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Thursday 13 June 2019
Former Musical Director at St. Agnes Cathedral on Long Island Pleads Guilty to Receiving Child PornographyRead the Press Release
Michael Wustrow, the former musical director at St. Agnes Cathedral in Rockville Centre, New York, pleaded guilty today in federal court in Central Islip to receipt of child pornography. The proceeding was held before United States Magistrate Judge Gary R. Brown. When sentenced, Wustrow faces up to 20 years’ imprisonment.
Richard P. Donoghue, United States Attorney for the Eastern District of New York, and William F. Sweeney, Jr., Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the guilty plea.
“The Eastern District will continue to bring to justice those like Wustrow who contribute to the victimization of innocent children,” stated United States Attorney Richard P. Donoghue.
On September 11, 2017, Wustrow was found to be in possession of multiple images of children engaged in sexually explicit conduct on his cell phone. Among these images was a picture of a toddler being abused by an adult male, which Wustrow received from the messaging app, Kik. Through the messaging app, Wustrow also claimed to have had sexual contact with with an underage teenage boy and stated that he wanted to sexually abuse a 12- or 13-year-old boy. Wustrow has been incarcerated since his arrest on February 20, 2019.
The government’s case is being handled by the Office’s Long Island Criminal Division. Assistant United States Attorney Oren Gleich is in charge of the prosecution.
The Defendant:
MICHAEL WUSTROW
Age: 56
Freeport, New YorkE.D.N.Y. Docket No. 19-CR-87 (SJF)
Former Mahoning County judge sentenced to more than two years in prison for stealing $100,000 from deceased client’s estateRead the Press Release
A former Mahoning County judge was sentenced to more than two years in prison for stealing $100,000 from a deceased client’s estate.
Diane Vettori-Caraballo, 50, of Youngstown, was sentenced to 30 months in prison and ordered to pay $328,000 in restitution. She pleaded guilty earlier this year to one count of mail fraud, one count of structuring cash deposits, and one count of making false statements to law enforcement.
Vettori-Caraballo stole at least $100,000 in cash that was in the home of a client when that client died in March 2016, according to court documents.
“The fact that the defendant stole at least $100,000 from an elderly person who trusted her to administer their estate is heartbreaking,” US Attorney Justin Herdman said. “The fact that thief in this case was a sitting judge who swore to uphold the law is outrageous.”
“When a public official puts personal gain ahead of a sworn oath of servitude, the very core of how and why our system of government operates is immediately and negatively impacted. Public officials should be an example to the citizens they serve. IRS Criminal Investigation, in conjunction with the U.S. Attorney’s Office and the FBI, will continue to give priority to investigations involving the breach of the public trust by government officials,” stated William Cheung, Acting Special Agent in Charge, IRS Criminal Investigation, Cincinnati Field Office.
Vettori-Caraballo was elected to position of judge in Mahoning County Court #3 – Sebring Court in 2002, with jurisdiction over misdemeanor criminal and traffic charges and other matters in Sebring and Beloit Villages and Berlin, Green, Goshen,, Ellsworth, Smith and Washingtonville Townships. She was reelected in 2006 and 2012, according to court documents.
She also provided estate planning services to Robert Sampson, including drafting his will. On Nov. 20, 2015, Vettori-Caraballo filed an application in Mahoning County Probate Court to administer Sampson’s estate. The application stated Sampson died without a will. The probate court, unaware of Sampson’s will, appointed Falgiani as the administrator three days later, according to the indictment.
Sampson died in 2015 and his closest living relative was his sister, Dolores Falgiani. Vettori-Caraballo prepared Falgiani will on Nov. 3, 2015. The will made 16 specific bequests to relatives and friends and bequeathed the rest of the estate to Animal Charity Human Society of Boardman and the Angels for Animal Charity in Canfield, according to court documents.
Sometime in October or November 2015, Falgiani stated she was in possession of several shoeboxes of cash stored at her residence. Falgiani was found dead in her home on March 10, 2016, according to court documents.
Vettori-Caraballo filed an application in Mahoning County Probate Court to probate Falgiani’s estate on March 24, 2016. On May 2, she reported having found cash in the residence and depositing the $20,000 into the estate, according to court documents.
Vettori-Caraballo filed a notice of newly discovered assets with the court on several subsequent occasions in 2016 and 2017. Each time, she failed to disclose the cash she had stolen, according to court documents.
Vettori-Caraballo also structured deposits of the cash she stole into five different banks within four weeks to avoid regulations that require banks to report cash transactions over $10,000 to the IRS. In addition, Vettori-Caraballo lied to the FBI when she was confronted about the theft and the structuring of cash deposits, according to court documents.
This case was investigated by the Federal Bureau of Investigation and the Internal Revenue Service-Criminal Investigations. It is being prosecuted by Assistant U.S. Attorneys Brian M. McDonough and Alex Abreu.
Former Chief Executive of Suburban Nutrition Company Pleads Guilty in Market Manipulation SchemeRead the Press Release
CHICAGO — The former Chief Executive Officer of a northwest suburban nutrition company has pleaded guilty to securities fraud for engaging in a market manipulation scheme to artificially inflate the company’s stock price.
ANDREW J. KANDALEPAS, 67, of Schaumburg, pleaded guilty Tuesday to one count of securities fraud. U.S. District Judge Gary Feinerman set sentencing for Sept. 5, 2019.
The guilty plea was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; and Jeffrey S. Sallet, Special Agent-in-Charge of the Chicago office of the FBI. The U.S. Securities and Exchange Commission provided valuable assistance. The government is represented by Assistant U.S. Attorneys John D. Mitchell and William Hogan.
Kandalepas was the CEO, President and Chairman of the Board for Wellness Center USA Inc., whose principal place of business was in Hoffman Estates. The company raised more than $19 million from investors through the sale of common stock, and Kandalepas himself held more than three million shares. Kandalepas admitted in a plea agreement that from December 2012 to June 2015, he bought and sold Wellness Center shares for the purpose of artificially inflating the stock price.
Many of his trades occurred at or near the close of normal trading hours in a form of market manipulation known as “marking the close.” According to an example cited in the plea agreement, Kandalepas, using a brokerage account in the name of an acquaintance, executed a trade to buy 300 Wellness Center shares within the last five seconds of the trading day on May 4, 2015. The trade artificially raised Wellness Center’s share price by 4%, from $0.27 to $0.28, causing a profit for Kandalepas of approximately $30,000.
