington, was sentenced to 10 years in federal prison after pleading guilty to being a felon in possession of a firearm and ammunition, two counts of possession with intent to distribute methamphetamine, and distribution of methamphetamine. Senior United States District Judge Cameron McGowan Currie of Columbia imposed the sentence. After 10 years, Watts will remain under court-ordered supervision for an additional 6 years. There is no parole in the federal system.
Evidence presented in court established that on June 4, 2018, deputies with the Lexington County Sheriff’s Department used a confidential informant to purchase approximately .38 grams of methamphetamine from Watts. Additional evidence established that on June 11, 2018, officers with the West Columbia Police Department were patrolling McSwain Drive in West Columbia in reference to ongoing complaints of criminal activity. Officers received information that Watts was selling drugs from a hotel in the area. They made contact with Watts as he was knocking on the door of room 111 of the hotel, and Watts advised he was trying to make contact with the person in room 111 because he heard the person was trying to sell televisions. Officers could see a knife clipped on Watts’ pants and seized it for the duration of the contact. When Officers asked Watts if he had anything else on his person, Watts turned his right side away from them, which was consistent with someone trying to conceal something. Officers conducted a pat-down and asked Watts what else he had on him, and Watts said he had a gun in his pocket. Officers retrieved a loaded .32 Charter Arms revolver from Watts’ right front pocket as well as a baggie of approximately 5.5 grams methamphetamine and a digital scale with residue consistent with methamphetamine. Additionally, on July 19, 2018, Lexington County Sheriff’s deputies received information that Watts, who had unserved warrants from Richland County, was staying at a hotel in West Columbia. Deputies located Watts and found approximately 13 grams of methamphetamine in his hotel room.
Federal law prohibits Watts from possessing firearms and ammunition based upon multiple prior state convictions: a 2006 criminal conspiracy, a 2008 criminal domestic violence of a high and aggravated nature, a 2009 strong arm robbery and criminal conspiracy, and a 2016 possession of methamphetamine.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the West Columbia Police Department, and the Lexington County Sheriff’s Department. It was prosecuted as part of the joint federal, state, and local 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. Special Assistant United States Attorney Casey Rankin Smith of the 11th Circuit Solicitor’s Office prosecuted the case.
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Knoxville Man Indicted for Cocaine Conspiracy ChargeRead the Press Release
Knoxville, Tenn. – On September 4, 2019, a federal grand jury in Knoxville returned a single count indictment against the following individual alleging a conspiracy to possess with the intent to distribute crack cocaine:
Mahlon Tyron Prater, 22, of Knoxville, Tennessee
The case is set in front of Chief United States District Judge Pamela L. Reeves. If convicted of the cocaine distribution conspiracy charge, Prater faces up to 20 years in prison, at least 3 years of supervised release, a fine of up to $1,000,000, criminal forfeiture, and a $100 special assessment.
FBI Agents and Knoxville Police Officers are looking for Prater. Prater goes by the street name “Moe.” Prater stands 5’ 10” inches and weighs 165 pounds. He is known to carry firearms. Anyone with information on his whereabouts is asked to contact the FBI’s Knoxville Field Office at (865) 544-0751 or the Knoxville Police Department at (865) 215-7212.
Members of the public are reminded that an indictment constitutes only charges and that Prater is presumed innocent until his guilt has been proven beyond a reasonable doubt.
This case was investigated by the FBI Safe Streets and High Intensity Drug Trafficking Area (HIDTA) Task Forces. These task forces are comprised of police officers from the Knoxville and Kingston Police Departments, Sheriff’s Deputies from the Knox, Blount, Sevier, Roane and Loudoun County Sheriff’s Offices and prosecutors from the District Attorney General’s Offices and the United States Attorney’s Office for the Eastern District of Tennessee. These task forces are resource multipliers for crime-fighting efforts in East Tennessee, leveraging law enforcement resources to fight the most violent criminals in the area. Assistant United States Attorney Kevin Quencer will represent the United States.
The investigation is a result of the Department of Justice’s Organized Crime and Drug Enforcement Task Force (OCDETF) program, the centerpiece of the Department of Justice’s drug supply reduction strategy. OCDETF was established in 1982 to conduct comprehensive, multi-level attacks on major drug trafficking and money laundering organizations. Today, OCDETF combines the resources and expertise of its member federal agencies in cooperation with state and local law enforcement. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking and money laundering organizations and those primarily responsible for the nation’s drug supply.
Kewaunee Man Sentenced for Child Pornography DistributionRead the Press Release
United States Attorney Matthew D. Krueger of the Eastern District of Wisconsin, announced that on September 4, 2019, Kyle D. Sanderson (age: 19) of Kewaunee, Wisconsin, was sentenced to 60 months in federal prison by Chief District Judge William C. Griesbach.
In April of 2018, the Department of Homeland Security was notified by a Canadian-based social media company that an individual known online as “Rp.Destiny” was sending pornographic images and videos of children to another user. Based on that information local law enforcement sought a search warrant and were able to identify “Rp.Destiny” as Kyle D. Sanderson.
Further investigation revealed that Sanderson exchanged passcodes with another individual online. These passcodes allowed them to access each other’s child pornography libraries utilizing a cloud storage application based in New Zealand. In total, investigators located approximately 4,400 images or videos depicting pornography on Sanderson’s smart phone, many involving the abuse of toddlers and infants.
At sentencing, Chief Judge Griesbach noted the serious nature of the crime and the need to send a message of deterrence to both Sanderson and the community. Chief Judge Griesbach also ordered Sanderson to spend 5 years on supervised release after his discharge from federal prison. Sanderson also will have to register as a sex offender.
This case was investigated by the Department of Homeland Security, Homeland Security Investigations, and the Wisconsin Department of Justice, Division of Criminal Investigations, with the assistance of the Kewaunee County Sheriff’s Office and the City of Kewaunee Police Department. It was prosecuted by Assistant United States Attorney Daniel R. Humble.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006, by the U.S. Department of Justice. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
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Kentucky and Tennessee Residents Indicted on Federal Kidnapping ChargeRead the Press Release
Lexington, Ky. – A federal grand jury sitting in London has indicted Douglas M. Edmonson, 36, of Corbin, Kentucky; Dallas Anna Chain Perkins, 25, of Jellico, Tennessee; Bryanna Soper, 25, of Corbin, Kentucky; and Erik Peace, 32, of Corbin, Kentucky for kidnapping.
The charge stems from a yearlong investigation by the ATF, the Kentucky State Police, and the Williamsburg Police Department. According to the indictment, the defendants kidnapped Victim 1 on August 10, 2018, for the purpose of assaulting Victim 1. The defendants used a Facebook account to lure Victim 1 to a prearranged meeting place. The indictment further alleges that the defendants transported Victim 1 across state lines during the course of the kidnapping. Pursuant to the indictment, Victim 1 was held against her will into August 11, 2018.
If convicted the defendants face up to life in prison. Soper had her initial appearance on September 4, 2019. Edmonson, Perkins, and Peace will have initial appearances scheduled.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Stuart Lowrey, Special Agent in Charge ATF; Kentucky States Police Commissioner Richard Sanders; and Chief Wayne Bird, Williamsburg Police Department, jointly made the announcement.
The investigation was conducted by the ATF London Office, the Kentucky State Police, and Williamsburg Police Department. The United States is represented by Assistant United States Attorney Jenna E. Reed.
An indictment by a grand jury is an accusation only, and individuals charged in an indictment are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Jury Finds North Dakota Man Guilty of Child Sexual Abuse and Aggravated IncestRead the Press Release
United States Attorney Ron Parsons announced that Ronnie White Mountain, age 51, of Mandan, North Dakota, was found guilty of Aggravated Sexual Abuse of a Child and Aggravated Incest as a result of a three-day federal jury trial in Aberdeen, South Dakota.
The charges carry a mandatory minimum of 30 years, up to life, in federal prison and/or a $250,000 fine, up to life of supervised release, and a $200 special assessment to the Federal Crime Victims Fund. Restitution may also be ordered.
White Mountain was indicted by a federal grand jury on June 11, 2019.
Between January 2010 and December 2012, White Mountain traveled periodically from his home in Morris, Minnesota, to McLaughlin, South Dakota, along with his daughter, to stay with family on the Standing Rock Indian Reservation. After a night of drinking on one of the trips, White Mountain came back to the home and sexually assaulted his daughter.
This case was investigated by the Federal Bureau of Investigation and the Stevens County Minnesota Sheriff’s Department. Assistant U.S. Attorneys Kirsten E. Jasper and Troy R. Morley prosecuted the case.
A presentence investigation was ordered and a sentencing date has not been set. The defendant was remanded to the custody of the U.S. Marshals Service.
Jury Finds Former HUD Employee Guilty of Fraud and Identity TheftRead the Press Release
HONOLULU – A federal jury today found Chun Mei Tong, also known as Mei Tong, 43, of Honolulu, guilty of five counts of wire fraud and three counts of aggravated identity theft for her scheme to use an alias and forge signatures to rent out properties under the U.S. Department of Housing and Urban Development ("HUD") Housing Choice Voucher Program (also known as the "Section 8 Program") while she was also a HUD employee involved in overseeing the Section 8 program. The verdict followed a seven-day trial before Chief District Judge J. Michael Seabright. Sentencing is scheduled for December 16, 2019.
Kenji M. Price, United States Attorney, said that the Section 8 program is HUD’s major program for assisting low-income families, the elderly, and the disabled to afford housing in the private rental market in the local community. Participants can choose any housing that meets the requirements of the program. The Section 8 program is administered locally by public housing authorities. A housing subsidy that may cover the full rent depending on the income of the participant is paid to the landlord directly by the public housing authority on behalf of the participating family.
According to the information presented during trial, from 2014 to 2019, Tong directed funds to her company for five Section 8 rentals located on Oahu. Tong received approximately $207,000 from HUD as part of her scheme. Tong created the alias, "Debbie Kim," to act as a property manager and landlord for five properties that she rented to Section 8 voucher holders. Posing as "Debbie Kim," Tong submitted documentation to the local public housing authorities for rental approval and payments of HUD funds. Tong covered up her ownership of two of the properties and also forged the signatures of the owners of three of the properties to ensure that all of the HUD funds paid to the landlord went directly to her company’s bank account.
Information produced in court also disclosed that Tong became a HUD employee in 2005 and worked in the Honolulu Field Office until her resignation in November 2015. As a HUD employee, Tong was prohibited from participating in the Section 8 program. Tong was also prohibited from engaging in the business of real estate. Tong never disclosed her involvement in multiple real estate companies or aliases she used in connection with those companies to anyone she worked with at the local public housing authorities or HUD.
Tong will face a mandatory term of two years in prison for aggravated identity theft and up to twenty years in prison for each count of wire fraud.
The investigation was led by HUD’s Office of Inspector General. Assistant U.S. Attorneys Rebecca A. Perlmutter and Morgan Early handled the prosecution.
Jury Finds Eagle Butte Man Guilty of Abusive Sexual Contact of a ChildRead the Press Release
United States Attorney Ron Parsons announced that Lawrence Oakie, age 38, of Eagle Butte, South Dakota, was found guilty of three counts of Abusive Sexual Contact of a Child, as a result of a three-day federal jury trial in Pierre, South Dakota.
The charges each carry a maximum penalty of up to life in federal prison and/or a $250,000 fine, up to life of supervised release, and a $100 special assessment to the Federal Crime Victims Fund. Restitution may also be ordered.
Oakie was indicted by a federal grand jury on May 13, 2018.
On September 2, 2017, Oakie was at a house party in Eagle Butte, South Dakota, with several individuals, along with two minor children who lived in the home. During the night, one of the minor children got up to use restroom and when she came back to the room, Oakie was in the bedroom sitting next to the other minor child and was touching the child in an inappropriate and sexual manner.
This case was investigated by the Cheyenne River Sioux Tribe Law Enforcement Services, and the Federal Bureau of Investigation. Assistant U.S. Attorney Jay Miller prosecuted the case.
