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Thursday 20 June 2019
Illegal Alien Sentenced to Five Years in Federal Prison for Unlawfully Re-Entering the United StatesRead the Press Release
Ocala, Florida – Senior U.S. District Judge James D. Whittemore today sentenced Juan Paulin-Leon (36, Mexico) to five years in federal prison for illegal re-entry into the United States by a previously deported alien. Paulin-Leon had pleaded guilty on March 6, 2019.
According to evidence presented in court, on January 27, 2019, the Marion County Sheriff’s Office arrested Paulin-Leon on a state criminal charge of operating a motor vehicle without a valid license. Following his arrest, the jail’s booking system automatically forwarded Paulin-Leon’s personal identifying information to officials with U.S. Immigration and Customs Enforcement (ICE), who confirmed through fingerprints and photographs that Paulin-Leon was illegally present in the United States from Mexico.
Paulin-Leon had previously been deported from the United States on two occasions—February 11, 2005 and January 4, 2013. He also had prior felony convictions for burglary (2001) and trafficking in drugs (2011).
This case was investigated by Enforcement and Removal Operations (Orlando), a component of ICE, and the Marion County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Robert E. Bodnar, Jr.
Illegal Alien Charged with Felon in Possession of A Firearm and Alien in Possession of A FirearmRead the Press Release
FRESNO, Calif. — A federal grand jury returned a three-count indictment today against Jose Toscano-Ruelas, 43, a foreign national, charging him with being a felon in possession of a firearm, being an illegal alien in possession of a firearm, and being a deported alien found in the United States, U.S. Attorney McGregor W. Scott announced.
According to court documents, Toscano-Ruelas received fifteen drug trafficking-related convictions in Tulare County, California in July 2003. He was subsequently deported in December 2005 and never obtained permission to return to the United States. In May 2019, Toscano-Ruelas was found in Tulare County in possession of a semi-automatic pistol.
This case was the product of an investigation by Immigration and Customs Enforcement (ICE) and the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF). Assistant United States Attorney Laura D. Withers is prosecuting the case.
Toscano-Ruelas is currently in custody.
If convicted, Toscano-Ruelas faces a maximum statutory penalty of 20 years in prison. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Illegal Alien Charged with Failure to Register or Update His Registration as Sex OffenderRead the Press Release
FRESNO, Calif. — A federal grand jury returned a two-count superseding indictment today against Marco Antonio Lopez-Rubio, 35, a foreign national, charging him with failing to register or update his registration as a sex offender and being a deported alien found in the United States, U.S. Attorney McGregor W. Scott announced.
According to court documents, from May 2019 until June 2019, Lopez-Rubio was present in the State of California but failed to register as a sex offender as required by law. In 2008, Lopez-Rubio was convicted in California for forcible rape, at which time he acquired his registration requirement. He was subsequently deported from the United States and never obtained permission to return to the United States.
This case was the product of an investigation by the U.S. Marshals Service and Immigration and Customs Enforcement, Enforcement and Removal Operations. Assistant United States Attorney Laura D. Withers is prosecuting the case.
If convicted, Lopez-Rubio faces a maximum statutory penalty of 10 years in prison and a $250,000 fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Honduran Man Sentenced for Transporting Local Minor Out of State for SexRead the Press Release
PENSACOLA, FLORIDA – Elvin Castron-Murcia, 20, a Honduran native residing in Louisiana, was sentenced in federal court today to ten years in prison for traveling for illicit sexual conduct and transporting a minor for criminal sexual activity involving a Northwest Florida girl. The sentence was announced by Lawrence Keefe, United States Attorney for the Northern District of Florida.
"The illegal actions of this defendant will have a lasting and harmful impact on his adolescent victim, and it is important that he be imprisoned so he cannot take advantage of other young girls," Keefe said. "We thank the various federal, state, and local law enforcement partners who helped find the victim, return her safely to her family, and ensure that the defendant is brought to justice."
This investigation began in May 2018, when a 12-year-old female, identified only as "ENN," disappeared after her mother caught her communicating on Facebook with a male under the name "Elvin C. Murcia." Several neighbors had observed a black Honda Civic with Tennessee license tags parked near ENN’s residence in Navarre, Florida. A search of ENN’s cell phone and Instagram social media account revealed images of the girl in a vehicle with a male who appeared to be the same person on Murcia’s Facebook account.
The next day, ENN’s mother was able to communicate with her daughter via Facebook Messenger, and law enforcement officers determined that the cell phone used for the conversation was located in Tennessee heading toward Alabama. A state trooper soon observed the black Honda Civic with Tennessee tags and stopped the vehicle in Alabama. ENN was identified as the vehicle’s passenger and Murcia, who was using a license issued in a false name, was later identified as the driver. Images and videos forensically located on Murcia’s phone confirmed that Murcia and ENN were in a relationship that began when ENN was 11 years old. Law enforcement officers were also able to obtain video from a Tennessee Walgreens store showing Murcia purchasing birth control with ENN. The Department of Homeland Security confirmed that Murcia was illegally present in the United States.
Murcia will be removed from the United States after serving his sentence in federal prison.
"The victimization of innocent children will not be tolerated in this country, and this case reinforces that message," said Rachel L. Rojas, Special Agent in Charge of the FBI Jacksonville Division. "The FBI and our law enforcement partners will stop at nothing to identify child predators and ensure the safety of young people who are among the most vulnerable members of our community."
"Castron-Murcia acted with an intense focus to befriend this child and gain her trust only to victimize her," said FDLE Pensacola Special Agent in Charge Jack Massey. "FDLE will continue to work aggressively with our law enforcement partners to investigate those who seek to hurt our children."
The case was investigated by the Federal Bureau of Investigation, the Florida Department of Law Enforcement, the Santa Rosa County Sheriff’s Office, the Alabama Law Enforcement Agency, and Homeland Security Investigations. Assistant United States Attorney David L. Goldberg prosecuted the case.
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
Hartford Man Sentenced to 33 Months in Federal Prison for Illegally Possessing Loaded HandgunRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that MARQUISE GODWIN, also known as Craig Godwin, 32, of Hartford, was sentenced today by U.S. District Judge Jeffrey A. Meyer in New Haven to 33 months of imprisonment, followed by three years of supervised release, for illegally possessing a firearm.
According to court documents and statements made in court, on June 3, 2018, Hartford Police encountered Godwin in his car after he was involved in a traffic accident on Main Street in Hartford. At the time of the accident, Godwin, who was intoxicated, possessed a loaded .40 caliber Astra A75 handgun.
The firearm had been reported stolen during a burglary in Hartford in September 2017.
Godwin’s criminal history includes convictions in state court for weapons, narcotics, escape and risk of injury offenses.
It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.
Godwin has been detained since June 3, 2018. On November 27, he pleaded guilty to one count of possession of a firearm and ammunition by a convicted felon.
This matter was investigated by the FBI’s Connecticut Violent Crime Task Force and the Hartford Police Department. The case was prosecuted by Assistant U.S. Attorney Michael J. Gustafson.
This prosecution is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make neighborhoods safer for everyone.
Hart to Heart Ambulance Services to Pay $1.25 Million to Settle Federal False Claims Act AllegationsRead the Press Release
Baltimore, Maryland – After a multiple-year investigation and the government’s intervention in a whistleblower lawsuit, Hart to Heart Ambulance Services, d/b/a/ Hart to Heart Transportation Services has agreed to pay the United States $1,250,000 to settle allegations under the False Claims Act that it submitted false claims to Medicare for ambulance transport that was not medically necessary.
The settlement agreement was announced today by United States Attorney for the District of Maryland Robert K. Hur and Special Agent in Charge of the Office of Inspector General for the Department of Health and Human Services, Maureen Dixon.
“Companies that submit false bills to the government must be held accountable. The United States Attorney’s Office is committed to taking the steps necessary to protect Medicare and other federal healthcare programs from fraud and abuse and recover taxpayers’ money,” said U.S. Attorney Robert K. Hur.
“When health care providers participate in fraudulent billing schemes in order to increase profits, they steal from the pockets of the taxpayer and jeopardize federal healthcare programs,” said Maureen Dixon, Special Agent in Charge for the Office of Inspector General of the U.S. Department of Health and Human Services. “We will continue to be relentless in our efforts to hold such providers accountable.”
On November 30, 2018, the United States filed a complaint in U.S. District Court alleging that Hart to Heart, its billing affiliate, EMS Billing Solutions, Inc. (“EMS”), and the owners and operators of those organizations violated the False Claims Act by submitting or causing the submission of false claims to Medicare for ambulance transport that was not medically necessary, and for which the defendants received millions of taxpayer dollars. Medically necessary ambulance transportation requires that a patient’s medical condition is such that other methods of transportation are contraindicated, but Hart to Heart submitted a high rate of ambulance claims for patients who could have been transported by wheelchair van or other means. The complaint cites accounts from numerous former Hart to Heart employees about management’s pressure and directions to falsify documentation to make Medicare reimbursement more likely.
In reaching this settlement, the parties have resolved allegations that, from January 2, 2010 to December 31, 2017, Hart to Heart knowingly submitted fraudulent claims to Medicare for non-emergency Basic Life Support (BLS) ambulance transports hospital discharges that were not medically necessary.
The claims resolved by this settlement are allegations. The settlement is not an admission of liability by Hart to Heart Transportation Services or its affiliates, nor a concession by the United States that its claims are not well founded.
The government’s action in this matter illustrates its commitment to combat health care fraud using the False Claims Act. Tips from all sources about potential fraud, waste, abuse, and mismanagement can be reported to the Department of Health and Human Services, at 800-HHS-TIPS (800-447-8477).
Bryan Arvey, a former Hart to Heart employee, originally filed this lawsuit under the qui tam, or whistleblower, provisions of the False Claims Act, which permits private individuals with knowledge of fraud to sue on behalf of the government for false claims and to share in any recovery. Mr. Arvey will receive approximately $251,000 from the settlement with Hart to Heart. The case is captioned United States, et al. ex rel. Arvey v. Hart to Heart Transportation Services, Inc. et al., Case No. RDB-13-1554.
United States Attorney Robert K. Hur commended the U.S. Department of Health and Human Services - Office of Inspector General for its work in the investigation. Mr. Hur also thanked Assistant United States Attorneys Roann Nichols and Molissa Farber, who handled the case.
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Harrison County woman sentenced for role in a methamphetamine distribution operationRead the Press Release
CLARKSBURG, WEST VIRGINIA – Faith Martin, of Shinnston, West Virginia, was sentenced today to 41 months incarceration for her involvement in a methamphetamine distribution conspiracy, United States Attorney Bill Powell announced.
Martin, age 20, pled guilty to one count of “Distribution of Methamphetamine” in March 2019. Martin admitted to selling methamphetamine in Harrison County in August 2018.
Assistant U.S. Attorney Zelda E. Wesley prosecuted the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Greater Harrison Drug & Violent Crimes Task Force, a HIDTA-funded initiative, investigated.
The investigation was funded in part by the federal Organized Crime Drug Enforcement Task Force Program (OCDETF). The OCDETF program supplies critical federal funding and coordination that allows federal and state agencies to work together to successfully identify, investigate, and prosecute major interstate and international drug trafficking organizations and other criminal enterprises.
U.S. District Judge Thomas S. Kleeh presided.
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Guns and Heroin Send Washington County Man to Federal PrisonRead the Press Release
PITTSBURGH - A former resident of Detroit, Michigan and recent resident of Washington, Pennsylvania, was sentenced on Tuesday, June 18, 2019, in federal court to eight years and four months (100 months) of federal imprisonment followed by five years of supervised release on his conviction of federal drug and firearms offenses, United States Attorney Scott W. Brady announced today.
Senior United States District Judge Joy Flowers Conti imposed the sentence on Bobby Leon Cook, aka "Shorty", age 30.
According to information presented to the court, the investigation revealed that Cook was selling heroin from a Red Roof Inn hotel in Washington County. Working in an undercover capacity, a detective with the Canonsburg Police Department made recorded calls to Cook and arranged to buy a "brick" containing 50 stamp bags of opiates from Cook for $350. Cook was stopped after leaving the hotel and was found to be in possession of a total of 70 stamp bags of heroin and $3,293 in cash. Law enforcement subsequently searched his hotel room and located items which included unfilled stamp bags, a digital scale, rubber bands used to package stamp bags into "bricks," three pistols (a .380 caliber, a .357 caliber and a .38 caliber), and ammunition. One of the firearms was stolen in a Washington County residential burglary.
While imposing sentence, Judge Conti noted that people are dying from heroin purchased from opiate dealers like Cook and that his illegal possession of multiple firearms made the situation even more dangerous.
United States Attorney Brady commended the collective efforts of the Drug Enforcement Administration (DEA), the Canonsburg Police Department, the Washington County Sheriff’s Office, the City of Washington Police Department, the Robinson Township Police Department, the Coraopolis Police Department, the Monessen Police Department, the Pennsylvania State Police and the Washington County Drug Task Force for the investigation leading to the successful prosecution of Cook.
The investigation was funded by the federal Organized Crime Drug Enforcement Task Force Program (OCDETF). The OCDETF program supplies critical federal funding and coordination that allows federal and state agencies to work together to successfully identify, investigate, and prosecute major interstate and international drug trafficking organizations and other criminal enterprises.
Green Bay Man Indicted for ArsonRead the Press Release
United States Attorney Matthew D. Krueger of the Eastern District of Wisconsin, announced that on June 18, 2019, a federal grand jury issued an indictment against William A. Julius (age: 57) of Green Bay, Wisconsin.
The indictment alleges that Julius “did maliciously damage by fire, a building located at 332 South Madison Street” in the City of Green Bay, in violation of Title 18, United States Code, Section 844(1). If convicted of the charge, Julius faces a mandatory 5-year prison term and could be imprisoned for up to 20 years. He also faces a fine of up to $250,000.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the Green Bay Fire Department and the Green Bay Police Department. It will be prosecuted by Assistant United States Attorney Daniel R. Humble.
An indictment is only a charge and is not evidence of guilt. The defendant is presumed innocent and is entitled to a fair trial at which the government must prove him guilty beyond a reasonable doubt.
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Garryowen woman sentenced for running over, killing manRead the Press Release
BILLINGS—A Garryowen woman who admitted killing a man by running over him with a minivan as he was walking along a road on the Crow Indian Reservation was sentenced today to 10 years in prison and to five years of supervised release, said U.S. Attorney Kurt Alme.
Vernelle Lynn Badbear, 36, pleaded guilty in October to second degree murder in the November 2016 death of the victim.
U.S. District Judge Susan Watters presided.
Court records filed by the prosecution said that a highway road painter found a body on Highway 451 near Wyola on Nov. 12, 2016. The body was identified through tattoos. Knowing that the deceased had been in a relationship with Badbear and lived nearby, law enforcement officers began an investigation with her.
