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Friday 21 June 2019
Virginia Tax Lobbyist Pleads Guilty to Filing a False Tax ReturnRead the Press Release
An Alexandria, Virginia, tax lobbyist pleaded guilty today to willfully filing a false tax return, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and U.S. Attorney G. Zachary Terwilliger for the Eastern District of Virginia.
According to court documents, attorney James F. Miller, 67, underreported his gross income on his 2010 through 2014 tax returns by approximately $2,215,587. Miller, a tax policy lobbyist and former employee of the Justice Department’s Tax Division, filed multiple false tax returns with the Internal Revenue Service (IRS). These returns omitted substantial portions of the partnership income he received from two law firms he worked at and the gross receipts of his own lobbying firm. The total tax loss resulting from Miller’s fraudulent conduct was approximately $735,933.
Sentencing is scheduled for Sept. 27, 2019. Miller faces a maximum sentence of three years in prison, a term of supervised release, and monetary penalties. In addition, Miller agreed to pay $735,933 restitution to the IRS.
Principal Deputy Assistant Attorney General Zuckerman and U.S. Attorney Terwilliger thanked agents of IRS-Criminal Investigation, who conducted the investigation, and AUSA Ryan S. Faulconer and Trial Attorney Terri-Lei O’Malley of the Tax Division, who are prosecuting the case.
Additional information about the Tax Division’s enforcement efforts can be found on the division’s website.
Utica Man Arrested on Child Pornography ChargesRead the Press Release
SYRACUSE, NEW YORK – Aaron Bohannon, age 52, of Utica, New York, was charged today with distributing and possessing child pornography, announced United States Attorney Grant C. Jaquith and Kevin M. Kelly, Special Agent in Charge, Homeland Security Investigations (HSI), Buffalo Field Office.
Bohannon made his initial appearance in federal court today before United States Magistrate Thérèse Wiley Dancks, who ordered that he be detained pending resolution of the charges.
The criminal complaint filed against Bohannon alleges that in January 2019, he distributed child pornography by uploading images and videos to a social media platform. Further, the complaint alleges that Bohannon had material depicting child pornography on one his mobile devices at the time of his arrest.
The charges in the complaint are merely accusations. The defendant is presumed innocent unless and until proven guilty.
If convicted, Bohannon faces at least 5 years and up to 20 years in prison, a term of post-imprisonment supervised release of at least 5 years and up to life, and mandatory registration as a sex offender. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.
This case is being investigated by the New York State Police, the Oneida County Sheriff’s Office, the Utica Police Department, and Homeland Security Investigations, and is being prosecuted by Assistant U.S. Attorney Michael D. Gadarian.
This case is prosecuted as part of Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorneys’ Offices, 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 identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/.
Two Suburban Chicago Men Convicted of Conspiring to Provide Material Support to ISISRead the Press Release
CHICAGO — Two men from a north suburb of Chicago have been convicted of conspiring to provide material support to the Islamic State of Iraq and al Sham, a foreign terrorist organization also known as ISIS.
The jury in federal court in Chicago on Thursday convicted JOSEPH D. JONES, 37, and EDWARD SCHIMENTI, 37, both of Zion, on one count of conspiring to provide material support and resources to ISIS. Schimenti was also convicted on one count of making false statements to the FBI.
The material support charge is punishable by a maximum sentence of 20 years in prison, while the false statement count carries a maximum sentence of eight years. U.S. District Judge Andrea R. Wood did not immediately set a sentencing date. A status hearing was scheduled for Aug. 14, 2019.
The case was investigated by the Chicago Joint Terrorism Task Force, which is comprised of numerous federal, state and local law enforcement agencies.
The convictions were announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; John C. Demers, Assistant Attorney General for National Security; and Jeffrey S. Sallet, Special Agent-in-Charge of the Chicago office of the FBI. The Zion Police Department provided valuable assistance. The government is represented by Assistant U.S. Attorneys Barry Jonas, Rajnath Laud and David Rojas of the Northern District of Illinois, and Trial Attorney Alexandra S. Hughes of the National Security Division’s Counterterrorism Section.
Evidence at trial revealed that Jones and Schimenti advocated on social media for violent extremism in support of the terrorist group. In 2015, Jones and Schimenti began meeting with undercover FBI employees and individuals who were cooperating with law enforcement. During the meetings, Jones and Schimenti discussed their devotion to ISIS and their commitment to ISIS principles. Many of these meetings occurred in the north suburbs of Chicago. Jones and Schimenti at one point shared photographs of themselves holding the ISIS flag at the Illinois Beach State Park in Zion.
In 2017, the pair furnished cellular phones to a cooperating individual, believing the phones would be used to detonate explosive devices in ISIS attacks overseas. On April 7, 2017, Jones and Schimenti drove the cooperating individual to O’Hare International Airport in Chicago, with the understanding that the cooperating individual would be traveling to Syria to fight with ISIS.
The false statement conviction against Schimenti stems from the materially false statements he gave to the FBI after his arrest. During the interview, Schimenti said he had never engaged in conversations about bomb detonators, and that he was under the impression the phones would be repaired and re-sold and not used for any other purpose.
Two Suburban Chicago Men Convicted of Conspiring to Provide Material Support to ISISRead the Press Release
Two men from a north suburb of Chicago have been convicted of conspiring to provide material support to the Islamic State of Iraq and al Sham, a foreign terrorist organization also known as ISIS. Assistant Attorney General for National Security John C. Demers, U.S. Attorney John R. Lausch Jr. and Special Agent-in-Charge Jeffrey S. Sallet of the FBI’s Chicago Field Office made the announcement.
The jury in federal court in Chicago on Thursday convicted Joseph D. Jones, 37, and Edward Schimenti, 37, both of Zion, Illinois, on one count of conspiring to provide material support and resources to ISIS. Schimenti was also convicted on one count of making false statements to the FBI.
The material support charge is punishable by a maximum sentence of 20 years in prison, while the false statement count carries a maximum sentence of eight years. U.S. District Judge Andrea R. Wood did not immediately set a sentencing date. A status hearing was scheduled for Aug. 14, 2019.
The case was investigated by the Chicago Joint Terrorism Task Force, which is comprised of numerous federal, state and local law enforcement agencies.
Evidence at trial revealed that Jones and Schimenti advocated on social media for violent extremism in support of the terrorist group. In 2015, Jones and Schimenti began meeting with undercover FBI employees and individuals who were cooperating with law enforcement. During the meetings, Jones and Schimenti discussed their devotion to ISIS and their commitment to ISIS’ violent extremist principles. Many of these meetings occurred in the north suburbs of Chicago. Jones and Schimenti at one point shared photographs of themselves holding the ISIS flag at the Illinois Beach State Park in Zion.
In 2017, the pair furnished cellular phones to a cooperating individual, believing the phones would be used to detonate explosive devices in ISIS attacks overseas. On April 7, 2017, Jones and Schimenti drove the cooperating individual to O’Hare International Airport in Chicago, with the understanding that the cooperating individual would be traveling to Syria to fight with ISIS.
The false statement conviction against Schimenti stems from the materially false statements he gave to the FBI after his arrest. During the interview, Schimenti said he had never engaged in conversations about bomb detonators, and that he was under the impression the phones would be repaired and re-sold and not used for any other purpose.
The Zion Police Department provided valuable assistance. The government is represented by Assistant U.S. Attorneys Barry Jonas, Rajnath Laud and David Rojas of the Northern District of Illinois and Trial Attorney Alexandra S. Hughes of the National Security Division’s Counterterrorism Division.
Two Men Sentenced for $2.5 Million Narcotics Trafficking ConspiracyRead the Press Release
ALEXANDRIA, Va. – An international narcotics trafficker from the Dominican Republic and a narcotics trafficker from New York City were sentenced today to a combined 17 years in prison for their respective roles in a multi-million dollar conspiracy to purchase 100 kilograms of cocaine.
According to court documents and evidence presented at a related trial, Luis Rafael Tavarez, aka “El Primo,” 37, traveled from New York to Northern Virginia in October 2018 with co-defendants Manny Lizardo, 24, and Luis Liriano-Toribio, 32, to obtain 100 kilograms of cocaine in exchange for $2.5 million in cash. Law enforcement seized over $1.15 million in cash at the time of the arrests.
Tavarez was sentenced to ten and a half years in prison, while Lizardo was sentenced to six and a half years. Liriano-Toribio was convicted by a federal jury on March 18 and will be sentenced on June 28.
On several occasions in September and October 2018, Tavarez reaffirmed his desire to travel to Virginia to conduct a large drug transaction whereby he would pay $25,000 per kilogram of cocaine. In connection with this multi-million dollar deal, Tavarez sought an additional vehicle, known to narcotics traffickers as a “trap vehicle,” to split large amounts of cocaine into separate cars in order to minimize the risk of potentially losing the entire shipment in the event that law enforcement stopped one of the vehicles. In furtherance of the conspiracy, Tavarez used multiple telephones, an alias, and encrypted communication platforms, including with Lizardo and Liriano-Toribio, because he believed those measures would minimize the risk of law enforcement detection.
Tavarez previously admitted that Lizardo and Liriano-Toribio traveled to Northern Virginia to assist him in trafficking and/or transporting the large shipment of cocaine back to New York. Tavarez served as the leader and organizer of the operation, and was arrested at a hotel in Vienna in possession of over $1 million dollars in cash. Lizardo and Liriano-Toribio were arrested in a parking garage in Fairfax while both men were attempting to take possession of the cocaine.
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, Colonel Gary T. Settle, Superintendent of Virginia State Police, Raymond Villanueva, Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Washington, D.C., Colonel Edwin C. Roessler Jr., Fairfax County Chief of Police, and Colonel James Morris, Vienna Chief of Police, made the announcement after sentencing by U.S. District Judge Anthony J. Trenga. Assistant U.S. Attorney Raj Parekh 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. 1:18-cr-426.
Tulsa Man Sentenced for Defrauding Bank of Nearly $5 MillionRead the Press Release
United States Attorney Trent Shores announced today that a Tulsa man was ordered to federal prison for defrauding a bank of nearly $5 million and for bankruptcy fraud. In December, Zealand Benjamin Thigpen III, 68, pleaded guilty in U.S. District Court to defrauding Arvest Bank of $4,754,488 from 2015 to 2017.
U.S. District Judge Claire V. Eagan sentenced Thigpen to 33 months in prison to be followed by five years of supervised release. Judge Eagan further ordered a criminal forfeiture money judgement in the sum of $4,754,488.40 representing proceeds obtained through his crimes.
“Thigpen swindled millions. He perpetrated a fraud on both Arvest Bank and the Small Business Administration. While he sits in federal prison for the next 33 months, the United States Attorney’s Office will return his illegally begotten proceeds to the victims of his fraud,” said U.S. Attorney Shores. “I commend the investigators from the Department of Treasury and Small Business Administration, along with Assistant U.S. Attorney Kevin Leitch. They discovered and exposed Thigpen’s scheme, then brought him to justice.”
As part of his scheme, Thigpen owned and operated Julimar Trading, LLC., which bought and sold refined metal alloys, principally for the production of steel. Julimar’s operations were funded by Avrest Bank and, in part, guaranteed by the Small Business Administration. The bank financing was secured by his company’s inventory and accounts receivable, as well as Thigpen’s personal guarantees. When submitting financial documentation to the bank on October 4, 2016, Thigpen provided false information about the value of Julimar’s inventory and accounts receivable, explaining the inventory was worth $5,816,335. As a result, Arvest and Small Business Administration continued his line of credit under false pretenses. In fact, the accounts receivable and inventory were nearly non-existent.
Later, on November 18, 2016, Thigpen filed pursuant to Chapter 7 in U.S. Bankruptcy Court, and once again lied about Julimar’s inventory, stating that it was worth just over $3.3 million, when he was fully aware it only totaled only a few thousand dollars.
Thigpen was remanded int0 the custody of the U.S. Marshals Service until transfer into a U.S. Bureau of Prisons facility.
This case resulted from a joint investigation performed by the Offices of Inspectors General of the Department of the Treasury and the Small Business Administration and was prosecuted by Assistant U.S. Attorney Kevin C. Leitch
Trio Sentenced in Scheme to Smuggle Methamphetamine into Calhoun State PrisonRead the Press Release
ALBANY – The final defendant involved in a scheme to smuggle drugs to inmates in prison was sentenced late Thursday afternoon, announced Charles “Charlie” Peeler, the United States Attorney for the Middle District. Crystal Avery, 37, of Lithia Springs, GA was sentenced on June 20, 2019 by the Honorable W. Louis Sands to 48 months imprisonment on her admission of guilt to Possession with Intent to Distribute Methamphetamine. Two co-conspirators have already been sentenced. Former Calhoun State Prison inmate, Cody Brousshard, 35, of Lawrenceville, GA previously pleaded guilty to Conspiracy to Possess with Intent to Distribute Methamphetamine and was sentenced on April 30, 2019 to serve 144 months imprisonment consecutive to his state sentences by the Honorable Leslie A. Gardner. Timothy Bailey, 31, of Lawrenceville, GA was sentenced to 36 months in prison for Possession with Intent to Distribute Methamphetamine by U.S. District Judge Sands. Mr. Bailey also previously pleaded guilty to his crime. There is no parole in the federal system.