A presentence investigation was ordered and a sentencing date was set for November 25, 2019. The defendant was remanded to the custody of the U.S. Marshals Service.
Investment Adviser Sentenced to 70 Months in Prison for Stealing Millions of Dollars from ClientsRead the Press Release
NEWARK, N.J. – A former broker and investment adviser was sentenced today to 70 months in prison for stealing millions of dollars from his clients in order to pay for personal expenses, U.S. Attorney Craig Carpenito announced.
Gary Basralian, 72, of Springfield, New Jersey, previously pleaded guilty before U.S. District Judge Madeline Cox Arleo to an information charging him with one count of wire fraud and one count of investment adviser fraud. Judge Arleo imposed the sentence today in Newark federal court.
According to documents filed in the case and statements made in court:
Basralian was a registered broker who provided investment advisory services to clients and received compensation for advising them about investing in, purchasing, or selling securities. From 1989 until December 2017, he was registered with the Financial Industry Regulatory Authority (FINRA), or its predecessors, as working at “Securities Firm A,” a registered investment adviser and broker-dealer with its principal place of business in Jersey City, New Jersey. Securities Firm A provided a broker-dealer platform for more than 2,000 independent financial advisers across the United States.
From July 2007 through November 2017, Basralian defrauded his clients by falsely telling them that he would invest their money in securities and other investments when, in fact, he misappropriated those funds and used them for his own personal expenditures – including payments on a BMW automobile and tens of thousands of dollars in credit card bills.
In one instance Basralian wired money from at least one victim client’s investment account at Securities Firm A to various accounts that he controlled and used the proceeds for his own benefit. When the victim asked why the account had diminished in value, Basralian sent the victim a phony spreadsheet showing that the money was being invested as loans to various companies and would be paid back with interest. Basralian admitted stealing at least $2 million.
In addition to the prison term, Judge Arleo sentenced Basralian to three years of supervised release.
On May 22, 2018, the N.J. Bureau of Securities in the Office of the N.J. Attorney General issued a summary revocation order against Basralian that revoked his agent and investment adviser representative registrations.
U.S. Attorney Carpenito credited postal inspectors of the U.S. Postal Inspection Service, under the direction of Inspector in Charge James Buthorn, and special agents of the FBI, under the direction of Special Agent in Charge Gregory W. Ehrie in Newark, with the investigation leading to today’s sentencing. He also thanked the N.J. Bureau of Securities, under the direction of Bureau Chief Christopher Gerold, for its assistance.
The government is represented by Assistant U.S. Attorney Courtney A. Howard of the U.S. Attorney’s Office’s Economic Crimes Unit.
Indiana Man Sentenced to 120 Months in Prison for String of Twin Cities Drugstore RobberiesRead the Press Release
United States Attorney Erica H. MacDonald today announced the sentencing of MICHAEL IMAN WHITE, 20, to 120 months in prison for the robbery and attempted robbery of multiple Walgreens pharmacies. WHITE and his codefendant JAVONN T. LEWIS, 24, were charged in a superseding indictment on November 20, 2019. WHITE, who pleaded guilty on March 7, 2019, was sentenced today before Senior Judge Donovan W. Frank in U.S. District Court in St. Paul, Minnesota. LEWIS, who pleaded guilty on May 22, 2019, is scheduled to be sentenced on October 3, 2019.
According to the defendant’s guilty plea and documents filed in court, during a four-month period, between April and July of 2018, WHITE used force, violence, and fear of injury to rob or attempt to rob five Walgreens Pharmacies in St. Paul and Edina, Minnesota. WHITE terrorized numerous store employees by pointing actual or replica firearms at them and sometimes restraining them with zip ties. In total, WHITE and his accomplices stole more than $75,000 worth of narcotics and other controlled substances.
The Hobbs Act, passed by Congress in 1946, allows federal prosecutors to prosecute individuals who commit armed robberies of businesses engaged in interstate commerce. If convicted, WHITE faces a potential maximum penalty of 20 years in prison on each count.
This case was the result of an investigation conducted by the FBI, the Edina Police Department, the Saint Paul Police Department, and the Bloomington Police Department. This case is part of Project Safe Neighborhoods, an initiative that brings together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone.
Assistant U.S. Attorney Jeffrey S. Paulsen is prosecuting the case.
Defendant Information:
MICHAEL IMAN WHITE, 20
Muncie, Ind.
Convicted:
- Interference with commerce by robbery (Hobbs Act), 1 count
Sentenced:
- 120 months in prison
- Three years of supervised release
- $84,740 in restitution
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United States Attorney’s Office, District of Minnesota: (612) 664-5600
Houston Attorney Convicted of Offshore Tax Evasion SchemeRead the Press Release
A Houston, Texas, attorney was convicted today of one count of conspiracy to defraud the United States and three counts of tax evasion, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Department of Justice’s Tax Division and U.S. Attorney Ryan K. Patrick for the Southern District of Texas.
According to the evidence presented at trial, Jack Stephen Pursley, also known as Steve Pursley, conspired with a former client to repatriate more than $18 million in untaxed income that the client had earned through his company, Southeastern Shipping. Knowing that his client had never paid taxes on these funds, Pursley designed and implemented a scheme whereby the untaxed funds were transferred from Southeastern Shipping’s business bank account, located in the Isle of Man, to the United States. Pursley helped to conceal the movement of funds from the Internal Revenue Service (IRS) by disguising the transfers as stock purchases in United States corporations owned and controlled by Pursley and his client.
At trial, the government proved that Pursley received more than $4.8 million and a 25% ownership interest in the co-conspirator’s ongoing business for his role in the fraudulent scheme. For tax years 2009 and 2010, Pursley evaded the assessment of and failed to pay the income taxes he owed on these payments by, among other means, withdrawing the funds as purported non-taxable loans and returns of capital. The government showed at trial that Pursley used the money he garnered from the fraudulent scheme for personal investments, and to purchase assets for himself, including a vacation home in Vail, Colorado and property in Houston, Texas.
Judge Lynn Hughes has set sentencing for Dec. 9. Pursley faces a statutory maximum sentence of five years in prison for the conspiracy count, and five years in prison for each count of tax evasion. He also faces a period of supervised release, monetary penalties, and restitution.
Principal Deputy Assistant Attorney General Zuckerman and U.S. Attorney Patrick commended special agents of IRS-Criminal Investigation, who investigated the case, and Trial Attorneys Sean Beaty, Grace Albinson, and Jack Morgan of the Tax Division, who prosecuted this case.
Additional information about the Tax Division’s enforcement efforts can be found on the division’s website.
Honduran National Pleads Guilty to Illegal Re-entryRead the Press Release
NEW ORLEANS – U.S. Attorney Peter G. Strasser announced that PEDRO MANOLO ARAGON-HERNANDEZ, age 39, a citizen of Honduras, pled guilty on September 4, 2019 to a one-count bill of information with illegal reentry of a removed alien, in violation of 8 U.S.C. ' 1326. ARAGON-HERNANDEZ was immediately sentenced following the guilty plea.
According to the bill of information, ARAGON-HERNANDEZ reentered the United States after having been previously removed therefrom on or about December 20, 2001.
ARAGON-HERNANDEZ faced a maximum term of imprisonment of two years, a fine of up to $250,000.00, one year supervised release after imprisonment, and a $100 special assessment.
ARAGON-HERNANDEZ was sentenced to time served and a $100.00 special assessment.
U.S. Attorney Strasser praised the work of the United States Border Patrol, Customs and Border Protection in investigating this matter. Assistant United States Attorney Irene González is in charge of the prosecution.
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Hobart Man Sentenced to 84 Months in PrisonRead the Press Release
HAMMOND- Carlos Rodriguez, 42, of Hobart, Indiana, was sentenced before District Court Judge Philip P. Simon, on September 5, 2019, following his plea of guilty to possessing with intent to distribute controlled substances within 1000 feet of a school and possessing a firearm in furtherance of a drug crime announced U.S. Attorney Kirsch.
Rodriguez received a sentence of 84 months in prison followed by 6 years of supervised release.
According to documents filed in this case, on December 4, 2018, Law Enforcement executed a search warrant on Rodriguez’s residence in Hobart, Indiana and recovered cocaine, heroin and drug paraphernalia within the home and vehicles on the property. The residence was within 1000 feet of a functioning school. Also on the property were firearms that Rodriguez possessed in furtherance of his drug crime.
This case was investigated by the Federal Bureau of Investigation with the assistance of the Hobart Police Department and was prosecuted by Assistant United States Attorney Thomas M. McGrath.
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High-Ranking Member of ‘Nine Trey Gangsta Bloods’ Sentenced to 15 Years in Prison in Connection with Manhattan Armed Robbery and Brooklyn ShootingRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced today that KIFANO JORDAN, a/k/a “Shotti,” was sentenced to 15 years in prison in connection with a robbery and a non-fatal shooting carried out as part of his participation in the Nine Trey Gangsta Bloods (“Nine Trey”). JORDAN pled guilty on March 28, 2019, before U.S. District Judge Paul A. Engelmayer, who imposed today’s sentence.
As alleged in the underlying Indictment and statements made in open court:
Nine Trey was a criminal enterprise involved in committing numerous acts of violence, including shootings, robberies, and assaults in and around Manhattan and Brooklyn. Members and associates of Nine Trey engaged in violence to retaliate against rival gangs, to promote the standing and reputation of Nine Trey, and to protect the gang’s narcotics business. Members and associates of Nine Trey enriched themselves by committing robberies and selling drugs, such as heroin, fentanyl, furanly fentanyl, MDMA, dibutylone, and marijuana.
JORDAN, a member of Nine Trey, pled guilty to one count of using and possessing a firearm in furtherance of a crime of violence, for an assault with a dangerous weapon that occurred in Manhattan on April 3, 2018; he also admitted to discharging a firearm in furtherance of a crime of violence for a shooting that occurred in Brooklyn on April 21, 2018.
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In addition to the prison term, JORDAN, 36, of Brooklyn, New York, was sentenced to 5 years of supervised release.
Mr. Berman praised the outstanding investigative work of the New York City Police Department, Homeland Security Investigations, and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
This case is being handled by the Office’s Violent and Organized Crime Unit. Assistant United States Attorneys Michael Longyear, Jacob Warren, Jonathan Rebold, and Sebastian Swett are in charge of the prosecution.
Henderson Man Sentenced to Federal Prison for Heroin and Gun ConvictionsRead the Press Release
RALEIGH – Robert J. Higdon, Jr., the United States Attorney for the Eastern District of North Carolina, announces that United States District Judge James C. Dever, III, sentenced JERMILL BLACKNALL, 31, of Henderson, North Carolina, to 81 months’ imprisonment, followed by 5 years of supervised released.
On June 6, 2019, BLACKNALL, pled guilty to possession with intent to distribute heroin and possession of a firearm in furtherance of a drug trafficking crime. On January 21 and 28, 2018, officers of the Henderson Police Department (HPD) conducted controlled purchases of heroin using a confidential informant from BLACKNALL’S residence. Subsequently, a search warrant was executed at that location where officers recovered a loaded assault rifle with two extended magazines and a 50-round magazine “drum.” HPD also found raw heroin, a blender with heroin residue, digital scales, and packaging materials.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Since 2017 the United States Department of Justice has reinvigorated the PSN program and has targeted violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
This case is also part of the Take Back North Carolina Initiative of the United States Attorney’s Office for the Eastern District of North Carolina. This initiative emphasizes the regional assignment of federal prosecutors to work with law enforcement and District Attorney’s Offices on a sustained basis in those communities to reduce the violence crime rate, drug trafficking, and crimes against law enforcement.
The investigation of this case was conducted by the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) and the Henderson Police Department. Assistant United States Attorney Robert J. Dodson prosecuted the case for the government.