In all, Kandalepas netted at least $136,176 in trading profits for his personal use.
Securities fraud is punishable by up to 20 years in prison. The Court must impose a reasonable sentence under federal statutes and the advisory U.S. Sentencing Guidelines.
Former Bucks County Public Safety Officials Sentenced to 4 ½ and 1 ½ Years in Prison for Public CorruptionRead the Press Release
PHILADELPHIA – United States Attorney William M. McSwain announced today that Robert Hoopes, 72, of Doylestown, PA, and Bernard Rafferty, 64, of Langhorne, PA were sentenced to 54 months’ and 18 months’ incarceration, respectively, by United States District Judge Gene E.K. Pratter. In September 2018, Hoopes pleaded guilty to conspiracy to commit money laundering and Hobbs Act Extortion Under Color of Official Right. In March 2018, Rafferty pleaded guilty to conspiracy to commit money laundering and honest services mail fraud.
From February 2016 until December 2016, Hoopes was the Director of Public Safety in Lower Southampton Township, Pennsylvania. In this position, Hoopes had authority over all police, fire, and emergency operations in the township. From 1992 until December 2016, Rafferty was a Deputy Constable in Bucks County.
Together with their co-defendants, including former Magisterial District Judge John Waltman who was sentenced to 78 months’ incarceration earlier this week, Hoopes and Rafferty participated in a scheme to extort bribes and kickbacks from Bucks County businessmen. They also conspired to launder money for individuals they believed were engaged in narcotics trafficking and health care fraud.
For example, in November 2016, Waltman, Hoopes, and Rafferty accepted a bribe of $1,000, as well as the promise of other fees, in exchange for Waltman, Hoopes, and Rafferty to use their positions as public officials to “fix” a traffic case before Waltman in Bucks County Magisterial District Court.
In addition, from June 2015 to November 2016, Waltman, Hoopes, and Rafferty conspired to launder funds represented to be proceeds from health care fraud, and illegal drug trafficking. From June 2016 to August 2016, Waltman, Hoopes, and Rafferty specifically laundered $400,000 in cash and took money laundering fees totaling $80,000 in cash.
“The laws of the land apply to everyone – especially to public officials who hold office to serve the public good,” said U.S. Attorney McSwain. “Hoopes and Rafferty, like their corrupt partner Waltman, chose to flout the rule of law. In doing so, they disgraced themselves and the offices they held. Every public official should be on notice after today’s sentence: federal law enforcement is watching and we will hold you accountable if you make the wrong choices.”
“Hoopes and Rafferty held positions of trust and were expected to protect and serve their community,” said Michael T. Harpster, Special Agent in Charge of the FBI's Philadelphia Division. “Abandoning all pretense of ethics, they instead used their public roles for personal gain. They were willing to engage in what was clearly criminal behavior, so long as it benefitted their bank accounts. Such blatant corruption is toxic to the public trust, and the FBI is gratified these defendants are being held accountable.”
“Honest and law abiding citizens are fed up with the likes of those who use fraud to line their pockets,” said Guy Ficco, IRS-Criminal Investigation Special Agent in Charge. “Robert Hoopes and Bernard Rafferty disregarded the trust placed in them by the public when they made conscious decisions to accept bribes and launder money. Let this serve as a reminder that we will continue to investigate and bring to justice those who commit similar crimes.”
“This week’s sentencings reflects Homeland Security Investigations’ commitment to, and focus on, the investigation of financial crimes,” said Marlon V. Miller, special agent in charge of HSI Philadelphia. “By using their official positions for personal gain, Mr. Hoopes, Mr. Rafferty, and Mr. Waltman violated the trust placed in them by the public. HSI and our law enforcement partners will continue to vigorously investigate those who conspire to knowingly launder illicit funds derived from criminal activities.”
The case was investigated by the Federal Bureau of Investigation, Internal Revenue Service – Criminal Investigations, Homeland Security Investigations, and the Pennsylvania State Police. It is being prosecuted by Assistant United States Attorneys Louis Lappen and Richard Barrett.
Former Bossier Parish deputy sentenced to 51 months in prison for possessing child pornographyRead the Press Release
SHREVEPORT, La. – United States Attorney David C. Joseph announced that James Goldman Grant, 67, of Benton, Louisiana, was sentenced Monday to four years and three months in prison by Chief U.S. District Judge S. Maurice Hicks Jr. for possession of child pornography. He was also sentenced to five years of supervised release and is required to register as a sex offender.
According to information presented in court, law enforcement agents discovered that James Grant’s friend, James Robert Wilson, 34, of Bossier City, Louisiana, had been downloading child pornography. During a search of Wilson’s home on November 6, 2017, agents found more than 100 images of child pornography on electronic devices. Wilson admitted to possessing and distributing images and videos of child pornography and also told the agents that he had met with James Grant, a retired Bossier Parish Sheriff’s deputy, at Grant’s home to view and exchange child pornography. During a search of Grant’s home on November 6, 2017, agents discovered a thumb drive containing approximately 18 videos and 23 images of child pornography. After his arrest, Grant admitted to meeting with Wilson at his home and admitted to downloading the child pornography to watch together with Wilson while he was there. James Grant pleaded guilty on February 11, 2019.
James Robert Wilson pleaded guilty on December 11, 2018 for distributing child pornography, and he was sentenced on March 20, 2019 to 188 months in prison, five years of supervised release and is required to register as a sex offender.
This case is part of Project Safe Childhood, a U.S. Department of Justice nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood combines federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
The U.S. Department of Homeland Security and U.S. Immigration & Customs Enforcement (ICE) also encourage the public to report suspected child predators and any suspicious activity through its toll-free hotline at (866) 347-2423. Investigators are available at all hours to answer hotline calls. Tips or other information can also be submitted to ICE online by visiting their website at www.ice.gov/exec/forms/hsi-tips/tips.asp or through the Operation Predator smartphone application www.ice.gov/predator/smartphone-app. Tips may be submitted anonymously.
The Homeland Security Investigations, FBI, and Louisiana Bureau of Investigation, Cyber Crime Unit, conducted the investigation. Assistant U.S. Attorney J. Aaron Crawford prosecuted the case.