Badbear initially told investigators she and the victim had argued on Nov. 4, he had left the house and that she had not seen him since. After further questioning, Badbear admitted she had run over the victim.
Badbear admitted that she got upset with the victim because he was drinking alcohol when he was supposed to watch the children. The victim left the house and began walking down the road. Badbear admitted driving after the victim in her minivan, hitting him and then running over him. An autopsy determined the cause of death was blunt force trauma consistent with having been hit and run over by a vehicle and that it would have taken some time for the victim to die.
Assistant U.S. Attorney Lori Suek prosecuted the case, which was investigated by the FBI.
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Four Executives of Canadian Payment Processor Charged with Fraud and Money LaunderingRead the Press Release
Four individuals were charged with engaging in a massive fraud scheme in which their company processed payments from victims of numerous international mass-mail fraud campaigns, the Department of Justice announced.
Rosanne Day, 51; Robert Paul Davis, 63; Genevieve Renee Frappier, 49; and Miles Kelly, 55; each were charged in the District of Nevada with one count of conspiracy to commit mail and wire fraud, one count of conspiracy to commit money laundering, and multiple counts of mail fraud and wire fraud. Day and Davis were part-owners and the top managers of PacNet Services Ltd. (PacNet), a payment processing company based in Vancouver, British Columbia, Canada. Frappier was in charge of PacNet’s Marketing and Client Services departments, and Kelly oversaw PacNet’s Compliance Department.
The indictment alleges that PacNet, under the defendants’ direction, was the payment processor of choice for companies that mailed large volumes of fraudulent notifications designed to mislead victims into falsely believing they would receive a large amount of money, a valuable prize, or specialized psychic services upon payment of a fee. Many alleged victims were elderly or otherwise vulnerable. PacNet served as the middleman between banks and the fraudulent mailers – aggregating the checks, cash, and credit card payments collected by its clients, depositing the payments into PacNet-controlled bank accounts, and then distributing the funds as directed by the clients, according to the indictment.
“The defendants are charged with enriching themselves by helping fraudsters who took money from elderly and otherwise vulnerable victims,” said Assistant Attorney General Jody Hunt for the Department of Justice's Civil Division. “The United States Department of Justice will seek to hold accountable those who knowingly advance elder fraud schemes – including individuals outside our borders who enable fraudsters to move their ill-gotten gains into the banking system and benefit from their crimes.”
“As alleged in the indictment, numerous victims in Nevada were defrauded of money in connection with the defendants’ scheme, and at least one of PacNet’s fraudulent mass mail clients was located in Nevada,” said U.S. Attorney Nicholas A. Trutanich for the District of Nevada. “Working with our Postal Inspectors and other law enforcement partners, we will identify, investigate, and prosecute criminals – both foreign and domestic – who prey on our seniors and other vulnerable Nevada residents. These fraud schemes can happen to anyone. If you’re a victim, I urge you to immediately file a complaint with the FTC at 877-FTC-HELP.”
“The U.S. Postal Inspection Service has been at the forefront of protecting consumers from fraud schemes for many years,” said Inspector in Charge Delany DeLeon-Colon of the U.S. Postal Inspection Service’s Criminal Investigations Group. “We do this through traditional investigative methods to identify and stop the scammers, and consumer education, which is the best defense against criminals looking for easy money. Investigations like this one let the American public – especially our vulnerable population – know that Postal Inspectors are working hard to protect them and ensure their confidence in the U.S. Mail.”
From 1994 until Sept. 22, 2016, PacNet processed payments for a variety of clients, including mass-mail clients who sent fraudulent notifications to consumers in the United States and around the world, according to the indictment. Several individuals involved in operating mass-mail companies that processed payments through PacNet have been convicted of federal fraud charges during the last two years.
The indictment alleges that the defendants knew that multiple PacNet mass-mail clients obtained payments from victims through fraudulent notifications and nonetheless approved depositing those payments into U.S. bank accounts, allowing the clients to benefit from the fraud. Day, who was in charge of PacNet’s Vancouver headquarters, and Davis, who oversaw PacNet’s office in Shannon, Ireland, each earned approximately $15 million in Canadian dollars from 2013 through 2015, the last three full years that PacNet was in operation, according to the indictment.
PacNet’s policies required mass-mail clients to submit sample notifications to PacNet for review. The indictment alleges that the defendants approved processing for fraudulent notifications that had been submitted, in some situations approved processing for fraudulent notifications that had not been submitted, and at other times condoned the continued processing for mass-mail clients who were sending different, even more fraudulent notifications than what PacNet had approved.
Davis, who identified himself as PacNet’s general counsel, opened post office boxes in the United Kingdom to which certain PacNet mass-mail clients directed victim payments be sent, according to the indictment. The indictment alleges that Davis, who was a pilot, at times flew to the United Kingdom to pick up the mail and transport it to Ireland, where the mail was opened and the checks, cash, and other payments were processed. The indictment further alleges that on several occasions Davis flew to the Netherlands to pick up cash from facilities that were receiving mail for certain PacNet mass-mail clients. Davis then flew the cash to Ireland, according to the indictment.
Each charge carries a maximum penalty of 20 years in prison. The indictment contains only accusations against the defendants and is not evidence of guilt. The defendants should be presumed innocent unless and until proven guilty.
The criminal charges are the result of an investigation conducted by the United States Postal Inspection Service, which through official requests received assistance from the Vancouver Police Department, Canada’s Competition Bureau, Ireland’s Criminal Assets Bureau, the United Kingdom’s National Crime Agency, and the Netherlands’ Fiscal Information and Investigation Service.
Senior Litigation Counsel Patrick Jasperse of the Department’s Consumer Protection Branch is prosecuting the case with assistance from Assistant United States Attorney Nicholas Dickinson of the U.S. Attorney’s Office for the District of Nevada. The Criminal Division’s Office of International Affairs has provided critical support.
Four Executives of Canadian Payment Processor Charged with Fraud and Money LaunderingRead the Press Release
LAS VEGAS, Nev. – Four individuals were charged with engaging in a massive fraud scheme in which their company processed payments from victims of numerous international mass-mail fraud campaigns, the Department of Justice announced.
Rosanne Day, 51; Robert Paul Davis, 63; Genevieve Renee Frappier, 49; and Miles Kelly, 55; each were charged in the District of Nevada with one count of conspiracy to commit mail and wire fraud, one count of conspiracy to commit money laundering, and multiple counts of mail fraud and wire fraud. Day and Davis were part-owners and the top managers of PacNet Services Ltd. (PacNet), a payment processing company based in Vancouver, British Columbia, Canada. Frappier was in charge of PacNet’s Marketing and Client Services departments, and Kelly oversaw PacNet’s Compliance Department.
The indictment alleges that PacNet, under the defendants’ direction, was the payment processor of choice for companies that mailed large volumes of fraudulent notifications designed to mislead victims into falsely believing they would receive a large amount of money, a valuable prize, or specialized psychic services upon payment of a fee. Many alleged victims were elderly or otherwise vulnerable. PacNet served as the middleman between banks and the fraudulent mailers – aggregating the checks, cash, and credit card payments collected by its clients, depositing the payments into PacNet-controlled bank accounts, and then distributing the funds as directed by the clients, according to the indictment.
“The defendants are charged with enriching themselves by helping fraudsters who took money from elderly and otherwise vulnerable victims,” said Assistant Attorney General Jody Hunt for the Department of Justice's Civil Division. “The United States Department of Justice will seek to hold accountable those who knowingly advance elder fraud schemes – including individuals outside our borders who enable fraudsters to move their ill-gotten gains into the banking system and benefit from their crimes.”
“As alleged in the indictment, numerous victims in Nevada were defrauded of money in connection with the defendants’ scheme, and at least one of PacNet’s fraudulent mass mail clients was located in Nevada,” said U.S. Attorney Nicholas A. Trutanich for the District of Nevada. “Working with our Postal Inspectors and other law enforcement partners, we will identify, investigate, and prosecute criminals – both foreign and domestic – who prey on our seniors and other vulnerable Nevada residents. These fraud schemes can happen to anyone. If you’re a victim, I urge you to immediately file a complaint with the FTC at 877-FTC-HELP.”
“The U.S. Postal Inspection Service has been at the forefront of protecting consumers from fraud schemes for many years,” said Inspector in Charge Delany DeLeon-Colon of the U.S. Postal Inspection Service’s Criminal Investigations Group. “We do this through traditional investigative methods to identify and stop the scammers, and consumer education, which is the best defense against criminals looking for easy money. Investigations like this one let the American public – especially our vulnerable population – know that Postal Inspectors are working hard to protect them and ensure their confidence in the U.S. Mail.”
From 1994 until Sept. 22, 2016, PacNet processed payments for a variety of clients, including mass-mail clients who sent fraudulent notifications to consumers in the United States and around the world, according to the indictment. Several individuals involved in operating mass-mail companies that processed payments through PacNet have been convicted of federal fraud charges during the last two years.
The indictment alleges that the defendants knew that multiple PacNet mass-mail clients obtained payments from victims through fraudulent notifications and nonetheless approved depositing those payments into U.S. bank accounts, allowing the clients to benefit from the fraud. Day, who was in charge of PacNet’s Vancouver headquarters, and Davis, who oversaw PacNet’s office in Shannon, Ireland, each earned approximately $15 million in Canadian dollars from 2013 through 2015, the last three full years that PacNet was in operation, according to the indictment.
PacNet’s policies required mass-mail clients to submit sample notifications to PacNet for review. The indictment alleges that the defendants approved processing for fraudulent notifications that had been submitted, in some situations approved processing for fraudulent notifications that had not been submitted, and at other times condoned the continued processing for mass-mail clients who were sending different, even more fraudulent notifications than what PacNet had approved.
Davis, who identified himself as PacNet’s general counsel, opened post office boxes in the United Kingdom to which certain PacNet mass-mail clients directed victim payments be sent, according to the indictment. The indictment alleges that Davis, who was a pilot, at times flew to the United Kingdom to pick up the mail and transport it to Ireland, where the mail was opened and the checks, cash, and other payments were processed. The indictment further alleges that on several occasions Davis flew to the Netherlands to pick up cash from facilities that were receiving mail for certain PacNet mass-mail clients. Davis then flew the cash to Ireland, according to the indictment.
Each charge carries a maximum penalty of 20 years in prison. The indictment contains only accusations against the defendants and is not evidence of guilt. The defendants should be presumed innocent unless and until proven guilty.
The criminal charges are the result of an investigation conducted by the United States Postal Inspection Service, which through official requests received assistance from the Vancouver Police Department, Canada’s Competition Bureau, Ireland’s Criminal Assets Bureau, the United Kingdom’s National Crime Agency, and the Netherlands’ Fiscal Information and Investigation Service.
Senior Litigation Counsel Patrick Jasperse of the Department’s Consumer Protection Branch is prosecuting the case with assistance from Assistant United States Attorney Nicholas Dickinson of the U.S. Attorney’s Office for the District of Nevada. The Criminal Division’s Office of International Affairs has provided critical support.
Four Assistant United States Attorneys, One Paralegal and Three Law Enforcement Partners Recognized by Deputy Attorney General for Their Work on EDNY CasesRead the Press Release
WASHINGTON – Four Assistant United States Attorneys (AUSAs) from the Eastern District of New York (EDNY), one paralegal, and three law enforcement partners were among those recognized by Deputy Attorney General Jeffrey Rosen and Director James Crowell, IV, of the Executive Office for U.S. Attorneys (EOUSA), at the 35th Director’s Awards Ceremony today in Washington D.C. The EDNY was one of 31 districts represented at the ceremony, which was held in the Great Hall at the Robert F. Kennedy Department of Justice Building.
Deputy Attorney General Rosen told the awardees, “Today’s honorees have earned the esteem of their colleagues. But most importantly, you have earned the gratitude of your fellow citizens — whose communities you have made safer, whose lives you have improved, and whose trust you have rewarded.”
EOUSA Director Crowell said, “The Department of Justice is in truth a deployed force. Your work isn’t easy, but it is vital to the functioning and enduring nature of our democracy. As federal prosecutors, we are held to a higher standard, a standard that requires us to ensure that we uphold the rule of law and the fundamental rules of fairness in every trial, every settlement, every plea, and every legal argument in which we are involved.”
Immigration Litigation
AUSA Joseph A. Marutollo was recognized for his exemplary performance in leading the district’s demanding civil immigration practice. Since his appointment as Chief of Immigration Litigation in May 2017, AUSA Marutollo has exhibited exceptional dedication in overseeing more than 800 affirmative and defensive immigration cases and in managing a host of putative class-actions in cases of national significance. He has demonstrated remarkable initiative in taking on key roles in defending challenges to national immigration policies, including high-profile actions seeking to enjoin the rescission of the Deferred Action for Childhood Arrivals, the termination of Temporary Protected Status designations and the use of immigration detainers. Additionally, AUSA Marutollo has creatively and successfully defended the government in a variety of cases at trial and on appeal, and Second Circuit and District Court judges have recognized his advocacy skills. AUSA Marutollo serves as a model of excellence in the handling of the district’s important immigration litigation.
U.S. v. alFarekh
AUSAs Richard Tucker, Douglas Pravda and Saritha Komatireddy, Counterterrorism Section Trial Attorney Alicia Cook, Paralegal Specialist Wayne Colon, Federal Bureau of Investigation Acting Supervisory Special Agent Shawn Dolinar and New York City Police Department Detective John Darino were recognized for their outstanding performance in the prosecution and conviction of Muhanad alFarekh. al-Farekh, a U.S. citizen who left college and traveled to the Federally Administered Tribal Areas of Pakistan, participated in a vehicle-borne improvised explosive device attack against a U.S. military base in Khost, Afghanistan, in 2009, and eventually ascended to a leadership role in alQaeda’s external operations group. The investigation took the team around the globe to locales such as Afghanistan and Morocco. They deposed an al-Qaeda facilitator in a Middle Eastern country under grueling conditions to secure critical testimony. They introduced battlefield forensic evidence and computer media acquired in Afghanistan under highly sensitive circumstances. The team also successfully litigated a variety of unprecedented and classified issues. Their victory after a three-week trial in September 2017 resulted in a 45-year prison sentence imposed in March 2018.
EOUSA provides oversight, general executive assistance, and direction to the 94 United States Attorneys’ offices around the country. For more information on EOUSA and its mission, visit http://www.justice.gov/usao. For more information about the United States Attorney’s Office for the Eastern District of New York, visit www.justice.gov/usao/nye.Former UC Santa Cruz Student Indicted for Possessing LSD, MDMA, and Psilocybin Mushrooms for SaleRead the Press Release
SAN JOSE - A federal grand jury in San Jose indicted Matthew Wilcox Hutchings today, charging him with possession with intent to distribute controlled substances, announced United States Attorney David L. Anderson and U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Special Agent in Charge Ryan L. Spradlin.