Harrison County Man Sentenced to over Five Years in Prison for Possession of a Firearm by a Convicted FelonRead the Press Release
Gulfport, Miss – William Lance Chaney, 27, of Biloxi, was sentenced yesterday by U.S. District Judge Sul Ozerden to 63 months in prison, followed by three years of supervised release, for being a felon in possession of a firearm, announced U.S. Attorney Mike Hurst and Special Agent in Charge Kurt Thielhorn with the Bureau of Alcohol, Tobacco, Firearms and Explosives. Chaney was also ordered to pay a $5,000 fine.
During the course of an investigation, the Bureau of Alcohol Tobacco Firearms and Explosives discovered that Chaney was buying and selling firearms to known felons and Simon City Royals gang members. Agents determined that Chaney offered at least three firearms for sale in March, 2018. Chaney has a previous conviction for possession with intent to distribute a controlled substance in Harrison County in 2010 and is pending trial on a new drug charge in Harrison County. He was on parole with MDOC at the time of the federal charge.
Chaney pled guilty before Judge Ozerden on May 31, 2019 to being a felon in possession of a firearm.
The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. It was prosecuted by Assistant United States Attorney Annette Williams.
Guatemalan Man Sentenced for Illegally Using Social Security Number to Obtain EmploymentRead the Press Release
NEW ORLEANS, LOUISIANA – United States Attorney Peter G. Strasser announced that WILMER A. GARCIA-LOPEZ, age 22, a native of Guatemala, was sentenced September 5, 2019 after previously pleading guilty to illegally using a Social Security number in order to obtain employment, in violation of Title 42, United States Code, Section 408(a)(7)(B).
United States District Court Judge Eldon E. Fallon sentenced GARCIA-LOPEZ to time served and a $100 special assessment fee. The defendant will be surrendered to the custody of Immigration and Customs Enforcement for removal proceedings.
According to court documents, on June 14, 2019, GARCIA-LOPEZ submitted a fraudulent Form I-9 application in order to obtain employment with a local company. He used a fraudulent Social Security card containing the Social Security number of a real United States citizen as verification. Subsequent record checks confirmed that GARCIA-LOPEZ was in the United States illegally and photographic evidence proved that GARCIA-LOPEZ and the victim were different people.
U.S. Attorney Strasser praised the work of Immigration and Customs Enforcement, Enforcement Removal Operations agents in investigating this matter. Assistant United States Attorney Jon Maestri is in charge of the prosecution.
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Franklin County Man Charged with Sexually Exploiting a ChildRead the Press Release
ALBANY, NEW YORK – Robert B. Fitzgerald, age 81, of St. Regis Falls, New York, was arrested on Wednesday on a criminal complaint charging him with sexually exploiting a child.
The announcement was made by United States Attorney Grant C. Jaquith and Kevin Kelly, Special Agent in Charge, Homeland Security Investigations (HSI), Buffalo Field Office.
The criminal complaint alleges that Fitzgerald: sexually exploited a girl for approximately three years and beginning when the child was 14 years old; photographed and video-recorded the sexual abuse; and distributed and sold this child pornography to others. According to the complaint, on August 9, 2019, Fitzgerald possessed a computer that contained videos depicting Fitzgerald sexually abusing the child when she was 17 years old.
The charge in the complaint is merely an accusation. The defendant is presumed innocent unless and until proven guilty
If convicted of the charge set forth in the complaint, Fitzgerald faces at least 15 years and up to 30 years in prison, and can also be sentenced to at least 5 years and up to lifetime post-imprisonment supervised release. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.
Fitzgerald appeared today for a detention hearing before United States Magistrate Judge Gary L. Favro, and was ordered detained.
This case is being investigated by HSI and the New York State Police, and is being prosecuted by Assistant U.S. Attorney Katherine Kopita.
Four Men Indicted for Kidnapping Resulting in DeathRead the Press Release
LEXINGTON, Ky. – A federal grand jury sitting in Lexington has charged four men for their involvement in a kidnapping that resulted in the deaths of two Lexington men. Rosario Diaz Barraza, 29, Ramon Camacho Zepeda, 51, Josė Felix Tlatenchi, 37, and Tomás Tlatenchi, 37, were each indicted Thursday for offenses related to the kidnapping and homicide of Josė Olascoaga, 29, and Marco Antonio Tunai Ortiz, 27, both of Lexington.
The grand jury charged all four defendants with one count of conspiracy to commit kidnapping that resulted in death, and one count of interstate transportation of stolen vehicles. The indictment alleges that the charged offenses occurred on or about September 11, 2017, at a business located on Blue Sky Parkway in Lexington. The victims were discovered on September 14, 2017, in the trunk of a Volkswagen Jetta at the Blue Sky Parkway crime scene.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Daniel Dodds, Acting Special Agent in Charge, DEA Louisville; and Lawrence Weathers, Chief of Police, Lexington Division of Police, jointly announced the indictment. Assistant United States Attorney Todd Bradbury presented the indictment to the grand jury.
All four defendants are scheduled to appear in federal court, for their arraignment on the charges, on September 10, 2019 at 2:30 p.m. Each defendant faces a maximum sentence of life imprisonment. However, any sentence following a conviction would be imposed by the Court, after its consideration of the United States Sentencing Guidelines and applicable federal statutes.
An indictment is an accusation only. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Former St. Louis Metropolitan Police Officer Pleads Guilty to Committing PerjuryRead the Press Release
Bailey Colletta, 26, a former police officer with the St. Louis Metropolitan Police Department (SLMPD) pleaded guilty today in federal court in the Eastern District of Missouri to one count of making false statements to a federal grand jury about her knowledge of the arrest and assault of a fellow SLMPD police officer, who was working undercover in downtown St. Louis during protests following the 2017 acquittal of a former SLMPD officer on a state murder charge. Colletta’s co-defendants, SLMPD officers Dustin Boone, Randy Hays, and Christopher Myers, remain under indictment on federal charges related to the assault and subsequent cover-up. They have pleaded not guilty.
According to the plea agreement, in addition to facing a maximum of five years in prison, Colletta must forfeit her law enforcement certification. A sentencing date has been set for December 13, 2019.
The trial of Boone, Hayes, and Myers is set for Dec. 2, 2019.
This case is being investigated by the St. Louis Division of the FBI and is being prosecuted by Assistant United States Attorney Reginald Harris of the U.S. Attorney’s Office and Special Litigation Counsel Fara Gold and Trial Attorney Janea Lamar of the Department of Justice Civil Rights Division Criminal Section.
Former St. Louis Metropolitan Police Officer Pleads Guilty to Committing PerjuryRead the Press Release
Bailey Colletta, 26, a former police officer with the St. Louis Metropolitan Police Department (SLMPD) pleaded guilty today in federal court in the Eastern District of Missouri to one count of making false statements to a federal grand jury about her knowledge of the arrest and assault of a fellow SLMPD police officer, who was working undercover in downtown St. Louis during protests following the 2017 acquittal of a former SLMPD officer on a state murder charge. Colletta’s co-defendants, SLMPD officers Dustin Boone, Randy Hays, and Christopher Myers, remain under indictment on federal charges related to the assault and subsequent cover-up. They have pleaded not guilty.
According to the plea agreement, in addition to facing a maximum of five years in prison, Colletta must forfeit her law enforcement certification. A sentencing date has been set for Dec. 13. The trial of Boone, Hayes, and Myers is set for Dec. 2, 2019.
This case is being investigated by the St. Louis Division of the FBI and is being prosecuted by Assistant United States Attorney Reginald Harris of the U.S. Attorney’s Office and Special Litigation Counsel Fara Gold and Trial Attorney Janea Lamar of the Department of Justice Civil Rights Division Criminal Section.
Former St. Louis County Chief of Staff Sentenced for Pay to Play SchemeRead the Press Release
St. Louis, MO – William Miller, 54, of Richmond Heights, was sentenced to 15 months and three years supervised release for aiding and abetting former St. Louis County Executive Steve Stenger’s honest services wire fraud/bribery scheme. Miller appeared in front of U.S. District Court Judge Rodney W. Sippel.
According to court documents and in Court statements, Miller was hired as Chief of Staff by then County Executive Stenger during December, 2017, and was responsible for primarily assisting Stenger in managing the day to day operations of St. Louis County Government, and supervising Stenger’s Executive Staff. Stenger also appointed Miller to the Board of the St. Louis Economic Development Partnership during 2018. Stenger pled guilty on May 3, 2019 to 3 counts of honest services mail fraud/bribery relative to his scheme to defraud and deprive the citizens of St. Louis County of their right to his honest and faithful services through bribery and the concealment of material information. The purpose of the scheme was for Stenger to secretly use his official position to enrich himself through soliciting and accepting campaign contributions from individuals and their companies in exchange for favorable official action, including the awarding of County contracts and grants, and for individuals and their companies to enrich themselves and their companies by secretly obtaining favorable action for themselves and for their companies, through corrupt means.
The charge against Miller relates to his aiding and abetting Stenger’s criminal scheme, having taken official action to ensure that “Company One” and its principal owner obtained a 2019 state lobbying contract valued at approximately $200,000 from the St. Louis Economic Development Partnership. In aiding and abetting Stenger’s criminal scheme, Miller communicated with, and personally met with Sheila Sweeney, then the CEO of the St. Louis Economic Development Partnership, in order to persuade and ensure that Sweeney and the Partnership Board, of which Miller was a member, awarded the lobbying contract to Company One, over a second lobbying firm which had also bid on the lobbying contract. In taking such official action in aid of Stenger’s criminal scheme, Miller deprived the citizens of St. Louis County of their right to his honest services as the County’s Chief of Staff and as a member of the Board of the St. Louis Economic Development Partnership. Throughout his tenure as Chief of Staff, Miller actively participated in and aided and abetted Stenger’s criminal scheme relative to a number of Stenger’s political donors in order to maintain his position as Chief of Staff within Stenger’s administration.
The Federal Bureau of Investigation and the Postal Inspection Service are investigating this case with the assistance of the Internal Revenue Service Criminal Investigations. Assistant U.S. Attorney Hal Goldsmith is handling the case for the U.S. Attorney’s Office.
Former City of Miami Police Officers Sentenced to Prison After Having Been Convicted at TrialRead the Press Release
Today, U.S. District Judge Cecilia M. Altonaga sentenced former City of Miami Police officer Kelvin Harris to 27 and a half years in prison for his involvement in a drug trafficking conspiracy and possessing a firearm in furtherance of a drug trafficking crime. Codefendant James Archibald, also a former City of Miami Police officer, was sentenced to 10 years in prison for his involvement in the drug trafficking conspiracy.
Ariana Fajardo Orshan, U.S. Attorney for the Southern District of Florida, and George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, made the announcement.
Former City of Miami Police officers Kelvin Harris, James Archibald and Schonton Harris were charged for their involvement in the drug trafficking conspiracy (Case No. 18cr20939). On June 28, 2019, Kelvin Harris, who had been on the police force for twenty-six years, and Archibald, who had been an officer for two years, were each convicted by a federal jury of conspiring to possess with the intent to distribute more than 5 kilos of cocaine in 2018. In addition, Kelvin Harris was convicted of three counts of attempting to possess with the intent to distribute cocaine and three counts of possessing a firearm during the commission of a drug trafficking crime. Archibald was also convicted of one count of attempting to possess with the intent to distribute cocaine. On January 24, 2019, Schonton Harris pled guilty to conspiring with other officers to possess with the intent to distribute cocaine from August through October 2018. On April 17, 2019, Schonton Harris was sentenced to 15 and a half years in prison.
According to the court record, including trial testimony, Officers Kelvin Harris and Schonton Harris, provided police protection on numerous occasions for what they believed were multiple-kilogram shipments of cocaine by escorting the transportation of such cocaine. Officer Archibald facilitated the drug trafficking conspiracy on at least one occasion by assisting his codefendants in transporting 30 kilograms of what the defendants believed to be cocaine from a local marina to two local hotels. Officers Kelvin Harris, Archibald and Schonton Harris received cash payments of $10,000, $6,500 and $17,000, respectively, for their involvement in the criminal enterprise.