According to the facts in the plea agreements, Mr. Brousshard was an inmate in Calhoun State Prison and directed the acquisition, packaging and delivery of methamphetamine to two Georgia prisons on several occasions. Mr. Brousshard admitted to using a cell phone, illegally hidden inside the prisons, to direct the methamphetamine deliveries inside both Dooly State Prison and Calhoun State Prison, where he was transferred. Mr. Bailey and Ms. Avery were caught by Calhoun County deputies in May 2018 shortly after hiding a camouflaged bundle containing 57 grams of methamphetamine in a field behind Calhoun State Prison for an inmate work detail to retrieve and smuggle inside the prison.
“Contraband cellphones are being used by inmates to control the activity of large criminal networks operating outside the prisons, and we consider this a major threat to the safety of citizens not only in the Middle District, but throughout the nation,” said Charlie Peeler, the U.S. Attorney for the Middle District of Georgia. “These cell phones are weapons being used by incarcerated, convicted criminals to continue to wreak havoc both inside and outside prison walls. I am proud of the work our office and our law enforcement partners are doing to combat this emerging threat.”
The case was investigated by the Calhoun County Sheriff’s Department, the Georgia Department of Corrections and the Drug Enforcement Administration. Assistant United States Attorney Leah McEwen prosecuted the case for the Government.
Questions can be directed to Pamela Lightsey, Public Information Officer, United States Attorney’s Office, at (478) 621-2603 or Melissa Hodges, Public Affairs Director (Contractor), United States Attorney’s Office, at (478) 765-2362.
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Tennessee Man Pleads Guilty to CyberstalkingRead the Press Release
WASHINGTON - Andrew T. Maliska, 27, of Nashville, Tennessee, pled guilty on Monday, June 17 to cyberstalking in the District of Columbia following an investigation into the creation and circulation of doctored images, related postings, and the personal information of the victim.
The announcement was made by U.S. Attorney Jessie K. Liu and John P. Selleck, Acting Assistant Director in Charge of the FBI’s Washington Field Office.
Maliska was indicted by a grand jury on one count of cyberstalking and indicted on two counts of identity theft. The indictment was unsealed on May 24, 2018, in the U.S. District Court for the District of Columbia.
According to the government’s evidence, Maliska resided in the District of Columbia from September 2009 until June 2013, where he studied at a local university and met the victim. The indictment alleges that during the course of his friendship with the victim, Maliska without authorization, accessed and obtained non-sexual images from the victim’s social media accounts. According to the indictment, Maliska then doctored those images to sexualize them and posted them on various online forums.
The indictment alleges that Maliska also posted the victim’s name, phone number, and address on an escort website in May of 2015. This posting resulted in the victim receiving multiple inquiries from individuals seeking escort services from her. The indictment further alleges that the nature of the other postings were pornographic, racist, and defamatory.
The victim and her family filed a civil suit against Maliska in October of 2015. The following year, the victim and her family obtained a civil settlement in which Maliska acknowledged the postings and content were authored by him, stated he would remove the content, and agreed that he would refrain from engaging in further defamatory postings of the victim.
As alleged in the indictment, in August 2017, after Maliska entered into the civil settlement, he continued to commission sexual images of the victim, posted about the victim, and reactivated a fake social media account in her name. The indictment alleges that Maliska used the victim’s name, biographical information, and images to create the fake social media account. Maliska used the fake social media account to befriend and communicate with others online.
The charge of cyberstalking carries a statutory maximum of five years in prison and potential financial penalties.
This case was investigated by the FBI’s Washington Field Office. It was prosecuted by Assistant U.S. Attorneys Youli Lee and Charles Willoughby, paralegal Diane Brashears, and former Assistant U.S. Attorney Sumit Mallick, of the U.S. Attorney’s Office for the District of Columbia. Assistance was provided by Assistant U.S. Attorney Byron Jones of the U.S. Attorney’s Office of the Middle District of Tennessee and Bianca Evans, formerly of the U.S. Attorney’s Office for the District of Columbia.
Ten Additional Latin Dragon Members Charged with Racketeering Conspiracy Including Five Members Charged with Involvement in Four Separate MurdersRead the Press Release
HAMMOND- Ten additional members of the criminal street gang, the Latin Dragon Nation, have been charged with racketeering conspiracy and other related offenses in a fourth superseding indictment unsealed today, announced U.S. Attorney Kirsch.
According to the fourth superseding indictment, the Latin Dragons Nation is a criminal street gang that originated in Chicago and spread to other areas, including the Northern District of Indiana. Members and associates of the Latin Dragons Nation allegedly engage in acts of violence, including murder, attempted murder, witness tampering, and assault, to protect the gang’s territory.
U.S. Attorney Kirsch said, “Gang members should not get comfortable in the Northern District of Indiana. We will never tolerate gang violence. Together with our federal, state, and local law enforcement partners, we will continue to aggressively prosecute gang members for their criminal activity and seek appropriately lengthy prison sentences. Gang activity does not stop at the state line, and as evidenced by the charges announced today, neither do our investigations and prosecutions. Gangs terrorize our neighborhoods and put innocent lives at grave risk. My office will do everything we can to prevent and defeat gang activity like this.”
The ten additional defendants charged in the fourteen-count indictment are Ralph Daniel Mendez, 44, of Chicago, Illinois; Javier Aguilera, 26, of Chicago, Illinois; Jonathan Arevalo, 26, of Gary, Indiana; Nico Mata, 25, of Hammond, Indiana; Alec Nathaniel Aguilar, 20, of Chicago, Illinois; Justin Anaya, 18, of Chicago, Illinois; Keenan Seymour, 19, of Chicago, Illinois; David White, 24, of Chicago, Illinois; Tiffany Barragan, 21, of Chicago, Illinois; and Angelina Vilella, 20, of Chicago, Illinois.
In the fourth superseding indictment, Ralph Mendez, Jr., is also charged with the murder of Jose Gomez on May 23, 2017, in Chicago, Illinois. Ralph Mendez, Jr., and David White are also charged with the murder of Mike Whitford on July 14, 2017, in Chicago, Illinois.
In addition, Justin Anaya and Alec Nathaniel Aguilar are alleged to have killed Gustavo Garcia on July 14, 2017, in Chicago, Illinois. Justin Anaya, Alec Nathaniel Aguilar, and Keenan Seymour are alleged to have killed Manuel Salazar on November 24, 2017, in Chicago, Illinois.
The previously indicted defendants charged in this case are Manuel Diaz, 28, of Hammond, Indiana; Eduardo Diaz-Corral, 20, of Calumet City, Illinois; Ralph Mendez, Jr., 23, of Chicago, Illinois; Joseph Daniel Roggenkamp, 21, of East Chicago, Indiana; Gustavo Colunga, 26, of Hammond, Indiana; Joshua Harris-White, 25, of Chicago, Illinois; and Luis Colunga, 29, of Chicago, Illinois. In this superseding indictment, additional murders and crimes of violence are alleged to have been committed by several of the previously charged defendants. Specifically, Diaz-Corral and Diaz allegedly participated, respectively, in the murders of Paul Cruz on November 20, 2016, in Chicago, and Charles Berrios on September 30, 2017, in Hammond, Indiana.
The fourth superseding indictment is part of ongoing efforts to curb the activities of violent street gangs in the Northern District of Indiana.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
If convicted, any specific sentence to be imposed will be determined by the judge after consideration of federal sentencing statutes and the Federal Sentencing Guidelines.
This case is the result of the investigative efforts of the Federal Bureau of Investigation; the Bureau of Alcohol, Tobacco, Firearms, and Explosives; the Chicago Police Department Criminal Enterprise Unit; the Hammond Police Department; the Cook County Sheriff’s Office; the Bartlett Police Department; the East Chicago Police Department; the Merrillville Police Department; the Hobart Police Department; the Lake County Sheriff’s Department; and the Calumet City Police Department, with assistance from the Lake County, Indiana Prosecutor’s Office, the Cook County, Illinois State’s Attorney’s Office, the Indiana Department of Corrections, and the Illinois Department of Corrections. This case is being prosecuted by Assistant U.S. Attorney Joseph A. Cooley and Special Assistant U.S. Attorney Michael J. Toth, with prior assistance from the Criminal Division’s Organized Crime and Gang Section Trial Attorneys Robert Tully, Andrew Creighton, and Hans Miller.
Sturgis Man Sentenced to 17.5 years for Meth Distribution ConspiracyRead the Press Release
United States Attorney Ron Parsons announced that a Sturgis, South Dakota, man convicted of Conspiracy to Distribute Methamphetamine was sentenced on June 18, 2019, by Chief Judge Jeffrey L. Viken, U.S. District Court.
Joseph Bradshaw, age 37, was sentenced to 17.5 years in prison, followed by 5 years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund. He also forfeited 13 firearms collected during a search of his residence in October of 2017.
Bradshaw was indicted for Conspiring to Distribute Methamphetamine, Possession with Intent to Distribute a Controlled Substance, and Prohibited Person in Possession of a Firearm by a federal grand jury on October 24, 2017. He pled guilty on January 25, 2019.
Bradshaw received pounds of methamphetamine from a California supplier. The methamphetamine Bradshaw received was distributed in North Dakota and the Black Hills. Additional co-conspirators are pending sentencing and trials in Rapid City.
Drug trafficking is an inherently violent activity. Firearms are tools of the trade for drug dealers. It is common to find drug traffickers armed with guns in order to protect their illegal drug product and cash, and enforce their illegal operations.
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 its 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 local communities to develop effective, locally-based strategies to reduce violent crime.
This case was investigated by the South Dakota Division of Criminal Investigation, Bureau of Alcohol, Tobacco, and Firearms, and the Unified Narcotics Enforcement Team. Assistant U.S. Attorney Kathryn N. Rich prosecuted the case.
Bradshaw was immediately turned over to the custody of the U.S. Marshals Service.
Staten Island Man Pleads Guilty to Defrauding Investors in Virtual CurrencyRead the Press Release
Earlier today, Patrick McDonnell, also known as “Jason Flack,” pleaded guilty at the federal courthouse in Brooklyn to wire fraud in connection with a scheme to defraud investors in virtual currency. When sentenced, McDonnell faces up to 20 years in prison as well as forfeiture and restitution to his victims. The plea took place before United States District Judge Nicholas G. Garaufis.
Richard P. Donoghue, United States Attorney for the Eastern District of New York, and Philip R. Bartlett, Inspector-in-Charge, United States Postal Inspection Service, New York Division (USPIS), announced the guilty plea.
“McDonnell has admitted that he used old-fashioned deception to defraud investors seeking to trade 21st century currencies,” stated United States Attorney Donoghue. “This Office and our law enforcement partners will continue to prosecute those who swindle the investing public to the full extent of the law.” Mr. Donoghue expressed his grateful appreciation to the United States Commodity Futures Trading Commission (CFTC) for its significant cooperation and assistance in this case.
Between approximately November 2014 and January 2018, McDonnell portrayed himself as an experienced trader in virtual currency, promising investors he would provide trading advice and purchase and trade virtual currency on their behalf. Beginning in approximately May 2016, McDonnell made similar representations through his Staten Island-based company, CabbageTech, Corp., also known as Coin Drop Markets. However, neither McDonnell nor CabbageTech provided investment services. Instead, McDonnell sent investors false balance statements purportedly showing that their investments had been profitable, and stole their money for his personal use. McDonnell defrauded at least 10 victims of at least $194,000 in U.S. currency, 4.41 Bitcoin, 206 Litecoin, 620 Ethereum Classic and 1,342,634 Verge.
The government’s case is being handled by the Office’s Business and Securities Fraud Section. Assistant United States Attorney Hiral D. Mehta is in charge of the prosecution.
The Defendant:
PATRICK MCDONNELL (also known as “Jason Flack”)
Age: 46
Staten Island, New YorkE.D.N.Y. Docket No. 19-CR-148 (NGG)
Six Gangster Disciples Members, Including the “Enforcer” for the State of Tennessee, Plead Guilty to Federal Racketeering ChargesRead the Press Release
Memphis, TN – Six Gangster Disciples, including the "Enforcer" for the State of Tennessee, have pled guilty to conspiracy to participate in racketeering activity. U.S. Attorney D. Michael Dunavant announced the guilty pleas today.
These guilty pleas are the latest convictions in a large RICO conspiracy case, "Operation .38 Special", which was originally indicted in May, 2016, charging a total of 16 members of the Gangster Disciples criminal enterprise with racketeering. With the addition of these 6 recent guilty pleas, 14 of the 16 gang members have now been found guilty for their roles in the conspiracy. The following defendants pled guilty in U.S. District Court in Memphis over the last 2 weeks:
• Demarcus Crawford, 35, a/k/a "Trip," entered a guilty plea on June 7, 2019 to conspiracy to participate in racketeering activity. Crawford, during the time period covered in the superseding indictment, held the rank of Enforcer for the entire State of Tennessee for the Gangster Disciples.