The three-count indictment alleges that on or about May 7, 2019, Hutchings, 24, of Soquel, possessed with the intent to distribute LSD (distribute lysergic acid diethylamide), MDMA (3,4 methylenedioxymethamphetamine or Molly), and psilocybin mushrooms.
An affidavit filed by an agent with Homeland Security Investigations in connection with a previously-filed criminal complaint in the case alleged that Hutchings sold psilocybin mushrooms and MDMA to an undercover agent on three occasions in March and April of 2019. On May 7, 2019, UC Santa Cruz police and others executed a search warrant at Hutchings’ residence. The indictment charges Hutchings with three counts of possession with intent to distribute controlled substances, in violation of 21 U.S.C. §§ 841(a)(1) and 841(b)(1)(C).
Hutchings was arrested on June 4, 2019, and currently remains in federal custody. His next court appearance is scheduled for June 24 2019, before U.S. Magistrate Judge Susan van Keulen for a status conference.
An indictment merely alleges that crimes have been committed, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt. If convicted, the defendant faces a maximum sentence of 20 years prison time, and a fine of $1,000,000, on each count. However, any sentence following conviction would be imposed by the court after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Assistant U.S. Attorney Sarah E. Griswold is prosecuting the case with the assistance of Elise Etter and Nina Burney. The prosecution is the result of an investigation by HSI and the University of California Santa Cruz Police Department.
Former President of Our Lady of the Lake Foundation Pleads Guilty in Federal Court to Wire Fraud and Money LaunderingRead the Press Release
United States Attorney Brandon J. Fremin announced today that JOHN PAUL FUNES, age 49, of Baton Rouge, Louisiana, pled guilty before U.S. District Judge John W. deGravelles to wire fraud and money laundering. As a result of his conviction, FUNES faces a significant term of imprisonment, a fine, and a period of supervised release.
According to admissions made during his plea, FUNES executed a scheme to defraud Our Lady of the Lake Foundation (the “Foundation”), a non-profit organization that supports the Our Lady of the Lake Regional Medical Center, and caused a loss of more than $550,000. FUNES prepared, signed, and submitted payment vouchers that caused the Foundation's accounting personnel to issue checks for the payees, amounts, and purposes reflected on the vouchers. Because of his position at the Foundation, FUNES could approve his own vouchers, which enabled him to submit dozens of false and fraudulent vouchers that misrepresented the purpose of the checks. In furtherance of the scheme, for example, FUNES submitted numerous fraudulent vouchers in which he represented that Foundation funds were necessary to pay a charter flight company to make time-sensitive “outbound patient transports” from Our Lady of the Lake Children’s Hospital, when in fact FUNES was repeatedly using the flight company's services for his own personal benefit, unbeknownst to the Foundation. As another example, FUNES submitted numerous vouchers in which he fraudulently represented that funds were necessary to purchase gift cards that would be provided to cancer patients, when in fact FUNES often used the cards for his own personal benefit. The Bill of Information also alleges that, on numerous occasions, after fraudulently causing the Foundation to issue payments to other individuals, FUNES would direct those individuals to funnel the majority of the funds back to him, by check or money order, thereby conducting financial transactions designed in part to conceal proceeds of the fraudulent scheme. According to the Bill, in August of 2018, when the Foundation’s finance department began an internal audit of the expenses described above, FUNES created numerous false documents in an effort to conceal the scheme.
U.S. Attorney Brandon J. Fremin stated, “This conviction makes evident our willingness to prosecute anyone who violates the trust of their employers by unjustly enriching themselves through fraudulent schemes. Not only did Mr. Funes betray his employer and the many benevolent donors whose generosity fueled the mission of the Foundation but he also betrayed the trust of the many great people served by the Foundation. Great credit goes to our prosecutor, the Secret Service, the FBI, and the IRS-CI whose investigative efforts and close collaboration with the Foundation made this conviction possible.”
Tara McLeese, Resident Agent in Charge of the Secret Service in Baton Rouge said, “I would like to commend the hard work and dedication of the attorneys from the United States Attorney’s Office and the investigators involved in this case.”
FBI Special Agent in Charge Eric J. Rommal stated, “Today’s guilty plea illustrates that individuals who take advantage of positions of trust for personal financial gain will be held accountable by the FBI and our law enforcement partners.”
Thomas Holloman, Special Agent in Charge, IRS – Criminal Investigation, stated, “The Special Agents of IRS-CI play a vital role in the investigation of white collar crimes such as those committed by the defendant. They ultimately unraveled Mr. Funes’ attempts to conceal his embezzlement of the Foundation proceeds despite his use of nominees and other unscrupulous means. IRS-Criminal Investigation is committed to holding accountable those individuals who violate the public trust, and use public funds as their personal piggy bank.”
This investigation is being led by the United States Secret Service with valuable assistance from the Federal Bureau of Investigation and the Internal Revenue Service-Criminal Investigation Division. This matter is being prosecuted by Assistant United States Attorney Alan Stevens, who also serves as Deputy Criminal Chief.
Former Pittsfield Attorney Sentenced for Bulk Cash SmugglingRead the Press Release
BOSTON – A former Pittsfield attorney was sentenced yesterday in federal court in Springfield for smuggling $125,000 into the United States from Bermuda.
John Castiglione, 75, was sentenced by U.S. District Court Judge Mark G. Mastroianni to one year of probation and forfeiture of $125,000. On March 22, 2019, Castiglione pleaded guilty to one count of bulk cash smuggling. According to the terms of his plea agreement, Castiglione agreed to resign from the practice of law and to never again seek admission to the bar.
On approximately May 2, 2014, Castiglione attempted to mail two packages containing $60,000 and $65,000 from Bermuda to his residence in Pittsfield, with the intent to evade federal reporting requirements concerning the cash. After law enforcement officers seized the packages in the United States, they interviewed Castiglione, who admitted that he was aware of the federal reporting requirements but had attempted to smuggle the money into the United States because, in part, he did not want to pay any taxes and fees. In addition, Castiglione also provided various contradictory statements regarding the origin of the $125,000, including a false statement that the money might have been owned by a client of his law practice, when he knew that the money actually belonged to his family.
United States Attorney Andrew E. Lelling and Peter C. Fitzhugh, Special Agent in Charge of Homeland Security Investigations in Boston, made the announcement. Assistant U.S. Attorney Steven H. Breslow of Lelling’s Springfield Branch Office is prosecuting the case.
Former Medical Director and Two Former Operators of a Houston Medical Clinic Charged in Multimillion-Dollar Health Care Fraud SchemeRead the Press Release
A medical director and two operators of a Houston, Texas, medical clinic were charged in an indictment unsealed today for their alleged participation in a multimillion-dollar health care fraud scheme.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney Ryan K. Patrick of the Southern District of Texas, Special Agent in Charge Perrye K. Turner of the FBI’s Houston Field Office, Special Agent in Charge C.J. Porter of the U.S. Department of Health and Human Services Office of Inspector General’s (HHS-OIG) Dallas Region, Special Agent in Charge Kristie K. Osswald of the Railroad Retirement Board Office of Inspector General (RRB-OIG) Chicago Regional Office and the Texas Attorney General’s Medicaid Fraud Control Unit (MFCU) made the announcement.
Douglas Sharp, D.O., 69, of Katy, Texas, the medical director of Verimed Health and Medical Wellness Clinic Inc. (Verimed); Innad Husaini, M.D., 64, of Sugar Land, Texas, the owner and operator of Verimed; and Hanh Hong Thi Nguyen, 43, of Houston, the former operator of Verimed, were each charged in an indictment filed in the Southern District of Texas. Sharp, Husaini and Nguyen were each charged with one count of conspiracy to commit health care fraud. In addition, Sharp was charged with three counts of false statements relating to health care matters, Husaini was charged with three counts of health care fraud and Nguyen was charged with two counts of health care fraud. The three defendants were arrested this morning and appeared this afternoon before U.S. Magistrate Judge Peter Bray of the Southern District of Texas. A trial date has not yet been set.
The indictment alleges that the defendants participated in a health care fraud scheme by which they submitted false and fraudulent claims to Medicare and Medicaid for home health care services, diagnostic tests and eye procedures, including injections into the eye, that were medically unnecessary, not provided or both. Nguyen allegedly ordered diagnostic tests on and conducted physical examinations of patients, even though she was not a licensed medical professional.
The indictment alleges that the defendants submitted or caused the submission of approximately $16 million in fraudulent claims to Medicare and Medicaid. Medicare paid approximately $12.2 million on those claims. Medicaid paid approximately $67,000 on those claims. The indictment also seeks the forefeiture of two properties owned by Nguyen and one property owned by Husaini, which were paid for, at least in part, using proceeds of the alleged fraud.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
This case was investigated by the FBI, HHS-OIG and the MFCU. Trial Attorney Catherine Wagner of the Criminal Division’s Fraud Section and Special Assistant U.S. Attorney Kathryn Olson of the Southern District of Texas, on detail from the MFCU, are prosecuting the case.
The Medicare Fraud Strike Force is part of a joint initiative between the Department of Justice and 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.
Former Massachusetts State Trooper Sentenced in Overtime Abuse InvestigationRead the Press Release
BOSTON – A former Massachusetts State Police Trooper was sentenced today in connection with the ongoing investigation of overtime abuse at the Massachusetts State Police (MSP).
Gary Herman, 45, of Chester, was sentenced by U.S. Senior District Court Judge Rya W. Zobel to one day in prison (deemed served), one year of supervised release with the first three months to be served in home confinement and restitution in the amount of $12,468. In October 2018, Herman pleaded guilty to one count of embezzlement from an agency receiving federal funds.
Herman was an MSP Trooper assigned to Troop E, which was responsible for enforcing criminal and traffic regulations along the Massachusetts Turnpike, Interstate I-90. In 2016, Herman earned $227,826, which included approximately $63,053 in overtime pay.
Herman was paid for overtime shifts that he did not work at all or from which he left early. Herman concealed his abuse by submitting fraudulent citations designed to create the appearance that he had worked overtime hours that he had not, and falsely claimed in MSP paperwork and payroll entries that he had worked the entirety of his overtime shifts. On multiple occasions Herman fabricated bogus citations, copying driver information from citations that he had issued months earlier, in order to be paid for overtime that he did not work at all. In 2016, Herman collected $12,468 for overtime that he did not work.
The overtime in question involved the Accident and Injury Reduction Effort program (AIRE) and the “X-Team” initiative, which were intended to reduce accidents, crashes, and injuries on I-90 through an enhanced presence of MSP Troopers who were to target vehicles traveling at excessive speeds.
In 2016, MSP received annual benefits from the U.S. Department of Transportation in excess of $10,000, which were funded pursuant to numerous federal grants.
Herman is the sixth trooper to be sentenced. In June 2019, retired Lieutenant David Wilson was sentenced to one day (deemed served), two years of supervised release with the first six months to be served in home detention, and restitution of $12,450; suspended Trooper Heath McAuliffe was sentenced to one day (deemed served), one year of supervised release with the first six months to be served in home detention, a fine of $4,000, and restitution of $7,860. In May 2019, suspended Trooper Kevin Sweeney was sentenced to two months in prison, one year of supervised release with the first three months to be served in home detention, a fine of $4,000, and restitution of $11,103. In March 2019, former Trooper Gregory Raftery was sentenced to 90 days in prison, one year of supervised release, and restitution of $51,377. Suspended Trooper Eric Chin was sentenced to one day in prison (deemed served), one year of supervised release with three months to be served in home detention, and restitution of $7,125. Retired Troopers Daren DeJong and Paul Cesan have pleaded guilty and are awaiting sentencing.
United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Douglas Shoemaker, Special Agent in Charge of the U.S. Department of Transportation’s Office of Inspector General, made the announcement today. Assistant U.S. Attorneys Dustin Chao and Mark Grady of Lelling’s Public Corruption Unit prosecuted the case.
Former Hadley, Massachusetts, Police Officer Sentenced for Using Excessive Force and Obstructing InvestigationRead the Press Release
A former Hadley Police Department Officer was sentenced today in federal court in Springfield, Massachusetts, for using unreasonable force during an arrest and then falsifying a police report of the incident.
Christopher M. Roeder, 50, of Agawam, Massachusetts, was sentenced by U.S. District Court Judge Mark G. Mastroianni to 14 months in prison. In February 2019, after a week-long trial, a federal jury found Roeder guilty of one count of deprivation of rights under color of law and one count of falsification of a document.
Evidence presented at trial established that, on April 3, 2017, Roeder struck an arrestee in the face without legal justification, while the arrestee was seated on a bench in the Hadley Police Department booking area. The strike fractured the arrestee’s nose in multiple places and required surgery to repair. Roeder subsequently attempted to obstruct the investigation into his assault of the arrestee by falsifying his police report describing the incident.
“Law enforcement officers are sworn to uphold and defend the laws of our nation,” said Assistant Attorney General Eric Dreiband. “Roeder abused his power and violated the constitutional rights of an arrestee, eroding the public’s trust in law enforcement. The Department of Justice will continue to hold law enforcement officers accountable for their actions.”
“Officers aren’t only expected to enforce the law in their communities, they are expected to follow it themselves,” said U.S. Attorney Andrew E. Lelling. “In this case, an officer broke a man’s nose for no legitimate purpose and then, in an effort to cover up the attack, falsified official documents about the incident. This behavior is unacceptable in someone entrusted with protecting the public safety.”
“As a police officer sworn to uphold the law, Mr. Roeder’s conduct deliberately abused the authority bestowed upon him, undermining the integrity of our criminal justice system,” said Special Agent in Charge Joseph R. Bonavolanta of the FBI Boston Division. “The overwhelming majority of law enforcement officers perform their duties with dedication and integrity, putting their lives on the line every day to keep our communities safe. This case illustrates the FBI’s commitment and ability to address isolated incidents where officers betray the badge and the public’s trust.”
Assistant Attorney General Dreiband; U.S. Attorney Lelling; and FBI SAC Bonavolonta made the announcement today. Assistant U.S. Attorney Deepika Bains Shukla of Lelling’s Springfield Branch Office and Trial Attorney Timothy Visser of the Department of Justice’s Civil Rights Division prosecuted the case.
Former Hadley Police Officer Sentenced for Using Excessive Force and Obstructing InvestigationRead the Press Release
BOSTON – A former Hadley Police Department officer was sentenced today in federal court in Springfield for using unreasonable force during an arrest and then falsifying a police report of the incident.
Christopher M. Roeder, 50, of Agawam, was sentenced by U.S. District Court Judge Mark G. Mastroianni to 14 months in prison and one year of supervised release. In February 2019, after a week-long trial, a federal jury found Roeder guilty of one count of deprivation of rights under color of law and one count of falsification of a document.