Former Albany-Area HUD Employee Sentenced on Fraud ChargesRead the Press Release
SYRACUSE, NEW YORK – Timothy J. Oravec, age 60, formerly an employee at the United States Department of Housing and Urban Development (HUD) in Albany, New York, was sentenced yesterday afternoon to serve four months imprisonment and three years of supervised release by Senior United States District Judge Frederick J. Scullin, Jr. for committing wire fraud as part of a scheme to defraud the United States and HUD employees by falsely claiming that he had cancer and receiving and using leave time donated to him by his coworkers. The announcement was made by United States Attorney Grant C. Jaquith and Christina Scaringi, Special Agent in Charge for HUD’s Office of Inspector General (OIG), Northeast Region.
As part of his previous guilty plea, Oravec admitted that in 2013 he created a number of letters that purported to be from medical providers at two facilities that treat cancer patients and provided those fabricated letters to his management at HUD to support his assertion that he was then under care and treatment for cancer when that was not the case. He also admitted that he applied for and was accepted into HUD’s Voluntary Leave Transfer Program (“VLTP”), which permits HUD employees with a qualifying medical condition to receive donations of annual leave from other HUD employees and use that leave to take paid time off. Oravec received leave donations from HUD employees through the VLTP and used that donated time to take paid leave, resulting in salary payments to which he was not entitled. Oravec’s scheme was discovered after a HUD supervisor in 2018 questioned a subsequent fraudulent doctor’s note in support of a request for sick leave.
This case was investigated by HUD’s Office of Inspector General (HUD-OIG) and was prosecuted by Assistant U.S. Attorney Michael D. Gadarian.
Fitchburg Man Charged with Fentanyl TraffickingRead the Press Release
BOSTON – A Fitchburg man was indicted yesterday in federal court in Boston in connection with drug trafficking activities involving fentanyl.
Sebastian Batista, 25, was charged with one count of possession with intent to distribute more than 40 grams of fentanyl. Batista was arrested on state charges on Feb. 28, 2019, and has been in custody since. Batista will appear in federal court in Boston at a later date.
The charge of distribution of more than 40 grams of fentanyl carries a mandatory minimum sentence of five years and up to 40 years in prison, a minimum of four years and up to a lifetime of supervised release, and a fine of up to $5 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling and Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division, made the announcement today. Valuable assistance was provided by the Waltham Police Department and the Middlesex County District Attorney’s Office. Assistant U.S. Attorney Stephen W. Hassink of Lelling’s Narcotics and Money Laundering Unit is prosecuting the case.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Federal Jury Convicts California Man of Cocaine ConspiracyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that a federal jury has convicted Raul Everado Ledesma Abarca, 36, of San Diego, California of conspiracy to possess with intent to distribute, and to distribute, five kilograms or more of cocaine, possession with intent to distribute five kilograms or more of cocaine, and maintaining a drug-involved premises. The charges carry a mandatory minimum penalty of 10 years in prison, a maximum of life, and a $10,000,000 fine.
Assistant U.S. Attorneys Michael J. Adler and Jeremiah E. Lenihan, who are handling the prosecution of the case, stated that between September 2014 and September 2016, the defendant, along with co-defendant Armando Ernesto Abarca and others, conspired to possess and distribute cocaine. The defendants rented a storage unit in Amherst, NY, to store the cocaine. The unit was rented on the same day that a 104 kilogram shipment of cocaine arrived in Buffalo. A total of 43 kilograms of cocaine were discovered after the unit was purchased at an auction due to delinquent rent payments. The fingerprints of both the defendant and Armando Abarca were discovered on items in the unit.
Prior to the discovery of the cocaine in Amherst, the Abarcas were investigated for cocaine trafficking in Ohio. The Government presented evidence at trial of the seizure of 55 kilograms of cocaine in Dayton, OH, in a vehicle registered to a Buffalo, NY address. Approximately half of the 55 kilograms was intended for the defendant’s distribution operation based out of Columbus, OH.
Armando Ernesto Abarca, 22, of Modesto, California, was previously convicted of conspiracy to possess with intent to distribute, and to distribute, five kilograms or more of cocaine, and sentenced to serve 168 months in prison.
The verdict is the culmination of an investigation on the part of the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division; Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly; the Internal Revenue Service, Criminal Investigations Division, under the direction of Acting Special Agent-in-Charge Jonathan D. Larsen, New York Field Office; and the Amherst Police Department, under the direction of Chief John Askey. Additional assistance was provided by ICE-HSI in Los Angeles, California; DEA in Columbus, OH; and DEA in Dayton, OH.
Sentencing is scheduled for October 21, 2019, before U.S. District Judge Elizabeth A. Wolford, who presided over the trial.
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Federal Grand Jury Indictments AnnouncedRead the Press Release
United States Attorney Trent Shores announced today the results of the June 2019 Federal Grand Jury B.
The following individuals have been charged with violations of United States law in indictments returned by the Grand Jury. The return of an indictment is a method of informing a defendant of alleged violations of federal law, which must be proven in a court of law beyond a reasonable doubt to overcome a defendant’s presumption of innocence.
Ken Lee, Veng Xiong, Xiongkou Her, and Kosh Kash Cannady Lor- Superseding Indictment. Drug Conspiracy; Possession of Firearms in Furtherance of a Drug Trafficking Crime (2 Counts); Felon in Possession of a Firearm. Ken Lee, 24; Veng Xiong, 32; Xiongkou Her, 23; and Kosh Kash Cannady Lor, 24, all of Tulsa, are charged with conspiring to possess with intent to distribute and to distribute 500 grams or more of methamphetamine. Lee and Her are also charged with possessing a Glock .40 caliber semi-automatic pistol and a Taurus .38 caliber special revolver in furtherance of their drug trafficking crimes. Xiong and Lor are charged with possessing a Winchester 12 gauge shotgun and associated ammunition in furtherance of their drug trafficking crimes. Xiong is further charged with being a felon in possession of a Winchester 12 gauge shotgun, a ROMARM/CUGIR 7.62x39 mm semi-automatic rifle, a Glock .40 caliber semi-automatic pistol, and a Taurus .38 caliber special revolver. The investigative agencies are the Osage Nation Tribal Police, Osage County Sheriff’s Office; FBI; Bureau of Alcohol, Tobacco, Firearms and Explosives; Oklahoma Bureau of Narcotics and Dangerous Drugs, and Oklahoma Highway Patrol.