• Shamar James, 40, a/k/a "Lionheart," entered his guilty plea to the racketeering charge on June 6, 2019. During the time period covered by the superseding indictment, he held various positions of authority for the Gangster Disciples criminal enterprise, including Governor of Memphis, First Coordinator of Memphis, and Event/Entertainment Coordinator.
• Demario Sprouse, 38, a/k/a "Taco," pled guilty on June 19, 2019 to the RICO conspiracy. Sprouse held the prior rank of Chief of Security for a section located within Memphis.
• Rico Harris, 46, a/k/a "Big Brim," and Denton Suggs, 43, a/k/a "Denton Morman," a/k/a "Denny Mo," a/k/a "Diddy Mo," both entered guilty pleas on June 7, 2019 to the RICO charge. They both had been members of a security team.
• Gerald Hampton, 33, a/k/a "G-30," who was also a member of a security team, entered his plea on June 13, 2019.
According to the superseding indictment, the defendants named in the RICO conspiracy committed attempted murders; robberies; assaults; distribution of large quantities of cocaine, crack and marijuana; firearms trafficking; kidnappings; intimidations of witnesses and victims; extortion; obstruction of justice; and other offenses in furtherance of the Gangster Disciples criminal enterprise and to promote and enhance the members’ position within the gang.
The leadership of the Gangster Disciples (GD) criminal enterprise is organized into different positions, including national board members; governors of governors who controlled multiple states or geographic regions; and governors, assistant governors, chief enforcers, chiefs of security, and security team members for each state or region within the state where the Gangster Disciples were active. They also have coordinators and leaders within each local group. To enforce discipline among Gangster Disciples and adherence to the criminal organization’s rules and structure, members and associates are routinely fined, beaten and even murdered for failing to follow the gang’s rules.
Other leaders and members of the Gangster Disciples have previously been sentenced for their roles in the RICO conspiracy, including: Byron Montrail Purdy, a/k/a "Lil B" or "Ghetto," 38, of Jackson, Tennessee, the GD Governor of Tennessee who received a sentence of 360 months; Derrick Kennedy Crumpton, a/k/a "38," 35, of Memphis, Tennessee, the GD Assistant Governor of Tennessee who was sentenced to 324 months; Henry Cooper, a/k/a Big Hen, 37, of Memphis, Tennessee, the GD Chief Regional Enforcer who received a sentence of 360 months; Tommy Earl Champion, Jr., a/k/a "Duct Tape," 29, of Jackson Tennessee, a GD Black Out Squad member who was sentenced to 360 months; and Daniel Lee Cole, a/k/a "D-Money," 38, a GD Assistant Governor in Jackson, Tennessee who received a sentence of 292 months.
According to the superseding indictment, the Gangster Disciples enterprise has a highly organized structure with a nationwide reach. In addition to Tennessee, the gang reportedly operates in more than 35 states.
United States Attorney D. Michael Dunavant said: "Operation .38 Special demonstrates our ability and resolve to aggressively prosecute and hold accountable those who engage in organized criminal enterprises and gang conspiracies in furtherance of racketeering. This office is proud to work with our federal, state and local law enforcement partners to disrupt the Gangster Disciples gang and punish their leaders and members for the violence and lawlessness that they perpetrate across West Tennessee. The message from these cases is clear: No matter what your role is in the conspiracy, or what your position,
title, or gang nickname is, if you are a member of a criminal gang, your days are numbered and there will be a reckoning."
The defendants are scheduled to be sentenced by U.S. District Court Judge John T. Fowlkes Jr. as follows: Rico Harris on August 21, 2019; Shamar James on September 19, 2019; Denton Suggs on September 20, 2019; Demarcus Crawford on September 26, 2019; Gerald Hampton on September 27, 2019 and Demario Sprouse on October 3, 2019. Each defendant faces sentences of up to life in federal prison, not more than a $250,000 fine, plus 5 years supervised release along with a mandatory special assessment.
This prosecution was brought as part of the Department of Justice’s Organized Crime and Drug Enforcement Task Force (OCDETF) program. OCDETF was established in 1982 to conduct comprehensive, multilevel attacks on major drug trafficking and money laundering organizations, and to diminish the violence and other criminal activity associated with the drug trade. 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, money laundering, and violent organizations.
This case was investigated by the Federal Bureau of Investigation; the Bureau of Alcohol, Tobacco, Firearms and Explosives; Drug Enforcement Administration; Tennessee Bureau of Investigation; JPD Gang Enforcement Team; Memphis Police Department; Shelby County Sheriff’s Office; 28th District West Tennessee Drug Task Force; 26th, 25th, and 30th Judicial District Attorney’s General’s Offices; Sheriff’s Offices for Tipton, DeSoto, Madison, and Fayette Counties; and the Police Departments of Bartlett, Germantown and Columbia.
Assistant U.S. Attorneys Beth Boswell and Annie Christoff of the Western District of Tennessee and Trial Attorney Shauna Hale of the Criminal Division Organized Crime and Gang Section are prosecuting this case on behalf of the government.
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Sharon Woman Pleads Guilty to Stealing Social Security BenefitsRead the Press Release
BOSTON – A Sharon woman pleaded guilty yesterday in federal court in Boston to stealing Social Security benefits intended for her children.
Stacey Orlando, 59, pleaded guilty to two counts of theft of public funds. U.S. Senior District Court Judge Rya W. Zobel scheduled sentencing for Sept. 18, 2019. Orlando was charged and arrested in May 2018.
From May 2011 through October 2013, Orlando stole Social Security benefits that were paid to her on behalf of her two children. The Government alleges that Orlando stole approximately $35,716 in benefits.
The charge of theft of public funds provides for a sentence of no greater than 10 years in prison, three years of supervised release, and a fine of $250,000 or twice the gross gain or loss, whichever is greater. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling and Scott Antolik, Special Agent in Charge of the Social Security Administration, Office of Inspector General, Office of Investigations, Boston Field Division, made the announcement today. Special Assistant U.S. Attorney Karen Burzycki of Lelling’s Major Crimes Unit is prosecuting the case.
Seven Maryland Residents Charged in Connection with Computer Fraud and Identity Theft Ring That Targeted State GovernmentsRead the Press Release
ALBANY, NEW YORK – A federal grand jury has indicted Jason “J.R.” Trowbridge, age 40; Guy Cuomo, age 51; Robin Chapin, age 61; Anna Hardy, age 66; and Shamair Brison, age 33, all of Frederick, Maryland; and Rebecca Fogle, age 25, of Woodsboro, Maryland, and Sarah Bromfield, age 39, of Hagerstown, Maryland, in connection with their alleged roles in a scheme to obtain unauthorized access to information from state government computers in order to sell this information to debt collectors.
The announcement was made by United States Attorney Grant C. Jaquith and Michael C. Mikulka, Special Agent in Charge, New York Region, United States Department of Labor, Office of Inspector General.
The indictment charges the defendants with conspiracy to commit computer fraud, accessing a protected computer and obtaining information for commercial advantage and private financial gain, and aggravated identity theft.
The defendants operated or were employed by Paymerica Corporation, a Maryland-based company involved in researching place-of-employment information to assist debt collectors. According to the indictment, the defendants conspired to gain unauthorized access to computers used by state governments in New York and other states for processing unemployment insurance applications. Members of the conspiracy created user accounts in the names of their victims, without the victims’ authorization, to obtain information about the victims’ current employers. The defendants then sold this information to third-party debt collectors seeking to collect money from the victims, including by garnishing the victims’ wages.
The charges in the indictment are merely accusations. The defendants are presumed innocent unless and until proven guilty.
If convicted, Trowbridge faces a mandatory 2-year term of imprisonment on the aggravated identity theft charges and up to 10 years in prison on the remaining charges. If convicted, Cuomo, Chapin, Hardy, and Brison each face a mandatory 2-year term of imprisonment on the aggravated identity theft charges and up to 5 years in prison on the remaining charges. 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.
The case is being investigated by the U.S. Department of Labor, Office of Inspector General, with assistance from the New York State Department of Labor, Office of Special Investigations, and is being prosecuted by Assistant U.S. Attorneys Wayne A. Myers and Joshua R. Rosenthal.
Scott Brochu Charged with Transportation and Possession of Child PornographyRead the Press Release
The Office of the United States Attorney for the District of Vermont announced that Scott Brochu, 47, of Essex, was charged yesterday by Indictment with unlawfully transporting child pornography, in violation of 18 U.S.C. § 2252(a)(1), and possessing child pornography, in violation of 18 U.S.C. § 2252(a)(4)(B). Brochu was arrested this morning near his residence in Essex, Vermont, and will appear this afternoon in federal court in Burlington. Brochu’s arrest was a result of an operation conducted by Vermont’s Internet Crimes Against Children Task Force (VT-ICAC) and Homeland Security Investigations (HSI) during the week of May 13, 2019.
If convicted, the defendant faces a minimum of five years and a maximum of twenty years of imprisonment on the transportation allegation, and a maximum of ten years of imprisonment on the possession allegation. The actual sentence however, would be determined by the Court with guidance from the advisory Federal Sentencing Guidelines. The United States Attorney emphasizes that the charges in the Indictment are merely accusations, and that the defendant is presumed innocent unless and until he is proven guilty.
United States Attorney Christina E. Nolan commended the investigative efforts and collaboration of the Vermont’s Internet Crimes Against Children Task Force (VT-ICAC) and Homeland Security Investigations (HSI).
VT-ICAC was formed in 2008. The Vermont Attorney General’s Office assumed responsibility for managing VT-ICAC in October of 2015. Since October of 2015, VT-ICAC has performed 915 investigations, received 834 CyberTips from the National Center for Missing and Exploited Children, and arrested 125 individuals for crimes against children. VT-ICAC also works extensively to educate Vermont communities about internet safety. In the past three years, VT-ICAC conducted 2,032 educational forums around the state.
The operation during the week of May 13 was a collaborative effort involving the Vermont Attorney General’s Office, the Vermont State Police, Homeland Security Investigations, the Vermont U.S. Attorney’s Office, Burlington Police Department, South Burlington Police Department, Chittenden Unit for Special Investigations, Orange County Sheriff’s Department, and the University of Vermont Police Services.
The United States is represented in this matter by Assistant U.S. Attorney Jonathan Ophardt. Defendant Brochu is represented by Craig Nolan, Esq., of the law firm Sheehey Furlong, and Behm.
San Pedro Man Who Robbed Gardena Credit Union with Help of Employee Is Convicted of Conspiracy, Armed Bank RobberyRead the Press Release
LOS ANGELES – A San Pedro resident was found guilty of being the gunman in the violent, takeover-style robbery of a Gardena credit union in which a credit union employee helped plan and execute the heist that netted $311,300.
Toyrieon Sessions, 29, a.k.a. “Phat” and “PhatStax,” was found guilty of three felonies: conspiracy to commit armed bank robbery, armed bank robbery, and brandishing a firearm in furtherance of a crime of violence.
According to evidence presented at his four-day trial, Sessions was the gunman in the robbery of Northrop Grumman Federal Credit Union (“NGFCU”) on April 21, 2017. In addition to Sessions, the robbery involved two conspirators who previously have been convicted for their roles in the robbery:
- Daronnie Thompkins, 31, of Los Angeles, who organized the robbery, recruited Sessions to be the gunman, and knew the layout of the credit union; and
- Iris Lester, 28, of Los Angeles, a NGFCU employee who was Thompkins’ girlfriend at the time.
On the day of the robbery, Sessions entered the office building in which the credit union is located and walked past NGFCU’s main entrance, entering a side hallway directly to a men’s bathroom, according to trial evidence. Sessions waited in the men’s bathroom until Lester and another NGFCU employee exited the women’s bathroom. At that point, Sessions brandished a semi-automatic handgun and used it to force Lester, who was pretending to be a victim, and the other employee to provide access to the credit union’s vault room.
Once inside the vault room, Lester and the other NGFCU employee realized they did not have the key to open the vault. According to the evidence, Sessions allowed Lester to exit the vault room – but, instead of escaping, Lester returned with another credit union employee who was supposed to have the vault key. Lester then left the room a second time and retrieved the keys, but did not hit any panic buttons.
When Lester returned, Sessions forced her and the two other credit union employees onto their knees while pointing the handgun at each of them. Sessions stole a total of $311,300 from the credit union and placed the cash in a black trash bag before exiting the vault room and fleeing the scene in a silver Dodge Avenger.
United States District Judge André Birotte Jr., has scheduled an October 4 sentencing hearing, where Sessions will face a statutory maximum sentence of life in federal prison.