U.S. Attorney Fajardo Orshan commended the investigative efforts of the FBI, including the FBI Miami Area Corruption Task Force, in this matter. She thanked the City of Miami Police Department for their assistance. This case was prosecuted by Assistant U.S. Attorneys Harry C. Wallace, Jr. and Jessica Obenauf.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Former Albion Pharmacists Sentenced to Prison for Federal Drug Trafficking and Healthcare Fraud ChargesRead the Press Release
John Shedd and Terry Tooley Filled Controlled Substance Prescriptions They Knew Were Written For No Legitimate Medical Purpose and Fraudulently Billed Health Insurers
GRAND RAPIDS, MICHIGAN — U.S. Attorney Andrew Birge announced today that John Shedd, 71, of Albion, Michigan, and Terry Tooley, 64, of Spring Arbor, Michigan, were each sentenced to 15 months in prison on federal drug trafficking and healthcare fraud charges. Chief Judge Robert J. Jonker, who imposed the sentences, also ordered them to pay more than $465,000 in restitution to Medicare, Medicaid, and the other health insurers they defrauded. He also imposed a two-year term of supervised release and ordered them never to obtain a pharmacy license or practice again as a pharmacist. Separately, Shedd and Tooley forfeited $1.3 million in cash to the United States.
Shedd and Tooley, who previously owned Parks Drug Store in Albion, admitted they filled prescriptions written by former Albion doctor Horace J. Davis and dispensed 50,000 dosage units of methadone, even though they knew those prescriptions had been written for no legitimate medical purpose. Davis was convicted in 2017 of federal drug trafficking crimes and healthcare fraud. Shedd and Tooley also admitted they billed Medicare, Medicaid, and Blue Cross Blue Shield of Michigan more than $465,000 for prescriptions that were never written, and forged documents in connection with their false healthcare billings.
"Shedd and Tooley contributed to the opioid epidemic, but thanks to the good work of our law enforcement partners, they’ll spend time in prison and never work as pharmacists again," said U.S. Attorney Birge. "They put lives in danger by filling prescriptions they knew they shouldn’t have. Now they’ll pay the price," he said.
"It is a DEA priority to aggressively pursue healthcare professionals who violate our trust and illegally distribute controlled prescription drugs," said Special Agent in Charge Keith Martin, of the DEA Detroit Field Division. "Outcomes like these demonstrate the commitment federal, state and local law enforcement officials have to protect our communities during a very serious public health crisis."
The investigation was conducted by the Albion Department of Public Safety, Calhoun County Sheriff, DEA, and IRS Criminal Investigation. Assistant United States Attorney Clay Stiffler prosecuted the case.
END
First-Time Felon Sentenced to 30 Months in Prison for Attempting to Smuggle Assault-Style Rifles into MexicoRead the Press Release
TUCSON, Ariz. – Last week, Ricardo Alberto Ruiz Pelayo, 24, of Nogales, Sonora, Mexico, was sentenced by Senior U.S. District Judge Raner C. Collins to 30 months in prison followed by three years’ supervised release. Ruiz Pelayo previously pleaded guilty to an indictment charging one count of unlawful smuggling goods from the United States.
On September 13, 2018, Ruiz Pelayo attempted to cross from Nogales, Arizona into Nogales, Sonora via the Mariposa port of entry. An inspection of his vehicle located three AR-15 style assault rifles and two Glock handguns in addition to three magazine clips. Although he was residing lawfully in the U.S. at the time, he will be deported to Mexico upon completion of his prison sentence.
The investigation in this case was conducted by ICE/HSI Nogales agents and the prosecution was handled by Micah Schmit, Assistant U.S. Attorney, District of Arizona, Tucson.
Final Defendant Gets Nearly 40 Years for Gruesome MS-13 MurderRead the Press Release
HOUSTON – A 23-year-old El Salvadorian citizen has been ordered to federal prison for his role in a horrific gang slaying – the murder of a teenager in the Sam Houston National Forest in 2013, announced U.S. Attorney Ryan K. Patrick. Jose Leonel Bonilla-Romero aka Jose Tupapa, who resided in Houston, pleaded guilty April 19, 2019.
Today, U.S. District Judge Ewing Werlein Jr. handed Bonilla-Romero a 460-month term of imprisonment and ordered him to pay $13,000 in restitution. Not a U.S. citizen, he is expected to face removal proceedings following the sentence. If that occurs, the court ordered he must remain outside the country unless lawfully allowed to return.
At the hearing, evidence established the crime was unusually heinous, cruel and degrading. The court also heard Bonilla-Romero’s conduct in detention was clearly inconsistent with acceptance of responsibility. He has continued his allegiance to the MS-13 gang and continued the use of gang signs.
The victim’s family also spoke today, mentioning how they took in Bonilla-Romero and let him share a room with the victim. They commented that they had given Bonilla-Romero support for two weeks, allowing him to share clothes with their son and giving him food. The victim’s father asked Bonilla-Romero to repent and accept God. As the judge pronounced the sentence, the victim’s mother wept in back of courtroom.
In handing down the lengthy prison term, Judge Werlein noted Bonilla-Romero was the victim’s friend. However, he supplied him with alcohol and coerced him to come to the federal land in Huntsville, knowing he was going to be killed. The court further noted Bonilla-Romero even struck the first blow. He took a metal baseball bat, concealing it from the victim, and then hid behind him, rushed him and hit him with such force that he fractured his skull.
At the time of his plea, Bonilla-Romero admitted to aiding and abetting two others in the murder of the 16-year-old victim Sept. 22, 2013.
Those others - Cristian Alexander Zamora aka Christian Zamora, Alex or Pollo, 28, and Ricardo Leonel Campos Lara aka La Muerte, 24, both also of El Salvador, who resided in Huntsville and Houston, respectively - previously pleaded guilty and are currently serving their federal prison sentences of 420 months each.
At the time of Bonilla-Romero’s hearing, the court heard that when officers found the mutilated victim’s body they observed gaping wounds on his knees and ankles with his head nearly severed from his body. The investigation led police to Zamora who ultimately confessed his role in the crime, implicating Romero and Lara. All three admitted to being members of the transnational MS-13 gang. They explained that a gang leader had ordered them to kill the victim, because he had supposedly cooperated with police in El Salvador, leading to the arrests of several MS-13 gang members.
After Bonilla-Romero struck the first blow, the other two butchered the victim’s body with machetes.
The medical examiner noted that the victim suffered deep cutting and chopping wounds, some all the way to the spinal cord with others causing partial decapitation.
Bonilla-Romero has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in near future.
The FBI, Houston Police Department, Texas Rangers, Walker County Sheriff’s Office and the U.S. Forest Service conducted the investigation. Assistant U.S. Attorneys Mark E. Donnelly and Casey MacDonald prosecuted the case.
Felon in Possession of Firearms and Ammunition Sentenced to Federal PrisonRead the Press Release
United States Attorney Brandon J. Fremin announced today that United States Chief Judge Shelly D. Dick sentenced Douglas Dawayne Chenevert, III, a 40-year-old resident of Baker, Louisiana, to 30 months in federal prison following his conviction for possessing firearms and ammunition by a convicted felon. The Court further sentenced Chenevert to 30 months years of supervised release following his term of imprisonment, and ordered that the firearms possessed by Chenevert be forfeited.
According to admissions made during his guilty plea, on July 14, 2018, Baton Rouge Police Department responded to a burglary at a cell phone shop on North Foster Drive. An officer observed two men enter the shop by cutting the lock on a roll up steel door and breaking the glass. As the two men left the shop in a pickup truck, later determined to be stolen, the officer activated his lights and siren to initiate a stop. The driver fled and, after a short chase, wrecked the truck into a residence on Tecumseh Street. Both suspects then fled on foot. A canine officer and his dog quickly apprehended Chenevert, the driver of the pickup truck who had previously been convicted of a felony. Upon being taken into custody and patted down, the officer found a loaded Smith and Wesson 9mm pistol in Chenevert's clothing. A later check determined the firearm to be loaded with thirteen (13) 9mm caliber Winchester cartridges.
Later that day, Baton Rouge Police obtained a valid search warrant for the residence which Chenevert used as a rental property. Inside the residence, officers found and seized the following: an Ithaca,12 gauge shotgun, a Berretta ARX Model 160, .22 caliber rifle, a Ruger Model AR556 .223 caliber rifle, and a Taurus Judge .410 gauge/45 Long Colt caliber pistol.
U.S. Attorney Fremin stated, “Making sure convicted felons who illegally possess firearms are held accountable remains a top priority of my office. The efforts of our partners, ATF and the Baton Rouge Police Department, are invaluable in our mission. I want to thank our prosecutor and our federal and local partners for their work on this case.”
“ATF and our law enforcement partners will continue to focus our efforts on the disruption of violent crime in our community through the arrest and prosecution of violent criminals,” said ATF New Orleans Field Division Special Agent in Charge Kurt Thielhorn. “ATF’s top priorities remain to protect the public and remove violent criminals from our streets.”
This matter is being handled by the U.S. Attorney’s Office for the Middle District of Louisiana, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Baton Rouge Police Department. The case was prosecuted by Assistant United States Attorney Lyman Thornton.
Federal Grand Jury Criminal Indictments AnnouncedRead the Press Release
United States Attorney Trent Shores announced today the results of the September 2019 Federal Grand Jury B.
The following individuals have been charged with violations of United States law in indictments returned by the Grand Jury. The return of an indictment is a method of informing a defendant of alleged violations of federal law, which must be proven in a court of law beyond a reasonable doubt to overcome a defendant’s presumption of innocence.
Christian Alvarado Morales; Anderson Garces Lopez. Conspiracy to Transfer Identification Documents; Aggravated Identity Theft; Possession With Intent to Use and Transfer Five or More Documents and Authentication Features; Unlawful Reentry of Removed Alien. Alvarado, 30, and Garces, 29, both of Tulsa, are charged with conspiring to create and sell fraudulent identification cards, including falsified U.S. Permanent Resident Cards and U.S. Social Security Cards. Garces is also charged with two counts of aggravated identity theft. Alvarado is also charged with three counts of aggravated identity theft, and he is charged with possession with intent to transfer five or more falsified identification documents. Alvarado is further charged with reentry of a removed alien, having returned to the United States unlawfully after being deported March 25, 2008, at or near Laredo, Texas. Immigration and Customs Enforcement’s Homeland Security Investigations and Enforcement and Removal Operations are the investigative agencies.
Ivan Arroyo. Interstate Communication With Intent to Extort. Arroyo, 27, of Broken Arrow, is charged with extortion using social media. Arroyo allegedly threatened to harm the reputation of another individual if the victim did not comply with his demands. The Cherokee Nation Marshal Service and FBI are the investigative Agencies.
Paul B. Bowker. Failure to Account for and Pay Over Withholding and FICA (Social Security and Medicare) Taxes (7 counts); Bank Fraud (100 counts). Bowker, 56, of Lancashire, United Kingdom, was chief financial officer and vice president for finance at a company that maintained offices in the Northern District of Oklahoma. While working in this position, Bowker was living in Tulsa. Per United States tax law, the company was responsible for withholding income taxes and FICA taxes from employees’ paychecks and for paying the monies over to the U.S. Internal Revenue Service (IRS). Bowker is charged with failure to collect and pay more than 3.6 million in income and FICA taxes from April 2014 through January 2016. In addition, Bowker is charged with 100 counts of bank fraud. As chief financial officer, Bowker was entrusted with a company credit card and was responsible for paying the monthly credit card bill by authorizing electronic transfer of funds from the company’s checking account at Mabrey Bank, in Bixby, to the company’s Visa account. From January 2014 through December 2015, Bowker is alleged to have fraudulently used the Visa credit card to make $130,000 worth of purchases for his own benefit then paying for those charges with the company’s checking account at Mabrey Bank. The IRS Criminal Investigation Division and FBI are the investigative agencies.