Evidence presented at trial established that, on April 3, 2017, Roeder struck an arrestee in the face without legal justification, while the arrestee was seated on a bench in the Hadley Police Department booking area. The strike fractured the arrestee’s nose in multiple places and required surgery to repair. Roeder subsequently attempted to obstruct the investigation into his assault of the arrestee by falsifying his police report describing the incident.
“Officers aren’t only expected to enforce the law in their communities, they are expected to follow it themselves,” said U.S. Attorney Andrew E. Lelling. “In this case, an officer broke a man’s nose for no legitimate purpose and then, in an effort to cover up the attack, falsified official documents about the incident. This behavior is unacceptable in someone entrusted with protecting the public safety.”
“Law enforcement officers are sworn to uphold and defend the laws of our nation,” said Assistant Attorney General Eric Dreiband. “Roeder abused his power and violated the constitutional rights of an arrestee, eroding the public’s trust in law enforcement. The Department of Justice will continue to hold law enforcement officers accountable for their actions.”
“As a police officer sworn to uphold the law, Mr. Roeder’s conduct deliberately abused the authority bestowed upon him, undermining the integrity of our criminal justice system,” said Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Office. “The overwhelming majority of law enforcement officers perform their duties with dedication and integrity, putting their lives on the line every day to keep our communities safe. This case illustrates the FBI’s commitment and ability to address isolated incidents where officers betray the badge and the public’s trust.”
U.S. Attorney Lelling, Assistant Attorney General Dreiband, and FBI Boston SAC Bonavolonta made the announcement today. Assistant U.S. Attorney Deepika Bains Shukla, Chief of Lelling’s Springfield Branch Office, and Trial Attorney Timothy Visser of the Department of Justice’s Civil Rights Division prosecuted the case.
Former District of Columbia Attorney Previously Found Guilty of $2 Million Investment Fraud Scheme Pleads Guilty to Not Filing Tax ReturnRead the Press Release
A former attorney recently convicted of securities fraud by a jury in the District of Columbia, pleaded guilty today to failure to file an income tax return and pay taxes, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division.
Brynee Baylor pleaded guilty today to one count of willfully failing to timely file a 2010 individual income tax return and to pay taxes. She admitted to causing a tax loss of $79,000.
On April 30, 2019, the jury convicted Baylor of one count of conspiracy to commit securities fraud, one count of securities fraud, and five counts of first-degree fraud under District of Columbia law.
According to court documents and the evidence presented at trial, Baylor, a former partner in the D.C. law firm Baylor & Jackson PLLC, conspired with a Pennsylvania man and his company, known as the Milan Group, to recruit investors to a purported trading program. Investors were promised extremely large profits in a short time with little or no risk.
In 2011, the Securities and Exchange Commission (SEC) sued Baylor and others for fraud in connection with the purported trading program.
Sentencing is scheduled for Sept. 12. Baylor faces a maximum sentence of one year in prison for the failure to file a tax return conviction, five years in prison for the conspiracy count, 20 years in prison for the securities fraud count, and 10 years in prison for each of the first-degree fraud counts. Baylor also faces a term of supervised release and monetary penalties.
Principal Deputy Assistant Attorney General Zuckerman thanked the SEC for its invaluable assistance and commended special agents of IRS-Criminal Investigation, who conducted the investigation, and Trial Attorneys Jeffrey McLellan and Eric Powers of the Tax Division, who are prosecuting the case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Florida Man Sentenced to 20 Years for Receipt of Child PornographyRead the Press Release
Orlando, FL –U.S. District Judge Paul G. Byron has sentenced Randy Dale Land (58, Orlando) to 20 years in federal prison for receipt of child pornography. Land had pleaded guilty on March 28, 2019.
According to court documents, on January 4, 2019, Land requested pictures of an undercover FBI agent’s notional nine-year-old daughter. As their conversation continued, Land sent the undercover agent three videos of child pornography. Federal agents executed a search warrant at Land’s home and obtained his electronic devices. A forensic review of the devices revealed that Land had received images of child pornography through a chat application and that he possessed approximately 111 videos and 246 images of child pornography.
This case was investigated by the Federal Bureau of Investigation. It was prosecuted by Assistant U.S. Attorney Alejandro J. Salicrup.
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.
Fifteen people indicted for their roles in a conspiracy to traffic fentanyl, heroin and crack cocaine in LorainRead the Press Release
Fifteen people were indicted for their roles in a conspiracy to traffic fentanyl, heroin and crack cocaine in Lorain.
Indicted are: Cesar Francisco Melendez-Perez, 31, of Lorain; Erick Yamil Jiminez-Rodriguez, 30, of Manati, Puerto Rico; Xavier Robles-Cruz, 32, of the Bronx, New York; Freddie Sanchez, 32, of Lorain; Ramon Feliciano-Montanez, 29, of Sheffield Lake; Princeton Edwards, 29, of Columbus; Anthony Washington, 21, of Lorain; John Massey-Lovejoy, 37, of Lorain; Christopher Kovach, 29, of Parma; Jonas Pagan, 25, of Lorain; Jamie Pagan, 25, of Lorain; Thomas M. Parker, 29, of Lorain; Ricky Londa, 26, of Lorain; Bryce A. Babics, 30, of Lorain, and Toby Lewis, 24, of Elyria.
“These defendants sold opioids and cocaine for profit at a time when thousands of people across the country are dying, including people in Lorain County,” U.S. Attorney Justin Herdman said. “We have now indicted more than 80 people on the federal level as part of Operation S.O.S. and remain committed to working collaboratively to address the drug overdose epidemic. The message should be clear to would-be drug dealers in Lorain County – if you sell illegal narcotics, you are going to be prosecuted by the feds.”
DEA Acting Special Agent in Charge Keith W. Martin said: “These arrests will make Lorain County safer. This group is responsible for selling large amounts of fentanyl, heroin and crack in our community.”
“We have always been appreciative of the level of cooperation between the local, State, and Federal law enforcement agencies in this area in combating the drug issues that plague our communities,” Lorain Police Department Captain Roger Watkins said.
Elyria Police Department Chief Duane Whitely said: “The SOS project through the U.S. Attorney's Office has been very successful for all of Lorain County. We are very grateful for the efforts of all the federal agencies to help us fight the heroin/ fentanyl crisis.”
According to the 43-count indictment, filed in U.S. District Court:
Melendez-Perez, Robles-Cruz and Jiminez-Rodriguez allegedly worked together to purchase large quantities of heroin, fentanyl and cocaine, which they would distribute to other dealers in Cleveland, Lorain, Arkansas and Pennsylvania.
Feliciano-Montanez, Edwards, Sanchez and Kovach allegedly obtained large quantities of heroin, fentanyl and cocaine from Melendez-Perez, which they redistributed in and around Lorain. Edwards and Feliciano-Montanez also distributed fentanyl, heroin and cocaine to other traffickers in Lorain, including Massey-Lovejoy, Washington, Babics and Lewis.
Members of the conspiracy cooked cocaine into crack cocaine for further distribution to customers in Lorain, according to the indictment.
Several members of the conspiracy were additionally charged with firearms violations.
Washington is charged with being a felon in possession of a firearm and possession of a firearm in relation to drug trafficking. He allegedly had a Springfield 9 mm handgun, despite previous convictions for domestic violence and drug trafficking.
Kovach is charged with being a felon in possession of a firearm for allegedly having a Kahr .380-caliber handgun, despite a previous conviction for felonious assault.
Melendez-Perez is charged with being a felon in possession of a firearm for allegedly having a Diamondback 9 mm handgun, despite a previous conviction for domestic violence.
Lewis is charged with being a felon in possession of a firearm and possession of a firearm in relation to drug trafficking for allegedly having a Glock .40-caliber handgun, despite previous convictions for domestic violence, drug charges and other crimes.
The cases were investigated as part of Operation Synthetic Opioid Surge (S.O.S.), which seeks to reduce the supply of deadly synthetic opioids in high impact areas and to identify wholesale distribution networks and international and domestic suppliers. Lorain County was selected as a pilot site for Operation S.O.S. More than 80 people have been indicted as part of the program to date. The DEA, Lorain Police Department, Elyria Police Department and the Lorain County Sheriff’s Office Drug Task Force participate in the SOS program.
This case was investigated by the DEA, Lorain Police Department, and the Elyria Police Department. It is being prosecuted by Assistant U.S. Attorney Vasile Katsaros.
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.
Felon Sentenced to Federal Prison for Illegally Possessing FirearmRead the Press Release
Anchorage, Alaska – U.S. Attorney Bryan Schroder announced that an Anchorage man has been sentenced to federal prison for illegally possessing a firearm during a high speed pursuit in a stolen vehicle during which he fired shots from a sawed-off shotgun.
Tony Tuaato, 25, of Anchorage, was sentenced today by U.S. District Judge Sharon L. Gleason to serve 110 months in prison, followed by three years of supervised release. In February 2019, Tuaato pleaded guilty to one count of felon in possession of a firearm. Tuaato has a previous felony conviction in California for unlawful taking or driving of a vehicle. As someone convicted of a felony offense, Tuaato was prohibited from possessing firearms.
According to court documents, on Sept. 21, 2017, Tuaato was at a residence in Mountain View when Alex Lemana and another passenger arrived in a stolen white Chevrolet Suburban. Knowing that police were in the area, Tuaato and others decided to move the stolen Suburban away from the residence. Tuaato got into the front passenger seat, Lemana was driving, and a third passenger was in the back seat. Tuaato brought an illegal sawed-off shotgun with him and Lemana brought a pistol.
As they were leaving the area, an APD patrol vehicle started to pursue them, which led to a high-speed chase. During the pursuit, the Suburban rammed one of the patrol cars, deploying the officer’s air bag and causing both vehicles to come to a stop. Lemana was able to continue driving the damaged Suburban, reaching 80 mph through Mountain View, while he and Tuaato fired shots at pursuing police. Tuaato, Lemana, and the third passenger abandoned the Suburban near 9th and L Street downtown and ran. Lemana and the third passenger were caught nearby and taken into custody, however Tuaato continued to flee and avoided apprehension. At the time, officers did not know Tuaato’s identity.
Tuuato’s sawed-off shotgun was found on the floor of the front passenger side of the vehicle with a spent casing nearby. Subsequent investigation revealed that a palm print on the sawed-off shotgun belonged to him.
At the sentencing hearing, Judge Gleason observed that Tuaato’s crime put the community at serious risk, although Tuaato had not acknowledged that risk to date. The Court noted that Tuaato had a history with stolen vehicles, firearms, and methamphetamine, which are a dangerous combination warranting deterrence.
The Anchorage Police Department (APD) and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) conducted the investigation leading to the successful prosecution of this case. This case was prosecuted by Assistant U.S. Attorney Aunnie Steward.
Federal Indictment in Local Bomb Threat InvestigationRead the Press Release
PENSACOLA, FLORIDA – Noah D. Stirn, 24, formerly housed at the Blackwater River Correctional Facility in Milton, Florida, was indicted on federal charges related to issuing threatening communications involving explosives and mailing threatening communications to injure others. The charges were announced by Lawrence Keefe, United States Attorney for the Northern District of Florida. Stirn is now in federal custody.
The indictment alleges that in April and May 2019, while incarcerated by the State of Florida at Blackwater River Correctional Facility, Stirn mailed multiple letters to federal and state agencies that threatened the use of explosive devices to harm those in the local buildings. The indictment alleges that Stirn asserted that the attacks were "for the cause of the Islamic State." It is also alleged that Stirn threatened the use of "C4" and "car bombs."
Stirn will have his arraignment in federal court on the charges on June 25, 2019, at 2:00 pm, before United States Magistrate Judge Hope T. Cannon.
This case resulted from an investigation by the Federal Bureau of Investigation, the United States Marshals Service, the Florida Department of Law Enforcement Capitol Police, the Pensacola Police Department, and the Tallahassee Police Department. Assistant United States Attorneys David L. Goldberg and Michelle K. Daffin are prosecuting the case.
An indictment is merely an allegation by a grand jury that a defendant has committed a violation of federal criminal law and is not evidence of guilt. All defendants are presumed innocent and entitled to a fair trial, during which it will be the government’s burden to prove guilt beyond a reasonable doubt at trial.
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
Federal Charges Filed in Overdose Death of College Football PlayerRead the Press Release
HOUSTON – A 26-year-old Katy man has been charged with conspiring to distribute and possessing with intent to distribute a powerful opioid analogue, announced U.S. Attorney Ryan K. Patrick.
A federal grand jury returned the three-count indictment June 19, 2019, against Stuart Mouchantaf. Authorities took him into custody today. He is expected to make his initial appearance before U.S. Magistrate Judge Peter Bray tomorrow at 10:00 a.m.
The indictment alleges Mouchantaf conspired to distribute and possessed with intent to distribute a powerful opioid analogue known as carfentanil which resulted in the death of an otherwise healthy athlete in March 2018. Mouchantaf allegedly possessed the deadly drug with the intent to distribute it on Rice University’s campus the day before the victim’s body was found.
At the time, the victim was a star player with NFL aspirations, according to the allegations.
Carfentanil is not approved for human use. According to the Centers for Disease Control and Prevention, it is intended for sedation of large animals and is the most potent fentanyl analog detected in the United States. Carfentanil is estimated to have 10,000 times the potency of morphine and has recently been reported in an alarming number of deaths in some states.
If you believe you or someone you know has been affected by any narcotics Mouchantaf distributed, please contact the Houston Police Department at 713-308-3300.
The Houston Police Department and the Harris County Institute of Forensic Sciences conducted the investigation with the assistance of the Drug Enforcement Administration.
Assistant U.S. Attorneys Jason Corley and Robert Stabe are prosecuting the case.
A indictment is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law.Federal Authorities Dismantle Large Drug Trafficking OrganizationRead the Press Release
PITTSBURGH, PA – 35 residents of Western Pennsylvania, one resident of New York, and one resident of West Virginia have been indicted by a federal grand jury in Pittsburgh on charges of drug trafficking and firearms violations, United States Attorney Scott W. Brady announced today.