After a bench trial in August 2018, Thompkins was convicted of conspiracy and armed bank robbery. Judge Birotte later sentenced him to nine years in federal prison.
Lester has pleaded guilty to criminal charges in the case. Her sentencing hearing is scheduled for October 25.
This matter was investigated by the Federal Bureau of Investigation and the Los Angeles Police Department.
This case is being prosecuted by Assistant United States Attorneys Jeffrey M. Chemerinsky and Bruce K. Riordan of the Violent and Organized Crime Section.
Rochester Man Pleads Guilty to Receiving Child PornographyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Christopher Johnson, of Rochester, NY, pleaded guilty before U.S. District Judge Charles J. Siragusa to receipt of child pornography. The charge carries a minimum penalty of five years in prison, a maximum penalty of 20 years, a lifetime period of supervised release, and a $250,000 fine.
Assistant U.S. Attorney Kyle P. Rossi, who is handling the case, stated that Johnson was arrested in June 2018, after he distributed child pornography to an undercover FBI Agent via the Internet. This prompted law enforcement officers to execute a search warrant at the defendant’s residence in Rochester where they seized his computers. Saved on the computers were approximately 52,372 images and 316 videos of child pornography, including videos and images that depicted the sexual abuse of infants and toddlers.
The plea is the result of an investigation by members of the Federal Bureau of Investigation, Rochester Office, under the direction of Special Agent-in-Charge Gary Loeffert; the Rochester Police Department, under the direction of Chief LaRon Singletary; and the Monroe County Sheriff’s Office, under the direction of Sheriff Todd Baxter.
Sentencing is scheduled for October 7, 2019, before Judge Siragusa.
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Retired Navy Service Member Sentenced to Twenty Years for Attempted Enticement of Minors to Engage in Sexual Activity and Possession of Child PornographyRead the Press Release
Orlando, Florida – U.S. District Judge Carlos E. Mendoza has sentenced Charles S. Leis (48, Tampa) to 20 years in federal prison, to be followed by 25 years of supervised release, for attempted enticement of minors to engage in sexual activity and for possessing child pornography. The court also ordered Leis to pay $16,500 in restitution and to forfeit a laptop and a hard drive, which were used in furtherance of the commission of the offenses. Leis had pleaded guilty on March 26, 2019.
According to the plea agreement, on October 24, 2018, an FBI special agent in Orange County, Florida initiated an undercover investigation within an online chat group that alluded to “family fun.” Leis joined the chat group and initiated conversations with the undercover agent, who identified himself as the father of two girls, ages 9 and 11. During the span of several days, Leis solicited sex from the minors. In that process, Leis distributed images of child pornography to the “father” in an effort to prove that he was “real” about his intent to engage the “girls” in sexual activity. Leis made plans to meet the “girls” in Tampa on November 2, 2018. However, on that date, the agent could not locate Leis at the agreed upon location.
Further investigation revealed that around the same time (October 2018), Leis had been in contact with another FBI agent through another chat group. That undercover agent was acting as the father of 6 and 7-year-old girls. Leis also distributed child pornography to that agent and requested to have sexual intercourse with his “children.”
On November 29, 2018, FBI agents executed a search warrant at Leis’s home in Tampa and seized his computer. The computer had depictions of girls between 3 and 10 years of age engaged in sexually explicit conduct.
This case was investigated by the Federal Bureau of Investigation and the Naval Criminal Investigative Service. It was prosecuted by Assistant United States Attorneys Ilianys Rivera Miranda and Francis D. Murray.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Raleigh Man Sentenced for Possessing Firearm as a FelonRead the Press Release
NEW BERN – United States Attorney Robert J. Higdon, Jr. announced that United States District Judge Louise W. Flanagan sentenced DARYLE ALBERT MPONGO, 33, of Raleigh, to 41 months’ imprisonment, followed by 3 years of supervised released.
On November 27, 2018, MPONGO was named in a one-count Indictment charging him with Possession of a Firearm and Ammunition by a Convicted Felon. On March 13, 2019, MPONGO pled guilty to the charge.
On April 9, 2018, officers of the Raleigh Police Department observed MPONGO conduct a hand-to-hand drug transaction with an unknown individual in an area known for drug distribution. Specifically, the officer observed an exchange of U.S. currency for several small items wrapped in plastic bags; however, officers were unable to determine whether MPONGO was the buyer or seller. MPONGO then entered the driver side of a vehicle occupied by another individual and left the area. officers stopped the vehicle for a traffic violation shortly thereafter. MPONGO then admitted to officers he was in possession of marijuana. A search of his person found three baggies containing a total of 5.17 grams of marijuana. A search of the vehicle found a .22 caliber pistol and 7 rounds of .22 caliber ammunition.
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. For more information about this initiative click on this link. https://www.justice.gov/usao-ednc/tbnc.
The investigation of this case was conducted by the Raleigh Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant United States Attorney Daniel W. Smith prosecuted the case for the government.
Portuguese Shipping Company Pleads Guilty to Falsifying Oil Record Book and ObstructionRead the Press Release
WASHINGTON – Today, Portline Bulk International S.A. pleaded guilty in federal court in Charleston, South Carolina, to one count of violating the Act to Prevent Pollution from Ships and one count of Obstruction. The charges stem from the falsification of the Oil Record Book onboard the M/V Achilleus, a Maltese-flagged ocean-going bulk carrier ship managed by Defendant Portline.
From April 2017 to August 2018, senior members of the vessel’s engineering team oversaw and participated in the bypass of the ship’s Oil Water Separator utilizing a yellow plastic hose, referred to as a magic pipe. The ship’s Chief Engineer made a series of fake entries and key omissions in the Oil Record Book in order to conceal the illegal overboard discharges of oily bilge water. On Aug. 14, 2018, the false Oil Record Book was presented to the U.S. Coast Guard (USCG) during an inspection in the Port of Charleston.
According to court documents, Portline has agreed to pay a criminal fine of $1.5 million when the company is sentenced at a future date. The company would also be placed on organizational probation for four years, which includes an environmental compliance plan.
“The world’s oceans are not a dumping ground for criminals who seek to evade our nation’s environmental laws,” said Assistant Attorney General Jeffrey Bossert Clark for the Justice Department’s Environment and Natural Resources Division. “Today’s guilty plea demonstrates the Department’s commitment to protecting coastal communities through rigorous enforcement of the rule of law.
“The South Carolina coast is one of the most beautiful parts of our nation,” said U.S. Attorney Lydon for the District of South Carolina. “The U.S. Attorney’s Office takes environmental crimes seriously, and corporations and individuals who endanger our valuable marine resources and wildlife by violating federal law will be held accountable. We are grateful to the Coast Guard Investigative Service and the Environment and Natural Resources Division for their ongoing partnership in protecting our waterways.”
“Our team of dedicated marine safety and pollution response professionals worked closely with the Coast Guard Investigative Service to investigate this incident and refer it for enforcement action,” said Captain John Reed, Commander, U.S. Coast Guard Sector Charleston. “This case highlights the Coast Guard’s unwavering commitment to the stewardship of the ocean and its critical marine environment.”
On June 17, 2019, the ship’s former Chief Engineer Anatoli Zotsenko and Second Engineer Valerii Pastushenko, who had previously pleaded guilty to one count of violating the Act to Prevent Pollution from Ships, were sentenced to fines totaling $12,500 and three years’ probation. The probation term includes a special condition that bans Zotsenko and Pastushenko from entering ports and anchorages of the United States.
This case was investigated by the U.S. Coast Guard Sector Charleston and the Coast Guard Investigative Service. The USCG Marine Safety Lab was critical to the analysis of oil samples taken from the vessel. The case was prosecuted by Christopher L. Hale of the U.S. Department of Justice’s Environmental Crimes Section and AUSA Matt Austin from the U.S. Attorney’s Office for the District of South Carolina.
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Pinon Man Sentenced to 15 Years’ Prison for Illegal Firearms PossessionRead the Press Release
PHOENIX – On June 17, 2019, Mardino Nathaniel George, 33, of Pinon, Ariz., was sentenced by U.S. District Judge Douglas L. Rayes to 15 years’ imprisonment. George had previously pleaded guilty to two counts of illegal weapons possession in violation of the National Firearms Act.
George has a history of possessing illegal, homemade firearms on the Navajo Nation. On August 5, 2017, he was present at the scene of a violent crime while in possession of a pipe-gun destructive device capable of firing shotgun shells. On February 20, 2018, he was encountered by state and tribal law enforcement while in possession of another weapon, this time an altered rifle. George is a member of the Navajo Nation, and the offenses occurred on the Navajo Nation Indian Reservation.
Manufacturing or possessing these kinds of firearms is prohibited by federal law, and these crimes can carry very serious penalties. George was sentenced to 10 years’ prison for possessing the pipe-gun destructive device and 5 years’ prison for possessing the altered rifle, with the sentences for the two crimes to be served consecutively.
The investigation was conducted by agents of the Federal Bureau of Investigation and the Bureau of Alcohol, Tobacco, Firearms and Explosives. The prosecution was handled by Assistant U.S. Attorney William G. Voit, District of Arizona, Phoenix.
Pine Ridge Man Sentenced to over 11 Years for Meth Distribution ConspiracyRead the Press Release
United States Attorney Ron Parsons announced that a Pine Ridge, South Dakota, man convicted of Conspiracy to Distribute Methamphetamine was sentenced on June 18, 2019, by Chief Judge Jeffrey L. Viken, U.S. District Court.
Harold Brewer, Jr., age 29, was sentenced to 140 months in prison, followed by 5 years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
Brewer was indicted for Conspiring to Distribute Methamphetamine, Possession with Intent to Distribute a Controlled Substance, and Prohibited Person in Possession of a Firearm by a federal grand jury on November 16, 2016. He pled guilty on December 21, 2018.
Brewer worked with co-conspirators in selling and distributing methamphetamine in Rapid City and on the Pine Ridge Reservation. Additional co-conspirators are pending trials in Rapid City.
Drug trafficking is an inherently violent activity. Firearms are tools of the trade for drug dealers. It is common to find drug traffickers armed with guns in order to protect their illegal drug product and cash, and enforce their illegal operations.
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 its 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 local communities to develop effective, locally-based strategies to reduce violent crime.
This case was investigated by the Northern Plains Safe Trails Badlands Task Force. Assistant U.S. Attorney Kathryn N. Rich prosecuted the case.
Brewer was immediately turned over to the custody of the U.S. Marshals Service.
Parent in College Admissions Case Pleads GuiltyRead the Press Release
BOSTON – A California man pleaded guilty in federal court in Boston in connection with paying bribes to facilitate the admission of his children to the University of Southern California as purported athletic recruits.
Toby Macfarlane, 56, of Del Mar, Calif., a former senior executive at a title insurance company, pleaded guilty to one count of conspiracy to commit mail fraud and honest services mail fraud. U.S. District Court Judge Nathaniel M. Gorton scheduled sentencing for Nov. 13, 2019.
According to court documents, Macfarlane agreed to pay Rick Singer $450,000 to participate in the college recruitment scheme for his children. According to the terms of the plea agreement, the government will recommend a sentence of 15 months in prison, one year of supervised release, a fine of $95,000, restitution and forfeiture.
Case information, including the status of each defendant, charging documents and plea agreements are available here: https://www.justice.gov/usao-ma/investigations-college-admissions-and-testing-bribery-scheme.
The charge of conspiracy to commit mail fraud and honest services mail fraud provides for a maximum sentence of 20 years in prison, three years of supervised release, and a fine of $250,000 or twice the gross gain or loss, whichever is greater. 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; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Kristina O’Connell, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston, made the announcement today. Assistant U.S. Attorneys Eric S. Rosen, Justin D. O’Connell, Leslie A. Wright, and Kristen A. Kearney of Lelling’s Securities and Financial Fraud Unit are prosecuting the cases.
The details contained in the court documents are allegations and the remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Panama City Marriage Fraud Defendant Sentenced to 7 YearsRead the Press Release
PANAMA CITY, FLORIDA – Ravi Babu Kolla, 47, an Indian foreign national residing in Panama City, was sentenced to 84 months in prison for conspiracy to commit marriage and visa fraud and conspiracy to commit money laundering. The sentence was announced by Lawrence Keefe, United States Attorney for the Northern District of Florida.
Homeland Security Investigations (HSI) Panama City received information from the Bay County Sheriff’s Office during November 2017 that an unusually large number of marriages were occurring in rural Alabama counties. The marriages almost always involved male Indian nationals from throughout the United States and local women from Bay County, Florida. The evidence established that Kolla organized over 80 fraudulent marriages, and the majority of the Indian nationals involved had overstayed their visas or Student Exchange Visitor Program requirements and were unlawfully present in the United States. Each bride was to be paid $12,000 over a defined period for agreeing to participate in a fraudulent marriage.
"Our nation relies on the security of our nation’s immigration system, and any kind of fraud committed to cheat that system is a serious matter," said United States Attorney Lawrence Keefe. "This investigation, and the sentence imposed today, confirms that those who abuse the immigration process will be held accountable to the fullest extent of the law."