Neville David Ewell and Larry Latwan Walker. Possession of Cocaine With Intent to Distribute; Maintain Drug-Involved Premises; Felon in Possession of Firearms and Ammunition; Destruction or Removal of Property to Prevent Seizure; Unlawful User of Controlled Substances in Possession of Firearm and Ammunition; Drug Conspiracy; Possession of Methamphetamine With Intent to Distribute; Possession of Firearm in Furtherance of Drug Trafficking Crimes; and Destruction or Removal of Property to Prevent Seizure (Superseding Indictment). Ewell, 45, of Broken Arrow, is charged with possessing with intent to distribute cocaine and maintaining a drug-involved premises. Ewell is alleged to have used and maintained a premises in Tulsa for the purpose of manufacturing, distributing, and using cocaine. He is also charged with being a felon in possession of a Pietro Beretta 9x19mm caliber semi-automatic pistol and ammunition. Walker, 29, of Tulsa, is charged with being a felon in possession of a Smith & Wesson .40 caliber semi-automatic pistol and ammunition; and he is charged with possessing the Smith & Wesson pistol knowing he was an unlawful user of a controlled substance. Walker is further charged with possessing the Smith & Wesson pistol in furtherance of drug trafficking crimes. Ewell and Walker are both charged with conspiring to distribute and to possess with intent to distribute methamphetamine. Both men are further charged with possessing methamphetamine with intent to distribute; and they are charged with destroying, damaging, or removing property to prevent its seizure by law enforcement. The Tulsa Police Department, FBI, and Bureau of Alcohol, Tobacco, Firearms and Explosives are the investigative agencies.
Richard Blake Holbrook. Attempted Coercion and Enticement of a Minor. Holbrook, 23, of Bristow, is charged with attempting to persuade and entice an individual whom he believed to be a minor to engage in sexual activity. The Bristow Police Department is the investigative agency.
Edward Leiva-Alvarez. Drug Conspiracy. Leiva-Alvarez, 37, residing at the Oklahoma State Penitentiary in McAlester, is charged with conspiring to possess with intent to distribute and to distribute 500 grams or more of methamphetamine. The Drug Enforcement Administration, FBI, Oklahoma Highway Patrol, Grand River Dam Authority and Miami Police Department are the investigative agencies.
Early Livestock. Failure to Register as a Sex Offender. Livestock, 48, of Tulsa, is charged with failing to register as a sex offender since July 2, 2018. The U.S. Marshals Service and Tulsa Police Department are the investigative agencies.
Clinton Eugene Rose. Felon in Possession of a Firearm. Rose, 43, of Cleveland, is charged with being a felon in possession of a Hi-Point .45ACP caliber semi-automatic pistol. According to the Indictment, Rose has previously been convicted of 24 different felonies. The Tulsa Police Department and Bureau of Alcohol, Tobacco, Firearms and Explosives are the investigative authorities.
Lucas Shane Vann. Sexual Exploitation of a Child (Superseding Indictment). Vann, 19, of Salina, is charged with knowingly producing an image of a minor engaging in sexually explicit conduct. The Delaware County Sheriff’s Office and FBI are the investigative agencies.
Jalil Charles Edward West. Felon in Possession of Firearm and Ammunition. West, 30, of Tulsa, is charged with being a felon in possession of a Zastava 7.62X39mm semi-automatic pistol and 70 rounds of associated ammunition. The Tulsa Police Department and Bureau of Alcohol, Tobacco, Firearms and Explosives are the investigative agencies.
Federal Court Shuts Down Orlando Tax Return PreparerRead the Press Release
The United States District Court for the Middle District of Florida has permanently barred defendant Gladys Quiles from preparing federal tax returns for others, the Justice Department announced today.
The complaint filed by the United States alleged that Quiles did not sign the tax returns she prepares and does not identify herself in any way on the returns, instead operating as a “ghost preparer.” The complaint further alleged that she repeatedly and continually prepared tax returns that understated liabilities and overstated refunds. Her alleged schemes included fabricating business income or expenses reported on Schedule C, Profit or Loss from Business, and deducting false employee business expenses on Schedule A, Itemized Deductions.
The injunction was entered against Quiles by default because she failed to defend against the government’s allegations. The complaint alleges that Quiles lives in Orlando, Florida.
Return preparer fraud is one of the IRS’ Dirty Dozen Tax Scams for 2019 and taxpayers seeking a return preparer should remain vigilant. Ghost preparers neither sign the returns they prepare nor include their Preparer Tax Identification Number (PTIN) on those returns, despite their obligations to do so. The IRS has cautioned taxpayers about ghost preparers because ghost preparers can hurt honest taxpayers who are simply trying to do the right thing and file a legitimate tax return. The IRS has information on its website about selecting a return preparer and has launched a free directory of federal tax preparers.
In the past decade, the Tax Division has obtained injunctions against hundreds of unscrupulous tax preparers. Information about these cases is available on the Justice Department’s website. An alphabetical listing of persons enjoined from preparing returns and promoting tax schemes can be found on this page. If you believe that one of the enjoined persons or businesses may be violating an injunction, please contact the Tax Division with details.
Fall River Mayor Charged with Extorting Marijuana Vendors for CashRead the Press Release
BOSTON – Jasiel F. Correia II, the Mayor of Fall River, Massachusetts, has been arrested and charged for allegedly extorting marijuana vendors for hundreds of thousands of dollars in bribes; extorting a building owner for cash and a Rolex watch in exchange for activating the water supply to a commercial building; and demanding that his chief of staff give him half of her salary in return for appointing her and allowing her to keep her city job. Correia’s former Chief of Staff was also charged today on extortion, theft and bribery, and false statement charges. Both will appear in federal court today.
Correia, 27, has been charged in a superseding indictment with bribery; extortion conspiracy; extortion and aiding and abetting; wire fraud; and filing false tax returns. Correia was previously arrested and charged in October 2018 for his involvement in a scheme to defraud investors in a company called SnoOwl, which was co-owned by Correia. Correia was arrested this morning and will appear in federal court today at 2:30 p.m. on the new charges.
Genoveva Andrade, 48, of Somerset, was charged in a criminal complaint with extortion conspiracy; extortion; theft and bribery; and false statements. Andrade served as Correia’s Chief of Staff from November 2017 through December 2018. She stepped down in January 2019 to run Correia’s March 2019 recall campaign. Andrade was arrested and will appear in federal court at 2:45 p.m. today.
Antonio Costa, 51, of Fall River; Hildegar Camara, 58, of Fall River; and David Hebert, 54, of Westport were charged separately in Informations with extortion conspiracy, extortion, and false statements in connection with subsequent false statements to federal agents about their roles in assisting Correia obtain money and property from marijuana vendors. Costa, Camara and Hebert will appear in court at a later date.
According to the superseding indictment, Correia agreed to issue non-opposition letters to marijuana vendors, which are required in order to operate in Massachusetts, in return for cash bribes and other payments. The bribes alleged today ranged from approximately $100,000 to $250,000 in cash, campaign contributions and mortgage discharges - in return for non-opposition letters and host community agreements. Marijuana was also exchanged for resale. It is alleged that Andrade and Correia met with marijuana vendors and discussed signing non-opposition letters in return for cash.
Under Massachusetts law, non-opposition letters from the head of local government are required in order to obtain a license to operate a marijuana business. This is true for medical and recreational marijuana businesses. These letters state that the head of local government has verified that the proposed facility is in a permissible zoning district. In this instance, Correia was solely responsible for approving all non-opposition letters. In addition, applicants seeking marijuana licenses are required to enter into host community agreements, between the marijuana company and the local government, stating that the company will give up to 3% of its gross sales to the local government.
To date, Correia has issued at least 14 non-opposition letters for marijuana businesses to operate in Fall River, including two for his current girlfriend’s brother. On August 12, 2019, the Fall River City Council passed an ordinance to limit the number of marijuana licenses in Fall River to 20% of off-premise liquor licenses or 11, whichever is greater. On August 19, 2019, Correia vetoed the order, claiming that it would eliminate competition and that a proponent of the ordinance had a conflict of interest.
It is further alleged that Correia obtained a stream of benefits, including cash and a Rolex watch valued at approximately $7,500 – $12,000, in exchange for official action and assistance that was favorable to Middleman #1 and his business(es) in Fall River. This included directing Fall River public employees to approve and pay for permits and excavating work to activate the water line for the sprinkler system at Middleman #1’s commercial property in Fall River.
Lastly - according to the indictment, in November 2017, Correia hired Andrade as his Chief of Staff with a salary of approximately $78,780 for a term of one year. Less than three weeks later, Correia personally approved a $10,000 “snow stipend” to Andrade. She would receive the $10,000 payment in two installments. After she received the first installment of $5,353, Andrade allegedly gave Correia $4,300. After she received the second installment - of $5,353, Andrade again paid Correia $4,300.
This pattern, in which Andrade promptly kicked back a substantial portion of her paychecks to Correia, continued for approximately eight months. For instance, Andrade received her first paycheck for $2,046. Four days later, Andrade gave Correia $1,200. In total, between December 2017 and July 2018, Andrade kick back approximately $22,800 to Correia. Andrade shared information about the kickback scheme with MJ Vendor #5 allegedly saying, “you want to hear something even more f**ked up … I have to give [Correia] half of my salary.”
The charge of wire fraud provides for a sentence of up to 20 years in prison, up to three years of supervised release, a fine of up to twice the loss involved and restitution. The charges of filing false tax returns provide for a sentence of up to three years in prison, one year of supervised release, and a fine of $250,000 or twice the gross gain or loss. The charges of extortion conspiracy provide for a sentence of up to 20 years, three years of supervised release and a $250,000 fine. The charges of extortion aiding and abetting provide for a sentence of up to 20 years, three years of supervised release and a $250,000 fine. The bribery charge provides for a sentence of up to 10 years, three years of supervised release and a $250,000 fine. 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; Kristina O’Connell, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston; Joseph Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, 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; and Glenn A. Cunha, Massachusetts Inspector General made the announcement. Assistant U.S. Attorney Zachary Hafer, Chief of Lelling’s Criminal Division, is prosecuting the case.
The details contained in the charging documents are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Ex-White House Military Aide and Maryland Businessman Found Guilty for Operating Fraudulent EB-5 Visa SchemeRead the Press Release
NEW ORLEANS – U.S. Attorney Peter G. Strasser announced that a federal jury returned guilty verdicts against two Maryland men for defrauding victims of over $15 million during the defendants’ operation of the New Orleans EB-5 Regional Center after Hurricane Katrina.
After a three-week trial before U.S. District Judge Greg G. Guidry, the defendants, Maryland businessman WILLIAM B. “BART” HUNGERFORD, JR., age 58, and TIMOTHY O. MILBRATH, age 63, a former U.S. Air Force colonel who served as a White House military aide for three presidential administrations, were found guilty of conspiracy to commit wire fraud and mail fraud, conspiracy to commit immigration fraud, conspiracy to commit money laundering, and six counts of wire fraud.
The charges stemmed from their scheme to defraud immigrant investors who entrusted their money to the defendants to invest in job-creating companies in New Orleans after Hurricane Katrina. As was alleged in the indictment, HUNGERFORD and MILBRATH conspired together to defraud immigrants who sought to apply for EB-5 visas. The visa program permits immigrants to invest a minimum of $1,000,000.00 in a United States job-creating enterprise and obtain permanent residency if, after two years, that investment created or preserved ten American jobs. The minimum investment required was lowered to $500,000.00 if the investment was made in a targeted employment area (“TEA”), defined as an area with an unemployment rate of 150% of the national average.
The superseding indictment alleged that HUNGERFORD and MILBRATH formed NobleOutReach, LLC, to operate the EB-5 investment fund, and they contracted with the City of New Orleans to run the New Orleans Regional Center. Because New Orleans was a designated TEA in the years after Hurricane Katrina, immigrant investors only had to invest $500,000.00 in order to qualify under the EB-5 visa program. HUNGERFORD and MILBRATH represented to investors that their $500,000.00 investment would be used to create jobs in New Orleans and contribute to the rebuilding of the City. A total of 31 immigrants invested a total of $15.5 million in the defendants’ investment fund.