Krishna Parchuri, Christopher Parks, Gary Lee, and Jerry Keepers- Superseding Indictment. Conspiracy to Offer and Pay, and Solicit and Receive Health Care Kickbacks; Conspiring to Commit Health Care Fraud; Soliciting and Receiving Health Care Kickbacks; Obstruction of Criminal Investigations of Health Care Offense. Parchuri, 44, of Tulsa, Parks, 57, of Tulsa, Lee, 58, of Tulsa, and Keepers, 65, of Kingwood, Texas, are charged with conspiring to offer and pay, and solicit and receive health care kickbacks; and conspiring to commit health care fraud. Keepers and Parchuri are also charged with soliciting and receiving illegal bribes and kickback payments. Parchuri is further charged with obstructing the criminal investigation into the health care offenses. The Department of Labor- Office of Inspector General (OIG), IRS- Criminal Investigation, U.S. Postal Service- OIG, Department of Veterans Affairs- OIG, FBI, the Department of Health and Human Services- OIG, and Defense Criminal Investigative Service conducted the investigation.
Ellwood City Man Convicted on Federal Drug ChargesRead the Press Release
PITTSBURGH, PA - After deliberating for two hours, a federal jury of seven men and five women found Taurean Potter guilty of one count of Conspiracy to Distribute Cocaine and one count of Distribution of Cocaine, United States Attorney Scott W. Brady announced today.
Potter, age 33, of Ellwood City, Pennsylvania was tried before United States District Judge Arthur J. Schwab in Pittsburgh, Pennsylvania.
According to Assistant United States Attorneys Brendan T. Conway and Yvonne Saadi, who prosecuted the case, the evidence presented at trial established that Potter sold cocaine out of Ellwood City bars in 2017 and 2018, and he sold cocaine to other cocaine dealers who would further distribute the cocaine. In addition, on October 14, 2017, Potter sold cocaine to an undercover narcotics agents with the Pennsylvania Attorney General’s Office.
Judge Schwab scheduled sentencing for October 31, 2019. The law provides for a total sentence of sixty years in prison, a fine of $4,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based on the seriousness of the offenses and the prior criminal history, if any, of the defendant.
The Pennsylvania Attorney General’s Office, in conjunctions with the Drug Enforcement Administration and the Lawrence County Drug Task Force, conducted the investigation that led to the prosecution of Potter.
Downstate Man Pleads Guilty for His Role in Identity Theft ScamRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Michael Wright, 56, of New York, NY, pleaded guilty before U.S. District Judge Richard J. Arcara to conspiracy to commit wire fraud and aggravated identity theft. The charges carry a minimum penalty of two years in prison, a maximum of 22 years, and a $500,000 fine.
Assistant U.S. Attorneys Jonathan P. Cantil and Stephanie Lamarque, who are handling the case, stated that December 2016 and September 2018, the defendant conspired with Jeriel Slay, Angela Slay, Sirr Wright, and others to defraud multiple victims. As a part of their scheme, Jeriel and Angela Slay, who are siblings, stole the identities of unsuspecting individuals and created fictitious Limited Liability Companies (LLCs), with company names indicating ownership by the victims. The defendants then opened bank accounts under the names of the LLCs and fraudulently transferred money from a victim’s actual bank account to the LLC bank account.
For example, Jeriel Slay fraudulently obtained Victim 1’s name, address, birthdate, social security number, and other information, and then opened an LLC, and a bank account in the name of the fraudulent LLC. Jeriel Slay then contacted Victim 1’s legitimate financial institution and transferred money from Victim 1’s legitimate account via wire transfer to the fraudulent LLC bank account. Jeriel Slay, using device-making equipment, then created fraudulent driver’s licenses, fraudulent utility bills, and other identification documents in the name of Victim 1. The fraudulent driver’s license had Victim 1’s information but Michael Wright’s, image on the card. Using these fraudulent identification documents, Wright went to the bank that serviced the fraudulent LLC bank account and withdrew the funds from that fraudulent account. Wright executed this scheme against approximately 10 victims, one of whom resides in the Western District of New York. The financial loss totaled $161,100.
Charges remain pending against co-defendants Jeriel Slay, Angela Slay, and Sirr Wright. The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
The plea is the result of an investigation by the Federal Bureau of Investigation, Buffalo Division, under the direction of Special Agent-in-Charge Gary Loeffert.
Sentencing is scheduled for October 10, 2019, at 12:30 p.m. before Judge Arcara.
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Dominican National Pleads Guilty to Illegal Reentry, Money LaunderingRead the Press Release
BOSTON - A Dominican national pleaded guilty yesterday in federal court in Boston to illegally reentering the United States after being deported and participating in a money laundering conspiracy that laundered or attempted to launder between $150,000 and $250,000 worth of drug sales proceeds.
Rafael Pascal, 55, pleaded guilty to illegal reentry of a deported alien and money laundering conspiracy. U.S. District Court Judge F. Dennis Saylor, IV, scheduled sentencing for Sept. 10, 2019.
According to court records, Pascal was deported on Jan. 5, 2002, subsequently reentered the United States, and was convicted of illegally reentering the country in 2012. In 2013, Pascal was again deported to the Dominican Republic, and sometime thereafter, again illegally entered the United States. On May 6, 2018, Pascal was arrested in Wakefield on state drug charges.
From approximately March 1, 2017, through at least July 2017, Pascal participated in a conspiracy to launder money obtained from the sale of controlled substances. Pascal admitted that he picked up cash proceeds from drug sales from various individuals and then delivered the money to individuals who were responsible for laundering the money. Pascal picked up and delivered varying quantities of cash, including, on one occasion, $59,060, which he delivered to an undercover law enforcement officer. Pascal stipulated that during the time that he participated in the conspiracy, he and his coconspirators laundered or attempted to launder between $150,000 and $250,000 in drug proceeds.
The charge of illegal reentry after deportation provides for a sentence of no greater than 20 years in prison, three years of supervised release, and a fine of $250,000. The charge of money laundering conspiracy provides for a sentence of no greater than 20 years in prison, three years of supervised release, and a fine of $500,000. Pascal will be subject to deportation upon completion of his sentence. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; Kristina O’Connell, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston; Marcos D. Charles, Acting Field Office Director, Boston, U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations; and Colonel Kerry Gilpin, Superintendent of the Massachusetts State Police made the announcement today. The Boston Organized Crimes Drug Enforcement Task Force (OCDETF) and the Wakefield, Arlington, Ipswich, Somerville and Boston Police Departments assisted with the investigation. Assistant U.S. Attorney James E. Arnold of Lelling’s Narcotics and Money Laundering Unit is prosecuting the case.
Dominican National Indicted on Fentanyl, Heroin, Identity Theft ChargesRead the Press Release
BOSTON – A Dominican national was indicted today in federal court in Worcester on drug and identity theft charges.