The Indictment, returned on June 18 and unsealed today, names the following 37 individuals as defendants:
• Christopher Highsmith, 26, of Irwin, PA
• Lamont Benton, 23, of McKees Rocks, PA
• Michael Broglie, 51, of Finleyville, PA
• Jarrell Dawson, 20, of Pittsburgh, PA
• Latone Dunbar, 25, formerly of Pittsburgh, PA
• John Fedorka, 35, of Pittsburgh, PA
• Roderick Ferguson, 18, of Pittsburgh, PA
• Perry Freeman, 18, formerly of Pittsburgh, PA
• Laffayette Fuller, 19, of Pittsburgh, PA
• Lequay Fuller, 22, of Pittsburgh, PA
• Dontae Gilbert, 18, formerly of Pittsburgh, PA
• James Givner, 35, of Pittsburgh, PA
• Deandre Gordon, 24, of West Mifflin, PA
• Brandon Green, 34, of Pittsburgh, PA
• Kyleif Harley, 27, of Pittsburgh, PA
• Robert Hartlaub, 32, of Waynesburg, PA
• Keevan Jackson, 20, of Pittsburgh, PA
• Anthony Jetter, 30, of Pittsburgh, PA
• Henry Johnson, 28, of Pittsburgh, PA
• Nicholas Laur, 39, of Pittsburgh, PA
• Trevon McCrary, 24, of Pittsburgh, PA
• Danasia McNeal, 21, of Pittsburgh, PA
• Willie Miller, 27, of Pittsburgh, PA
• Devonte Parker, 24, of Pittsburgh, PA
• April Price, 21, of Pittsburgh, PA
• Jaimone Robinson, 19, of Pittsburgh, PA
• Amber Rogers, 27, of Pittsburgh, PA
• Brian Salaj, 37, of Pittsburgh, PA
• Ronika Somerville, 22, of Pittsburgh, PA
• Theresa Somerville, 49, of Pittsburgh, PA
• Raelynn Stevenson, 29, of West Mifflin, PA
• Rico Taylor, 34, of Pittsburgh, PA
• Jesse Tedrow, 27, of Hundred, WV
• Holiday Vaughn, 41, of New York
• Ronald Williams, 26, of Pittsburgh, PA
• St. John Williams, 27, of Pittsburgh, PA
• Martel Yates, 30, of Pittsburgh, PA
According to the Indictment, the defendants conspired to distribute and distribute over 1 kilogram of heroin, at least 400 grams of fentanyl, and fentanyl analogs, cocaine, and cocaine base, commonly known as crack, from January 2018 through June 2019. The Indictment further alleges individual firearms charges and/or drug trafficking violations against Latone Dunbar, John Fedorka, Dontae Gilbert, Trevon McCrary, James Givner, Henry Johnson, Jaimone Robinson, Holiday Vaughn, and Ronald Williams.
For all defendants, the law provides for a maximum total sentence of up to life imprisonment, a fine of not more than $10,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of each defendant.
The Federal Bureau of Investigation led the multi-agency investigation of this case, which also included the Bureau of Alcohol Tobacco Firearms and Explosives, Allegheny County Adult Probation, Allegheny County Police Department, Allegheny County Sheriff’s Office, Pennsylvania Attorney General’s Office Bureau of Narcotics, Pittsburgh Bureau of Police, and the Wilkinsburg Police Department. Other assisting agencies include the Green Tree Police Department, New York City Police Department, Mount Oliver Police Department, Pennsylvania State Police, Yonkers Police Department, United States Marshals Fugitive Task Force, and the United States Postal Inspection Service.
The investigation was funded by the federal Organized Crime Drug Enforcement Task Force Program (OCDETF). The OCDETF program supplies critical federal funding and coordination that allows federal and state agencies to work together to successfully identify, investigate, and prosecute major interstate and international drug trafficking organizations and other criminal enterprises.
Assistant United States Attorneys Christy C. Wiegand and Craig Haller are prosecuting this case on behalf of the government.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Fairmont man admits to enticing minorsRead the Press Release
CLARKSBURG, WEST VIRGINIA – Quionte Jordan Crawford, of Fairmont, West Virginia, has admitted to using his smart phone to convince minors to send explicit pictures and videos, United States Attorney Bill Powell announced.
Crawford, also known as “Kayla Stevens,” age 27, pled guilty to five counts of “Enticement of a Minor.” Crawford admitted to using his smart phone to persuade five different teenage boys to send sexual explicit pictures and videos to him. The crimes took place from November 2017 to December 2018 in Marion County.
Crawford is facing at least 10 years and up to life incarceration for each count. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney David J. Perri is prosecuting the case on behalf of the government. The Bridgeport Police Department investigated.
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/.
U.S. Magistrate Judge Michael John Aloi presided.
Eight People Who Worked Together to Distribute Ice Methamphetamine in Dubuque Sentenced to Federal PrisonRead the Press Release
Eight people who, among other crimes, conspired to sell over three kilograms of ice methamphetamine in the Dubuque area have been sentenced cumulatively to more than 97 years in federal prison.
Keith Richard Ellis, age 36, from Dubuque, Iowa, was sentenced to 160 months’ imprisonment and 8 years’ supervised release following his May 25, 2018 guilty plea to conspiring to distribute methamphetamine.
Joshua Allen Carter, age 33, from Tucson, Arizona, was sentenced to 124 month’s imprisonment and 5 years’ supervised release following his May 21, 2018 guilty plea to conspiring to distribute methamphetamine.
Michael Scott Boen, age 26, from Potosi, Wisconsin, was sentenced to 42 months’ imprisonment and 4 years’ supervised release following his July 11, 2018 guilty plea to conspiring to distribute methamphetamine.
Melissa Marie Petesch, age 30, from Hazel Green, Wisconsin, was sentenced to 132 months’ imprisonment and 3 years’ supervised release following her June 12, 2018 guilty plea to conspiring to distribute methamphetamine, conspiring to commit money laundering, and possessing a firearm in furtherance of a drug trafficking crime.
Brenda Lynn Harker, age 40, from Dubuque, Iowa, was sentenced to 78 months’ imprisonment and 4 years’ supervised release following her August 2, 2018 guilty plea to conspiring to distribute methamphetamine and conspiring to commit money laundering.
Jose Juan Ceja, age 25, from Bell Gardens, California, was sentenced to 156 months’ imprisonment and 5 years’ supervised release following his June 28, 2018 guilty plea to conspiring to distribute methamphetamine.
Mauricio Bayardo Chan, age 21, from Tijuana, Baja California, Mexico, was sentenced to 300 months’ imprisonment and 5 years’ supervised release following his August 1, 2018 guilty plea to conspiring to distribute methamphetamine and conspiring to commit money laundering.
Samuel Oliver Taylor, III, age 41, from Dubuque, Iowa, was sentenced to 180 months’ imprisonment and 5 years’ supervised release following his August 6, 2018 guilty plea to conspiring to distribute methamphetamine, conspiring to commit money laundering, and possession of a firearm in furtherance of a drug trafficking crime
All eight defendants admitted they had conspired to distribute ice methamphetamine in the Dubuque area. Evidence presented at two of the sentencing hearings showed that Chan and Ceja, who represented themselves to be affiliated with the Sinaloa drug cartel, supplied ice methamphetamine from Mexico. Taylor acted as the primary local intermediary for the methamphetamine in Dubuque. At one point, Taylor provided Chan with a loaded firearm so Chan could “resolve a drug debt” with another individual. Shortly thereafter, Chan returned the firearm unloaded.
In October 2017, Ceja appeared at one of his co-conspirators’ residences looking to retrieve something from a prior shipment of methamphetamine. When the customer did not tell him the location of the methamphetamine, Ceja showed the customer videos of cartel members cutting off peoples’ hands and heads, and made threats against another member of the conspiracy. Chan had made similar threats in the past, showing a co-conspirator similar videos and stating that the only way out of dealing with him was “death or prison.”
All eight defendants were sentenced in Cedar Rapids by United States District Court Chief Judge Leonard T. Strand. There is no parole in the federal system.
The case was investigated by the Dubuque Drug Task Force, the Iowa Division of Narcotics Enforcement, and the Federal Bureau of Investigation and prosecuted by Special Assistant United States Attorney Drew Inman and Assistant United States Attorney Dan Chatham.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 18-CR-1002-LTS-MAR.
Follow us on Twitter @USAO_NDIA.
East Bay Man Sentenced to Five Years in Prison for Receipt, Distribution, and Possession of Child PornographyRead the Press Release
SAN FRANCISCO – Nicholas Alan Hodges was sentenced today to 60 months in prison for receiving, distributing, and possessing child pornography, announced United States Attorney David L. Anderson and Homeland Security Investigations (HSI) Special Agent in Charge Ryan L. Spradlin. The sentence was handed down by the Honorable William H. Orrick, U.S. District Judge.
Hodges, 30, of Oakland, pleaded guilty to the charges on February 7, 2019. In pleading guilty, Hodges admitted that between approximately August 2016, and March 24, 2017, he knowingly received and distributed through the Internet images and videos of minors engaged in sexually explicit conduct. Defendant acknowledged he used a social media application to engage in conversation with other individuals about child pornography and sent child pornography in chats to those individuals. In addition, Hodges admitted he possessed four flash drives and a cellular telephone containing visual depictions of minors engaged in sexually explicit conduct, some of which contained depictions of sadistic or masochistic conduct or other depictions of violence. Hodges admitted he possessed more than 600 videos and images of child pornography.
A federal grand jury indicted Hodges on June 29, 2017, charging him with one count each of receipt of child pornography, in violation of 18 U.S.C. § 2252(a)(2); distribution of child pornography, in violation of 18 U.S.C. § 2252(a)(2); and possession of child pornography, in violation of 18 U.S.C. § 2252(a)(4)(B). Hodges pleaded guilty to all three charges.
In addition to the prison term, Judge Orrick sentenced the defendant to a five-year period of supervised release. Judge Orrick ordered defendant to surrender to the Bureau of Prisons on August 24, 2019, to begin serving his prison term.
Assistant United States Attorneys Sailaja M. Paidipaty is prosecuting the case with the assistance of Marina Ponomarchuk. The prosecution is the result of an investigation by HSI and the San Francisco Police Department.
EDVA Combats Elder Abuse and Financial ExploitationRead the Press Release
ALEXANDRIA, Va. – In recognition of World Elder Abuse Awareness Day, the U.S. Attorney’s Office for Eastern District of Virginia (EDVA) has recently participated in several community outreach and education events on elder abuse and financial exploitation.
“The financial and emotional harm these scams cause elderly victims and their family members can be utterly devastating,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “Combatting elder abuse and financial fraud targeted at seniors remains a key priority for EDVA. We will not tolerate this criminal activity and will continue to prosecute these cases federally.”
Here in EDVA, Elder Justice efforts are being led by Assistant U.S. Attorney Kaitlin G. Cooke who today participated as an invited panelist at an Elder Abuse Workshop hosted by the Peninsula Agency on Aging in Williamsburg.
On June 12, Terwilliger was joined by Cooke and an Elder Justice representative from the U.S. Attorney’s Office for the District of Columbia at Alfred Street Baptist Church in Alexandria for a presentation to over 100 senior citizens on elder abuse.
In addition to educating the community on elder abuse, EDVA actively seeks to identify and prosecute elder abuse crimes. This year, our office joined the Peninsula Elder Abuse Forensic Center, an enhanced multidisciplinary task force focused on combatting elder abuse and neglect across several counties. Cooke joins law enforcement officers, commonwealth attorneys, certified public accounts, emergency responders, medical providers, adult protective services, and local agencies on aging twice a month to review cases of elder abuse and neglect.
As noted by Attorney General William P. Barr last week, fraud against the elderly is on the rise.
“One of the most significant and pernicious causes for this increase is foreign-based fraud schemes,” said Attorney General Barr.
To address the issue, the Department has created the Transnational Elder Fraud Strike Force.
“The Transnational Elder Fraud Strike Force will bring together the expertise and resources of our prosecutors, federal and international law enforcement partners, and other government agencies to better target, investigate, and prosecute criminals abroad who prey on our elderly at home. The Department of Justice is committed to ending the victimization of elders across the country.”
Below are summaries of several noteworthy elder abuse cases recently prosecuted in EDVA. For more information on a particular case, please click the link for the full press release on our website.
- United States v. Edward Lee Moody, Jr. - Moody owned and operated an investment firm in Virginia Beach, CM Capital Management LLC, through which he solicited investors. In reality, Moody was running a Ponzi scheme. Over a 13-year period, he solicited and collected approximately $6.1 million from 53 investors, at least 13 of whom were elderly persons who liquidated assets from their existing, legitimate retirement accounts in order to provide funds to Moody that they expected him to invest on their behalf. Moody diverted investor moneys for his own benefit, buying property, traveling, and investing on his own behalf. Moody also used investor money to lull earlier investors and provided investors with fraudulent monthly account statements falsely indicating investments and earned returns. Moody was sentenced on February 5 to 13 years in prison and was ordered to pay over $4.8 million in restitution.
- United States v. Sandra Payne - Payne pleaded guilty to aggravated identity theft based on her theft of over $22,000 from an elderly victim. Payne was employed by the victim to provide home health care to the victim’s spouse. Over a five-month period, Payne used the victim’s credit and debit cards to make unauthorized purchases of personal goods at various retailers. Payne was sentenced on June 18 two years in prison for her crime.
- United States v. John Michael Gatchell – Gatchell pleaded guilty on April 18 to exploiting an elderly man’s diminished mental capacity to defraud him of nearly $157,000. Gatchell facilitated a marriage between the elderly man and a woman with whom Gatchell had a long-term relationship in order to gain access to the elderly man’s money and property. Gatchell induced the elderly man to make a down payment on a Jaguar that Gatchell and a family member drove for about 10 months before it was repossessed by the lender when the loan went into default. Gatchell also induced the elderly man to obtain two mortgage loans and then diverted most of the proceeds to the benefit of himself and others. He subsequently induced the elderly man to sell the property that secured the loans and again diverted most of the proceeds to himself and others. Gatchell used these fraudulently diverted monies to purchase concert series tickets, pay delinquent bills, and make a security deposit and advance rent payments for a house he leased, among other things. Gatchell faces a maximum penalty of 20 years in prison when sentenced on September 6.
- United States v. Nena Kerny Kochuga - Kochuga executed a Jamaican lottery scheme that targeted elderly victims, who she and conspirators would contact by phone. Kochuga told victims that they had won the lottery and were required to pay purported taxes and fees to claim the winnings. She directed victims to mail and wire money to her residential and post office box addresses in Virginia. Kochuga then sent money to conspirators in Jamaica and Ghana via Western Union wire transfers, keeping a portion for herself. Through this conduct, Kochuga and her conspirators defrauded numerous victims of at least $50,000. According to local media coverage, Kochuga has targeted elderly victims with similar lottery scams for most of the past decade. She has prior convictions in Virginia Beach Circuit Court and Colorado in connection with these schemes, and faces up to 20 years in prison when sentenced on September 30.
For information and resources on elder abuse or to report abuse, please visit DOJ’s Elder Justice Initiative website at: https://www.justice.gov/elderjustice.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia.
Dunbar Man Sentenced to Prison for Gun and Meth CrimesRead the Press Release
CHARLESTON, W.Va. – United States Attorney Mike Stuart announced that Brandon Starr Clemons, 33, of Dunbar, was sentenced to 41 months in prison for distribution of methamphetamine and being a felon in possession of a firearm. Stuart commended the efforts of the Metropolitan Drug Enforcement Network Team (MDENT) and the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF).
“No, it’s not Groundhog Day,” said United States Attorney Mike Stuart, “but, yes, we’ve convicted yet another felon caught with firearms and dealing meth and he’s going to prison for a substantial stay.”