During June and July 2018, HSI Panama City executed a federal search warrant and three federal seizure warrants, resulting in the seizure of approximately $120,000 in suspected illicit proceeds, as well as documentary and electronic evidence related to numerous fraudulent marriages. Over $700,000 passed through Kolla’s bank accounts during the investigation. Currently, HSI Panama City is also coordinating with HSI New Delhi to locate and recover approximately $200,000 from the ICICI Bank in Mumbai, India, identified by investigators as additional proceeds from the marriage fraud enterprise.
This is an HSI-led investigation conducted with U.S. Citizenship and Immigration Services, Bay County Sheriff’s Office, and the Panama City, Blountstown, and Altha Police Departments, with assistance provided by sheriff’s offices in Coffee and Dale counties, Alabama. Assistant United States Attorney Corey J. Smith prosecuted the case.
"Marriage fraud is a serious crime that undermines our nation’s security," said HSI Tampa Special Agent in Charge James C. Spero. "To help protect the legal immigration system and the values associated with U.S. citizenship, HSI special agents will continue to work with law enforcement partners to stop criminals that seek to circumvent our laws."
The United States Attorney's Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html
Operation Steel Penguin nets scores of arrests and seized firearms as part of focused enforcement effort targeting firearms violence in YoungstownRead the Press Release
Scores of suspected criminals were arrested and dozens of firearms seized as part of “Operation Steel Penguin,” which targeted people believed to illegally possess firearms.
It is a joint operation between the Youngstown Police Department, Bureau of Alcohol, Tobacco, Firearms and Explosives, the Ohio Adult Parole Authority, U.S. Attorney’s Office and Mahoning County Prosecutor’s Office.
To date, 33 firearms were seized. Four people have been indicted in federal court. Additional people have been charged in the Mahoning County Court of Common Pleas. Several investigations are ongoing and more indictments are expected.
“These cases involve people who are not allowed to have firearms because of past crimes,” U.S. Attorney Justin E. Herdman said. “We will continue to work with police and federal agencies through Project Safe Neighborhoods to make Youngstown and the Mahoning Valley safer.”
Youngstown Police Chief Robin Lees said: “We appreciate the U.S. Attorney’s office being responsive to the spike in murders we experienced the end of last year and convening a meeting in Youngstown to seek solutions. The result of that meeting being a focused and well-executed effort between federal, state and local agencies and was the key to the success of this program.”
“ATF’s primary mission is reducing violent gun crime in our country,” said ATF Special Agent in Charge Jonathan McPherson. “We are committed to working with our partners, including the Youngstown Police Department, the Ohio Adult Parole Authority, the United States Attorney’s Office, and the Mahoning County Prosecutor’s Office, to make the Mahoning Valley safer for all of our residents.”
“Convicted felons need to understand they will go back to prison if they carry a gun in Mahoning County,” Mahoning County Prosecutor Paul J. Gains said. “This Office will continue to cooperate with federal authorities and target these violent people who threaten our community.”
“The APA would like to recognize the collaborative effort put together throughout this operation,” stated Alice M. Barr, Regional Administrator, Ohio Adult Parole Authority. “The success is a testament to the hard-working men and women in all departments represented. The efforts of those who worked this operation should not go unnoticed. We must continue working to make Ohio safer. It is paramount to ensure those who carry guns illegally understand it is not acceptable behavior.”
Members of the Youngstown Police Department, ATF and Ohio Adult Parole Authority gathered and shared intelligence to identify people considered to be at high risk to commit crime with firearms, particularly people on parole from state prison. This, combined with increased patrols, resulted in an increase in arrests and firearms seizures and a decrease in shootings compared to the same time last year.
Shawn Jones, 29, of Youngstown, was charged with a being a felon in possession of firearms. Jones possessed a .45-caliber pistol and ammunition on March 9, despite a previous state conviction for attempted murder and previous federal conviction for racketeering, according to court documents.
Jones was one of the founders of the LSP street gang in Youngstown, according to court records.
Barry Wallace II, 25, of Youngstown, was charged with a being a felon in possession of firearms. Wallace possessed a Ruger 9 mm pistol and ammunition on March 17, despite a previous convictions for possession of heroin and possession of cocaine, according to the indictment.
Kendal Dotson, 33, of Youngstown, was charged with a being a felon in possession of firearms. Dotson possessed a Star .40-caliber pistol and ammunition on March 28, despite a previous convictions for possession of heroin and conspiracy to possess with intent to distribute crack cocaine, according to the indictment.
Airik Talbott, 30, of Campbell, was charged with a being a felon in possession of firearms. Talbott possessed a Glock .40-caliber pistol and ammunition on March 24, despite a previous convictions for aggravated robbery and escape, according to the indictment.
If convicted, the defendants’ sentence will be determined by the Court after review of factors unique to this case, including the defendants’ prior criminal record, the defendants’ role in the offenses and the characteristics of the violations. In all cases, the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
North Tonawanda Man, A Former Grand Juror, Admits to Leaking Grand Jury InformationRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. – U.S. Attorney James P. Kennedy, Jr. announced today that Casey Lipps, 26, of North Tonawanda, NY, pleaded guilty before U.S. District Court Judge Lawrence J. Vilardo to committing contempt of court by impermissibly leaking secret grand jury information. The charge carries a maximum penalty of life in prison.
Assistant U.S. Attorneys Joshua A. Violanti and Brendan T. Cullinane, who are handling the case, stated that in October of 2016, the defendant was chosen to serve as a grand juror on a federal grand jury. However, in violation of an order from the Court to secret any and all matters involving the grand jury, Lipps impermissibly leaked grand jury information to others. In particular, the defendant revealed information to various persons concerning multiple targets of grand jury investigations. In addition, Lipps failed to provide complete information in response to law enforcement’s investigation into his leaking of grand jury information.
The plea is the result of an investigation by the Federal Bureau of Investigation, Buffalo Office, under the direction of Special Agent-in-Charge Gary Loeffert.
Sentencing is scheduled for October 29, 2019, at 9:30 a.m. before Judge Vilardo.
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New Orleans Man Sentenced to Forty-One Months for Bank RobberyRead the Press Release
NEW ORLEANS, LOUISIANA – U.S. Attorney Peter G. Strasser announced that on Wednesday, June 19, 2019, JAMIE PAUL EARLY, age 36, a resident of New Orleans, Louisiana, was sentenced to forty-one months of imprisonment for violating federal law by committing a bank robbery on July 27, 2018 at the Capital One Bank at 3001 Tulane Avenue in New Orleans. Additionally, EARLY must serve (3) years of supervised release and pay a !00.00 special assessment fee.
This case was brought as part of Project Safe Neighborhoods (PSN), a 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.
The case was investigated by the Federal Bureau of Investigation. It was prosecuted by Assistant U.S. Attorney Kathryn McHugh.
New Orleans Man Pleads Guilty to Heroin ConspiracyRead the Press Release
NEW ORLEANS – U.S. Attorney Peter G. Strasser announced that JOHN JONES, age 45, of New Orleans, pled guilty Thursday, June 13, 2019 to conspiracy to distribute and to possess with intent to distribute more than one kilogram of heroin on June 13, 2019.
According to court documents, JONES and others conspired to distribute and to possess with intent to distribute one kilogram or more of heroin.
JONES faces a minimum term of imprisonment of ten years and a maximum term of life imprisonment. A fine of up to $10,000,000 may also be imposed. JONES will be placed on supervised release after imprisonment for a period of not less than five years. Additionally, a $100 special assessment fee will be assessed. U.S. District Court Judge Ashe set sentencing for September 19, 2019.
U.S. Attorney Peter G. Strasser praised the work of the Federal Bureau of Investigation, the Drug Enforcement Administration, and the New Orleans Police Department in investigating this matter. Assistant United States Attorneys Jonathan L. Shih and Maria M. Carboni are in charge of the prosecution.
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Montgomery Man Sentenced to 40 Years in Federal Prison for Drug and Firearms ChargesRead the Press Release
Montgomery, Alabama- On June 20, 2019, Cody Eugene Mobley, 30, of Montgomery, Alabama, was sentenced to 40 years in prison for federal drug trafficking and firearms charges, announced U.S. Attorney Louis V. Franklin, Sr.
Law enforcement executed a search warrant in June 2018 at Mobley’s residence and found a pound of crystal methamphetamine, drug distribution paraphernalia, and a number of firearms. Among the firearms found were a sawed-off shotgun, a pistol equipped with a silencer, and an AR-15 style rifle equipped with a bump stock.
In March 2019, a jury found Mobley guilty of possession with intent to distribute 50 grams or more of methamphetamine, possession of firearms in furtherance of a drug trafficking crime, being a felon in possession of a firearm, possession of an unregistered short barrel shotgun and possession of an unregistered firearm silencer in connection with a drug distribution crime. A federal judge sentenced Mobley to ten years for the first four charges. The illegal possession of a silencer in connection with a drug distribution crime carries a mandatory minimum of 30 years, which will run consecutive to the ten-year sentence. There is no parole in the federal system.
The case was investigated by the Drug Enforcement Administration (DEA), the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and the Montgomery Police Department. The case was prosecuted by Assistant U.S. Attorneys Brandon Bates and Kevin Davidson.
Montgomery County Man Pleads Guilty to Producing and Transporting Child PornographyRead the Press Release
ALBANY, NEW YORK – John D. Salisbury, age 48, of Hagaman, New York, pled guilty today to four counts of sexual exploitation of a child, and 1 count of transportation of child pornography.
The announcement was made by United States Attorney Grant C. Jaquith and James N. Hendricks, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI).
As part of his guilty plea, Salisbury admitted that on four occasions between October 2016 and February 2017, he used a hidden camera inside the bathroom of his residence to produce sexually explicit videos depicting a minor. Salisbury also admitted that he knowingly uploaded photos and videos depicting child pornography from a smartphone to an Internet-based email account.
Salisbury will be sentenced by Senior United States District Judge Norman A. Mordue on October 21, 2019. Salisbury faces a sentence of at least 15 years and up to 30 years in prison on each of the four counts of sexual exploitation, and between 5 and 20 years on the transportation count. Salisbury also can be sentenced to at least 5 years and up to lifetime post-imprisonment supervised release. He will also have to register as a sex offender when he is released from prison.
A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.
This case was investigated by the FBI, with assistance from the New York State Police Troop G Computer Crimes Unit, and is being prosecuted by Assistant U.S. Attorney Emmet J. O’Hanlon.
This case is prosecuted as part of Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorneys’ Offices, 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 identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/.
Montgomery County Man Convicted of Lying to Illegally Obtain FirearmRead the Press Release
PHILADELPHIA – United States Attorney William M. McSwain announced that Laurence Reinhard, 74, of Huntingdon Valley, Pennsylvania was convicted at trial of one count of making a false statement to a federal firearms licensee.
In 2014, the defendant pleaded guilty to providing malicious false information about an explosive and engaging in a hoax. As part of that guilty plea, he acknowledged that he would not be permitted to possess a firearm as a result of his felony convictions.
On March 10, 2018, he attempted to purchase a firearm, specifically a Smith and Wesson model 642 CT, .38 caliber from a federal firearms licensee. The defendant falsely stated that he had never been convicted of a felony on his application for the weapon.
“For good reasons, the United States regulates who is permitted to purchase and carry firearms -- it is a matter of maintaining public safety,” said U.S. Attorney McSwain. “In this case, the defendant – a previously convicted felon – lied in order to illegally obtain a weapon. I want to thank our law enforcement partners for their quick work in investigating this case and the jury for holding the defendant accountable for his crime.”
The case was investigated by the Federal Bureau of Investigation, the Pennsylvania State Police, the Montgomery County Sheriff’s Office and is being prosecuted by Assistant United States Attorney Priya De Souza.
Money Laundering Charges Added in International Marijuana Conspiracy to Grow Marijuana in Houses in Sacramento and Placer CountiesRead the Press Release
SACRAMENTO, Calif. — A grand jury returned a superseding indictment on Thursday that added money laundering charges to six defendants first charged in 2017 in a scheme to use money from China to buy houses to grow marijuana, U.S. Attorney McGregor W. Scott announced.
Charged with money laundering are Xiu Ping Li, 42 of New Jersey, Xiu Ru Li, 46, of Sacramento, Dao Zhong Wei, 50, of Sacramento, Shui Ping Zheng, 56, of Michigan, and Texas residents Kong Liang Li, 53, and You An Li, 53.
According to the charging documents, the defendants conspired with each other and others to wire transfer approximately $870,000 from China to buy six houses for growing marijuana or to pay off the lenders in order to continue growing marijuana in the house.
This case is the product of an investigation by IRS Criminal Investigation, Federal Bureau of Investigation, the Drug Enforcement Administration, and Homeland Security Investigations. Assistant U.S. Attorney Roger Yang is prosecuting the case.
