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29 July 2019
Randolph County woman sentenced for methamphetamine chargeRead the Press Release
ELKINS, WEST VIRGINIA – Gina Carol McCauley, of Beverly, West Virginia, was sentenced today to 60 months incarceration for her role in a methamphetamine distribution operation, United States Attorney Bill Powell announced.
McCauley, age 38, pled guilty to one count of “Conspiracy to Distribute Methamphetamine” and one count of “False Statement in Connection with the Acquisition of a Firearm” in April 2019. McCauley admitted to conspiring with another to distribute methamphetamine in Randolph County from March to November of 2018. McCauley also admitted to lying to a firearms dealer when purchasing a .380 caliber pistol and 49 rounds of .380 caliber ammunition.
Assistant U.S. Attorney Stephen D. Warner prosecuted the case on behalf of the government. The Bureau of Alcohol, Firearms, Tobacco and Explosives, The Mountain Region Drug & Violent Crime Task Force, the Greater Harrison Drug &Violent Crime Task Force, a HIDTA-funded initiative, the West Virginia State Police, Upshur County Sheriff’s Office, Lewis County Sheriff’s Office, the Buckhannon Police Department, and the Weston Police Department investigated.
The investigation was funded by the federal Organized Crime Drug Enforcement Task Force Program (OCDETF). The OCDETF program supplies critical federal funding and coordination that allows federal and state agencies to work together to successfully identify, investigate, and prosecute major interstate and international drug trafficking organizations and other criminal enterprises.
U.S. District Judge Thomas S. Kleeh presided.
Putnam County Man Sentenced to Prison for Lying on ATF Form to Obtain FirearmsRead the Press Release
HUNTINGTON, W.Va. – A Putnam County man was sentenced to prison for lying on an ATF form in an attempt to obtain firearms. Stephen Cyrus, 35, sentenced to 5 months in prison by United States District Judge Robert C. Chambers.
“Persons with domestic violence convictions are prohibited from having firearms for good reason,” said United States Attorney Mike Stuart. “And we are working with ATF to keep guns out of the wrong hands and prevent gun crimes.”
Cyrus previously admitted that on March 20, 2018, he attempted to obtain four firearms from Ultimate Pawn & Performance. On the ATF form he lied about whether he had been previously convicted of domestic violence. Cyrus was prohibited from obtaining firearms under federal law because he was convicted of domestic battery on January 19, 2018 in Putnam County, West Virginia. The Bureau of Alcohol, Tobacco, Firearms & Explosives conducted the investigation.
Assistant United States Attorney Stephanie Taylor handled the prosecution.
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Prisoners Sentenced to an Additional 20 Years in Prison for Attempting to Kill a Federal Correctional Officer, Assault on a Federal Correctional OfficerRead the Press Release
FRESNO, Calif. — U.S. District Judge Lawrence J. O’Neill sentenced Jonathan Mota, 37, and Dominic Adams, 27, today to 20 years in prison, following their convictions at trial, U.S. Attorney McGregor W. Scott announced.
Mota was sentenced for attempting to kill a federal officer, and Adams was sentenced for assault on a federal officer. The sentences are to be served consecutively to the federal sentences they are currently serving, and will be followed by three years of supervised release.
According to court documents and evidence presented at trial, on October 6, 2017, Mota, Adams and four other inmates brutally attacked a Federal Bureau of Prisons officer who was a teacher working at the federal penitentiary in Atwater. The officer was repeatedly stabbed with homemade knives and kicked and beaten by the inmates.
According to court documents, on the day of the attack, Mota and Eric Chiago, 28, entered the copy room where the officer was making copies and repeatedly stabbed him. William Roe Acevedo, 33; Michael Martin, 30; Joey Thomas, 26; and Adams stationed themselves outside the room. When the victim was able to free himself and escape down the hallway, the six defendants tackled him and wrestled him to the floor where they repeatedly kicked, punched and stabbed him. Adams and Thomas also assaulted an officer who was responding to the attack.
Chiago, Acevedo, Martin, and Thomas pleaded guilty to aggravated assault. Chiago was sentenced to 15 years and eight months in prison, Acevedo was sentenced to 13 years in prison, Martin was sentenced to 12 years and six months in prison, and Thomas was sentenced to eight years and one month in prison.
This case was the product of an investigation by the Federal Bureau of Investigation and the Federal Bureau of Prisons. Assistant U.S. Attorney Kirk E. Sherriff prosecuted the case.
Pittsfield Man Sentenced to Two Years for Conspiring to Violate the Federal Firearms LawsRead the Press Release
Bangor, Maine: United States Attorney Halsey B. Frank announced that Ethan Rumery, 24, of Pittsfield, Maine, was sentenced today in U.S. District Court by Judge Nancy Torresen to two years in prison and three years of supervised release for conspiring to violate the federal firearms laws. The defendant pled guilty on February 25, 2019.
According to court records, between February 2015 and September 2016, Rumery conspired with others to fraudulently obtain firearms from federally licensed dealers in Maine. When buying the firearms, Rumery and his coconspirators falsely claimed that they were the actual purchasers of the firearms. The firearms were, in fact, purchased for and sold to individuals residing outside of Maine.
The case was investigated by the Massachusetts State Police; the Newport and Pittsfield (Maine) Police Departments; and the Bureau of Alcohol, Tobacco, Firearms and Explosives and prosecuted as part of Project Safe Neighborhoods (PSN). PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
New Jersey Man Sentenced for Federal Drug and Firearms OffensesRead the Press Release
HUNTINGTON, W.Va. – A New Jersey man who was caught selling drugs near a school in West Huntington last September was sentenced to 72 months in federal prison, announced United States Attorney Mike Stuart. Eric Moore Bellamy, 51, previously entered guilty pleas to possession with intent to distribute crack cocaine and heroin within 1,000 feet of a school and possession of firearms in furtherance of a drug trafficking crime. Stuart commended the investigative efforts of the Huntington Police Department.
“We don’t want drug dealers in our communities and this drug dealer should have stayed in New Jersey,” said United States Attorney Mike Stuart. “We certainly won’t tolerate drug peddling near our schools. Get near our children with your poisons and I’m going to hammer you to the fullest extent of the law. Our school zones are drug free zones. Cross that line and it’s a one way ticket to a federal pen.”
On September 12, 2018, after officers with the Huntington Police Department developed information that Bellamy was selling drugs in West Huntington, a search warrant was executed at his residence located at 1037 Madison Avenue. During the search, officers seized crack cocaine and heroin from a dresser in the residence. In a separate drawer of the same dresser containing the drugs, officers seized a loaded Springfield .45 caliber pistol, a loaded Ruger Model P85, 9mm pistol, and a loaded Imperial Metal, Model 9, .22 caliber revolver. Bellamy was arrested and admitted to officers that he possessed the drugs and firearms and that he had been selling both crack and heroin in the West Huntington area.
Bellamy’s residence is located within 1,000 feet of Grace Christian School, a private elementary and secondary school. Bellamy admitted at that he possessed the firearms to serve as protection based on his distribution of drugs. Bellamy was also prohibited from possessing firearms based on multiple prior felony convictions he received in the State of New Jersey.
Assistant United States Attorney Joseph F. Adams handled the prosecution. The sentence was imposed by United States District Judge Robert C. Chambers.
Project Safe Neighborhoods (PSN) is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
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###Multiple Rapid City Defendants Indicted on Federal Gun ChargesRead the Press Release
United States Attorney Ron Parsons announced that three men and one woman from Rapid City, South Dakota, have been indicted by a federal grand jury on federal gun charges. All Defendants were indicted on July 23, 2019.
Julie Cagle, a/k/a Julie Davis, a/k/a Julie Dzuirman, age 48, appeared before U.S. Magistrate Judge Daneta Wollmann on July 26, 2019, and pled not guilty to the Indictment charging her with Possession of a Firearm by a Prohibited Person.
The maximum penalty upon conviction is 10 years in federal prison and/or a $250,000 fine, 3 years supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The charge relates to Cagle, a previously convicted felon who is prohibited from possessing firearms, unlawfully being in possession of two firearms in June 2019 at Rapid City.
Mason Means, age 21, appeared before U.S. Magistrate Judge Daneta Wollmann on July 26, 2019, and pled not guilty to the Indictment charging him with Possession of a Firearm by a Prohibited Person.
The maximum penalty upon conviction is 10 years in federal prison and/or a $250,000 fine, 3 years supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The charge relates to Means, a previously convicted felon who is prohibited from possessing firearms, unlawfully possessing a semi-automatic pistol in June 2019 at Rapid City.
Wanbli Morris, age 34, appeared before U.S. Magistrate Judge Daneta Wollmann on July 26, 2019, and pled not guilty to the Indictment charging him with Possession of a Firearm by a Prohibited Person and Possession of a Stolen Firearm.
The maximum penalty upon conviction for each count is 10 years in federal prison and/or a $250,000 fine, 3 years supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The charges relate to Morris, a previously convicted felon who is prohibited from possessing firearms, unlawfully possessing a stolen semi-automatic pistol in April 2019 at Rapid City.
Juan Rosales, age 45, appeared before U.S. Magistrate Judge Daneta Wollmann on July 26, 2019, and pled not guilty to the Indictment charging him with Possession of a Firearm by a Prohibited Person.
The maximum penalty upon conviction is 10 years in federal prison and/or a $250,000 fine, 3 years supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The charge relates to Rosales, a previously convicted felon who is prohibited from possessing firearms, unlawfully possessing a semi-automatic pistol in June 2019 at Rapid City.
The charges are merely accusations and all Defendants are presumed innocent until and unless proven guilty.
These cases are part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of its renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and local communities to develop effective, locally-based strategies to reduce violent crime.
The investigations are being conducted by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Rapid City Police Department. Assistant U.S. Attorney Benjamin Patterson is prosecuting the cases.
All four Defendants have been detained pending trial. Trial dates have not been set.
Moldovan National Sentenced to 41 Months in Prison for Faking His Death for $2 Million Insurance PayoutRead the Press Release
United States Attorney Erica H. MacDonald today announced the sentencing of IGOR VOROTINOV, 55, to 41 months in prison for faking his death in order to collect a $2 million life insurance payment. VOROTINOV, who pleaded guilty on May 3, 2019, was sentenced today before Judge Patrick J. Schiltz in U.S. District Court in Minneapolis, Minnesota.
According to the defendant’s guilty plea and documents filed in court, in March 2010, IGOR VOROTINOV obtained a $2 million life insurance policy on his own life from Mutual of Omaha Insurance Company (Mutual of Omaha), and designated his wife, IRINA VOROTINOV, as the primary beneficiary.
According to the defendant’s guilty plea and documents filed in court, on October 1, 2011, the Moldovan police discovered the corpse of an adult male by the side of a road near the Moldovan village of Cojusna. Based upon the dead body and the defendant’s identification documents in its clothing, the Moldovan police and a Moldovan morgue official purported to determine that Igor Vorotinov had died of a heart attack on October 1, 2011. After his purported death, VOROTINOV began using the name “Nikoly Patoka” and lived in Transnistria, a small Russian-controlled region of Moldova, from approximately 2012 until approximately November 2018.
On November 7, 2011, IRINA VOROTINOV submitted a claim for death benefits against the Mutual of Omaha life insurance policy, claiming that VOROTINOV had died in the Republic of Moldova on October 1, 2011. VOROTINOV was aware of his former wife’s filing of the fraudulent death claim, and therefore continued living and doing business as “Nikoly Patoka.” On March 23, 2012, Mutual of Omaha mailed a check payable to IRINA VOROTINOV in the amount of $2,048,414.09 to her home in Maple Grove, Minnesota.
According to documents filed in court, IRINA recruited a third party to open an account at a local branch of U.S. Bank and to deposit the insurance check into the account. She then caused the third party to transfer $1.5 million to another account at U.S. Bank in the name of her son, ALKON VOROTINOV. Between March 29, 2012 and January 2015, more than $1.5 million of the life insurance proceeds were transferred to accounts located in Switzerland and Moldova.
According to documents filed in court, on November 27, 2013, ALKON VOROTINOV was stopped by Customs and Border Protection (CBP) in Detroit, Michigan upon returning from a trip to Moldova. A computer seized by CBP agents contained digital photographs of IGOR VOROTINOV taken on April 19, 2013 and on May 12, 2013, in which IGOR is alive.
This case is the result of an investigation conducted by the Federal Bureau of Investigation and the Internal Revenue Service – Criminal Investigation Division. The Justice Department’s Office of International Affairs handled the extradition in this matter.
Assistant U.S. Attorneys David J. MacLaughlin and Matthew Ebert prosecuted the case.