Jonathan Francisco Bobadilla Rosa, 30, a Dominican national residing in Worcester, was indicted on possession with intent to distribute 100 grams or more of heroin and 40 grams or more of fentanyl, false representation of a Social Security number and aggravated identity theft.
According to court documents, on Dec. 14, 2018, law enforcement seized approximately 138 grams of a substance containing both heroin and fentanyl from a backpack carried by Bobadilla Rosa. In addition, on Feb. 14, 2018, Bobadilla Rosa falsely represented that the Social Security number of another person belonged to him in an application for a Massachusetts identification card from the Massachusetts Registry of Motor Vehicles.
The charge of possession with intent to distribute 100 grams or more of heroin and 40 grams or more of fentanyl carries a mandatory minimum sentence of five years and up to 40 years in prison, a minimum of four years and up to a lifetime of supervised release, and a fine of $5 million. The charge of false representation of a Social Security number carries a sentence of no greater than five years in prison, three years of supervised release, and a fine of $250,000. The charge of aggravated identity theft carries a mandatory sentence of two years in prison, to be served consecutive to any other sentence imposed, three years of supervised release, and a fine of $250,000. Bobadilla Rosa will be subject to deportation proceedings. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling and William B. Gannon, Special Agent in Charge of the U.S. Department of State, Diplomatic Security Service, Boston Field Office, made the announcement today. Valuable assistance was provided by the Massachusetts Attorney General’s Office and the Massachusetts State Police. Assistant U.S. Attorneys Bill Abely and John Mulcahy of Lelling’s Criminal Division are prosecuting the case.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Doctor sentenced to prison for prescribing narcotics to non-patientsRead the Press Release
SAVANNAH, Ga: A physician with clinics in Pooler, Ga., and Braselton, Ga., was sentenced to nearly three years in federal prison for illegally prescribing drugs to non-patients.
Dr. Johnny Di Blasi, 46, of Braselton, Ga., was sentenced to 33 months in prison after pleading guilty to Conspiracy to Unlawfully Dispense Controlled Substances (Oxycodone), said Bobby L. Christine, United States Attorney for the Southern District of Georgia.
Di Blasi had been in custody since Christmas Eve, when he was arrested at Miami International Airport by agents from the U.S. Drug Enforcement Administration as he waited to board a flight to Medellin, Colombia, in an attempt to flee prosecution.
As described in court filings and in court proceedings, Di Blasi, known as “Dr. Johnny,” admitted writing prescriptions for narcotics, including opioids and amphetamines, to non-patients – many of whom he never met. Di Blasi wrote the prescriptions through clinics he operated in Pooler, Ga., and Braselton, Ga., to individuals traveling from at least 11 states. In addition, Di Blasi also provided and sold prescriptions for opioid pain medications and amphetamines to non-patients he met in restaurants and bars. One of those receiving prescriptions was an individual who was in prison at the time the prescription was written.
Di Blasi’s illegal practices took place for more than a year, with the DEA initiating a formal investigation in March 2018.
“Unscrupulous, profiteering medical professionals not only abuse their trust as health care providers, but feed the illicit pipeline of drugs that fuel the opioid crisis in our communities,” said Southern District of Georgia U.S. Attorney Bobby L. Christine. “As the arrest and prosecution of Di Blasi demonstrates, we and our law enforcement partners will be relentless in removing dangerous drug distributors from our neighborhoods, whether they are street-corner dealers or professionals who disgrace their lab coats.”
Robert J. Murphy, the Special Agent in Charge of the DEA Atlanta Field Division said, “It is sad commentary when medical professionals like Dr. Di Blasi use their position of trust to hide behind the veil of legitimacy to commit criminal acts. The reckless distribution of pharmaceuticals results in addiction and death, and this doctor can no longer do harm to drug-seeking customers. Many thanks to the hard-working law enforcement partners who made this case a success.”
“Dr. Di Blasi flagrantly violated his oath to do no harm, opting instead to line his pockets by illegally prescribing drugs,” said Derrick L. Jackson, Special Agent in Charge for the Office of Inspector General of the U.S. Department of Health and Human Services. “Working with our law enforcement partners, we will continue fighting those seeking to defraud government health programs.”
Said Chatham-Savannah Counter Narcotics Team Director Everett Ragan, “There are a lot of good doctors who take their medical oath seriously. Sadly, Dr. Di Blasi opted to go against his, which in turn continues furthering the opioid crisis. His arrest is a prime example that we will seek all drug dealers no matter if they wear a white coat or what their day job or title is.”
The case was investigated by the Drug Enforcement Administration (DEA), the Office of Inspector General of the U.S. Department of Health and Human Services, and the Chatham-Savannah Counter Narcotics Team (CNT), with assistance from the U.S. Marshals Service. Assistant U.S. Attorneys Matthew Josephson and J. Thomas Clarkson prosecuted the case for the United States.
District Woman Found Guilty of Aggravated Assault While Armed for Slashing Victim’s Face at Bus StopRead the Press Release
WASHINGTON – Camille Covington, 34, of Washington, D.C., was found guilty by a jury yesterday of aggravated assault while armed after violently attacking a woman at a bus stop in Northwest Washington, U.S. Attorney Jessie K. Liu announced.
Covington was found guilty on June 11, 2019, following a trial in the Superior Court of the District before the Honorable Ronna L. Beck. Covington was convicted of aggravated assault while armed and assault with a dangerous weapon. The Honorable Judge L. Beck scheduled sentencing for August 16, 2019, and Covington will be detained in jail pending the sentencing date.
According to the government’s evidence at trial, on October 31, 2016, the victim first encountered Covington near Truesdell Elementary School. Both women’s children attend the school. The victim was headed to a bus stop located at the intersection of 9th and Kennedy Street NW to catch a bus to her English-language classes, when Covington forcefully bumped into the victim on the sidewalk. Minutes later, Covington violently attacked the victim while she stood at the bus stop, slashing her face and neck with a knife. The victim lost a significant amount of blood, and has permanent injuries to her face. During the assault, Covington yelled several times: “I don’t like Hispanic Women.” The victim is a Hispanic woman. The jury found that Covington’s aggravated assault on the victim was not a “biased-related” crime.
When a passerby saw Covington attacking the victim and tried to intervene, Covington threatened him with a knife. The jury convicted Covington of assault with a dangerous weapon for that assault.