Clemons pled guilty in March 2019, admitting that he sold methamphetamine to an MDENT informant in December 2016 and that he possessed two firearms at a residence in South Charleston when he was arrested on December 13, 2016. Clemons was prohibited from possessing the Lorcin, .380 and Hi-Point, 9mm pistols due to his having been convicted in Kanawha County Circuit Court of possession with intent to deliver a controlled substance in 2008.
United States District Judge Joseph R. Goodwin imposed the sentence. Assistant United States Attorney Joshua C. Hanks handled the prosecution.
This case is being prosecuted as part of the Project Safe Neighborhoods (PSN) program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Follow us on Twitter: @SDWVNews and @USAttyStuart
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Dominican National Sentenced for Fentanyl Conspiracy Including the Distribution of Counterfeit Pain PillsRead the Press Release
BOSTON – A Dominican national residing in Roxbury with lawful permanent resident status was sentenced today in federal court in Boston for his role in a wide-ranging narcotics trafficking operation that included distributing counterfeit prescription pain pills containing fentanyl throughout Boston and Cape Cod.
Santiago Pena, 51, was sentenced by U.S. District Court Judge William G. Young to two years in prison and five years of supervised release. In December 2017, Pena pleaded guilty to one count of conspiracy to distribute 40 grams or more of fentanyl.
A lengthy wiretap investigation revealed that James Ramirez, an individual charged separately, supplied large-quantities of fentanyl and heroin to Kevin and Alex Fraga, drug dealers on Cape Cod. Ramirez also sold fentanyl pills designed to look like legitimate prescription oxycodone pills. Wiretap intercepts revealed that Ramirez was distributing fentanyl pills in batches of 100 to numerous other drug dealers. Over 2,500 fentanyl pills were recovered as a result of Ramirez’s arrest in late August.
Pena brokered fentanyl pill deals on Ramirez’s behalf, helping to connect Ramirez with a fentanyl pill supplier. On multiple occasions, Ramirez traded used cars for a combination of cash and fentanyl pills in deals that Pena helped arrange.
Alex Fraga pleaded guilty in August 2017, and was sentenced on June 10, 2019, to 131 months in prison. Kevin Fraga and Ramirez pleaded guilty and are scheduled to be sentenced on Aug. 8, 2019, and Oct. 1, 2019, respectively.
United States Attorney Andrew E. Lelling; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; Colonel Kerry A. Gilpin, Superintendent of the Massachusetts State Police; Kelly Brady, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives, Boston Field Division; Kristina O’Connell, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston; and Cape and Islands District Attorney Michael O’Keefe made the announcement today. Assistance was provided by the Brewster, Harwich, Sandwich, Mashpee, Chatham, Yarmouth, and Barnstable Police Departments and the Barnstable County Sheriff’s Department. Assistant U.S. Attorneys Alathea Porter and Philip Cheng of Lelling’s Narcotics and Money Laundering Unit are prosecuting the cases.
Dominican National Sentenced for Distributing Fentanyl and HeroinRead the Press Release
BOSTON – A Dominican national residing in Lawrence was sentenced yesterday in federal court in Boston for distributing a mixture of fentanyl and heroin.
Jorge Aguasvivas, 39, was sentenced by U.S. District Court Judge Indira Talwani to 78 months in prison and four years of supervised release. The defendant will be subject to deportation upon completion of his sentence. In March 2019, Aguasvivas pleaded guilty to one count of distribution of 40 grams or more of fentanyl and 100 grams or more of heroin.
On Aug. 2, 2018, during a joint federal and state law enforcement operation in Lawrence, Aguasvivas delivered 139 grams of a substance containing a mixture of fentanyl and heroin to an undercover agent. Agents arrested Aguasvivas immediately after the drug delivery.
United States Attorney Andrew Lelling; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Division; Massachusetts Attorney General Maura Healey; and Colonel Kerry Gilpin, Superintendent of the Massachusetts State Police, made the announcement. Assistant U.S. Attorney Philip C. Cheng of Lelling’s Narcotics and Money Laundering Unit prosecuted the case.
District of Columbia Development Company and Owner Plead Guilty to Crimes Related to Lead-Based PaintRead the Press Release
Mohammad Sikder, 60, of Washington, D.C., pleaded guilty today to two counts of violating the Toxic Substances Control Act for his role in renovating a Washington, D.C., property without following lead-safe work practices and lead disclosure requirements.
Sikder’s solely held company, District Properties LLC, also pleaded guilty to making false statements in 25 building permit applications to the District of Columbia Department of Consumer and Regulatory Affairs (DCRA). These applications understated the age of the homes being renovated, with the intent to avoid regulatory scrutiny of inadequate lead-based paint safety measures at those properties.
The Honorable Amy Berman Jackson scheduled sentencing for Nov. 22, 2019. The charges against Mr. Sikder carry a statutory maximum of twelve months in prison and potential financial penalties. He and the government will jointly recommend a $50,000 fine in addition to any prison time imposed. The company has agreed to pay a $150,000 criminal fine, and to put another $25,000 towards funding lead-based paint compliance trainings in the District of Columbia, Maryland, and Virginia.
“Lead poisoning is a major environmental health problem, and the deliberate actions taken by the defendant posed an unnecessary risk to his employees and the public at large,” said Assistant Attorney General Jeffrey Bossert Clark for the Justice Department’s Environment and Natural Resources Division. “The Department of Justice will not allow to go unchallenged such flagrant disregard for the rule of law and will continue to work with its partners to protect the health of communities here in Washington, D.C., and beyond.”
“By using unlicensed and untrained workers to renovate older buildings, the defendant threatened the health of his workers and the general public,” said Jennifer Lynn, Acting Special Agent in Charge for EPA’s Mid-Atlantic criminal enforcement program. “Today’s guilty pleas demonstrate that EPA and its partner agencies are committed to enforcing laws protecting public health.”
Lead poisoning continues to be a major environmental health problem in the United States, although it is completely preventable. The most common source of childhood lead poisoning is lead-based paint in older homes, and the primary exposure pathway is ingestion of lead-contaminated dust. Lead is a toxic substance that can cause permanent damage, and is regulated under the Toxic Substances Control Act. Under the Renovation, Repair and Painting Rule (RRP Rule), contractors performing renovation, repair and painting projects that disturb lead-based paint in homes, child care facilities, and schools built before 1978 must be certified and must follow specific work practices to prevent lead contamination.
According to a Statement of Offense filed along with the plea agreements, Sikder and District Properties LLC purchased and renovated a property in Washington, D.C., without following the requirements of the RRP Rule. In 2014, the company submitted a building permit application to DCRA for addition, alteration, and repair of the property. At Sikder’s instruction, the employee submitting the permit application, under the section of the application titled “Lead Abatement,” falsely indicated that the property was built after 1978. During the summer and fall of 2014, a contractor conducted demolition at the property without following RRP Rule safe work practices. The demolition work included removing windows, removing interior and exterior painted surfaces, and removing floor and ceiling joists.
A Sept. 24, 2015, Occupational Safety and Health Administration inspection revealed multiple hazards, including (1) employees performing manual demolition on a wall surface that had paint containing lead; (2) the lack of an employee exposure assessment to determine actual employee exposure; (3) the lack of lead training to employees; and (4) proper sanitation practices not being followed. Sampling analysis showed lead present on the dump truck and employees’ hands. When the property was properly remediated and sold, Sikder and District Properties LLC did not provide the purchasers this information and with a report documenting the prior existence of lead-based paint at the property.
Between 2011 and 2017, District Properties LLC submitted 25 renovation permit applications for properties in Washington, D.C., on which the company falsely represented that the properties had been built after 1978, thereby circumventing additional permitting requirements and avoiding EPA oversight with respect to RRP Rule compliance, which would be triggered by an accurate permit application.
In announcing the plea, Deputy Assistant Attorney General Williams and Acting Special Agent in Charge Lynn expressed appreciation for the work performed by Special Agent Allison Landsman from EPA-Criminal Investigations Division, in partnership with the Metropolitan Police Department Environmental Crimes Unit. The case is being prosecuted by Trial Attorney Cassandra J. Barnum of the Environmental Crimes Section.
Deputy Attorney General recognizes district employeesRead the Press Release
L-R: EOUSA Director James Crowell, Deputy Attorney General Jeffrey Rosen, NDWV Administrative Officer Fawn Thomas, U.S. Attorney Bill Powell L-R: EOUSA Director James Crowell, Deputy Attorney General Jeffrey Rosen, NDWV Reentry Coordinator Ashley Lough, U.S. Attorney Bill Powell L-R: EOUSA Director James Crowell, Deputy Attorney General Jeffrey Rosen, NDWV Litigation Support Specialist Tracie Weaver, U.S. Attorney Bill PowellWASHINGTON – Administrative Officer Fawn Thomas, Reentry Coordinator Ashley Lough, and Litigation Support Specialist Tracie Weaver of the U.S. Attorney’s Office in the Northern District of West Virginia were three of 172 members of the Department of Justice recognized by Deputy Attorney General Jeffrey Rosen, and Executive Office for U.S. Attorneys (EOUSA) Director James Crowell, IV at the 35th Director’s Awards Ceremony today in Washington D.C.
The Northern District of West Virginia was one of 31 districts represented at the ceremony which was held in the Great Hall at the Robert F. Kennedy Department of Justice Building.
In his prepared remarks, Deputy Attorney General Jeffrey Rosen addressed the recipients and guests, saying, “Today’s honorees have earned the esteem of their colleagues. But most importantly, you have earned the gratitude of your fellow citizens — whose communities you have made safer, whose lives you have improved, and whose trust you have rewarded.”
In his remarks, EOUSA Director James Crowell told the recipients, “The Department of Justice is in truth a deployed force. Your work isn’t easy, but it is vital to the functioning and enduring nature of our democracy. As federal prosecutors, we are held to a higher standard, a standard that requires us to ensure that we uphold the rule of law and the fundamental rules of fairness in every trial, every settlement, every plea, and every legal argument in which we are involved.”
Fawn Thomas, Administrative Officer, is being honored for Superior Performance in Administration. Fawn has worked for the U.S. Attorney’s Office for 31 years, serving in several positions prior to becoming the Administrative Officer in 2012. Fawn has been described as a “force of nature”. Her dedication to the District and its staff is unmatched. She travels thousands of miles every year across the District trying to assure all ongoing needs are being met, and does so with a warm and generous spirit. Her work ethic is well-known to all who know her and she exemplifies the District’s motto of “One District, One Mission.” Fawn’ endless hours of dedication greatly justifies the recognition she has now received.
For Superior Performance in Prevention and Reentry Activities, the Executive Office has recognized Reentry Coordinator Ashley Lough. Ashley has been the District’s Reentry Coordinator since 2017, and also serves at the Executive Assistant to the U.S. Attorney. Ashley has worked tirelessly to implement the district’s reentry simulation in all of the District’s federal correctional facilities, as well as several within the West Virginia’s Division of Corrections’ prisons. She has put the District on a national stage as the standard in reentry efforts with this simulation. She also assists with job fairs within our federal prisons, as well as trained those in other Districts across the country on reentry efforts. Her dedication to reentry and the success of those exiting prison is unmatched. Ashley has worked with the District for four years, and with the federal government for 12 years.
Tracie Weaver, Litigation Support Specialist, is being honored for Superior Performance in Litigative Support Role. Tracie was the first Litigation Support Specialist in the District, and has worked tirelessly to master the tools necessary for exemplary work in her position. Tracie has assisted in helped to establish four fully-trained Litigation Support Specialists now in the District. She offers vital assistance and knowledge to the other specialists, to the Assistant U.S. Attorneys in the District, serving as an important part of the criminal prosecution team, and to others on a national level. Tracie has worked for the District for more than 20 years.
“It is my great privilege to work daily with each of these extraordinary women. It is unheard of that a district our size has three award recipients. Our districts’ honorees are great representatives of the dedication our staff has to our mission. Our district couldn’t be prouder,” said United States Attorney Bill Powell, Northern District of West Virginia.
EOUSA provides oversight, general executive assistance, and direction to the 94 United States Attorneys’ offices around the country. For more information on EOUSA and its mission, visit http://www.justice.gov/usao.
Deputy Attorney General Recognizes Southern District of Florida Assistant U.S. AttorneysRead the Press Release
Maurice Johnson, Kimberly A. Selmore, and Edward N. Stamm of the U.S. Attorney’s Office in the Southern District of Florida were among 172 members of the Department of Justice recognized by Deputy Attorney General Jeffrey Rosen, and Executive Office for U.S. Attorneys (EOUSA) Director James Crowell, IV at the 35th Director’s Awards Ceremony today in Washington D.C.
The Southern District of Florida was one of 31 districts represented at the ceremony, which was held in the Great Hall at the Robert F. Kennedy Department of Justice Building.
In his prepared remarks, Deputy Attorney General Jeffrey Rosen addressed the recipients and guests, saying, “Today’s honorees have earned the esteem of their colleagues. But most importantly, you have earned the gratitude of your fellow citizens — whose communities you have made safer, whose lives you have improved, and whose trust you have rewarded.”
In his remarks, EOUSA Director James Crowell told the recipients, “The Department of Justice is in truth a deployed force. Your work isn’t easy, but it is vital to the functioning and enduring nature of our democracy. As federal prosecutors, we are held to a higher standard, a standard that requires us to ensure that we uphold the rule of law and the fundamental rules of fairness in every trial, every settlement, every plea, and every legal argument in which we are involved.”
Senior Litigation Counsel Edward Stamm and Assistant U.S. Attorneys Kim Selmore and Maurice Johnson were recognized for their outstanding work in the investigation and prosecution of a widespread municipal corruption ring victimizing the city of Opa Locka, Florida. A working class city in Miami-Dade County, Opa Locka has long been plagued by a tight-knit group of corrupt elected and appointed officials. These officials enriched themselves at the expense of the city’s residents and small business owners. Law enforcement authorities began a proactive investigation in 2014 using a wide range of techniques to gather evidence. In 2016, the investigation culminated in the execution of a search warrant on Opa Locka City Hall. The investigation expanded, resulting in the conviction and imprisonment of numerous individuals on corruption charges. The convicted individuals included an elected City Commissioner, Opa Locka’s City Manager, Assistant Public Works Director, the Mayor’s son and the acknowledged power broker in the city.
“Senior Litigation Counsel Edward Stamm and Assistant U.S. Attorneys Kim Selmore and Maurice Johnson are career prosecutors who uphold the highest standards of the Department of Justice,” said Ariana Fajardo Orshan, U.S. Attorney for the Southern District of Florida. “The cases for which they are being recognized exemplify their dedication to justice. Mr. Stamm, Ms. Selmore, and Mr. Johnson worked tirelessly to root out corruption by the officials who betrayed the trust of the community they served. The City of Opa Locka is safer today because of the efforts of these prosecutors.”