Defendant Information:
IGOR VOROTINOV, 55
No known address
Convicted:
- Mail Fraud, 1 count
Sentenced:
- 41 months in prison
- Three years of supervised release
- $2,048,414.09 in restitution to Mutual of Omaha
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United States Attorney’s Office, District of Minnesota: (612) 664-5600
Michigan Woman Sentenced for Fraud and Identity TheftRead the Press Release
United States Attorney Joe Kelly announced today that on July 26, 2019, United States District Court Judge Robert F. Rossiter, Jr. sentenced Mechelle Anna Major, age 32, of Clinton Township, Michigan, to 31 months’ imprisonment to be followed by three years of supervised release for fraudulent use of social security numbers and aggravated identity theft. There is no parole in the federal system.
Major, using stolen identifications of credit worthy actual people, in October 2018 at the Viaero cellphone retail stores in Norfolk and Wayne, Nebraska, purchased and attempted to purchase high-end cellphones. Major provided high-quality counterfeit driver’s licenses and social security numbers of actual people to the Viaero stores for the purpose of qualifying for credit to purchase the cellphones. Upon Major’s arrest on October 25, 2018 at the Viaero store in Wayne, additional sets of counterfeit identification documents were found in her purse. Currently there are outstanding warrants for Major in the States of Kentucky and Colorado for similar criminal conduct related to identity thefts.
This case was investigated by the Office of Inspector General for the Social Security Administration, the Federal Bureau of Investigation and the Wayne Police Department, Nebraska.
Mexican Man Pleads Guilty to Illegally Reentering the United StatesRead the Press Release
A Mexican national pleaded guilty today to illegally reentering the United States after he had been deported.
According to court documents, Marcos Ordonez-Ortiz, 28, was found illegally in the United States two months ago when he was arrested and convicted in Virginia Beach for public swearing or intoxication. He had been deported at taxpayer expense eight months earlier, after sustaining a Virginia Beach DUI conviction and after overstaying authorization for voluntary departure. He then returned to Hampton Roads sometime in that eight-month period.
Ordonez-Ortiz pleaded guilty to illegal reentry of a previously deported alien, and faces a maximum penalty of two years in prison when sentenced on November 18. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Lyle A. Boelens, Acting Field Office Director for U.S. Immigration and Customs Enforcement’s (ICE) Enforcement and Removal Operations (ERO) Washington, D.C., made the announcement after Senior U.S. District Judge Robert G. Doumar accepted the plea. Assistant U.S. Attorney William B. Jackson is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:19-cr-112.
Man Sentenced for Role in Firearms TraffickingRead the Press Release
RICHMOND, Va. – A Richmond man was sentenced today to more than one year in prison for using his girlfriend to making false statements when acquiring eight firearms between 2012 and 2016.
“Straw purchasing a firearm is a federal crime with serious consequences,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “This case is representative of a focused effort here in EDVA to investigate and prosecute individuals who straw purchase and illegally traffick firearms. Once on the streets, straw purchased firearms often end up in the hands of prohibited persons like Toole, who are legally prohibited from obtaining and possessing firearms.”
According to court documents, Jeffrey Quinton Toole, 56, recruited his girlfriend Yolanda Lisa Stone, 47, to purchase eight firearms for him at federally licensed firearms dealers in the Richmond metropolitan area between 2012 and 2016. When purchasing these firearms, Stone falsely stated on forms she was legally required to complete that she was the actual purchaser of the firearms, when in fact, she was straw purchasing them for Toole. Toole sold three of the guns to Abdul Shahid Davis, who then sold them to an undercover New York City Police Detective. Toole kept four of the guns that were turned over to agents during the investigation, while one gun remains missing. Toole has been convicted of multiple felonies, including a 1991 conviction for making false statements on Virginia state firearms purchase forms.
“This case serves as another perfect example of why ATF will continue to vigorously pursue and arrest anyone involved in the trafficking of illegal firearms,” said Ashan M. Benedict, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives’ (ATF) Washington Field Division. “Falsifying forms for the purpose of purchasing a firearm is more than a mere paperwork violation—it’s a federal crime. These criminals are putting guns in the hands of serious criminals who pose a significant threat to the safety of our communities.”
Seven other defendants have earned felony convictions and have been sentenced for making false statements in connection with this scheme:
Name, Age
Hometown
Felony Conviction
Sentence
Cherie Elanda Wyatt, 42
Richmond
False Statement to Acquire Firearm
1 year of probation
Kevin Edward Wilson, 29
Powhatan
False Statement to Acquire Firearm
2 years of probation, 180 days of home detention
Denise Michelle Sinkford, 41
Richmond
False Statement to Acquire Firearm
2 years of probation, 180 days of home detention
Shanta Teisha Brown, 29
Richmond
False Statement to Acquire Firearm
2 years of probation, 60 days of home detention
Evelyn Jean Collins-Chandler, 54
Richmond
Conspiracy to Make False Statements to Acquire Firearm
2 years of probation, 60 days of home detention
Ebony Danielle Clarke, 34
Richmond
False Statement to Acquire Firearm
3 years of probation, 210 days of home detention
Jeremy Durand Lewis, 35
Chesterfield County
False Statement to Acquire Firearm
2 1/2 years in prison
Two defendants have pleaded guilty to making false statements on firearm forms and are awaiting sentencing:
Name, Age
Hometown
Convictions
Sentencing Date
Brandon Andrea Powell, 40
Chester
False Statement to Acquire Firearm
October 3
Yolanda Lisa Stone, 47
Richmond
False Statement to Acquire Firearm
August 5
This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Ashan M. Benedict, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives’ (ATF) Washington Field Division, made the announcement after sentencing by U.S. District Judge M. Hannah Lauck. Assistant U.S. Attorneys Michael C. Moore and Kenneth Simon prosecuted the case.
Special assistance in this investigation and prosecution was provided by the New York City Police Department and the New York County District Attorney’s Office.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case Nos. 3:18-37, 56, 77, 86, 110, 120, 138, 154, and 3:19-cr-13.
Man Pleads Guilty to 2016 Armed CarjackingRead the Press Release
NEWPORT NEWS, Va. – A Hampton man pleaded guilty today on charges of brandishing a firearm during a 2016 carjacking.
According to court records, in December 2016, Daniel Lee Pittman, Jr., 20, approached the driver of a Porsche Panamera outside a Hampton barbershop and pointed a semi-automatic firearm at the driver’s head, ordering him to “run his pockets” and get out of the vehicle. Pittman fled in the Porsche and shortly thereafter he led police on a high-speed chase up to speeds of 100 mph. Police terminated the pursuit and later located the stolen car in a nearby Hampton neighborhood. Pittman was identified by the victim approximately two hours after the carjacking.
Pittman faces a mandatory minimum sentence of seven years and a maximum of life in prison when sentenced on October 30. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Ashan M. Benedict, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives’ (ATF) Washington Field Division, Terry L. Sult, Chief of Hampton Police Division, and Anton Bell, Hampton Commonwealth’s Attorney made the announcement after U.S. District Judge Raymond A. Jackson accepted the plea. Special Assistant U.S. Attorneys Amy E. Cross and Christopher O. Taylor are prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:19-cr-36.
Main figure in fraudulent debt-collection scheme sentenced to federal prisonRead the Press Release
SAVANNAH, GA: A Florida man who set up and operated a fake debt collection business has been sentenced to federal prison for fraud.
Vincent Plumb, 56, of Sarasota, Fla., was sentenced to 48 months in prison by U.S. District Court Judge Lisa G. Wood after pleading guilty to one count of Conspiracy to Commit Wire Fraud, said Bobby L. Christine, U.S. Attorney for the Southern District of Georgia. In addition, Plumb and other previously sentenced defendants are ordered to forfeit assets as part of $130,523.13 in restitution to more than 200 victims who were defrauded in the scheme, and to serve three years of supervised release after completion of his incarceration. There is no parole in the federal system.
According to court documents and testimony, Plumb – who originally is from London, England – set up and led Crown Oaks Media, a fraudulent debt-collection business in Douglas, Ga. Employees of the Coffee County business, using written scripts, would call victims demanding payment of fictitious payday loan and credit card debt, often threatening service with legal documents.
Individuals who worked at Crown Oaks Media reported the scheme to authorities, who initiated an investigation in January 2016. Plumb was indicted in 2018, and pled guilty in December 2018. Three co-conspirators, including Plumb’s son, Alex Plumb, previously were sentenced for their involvement in the scheme.
“Most junk telephone calls are merely annoying and inconvenient, but these scam calls cheated vulnerable people out of their hard-earned money to line the pockets of greedy crooks,” said Bobby L. Christine, U.S. Attorney for the Southern District of Georgia. “Vincent Plumb will find his telephone privileges are significantly limited from inside federal prison.”
“This case was initiated by the U.S. Secret Service when one good citizen saw behavior that they deemed reprehensible by their fellow coworkers,” said Glen M. Kessler, Resident Agent in Charge of the Savannah Resident Office of the U.S. Secret Service. “When defendants like Vincent Plumb choose to victimize the elderly and veterans of our country, more citizens should step up and alert law enforcement to assist in closing these fraudulent telemarketing operations.”
“This sentencing further shows that IRS Criminal Investigation is committed to identifying and prosecuting those who try to take advantage of our most vulnerable citizens. People who create elaborate schemes that have no purpose other than to mislead others run the very high risk of prosecution,” said Thomas J. Holloman, III, Special Agent in Charge of the Atlanta Field office of the Internal Revenue Service Criminal Investigation.
The case was investigated by the U.S. Secret Service, the IRS Criminal Investigation, the Coffee County Sheriff’s Office and the Georgia Southern University Armstrong Campus Cyber Forensics Department, and prosecuted for the United States by Assistant U.S. Attorney Marcela C. Mateo and the Asset Recovery Unit for the U.S. Attorney’s Office.
Levant Man Sentenced to 16 Months for Conspiring to Make False Statements to a Federal Firearms DealerRead the Press Release
Bangor, Maine: United States Attorney Halsey B. Frank announced that Zachary Morneault, 35, of Levant, Maine, was sentenced today in U.S. District Court by Judge Nancy Torresen to 16 months in prison and three years of supervised release for making false statements to a federal firearms dealer. The defendant pled guilty on October 2, 2018.
According to court records, in late February 2018, Brewer Police Department (BPD) officers seized a .380 caliber handgun while executing a drug trafficking search warrant. The firearm had been purchased about ten days earlier at an area firearms dealer. An investigation revealed that the defendant, and at least two others, agreed to have one conspirator falsely claim that she was the true purchaser of the firearm when the actual buyer was another conspirator who was paying her to make the purchase.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the BPD, with assistance provided by the Penobscot County Sheriff’s Office.
Large Scale Drug Trafficking Organization Taken Down in Colorado SpringsRead the Press Release
DENVER – Fourteen individuals have been charged and arrested for illegal drug distribution as well as firearm crimes that took place in Colorado Springs, announced U.S. Attorney Jason Dunn, FBI Denver Division Special Agent in Charge Dean Phillips, Colorado Springs Police Chief Vince Niski and El Paso County Sheriff Bill Elder. In addition to the arrests, agents and officers seized methamphetamine, heroin, cocaine, fentanyl, cash and firearms.
According to court records, in 2018, detectives with the Colorado Springs Metro Vice, Narcotics, and Intelligence Division (Metro VNI) initiated an investigation into individuals distributing illegal narcotics to patrons at various bars and nightclubs in downtown Colorado Springs and in unincorporated El Paso County, Colorado. Due to the scope of this investigation, Metro VNI requested assistance from the Federal Bureau of Investigation (FBI) Southern Colorado Safe Streets Task Force. From mid-2018 to early 2019, numerous arrest and search warrants were authored and executed. The following items were seized as part of this investigation:
- Approximately 70 pounds of methamphetamine
- Approximately 15 pounds of heroin
- Approximately 4 pounds of cocaine
- Approximately 3,100 fentanyl pills
- Approximately $140,000.00 in US currency
- 29 Firearms (including: semi -automatic handguns, assault rifles and shotguns)
Those arrested include:
United States v. Jesse Santiago Anaya et al (19-cr-234-PAB) (4 defendants)
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- 1,413 grams of methamphetamine
- 263.2 grams of cocaine
- 89.3 grams of heroin
- 13 guns
United States v. Missael Leyva Castro (19-cr-172-CMA) (1 defendant)
-
- 3,703 grams of methamphetamine
- 210 grams of heroin
- 1 gun
United States v. Cristian Diaz De Leon Beltran (19-cr-071-RM) (1 defendant)
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- 1,764 grams of heroin
- 5,868 grams of methamphetamine
- 1 gun
United States v. Maria Ruiz Del Carmen Gutierrez et al (19-cr-236-REB) (3 defendants)
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- 12,431 grams of methamphetamine;
- 2,796 grams of heroin;
- 1,097.4 grams of cocaine
- 8 guns
United States v. Fabian Perales (19-cr-053-RBJ) (1 defendant)
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- 3,113 grams of methamphetamine
- 1,470 grams of heroin
- 3,234 tablets of fentanyl (approximately 330.838 grams) (1 defendant)
United States v. Jeff Skelton (19-cr-030-WJM)
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- 1,909 grams of methamphetamine
- 1,909 grams of methamphetamine
United States v. Octavio Solis-Garcia (19-cr-103-WJM) (1 defendant)
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- 70 grams of cocaine
- 2 guns
United States v. Daniel James Ingham (19-cr-175-WYD) (1 defendant)
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- 20 grams of heroin
- 1 gun
“This investigation proves that when it comes to stopping major drug trafficking in Colorado, great federal-state partnerships make great cases,” said U.S. Attorney Jason Dunn. “The Colorado Springs Police Department, the El Paso County Sheriff’s Office and the FBI did terrific work and the results speak for themselves.”