Evidence at trial showed that, instead of investing the immigrant investors’ entire $15.5 million into New Orleans-based job-creating enterprises, HUNGERFORD and MILBRATH fraudulently misappropriated investor funds for their own personal gain. HUNGERFORD and MILBRATH wrote themselves checks drawn from investor funds which they disguised as “loans” or “loan repayments.” The evidence showed that the defendants created multiple companies in order to conceal the path of investor funds and misappropriate them. The defendants also spent investor funds to purchase vacation and rental properties for their own benefit. In the course of perpetrating the fraud, the defendants made false representations to investors, U.S. Citizenship and Immigration Services (USCIS), and the City of New Orleans.
As to each of the six counts of wire fraud, along with conspiracy to commit wire and mail fraud, the defendants face a maximum penalty of twenty years in prison, a $250,000.00 fine, and up to three years of supervised release. As to the money laundering conspiracy, the defendants face a maximum of 20 years in prison, a $500,000.00 fine, and up to three years of supervised release. As to the conspiracy to commit immigration fraud, the defendants may receive a maximum of five years in prison, a $250,000.00 fine, and up to three years of supervised release. Sentencing was set for December 17, 2019 before Judge Guidry.
“This was a very complex case with many moving parts,” The U.S. Attorney’s Office noted. “But it in the end, it ultimately all comes down to greed. This scheme to defraud our community, taxpayers and those lawfully seeking permanent residency in the United States, occurred in the wake of one of the most turbulent times in our city’s history. Any attempt by perpetrators to conduct fraudulent schemes must not be tolerated. It is our greatest hope that this verdict serves as notice to everyone that justice will prevail in the end.”
“The protection of our citizens is one of the most sacred responsibilities entrusted to the FBI. The crimes charged, not only involved stealing money from potential US citizens, but also money that was to be utilized to help re-build New Orleans after Hurricane Katrina. The FBI takes a proactive approach to identify perpetrators involved in these crimes and will continue to investigate and prosecute them to the fullest extent of the law. As in this instance, these crimes truly victimized an entire community and are not tolerated by the FBI nor should they be tolerated by any citizens”, said FBI Acting Special Agent in Charge Anthony Riedlinger.
U.S. Attorney Strasser praised the work of the Federal Bureau of Investigation’s New Orleans Field Office. The case was prosecuted by Assistant U.S. Attorneys Matthew R. Payne, Shirin Hakimzadeh, Maria M. Carboni, and Andre J. Lagarde.
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Eagle Butte Man Sentenced for Voluntary Manslaughter, Discharging a Firearm During a Crime of Violence, and Child AbuseRead the Press Release
United States Attorney Ron Parsons announced that an Eagle Butte, South Dakota, man convicted of Voluntary Manslaughter, Discharging a Firearm During and in Relation to a Crime of Violence, and Child Abuse was sentenced on September 3, 2019, by U.S. District Judge Roberto A. Lange.
Dee Hawk Moran, age 23, was sentenced to a total of 156 months in federal prison. He was sentenced to 36 months in federal prison for Voluntary Manslaughter and 18 months in federal prison for Child Abuse, with such sentences to be served concurrently, followed by 3 years of supervised release. He was also sentenced to 120 months in federal prison for Discharging a Firearm During and in relation to a Crime of Violence, with such sentence to be served consecutively to the other sentences. Moran was also ordered to pay a special assessment to the Federal Crime Victims Fund in the amount of $300.
The convictions for Voluntary Manslaughter and Discharging a Firearm During and in Relation to a Crime of Violence stemmed from an incident that occurred in the early morning hours of November 11, 2017. On that date, Moran was at a house party in Eagle Butte, where the victim was also present. At approximately 3:00 A.M, the victim was in the garage and got into an argument with another man, who was also attending the party. The victim took off his jacket and punched the man in the face. Moran, who was nearby, then produced a .22 caliber pistol and fired multiple shots at the victim, mortally wounding him. Moran was indicted by a federal grand jury on November 14, 2017. He pled guilty on May 20, 2019.
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.
The conviction for Child Abuse stemmed from conduct that occurred in 2015 and 2017. Between September 1, 2015, and June 16, 2017, Moran cruelly exposed, tortured, tormented, and cruelly punished a child who had not attained the age of eighteen. Moran was indicted by a federal grand jury on January 23, 2019. He pled guilty on May 20, 2019.
These cases were investigated by the Cheyenne River Sioux Tribe Law Enforcement Services and the Federal Bureau of Investigation. Assistant U.S. Attorney Kirk Albertson prosecuted the cases.
Moran was immediately turned over to the custody of the U.S. Marshals Service.
Eagle Butte Man Indicated on Assault ChargesRead the Press Release
United States Attorney Ron Parsons announced that an Eagle Butte, South Dakota, man has been indicted by a federal grand jury for Assault Resulting in Serious Bodily Injury and Assault with a Dangerous Weapon.
Oscar Lance Whiteman, age 31, was indicted on September 4, 2019. He appeared before U.S. Magistrate Judge Mark A. Moreno on September 5, 2019, and pled not guilty to the Indictment.
The maximum penalty upon conviction is 10 years in federal prison and/or a $250,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on June 28, 2019, Whiteman assaulted a female, which resulted in serious bodily injury, and on August 11, 2019, Whiteman assaulted that same female and a male, which also resulted in serious bodily injury to both victims. The Indictment further alleges that Whiteman assaulted the male victim with a dangerous weapon, that is, shod feet.
The charges are merely accusations and Whiteman is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Cheyenne River Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Cameron J. Cook is prosecuting the case.
Whiteman was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Ex-U.s. Fish and Wildlife Service Employee Sentenced in Child Porn CaseRead the Press Release
BILLINGS—Former U.S. Fish and Wildlife Service employee Shawn Thomas Conrad was sentenced today to 84 months in prison followed by 20 years supervised release, U.S. Attorney Kurt Alme said. Conrad also was ordered to pay $15,000 restitution, $5,000 Justice for Victims of Trafficking Act assessment, and $100 special assessment.
Conrad, 49, of Billings, pleaded guilty in May to possession of child pornography.
U.S. District Judge Susan P. Watters presided.
“Exploiting children for sexual gratification is a serious crime and will not be tolerated. Every person who possesses child pornography re-injures the victim,” Attorney Alme said. “This sentence sends a strong message that whoever commits child pornography crimes will be prosecuted to the fullest extent of the law. I want to thank Assistant U. S. Attorney Cyndee Peterson, the Internet Crimes Against Children Task Force, the FBI, the Billings Police Department and the U.S. Fish and Wildlife Service for their good work in this case.”
“Child pornography is a crime that leaves profound and long-lasting effects on the victims,” said Paul Haertel, Special Agent in Charge of the FBI’s Salt Lake City Field Office. “The FBI would like to thank the Internet Crimes Against Children Task Force, Billings Police Department and U.S. Fish and Wildlife Services for their assistance in bringing a child predator to justice.”
The prosecution said in court documents filed in the case that an investigation of Conrad, an agent for the U.S. Fish and Wildlife Service, for a child pornography crime that began in early August 2018 by the Billings Police Department, which is a member of the Montana Internet Crimes Against Children Task Force. Having heard of the underlying police department investigation, Conrad’s supervisor went to Conrad’s home and seized an agency vehicle. Conrad said his personal hard drive was in the vehicle and asked for the hard drive. The supervisor did not return it. Conrad asked his supervisor again that evening for his hard drive.
The USFWS obtained a search warrant for the hard drive, which was examined. The BPD also served a search warrant at Conrad’s residence and seized a laptop computer, which was examined. Both the hard drive and laptop contained child porn images of children engaged in sexually explicit conduct.
Assistant U.S. Attorney Cyndee Peterson prosecuted the case, which was investigated by the Montana Internet Crimes Against Children Task Force, FBI, BPD and USFWS.
Drug Traffickers Sentenced to Prison for Heroin DistributionRead the Press Release
ALEXANDRIA, Va. – Two Alexandria men were sentenced today to two and a half years in prison for distribution of heroin and pure methamphetamine.
According to court documents, Jose Castro, 23, and Martin Vitela, 25, assisted co-conspirator Fabian Rodriguez Sandoval in the transportation and distribution of kilograms of heroin and pure methamphetamines from Woodbridge to Pennsylvania. Castro, Vitela and Sandoval received the illegal narcotics from couriers traveling from California before distributing the drugs along the east coast.
Sandoval was sentenced to six years in prison on August 23 for his role in the offense.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Jesse R. Fong, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division, and Mark R. Herring, Attorney General of Virginia, made the announcement after sentencing by U.S. District Judge Leonie M. Brinkema. Special Assistant U.S. Attorney and Virginia Assistant Attorney General Lena Munasifi and Assistant U.S. Attorney Michael P. Ben’Ary 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. 1:19-cr-169.
Dominican National Sentenced for Social Security FraudRead the Press Release
BOSTON – A Dominican national residing in Dorchester was sentenced Wednesday for Social Security fraud.
Saddan Bautista Diaz, 28, was sentenced by U.S. District Court Chief Judge Patti B. Sarris to 18 months in prison after pleading guilty in June 2019 to one count of false representation of a Social Security Number. Bautista Diaz was arrested and charged in a July 2018 federal law enforcement sweep of 25 individuals accused of document and benefit fraud.
On June 27, 2014, Bautista Diaz, 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, Bautista Diaz 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.
District Man Sentenced to 17 Years for Murder of Southeast ManRead the Press Release
WASHINGTON – Antoine Little, 26, of Washington, D.C., was sentenced yesterday to 17 years in prison for the 2018 murder of Southeast resident Curtis Barnum, announced U.S. Attorney Jessie K. Liu and Peter Newsham, Chief of the Metropolitan Police Department (MPD).
Little pled guilty in April, 2019, in the Superior Court of the District of Columbia, to second-degree murder while armed. He was sentenced by the Honorable Danya Dayson on September 6, 2019, to 17 years in prison, to be followed by 5 years of supervised release.
According to the government’s evidence, on October 9, 2018, the defendant, Antoine Little, approached the Valero gas station at 3710 Minnesota Avenue, Northeast, where he encountered the decedent, Curtis Barnum, who had stopped to put gas in his white pickup truck. After shouting at the decedent, the defendant walked over to the decedent’s pickup truck and entered it through the passenger side door. Within moments, the defendant stabbed the decedent in the chest with a knife. The defendant then opened the driver’s side door and pushed the decedent out of the truck. While the decedent lay on the ground, the defendant rifled through the decedent’s pockets and robbed the decedent of some of his belongings. The defendant then kicked the decedent’s feet out of the truck, closed the driver’s side door, and fled the scene.
In announcing the sentence, U.S. Attorney Liu and Chief Newsham commended the work of those investigating the case from the Metropolitan Police Department (MPD). They acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Meridith McGarrity; Victim Advocates Karina Hernandez and Jennifer Allen; and Supervisory IT Specialist Leif Hickling. Finally, they commended the work of Assistant U.S. Attorney Gilead Light, who investigated and prosecuted the case.
Derby Man Pleads Guilty to Possessing Child PornographyRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that MICHAEL VADAKIN, 28, of Derby, waived his right to be indicted and pleaded guilty today before U.S. District Judge Janet Bond Arterton in New Haven to one count of possession of child pornography.
According to court documents and statements made in court, Vadakin was arrested on December 13, 2018, after an investigation revealed that he had used the Kik smartphone application to possess and share videos of child pornography. Forensic analysis of a tablet seized during a search of Vadakin’s residence revealed additional images of child pornography.
Judge Arterton scheduled sentencing for December 4, 2019, at which time Vadakin faces a maximum term of imprisonment of 20 years.