In announcing the verdict, U.S. Attorney Liu commended the work of those who investigated the case from the Washington Metropolitan Area Transit Authority Police Department. She also acknowledged the work of those who handled the case at the U.S. Attorney’s Office, including Litigation Technology Specialist William Henderson; Victim/Witness Service Coordinator Katina Adams-Washington; interns Ashley Young, Holly Tripp, and Elliott Riches; Assistant U.S. Attorneys Gregory Rosen and Ethan Carroll for investigating the case; and Assistant U.S. Attorneys Nicole McClain and Janani Iyengar for prosecuting the case at trial.
District Man Sentenced to 16 Years in Prison for Being the Leader of a Large-Scale Narcotics ConspiracyRead the Press Release
WASHINGTON – Anthony Fields, 45, of Washington, D.C., was sentenced today to 16 years in prison stemming from his leadership role in a large-scale narcotics conspiracy, announced U.S. Attorney Jessie K. Liu, Ashan M. Benedict, Special Agent in Charge of the Washington Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and Peter Newsham, Chief of the Metropolitan Police Department (MPD).
Fields, Abdul Samuels, 45, of Washington, D.C., and Lonnell Tucker, 42, of Temple Hills, Md., were found guilty on March 21, 2019, following a trial in the U.S. District Court for the District of Columbia before the Honorable Amit P. Mehta. Fields was convicted of engaging in a conspiracy to distribute and possess with intent to distribute heroin, phencyclidine (pcp), fentanyl, suboxone, marijuana, and synthetic cannabinoids, in various amounts, and maintaining a residence for drug trafficking purposes. Judge Mehta sentenced Fields to a prison term of 16 years. Following his prison term, Fields will be placed on eight years of supervised release.
In June 2017, ATF began investigating the trafficking of narcotics from the Next Level Cuts barbershop located in the 2400 block of MLK, Jr., Avenue, SE and adjoining property above. Through surveillance, controlled purchases from inside and outside the barbershop, residential search warrants, cellphone searches, arrests, jailhouse calls, pleas, and cooperating witnesses, law enforcement discovered a coordinated drug trafficking operation that was centered at the barbershop and extended into Maryland. The investigation established that drug traffickers used the barbershop and adjoining property as a stash location.
The investigation led to a series of arrests beginning in February 2018 which led to the recovery of three firearms from the barbershop and one firearm in a residence, the seizure of more than $7,000 in cash, and without packaging, the seizure of more than 300 grams of PCP, more than 150 grams of heroin, more than 100 grams of fentanyl, boxes of suboxone strips, and more than 100 grams of a cutting agents. In addition to being convicted of conspiring to distribute narcotics, Fields was convicted of possessing 100 grams or more of PCP and 100 grams or more of heroin and using the residence above the barbershop as a location to traffic narcotics.
During the trial, officers from the Prince George’s County Police Department and the Maryland Office of the State Prosecutor testified regarding a separate arrest of Fields in 2017 in Maryland, in which cutting agents, false bottom containers, and over $7,000 in U.S. currency were recovered from a vehicle that Fields was operating after law enforcement observed him purchasing items from a location that was well known for the selling of drug paraphernalia.
During the sentencing, Judge Mehta found that Fields obstructed justice during the course of the Government’s investigation.
The Defendant was previously convicted of assault with intent to kill while armed in D.C. Superior Court in 2002, following the shooting of a victim on a public street and was on supervised release for that offense with the U.S. Parole Commission at the time the present conspiracy took place. The Defendant also has additional firearms and drug trafficking convictions from separate cases.
Samuels and Tucker have yet to be sentenced for their roles in the drug trafficking conspiracy. Three other defendants – Darryl Smith, 41, of Washington, D.C., James Venable, 47, of Fort Washington, Md., and Lacy Hamilton, 42, of Suitland, Md. – pled guilty earlier to federal charges. Another defendant remains at large as a fugitive. Smith managed the barbershop and was sentenced to 80 months in prison relating to his possession of narcotics in the barbershop on February 1, 2018, and for his possession of packaged fentanyl and a loaded firearm following an arrest by MPD in December 2017 outside of the barbershop. Venable, another conspirator, was sentenced to a 37-month prison term following his possession of narcotics and a firearm in both Washington, D.C. during a December 2017 arrest by MPD and at his residence in Maryland on February 1, 2018. Venable also acknowledged selling narcotics to an ATF confidential informant in July 2017. Hamilton was sentenced to a 15-month prison term for selling narcotics outside the barbershop and in Maryland as part of the charged narcotics conspiracy.
In announcing the sentence, U.S. Attorney Liu, Special Agent in Charge Benedict, and Chief Newsham commended the assistance provided by officers and agents of the Prince George’s County Police Department, Metropolitan Washington Airports Authority, and the Maryland Office of the State Prosecutor. They also acknowledged the efforts of those who handled the case from the U.S. Attorney’s Office, including Assistant U.S. Attorneys Christopher Macchiaroli and Gregory Rosen of the Violent Crime and Narcotics Trafficking Section, and Paralegal Specialist Candace Battle.
Detroit Man Pleads Guilty to Heroin DistributionRead the Press Release
CHARLESTON, W.Va. – A man from Detroit, Michigan, pled guilty to a federal drug trafficking charge, announced United States Attorney Mike Stuart. Eddie Riago-Javone Bryant, 27, pled guilty to possession with intent to distribute heroin before Senior United States District Judge John T. Copenhaver, Jr. Stuart commended the investigation conducted by the Metropolitan Drug Enforcement Network Team (MDENT), the Charleston Police Department, the West Virginia State Police, and the Drug Enforcement Administration.
“Another Detroit drug dealer is convicted,” said United States Attorney Mike Stuart. “They are not welcome in the Southern District of West Virginia.”
According to public court hearings and Bryant’s plea agreement, Bryant sold drugs to a police undercover confidential informant in Charleston and Cross Lanes, West Virginia, on February 8, 2018; February 12, 2018; and February 14, 2018. Bryant sold drug mixtures containing heroin, fentanyl, and phencyclidine (PCP). On February 15, 2018, investigators arrested Bryant at the Cross Lanes Motel 6 and found that he was carrying around 30 grams of a heroin mixture, $688 in drug proceeds, and a digital scale.
After Bryant’s release from jail, he again sold a mixture of heroin and fentanyl to a confidential informant on April 18, 2018, in Charleston. Investigators arrested Bryant and executed a search warrant at his apartment on West Washington Street. They recovered approximately 12 grams of a heroin and fentanyl mixture and found a .22 caliber revolver hidden in a cereal box in the kitchen cabinets.