“The FBI’s Safe Streets Task Force, working in conjunction with the Colorado Springs Police Department and El Paso County Sheriff’s Office, brought criminals to justice for weapons and drug-related crimes,” said FBI Denver Special Agent in Charge Dean Phillips. “This positive outcome reflects how collaboration makes us a formidable force in ensuring public safety.”
This case is being investigated by the FBI, the Colorado Springs Police Department’s Metro Vice Narcotics and Intelligence Division (VNI). The defendants are being prosecuted by Assistant U.S. Attorneys Peter McNeilly and Justin DeRosa.
Judge Sentences Erie Man to More Than 6 Years in Prison for Violating Laws Relating to the Sexual Exploitation of ChildrenRead the Press Release
ERIE, Pa. - A resident of Erie, Pennsylvania, has been sentenced in federal court to six years and eight months (80 months) in prison, followed by five years supervised release and ordered to pay $1,500 in restitution on his conviction of violating federal laws relating to the sexual exploitation of children, United States Attorney Scott W. Brady announced today.
United States District Judge David S. Cercone imposed the sentence on Terry Chase White, 51.
According to information presented to the court, White received computer images and movies depicting prepubescent minors engaging in sexually explicit conduct.
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 the 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.
Assistant United States Attorney Christian A. Trabold prosecuted this case on behalf of the government.
United States Attorney Brady commended the Federal Bureau of Investigation and the Pennsylvania State Police for the investigation leading to the successful prosecution of White.
Japanese Manufacturer Agrees to Plead Guilty to Fixing Prices for Suspension Assemblies Used in Hard Disk DrivesRead the Press Release
NHK Spring Co. Ltd. (NHK Spring), a Japanese manufacturer of suspension assemblies used in hard disk drives, has agreed to plead guilty for its role in a global conspiracy to fix prices, the Department of Justice announced today.
According to a one-count felony charge filed today in the U.S. District Court for the Eastern District of Michigan in Detroit, NHK Spring reached agreements with co-conspirators to refrain from price competition and allocate their respective market shares for suspension assemblies used in hard disk drives. Pursuant to their agreements not to compete, NHK Spring and its co-conspirators exchanged pricing information including anticipated pricing quotes, which they used to inform their negotiations with U.S. and foreign customers that purchased suspension assemblies and produced hard disk drives for sale in, or delivery to, the U.S. and elsewhere. NHK Spring participated in the conspiracy from at least as early as May 2008 and continuing until at least April 2016. Subject to court approval, the company has agreed to plead guilty, to pay a $28.5 million criminal fine, and to cooperate in the ongoing investigation.
“Today’s charge affirms the Antitrust Division’s commitment to eradicate price fixing by companies, foreign or domestic,” said Assistant Attorney General Makan Delrahim of the Antitrust Division. “While these parts are physically small, they are critical to the operation and performance of electronic devices, and their impact on American consumers and businesses is direct and substantial.”
“The FBI will aggressively investigate price-fixing schemes to ensure American businesses and consumers are not negatively impacted,” said Assistant Director of the FBI’s Criminal Investigative Division Robert Johnson. “Our international corruption squads will pursue these cases at home or abroad in order to uncover this type of illegal activity. No one should underestimate the broad reach of the FBI.”
“Activities related to illegal price-fixing and market allocation do not promote an environment conducive to open competition. When this occurs, the consumer is not guaranteed the best products at the lowest prices,” said Special Agent in Charge Scott Pierce, U.S. Postal Service Office of Inspector General. “The U.S. Postal Service spends hundreds of millions of dollars every year on supplies and services related to information technology, including computers and associated hardware. Along with the Department of Justice and our federal law enforcement partners, the USPS Office of Inspector General will aggressively investigate those who would engage in this type of harmful conduct.”
Suspension assemblies are components of hard disk drives, which are used to store information electronically and are incorporated into computers or sold as stand-alone electronic storage devices. Hard disk drives use magnetic recording heads to read from and write onto rapidly spinning disks. Suspension assemblies hold the recording heads in close proximity to the disks and provide the electrical connection from the recording heads to the hard disk drives’ circuitry.
The charge against NHK Spring resulted from an ongoing investigation being conducted by the Antitrust Division’s Washington Criminal II Office, the International Corruption Unit of the FBI, and the United States Postal Service Office of Inspector General. Anyone with information in connection with this investigation is urged to call the Washington Criminal II Section at 202-598-4000, or visit https://www.justice.gov/atr/contact/newcase.html.
Jamaican National and Leader of Drug Conspiracy Is Sentenced to 27 Years in Prison for Trafficking MethamphetamineRead the Press Release
CHARLOTTE, N.C. – Today, Chief U.S. District Judge Frank D. Whitney sentenced Basil Lanas Noble, 50, a Jamaican national residing in Palm Springs, Florida, to 27 years in prison and five years of supervised release on drug trafficking conspiracy and money laundering conspiracy charges, announced Andrew Murray, U.S. Attorney for the Western District of North Carolina.
According to filed court documents and today’s sentencing hearing, from at least 2017 to November 2018, Noble was the leader of a drug conspiracy responsible for trafficking large amounts of narcotics in and around Mecklenburg County. Noble and his co-conspirators received the drugs from a supply source in Mexico. According to court records and statements made in court, when law enforcement arrested Noble in November 2018, they seized approximately 1.4 kilograms of methamphetamine from inside his vehicle. Law enforcement also recovered one kilogram of cocaine and one kilogram of heroin, as well as three firearms and a bulletproof vest, from a residence that Noble maintained for drug trafficking purposes. Court records show that the conspiracy was also responsible for laundering the drug proceeds and sending the money back to the supply source in Mexico.
Noble previously pleaded guilty to conspiracy to distribute and possession with intent to distribute methamphetamine; distribution and possession with intent to distribute methamphetamine; and money laundering conspiracy.
Noble will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility. All federal sentences are served without the possibility of parole.
This case is as part of an ongoing investigation by the Wester District’s Organized Crime Drug Enforcement Task Force (OCDETF) that has resulted in the federal arrest and prosecution of more than 200 methamphetamine traffickers and the seizure of more than 100 pounds of methamphetamine, $1,000,000 in United States currency and more than 60 firearms. OCDETF is a joint federal, state and local cooperative approach to combat drug trafficking and is the nation’s primary tool for disrupting and dismantling major drug trafficking organizations, targeting national and regional drug trafficking organizations and coordinating the necessary law enforcement entities and resources to disrupt or dismantle the targeted criminal organization and seize their assets.
In making today’s announcement U.S. Attorney Murray thanked the investigators from the Department of Homeland Security, Homeland Security Investigations and Huntersville Police Department, as well as the Drug Enforcement Administration, the Charlotte-Mecklenburg Police Department, North Carolina State Highway Patrol, North Carolina State Bureau of Investigation, North Carolina Alcohol Law Enforcement, the Gastonia Police Department, the Gaston County Police Department, the Mooresville Police Department, the Cleveland County Sheriff’s Office, the Hickory Police Department, the Caldwell County Sheriff’s Office, the Catawba County Sheriff’s Office, the Iredell Count Sheriff’s Office, the Alexander County Sheriff’s Office, the Boone Police Department, the Mocksville Police Department, the Cornelius Police Department, the Rowan County Sheriff’s Office, and the Mint Hill Police Department for their assistance in this investigation.
Assistant U.S. Attorney Steven R. Kaufman of the U.S. Attorney’s Office in Charlotte prosecuted the case.
Jacksonville Gang Member Sentenced to Five Years in Federal Prison for Selling Crack CocaineRead the Press Release
Jacksonville, Florida – U.S. District Judge Brian J. Davis has sentenced Natario Bernard Peterson (22, Jacksonville) to five years in federal prison for distributing crack cocaine. Peterson had pleaded guilty on March 27, 2019.
According to court documents and information presented at sentencing, Peterson, a mid-level member of the Rollin’ 20s gang, sold crack cocaine to an undercover detective with the Jacksonville Sheriff’s Office (JSO) on three occasions in 2018. On one of those occasions, Peterson teamed up with co-defendant Dashawn Rose to sell the crack cocaine. During the transaction, Rose was concealing a large, AR-style pistol with a drum magazine in his pants.
On July 18, 2019, Rose pleaded guilty to distribution of crack cocaine and possession of a firearm in furtherance of a drug trafficking crime. He faces a mandatory minimum sentence of five years, and up to life, in federal prison. His sentencing is set for October 30, 2019.
At the time, the Bureau of Alcohol, Tobacco, Firearms and Explosives, in conjunction with JSO, was conducting a long-term investigation of the Rollin’ 20s gang. In September 2018, Peterson admitted that he had authorized another Rollin’ 20s gang member, David Brian Edwards, to carjack his ex-girlfriend at gunpoint. Edwards entered his ex-girlfriend’s vehicle and forced her, at gunpoint, to follow another vehicle, which was driven by Peterson. After the vehicles came to a stop, Edwards put his gun to the victim’s head and told her that he was there to kill her. Edwards then hit the victim in the face multiple times with the gun and kicked her as she escaped from the vehicle.
Edwards was prosecuted by the State Attorney’s Office and sentenced to 20 years in state prison for his role in the armed carjacking.
In September and October 2018, Peterson stated his intention to prevent the carjacking victim and a witness from testifying against him. In one conversation, he stated that he was going to get the witness “out the way” and “we gonna have a funeral.”
“This sentencing represents ATF’s commitment to continually work with our law enforcement partners to protect the citizens of our communities from those that choose to commit violent firearms-related crimes,” said ATF Special Agent in Charge Daryl McCrary.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Jacksonville Sheriff’s Office, and the State Attorney’s Office, Fourth Judicial Circuit. It is being prosecuted by Assistant United States Attorney Laura Cofer Taylor.
This is another case prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide, crime reduction strategy aimed at decreasing violent crime in communities. It involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts. In the Middle District of Florida, U.S. Attorney Maria Chapa Lopez coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.
Jackson Woman Pleads Guilty to Intentionally Damaging State Agency’s Protected ComputersRead the Press Release
Jackson, Miss. – Tara Steverson, 39, of Jackson, pled guilty today before U.S. District Judge Henry T. Wingate to intentionally damaging protected computers, announced U.S. Attorney Mike Hurst and Michelle A. Sutphin, Special Agent in Charge of the Federal Bureau of Investigation in Mississippi.
Steverson was terminated from her position at the Mississippi Department of Human Services (MDHS) on July 31, 2017. On August 1, 2017, the day after her termination, Steverson unlawfully accessed one of the systems utilized by MDHS and intentionally changed several files, resulting in other users being unable to perform their usual and customary workflow functions. The affected system was used to retain records and plans of home care and generically supports the tracking of home and community based services such as in-home services, meal delivery, and caregiver support. Steverson did over $5,000 in damage before losing access to the system.
Steverson will be sentenced by Judge Wingate on October 28, 2019 at 9:30 a.m. She faces a maximum penalty of ten years in prison and a $250,000 fine.
The Federal Bureau of Investigation investigated the case. It is being prosecuted by Assistant United States Attorney Andrew W. Eichner.
Information Technology Consultant Convicted of Multimillion-Dollar Kickback SchemeRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced today that a federal jury found SHIVANAND MAHARAJ guilty of honest services wire fraud, paying kickbacks in connection with an employee benefit plan, and conspiracy, following a two-week trial before U.S. District Judge John G. Koeltl. MAHARAJ’s co-conspirator, ENRICO RUBANO, a/k/a “Rick Rubano,” who was a director of information technology at a large union pension and health benefit fund (the “Funds”), pled guilty in connection with the same crimes shortly before trial.
Manhattan U.S. Attorney Geoffrey S. Berman said: “For years, Shivanand Maharaj bribed an insider at a pension and health fund to approve hundreds of invoices for information technology work that was never done at all. He now stands rightly convicted for depriving hardworking individuals out of millions of dollars of health and retirement benefits.”