If convicted, the defendants face a maximum statutory penalty on the money laundering charges of 20 years in prison, a fine of up to $500,000 or twice the value of the funds involved, or both. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.
Manhattan U.S. Attorney Announces Return to Polish Government of Stolen Architectural Drawings of Historic SynagogueRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, and Angel M. Melendez, Special Agent-in-Charge of the New York Office of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (“HSI”), announced today that five stolen architectural drawings created in 1896 of a historic synagogue in the city of Lodz, Poland (the “Drawings”), will be returned to the Polish government. The Drawings were taken out of a larger set housed at the Polish state archive in Lodz in around 1999, and the identity of the thief or thieves remains unknown.
U.S. Attorney Geoffrey S. Berman said: “A part of Poland’s cultural heritage and historical record were stolen from their state archive 20 years ago. Now, thanks to a New York couple who are doing the right thing, and to HSI for doing its typically excellent work in this field, these important drawings are being returned to the government of Poland.”
HSI Special Agent-in-Charge Angel M. Melendez said: “On the heels of the 75th anniversary of D-Day, returning these drawings to Poland that represent a piece of human history the Nazis attempted to erase underscores the importance of preserving our world history through cultural patrimony for future generations. We continue to pursue criminals who steal and traffic property that belongs to the peoples of the world, while returning those items found to their rightful owners, in this case, Poland.”
The ink-and-watercolor Drawings depict the interior, exterior facades, and floor plans of the Stara Synagogue, which used to stand on Wolborska Street in Lodz. The Stara Synagogue was originally built in 1809 and moved to a new building around 1859 and 1861. The Drawings were made by the prominent Lodz architect Adolf Zeligson in connection with significant renovations to the synagogue that began in around 1897. The Stara Synagogue was later burned down during the Nazi occupation in around 1939, and no trace remains.
Almost 10 years after the theft, the Drawings were put up for sale by an international auction house and were purchased by a Manhattan couple, Meredith Berkman and Daniel Mintz. After Ms. Berkman and Mr. Mintz were informed that the Drawings had been stolen from the Polish state archive, they readily and voluntarily agreed to turn over the Drawings to HSI so that they could be returned to Poland.
The U.S. Attorney’s Office and HSI are now sending the Drawings back to the Polish government.
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Mr. Berman thanked HSI’s Cultural Property, Art, and Antiquities Group for their handling of the investigation. He also thanked Ms. Berkman and Mr. Mintz for their assistance and cooperation. The case is being handled by the Office’s Money Laundering and Transnational Criminal Enterprises Unit. Assistant U.S. Attorney David Zhou is in charge of the case.
Madison County Pill Mill Doctor Pleads Guilty to Illegally Dispensing Prescription DrugsRead the Press Release
BIRMINGHAM – A Madison County physician pleaded guilty Wednesday in federal court to charges related to illegally distributing and dispensing prescription drugs, announced U.S. Attorney Jay E. Town and Drug Enforcement Administration Assistant Special Agent in Charge Clay Morris.
DR. RODNEY MORRIS, 64, pleaded guilty before U.S. District Court Judge Annemarie Carney Axon to sixty-four counts of illegally distributing and dispensing Schedule II controlled substances, including opioid painkillers, outside the scope of professional medical practice and not for legitimate medical purposes. Instead, the evidence shows that Dr. Morris prescribed these painkillers in exchange for sexual favors and monetary gain. He is scheduled for sentencing on October 23, 2019.
“The public should be able to trust that a medical professional would not engage in such aberrant and disgusting conduct,” Town said. “Those who choose to engage in such illicit practices will no longer wear white coats, but instead prison stripes.”
“Unfortunately, Dr. Morris and his criminal conduct represents a disturbing trend in the medical profession for those practitioners who abandon their hypotactic oath,” DEA ASAC Clay Morris said. “Dr. Morris’ actions clearly contributed to continuing the opioid epidemic that is plaguing our communities and country. He will soon be where he belongs…in prison. The DEA, U.S. Attorney’s Office and our law enforcement partners will not stand idly by and allow criminals to profit off of the addictions of others.”
Dr. Morris was known to give preferential treatment to female patients when it came to office visits, drug testing (or lack of thereof), and prescriptions of controlled substances. Records show that between August 2012 and May 2017, Dr. Morris illegally prescribed one particular patient hydrocodone, alprazolam, oxycodone and tramadol in exchange of sexual favors. This patient illegally sold some of these drugs to supplement her income. After the patient’s death in May 2017, Dr. Morris attempted to delete electronic medical records and erase evidence of her being his patient.
According to the Alabama Prescription Drug Monitoring Program, Dr. Morris ranked 67 out of 13,118 medical doctors in the State of Alabama for the number of prescriptions filled for Schedule II, III, IV and V controlled substances. He also ranked seventh in Madison County for the quantity of controlled substances prescribed. From January 1, 2017 through June 27, 2017, Dr. Morris wrote 6,721 prescriptions for controlled substances with the total dosage units being 499,784.
The penalty for illegally dispensing and distributing prescription drugs is a maximum of 20 years in prison and a maximum fine of $1,000,000.
DEA investigated the case, which Assistant U.S Attorney Mary Stuart Burrell is prosecuting.
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Man from Minnesota Charged in New Mexico Federal Court with False Personation of an Officer or Employee of the United StatesRead the Press Release
ALBUQUERQUE – James Christopher Benvie, 44, of Albany, Minn., appeared in federal court today for an initial appearance on an indictment returned by a grand jury in New Mexico charging him with two counts of false personation of an officer or employee of the United States.
The grand jury returned the indictment on Wednesday alleging Benvie committed these offenses in Doña Ana County on April 15, 2019 and April 17, 2019. Benvie made his initial appearance today in the United States District Court for the Western District of Oklahoma after the FBI with the assistance of the Logan County Sheriff’s Office arrested him in Guthrie, Okla. He is scheduled for a detention hearing on Tuesday afternoon and will be transported to the District of New Mexico for prosecution.
Benvie faces up to 3 years in prison if convicted. An indictment is only an accusation. A defendant is presumed innocent until proven guilty.
The FBI investigated this case. Assistant U.S. Attorneys Renee L. Camacho and Randy Castellano of the Las Cruces Branch Office are prosecuting the case.
Man from Dulce, N.m., Charged with Assault Causing Serious Bodily Injury in Indian CountryRead the Press Release
ALBUQUERQUE – Ronnie Tiznado, 46, of Dulce, N.M., appeared in federal court on Wednesday on charges of assaulting his wife on the Jicarilla Apache Nation Indian Reservation.
Tiznado is charged by criminal complaint with assault resulting in serious bodily injury and assault of a spouse by strangling, suffocating, or attempting to strangle or suffocate. According to the complaint, Tiznado sent threatening text messages to his wife while she was working at a store on June 1, 2019. In these text messages, Tiznado threatened to kill the victim and beat her to death. Early the next morning, Tiznado located her at Stone Lake, a community near Dulce, N.M. Tiznado pulled her from her car by the hair and hit, kicked, and choked her. The victim suffered a broken nose and severe bleeding and swelling to her face with one of her eyes swollen shut. She also suffered bruises, scratches, and redness on her neck, arms, ribs, back, and chest, all requiring treatment at a hospital in Farmington.
Tiznado is currently out of custody awaiting trial. He faces up to 10 years in prison if convicted of these offenses. A criminal complaint is only an accusation. A defendant is presumed innocent until proven guilty.
The Farmington office of the FBI investigated this case. Assistant U.S. Attorney Frederick T. Mendenhall III is prosecuting the case.
Low-Income Housing Developer Sentenced to Prison for Creating a False Pass-Through Company in Scheme to Defraud Lenders and USDARead the Press Release
DES MOINES, Iowa —On June 19, 2019, Jeffrey W. Voorhees, age 75, of Waukee, Iowa, was sentenced by United States Southern District of Iowa Senior Judge Robert W. Pratt to two years in federal prison, announced United States Attorney Marc Krickbaum. Voorhees pleaded guilty on November 1, 2018, to one count of wire fraud affecting a financial institution. Voorhees was ordered to pay $416,440 in restitution and a fine of $25,000.
During the sentencing hearing, Judge Pratt stated the defendant conducted a “sophisticated, long-running device or scheme.” According to court documents, Voorhees, acting through his own consulting company and what he purported to be a not-for-profit entity called National Affordable Housing Foundation, purchased and rehabilitated seven properties which together formed what was referred to as Candleridge VII. The properties were rehabilitated with a private bank loan, guaranteed by the United States Department of Agriculture in the event of default. Voorhees artificially inflated construction costs and created a pass-through shell company in order to obtain approximately $359,000 in artificially inflated loan proceeds. The loan proceeds were to be repaid using USDA-subsidized tenant rents.
The purpose of the USDA loan programs that the defendant defrauded is to support the development of rental units in rural areas for low- and moderate-income individuals and families. USDA regulates how the loan proceeds can be spent, and also imposes requirements on the borrowers to disclose any identity of interest relationships. According to court records, Voorhees was an expert in these regulations but did not follow them in order to unlawfully profit from the USDA loan programs.
The United States Department of Agriculture - Office of Inspector General investigated this matter. The case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
Louisiana Teacher Sentenced to 135 Months in Prison for Child EnticementRead the Press Release
BOSTON - A Louisiana teacher was sentenced today in federal court in Boston for child enticement related offenses.
Logan Procell, 25, was sentenced by U.S. District Court Judge Denise J. Casper to 135 months in prison and five years of supervised release. In February 2019, Procell pleaded guilty to one count of coercion and enticement of a minor and one count of transfer of obscene material to a minor. Procell was indicted in October 2017 and has been in custody since.
Procell first contacted an 11-year-old Massachusetts girl via Snapchat after seeing her on a different online application that allows users to publish videos in real time. After obtaining her phone number, Procell began communicating with her by text. The child’s parent discovered approximately one month’s worth of their communications in September 2017. The exchange of more than 1600 messages contained sexually explicit images and messages sent by Procell to the child, including pictures of his genitals, requests for her to send him pornographic images of herself, and discussions about meeting her to have sex. At the time of the offense, Procell was a chemistry teacher at a high school in Noble, La.
United States Attorney Andrew E. Lelling and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Office, made the announcement today. Valuable assistance was provided by the Louisiana State Police and the Waltham Police Department. Assistant U.S. Attorneys Anne Paruti and Mackenzie Queenin prosecuted the case.
The case was brought as part of Project Safe Childhood. In 2006, the Department of Justice created Project Safe Childhood, a nationwide initiative designed to protect children from exploitation and abuse. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov/.
Louisiana Couple and Their Business Plead Guilty to Operating Sham Medical Reimbursement Account Program That Defrauded the IRS and Program Participants Out of over $48 MillionRead the Press Release
WASHINGTON – A Covington, Louisiana, couple and their company pleaded guilty for their roles in a scheme to create, market and operate a fraudulent medical reimbursement program that defrauded the IRS and program participants out of over $48 million.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney Peter G. Strasser of the Eastern District of Louisiana, Special Agent in Charge Thomas J. Holloman of the Internal Revenue Service Criminal Investigation’s (IRS-CI) Atlanta Field Office, Special Agent in Charge Eric J. Rommal of the FBI’s New Orleans Field Office, Special Agent in Charge Steve Grell of the U.S. Department of Labor, Office of Inspector General’s (DOL-OIG) Dallas Regional Office and Regional Director James Purcell of the U.S. Department of Labor, Employee Benefits Security Administration’s Kansas City Regional Office made the announcement.
Denis Joachim, 53, pleaded guilty to one count of conspiracy to commit money laundering; Donna Joachim, 52, pleaded guilty to one count of conspiracy to defraud the United States; and The Total Financial Group, Inc. (TTFG) pleaded guilty to one count of conspiracy to make false statements and representations in connection with a multiple employer welfare arrangement and five counts of making false statements and representations in connection with a multiple employer welfare arrangement. All the pleas took place before U.S. District Judge Carl J. Barbier of the Eastern District of Louisiana on May 30, 2019, and were unsealed yesterday. Sentencings have been scheduled for Sept. 5, 2019, before Judge Barbier. As part of their guilty pleas, the defendants have agreed to forfeit assets previously seized with a collective value of approximately $6.3 million. Additionally, the defendants acknowledged a potential loss to the victims totaling more than $48 million and agreed to repay restitution for the amount of loss.
According to admissions made as part of the guilty pleas, TTFG was a Louisiana business incorporated by Denis Joachim and Donna Joachim with the Louisiana Secretary of State that was most recently located at 406 N. Florida Street in Covington. TTFG and its owners created and marketed a medical reimbursement account program called “Classic 105,” which operated from about 2012 until January 2017. Classic 105 claimed to be a multiple employer welfare arrangement that was marketed to employers as a supplemental benefits plan for their employees to reimburse for medical expenses such as co-pays and deductibles; participants in Classic 105 were required to have a primary health insurance plan unrelated to and in addition to Classic 105.