Vadakin is released on a $50,000 bond pending sentencing.
This investigation is being conducted by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI) with assistance from the Derby Police Department. The case is being prosecuted by Assistant U.S. Attorney Anastasia E. King.
Citizen of Guatemala Convicted of Reentry After DeportationRead the Press Release
CONCORD, N.H. – United States Attorney Scott W. Murray announced that on Thursday a federal jury found Nelson Alexander Fuentes-Lopez, 32, a citizen of Guatemala, guilty of reentering the United States after having been previously deported.
According to trial exhibits and witness testimony during the two-day jury trial, Fuentes-Lopez was found in Seabrook in May of this year when he was a passenger in a vehicle that was stopped for speeding.
Fuentes-Lopez was subsequently arrested by U.S. Immigration and Customs Enforcement (ICE), Enforcement and Removal Operations Officers when it was discovered that he had been deported in July of 2014 after illegally crossing the border in Texas.
Fuentes-Lopez was convicted of one count of reentry after deportation. He is scheduled to be sentenced on December 17, 2019. U.S. Immigration and customers Enforcement will seek his removal following the service of his sentence.
“Those who have been deported from the United States must follow the law if they wish to return to this country,” said U.S. Attorney Murray. “If they choose to return to the United States unlawfully, they are subject to federal prosecution.”
“Illegally re-entering the United States after being previously removed from the U.S. is a serious violation of our immigration law”, said Marcos D. Charles, acting Field Office Director U.S. Immigration and Customs Enforcement (ICE), Enforcement and Removal Operations, Boston. “When an individual violates these laws, that person shows contempt for our long established immigration system. These actions also disrespect the hundreds of thousands of immigrants who have followed the lawful process of entry into our country.”
This matter was investigated by the Department of Homeland Security, Immigration and Customs Enforcement. Assistance also was provided by United States Border Patrol and United States Citizenship and Immigration Services. The case is being prosecuted by Assistant U.S. Attorney Helen White Fitzgibbon.
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Boston Man Pleads Guilty to Federal Firearm OffenseRead the Press Release
BOSTON – A Boston man pleaded guilty today in federal court in Boston to illegally possessing a firearm and ammunition.
Robert Vishaun Roscoe, 28, pleaded guilty to one count of being a felon in possession of a firearm and ammunition. U.S. District Court Judge Nathaniel M. Gorton scheduled sentencing for Dec. 12, 2019. Roscoe was charged in May 2019 and has been in custody since.
On Oct. 11, 2018, law enforcement officers encountered Roscoe with a loaded black KelTec 9mm semi-automatic pistol and seven rounds of ammunition in Dorchester. Roscoe had been previously convicted of a crime punishable by more than one year in prison and was therefore prohibited from possessing a firearm or ammunition.
The charge of being a felon in possession of a firearm and ammunition provides for a sentence of no greater than 10 years in prison and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Kelly D. Brady, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives, Boston Field Division; Boston Police Chief William G. Gross, and Suffolk County District Attorney Rachael S. Rollins made the announcement today.
This prosecution 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.
Baltimore Cocaine and Marijuana Dealer Sentenced to More Than 11 Years in Federal PrisonRead the Press Release
Baltimore, Maryland – U.S. District Judge Ellen L. Hollander sentenced Delroy Williams, Jr. age 32, of Baltimore, Maryland, to 135 months in federal prison, followed by five years of supervised release, for a conspiracy to distribute five kilograms or more of cocaine, and for possession with intent to distribute cocaine and marijuana. Judge Hollander imposed the sentence on September 5, 2019.
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur; Assistant Special Agent in Charge Don A. Hibbert of the Drug Enforcement Administration, Baltimore District Office; Chief Melissa R. Hyatt of the Baltimore County Police Department; and Anne Arundel County Police Chief Tim Altomare.
“Drug traffickers must know that gun crime will lead to federal time, which has no parole—ever,” said United States Attorney Robert K. Hur. “Delroy Williams did not heed that message and will now serve more than 11 years in federal prison. We will continue to work with our law enforcement partners to remove those who would commit violence from our community.”
According to the testimony presented at his five-day trial, from at least October 2016 through December 12, 2016, Williams distributed cocaine and marijuana in the Baltimore area. On the evening of December 12, 2016, Williams encountered an associate at a nightclub in Baltimore County. Believing that the associate owed him money, Williams assaulted, robbed, and shot at the individual before ramming the victim’s car and then fleeing the scene. Realizing that the associate knew where Williams lived, Williams took his drugs from his residence and took them to his girlfriend’s home in Glen Burnie, Maryland.
Law enforcement executed a search warrant at the Glen Burnie residence the next day and recovered almost five kilograms of cocaine, several pounds of marijuana, and two guns from the house. Witnesses testified that several more pounds of marijuana, more than $213,000 in cash, scales, and pistol ammunition were recovered from Williams’s truck.
A federal jury convicted Williams on May 20, 2019. Williams was originally scheduled for trial in November 2018, but fled and was a fugitive until his arrest on January 11, 2019. Williams has been detained since that time.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Project Safe Neighborhoods (PSN) is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
United States Attorney Robert K. Hur commended the DEA, the Baltimore County Police Department, and the Anne Arundel County Police Department for their work in the investigation, and thanked the FBI, the ATF, and the U.S. Marshals Service for their assistance. Mr. Hur thanked Assistant U.S. Attorneys Zachary B. Stendig and John W. Sippel, Jr. who prosecuted the case.
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Austin Man Sentenced to Prison in Tax Fraud SchemeRead the Press Release
Two Austin, Texas, residents were sentenced today for criminal offenses arising out of a seven-year scheme to defraud the Internal Revenue Service (IRS), announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division.
United States District Court Judge Xavier Rodriguez sentenced Michael Herman to 21 months in prison, and Cynthia Herman to five years of probation. On May 20, 2019, an Austin jury convicted Michael Herman and Cynthia Herman (the “Hermans”) of conspiring to defraud the United States by impeding and impairing the IRS and filing false 2010 and 2011 individual income tax returns. Michael Herman was also convicted of filing false 2010 through 2012 corporate income tax returns.
According to evidence introduced at trial and witness testimony, the Hermans owned and operated: Cindy’s Gone Hog Wild, a restaurant and bar in Travis County, Texas, and two restaurants in Bastrop County, Texas, Cindy’s Downtown and Hasler Brothers Steakhouse. The Hermans skimmed cash from the restaurants by depositing only a portion of the cash receipts into their business bank accounts and reporting only those limited deposits on the corporate and individual income tax returns. The Hermans also paid for personal expenses out of the business accounts, including repair of their swimming pool, utilities for their home and the salary of a household employee. As a result, the personal returns filed by the Hermans falsely underreported income and businesses’ corporate returns and falsely deducted personal expenses as business expenses.
Judge Rodriguez also ordered the defendants to pay $157,719 in restitution, and Michael Herman to serve three years of supervised release.
Principal Deputy Assistant Attorney General Zuckerman thanked agents of IRS-Criminal Investigation, who conducted the investigation, and Trial Attorneys Robert A. Kemins and David Zisserson, who prosecuted the case. Principal Deputy Assistant Attorney General Zuckerman also thanked the U.S. Attorney’s Office for the Western District of Texas (Austin Division) for their substantial assistance.
Additional information about the Tax Division’s enforcement efforts can be found on the division’s website.
Attorney Charged with Filing False Tax ReturnsRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, and Kristina O’Connell, Special Agent in Charge of IRS Criminal Investigation in New England, today announced that a grand jury in New Haven returned an indictment yesterday charging DERON D. FREEMAN, 45, of Glastonbury, with two counts of filing false tax returns.
As alleged in the indictment, Freeman is attorney who owns and operates The Law Offices of Deron Freeman in Hartford. Freeman has practiced primarily in the areas of personal injury and criminal law. In 2011 and 2012, Freeman filed false tax returns that understated his income and, in turn, his tax liability.
If convicted of the charges, Freeman faces a maximum term of imprisonment of three years on each count.
Freeman’s arraignment is scheduled for September 10 at 1:30 before U.S. Magistrate Judge William I. Garfinkel in Bridgeport.
The case is assigned to U.S. District Judge Victor A. Bolden.
U.S. Attorney Durham stressed that an indictment is not evidence of guilt. Charges are only allegations, and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This investigation is being conducted by the Internal Revenue Service – Criminal Investigation Division. The case is being prosecuted by Assistant U.S. Attorney Susan L. Wines.
Armed Robber Sentenced to 28 Years in PrisonRead the Press Release
RICHMOND, Va. – A Norfolk man was sentenced today to 28 years in prison for committing a series of armed robberies in Petersburg, Henrico, and Richmond.
“Spencer, an armed criminal, used an AK-47 style long gun to rob and victimize, innocent, hard-working employees of small businesses in the Richmond area,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “His 28 year sentence reflects the seriousness of his despicable conduct, and thank God no one was killed during one of his brazen armed robberies. Spencer is a clear danger to the community, a threat to public safety, and the Eastern District is a safer place with him off of the streets. My thanks to the prosecutors and investigators for their commitment to this case and our Project Safe Neighborhoods mission of removing violent criminals from the community.”
According to court documents, Peonte Shamar Spencer, 39, armed himself with an AK-47 style long gun to rob three convenience stores and used a handgun to rob a bank. On Dec. 2, 2018, Spencer entered a Qwik Shop in Petersburg and demanded the register’s cash from the convenience store clerk while pointing an AK-47 style long gun at the clerk. Later that night, Spencer entered a Rite Aid in Henrico and once again brandished an AK-47 style long gun while demanding the store’s cash from its clerk. On Dec. 6, 2018, Spencer robbed a 48 Hour Convenience Store in Richmond using the same gun and similar tactics from the previous two robberies. During this robbery, Spencer threatened to shoot the store’s clerk. On Dec. 18, 2018, Spencer robbed the South State Bank in Richmond using a black starter pistol and fled with nearly $4,000 in a car driven by his girlfriend.
“The FBI and its partners will continue to aggressively investigate violent crimes such as the ones committed by Spencer,” said David W. Archey, Special Agent in Charge of the FBI’s Richmond Field Office. “We are grateful for the partnership of the United States Attorney’s Office, and its successful prosecution of this case which removed a violent criminal from the community.”
Law enforcement officers were able to locate the vehicle and apprehend Spencer and his girlfriend along with the bank’s stolen money, the black starter pistol, and an AK-47 with additional magazines. Spencer also admitted to law enforcement that he was involved in two previous bank robberies of the same bank earlier that year.
The 28 year sentence will be served consecutively to a sentence of eight years that Spencer received in Richmond Circuit Court.
This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and David W. Archey, Special Agent in Charge of the FBI’s Richmond Field Office, made the announcement after sentencing by Senior U.S. District Judge Henry E. Hudson. Assistant U.S. Attorneys Janet Jin Ah Lee and Angela Mastandrea-Miller prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:19-cr-12.
Activity in the United States Attorney's OfficeRead the Press Release
Federal District Court Judge Alan B. Johnson sentenced JOEL MOLINA-CRUZ, 37, on August 27, 2019 for illegal-re-entry of a previously deported alien into the United States. Molina-Cruz was arrested in Casper, Wyoming. He received eighteen months of imprisonment and was ordered to pay a $100.00 special assessment. Molina-Cruz is subject to deportation proceedings upon completion of his sentence. The U.S. Department of Homeland Security investigated this case.
Federal District Court Judge Nancy D. Freudenthal sentenced JASON AUGUST OBERMUELLER, 41, of Jensen, Utah on September 4, 2019 for being a felon in possession of a firearm. Obermueller was arrested in Utah. He received fourteen months of imprisonment, to be followed by thirty-six months of supervised release, and ordered to pay a $5,500.00 fine, and a $100.00 special assessment. The Bureau of Alcohol, Tobacco, Firearms, and Explosives investigated this case.