According to the allegations contained in the Indictment and evidence presented during the trial in Manhattan federal court:
From 2009 through 2015, RUBANO was the co-head of information technology for the Funds and had the authority to approve the payment of invoices from third-party vendors. Beginning in at least 2009, and continuing through 2015, MAHARAJ and RUBANO devised a scheme in which three different companies MAHARAJ owned or controlled submitted to the Funds invoices for millions of dollars in information technology services that were never performed or that had, in fact, been performed by employees of the Funds or other vendors. RUBANO, in his position as co-head of information technology, approved these fraudulent invoices and received kickbacks from MAHARAJ. MAHARAJ, by submitting hundreds of invoices and recruiting another co-conspirator to receive additional criminal proceeds, fraudulently received in excess of $2 million through this scheme.
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MAHARAJ, 39, of Cresskill, New Jersey, was convicted of one count of conspiracy to commit wire fraud, which carries a maximum sentence of 20 years in prison; one count of wire fraud, which carries a maximum sentence of 20 years; one count of giving kickbacks to influence the operation of an employee benefit plan, which carries a maximum sentence of three years; and conspiracy to give kickbacks to influence the operation of an employee benefit plan, which carries a maximum sentence of five years.
MAHARAJ will be sentenced by Judge Koeltl on December 6, 2019.
RUBANO, 50, of Tappan, New York, who engaged in additional kickback and fraud schemes with other co-conspirators, pled guilty to three counts of conspiracy to commit wire fraud, each of which carries a maximum sentence of 20 years in prison.
RUBANO will be sentenced by Judge Koeltl on November 8, 2019.
The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.
Mr. Berman thanked the U.S. Postal Inspection Service for their outstanding work in this matter.
This case is being handled by the Office’s General Crimes Unit. Assistant United States Attorneys Matthew Podolsky and Aline R. Flodr are in charge of the prosecution.
Hell's Angels Member Sentenced on Meth and Cocaine Trafficking, Firearms ChargeRead the Press Release
PROVIDENCE, RI – A “full patch” member of the Rhode Island chapter of the Hell’s Angels Motorcycle Club, arrested during a Project Safe Neighborhoods drug trafficking investigation by members of the FBI Safe Streets Task Force, was sentenced today to 84 months in federal prison for trafficking methamphetamine and cocaine and being a felon in possession of a firearm, announced United States Attorney Aaron L. Weisman and Joseph R. Bonavolonta, Special Agent in Charge of the FBI Boston Division.
Douglas Leedham, 54, of North Providence, was arrested on February 8, 2019, by members of the Safe Streets Task Force after a court-authorized search of his residence resulted in the seizure of approximately 39 grams of methamphetamine, 21 grams of cocaine, two handguns, a 12 gauge shotgun, two body armor vests, 35 knives, four hatchets, five expandable batons, a set of brass knuckles, $6,422 in cash, and assorted items used in the packaging and distribution of drugs.
Leedham, who pleaded guilty on May 14, 2019, to possession with the intent to distribute 5 grams or more of methamphetamine, possession with the intent to distribute cocaine, and being a felon in possession of a firearm, was sentenced today by U.S. District Court Judge John J. McConnell, Jr., to 84 months in federal prison to be followed by 4 years supervised release.
Project Safe Neighborhoods (PSN) is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
The case was prosecuted by Assistant U.S. Attorney Paul F. Daly, Jr.
The FBI’s Safe Streets Violent Gang Task Force consists of agents and law enforcement officers from the FBI, RI State Police, Providence, Cranston, Woonsocket, Pawtucket, and Central Falls Police Departments, R.I. Department of Corrections, and the Rhode Island National Guard.
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Hampden Woman Sentenced to 22 Months for Possession with Intent to Distribute Crack and HeroinRead the Press Release
Bangor, Maine: United States Attorney Halsey B. Frank announced that Carletta Willette, a/k/a “Carletta Knowlton,” a/k/a “Carly,” 36, of Hampden, Maine, was sentenced today in U.S. District Court by Judge John A. Woodcock, Jr. to time served (22 months) in prison and three years of supervised release for possession with the intent to distribute 28 grams or more of cocaine base, commonly known as “crack” and heroin. Willette pled guilty on March 7, 2018.
According to court records, on September 1, 2017, Willette was arrested outside of a hotel in Brewer, Maine and found to be in possession of about 95 grams of crack and 44 grams of heroin.
The case was investigated by the Brewer Police Department, the U.S. Drug Enforcement Administration and the Maine Drug Enforcement Agency and prosecuted as part of the Department of Justice’s Strategy to Combat the Opioid Epidemic.
Germain Sentenced for Possession of Child Pornography and Assaulting a Federal OfficerRead the Press Release
The Office of the United States Attorney for the District of Vermont stated that Colin Germain, 21, formerly of New Haven, Vermont has been sentenced to a total term of incarceration of twenty-six months for child pornography and assault offenses. On May 17, 2019, Germain had pleaded guilty to one count of possession of child pornography and one count of assault on a federal officer. On Friday, United States District Court Judge Christina Reiss sentenced Germain to twenty months for the child pornography offense and six months for the assault offense, to be served consecutively, with a twelve year term of supervised release to follow.
According to court records and proceedings, on August 2, 2017, Germain emailed a recipient in Tennessee a video file depicting sexual abuse of a female child involving bestiality. Law enforcement identified the Internet Protocol (IP) address associated with the email account that sent the video, then traced the IP address to Germain’s New Haven address and obtained a warrant to search the location. Federal, state, and local officers executed the warrant on November 7, 2017. During their search of the residence, Germain became argumentative and kicked a Special Agent for Homeland Security Investigations.
Germain was initially charged for this conduct in Vermont Superior Court. In March 2018, he was charged federally. According to court records and proceedings, during the time when Germain was on pretrial release after being charged, he violated court-imposed conditions multiple times by accessing the internet, continuing to trade in child pornography, and committing additional assaults.
United States Attorney Christina Nolan commended Homeland Security Investigations for its investigative efforts throughout this case. She stated “Prosecution of child sexual exploitation crimes continues to be a top priority for the U.S. Attorney’s Office. Moreover, it is important to recognize that officers and agents in our partner law enforcement agencies put themselves in harm’s way every day as they work to protect the public. Any assault on a law enforcement officer performing his or her duties is both serious and unacceptable. The U.S. Attorney’s Office will continue to seek serious consequences for this conduct.”
The case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources better to locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
The prosecutor in this matter was Assistant U.S. Attorney Nicole Cate. Germain was represented by Federal Public Defenders Elizabeth Quinn and David McColgin.
Former Waukesha County Juvenile Social Worker Indicted for Distribution and Possession of Child PornographyRead the Press Release
United States Attorney Matthew D. Krueger of the Eastern District of Wisconsin, announced that on July 23, 2019 a federal grand jury returned a two-count indictment against Bernard J. Trokan (age: 53) of Hartland, WI.
Trokan faces charges alleging he possessed and distributed child pornography contrary to Title 18, United States Code, Sections 2252A(a)(2)(A) and (a)(5)(B).
If convicted of all of the charges, Trokan will serve a mandatory 5 years in federal prison and up to 20 years in prison.
This case was investigated by the Federal Bureau of Investigation-Child Exploitation Task Force and by the Waukesha County Sheriff’s Office. It will be prosecuted by Assistant United States Attorney Megan J. Paulson.
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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Former S&P Analyst Sentenced to More Than One Year in Prison for Insider TradingRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced that SEBASTIAN PINTO-THOMAZ, a former credit ratings analyst at Standard & Poor’s, was sentenced today in Manhattan federal court to 14 months in prison for participating in two schemes to trade on material, nonpublic information in advance of the Sherwin-Williams Company’s acquisition of the Valspar Corporation. PINTO-THOMAZ was convicted on April 26, 2019, following a jury trial before U.S. District Judge Jed S. Rakoff, who also imposed today’s sentence.
U.S. Attorney Geoffrey Berman said: “As an employee of Standard & Poor’s, Sebastian Pinto-Thomaz was privy to potentially lucrative information about business acquisition plans. Instead of protecting that information, as he had sworn to do, he shared it with a friend and with his hairdresser. In turn, they bet on a stock that they knew to be a sure thing, and raked in nearly $300,000 in profits. Pinto-Thomaz painted himself into a corner when he and his co-defendants exploited insider information to reap illegal profits. Now they all face time in prison for their misdeeds.”
According to the evidence presented during the trial and statements made in related court filings and proceedings:
Rating Evaluation Services and the Insider
When a company announces an acquisition, the acquiring company often seeks the opinion of a credit rating agency regarding the potential impact that the acquisition could have on the acquiring company’s creditworthiness. Therefore, companies often contact rating agencies before an acquisition is publicly announced in order to secure the rating agency’s views on how a possible acquisition could impact a company’s credit rating. All the major rating agencies offer a service – sometimes known as a Rating Evaluation Service (“RES”) – that provides the company with a rating committee decision with respect to a proposed acquisition.
In March 2016, Standard and Poor’s (“S&P”), a credit rating agency in New York, New York, assigned PINTO-THOMAZ to work on an RES for the Sherwin-Williams Company (“Sherwin-Williams”) in advance of its contemplated but unannounced acquisition of the Valspar Corporation (“Valspar”). In connection with this assignment, PINTO-THOMAZ received material, nonpublic information (the “Inside Information”) about Sherwin-Williams’s planned acquisition of Valspar prior to the public announcement of the acquisition. S&P’s written policies prohibited the unauthorized disclosure of confidential information, which included the Inside Information. During his tenure at S&P, PINTO-THOMAZ reviewed and certified his duties of loyalty and confidentiality to S&P and its clients.
The Insider Trading Scheme
In March 2016, PINTO-THOMAZ misappropriated the Inside Information about Sherwin-Williams’s acquisition of Valspar and passed it to Jeremy Millul, his friend, and Abell Oujaddou, his hairdresser, so that they could use it to make profitable trades in Valspar stock and options. On March 21, 2016, the first trading day after the public announcement of the acquisition, the price of Valspar stock increased approximately 23 percent over the prior day’s close.
Millul is a Manhattan jeweler who had a close personal friendship with PINTO-THOMAZ. After receiving a tip about the impending Valspar deal from PINTO-THOMAZ, Millul opened a brokerage account on March 13, 2016, and shortly thereafter purchased 480 shares of Valspar common stock. On March 18, 2016, the last trading day before the acquisition was publicly announced, Millul also purchased 75 out-of-the-money Valspar call options. After the acquisition was publicly announced, Millul sold his Valspar stock and options for approximately $106,806 in profits.
Oujaddou is a Manhattan hairstylist and salon owner who has known PINTO-THOMAZ for years, and who is close friends with PINTO-THOMAZ’s mother. During a haircut on March 8, 2016, or March 9, 2016, PINTO-THOMAZ provided Oujaddou with the Inside Information about the impending Valspar deal in exchange for a portion of his trading profits. Then, from March 10, 2016, through March 18, 2016, Oujaddou, who had never previously purchased Valspar or Sherwin-Williams securities, used the Inside Information he had received from PINTO-THOMAZ to purchase 8,630 shares of Valspar stock. After the acquisition was publicly announced, Oujaddou sold his Valspar shares for approximately $192,080 in profits. Following his successful trading, Oujaddou met PINTO-THOMAZ in the paint aisle of a hardware store and paid him a kickback.
Later, in June 2016, the Financial Industry Regulatory Authority (“FINRA”) sent S&P a list of individuals and entities that had traded in Valspar in advance of the public announcement of the acquisition (the “List”). S&P forwarded the List to its employees who had worked on the Sherwin-Williams RES, including PINTO-THOMAZ, asking the employees to respond by stating whether they had a past or present relationship with any individual or entity on the List. Although both Oujaddou and Millul were on the List, PINTO-THOMAZ denied having a relationship with anyone on the List.
* * *
In addition to his prison term, PINTO-THOMAZ, 34, of New York, New York, was sentenced to 3 years of supervised release and ordered to pay a fine of $15,000 and a forfeiture money judgment in the amount of $7,500.
Jeremy Millul and Abell Oujaddou each previously pled guilty and await sentencing before Judge Rakoff on July 30, 2019, and September 5, 2019, respectively.
Mr. Berman praised the work of the FBI, and thanked the SEC for its assistance.
This case is being handled by the Office’s Securities and Commodities Fraud Task Force. Assistant U.S. Attorneys Christine I. Magdo and Andrew Thomas are in charge of the prosecution.