According to the defendants’ admissions, Classic 105 claimed to be comprised of several components: a tax-exempt contribution of between $1,000 and $1,600 per month made by an employee (which reduced the employee’s taxable income), a loan from a financial institution back to the employee to make up for the contribution, an insurance policy payable to the lender at the employee’s death to repay the loan and fees paid by the employee and the employer directly to TTFG. TTFG told prospective employer-clients that participants would never have to make out-of-pocket payments to repay the loan and that as a result of the tax savings, most participants would receive an increase in their net take home pay. TTFG also told prospective employer-clients that the contributions would be stored in a unique account for each employee-participant and that any money not used by the end of each calendar year would revert to TTFG. TTFG also charged employee-participants a fee of between $150 and $250 per month and the employer a fee of five percent of each employee’s contribution amount. At its peak, over 350 employer-clients and 4,400 employee-participants nationwide were enrolled in TTFG’s Classic 105 program. In total, TTFG took in not less than at least $25,543,340.70 in fees from the employer-clients and employee-participants, the defendants admitted.
According to the defendants’ admissions, TTFG never obtained a single loan or insurance policy for the Classic 105 program, and participants never made any actual contributions. Rather, TTFG arranged for the contribution, loan and insurance policy to appear as a series of “paper transactions” that, in effect, did nothing more than reduce participants’ taxable wages and employers’ FICA payments improperly, without their knowledge of the impropriety. Consequently, TTFG and the Joachims admittedly caused the underpayment of at least $23,343,442.70 in federal FICA taxes, as well as the underreporting and underpayment of personal federal income taxes. federal unemployment taxes and state unemployment taxes—amounts for which the employer-clients and employee-participants may be individually responsible. It also exposed participants to other adverse financial consequences, including fees and penalties on the unpaid tax and ineligibility from certain government programs, including unemployment payments and reduced Social Security payments, the defendants admitted.
In truth, the only money actually paid to TTFG were the fees, which the Joachims used to make numerous personal expenses, including the purchase of a 26-foot boat, a 2016 Grand Design Solitude recreational trailer, a Chevrolet Corvette, a Jeep Wrangler, a Dodge Ram truck, a Mercedes-Benz CL 550 automobile, a GMC Yukon XL Denali, multiple CAN-AM Maverick 1000R off-road vehicles, jet skis, their 13,000 square foot Covington residence, real property located adjacent to their Covington residence, two residences located in Madisonville, Louisiana, 40 acres of property in Bush, Louisiana, and 125 acres of property in Spring City, Tennessee, the defendants admitted.
This case was investigated by the IRS-CI, the FBI, the DOL-OIG and the Employee Benefits Security Administration. Assistant U.S. Attorneys Jordan Ginsberg and Maria Carboni of the Eastern District of Louisiana and Trial Attorney Jared Hasten of the Criminal Division’s Fraud Section are prosecuting the case. Senior Trial Attorney Rebecca Pyne of the Criminal Division’s Organized Crime and Gang Section, Labor-Management Racketeering Unit also provided assistance with the prosecution.
The Medicare Fraud Strike Force is part of a joint initiative between the Department of Justice and U.S. Health and Human Services (HHS) to focus their efforts to prevent and deter fraud and enforce current anti-fraud laws around the country. Since its inception in March 2007, the Medicare Fraud Strike Force, which maintains 14 strike forces operating in 23 districts, has charged nearly 4,000 defendants who have collectively billed the Medicare program for more than $14 billion. In addition, the HHS Centers for Medicare & Medicaid Services, working in conjunction with HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.
To learn more about the Health Care Fraud Prevention and Enforcement Action Team (HEAT), go to www.stopmedicarefraud.gov.
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Lobbyist Pleads Guilty to Filing A False Tax ReturnRead the Press Release
ALEXANDRIA, Va. – An Alexandria man pleaded guilty today to willfully filing a false tax return.
According to court documents, James F. Miller, 67, underreported his gross income on his 2010 through 2014 tax returns by approximately $2,215,587. Miller, a tax policy lobbyist and former employee of the Justice Department’s Tax Division, filed multiple false tax returns with the Internal Revenue Service (IRS). These returns omitted substantial portions of the partnership income he received from two law firms he worked at and the gross receipts of his own lobbying firm. The total tax loss resulting from Miller’s fraudulent conduct was approximately $735,933.
Miller pleaded guilty to willfully filing a false tax return and faces a maximum penalty of three years in prison when sentenced on September 27. In addition, Miller agreed to pay $753,933 restitution to the IRS. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Richard E. Zuckerman, Principal Deputy Assistant Attorney General of the Justice Department’s Tax Division, and Kelly R. Jackson, Special Agent in Charge, Washington, D.C. Field Office, IRS-Criminal Investigation (IRS-CI) made the announcement after Senior U.S. District Judge T.S. Ellis III accepted the plea. Assistant U.S. Attorney Ryan S. Faulconer and Trial Attorney Terri-Lei O’Malley of the Justice Department’s Tax Division are prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-178.
Little Rock Man Sentenced to 15 Years in Prison for Child PornographyRead the Press Release
LITTLE ROCK—A Little Rock man was sentenced Thursday for possessing and distributing child pornography that showed children as young as one year old being sexually abused. Kenneth Laren Harvey, 49, of Little Rock, was sentenced to 180 months in federal prison by U.S. District Judge James M. Moody, Jr. The United States Attorney for the Eastern District of Arkansas, Cody Hiland, announced today’s sentencing.
During an online investigation in 2017, detectives downloaded child pornography from an IP address that officers traced to Harvey’s residence. The child pornography that detectives downloaded from Harvey included numerous videos depicting sexual acts being performed on children under the age of 12. Some of the videos were over 30 minutes long.
Based on those downloads, investigators obtained a search warrant for Harvey’s home. Officers seized multiple electronic devices, and forensic examination revealed that Harvey possessed over 2,000 images of child pornography. The images included depictions of sadism and masochism, as well as sexual acts being performed on children as young as one to three years old. During the search, detectives also discovered a peephole in Harvey’s shower, which he used to secretly film women.
“The sexual abuse of any child is abhorrent, but the degree of depravity in this case is especially disturbing because of the infant victims involved,” said U.S. Attorney Hiland. “These images are reprehensible, and collectors of child pornography like this defendant only create demand for more children to be abused. Our office will continue to prosecute those who perpetuate the horrors of the child pornography industry.”
Harvey was indicted by a federal grand jury on January 9, 2018, in an indictment that charged him with one count of possession of child pornography and three counts of distribution of child pornography. In addition to 15 years in prison, Harvey was ordered to pay $2,000 in restitution. Judge Moody also sentenced Harvey to ten years of supervised release following his term of imprisonment.
The investigation was conducted by the Little Rock Police Department and the Federal Bureau of Investigation. The case is being prosecuted by Assistant United States Attorney Kristin Bryant.
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This news release, as well as additional information about the office of the
United States Attorney for the Eastern District of Arkansas, is available online at
http://www.justice.gov/edarTwitter:
@EDARNEWSLincoln Man Sentenced for Possessing Child PornographyRead the Press Release
United States Attorney Joe Kelly announced that David Lombard, 51, of Lincoln, Nebraska, was sentenced today by Chief United States District Judge John M. Gerrard to 87 months in prison for possession of child pornography. After his release from prison, Lombard will serve 10 years of supervised release and be required to register as a sex offender.
In 2015, Homeland Security Investigations, Cyber Crimes Center, Child Exploitation Investigations Unit, found that a person using the username “sirthumper” distributed images of young females on a website catering to individuals interested in child pornography. Investigators identified David Lombard as “sirthumper”.
During an interview in March of 2015, Lombard provided the investigators with several of his electronic devices. A forensic analyst located 104 images of child pornography and seven morphed image files that included adult pornography with an adult male penis in the image with the face of a minor child added to the pornographic image. Agents identified some of the minors as children of Lombard’s coworkers. Lombard obtained innocent images from his coworkers’ social media postings, and those images were morphed with pornography.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
This case was investigated by Homeland Security Investigations.
Lewis County man sentenced for role in a methamphetamine distribution operation in Monongalia CountyRead the Press Release
CLARKSBURG, WEST VIRGINIA – Douglas Charles Knicely, of Jane Lew, West Virginia, was sentenced today to 120 months incarceration for his involvement in a methamphetamine distribution operation, United States Attorney Bill Powell announced.
Knicely, age 37, pled guilty to one count of “Conspiracy to Possess with the Intent to Distribute Methamphetamine” in March 2019. Knicely admitted to participating in a drug distribution operation in October 2018 in Monongalia County.Assistant U.S. Attorney Zelda E. Wesley prosecuted the case on behalf of the government. The Mon Metro Drug & Violent Crimes Task Force, a HIDTA-funded initiative, and the Morgantown Police Department investigated.
U.S. District Judge Thomas S. Kleeh presided.
Kiln Man Sentenced to over 7 Years in Prison for Trafficking MethamphetamineRead the Press Release
Gulfport, Miss. – Louis Brent Ladner, 41, of Kiln, Mississippi, was sentenced today by U.S. District Judge Sul Ozerden to 92 months in federal prison, followed by 4 years of supervised release, for possessing with intent to distribute methamphetamine, announced U.S. Attorney Mike Hurst and Special Agent in Charge Brad L. Byerley with the Drug Enforcement Administration.
On two separate occasions in 2017, Ladner sold methamphetamine to a confidential source. A subsequent search warrant at his residence located approximately two additional ounce of high quality methamphetamine. Ladner pled guilty on March 26, 2019 to one count of possession with intent to distribute methamphetamine.
The case was investigated by the Drug Enforcement Administration and the Hancock County Sheriff’s Office. It was prosecuted by Assistant U.S. Attorney John Meynardie.
Justice Department Settles Housing Discrimination Lawsuit Against St. Bernard Parish, LouisianaRead the Press Release
WASHINGTON – The Department of Justice announced Thursday, June 20, 2019 that St. Bernard Parish, Louisiana, has agreed to pay more than $1 million to settle a lawsuit alleging that the Parish violated the Fair Housing Act when it refused to allow two small group homes for up to five children with disabilities to open in single-family neighborhoods.
“The Fair Housing Act prohibits local governments from applying their zoning laws in a manner that discriminates against persons with disabilities,” said Assistant Attorney General Eric Dreiband of the Civil Rights Division. “This settlement underscores the Civil Rights Division’s commitment to ensure that children with disabilities have access to housing in all communities.”
“Access to safe, sanitary, and secure housing is a fundamental civil right for all persons within the Eastern District of Louisiana, and this settlement agreement continues efforts to ensure compliance to The Fair Housing Act,” said U.S. Attorney Peter G. Strasser for the Eastern District of Louisiana. “I commend the cooperative efforts of St. Bernard Parish to reach a resolution that is in the best interests of our community.”
“Persons with disabilities have a right to have access to the type of housing that meets their needs,” said Anna María Farías, HUD’s Assistant Secretary for Fair Housing and Equal Opportunity. “Today’s settlement sends a strong message that HUD and the Justice Department are committed to ensuring that cities and municipalities fully adhere to the requirements of the Fair Housing Act.”
The United States’ suit, filed in U.S. District Court in New Orleans, Louisiana, in December 2018, alleged that St. Bernard Parish violated the Fair Housing Act when it denied requests for reasonable accommodations to its zoning ordinance to allow the two group homes to operate in single-family neighborhoods of the Parish. Shortly after learning that the homes were planning to open, the Parish amended its zoning code to prohibit group homes of any size in single-family neighborhoods. The two group home operators filed complaints with HUD, which in turn referred the complaints to the Department of Justice. The group home operators filed a lawsuit in 2016, which they have settled with the Parish.
Under the settlement, St. Bernard Parish will pay $975,000 in monetary damages and attorneys’ fees to the two group home operators, and a $60,000 civil penalty to the United States. The Parish amended its zoning ordinance to permit small group homes in single-family residential districts, amended its reasonable accommodation policy, and will take a number of actions to guard against further housing discrimination. These other actions include training officials and individuals involved in zoning and land use, designating a fair housing compliance officer, and reporting periodically to the Department of Justice during the term of the agreement.
The federal Fair Housing Act prohibits discrimination in housing based on disability, race, color, religion, national origin, sex and familial status. Individuals who believe that they may have been victims of housing discrimination can call the Justice Department at 1-800-896-7743, e-mail the Justice Department at [email protected], or contact the Department of Housing and Urban Development at 1-800-66-9777 or through its website at https://www.hud.gov/program_offices/fair_housing_equal_opp. More information about the Civil Rights Division and the laws it enforces is available at www.justice.gov/crt.
June Grand JuryRead the Press Release
United States Attorney Joe Kelly announced the federal Grand Jury for the District of Nebraska has returned 15 indictments charging 17 defendants. Indictments are charging documents that contain one or more individual counts that are merely accusations, and every defendant is presumed innocent unless and until proven guilty.