Bryant faces up to 20 years in federal prison when he is sentenced on September 10, 2019. Assistant United States Attorneys Drew O. Inman and Joshua C. Hanks are handling the prosecution.
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Denver Man Sentenced to Federal Prison for Collecting Child PornographyRead the Press Release
DENVER – Edward Lewis, age 28, of Denver, was sentenced yesterday to serve 72 months (6 years) in federal prison, followed by 15 years on supervised release for possession of child pornography, announced U.S. Attorney Jason Dunn and FBI Denver Field Office Special Agent in Charge Dean Phillips. Lewis was also ordered to pay $21,000 restitution to the victims depicted in the images he possessed.
The sentence was handed down by U.S. District Court Judge William J. Martinez. Defendant Lewis, who appeared at the sentencing hearing on bond, was remanded by Judge Martinez at the hearing’s conclusion. He will serve his prison time at a location to be determined by the U.S. Bureau of Prisons.
Lewis was first charged by indictment on April 4, 2018. He pled guilty to possession of child pornography on October 2, 2018. He was sentenced yesterday, June 12, 2019. Agents believed he had well over 200,000 images and videos of child pornography and child erotica.
According to the stipulated facts contained in the plea agreement, Lewis used a peer-to-peer file sharing network called Torrent. From August 8, 2017 through September 5, 2017, an FBI special agent working in an undercover capacity signed on to the Torrent network and downloaded child pornography from Lewis’s IP address that he made available for sharing. Lewis admitted he downloaded most of his child pornography collection from a service that he paid for. He said he had been collecting child pornography for at least three years and had downloaded more videos and images than he could review.
“One image is bad enough, but 200,000 is simply unfathomable,” said U.S. Attorney Jason Dunn. “We will continue to do our part here in Colorado to vigorously attack what is truly an international problem.”
“The recent sentencing of Edward Lewis represents the FBI’s commitment to protect our most vulnerable citizens, our children,” said FBI Denver Special Agent in Charge Dean Phillips. “The FBI’s Innocent Images Task Force will continue to work diligently with the United States Attorney’s Office to investigate and prosecute cases involving the sexual exploitation of children.”
This case was investigated by the FBI. The defendant was prosecuted by Assistant U.S. Attorney Valeria Spencer.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Cranston Resident Admits to Possessing Child PornographyRead the Press Release
PROVIDENCE – A Cranston man is facing a recommended term of incarceration of 42 months in federal prison when he is sentenced in September, after admitting to a federal court judge on Wednesday that he had been in possession of over 40,000 images and 800 videos of child pornography.
According to information presented in court, in January 2018, members of the Rhode Island State Police Internet Crimes Against Children (ICAC) Task Force observed an IP address sharing files of suspected child pornography. Law enforcement connected the IP address to Steven Papazian, 32, of Cranston.
On February 8, 2018, members of the ICAC Task Force executed a court-authorized search of Papazian’s residence and seized a computer and multiple digital storage devices. A forensic audit of the computer identified over 40,000 images and 800 videos of child pornography, including several previously identified victims.
Papazian’s guilty plea on Wednesday to possession of child pornography is announced by United States Attorney Aaron L. Weisman, Superintendent of the Rhode Island State Police Colonel James M. Manni, and Homeland Security Investigations Special Agent in Charge Peter C. Fitzhugh.
Papazian is scheduled to be sentenced by U.S. District Court Chief Judge William E. Smith on September 26, 2019. An agreed upon plea agreement filed in this matter recommends the court impose a sentenced of 42 months in federal prison.
The case is being prosecuted by Assistant U.S. Attorney John P. McAdams.
The matter was investigated by the ICAC Task Force, with the assistance of Homeland Security Investigations.
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Cranston Man Facing 10 Years to Life in Prison for Enticing Minors OnlineRead the Press Release
PROVIDENCE – Paul J. Stabile, 39, of Cranston, faces 10 years to life in federal prison when he is sentenced in September, having pleaded guilty on Wednesday to one count of enticement of a minor to engage in sexual activity and one count of possession of child pornography, announced United States Attorney Aaron L. Weisman and Special Agent in Charge of the FBI Boston Division Joseph R. Bonavolonta.
According to information presented in Court, between October 2017 and December 2017, Stabile used an online persona “Cindi Mennillo” to pretend to be a 16 year-old old girl from Newport, R.I. Using the online persona, Stabile persuaded numerous young boys between the ages of 13-15 to engage in explicit sexual activity in live stream videos over Facebook Messenger and Skype.
The investigation began when the mother of a 14 year old boy in Nevada reported to the FBI that her son was the victim of an online enticement. The investigation uncovered chats between Stabile, pretending to be a 16 year-old girl, and the minor victim. Stabile directed the minor victim to send back live video streams of himself masturbating. As part of the effort to deceive the minor victim, Stabile falsely claimed technical difficulties were preventing “Cindi” from reciprocating with live video. Instead Stabile sent the Minor Victim images, both pornographic and non-pornographic, of an athletic young female purported to be “Cindi.”
In November 2018, a federal court authorized search warrant was executed at Stabile’s Cranston residence by law enforcement. Several computers and other media devices seized were found to contain child pornography, including videos of dozens of young teenage boys performing a sex act in a similar manner to the Nevada-based minor victim. Also found were the images sent by “Cindi” to the minor victim.
Stabile admitted to law enforcement that he used the “Cindi Mennillo” online persona to communicate with minors as young as 14, sent them sexually explicit and pornographic images, and persuaded them to livestream video of themselves engaged in explicit sexual activity, which he recorded.
At sentencing on September 26, 2019, Stabile faces a statutory mandated minimum prison sentence of 10 years, up to life in federal prison.
The case is being prosecuted by Assistant U.S. Attorney John P. McAdams.
The case was investigated by the FBI with assistance from members of the Rhode Island State Police Internet Crimes Against Children Task Force, the Warwick and Cranston Police Departments, and the Washoe County, Nevada Sherriff’s Department.
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Citizen of the Dominican Republic Guilty for Role in Stolen Identity Tax Refund Fraud SchemeRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, and Kristina O’Connell, Special Agent in Charge of IRS Criminal Investigation in New England, today announced that a federal jury in Bridgeport has found AMAURY VLADIMIR REYES-BATISTA, 43, a citizen of the Dominican Republic residing in New Britain, guilty of multiple charges related to his involvement in a stolen identity tax refund fraud scheme. The trial before U.S. District Judge Stefan R. Underhill began on June 10 and the jury returned its verdict late yesterday.