Former Federal Correctional Officer Sentenced to 7 Years’ Imprisonment for Soliciting a Crime of Violence and Possessing a FirearmRead the Press Release
Earlier today, George Gonzalez, a former officer with the Federal Bureau of Prisons assigned to the Metropolitan Detention Center in Brooklyn (MDC), was sentenced to seven years’ imprisonment by United States District Judge Roslynn R. Mauskopf. Gonzalez pleaded guilty on March 16, 2018 to one count of solicitation to commit a crime of violence and one count of possession of a firearm while subject to a protective order.
Richard P. Donoghue, United States Attorney for the Eastern District of New York, John B. Devito, Special Agent-in-Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and Guido Modano, Special Agent-in-Charge, United States Department of Justice, Office of the Inspector General, New York Field Office (DOJ OIG), announced the guilty plea.
“Gonzalez, a former federal correctional officer, will fittingly serve time in a prison cell for soliciting an inmate, and a hit team he believed were gang members, to brutally attack his former wife and her spouse,” stated United States Attorney Donoghue. “Thanks to the swift response of our law enforcement partners, including the ATF undercover agents, Gonzalez’s plan was thwarted.” Mr. Donoghue expressed his grateful appreciation to the United States Bureau of Prisons for their assistance during the investigation.
“Mr. Gonzalez hatched a plan that would have resulted in a brutal attack on his estranged wife and her new partner. Today’s sentencing sends a loud and clear message that those planning heinous acts of violence will be met with swift justice and appropriate punishment by our criminal justice system,” stated ATF Special Agent-in-Charge Devito. “ATF stands firm on protecting the public from violent criminals of all kinds. I would like to thank the Special Agents and Task Force Officers of the NYPD/ ATF Joint Robbery Task Force, the Federal Bureau of Prisons and the Office of the Inspector General for their coordination and diligent efforts on this case. I would also like to extend my gratitude to the United States Attorney’s Office for their work in prosecuting the case.”
“In the process of attempting to carry out a brutal attack, Gonzalez put many lives at risk and abused his authority with extremely violent intentions,” stated DOJ OIG Special Agent-in-Charge Modano. “Federal inmates should never be solicited for crimes, not least by correctional officers. This case should serve as an example to anyone that dares to threaten the integrity of the law enforcement profession.”
In November 2016, Gonzalez approached an inmate under his supervision and asked him to locate someone willing to carry out a “hit.” The inmate reported the request to law enforcement. Thereafter, Gonzalez had multiple recorded meetings and conversations with individuals he believed to be gang members, but who were actually undercover ATF agents. Gonzalez offered to pay them to have his ex-wife and her new spouse assaulted and tortured, and make it “look like a robbery.” He added that they should “take a hammer to the spine” so that the victims would be paralyzed and “suffer … for the rest of their lives … that’s how I do business … I have no compassion for anybody.” Gonzalez then provided the supposed gang members with photographs and pedigree information of the intended victims.
Agents executed a search warrant at the defendant's residence in Staten Island, and seized two loaded, unlicensed handguns. At the time he solicited the attacks, Gonzalez was subject to an order of protection issued by the Richmond County Family Court, prohibiting him from having any contact with his ex-wife and requiring him to surrender any firearms in his possession.
Assistant U.S. Attorney Artie McConnell is in charge of the prosecution.
The Defendant:
George Gonzalez
Age: 56
Staten Island, New YorkE.D.N.Y. Docket No. 17-CR-51 (RRM)
Former Bookkeeper for Anoka Flooring Company Sentenced to 46 Months in Prison for $630,000 Embezzlement SchemeRead the Press Release
United States Attorney Erica H. MacDonald today announced that SHARI ANN NATYSIN, a/k/a Shari Ann Johnson, 33, was sentenced to 46 months in prison and ordered to pay full restitution for embezzling more than $630,000 from her former employer. NATYSIN, who pleaded guilty on February 28, 2019, to wire fraud, tax evasion, and making and subscribing a false tax return, was sentenced earlier today before Senior Judge David S. Doty in U.S. District Court in Minneapolis, Minnesota.
According to admissions made as part of her guilty plea and documents filed in court, NATYSIN was employed as the bookkeeper and office manager for a privately owned industrial concrete flooring business located in Anoka, Minnesota. Between January 2015 and December 2017, NATYSIN used her position and access to employee payroll data to defraud the company out of more than $630,000 and to defraud the Minnesota Department of Employment and Economic Development (“MNDEED”). As part of the scheme, NATYSIN manipulated the company’s payroll data in order to transfer more than $630,000 in company funds to her own personal bank accounts through more than 100 separate fraudulent transactions. NATYSIN used the funds to pay for personal expenses, including approximately $28,000 in restitution payments to Sherburne County District Court, a $10,000 payment to her mother, Carnival cruise tickets, and tickets to concerts and sporting events.
According to admissions made as part of her guilty plea and documents filed in court, in September 2017, the company discovered NATYSIN’s fraud and terminated her employment. From the time she was fired until December 2017, NATYSIN made fraudulent unemployment claims to MNDEED by making false statements about the reason for her termination. When the company filed an appeal of NATYSIN’s receipt of unemployment benefits, NATYSIN used the company’s login information to access their MNDEED account to withdraw the appeal. As a result of NATYSIN’s fraudulent claims, MNDEED issued approximately $7,500 in unemployment benefits to which NATYSIN was not entitled. Additionally, NATYSIN admitting to filing and attempting to file false tax returns for tax years 2015 and 2016, in an attempt to receive tax refunds and defeat more than $100,000 in federal income tax.
This case was the result of an investigation conducted by the FBI and the Criminal Investigation Division of the IRS.
Assistant U.S. Attorneys Kimberly A. Svendsen and Jordan L. Sing prosecuted the case.
Defendant Information:
SHARI ANN NATYSIN, 33
Elk River, Minn.
Convicted:
- Wire fraud, 9 counts
- Tax evasion, 2 counts
- Making and subscribing a false tax return, 1 count
Sentenced:
- 46 months in prison
- Three years of supervised release
- $668,551.25 in restitution
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United States Attorney’s Office, District of Minnesota: (612) 664-5600
Federal Probe into Bank Fraud in North Suburbs Adds Two New DefendantsRead the Press Release
CHICAGO — A federal investigation that previously led to bank fraud and identity theft charges against a north suburban businessman has resulted in indictments against two additional defendants, including the businessman’s brother.
JASON SCHIFF, 40, of Lincolnwood, is charged with three counts of bank fraud, according to a superseding indictment returned July 24, 2019, in U.S. District Court in Chicago. The superseding indictment also charges Jason Schiff’s brother, YALE SCHIFF, 44, of Riverwoods, with 12 counts of bank fraud and two counts of aggravated identity theft. Yale Schiff was initially charged in the case last month. The Schiffs pleaded not guilty today during arraignments before U.S. Magistrate Judge Young B. Kim in Chicago.
A separate indictment returned July 17, 2019, charges Yale Schiff’s business associate, DAVID IZSAK, 44, of Chicago, with eleven counts of bank fraud and one count of aggravated identity theft. During the investigation, federal authorities seized Izsak’s 57-foot Carver 570 Voyager yacht known as the “Flying Lady.” The indictment seeks forfeiture of the yacht, as well as a personal money judgment against Izsak of approximately $4 million. Izsak pleaded not guilty at his arraignment earlier this month.
The indictments were announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; Jeffrey S. Sallet, Special Agent-in-Charge of the Chicago office of the FBI; and Craig Goldberg, Inspector-in-Charge of the U.S. Postal Inspection Service in Chicago. The government is represented by Assistant U.S. Attorney Sheri H. Mecklenburg.
According to the charges against the Schiffs, Yale Schiff made false statements in loan applications to obtain millions of dollars in mortgage loans secured by a variety of properties. The charges allege that Yale Schiff filed with the Cook County Recorder of Deeds fraudulent letters from financial institutions claiming that loans on the properties were paid in full and that the mortgages were released, when, in fact, the loans were not paid in full and the mortgages had not been released. Yale Schiff then kept the financing paid by the banks, as well as proceeds from the eventual sales of the properties, without paying the mortgages, the indictment states. The fraud allegedly committed by Jason Schiff arose out of bank loans for vehicles and a loan secured by real estate purchased from Yale Schiff.
The charges against Izsak accuse him of fraudulently obtaining loans secured by real estate and vehicles. Izsak allegedly submitted or caused to be submitted to the Cook County Recorder of Deeds fake letters purporting to be from the lender, purporting to congratulate Izsak for paying his loan in full and releasing the lien. In reality, the letters were not from the lender, the loans were not paid in full, and the liens were not released, the indictment states.
Izsak and Yale Schiff are each accused of fraudulently obtaining loans by using names, Social Security numbers and dates of birth that did not belong to them. Izsak also used a stolen identity to obtain a credit card, while Yale Schiff used fake and stolen identities to fraudulently obtain a charge card at Nordstrom department store and loans for a Jeep Grand Cherokee and a Lexus RX350, the indictment states.
The public is reminded that an indictment is not evidence of guilt. The defendants are presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt. Each bank fraud count is punishable by a maximum sentence of 30 years in prison, while each count of aggravated identity theft carries a mandatory sentence of two years. If convicted, the Court must impose reasonable sentences under federal statutes and the advisory U.S. Sentencing Guidelines.
Erie Man Sentenced to 5+ Years in Prison for Receiving Child PornographyRead the Press Release
ERIE, Pa. - A resident of Erie, Pennsylvania, has been sentenced in federal court to five years and 10 months (70 months) in prison, 5 years supervised release and a $5,100 special assessment on his conviction of violating federal laws relating to the sexual exploitation of children, United States Attorney Scott W. Brady announced today.
United States District Judge David S. Cercone imposed the sentence on Eric J. Andrzejewski, 33.
According to information presented to the court, Andrzejewski received computer images depicting minors engaging in sexually explicit conduct.
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 the 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.
Assistant United States Attorney Christian A. Trabold prosecuted this case on behalf of the government.
United States Attorney Brady commended the Federal Bureau of Investigation and the Pennsylvania State Police for the investigation leading to the successful prosecution of Andrzejewski.
Erie Man Pleads Guilty in Project Safe Childhood CaseRead the Press Release
ERIE, Pa. - A resident of Erie, Pennsylvania, pleaded guilty in federal court to a charge of violating federal laws relating to the sexual exploitation of children, United States Attorney Scott W. Brady announced today.
Kevin Christopher Oldland, 38, pleaded guilty to one count before United States District Judge David S. Cercone.
In connection with the guilty plea, the court was advised that Oldland traveled to Erie, Pennsylvania for the purpose of engaging in illegal sexual activity with a minor and used a means or facility of interstate commerce to persuade, induce and entice the minor to engage in illegal sexual activity.
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 the 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.
Judge Cercone scheduled sentencing for December 9, 2019 at 12:45 p.m. The law provides for a total sentence of life in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Pending sentencing, the court continued Oldland on bond.
Assistant United States Attorney Christian A. Trabold is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation and the Millcreek Police Department conducted the investigation that led to the prosecution of Oldland.
Dodge City Tax Preparer Pleads Guilty to Filing False Tax ReturnsRead the Press Release
WICHITA, KAN. – A tax preparer in Dodge City pleaded guilty today to filing false income tax returns, U.S. Attorney Stephen McAllister said.
Maria R. Garcia, 48, Dodge City, Kan., pleaded guilty to one count of preparing tax returns containing false statements. In her plea, she admitted preparing numerous tax returns for tax years 2013, 2014 and 2015 that contained false statements. As a result, her clients received refunds in excess of what they were owed. The total loss to the Internal Revenue Service was more than $101,700.
The plea agreement calls for Garcia to pay the full amount in restitution and to be permanently prohibited from working as a tax preparer.
Sentencing is set for Oct. 15. She faces a penalty of up to three years in federal prison and a fine up to $100,000. McAllister commended the Internal Revenue Service and Assistant U.S. Attorney Mona Furst for their work on the case.
Detroit Man Sentenced to 20 Years in Prison for Selling Drugs in A Detroit ParkRead the Press Release
Danny Lee Woods, 46, of Detroit, Michigan, was sentenced on July 23, 2019, to a total of 20 years in federal prison by U.S. District Judge George Caram Steeh, III, for possession with intent to distribute controlled substances and possessing a firearm in furtherance of a drug trafficking crime, announced United States Attorney Matthew Schneider. Woods pleaded guilty on February 27, 2019.
Schneider was joined in the announcement by James M. Deir, Special Agent in Charge of the Detroit Field Office of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), and Detroit Police Department Chief James Craig.
According to court records, Woods, who was on parole at the time, was selling crack cocaine and heroin that was mixed with fentanyl at Sasser Playground, a neighborhood park located in Detroit. While making the sales, Woods had a loaded pistol in his waistband, which Woods later hid behind a tree inside the park. Woods was being surveilled by officers of the Detroit Police Department and was subsequently arrested. The case was adopted for federal prosecution.