* Devontez Bobo, age 26, is charged with transportation with intent to promote prostitution on September 6, 2018. The maximum possible penalty if convicted is 10 years’ imprisonment, $250,000 fine, 3-year term of supervised release, and a $100 special assessment. There is also an allegation to forfeit property seized on or about September 6, 2018.
* Edwin Mauricio Castro, age 36, is charged with illegal reentry after deportation on or about June 5, 2019, following an aggravated felony conviction. The maximum possible penalty if convicted is 20 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment.
* Judy K. Conley a/k/a Judy K. Werner, age 67, of Sidney, Iowa, is charged in a three-count Indictment. Count I charges the defendant with Social Security Fraud-failure to disclose income beginning on or about July, 2003 and continuing without interruption until around January, 2019. The maximum possible penalty if convicted is 5 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment. Count II charges the defendant with Social Security Fraud-false statement for determining right to benefits on or about August 30, 2018. The maximum possible penalty if convicted is 5 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment. Count III charges the defendant with Social Security Fraud-false statement an application on or about November 6, 2017. The maximum possible penalty if convicted is 5 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment.
* Brandon Cordero, age 26, of Columbus, Nebraska, is charged with possession with intent to distribute 50 grams or more of methamphetamine on May 10, 2019. The maximum possible penalty if convicted is 40 years’ imprisonment, $5,000,000 fine, 4-year term of supervised release, and a $100 special assessment.
* Evaristo Fuego-Calel, age 27, is charged with illegal reentry after deportation on or about May 29, 2019. The maximum possible penalty if convicted is 2 years’ imprisonment, a $250,000 fine, a 1-year term of supervised release, and a $100 special assessment.
* Dylan T. Hedrick, age 25, of Lincoln, is charged in a four-count Indictment. Count I of the Indictment charges the defendant with production of child pornography transported to the United States between on or about May 1, 2018 to May 1, 2019. The maximum possible penalty if convicted is a minimum of 15 years to 30 years’ imprisonment, a $250,000 fine, a 5-year to Life term of supervised release, $100 special assessment. Count II of the Indictment charges the defendant with receipt of child pornography on or about August 18, 2018. The maximum possible penalty if convicted is 5 years to 20 years’ imprisonment, a $250,000 fine, a 5-year to Life term of supervised release, $100 special assessment. Count III of the Indictment charges the defendant with distribution of child pornography, on or about August 29, 2018. The maximum possible penalty if convicted is 5 to 20 years’ imprisonment, a $250,000 fine, a - year to Life term of supervised release, $100 special assessment. Count IV of the Indictment charges the defendant with possession of child pornography, with a prior conviction, on or about April 12, 2019. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, a 5-year to Life term of supervised release, $100 special assessment.
* Jack Eugene Knight, age 53, is charged with assault on a Federal Employee on or about April 17, 2019. The maximum possible penalty if convicted is 20 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment.
* Jose Loarca Lopez, age 52, is charged with illegal reentry after deportation following a felony conviction on or about May 21, 2019. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment.
* Maria Isabel Lopez, age 55, of Grand Island, Nebraska, is charged in a three-count Indictment. Count I charges the defendant with theft of Government funds beginning on or about June 19, 2014 and continuing without interruption until around September 11, 2018. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment. Count II charges the defendant with Social Security Fraud-false statement or representation on or about September 10, 2018. The maximum possible penalty if convicted is 5 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment. Count III charges the defendant with Social Security Fraud-occurrence of event affecting right to receive payment on or about November 4, 2011 and continuing without interruption until around September 11, 2018. The maximum possible penalty if convicted is 5 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment.
* Pablo Morales Rodriguez, age 40, is charged in a three-count Indictment. Count I charges the defendant with false representation of a Social Security Number with intent to deceive beginning on or about February 13. 2019. The maximum possible penalty if convicted is 5 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment. Count II charges the defendant with false representation of a Social Security Number with intent to deceive beginning on or about February 27. 2019. The maximum possible penalty if convicted is 5 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment. Count III charges the defendant with false representation of a Social Security Number with intent to deceive beginning on or about March 13. 2019. The maximum possible penalty if convicted is 5 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment.
* Antonio Phillip, age 34, is charged in a four-count Indictment. Count I of the Indictment charges the defendant with possession with intent to distribute cocaine on or about January 8, 2019. The maximum possible penalty if convicted is 20 years’ imprisonment, $1,000,000 fine, a 3-year term of supervised release, and a $100 special assessment. Count II of the Indictment charges the defendant with possession with intent to distribute marijuana beginning on or about December 18, 2018 until January 8, 2019. The maximum possible penalty if convicted is 5 years’ imprisonment, $250,000 fine, a 2-year term of supervised release, and a $100 special assessment. Count III of the Indictment charges the defendant with felon in possession of a firearm on or about January 8, 2019. The maximum possible penalty if convicted is 10 years’ imprisonment, $250,000 fine, a 3-year term of supervised release, and $100 special assessment. Count IV of the Indictment charges the defendant with possessing or using a firearm in connection with a drug trafficking crime on or about January 8, 2019. The maximum possible penalty if convicted is Life imprisonment consecutive, $250,000 fine, a 5-year term of supervised release, and a $100 special assessment. There is also an allegation to forfeit U.S. currency seized on or about January 8, 2019.
* Edgar Nazael Rodriguez Ordonez, age 31, is charged with illegal reentry after deportation following a felony conviction on or about May 30, 2019. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment.
* Jose Sebastian Urbina Morales, age 40, is charged with illegal reentry after deportation following a felony conviction on or about May 21, 2019. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment.
* Ashley Whited, age 30, of Sidney, Nebraska, Francisco Herrera, age 35, of Sterling, Colorado, and Jared Schaefer, age 26, of Sidney, Nebraska, are charged with conspiracy to distribute and possess with intent to distribute 50 grams or more of methamphetamine, beginning on or about March, 2019 and continuing to on or about May, 2019. The maximum possible penalty if convicted is 40 years’ imprisonment, $5,000,000 fine, 4-year term of supervised release, and a $100 special assessment. Count II of the Indictment charges Herrera with possession with intent to distribute 500 grams or more of methamphetamine on or about May 10, 2019. The maximum possible penalty if convicted is Life imprisonment, $10,000,000 fine, a 5-year term of supervised release, and a $100 special assessment.
* Celestino Zavala-Aguirre a/k/a Jesus Tapia-Lopez, age 35, is charged with possession with intent to distribute 500 grams or more of methamphetamine on May 30, 2019. The maximum possible penalty if convicted is Life imprisonment, $10,000,000 fine, 5-year term of supervised release, and a $100 special assessment.
Jackson Man Sentenced to over Eleven Years for Sex Trafficking of a MinorRead the Press Release
Jackson, Miss. – Courtney Tremel Louie, 24, of Jackson, was sentenced today by Chief U.S. District Judge Daniel P. Jordan III to serve a total of 141 months in federal prison, followed by five years of supervised release, on charges relating to sex trafficking of a minor, announced U.S. Attorney Mike Hurst, FBI Acting Special Agent in Charge Steven J. Jenson, and Mississippi Attorney General Jim Hood.
"Trafficking minors for sex is one of the worst, most heinous and despicable crimes we see, and this office will stop at nothing to protect victims and put these criminals behind bars. I want to thank our investigators and prosecutors for diligently pursuing this monster. We will continue to work with all of our law enforcement partners to do all that we can to stamp out human trafficking," said U.S. Attorney Hurst.
Louie was sentenced to 84 months in prison for carrying a firearm during and in relation to a crime of violence (sex trafficking of a minor). He was sentenced to 57 months in prison for using the internet to promote and advertise the unlawful activity (prostitution). The sentences will be served consecutively for a total of 141 months. Louie was also ordered to pay a $1,500 fine.
Beginning on January 1, 2018, and continuing through January 5, 2018, Louie was actively involved with the sex trafficking of a minor he had transported from Tennessee to Jackson. The minor performed commercial sex acts with men for money at various hotels. Louie used the internet to promote his unlawful activity by placing ads on the website "Backpage.com".
The case was investigated by the Federal Bureau of Investigation, Jackson Police Department and the Mississippi Attorney General’s Office. It was prosecuted by Assistant United States Attorney Glenda R. Haynes.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Illegal Alien Sentenced to 35 Months in Federal Prison for Unlawful Possession of A FirearmRead the Press Release
Ocala, Florida – Senior U.S. District Judge John Antoon II today sentenced Trinidad Flores-Navarro (43, Mexico) to 2 years and 11 months in federal prison for possessing a firearm as an illegal alien. The court also ordered Flores-Navarro to forfeit a handgun and ammunition. Flores-Navarro had pleaded guilty on March 25, 2019.
According to evidence presented in court, on January 10, 2019, Florida Highway Patrol troopers conducted a traffic stop on an automobile in Sumter County. The passenger, Flores-Navarro, had an ammunition magazine in his pocket. A subsequent search of the vehicle’s center console revealed a loaded 9mm handgun with an additional ammunition magazine. Flores-Navarro, an illegal alien from Mexico, admitted that the firearm belonged to him. He also told the troopers that he had illegally re-entered the United States in 2017, following a federal conviction for cocaine distribution.
This case was investigated by U.S. Customs and Border Protection and the Florida Highway Patrol. It was prosecuted by Assistant United States Attorneys Michael P. Felicetta and Robert E. Bodnar, Jr.
Illegal Alien Pleads Guilty to Unlawful Reentry by an Alien After RemovalRead the Press Release
Gulfport, Miss. – Luis Alberto Preza-Mendez, 31, an illegal alien from Mexico, pled guilty yesterday before U.S. District Judge Sul Ozerden, to unlawful reentry by an alien after removal, announced U.S. Attorney Mike Hurst, and Mr. Trey Lund, Acting Field Office Director of Immigration and Customs Enforcement (ICE), Enforcement and Removal Operations in New Orleans.
Preza-Mendez was found guilty of the felony offense and is scheduled to be sentenced by Judge Ozerden, on June 20, 2019, at 2:30 p.m. He faces a potential maximum penalty of 2 years in prison, followed by one year of supervised release, and a $250,000 fine. He also faces being removed from the United States following the completion of any prison sentence.
On March 12, 2019, the Harrison County Sheriff’s Office notified ICE that Preza-Mendez had been arrested for a domestic disturbance and confessed to being an illegal alien from Mexico. Preza-Mendez was arrested and transported to the Gulfport ICE Office. He was positively identified via a fingerprint scan into the Department of Homeland Security computerized records system which accessed his prior immigration records including photographs, fingerprints and prior removal documents. Electronic database queries confirmed that Mr. Preza-Mendez is a citizen of Mexico who had been physically removed pursuant to a lawful removal order and did not have permission to reenter the U.S.
Preza-Mendez had been officially ordered removed from the United States on October 13, 2013. After being physically removed based on this lawful order, he repeatedly returned to the United States, and was removed multiple times in 2014. At the time of his most recent removal in July, 2014, Preza-Mendez was prohibited from entering, attempting to enter, being in the United States or applying for admission to the United States for a period of twenty years.
U.S. Attorney Hurst praised the cooperation exhibited by the Department of Homeland Security, Immigration & Customs Enforcement, Enforcement Removal Operations, and the Harrison County Sheriff’s Department. Assistant United States Attorney Stan Harris is the prosecutor for this case.
Illegal Alien Pleads Guilty to Unlawful Reentry by an Alien After RemovalRead the Press Release
Gulfport, Miss. – Marcos Martinez-Jimenez, 39, an illegal alien from Mexico, pled guilty yesterday before U.S. District Judge Sul Ozerden, to unlawful reentry by an alien after removal, announced U.S. Attorney Mike Hurst and Mr. Trey Lund, Acting Field Office Director of Immigration and Customs Enforcement (ICE), Enforcement and Removal Operations in New Orleans.
Martinez-Jimenez was found guilty of the felony offense and is scheduled to be sentenced by Judge Ozerden, on June 20, 2019, at 2:00 p.m. He faces a potential maximum penalty of 2 years in prison, followed by one year of supervised release, and a $250,000 fine. He also faces being removed from the United States following the completion of any prison sentence.
On April 17, 2019, during criminal alien program duties at the Jackson County Adult Detention Center, an ICE agent encountered Martinez-Jimenez who was being held for a misdemeanor city noise violation. Martinez-Jimenez was positively identified via a fingerprint scan into the Department of Homeland Security computerized records system which accessed his prior immigration records including photographs, fingerprints and prior removal documents.
Officials confirmed through record checks that Martinez-Jimenez originally was removed from the United States on December 2, 2015. He then, illegally reentered the United States and was removed three additional times on December 6, 2015, December 14, 2015, and December 22, 2015.
U.S. Attorney Hurst praised the cooperation exhibited by the Department of Homeland Security, Immigration & Customs Enforcement, Enforcement Removal Operations, and the Jackson County Sheriff’s Department. Assistant United States Attorney Stan Harris is the prosecutor for this case.