EOUSA provides oversight, general executive assistance, and direction to the 94 United States Attorneys’ offices around the country. For more information on EOUSA and its mission, visit http://www.justice.gov/usao.
Deputy Attorney General Recognizes Middle District of Florida EmployeeRead the Press Release
WASHINGTON – Public Affairs Officer William Daniels of the U.S. Attorney’s Office in the Middle District of Florida was one of 172 members of the Department of Justice recognized by Deputy Attorney General Jeffrey Rosen, and Executive Office for U.S. Attorneys (EOUSA) Director James Crowell, IV at the 35th Director’s Awards Ceremony today in Washington D.C.
The Middle District of Florida was one of 31 districts represented at the ceremony which was held in the Great Hall at the Robert F. Kennedy Department of Justice Building.
In his prepared remarks, Deputy Attorney General Jeffrey Rosen addressed the recipients and guests, saying, “Today’s honorees have earned the esteem of their colleagues. But most importantly, you have earned the gratitude of your fellow citizens — whose communities you have made safer, whose lives you have improved, and whose trust you have rewarded.
In his remarks, EOUSA Director James Crowell told the recipients, “The Department of Justice is in truth a deployed force. Your work isn’t easy, but it is vital to the functioning and enduring nature of our democracy. As federal prosecutors, we are held to a higher standard, a standard that requires us to ensure that we uphold the rule of law and the fundamental rules of fairness in every trial, every settlement, every plea, and every legal argument in which we are involved.”
Public Affairs Officer William Daniels is recognized for his extraordinary performance in Public Affairs concerning the Orlando Pulse Nightclub Attack. Mr. Daniels’s exceptional service, from the date of the event and throughout the related criminal trial that led to the acquittal of Noor Salman, merits this award. Mr. Daniels deserves ample praise for his work for his initial response to the scene; ability to address victim and community concerns following the aftermath of the event, and during the criminal investigation and trial; his solutions to unique media and court relations problems; his coordination with DOJ components and local, state, and federal law enforcement; and his deft handling of all public affairs issues.
“Mr. Daniels is a tremendous asset to our team here in the Middle District of Florida. His expertise and skills are unmatched, and his dedication and commitment are unfaltering,” said U.S. Attorney Maria Chapa Lopez. “Mr. Daniels is an extraordinary example of how best a Public Affairs Officer can further the Department and USAO mission.”
EOUSA provides oversight, general executive assistance, and direction to the 94 United States Attorneys’ offices around the country. For more information on EOUSA and its mission, visit http://www.justice.gov/usao.
Deputy Attorney General Recognizes Eastern District of Washington Assistant U.S. AttorneysRead the Press Release
WASHINGTON – Alison Gregoire and Thomas Hanlon of the U.S. Attorney’s Office for the Eastern District of Washington were among 172 members of the Department of Justice recognized by Deputy Attorney General Jeffrey Rosen, and Executive Office for U.S. Attorneys (EOUSA) Director James Crowell, IV at the 35th Director’s Awards Ceremony today in Washington D.C.
The Eastern District of Washington was one of 31 districts represented at the ceremony which was held in the Great Hall at the Robert F. Kennedy Department of Justice Building.
In his prepared remarks, Deputy Attorney General Rosen addressed the recipients and guests, saying, “Today’s honorees have earned the esteem of their colleagues. But most importantly, you have earned the gratitude of your fellow citizens — whose communities you have made safer, whose lives you have improved, and whose trust you have rewarded.”
In his remarks, EOUSA Director James Crowell told the recipients, “The Department of Justice is in truth a deployed force. Your work isn’t easy, but it is vital to the functioning and enduring nature of our democracy. As federal prosecutors, we are held to a higher standard, a standard that requires us to ensure that we uphold the rule of law and the fundamental rules of fairness in every trial, every settlement, every plea, and every legal argument in which we are involved.”
United States Attorney Joseph H. Harrington stated, “Ms. Gregoire and Mr. Hanlon are career prosecutors who have dedicated their professional lives to making our community safer. Their work shows that they uphold the highest standards of the Department of Justice.”
Assistant United States Attorneys Alison Gregoire and Thomas Hanlon were recognized for their dedication to making Indian Country a priority in the Eastern District of Washington. Serving four different tribes, Ms. Gregoire and Mr. Hanlon have prosecuted challenging cases with unparalleled dedication and excellence. Through their dedicated service to Indian Country, they have built lasting, productive partnerships and exceeded expectations in establishing credibility of federal investigations and prosecutions in Indian Country.
EOUSA provides oversight, general executive assistance, and direction to the 94 United States Attorneys’ offices around the country. For more information on EOUSA and its mission, visit http://www.justice.gov/usao.
Deputy Attorney General Recognizes District EmployeeRead the Press Release
BIRMINGHAM – China M. Davidson, Chief of Administrative Division of the U.S. Attorney’s Office in the Northern District of Alabama was one of 172 members of the Department of Justice recognized by Deputy Attorney General Jeffrey Rosen, and Executive Office for U.S. Attorneys (EOUSA) Director James Crowell, IV at the 35th Director’s Awards Ceremony today in Washington D.C.
The Northern District of Alabama was one of 31 districts represented at the ceremony which was held in the Great Hall at the Robert F. Kennedy Department of Justice Building.
In his prepared remarks, Deputy Attorney General Jeffrey Rosen addressed the recipients and guests, saying, “Today’s honorees have earned the esteem of their colleagues. But most importantly, you have earned the gratitude of your fellow citizens — whose communities you have made safer, whose lives you have improved, and whose trust you have rewarded.”
In his remarks, EOUSA Director James Crowell told the recipients, “The Department of Justice is in truth a deployed force. Your work isn’t easy, but it is vital to the functioning and enduring nature of our democracy. As federal prosecutors, we are held to a higher standard, a standard that requires us to ensure that we uphold the rule of law and the fundamental rules of fairness in every trial, every settlement, every plea, and every legal argument in which we are involved.”
China M. Davidson is recognized for her sustained exemplary service, which exceeds the highest standards of excellence in executive leadership, management, and advisory services. During her 24 years of service, Ms. Davidson significantly contributed to her division’s community by promoting a culture of excellence and professionalism. Ms. Davidson has many talents relating to management, team building, community-outreach services, and grant writing, which she has generously used to create numerous unique opportunities for her division and the USAO community. In addition, Ms. Davidson has shown steadfast commitment to advance the Attorney General’s ‘Project Safe Neighborhoods Initiative’ through early prevention in schools and training for law enforcement officers. Ms. Davidson’s tenure has been characterized by exceptional service as a Department pathfinder, mentor, instructor, and counselor who has consistently inspired leadership and professionalism.
“China Davidson has served the Department of Justice with great distinction for the better part of three decades,” Town said. “It is rare to have one person have such a positive impact on the functionality of an office. The Northern District of Alabama has been made safer, our lives made better, and our future made brighter because of China Davidson’s resourcefulness and leadership. Her recognition by Director Crowell just underscores her value to the Department, my office, and the citizens of Alabama.”
EOUSA provides oversight, general executive assistance, and direction to the 94 United States Attorneys’ offices around the country. For more information on EOUSA and its mission, visit http://www.justice.gov/usao.
Deputy Attorney General Recognizes District EmployeeRead the Press Release
WASHINGTON – Assistant U.S. Attorney Héctor Ramírez-Carbó of the U.S. Attorney’s Office in the District of Puerto Rico was one of 172 members of the Department of Justice recognized by Deputy Attorney General Jeffrey Rosen, and Executive Office for U.S. Attorneys (EOUSA) Director James Crowell, IV at the 35th Director’s Awards Ceremony today in Washington D.C.
The District of Puerto Rico was one of 31 districts represented at the ceremony which was held in the Great Hall at the Robert F. Kennedy Department of Justice Building.
In his prepared remarks, Deputy Attorney General Jeffrey Rosen addressed the recipients and guests, saying, “Today’s honorees have earned the esteem of their colleagues. But most importantly, you have earned the gratitude of your fellow citizens — whose communities you have made safer, whose lives you have improved, and whose trust you have rewarded.
In his remarks, EOUSA Director James Crowell told the recipients, “The Department of Justice is in truth a deployed force. Your work isn’t easy, but it is vital to the functioning and enduring nature of our democracy. As federal prosecutors, we are held to a higher standard, a standard that requires us to ensure that we uphold the rule of law and the fundamental rules of fairness in every trial, every settlement, every plea, and every legal argument in which we are involved.”
Héctor Ramírez-Carbó, District of Puerto Rico, is recognized for his outstanding supervisory and managerial leadership as Chief of the Civil Division. As Civil Chief since 2014, Mr. Ramírez has implemented outstanding strategies to develop a successful and emerging ACE Unit and to integrate the work of the Civil Division Staff with the Criminal Division. In 2015, the EARS Evaluation Team gave excellent reviews for Mr. Ramirez’s management of the Civil Division. Mr. Ramirez’s exceptional efforts have instilled a spirit of cooperation among the different components of the office and have served to highlight the important work performed by employees in the Civil Division.
“We couldn’t be more pleased with EOUSA’s recognition of the leadership and managerial skills of AUSA Ramírez. We take this opportunity to congratulate him and his Civil Division team on all their accomplishments,” said Rosa Emilia Rodríguez-Vélez, US Attorney for the District of Puerto Rico.
EOUSA provides oversight, general executive assistance, and direction to the 94 United States Attorneys’ offices around the country. For more information on EOUSA and its mission, visit http://www.justice.gov/usao.
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Deputy Attorney General Recognizes District Branch ChiefRead the Press Release
WASHINGTON – Assistant United States Attorney Timothy Duax, Chief of the U.S. Attorney’s Office in the Northern District of Iowa’s Sioux City brank office, was one of 172 members of the Department of Justice recognized by Deputy Attorney General Jeffrey Rosen, and Executive Office for U.S. Attorneys (EOUSA) Director James Crowell, IV at the 35th Director’s Awards Ceremony today in Washington D.C.
The Northern District of Iowa was one of 31 districts represented at the ceremony which was held in the Great Hall at the Robert F. Kennedy Department of Justice Building.
In addressing the award recipients and guests, Deputy Attorney General Rosen told the awardees, “Today’s honorees have earned the esteem of their colleagues. But most importantly, you have earned the gratitude of your fellow citizens — whose communities you have made safer, whose lives you have improved, and whose trust you have rewarded.”
In his remarks, EOUSA Director James Crowell told the recipients, “The Department of Justice is in truth a deployed force. Your work isn’t easy, but it is vital to the functioning and enduring nature of our democracy. As federal prosecutors, we are held to a higher standard, a standard that requires us to ensure that we uphold the rule of law and the fundamental rules of fairness in every trial, every settlement, every plea, and every legal argument in which we are involved.”
AUSA Duax was recognized for his superior performance in a managerial or supervisory role. Over the past several years, Duax overcame difficult circumstances, including limited resources and a disruptive construction project, to greatly enhance the leadership, productivity, and morale in the Sioux City office. At the same time, he prosecuted some of the office’s most difficult human trafficking and sexual exploitation cases while serving in a number of district-wide roles for the Northern District of Iowa.
“AUSA Duax demonstrated outstanding dedication and hard work, leading the Sioux City office by setting the example every day,” said United States Attorney Peter E. Deegan, Jr. “Through difficult times and trying circumstances,
AUSA Duax’s leadership, good humor, passion, and work ethic never wavered. My entire office is grateful for his continued commitment to doing everything he can to help protect the people of Iowa.”
EOUSA provides oversight, general executive assistance, and direction to the 94 United States Attorneys’ offices around the country. For more information on EOUSA and its mission, visit http://www.justice.gov/usao.
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Deputy Attorney General Recognizes Assistant U.S. Attorney Shannon Cozzoni for her Work as Tribal LiaisonRead the Press Release
Assistant U.S. Attorney Shannon Cozzoni, Tribal Liaison for the U.S. Attorney’s Office in the Northern District of Oklahoma, was one of 172 members of the Department of Justice recognized by Deputy Attorney General Jeffrey Rosen, and Executive Office for U.S. Attorneys (EOUSA) Director James Crowell, IV, at the 35th Director’s Awards Ceremony today in Washington, D.C.
The Northern District of Oklahoma was one of 31 districts represented at the ceremony held in the Great Hall at the Robert F. Kennedy Department of Justice Building. Cozzoni was recognized for her superior performance as Tribal Liaison in Indian Country.
Deputy Attorney General Jeffrey Rosen addressed the recipients and guests, saying, “Today’s honorees have earned the esteem of their colleagues. But most importantly, you have earned the gratitude of your fellow citizens — whose communities you have made safer, whose lives you have improved, and whose trust you have rewarded.”
“The Department of Justice is in truth a deployed force,” said EOUSA Director James Crowell to the recipients. “Your work isn’t easy, but it is vital to the functioning and enduring nature of our democracy. As federal prosecutors, we are held to a higher standard, a standard that requires us to ensure that we uphold the rule of law and the fundamental rules of fairness in every trial, every settlement, every plea, and every legal argument in which we are involved.”
Cozzoni is a stalwart advocate for justice as the Tribal Liaison to fourteen tribes in the Northern District of Oklahoma. Cozzoni has strengthened the relationship between the U.S. Attorney’s Office and the Tribes, and likewise, she has expanded the collaborative partnership between federal, state, local, and tribal authorities.
“Assistant U.S. Attorney Shannon Cozzoni isn’t just a great Indian Country prosecutor, she’s a great person. This national recognition was well deserved and hard earned. I am incredibly proud to have her on our team,” said U.S. Attorney Trent Shores of the Northern District of Oklahoma. “AUSA Cozzoni exhibits excellence in the courtroom and shows genuine care for victims of violent crime. She regularly goes above and beyond the call of duty to help Native American women and children who are victims of domestic violence or sexual abuse. As our Tribal Liaison, she ensures that the United States upholds its federal trust responsibilities to Native Americans. AUSA Cozzoni does it all. She is truly an outstanding advocate for justice in Indian Country.”
As Tribal Liaison, Cozzoni prosecutes cases involving Native American victims and defendants, and she educates legal and law enforcement professionals on justice issues affecting communities in Indian Country. During the past year, Cozzoni organized and led victim service roundtables for tribal and state law enforcement and victim service providers. She also developed and taught accredited, joint training courses to tribal and local police departments in eleven counties, covering topics like cross-deputization agreements, domestic violence, and the opioid epidemic. Cozzoni further orchestrated three days of meetings for the Native American Issues Subcommittee to the Attorney General’s Advisory Committee, which were held at the Muscogee (Creek) and Cherokee Nations in Oklahoma. In hosting the 32 U.S. Attorneys who serve Native American and Alaska Native communities, Cozzoni developed an agenda focused on violent crime reduction, opioid abuse enforcement, victims’ rights, and white-collar crimes in Indian Country.