As part of his plea, Woods agreed that he qualified as a Career Offender under the Sentencing Guidelines.
"Parks should be a place where families feel safe to gather," said United States Attorney Matthew Schneider. "We will continue to work closely with our local police
partners to prosecute violent offenders who threaten us, so we can protect innocent children and families who just want to enjoy a nice day at the park."
"Danny Lee Woods put innocent lives in danger when he chose to sell drugs and toss a handgun in a public park," said Special Agent in Charge James Deir. "Instead of improving his life following previous felony convictions, Woods continued to break the law. ATF stands with our law enforcement partners to rid our community of dangerous individuals."
"We certainly appreciate the partnership of our federal partners and commend the great work by the men and women of this department," said Detroit Police Chief James Craig. "Our families deserve to have safe and drug free parks and we will not tolerate behavior that will compromise the well-being of our residents. We will continue our efforts in working with our federal agencies in attacking the drug epidemic that plagues our society and dampens the quality of life within our communities."
This case was investigated by special agents of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and officers of the Detroit Police Department. It was prosecuted by Assistant United States Attorneys J. Michael Buckley and Trevor Broad of the United States Attorney’s Office for the Eastern District of Michigan.
Detroit Man Sentenced to 20 Years in Prison for Selling Drugs in A Detroit ParkRead the Press Release
Danny Lee Woods, 46, of Detroit, Michigan, was sentenced on July 23, 2019, to a total of 20 years in federal prison by U.S. District Judge George Caram Steeh, III, for possession with intent to distribute controlled substances and possessing a firearm in furtherance of a drug trafficking crime, announced United States Attorney Matthew Schneider. Woods pleaded guilty on February 27, 2019.
Schneider was joined in the announcement by James M. Deir, Special Agent in Charge of the Detroit Field Office of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), and Detroit Police Department Chief James Craig.
According to court records, Woods, who was on parole at the time, was selling crack cocaine and heroin that was mixed with fentanyl at Sasser Playground, a neighborhood park located in Detroit. While making the sales, Woods had a loaded pistol in his waistband, which Woods later hid behind a tree inside the park. Woods was being surveilled by officers of the Detroit Police Department and was subsequently arrested. The case was adopted for federal prosecution.
As part of his plea, Woods agreed that he qualified as a Career Offender under the Sentencing Guidelines.
“Parks should be a place where families feel safe to gather,” said United States Attorney Matthew Schneider. “We will continue to work closely with our local police partners to prosecute violent offenders who threaten us, so we can protect innocent children and families who just want to enjoy a nice day at the park.”
“Danny Lee Woods put innocent lives in danger when he chose to sell drugs and toss a handgun in a public park,” said Special Agent in Charge James Deir. “Instead of improving his life following previous felony convictions, Woods continued to break the law. ATF stands with our law enforcement partners to rid our community of dangerous individuals.”
“We certainly appreciate the partnership of our federal partners and commend the great work by the men and women of this department,” said Detroit Police Chief James Craig. “Our families deserve to have safe and drug free parks and we will not tolerate behavior that will compromise the well-being of our residents. We will continue our efforts in working with our federal agencies in attacking the drug epidemic that plagues our society and dampens the quality of life within our communities.”
This case was investigated by special agents of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and officers of the Detroit Police Department. It was prosecuted by Assistant United States Attorneys J. Michael Buckley and Trevor Broad of the United States Attorney’s Office for the Eastern District of Michigan.
Detroit Man Sentenced to 20 Years in Prison for Selling Drugs in A Detroit ParkRead the Press Release
Danny Lee Woods, 46, of Detroit, Michigan, was sentenced on July 23, 2019, to a total of 20 years in federal prison by U.S. District Judge George Caram Steeh, III, for possession with intent to distribute controlled substances and possessing a firearm in furtherance of a drug trafficking crime, announced United States Attorney Matthew Schneider. Woods pleaded guilty on February 27, 2019.
Schneider was joined in the announcement by James M. Deir, Special Agent in Charge of the Detroit Field Office of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), and Detroit Police Department Chief James Craig.
According to court records, Woods, who was on parole at the time, was selling crack cocaine and heroin that was mixed with fentanyl at Sasser Playground, a neighborhood park located in Detroit. While making the sales, Woods had a loaded pistol in his waistband, which Woods later hid behind a tree inside the park. Woods was being surveilled by officers of the Detroit Police Department and was subsequently arrested. The case was adopted for federal prosecution.
As part of his plea, Woods agreed that he qualified as a Career Offender under the Sentencing Guidelines.
“Parks should be a place where families feel safe to gather,” said United States Attorney Matthew Schneider. “We will continue to work closely with our local police partners to prosecute violent offenders who threaten us, so we can protect innocent children and families who just want to enjoy a nice day at the park.”
“Danny Lee Woods put innocent lives in danger when he chose to sell drugs and toss a handgun in a public park,” said Special Agent in Charge James Deir. “Instead of improving his life following previous felony convictions, Woods continued to break the law. ATF stands with our law enforcement partners to rid our community of dangerous individuals.”
“We certainly appreciate the partnership of our federal partners and commend the great work by the men and women of this department,” said Detroit Police Chief James Craig. “Our families deserve to have safe and drug free parks and we will not tolerate behavior that will compromise the well-being of our residents. We will continue our efforts in working with our federal agencies in attacking the drug epidemic that plagues our society and dampens the quality of life within our communities.”
This case was investigated by special agents of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and officers of the Detroit Police Department. It was prosecuted by Assistant United States Attorneys J. Michael Buckley and Trevor Broad of the United States Attorney’s Office for the Eastern District of Michigan.
Clinton County Doctor Sentenced to 30 Months in Prison for Illegally Prescribing OpioidsRead the Press Release
BOWLING GREEN, Ky. – Dr. Michael Lee Cummings, 64, of Albany, Kentucky, was sentenced on July 24, 2019, to 30 months of prison, followed by three years of supervised release, and ordered to pay a fine of $400,000, by District Court Judge Greg Stivers, First Assistant United States Michael A. Bennett announced today. Cummings was also ordered to reimburse the Bureau of Prisons for the costs of his incarceration.
Cummings was originally indicted on April 12, 2017, and on March 19, 2019, he pleaded guilty to 13 counts of illegally prescribing controlled substances outside the course of professional medical practice and without a legitimate medical purpose.
Dr. Cummings ran a family practice in Albany for many years. A federal investigation began in 2015 after a Kentucky Board of Medical Licensure expert found that Dr. Cummings’s treatment of several patients fell below minimum standards of care, and after the Clinton County Coroner noticed several overdose deaths involving Dr. Cummings’ patients, according to a Sentencing Memo filed before the Court. The federal investigation revealed that patients drove from as far as Indianapolis to obtain prescriptions from Dr. Cummings.
According to the Sentencing Memo, the investigation further discovered that every single year from 2009 through 2014, Dr. Cummings was in the top 1% of all Kentucky primary care prescribers for Oxycodone, hydrocodone, and benzodiazepines. Between 2009 and 2014, Dr. Cummings wrote prescriptions for an average of over 249,000 oxycodone pills, 438,000 hydrocodone pills, and 347,000 benzodiazepine pills per year. Each year from 2009 through 2014, Dr. Cummings prescribed approximately 10 times as many hydrocodone and benzodiazepine pills as the average Kentucky primary care prescriber, and approximately 20 times the number of Oxycodone pills as the average Kentucky primary care prescriber. In 2012, for example, Dr. Cummings wrote enough prescriptions to provide every man, woman, and child in Albany with 230 hydrocodone pills, 134 Oxycodone pills, and 178 benzodiazepine pills, the Sentencing Memo said.
As part of the investigation, medical experts reviewed several of Dr. Cummings’s patient charts and found, amongst other things, that Dr. Cummings: 1) failed to establish an objective pain diagnosis; 2) failed to establish treatment plans and goals; 3) excessively prescribed “highly addictive drugs” without sufficient documentation; 4) failed to take action even when patients failed urine drug screens and pills counts; 5) failed to take action when KASPER reports were suspicious for drug abuse; 6) prescribed dangerous combinations of controlled and non-controlled substances; and 7) continued to prescribe opioids and benzodiazepines to patients for years without evidence of clinical improvement, which was detailed in the Sentencing Memo before the Court.
For example, on August 26, 2010, Dr. Cummings’ noted that his office received a report that his patient, S.F., was “selling oxy.” On October 20, 2010, Dr. Cummings received another report that S.F. was “selling meds.” Nonetheless, Dr. Cummings continued refilling S.F.’s prescriptions, and on December 20, 2010, Dr. Cummings inexplicably doubled S.F.’s prescription for oxycodone. Moreover, on December 20, 2010, Dr. Cummings also prescribed Xanax for S.F., even though S.F.’s urine drug screen reflected that S.F. tested negative for the Xanax Dr. Cummings had prescribed in November.
The case was prosecuted by Assistant United States Attorneys David Weiser and Ann Marie Blaylock, and was investigated by the Federal Bureau of Investigation, the Kentucky State Police, and the Kentucky Cabinet for Health and Family Services, Office of the Inspector General.
Bangor Man Sentenced to Four Years for Conspiring to Distribute Heroin, Fentanyl and CrackRead the Press Release
Bangor, Maine: United States Attorney Halsey B. Frank announced that Malcom Greenlaw, 48, of Bangor, was sentenced today in U.S. District Court by Judge John A. Woodcock, Jr. to four years in prison and three years of supervised release for conspiracy to distribute heroin, fentanyl and cocaine base, commonly known as “crack.” He pled guilty on January 10, 2019.
According to court records, between January 2016 and February 2017, Greenlaw conspired with others to distribute heroin, fentanyl and crack in Penobscot County that was acquired in Waterbury, Connecticut. The defendant distributed drugs in the Bangor area and facilitated the drug dealing activities of others.
The case was investigated by the U.S. Drug Enforcement Administration and the Maine Drug Enforcement Agency and prosecuted as part of the Department of Justice’s Strategy to Combat the Opioid Epidemic.
Auburn Man Pleads Guilty to Producing Child PornographyRead the Press Release
SACRAMENTO, Calif. —Christopher Lee, 66, of Auburn, pleaded guilty today to one count of production of child pornography, U.S. Attorney McGregor W. Scott announced.
According to court documents, Lee repeatedly used a webcam to produce child pornography involving a seven-year-old child and shared the live-streamed video with an individual who lived in England.
This case is the product of an investigation by Homeland Security Investigations (HSI) and the Placer County Sheriff’s Department. Assistant U.S. Attorney Lee S. Bickley is prosecuting the case.
Lee is scheduled to be sentenced by U.S. District Judge Kimberly Mueller on Oct. 28. Lee faces a maximum statutory penalty of 30 years in prison and a $250,000 fine. The actual sentence, however, will 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.
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 the U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. Click on the “resources” tab for information about internet safety education.
Asbury Park Doctor Sentenced to 27 Months in Prison for Distribution of Steroids and MarijuanaRead the Press Release
TRENTON, N.J. – A doctor with offices in Asbury Park, New Jersey, and Brooklyn was sentenced today to 27 months in prison for unlawfully distributing prescriptions for anabolic steroids and for possessing marijuana with intent to distribute, U.S. Attorney Craig Carpenito announced.
Kevin Custis, 54, of Belle Mead, New Jersey, previously pleaded guilty before U.S. District Judge Peter G. Sheridan to an information charging him with one count of distributing anabolic steroids and one count of possessing marijuana with intent to distribute. Judge Sheridan imposed the sentence today in Trenton federal court.
According to documents filed in this case and statements made in court:
In 2016 and 2017, Custis wrote and delivered numerous prescriptions for various types of anabolic steroids to two patients. Custis admitted that he knew these prescriptions were not for the treatment of any actual medical condition, but were solely for muscle enhancement, beauty, and muscle building and fitness competitions.
When agents and investigators from the Drug Enforcement Administration (DEA) and the Port Authority of New York and New Jersey-Office of Inspector General searched Custis’ home on June 14, 2017, they found over four kilograms of marijuana and over 150 grams of tetrahydrocannobinal oil. Custis admitted that he intended to distribute these substances and that he had no authority under any federal or state law or regulation to do so. Custis also admitted that he prepared marijuana products for patients in his home kitchen.
In addition to the prison term, Judge Sheridan sentenced Custis to three years of supervised release and fined him $10,000.
U.S. Attorney Carpenito credited special agents of the DEA, under the direction of Special Agent in Charge Susan A. Gibson, New Jersey Field Division; the PANYNJ-OIG, under the direction of Michael Nestor; and the N.J. Division of Consumer Affairs, under the direction of Paul R. Rodriguez, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney David E. Malagold of the U.S. Attorney’s Office Criminal Division.