Federal District Court Judge Alan B. Johnson sentenced DAMEON DURANTE McDOWELL, 41, of Casper, Wyoming on September 4, 2019 for being a felon in possession of a firearm. McDowell was arrested in Casper, Wyoming. He received one hundred ten months of imprisonment, to be followed by thirty-six months of supervised release, and ordered to pay a $100.00 special assessment. The Casper Police Department and the Bureau of Alcohol, Tobacco, Firearms, and Explosives investigated this case.
Chief Federal District Court Judge Scott W. Skavdahl sentenced AUSTIN JAMES KELLY, 25, of Arizona on September 5, 2019 for possession of a stolen firearm. Kelly was arrested in Park County, Wyoming. He received time served to be followed by thirty-six months of supervised release, and ordered to pay a $100.00 special assessment. The Wyoming Highway Patrol, Wyoming Division of Criminal Investigation, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives investigated this case.
5 September 2019
Ypsilanti Man Convicted of Drug Trafficking Resulting in the Death of a VictimRead the Press Release
An Ypsilanti man was convicted today by a federal jury in Detroit on charges of distribution and conspiracy to distribute and to possess with the intent to distribute controlled substances, heroin and fentanyl, resulting in the overdose death of a victim and the serious bodily injury to a second overdose victim, announced United States Attorney Matthew Schneider.
Joining Schneider in the announcement were Keith Martin, Acting Special Agent in Charge of the Detroit Field Division, and Chad Baugh, Deputy Director of Canton Police Department.
Found guilty was Adam Dean Brown, 39. The eleven-day trial was conducted before United States District Judge Sean Cox. The jury deliberated approximately six hours before returning their verdicts. Brown faces mandatory life in prison when he is sentenced on January 8, 2020.
According to the evidence presented at trial, on October 17, 2017, law enforcement responded to a house call where they found an individual deceased in his basement. Officers found a syringe and packet of suspected heroin at the scene and determined the deceased died of an apparent drug overdose. A subsequent investigation revealed that the suspected heroin was actually fentanyl, and that the
22-year old victim died from a fentanyl overdose. Through their investigation, officers learned that the victim purchased the fentanyl from defendant Brown, a previously convicted drug trafficker. Further evidence showed that Brown and co-defendant James Sharp conspired to distribute illegal drugs, including heroin and fentanyl, over a fourteen month period in 2016 and 2017. Co-defendant Terence Robinson connected Brown to the October 17, 2017, overdose victim. Before officers could stop Brown, however, he sold fentanyl to a second local man, leading to his overdose and serious bodily injury. The second victim also overdosed on fentanyl sold by Brown, but the victim’s mother called 911 and first responders worked diligently to revive the victim.
"Overdose deaths from heroin and fentanyl have become a national epidemic, including here in Michigan, and illegal opioid pushers such as Adam Brown are a significant part of our problem,” Schneider said. “Michigan law enforcement is fully committed to battling back against these opioid traffickers and the tremendous pain they are causing to overdose victims and their families.”
“Fentanyl and heroin are causing overdose deaths throughout the state of Michigan in increasing numbers”, stated Acting Special Agent in Charge Martin. “The DEA is committed to aggressively pursuing individuals and Drug Trafficking Organizations who distribute these poisons across the state in order to profit from the destruction of lives and communities.”
“The Canton Police Department is fortunate to be able to partner with the federal government and in this case, provide a voice for the victim and a sense of justice for the family members struggling with the loss of their loved ones,” said Chad Baugh, Deputy Director of Canton Police Department. “We are hopeful this verdict sends a message to drug traffickers in southeast Michigan,” Baugh adds.
James Sharp pleaded guilty to the charge of conspiracy to distribute and possess with intent to distribute controlled substances on January 11, 2019, and was sentenced to 41 months in prison. Terence Robinson pleaded guilty to the charge of conspiracy to distribute and possess with intent to distribute controlled substances, and will be sentenced on October 9, 2019.
This investigation was led by agents of the Drug Enforcement Administration assigned to the Southeast Michigan Regional OCDETF Strike Force along with assistance from the Canton Township Police Department. The case is being prosecuted by Assistant U.S. Attorneys J. Michael Buckley and Hank Moon.
Woodburn Man Sentenced to 60 Months in PrisonRead the Press Release
FORT WAYNE- Charles Tranter, 35, of Woodburn, Indiana was sentenced by U.S. District Court Judge Holly A. Brady, on September 4, 2019, after pleading guilty to the receipt of material involving the sexual exploitation of minors, announced U.S. Attorney Thomas L. Kirsch II.
Tranter was sentenced to a total of 60 months in prison followed by 5 years of supervised release.
According to documents in the case, an Indictment was filed against Tranter on March 22, 2017, charging him with the receipt of material involving the sexual exploitation of minors from July, 2012 through October, 2015. During this time, Tranter amassed more than 600 images of minors engaged in sexually explicit conduct.
This case was investigated by the Federal Bureau of Investigation’s Violent Crimes Against Children Task Force. This case was handled by Assistant United States Attorney Lesley J. Miller Lowery.
United States Attorney McSwain Announces Arrest of Former Catholic Priest on False Statement ChargesRead the Press Release
PHILADELPHIA – United States Attorney William M. McSwain announced that Robert Brennan, 81, of Perryville, MD, was arrested and charged by Indictment with four counts of making materially false statements in a matter within the jurisdiction of the executive branch of the United States government.
The Indictment alleges that on or about April 25, 2019, Brennan was interviewed by the Federal Bureau of Investigation and made a number of false statements to the investigating agents. Brennan had served in the Archdiocese of Philadelphia from 1993 to 2004 as a priest at Resurrection of Our Lord parish (“Resurrection”). In September 2013, the Philadelphia District Attorney’s Office filed criminal charges against him, alleging that he had sexually abused a minor, Sean McIlmail, during Brennan’s time at Resurrection. Soon thereafter, on or about October 13, 2013, Sean McIlmail died of a drug overdose and the criminal charges against Brennan were dismissed.
In November 2013, the McIlmail family filed a civil lawsuit against the Archdiocese of Philadelphia and Brennan. The lawsuit was settled for an undisclosed amount on or about May 2, 2018.
During the April 25, 2019 interview with the FBI, Brennan made several allegedly false statements that prior to the filing of the 2013 criminal case and civil lawsuit against him, he did not know Sean McIlmail, his father, mother or brother. Brennan was arrested in Maryland this morning and is being transported to Philadelphia for his initial appearance in federal court today at 1:30 p.m.
“Making false statements to the FBI is a serious crime, and given the circumstances, the alleged false statements here are particularly disturbing,” said U.S. Attorney McSwain. “We will use all of the tools at our disposal to hold this defendant accountable for his alleged actions.”
“The defendant allegedly lied to the FBI to obstruct an investigation into complaints that he sexually abused a child while serving as a priest,” said Attorney General Josh Shapiro. “I’m proud to work with our federal partners to hold him accountable. Our Office will investigate and prosecute anyone who abuses children, takes advantage of their position of power, or gives false statements to law enforcement, no matter who they are.”
“Lying to federal agents threatens the integrity of our justice system,” said Michael T. Harpster, Special Agent in Charge of the FBI's Philadelphia Division. “That’s precisely why it’s a crime. The FBI can't properly carry out investigations, if the people we interview think they can deceive us without consequence.”
If convicted, the defendant faces a maximum possible sentence of 32 years’ imprisonment, a $1,000,000 fine, and 3 years’ supervised release.
The case was investigated by the Federal Bureau of Investigation, with assistance from the Pennsylvania Attorney General’s Office, and is being prosecuted by Assistant United States Attorney Michelle L. Morgan.
An indictment, information, or criminal complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.
Two Women Sentenced to Federal Prison for Credit Card Fraud Scheme Targeting Elderly VictimsRead the Press Release
Orlando, Florida – U.S. District Judge Carlos E. Mendoza today sentenced Lenardra Griffin (30, Grand Island) to three years and four months in federal prison, and Christina Scott (35, Orlando) to two years and six months in federal prison, for access device (credit card) fraud. In addition, the court also ordered Griffin and Scott to pay restitution in the amounts of $812,909.53 and $703,483.50, respectively. Griffin had pleaded guilty to two counts of access device fraud on January 8, 2019, and Scott had pleaded guilty to one count of access device fraud on June 20, 2019.
On June 26, 2019, a third participant in the scheme, Shannon Bentley (34, Sorrento), was sentenced to nine years and three months in federal prison. She was also ordered to pay $812,990.53 in restitution.
According to court documents, from August 2014 through July 2018, the conspirators obtained personal identifying information (“PII”) from victims, obtained fake credit card accounts and cards in the victims’ names or linked to their accounts, and used those credit cards to obtain goods, gift cards, and cash at retail establishments and banks throughout Orlando and surrounding areas. Griffin was involved in all aspects of this scheme and, along with Bentley, exploited the advanced age of their elderly victims to steal their identities, causing them to incur fraudulent charges. Scott was involved in the use of, and trafficking in, fraudulent credit cards. The total amount of loss was estimated to be more than $812,000.
This case was investigated by the United States Postal Inspection Service and the Florida Department of Law Enforcement, with assistance from the Orange County Sheriff’s Office and the United States Secret Service. It was prosecuted by Assistant United States Attorney Dana E. Hill.
Combatting elder abuse and financial fraud targeted at seniors is a key priority of the Department of Justice. Together with our federal, state, local and tribal partners, the Department of Justice is steadfastly committed to combatting all forms of elder abuse and financial exploitation through enforcement actions, training and resources, research, victim services, and public awareness.
Two Indicted for $4 Million Warranty Fraud SchemeRead the Press Release
CHARLESTON, W.Va. – A federal grand jury returned an indictment today charging two people with nine counts of wire and mail fraud relating to a scheme to defraud a major car company of more than $4 million.
According to the indictment, Frank Russo, 68, of North Carolina, and Kevin Fluharty, 58, of West Virginia organized and participated in a scheme to misuse a car company’s warranty extension program that offered to repurchase certain defective trucks for 150% of their value, so long as those trucks were owned by individual customers rather than a dealership. Participants in the scheme bought the trucks at wholesale prices at auction through a car dealership in Kentucky. They then obtained hundreds of copies of Kentucky and West Virginia residents’ driver’s licenses, fraudulently titled the trucks in the name of those residents, and induced the car company to repurchase the trucks at 150% of value.
According to the indictment, the indicted defendants ran 350 trucks through the scheme between 2013 and 2015, causing approximately $4.3 million in losses to the car company.
“These allegations are very serious. The alleged fraud scheme caused over $4 million in losses,” said United States Attorney Mike Stuart. “I appreciate the tremendous work of the investigators in this case that resulted in today’s indictment.”
If convicted, the two defendants each face up to 30 years in prison.
The United States Postal Inspection Service, the Federal Bureau of Investigation (FBI), the West Virginia State Police and the West Virginia Office of the Insurance Commissioner conducted the investigation. Assistant United States Attorney Stefan Hasselblad is handling the prosecution.
The indictment can be found here.
Please note: An indictment is merely an allegation and the defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
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Topeka Man Charged with Bank RobberyRead the Press Release
TOPEKA, KAN. – A Topeka man was charged today with bank robbery, U.S. Attorney Stephen McAllister said.
James E. Freeman, 55, Topeka, Kan., is charged with one count of bank robbery. A criminal complaint filed today in U.S. District Court in Topeka alleges he robbed U.S. Bank at 719 South Kansas Avenue in Topeka. An affidavit alleges Freeman entered the bank at about 2:30 p.m. on Sept. 4. He began striking the counter with his right hand and screaming, “Just give me money,” and “This is a robbery.” He left the bank with cash.
A Topeka police officer responding to the bank robbery call found Freeman walking on 6th Street about a block from the bank. Freeman was holding cash in his hands when he was arrested.
If convicted, Freeman faces up to 20 years in federal prison and a fine up to $250,000. The Topeka Police Department and the FBI investigated. Assistant U.S. Attorney Jared Maag is prosecuting.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.