EOUSA provides oversight, general executive assistance, and direction to the 94 United States Attorneys’ offices around the country. For more information on EOUSA and its mission, visit http://www.justice.gov/usao.
Deli Owner Sentenced to More Than 5 Years in Prison for Setting Fire to Rival DeliRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced today that REDHWAN SALEH was sentenced to 63 months in prison for his participation in an arson in the Bronx, New York. SALEH was convicted following a four-day trial before the Honorable William H. Pauley III, who imposed today’s sentence.
Manhattan U.S. Attorney Geoffrey S. Berman said: “Today, New York City deli owner Redhwan Saleh learned that his attempt to burn down his competition – literally – comes at a steep price: more than five years in prison.”
According to allegations in the Superseding Indictment, other filings in Manhattan federal court, and the evidence presented at trial:
SALEH owned a deli near the intersection of 242nd Street and Broadway in the Riverdale section of the Bronx. After SALEH learned that a competing deli was about to open a few stores down from his, SALEH paid three men, including co-defendant Antoine Bostick, to set the new deli on fire. On September 11, 2016, a few weeks before the new deli opened, Bostick climbed onto the new deli’s roof, poured gasoline down the vent pipe, and lit the gas on fire. The new deli and a neighboring store both suffered extensive fire damage and the new deli’s opening was substantially delayed.
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In addition to the prison term, SALEH, 38, of Brooklyn, New York, was sentenced to three years of supervised release and ordered to pay $50,000 in restitution.
Bostick, 32, of New Rochelle, New York, was convicted of conspiracy to commit arson and was sentenced by Judge Pauley on March 15, 2019, to 50 months in prison and ordered to pay $50,000 in restitution.
In addition to SALEH and Bostick, two other individuals have been convicted in connection with this case. Arthur Cherry pled guilty to conspiracy to commit arson and arson and was sentenced by Judge Pauley on March 15, 2019, to time served, three years of supervised release, and ordered to pay $50,000 in restitution. Richard Sanchez pled guilty to conspiracy to commit arson and was sentenced by Judge Pauley on February 1, 2019, to 28 months in prison, three years of supervised release, and ordered to pay $50,000 in restitution.
Mr. Berman praised the investigative efforts of the Strategic Explosive and Arson Response Task Force of the Bureau of Alcohol, Tobacco, Firearms and Explosives, the New York Police Department, and the Fire Department of New York.
The case is being prosecuted by the Office’s General Crimes Unit. Assistant United States Attorneys Adam S. Hobson and Thomas McKay are in charge of the prosecution.
Defense Supply Companies Resolve False Claims Act Liability for Substituting Surplus PartsRead the Press Release
PHILADELPHIA – United States Attorney William M. McSwain announced today that two defense supply companies, and a married couple who operated them, have agreed to resolve the government’s claims that they supplied non-conforming parts to the military in violation of the False Claims Act. The government described its claims in its federal court complaint filed today.
The government’s complaint alleges that in 2015 and 2016, the defense supply companies, Liberty Air Parts, Inc., and US Supply Corporation of Greenlawn, New York, and their operators, George Onorato and Ellen Onorato of Lamoine, Maine, agreed to supply bolts, rings, knobs, and rivets for $24,379.60 to the Defense Logistics Agency Troop Support-Philadelphia. The defendants allegedly agreed to supply these parts in non-surplus condition, meaning brand new—direct from the manufacturer or authorized dealer—and not left over from other government projects.
Instead of supplying them in non-surplus condition, the defendants allegedly substituted leftover, surplus parts in secret. According to the complaint, the defendants concealed this substitution by falsifying records and making false statements. The complaint alleges that the substitution gave the defendants an advantage during the competitive bidding process, allowing them to quote prices for supposedly new, non-surplus parts while swapping them for leftover surplus parts after winning the bids.
To resolve the allegations, the defendants agreed to the entry of a consent judgment against them in the amount of $159,390.80. As part of this proposed consent judgment, the defendants admitted that they supplied parts in surplus condition in violation of contract requirements and the False Claims Act. The defendants also admitted that their substitution harmed open competition and undermined the integrity of the government’s procurement process. In addition, the defendants admitted that they acted recklessly when they responded to the government’s requests for information about the parts.
The proposed consent judgment will protect the public from future harm by prohibiting the defendants from contracting with the federal government at any time.
“My Office will not tolerate government contractors who cut corners and certainly will not tolerate product substitutions like the ones alleged here,” said U.S. Attorney McSwain. “Supplying non-conforming parts to the military isn’t fair to American taxpayers, isn’t fair to competing contractors, and most importantly, isn’t fair to our service members in uniform who trust that they will receive the supplies promised to them.”
“Preventing product substitution in the U.S. Department of Defense’s procurement chain is a top priority for the Defense Criminal Investigative Service (DCIS),” stated Leigh-Alistair Barzey, Special Agent in Charge of the DCIS Northeast Field Office. “The civil settlement agreement announced today is the direct result of a joint effort and demonstrates DCIS’ ongoing commitment to partner with the U.S. Attorney’s Office to identify, investigate and prosecute companies and individuals who sell non-conforming parts to the U.S. military.”
Assistant United States Attorney Michael S. Macko handled the case with investigative assistance from the United States Department of Defense Office of Inspector General, Defense Criminal Investigative Service.
Darien Center Man Pleads Guilty to Receiving Child Ponography from Young GirlsRead 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 Alexander Seegar, 29, of Darien Center, NY, pleaded guilty before Chief U.S. District Judge Frank P. Geraci to receipt of child pornography. The charge carries a minimum penalty of five years in prison, a maximum of 20 years, and a $250,000 fine.
Assistant U.S. Attorney Stephanie Lamarque who is handling the case, stated that Seegar was sexting 10-12 year old female students at a school in Niagara County, posing as a 16 or 17-year-old boy. The defendant used the Instagram profile “davidlissachi” to communicate with the girls and asked them for sexually explicit photos. Seegar also communicated with other minors between the ages of 10 and 15 and asked them to send him sexually explicit photos in exchange for pictures of male genitalia that he sent them. The defendant was found in possession of numerous photos containing child pornography.
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, and the Lewiston Police Department, under the direction of Chief Frank Previte.
Sentencing is scheduled for September 19, 2019, at 10:30 a.m. before Judge Geraci.
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Dansville Man Sentenced for His Role in Meth RingRead 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 Kenneth Hoag, 57, of Dansville, NY, who was convicted of possession with intent to distribute five grams or more of methamphetamine, was sentenced by U.S. District Judge David G. Larimer to serve 12 months in prison. The defendant was also ordered sell the property known as the Bone Yard, in Dansville, NY, which Hoag used and maintained for the purpose of distributing methamphetamine. Proceeds of the sale of the property totaling $108,438.78 was forfeited to the Government.
Assistant U.S. Attorneys Katelyn M. Hartford Grace M. Carducci, who handled the case, stated that on April 7, 2017, the defendant sold methamphetamine to an individual at The Bone Yard, located on State Highway 36 in Dansville. Additionally, on April 21, 2017, Hoag possessed in his tool chest a quantity of methamphetamine.
Hoag is one of seven defendants charged and convicted in this case.
Today’s sentencing is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division; the Livingston County Sheriff’s Department, under the direction of Sheriff Thomas Dougherty; and the New York State Police, under the direction of Major Eric Laughton.
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Deputy Attorney General Recognizes District EmployeeRead the Press Release
Montana U.S. Attorney Kurt Alme, left, and Assistant U.S. Attorney Mark Smith at the 2019 Department of Justice Deputy Director's Award Ceremony in Washington D.C.WASHINGTON – Assistant U.S. Attorney Mark Smith of the U.S. Attorney’s Office in the District of Montana was one of 172 members of the Department of Justice recognized by Deputy Attorney General Jeffrey Rosen, and Executive Office for U.S. Attorneys (EOUSA) Director James Crowell, IV at the 35th Director’s Awards Ceremony today in Washington D.C.
The District of Montana was one of 31 districts represented at the ceremony which was held in the Great Hall at the Robert F. Kennedy Department of Justice Building. AUSA Smith was recognized for his work on a case involving public access for a popular trail into the Lee Metcalf Wilderness.
In his prepared remarks, Deputy Attorney General Rosen told the awardees, “Today’s honorees have earned the esteem of their colleagues. But most importantly, you have earned the gratitude of your fellow citizens — whose communities you have made safer, whose lives you have improved, and whose trust you have rewarded.”
In his prepared remarks, EOUSA Director Crowell said, “The Department of Justice is in truth a deployed force. Your work isn’t easy, but it is vital to the functioning and enduring nature of our democracy. As federal prosecutors, we are held to a higher standard, a standard that requires us to ensure that we uphold the rule of law and the fundamental rules of fairness in every trial, every settlement, every plea, and every legal argument in which we are involved.”
In the public access case, 9th U.S. Circuit Court of Appeals in June affirmed a ruling by U.S District Judge Sam E. Haddon that the Forest Service possessed an easement by prescription for itself and the public on a trail known as the Indian Creek Trail, in the Madison Ranger District of the Beaverhead-Deerlodge National Forest. The trail provides public access into the Lee Metcalf Wilderness.
AUSA Smith argued the case before the Circuit Court.
“Mark and his team worked tirelessly on behalf of the United States to protect the rights of the public to access and enjoy public lands. This award is well deserved,” said U.S. Attorney Alme.
The case began in 2014 when the Wonder Ranch, LLC, sued the United States under the Quiet Title Act, claiming that the trail, which crosses its 80-acre parcel east of Cameron, was used by the public by permission of the landowner, and that no public right of access existed. The United States countersued, claiming that a prescriptive easement across the Wonder Ranch for the public and the Forest Service to use the trail had been clearly established through many decades of stock, recreational and commercial use.
After an eight-day trial in 2016, the District Court ruled for the government that a public easement had been established and maintained through generations of use of the trail.
EOUSA provides oversight, general executive assistance, and direction to the 94 United States Attorneys’ offices around the country. For more information on EOUSA and its mission, visit http://www.justice.gov/usao.
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Cottage Grove Man Sentenced to Federal Prison for Hash Oil ExplosionRead the Press Release
PORTLAND, Ore.—Eric L. Scully, of Cottage Grove, Oregon, was sentenced today to 78 months in federal prison and five years’ supervised release for endangering human life and illegally possessing and manufacturing marijuana during a November 2017 butane honey oil (BHO) explosion in Cottage Grove.
Scully was also sentenced to six months in prison for violating the supervised release conditions of a previous federal money laundering conviction. The two prison sentences will run consecutively, for a total of 84 months in prison.
According to court documents, on November 16, 2017, the Cottage Grove Police and Fire Departments responded to an explosion at a storage facility in Cottage Grove. Officers found Scully at a local hospital where he was being treated for serious burn injuries. Investigators later learned that, at the time of the explosion, at least three other individuals were inside the facility.
Two days later, Cottage Grove Police and U.S. Drug Enforcement Administration (DEA) agents executed a search warrant at the storage facility. Inside, they found a large, sophisticated, and unlicensed BHO extraction lab. BHO is a concentrated form of marijuana extracted using highly flammable or combustible solvents. During the search, agents found 1,200 pounds of processed marijuana, 728 marijuana plants and over 80 pounds of marijuana extract.
The investigation determined that while manufacturing BHO, one of Scully’s machines, located in a room containing highly combustible materials and equipment, caught fire. The machine and combustibles exploded, injuring Scully and placing the other individuals present at substantial risk of harm.
At the time of the explosion, Scully was on federal supervision stemming from a money laundering conviction from 2016. In that case, Scully owned and operated a large, illegal marijuana grow in Eugene from 2012 through 2014. That investigation found that Scully collected over $1,000,000 in proceeds from his illegal business, which fed a luxury lifestyle of high-end cars, watches, jewelry, clothing, real estate, and firearms. At the time of the search Scully’s properties in 2015, investigators uncovered over 230 pounds of marijuana, 219 marijuana plants, $179,860 in cash, and numerous high-value items and vehicles.
Scully pleaded guilty to money laundering and served a 90-day prison sentence at the beginning of 2017. While in prison, Scully continued to actively develop his illegal BHO business in Cottage Grove, and expanded the operation while on federal supervision up to the date of the explosion.
During sentencing, Scully was ordered to forfeit the personal property used to facilitate his crimes, which includes a truck, trailer, and over $25,000 in cash
On November 15, 2018, Scully pleaded guilty to one count each of endangering human life and illegally possessing and manufacturing marijuana.
This case was investigated by DEA and the Cottage Grove Police Department. It is being prosecuted by Gavin W. Bruce, Assistant U.S. Attorney for the District of Oregon.
Colorado Man, Operating Under the Nicknames “Penissmith” and “Botah” Indicted on Racketeering Charges Related to Darknet Marketplace AlphaBayRead the Press Release
FRESNO, Calif. — An indictment was unsealed on June 20, 2019, charging Bryan Connor Herrell, 24, with conspiring to engage in a racketeer influenced corrupt organization, U.S. Attorney McGregor W. Scott for the Eastern District of California and Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division announced.
According to court documents, Herrell was a moderator on the AlphaBay marketplace, an illegal website that operated on the so-called darknet. On AlphaBay, vendors and purchasers engaged in hundreds of thousands of illicit transactions for guns, drugs, stolen identity information, credit card numbers and other illegal items. At the time, AlphaBay was considered to be the world’s largest online drug marketplace.
Allegedly, as a moderator on AlphaBay, Herrell settled disputes between vendors and purchasers. He is also accused of serving as a scam watcher – providing a service dedicated to monitor attempts to defraud AlphaBay users. Herrell went by the monikers “Penissmith” and “Botah” and was paid in Bitcoin for his participation.
On June 1, 2017, a Fresno grand jury indicted the alleged founder of AlphaBay, Alexandre Cazes. On July 5, 2017, the Royal Thai Police, with assistance from the FBI and DEA, executed an arrest warrant for Alexandre Cazes at his residence in Bangkok, in connection with his alleged involvement with AlphaBay. At the time of his arrest, law enforcement discovered Cazes’s laptop open and in an unencrypted state. Agents and officers found several text files that identified the passwords/passkeys for the AlphaBay website, the AlphaBay servers, and other online identities associated with AlphaBay. The indictment against Cazes was dismissed as a result of his death. The investigation of AlphaBay and its former administrators continues.
This case was the product of an investigation by the Sacramento and Philadelphia Field offices of the Federal Bureau of Investigation. Assistant United States Attorneys Paul Hemesath and Grant B. Rabenn, and Senior Counsel Louisa K. Marion of the Department of Justice’s Computer Crime and Intellectual Property Section are prosecuting the case. The Philadelphia United States Attorney’s Office provided substantial assistance.
Herrell is currently in custody.
If convicted, Herrell faces a maximum statutory penalty of 20 years in prison. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.