Antitrust Division Names Rene Augustine Acting Deputy Assistant Attorney General Responsible for International and PolicyRead the Press Release
Makan Delrahim, Assistant Attorney General in charge of the Department's Antitrust Division, today announced that current Senior Counsel Rene Augustine will serve as Acting Deputy Assistant Attorney General responsible for the Division’s international and policy matters. Augustine will replace outgoing Deputy Assistant Attorney General Roger Alford, who will return to Notre Dame Law School as a tenured professor of law.
“Rene has distinguished herself in her service as Senior Counsel in the Antitrust Division’s Front Office, overseeing both the Competition Policy and Advocacy section, and the Media, Entertainment and Professional Services section. Her proven effectiveness, sound judgment, and excellent diplomacy skills make her uniquely qualified for this position,” said Delrahim.
Recently, Augustine represented the Antitrust Division in Seoul, South Korea, alongside the Office of the U.S. Trade Representative (USTR) in the first-ever consultations on competition-related matters pursuant to the U.S. – Korea Free Trade Agreement.
Augustine has served in all three branches of government and in the private sector. Prior to coming to the Antitrust Division at the Department of Justice, she was Special Assistant to the President and Senior Associate Counsel to the President. She also served as Associate Counsel to the President in the George W. Bush Administration. Previously, Augustine was Senior Counsel to the U.S. Senate Committee on the Judiciary, where she was responsible for Antitrust, Business Rights and Competition issues, and was a lead counsel to the Chairman on passage of legislation increasing the Hart-Scott-Rodino filing threshold and improving the second request process. Augustine clerked for Judge John Hargrove of the U.S. District Court for the District of Maryland. In the private sector, Augustine was an attorney at a national law firm, worked at the Neighborhood Legal Services Program, and was an adjunct faculty member at George Mason University Law School.
Augustine earned her bachelor’s degree from Duke University and her J.D. from Vanderbilt University Law School, where she was an editor of the Vanderbilt Law Review, served on the Vanderbilt Moot Court Board, and graduated Order of the Coif.
Anne Arundel County Convicted Sex Offender Sentenced to 18 Years in Federal Prison for Transportation and Possession of Child Pornography and for Illegal Possession of Firearms by a Previously Convicted FelonRead the Press Release
Baltimore, Maryland - U.S. District Judge Deborah K. Chasanow today sentenced John Patrick Dillon, age 62, formerly of Harwood, Maryland, to 18 years in federal prison, followed by lifetime supervised release, for transportation and possession of child pornography, as well as for illegal possession of firearms by a previously convicted felon. Judge Chasanow ordered that Dillon must pay restitution of $1,000 to one of the child victims. Upon his release from prison, Dillon must continue to register as a sex offender in the places where he resides, where he is an employee, and where he is a student, under the Sex Offender Registration and Notification Act (SORNA). Dillon has been detained since his arrest on May 21, 2018.
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur; Acting Special Agent in Charge Cardell T. Morant of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Colonel William M. Pallozzi, Superintendent of the Maryland State Police; and Anne Arundel County State’s Attorney Anne Colt Leitess.
According to the agreed-upon statement of facts, in 1998, Dillon was convicted in the Circuit Court for Anne Arundel County for sexual abuse of a minor and was sentenced to serve seven years in prison. Dillon has been a registered sex offender since his release from state prison.
Beginning in 2015, Dillon began searching the Internet for child pornography and created a number of videos of the searches he ran and the child pornography he found and viewed. He saved the material to DVDs. Dillon also uploaded images of child pornography to search for other images of child pornography online, which led to a cybertip being sent to the National Center for Missing and Exploited Children (NCMEC). NCMEC then sent the cybertip to the Maryland State Police.
As a result of the investigation, law enforcement executed a search warrant at Dillon’s residence on April 26, 2018. Law enforcement seized digital storage media, a desktop computer, and cellular phone. In addition, law enforcement located and seized a .303-caliber rifle, two 12-gauge shotguns, a pistol, and 63 rounds of ammunition. By virtue of his previous conviction, Dillon was prohibited from possessing firearms or ammunition.
A subsequent forensic examination of the electronic items seized led to the discovery of more than 1,700 images and 320 videos of child pornography, including images documenting the sexual abuse of prepubescent minors, and sadistic, masochistic, and other depictions of violence.
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 the United States Attorney’s Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about Internet safety education, please visit www.justice.gov/psc and click on the "Resources" tab on the left of the page.
United States Attorney Robert K. Hur commended HSI-Baltimore, the Maryland State Police, and the Anne Arundel County State’s Attorney’s Office for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorney Judson T. Mihok, who is prosecuting the federal case.
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28 July 2019
Yankton Woman Sentenced for Conspiracy to Distribute MethamphetamineRead the Press Release
United States Attorney Ron Parsons announced that a Yankton, South Dakota, woman convicted of Conspiracy to Distribute a Controlled Substance was sentenced on July 26, 2019, by U.S. District Judge Karen E. Schreier.
Lorri Ann Rodgers, a/k/a Lorri Lee Colton, age 57, was sentenced to 72 months in federal prison, followed by 4 years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Rodgers was indicted by a federal grand jury on November 6, 2018. She pled guilty on May 8, 2019.
The conviction stemmed from incidents beginning at an unknown date until on or about March 21, 2018, when Rodgers knowingly and intentionally conspire and agreed with others to distribute 50 grams or more of methamphetamine in South Dakota.
This case was investigated by the U.S. Postal Service. Assistant U.S. Attorney Tamara Nash prosecuted the case.
Rodgers was immediately turned over to the custody of the U.S. Marshals Service.
26 July 2019
Woman Sentenced for Transporting Individuals in Interstate Commerce for ProstitutionRead the Press Release
United States Attorney Peter G. Strasser announced that ANH DUONG, age 72, was sentenced on Thursday, July 25, 2019 for transporting individuals in interstate commerce for prostitution, in violation of Title 18, United States Code, Section 2421(a).
According to court documents, DUONG operated two Asian Massage Parlors in New Orleans, the Lily Pad and the Rose Garden. Both Asian Massage Parlors were commercial sex enterprises. DUONG admitted to knowingly transporting and causing to be transported individuals in interstate commerce from Texas and Mississippi to the Eastern District of Louisiana to engage in prostitution at the Lily Pad and the Rose Garden, in violation of the laws of Louisiana.
DUONG was sentenced to five years probation, one year of home confinement with electronic monitoring and a $100 special assessment fee. DUONG was further ordered: 1) to obtain prior written approval from the Court before entering into any self employment; 2) participate in an approved cognitive behavioral therapeutic treatment program and abide by all supplemental conditions of treatment; and 3) submit to a search of all business and financial records upon reasonable suspicion as requested by the United States Probation Officer.
U.S. Attorney Strasser praised the work of the Federal Bureau of Investigation and Homeland Security Investigations in investigating this matter. Assistant United States Attorneys Julia K. Evans and Brian M. Klebba are in charge of the prosecution.
Warren man sentenced to 15 years in prison for leading arson conspiracy in which two homes he owned were intentionally set on fire so he could collect insurance moneyRead the Press Release
A Warren man was sentenced to 15 years in prison for leading an arson conspiracy in which two homes he owned were intentionally set on fire so he could collect insurance money.
Daryl Evans, 49, previously pleaded guilty to numerous charges, including conspiracy to commit mail fraud, mail fraud, use of fire in commission of a felony, and other charges.
His brother, Maurice Evans, 56, of Youngstown, was previously sentenced to 34 months in prison for his role in setting two fires.
David White, 50, of Warren, was previously sentenced to 52 months for setting one of the fires.
According to court documents and statements made in court:
Daryl Evans purchased 1628 Hamilton Street in Warren in 2011 and 267 Parkman Road NW in Warren in 2014. He purchased insurance policies for both homes and rented them to tenants.
The Evans brothers agreed to set the Hamilton home on fire on two separate occasions – once in August 2013 and again in April 2014. The first fire, in August 2013, damaged the property but did not completely destroy it.
Following each fire, Daryl Evans caused the submission of a false insurance claim to State Farm Insurance. Daryl Evans promised to compensate Maurice Evans with a portion of the fraudulent insurance proceeds.
Maurice Evans hired another person to set the first fire and paid him with cash and drugs. Daryl Evans fraudulently caused State Farm to pay $31,745 directly to him and $6,000 to the city of Warren after the first fire.
Maurice Evans set the second fire, which resulted in State Farm paying $41,136 to Daryl Evans.
Daryl Evans and David White agreed to set fire to 267 Parkman Road NW. White set fire to the house in January 2015, and Daryl Evans compensated him with cash and drugs.
The fire at 267 Parkman Road NW resulted in a payment from State Farm to Daryl Evans of $44,228.
This case was investigated by the Federal Bureau of Investigation and the Warren Fire Department. It was prosecuted by Assistant U.S. Attorney Brad Beeson and James Lewis.
Warren County Man Sentenced to 20 Years in Prison for Production of Child Pornography, Online Enticement, Sending Interstate Extortionate Threats, and StalkingRead the Press Release
NEWARK, N.J. – A Washington, New Jersey, man was sentenced today to 240 months in prison for sex crimes, extortion and stalking – including asking a minor girl to produce explicit images of herself and threatening a second girl if she didn’t agree to meet and date him, U.S. Attorney Craig Carpenito announced.
Brandon McIntyre, 27, was previously convicted of two counts of the production of child pornography, one count of the online enticement of a minor to engage in criminal sexual conduct, two counts of sending interstate extortionate threats, and one count of stalking following a one-week trial before U.S. District Judge Kevin McNulty, who imposed the sentence today in Newark federal court. He was sentenced to 240 months in prison on the first three counts, and 60 months in prison on the remaining three counts, all to run concurrently for a total term of 240 months.
According to the documents filed in this case and the evidence at trial:
McIntyre met various minor girls through Facebook, sometimes as himself, other times pretending to be a teenage girl. Over the course of the correspondence with one female, McIntyre threatened to hurt her boyfriend and kill her family when she refused to go out with him. In his interaction with another girl, McIntyre sent her images of his genitals and demanded that she send nude images of herself. McIntyre threatened the girl, claiming he was a state trooper who could arrest and imprison her family members if she did not send him nude images of herself. When one victim threatened to report McIntyre to her school guidance counselor, McIntyre responded, “Do it and see what happens” and “I can have ur family killed too and make u watch.”
McIntyre admitted to law enforcement that he, at times, pretended to be a teenage girl using the alias “Katie Thompson” in online chats with minors. He said he solicited minors to take and send nude images of themselves to him and threatened to harm minors and their loved ones on multiple occasions if they did not comply with his demands.In addition to the prison term, Judge McNulty sentenced McIntyre to a lifetime term of supervised release.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Special Agent in Charge Gregory W. Ehrie in Newark; the Middlebury, Vermont, Police Department, and the Clinton Police Department with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorneys Erica Liu and Senior Trial Counsel Danielle Alfonzo Walsman of the U.S. Attorney’s Office’s Criminal Division in Newark.
Defense counsel: Jim Patton Esq., Hackettstown, New Jersey
Virginia Man Pleads Guilty to Sexually Assaulting Intoxicated Woman and Aiding his Cousin in Doing the SameRead the Press Release
WASHINGTON – Omar Afzali, 29, of Woodbridge, Virginia, pleaded guilty today to sexually assaulting an incapacitated woman in July 2016, and then aiding his cousin in doing the same thing, at a hotel in Northwest Washington, U.S. Attorney Jessie K. Liu announced today.
Afzali pleaded guilty to two counts of second-degree sexual abuse, one for his own sexual assault, and the other for aiding and abetting the sexual assault committed by his cousin. The Honorable Todd E. Edelman scheduled sentencing for October 18, 2019. Afzali could face up to forty years in prison.
According to the government’s evidence, the victim first met Afzali after unsuccessfully attempting to hail a cab upon leaving a D.C. night club in the early morning hours of July 9, 2016. The victim, who became intoxicated while socializing with her friends earlier that night, accepted Afzali’s offer of a ride. Afzali ended up taking the woman to a hotel on Rhode Island Avenue, N.W. Security camera video at that hotel showed that the victim was so incapacitated by alcohol and other substances upon arriving at the hotel that, even with Afzali’s assistance, she was stumbling and bumped, face first, into a hallway wall. When Afzali and the woman got to the hotel’s front desk, Afzali had to hold her up so she would not fall down while he filled out the hotel’s paperwork. While Afzali signed them into the hotel, security cam video shows that the victim put her head down on the desk and did not lift her head again until Afzali pulled her away toward the hotel’s elevators.
Afzali took the victim to a hotel room where, he admitted, he engaged her in sexual acts, including anal intercourse. Afzali further admitted that at the time he had sex with the victim, she was so incapacitated that she was unable to decline, or even to communicate her unwillingness, to engage in sex with Afzali.
When Afzali finished sexually assaulting the victim, he left the hotel and immediately contacted one of his male cousins, telling his cousin about the victim and how he had just had sex with her. Afzali drove to pick up his cousin, and then drove his cousin back to the hotel, giving his cousin the card key to the hotel room in which Afzali had left the incapacitated victim. Afzali told his cousin that he would find both the victim, and some unused condoms, in that hotel room. Afzali’s cousin then went to the hotel room and engaged the victim in multiple acts of vaginal intercourse. The cousin later testified that, during his encounter with the victim, she could barely function and was only partially conscious.
Afzali admitted at the plea hearing that he aided and abetted his cousin’s sexual assault of the victim. He further admitted that, during the time his cousin was sexually assaulting the victim, both Afzali and his cousin knew, or had reason to know, that the victim was too incapacitated to know what was happening, let alone to consent to having sex with them.
Although the victim had no recollection of the sexual assaults or of being with either Afzali or his cousin that night, DNA analysis showed that both men’s DNA was on swabs taken of the victim’s intimate body parts.
In announcing the plea, U.S. Attorney Liu commended the work of the Sexual Assault Unit of the Metropolitan Police Department, the District of Columbia Department of Forensic Sciences, the D.C. Office of the Chief Medical Examiner, and the District of Columbia Forensic Nurse Examiners. She also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Michael Ambrosino, Special Counsel for DNA and Forensic Evidence Litigation, and Forensic Operation/Program Specialist Elizabeth Marrero, who assisted with DNA issues; Assistant U.S. Attorneys Sharon Marcus-Kurn, Mark O’Brien, Amy Zubrensky and Sarah McClellan; Paralegal Specialists Brenda C. Williams and Tiffany Jones; Supervisory Victim Witness Service Coordinator Katina Adams-Washington; and Victim/ Witness Advocate Juanita Harris.
Finally, U.S. Attorney Liu commended the work of Assistant U.S. Attorneys J. Matt Williams and Peter V. Taylor, who investigated and prosecuted this case.
Violent Felon Sentenced for Illegally Entering U.S. for Sixth TimeRead the Press Release
ALEXANDRIA, Va. – An illegal alien and violent felon who has previously illegally entered the United States on at least six occasions, was sentenced to nearly two years in prison for illegally reentering the United States.
“Diaz-Ramos is a violent felon who has demonstrated a blatant disregard for our immigration laws,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “After completing his prison sentence, Diaz-Ramos will once again be deported at taxpayer expense. This is a serious issue of public safety and national security, and we remain committed to prioritizing criminal immigration enforcement.”
According to court documents, Jose Edgardo Diaz-Ramos, 37, is a native and citizen of Honduras. Prior to his previous removal, Diaz-Ramos was convicted of a violent felony in California of willful infliction of corporal injury on a spouse. In 2014, after serving a sentence of six years in prison, Diaz-Ramos was deported at taxpayer expense for a fifth time. Sometime thereafter, Diaz-Ramos illegally reentered the United States again. In May, Diaz-Ramos pleaded guilty to illegal reentry of a removed alien after commission of a felony.
“The arrest and prosecution of Diaz-Ramos is another example of ICE officers prioritizing violent offenders who threaten our nation’s safety and security,” said Lyle A. Boelens, Acting Field Office Director for U.S. Immigration and Customs Enforcement’s (ICE) Enforcement and Removal Operations (ERO) Washington, D.C. “Not only did Diaz-Ramos repeatedly violate our immigration laws, but he has also victimized our neighbors. He will now again rightfully be removed from the U.S.”
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Lyle A. Boelens, Acting Field Office Director for U.S. Immigration and Customs Enforcement’s (ICE) Enforcement and Removal Operations (ERO) Washington, D.C., made the announcement after sentencing by Senior U.S. District Judge T.S. Ellis III. Assistant U.S. Attorney Brendan P. Geary prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-216.
Vallejo Man Sentenced to 4 Years in Prison for Multimillion Dollar Mortgage and Foreclosure Rescue Fraud SchemeRead the Press Release
SACRAMENTO, Calif. — U.S. District Judge Garland E. Burrell Jr. sentenced Zalathiel Aguila, 46, of Vallejo, to four years in prison for conspiracy to commit wire fraud affecting a financial institution and bank fraud, U.S. Attorney McGregor W. Scott announced.
According to court documents, between September 2004 and February 2008, Aguila and co-conspirators Sergio Roman Barrientos and Omar Anabo operated Capital Access LLC, in Vallejo, a company that preyed on homeowners nearing foreclosure. The defendants convinced homeowners to sign over the title to their homes to Capital Access and then spent any equity those homeowners still had, which was then used for operational expenses of the scheme and personal expenses of Aguila and his co-conspirators.
The defendants also used straw buyers to obtain home loans under false pretenses and defraud federally insured financial institutions out of millions of dollars. Vulnerable homeowners across California lost their homes and savings as a result of the scheme, and lenders lost an estimated $10.47 million from the fraud.
This case was the product of an investigation by the Federal Bureau of Investigation and the United States Postal Inspection Service. Assistant U.S. Attorney Matthew M. Yelovich prosecuted the case.
Aguila remains out of custody pending his surrendering for service of his sentence on Oct. 25. Barrientos was sentenced on Nov. 2, 2018, to 14 years in prison for his role in the scheme, and Anabo (charged elsewhere) is scheduled to be sentenced on Aug. 16.
United States Files $100 Million Civil Complaint Against Digital Currency Exchange BTC-e and Chief Owner-Operator Alexander VinnikRead the Press Release
SAN FRANCISCO– The Department of Justice filed a civil complaint in federal court against digital currency exchange BTC-e, also known as Canton Business Corporation, and one of its chief owners and operators Alexander Vinnik, announced United States Attorney David L. Anderson and U.S. Department of the Treasury’s Financial Crimes Enforcement Network (FinCEN) Director Kenneth A. Blanco. The complaint seeks to enforce monetary penalties FinCEN assessed against BTC-e and Vinnik for alleged violations of the Bank Secrecy Act (BSA), 31 U.S.C. §§ 5311-14 and 5316-32.
BTC-e is a digital currency exchange organized as a corporation under the laws of Cyprus and/or the Seychelles Islands. BTC-e operated in Bulgaria, the Seychelles Islands, and other jurisdictions, including the Northern District of California, and allowed its users to buy and sell bitcoin and other digital currencies anonymously through its web domain, btc-e.com. Vinnik, a Russian national, occupied a senior leadership position within BTC-e, controlled multiple BTC-e administrative accounts used to process BTC-e’s transactions, and participated in the direction and supervision of BTC-e’s operations and finances. The civil complaint alleges that Vinnik operated several BTC-e accounts, including some tied to thefts from other virtual currency exchanges such as Mt. Gox. Vinnik is currently incarcerated in Greece and is the subject of an extradition request to the Northern District of California in connection with criminal charges filed in this district.
On July 26, 2017, FinCEN assessed monetary penalties against BTC-e and Vinnik for violations of the BSA. FinCEN assessed $12 million in penalties against Vinnick and $88,596,314 in penalties against BTC-e for BTC-e’s alleged willful violations of the BSA. The civil complaint seeks to enforce the monetary penalties issued by FinCEN.
According to the complaint, FinCEN assessed penalties based, in part, on the following conduct:
- Failure to Register as an MSB: BTC-e did not register with FinCEN as a Money Services Business (MSB). The BSA defines an MSB and requires, among other things, MSBs to register with FinCEN within 180 days of beginning operations. In this case, FinCen assessed penalties, in part, because the agency concluded BTC-e was an MSB and failed to register with the agency.
- Failure to Establish Anti-Money Laundering Programs and Procedures: Under the BSA, an MSB must develop, implement, and maintain an effective anti-money laundering (AML) program that is reasonably designed to prevent the MSB from being used to facilitate money laundering and the financing of terrorist activities. FinCEN’s fines were based, in part, on BTC-e’s failure to have reasonable AML policies or procedures in place to prevent criminal activity on the digital currency exchange.
- Failure to File Suspicious Activity Reports: Under the BSA, an MSB must file a suspicious activity report (SAR) if it becomes aware of transactions that the MSB “knows, suspects, or has reason to suspect” are suspicious where those transactions involve the MSB and aggregate to at least $2,000 in value. FinCEN’s penalties were assessed, in part, because BTC-e did not file SARs and instead received proceeds from ransomware schemes, transferred funds to and from known dark net marketplaces, and deposited funds stolen from other digital currency exchanges into BTC-e accounts that Vinnik controlled.
This case is being handled by Assistant United States Attorney Kirstin Ault and U.S. Department of Justice Trial Attorney John Siemietkowski with assistance from Tina Louie.
Union County Man Charged with Possession of Child PornographyRead the Press Release
NEWARK, N.J. – A Union County man has been charged with possessing images of child sexual abuse, U.S. Attorney Craig Carpenito announced today.
Joseph Hinksmon, 41, of Cranford, New Jersey, is charged in a criminal complaint with one count of possession of child pornography. He is expected to appear later this afternoon before U.S. Magistrate Judge Cathy L. Waldor in Newark federal court.
According to the complaint, filed today:
On or about July 24, 2019, law enforcement lawfully obtained from Hinkmon’s residence multiple computers and electronic storage media belonging to Hinksmon, which contained approximately 10,000 images and 1,000 videos of child pornography, including images of prepubescent children being sexually abused.
The charge of possession of child pornography carries a maximum potential penalty of 20 years in prison and a $250,000 fine.
U.S. Attorney Craig Carpenito credited Special Agents with the Federal Bureau of Investigation, under the direction of Special Agent in Charge Gregory W. Ehrie in Newark, with the investigation leading to the charge.
The government is represented by Assistant U.S. Attorney Cymetra Williams of the U.S. Attorney’s Office Criminal Division in Newark.
The charge and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Defense Counsel: Lisa Baitsell, Esq., White Plains, New York
U.S. Attorney’s Office, Columbia Police Department, and Richland County Sheriff’s Department Announce Public Service Campaign to Reduce Gun ViolenceRead the Press Release
Columbia, South Carolina --- United States Attorney Sherri A. Lydon, along with Columbia Police Chief W. H. “Skip” Holbrook and Richland County Sheriff Leon Lott, announced their latest effort to reduce, prevent, and deter violent gun crimes in the City of Columbia and Richland County.
In the Greenview community of North Columbia, the three law enforcement agencies and community partners unveiled a public service campaign designed to comprehensively reduce violent crime while making a lasting impact. Last year, the United States Department of Justice unveiled Project Safe Neighborhoods (PSN) 2.0, the centerpiece of the Department’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. The initiative fosters safer neighborhoods through sustained reduction in violent crime, so families, especially children, can thrive in safety and without the fear of crime.
“We did not choose Greenview because it has the worst problem with violence,” said U.S. Attorney Lydon. “We chose it because we believe it is a community that recognizes the need to, and cares enough to, be vigilant about what is going on around you. The people of North Columbia have the right to live in peace, free from chaos and danger. We have a responsibility to make sure that you don’t have to hide in your homes.”
Chief Holbrook said, “We have adopted an intelligence-led, data-driven approach to identifying where the crime is occurring, when it is occurring, and who is most likely responsible. It’s not just putting cops on dots of crime. But putting a face with the dots and tasking the best law enforcement resources possible to bring those offenders to count.” He added, “We need our neighbors to help us. Harden your neighborhoods. Lock your cars, secure your firearms, report suspicious activity. Report all crime. Know your neighbors and, most importantly, know your police officers and deputies.”
Sheriff Lott said, “We’re all in this together. It’s not just a City thing, it’s not a County thing. It’s our thing. This is nothing new for us to come together and work. We’re going to come together and we’re finding more and more ways of coming together to work as one. Just like this Greenview community, it may be in the City of Columbia but it’s also in Richland County. These people who live here know, we will be here too. You will not only see the City cars; you will see the County cars. We listen to you. You tell us what’s going on in your neighborhood.”
One of PSN’s major goals is to implement precision policing, in which law enforcement partners work to identify neighborhoods with a violent crime problem, identify and arrest violent and repeat offenders, then hold them accountable through federal prosecution and federal prison time.
Another part of the PSN initiative is crime prevention. This year, with the financial assistance of Department of Justice grant funds, Columbia and Richland County citizens will start seeing and hearing public service announcements (PSAs) on local television and radio stations, on billboards, and on a Comet bus to drive home the importance of reducing, preventing, and deterring criminal activity.
The overall effort to lower crime cannot be accomplished solely through law enforcement arrests. Partnerships with a heightened emphasis on community engagement can make a lasting impact and pave the way for safer communities.
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For more information about Project Safe Neighborhoods, visit the following websites:
www.Justice.gov/psn, www.ColumbidPD.net, www.RCSD.net