According to court documents, statements made in court and the evidence introduced during the trial, this matter stems from an investigation into individuals who, through various means, obtained fraudulent U.S. Treasury tax refund checks using stolen identities. The investigation revealed that Reyes-Batista and an associate obtained, on the black market, federal tax refund checks that were fraudulently obtained in the names of other persons. Reyes-Batista then deposited the checks into a bank account controlled by his associate. In January 2012, Reyes-Batista deposited 21 refund checks totaling approximately $124,000 at TD Bank branches in New Britain, Berlin and Southington.
Reyes-Batista was arrested on February 3, 2015. At the time of his arrest, he provided a false name, date and place of birth, and Social Security Number to law enforcement. The identifying information Reyes-Batista provided belonged to an individual living in Puerto Rico.
The jury found Reyes-Batista guilty of one count of conspiracy to commit theft of public money, which carries a maximum term of imprisonment of five years; eight counts of theft of public money, which carries a maximum term of imprisonment of 10 years on each count, and one count of making false statements to law enforcement, which carries a maximum term of imprisonment of five years. Reyes-Batista was found not guilty of 13 additional counts of theft of public money.
Judge Underhill scheduled sentencing for September 4, 2019.
Reyes-Batista was detained from the date of his arrest until April 19, 2018, when he was released on a $100,000 bond.
The investigation revealed that Reyes-Batista was removed to the Dominican Republic in 1996 after sustaining a conviction in New York state court for attempted heroin distribution. He illegally returned to the U.S. in 1999.
This matter is being investigated by the Internal Revenue Service – Criminal Investigation Division, and is being prosecuted by Assistant U.S. Attorney Hal Chen.
Chandler Man Imprisoned FOR SMUGGLING AND SELLING VIETNAMESE CIGARETTESRead the Press Release
PHOENIX –On June 10, 2019, Vien Tang, 49, of Chandler, AZ, was sentenced by U.S. District Judge David G. Campbell to 8 months in prison for Unlawful Importation of Tobacco.
From 2014 through May 2018, Tang and his then-wife, Lien Tang, 47, had Vietnamese cigarettes shipped from Vietnam to their home in Chandler. Approximately 8,000 cartons of cigarettes, which were concealed in packages designed to look like wrapped gifts, were delivered to the Tang home during the scheme. On a daily basis, Tang sold the smuggled cigarettes for cash out of the back of vehicles in parking lots of businesses in Mesa and Chandler. Tang frequently traveled to Vietnam to arrange for the cigarette shipments, and in his absence, Lien Tang handled daily sales.
Lien Tang previously pleaded guilty to the same charge and was sentenced to three years’ probation. The Tangs were ordered to pay more than $275,000 in restitution.
The investigation was conducted by the U.S. Postal Inspection Service, the Department of Homeland Security-Criminal Investigations, and the Department of Treasury, Alcohol and Tobacco Tax and Trade Bureau. The prosecution was handled by Monica B. Edelstein, Assistant U.S. Attorney, District of Arizona, Phoenix.
Cedar Rapids Man Who Sold Heroin Near a School Sentenced to PrisonRead the Press Release
A Cedar Rapids man who sold heroin near an intermediate school in Cedar Rapids was sentenced today to 41 months in prison.
Andre Daniel Wilks, age 45, from Cedar Rapids, Iowa, received the prison sentence after a November 19, 2018 guilty plea to distribution of a controlled substance within 1,000 feet of a school.
Information disclosed at sentencing and at his plea hearing showed that Wilks was sentenced to federal prison in 2002 for his involvement in an offense involving over 3,000 grams of cocaine. Wilks was discharged from his federal sentence in 2015. In mid-2016 Wilks started selling heroin. On March 30, 2017, Wilks sold heroin within 1,000 feet of a school in Cedar Rapids. In total, Wilks was responsible for selling about 95 grams of heroin around the Cedar Rapids area. Wilks has 24 prior criminal convictions dating back to the age of 18.
Wilks was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Wilks was sentenced to 41 months’ imprisonment. He was ordered to make payment of $100 to the special assessment fund. He must also serve a 6-year term of supervised release after the prison term. There is no parole in the federal system.
The case was prosecuted by Assistant United States Attorney Ashley Corkery and investigated by the Drug Enforcement Agency and the Cedar Rapids Police Department’s Narcotics and uniform division.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 18-CR-00084.
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Cazenovia Man Pleads Guilty to Sexually Exploiting a ChildRead the Press Release
SYRACUSE, NEW YORK – Naven Conley, age 75, of Cazenovia, New York, pled guilty today to three counts of sexual exploitation of a child, announced United States Attorney Grant C. Jaquith, Kevin M. Kelly, Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI), and New York State Police Acting Superintendent Keith Corlett.
In entering his guilty plea today in United States District Court, Conley admitted that on three separate occasions he engaged in sexually explicit conduct with a minor under seven years of age and produced video recordings of that conduct over the course of three years.
As part of his guilty plea, Conley admitted that from 2016 through 2018 he used a cellular telephone to record sex acts that he engaged in with a child who was under the age of seven. In addition, to that conduct, Conley also admitted that he possessed 21 images and 15 video files depicting child pornography that he received over the internet. Conley further admitted that he showed those images and videos to the child victim as part of his efforts to convince the child to engage in sex acts with him.
United States Chief District Judge Glenn T. Suddaby will sentence Conley on October 23, 2019. He faces a mandatory minimum term of 15 years imprisonment on each count, with a maximum penalty of 30 years imprisonment per count. He will be required to serve a term of supervised release of a minimum of 5 years, and up to life, following his term of imprisonment. Conley will also be required to register as a sex offender.
Conley’s case was investigated by U.S. Homeland Security Investigations (HSI) and the New York State Police, Troop D, Computer Crimes Unit. The case is being prosecuted by Assistant U.S. Attorney Geoffrey J. L. Brown
Carlos E. Reyes-Rosado, a.k.a. “Farruko” Sentenced to Probation for Bulk Cash Smuggling into the United StatesRead the Press Release
SAN JUAN, Puerto Rico – Carlos E. Reyes-Rosado, a.k.a. “Farruko” was sentenced by United States Chief Judge Gustavo A. Gelpí to three years’ probation, and ordered to forfeit $41,802.00, announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico. Reyes-Rosado entered a straight plea on the two counts of the indictment on March 7, 2019.
On April 4, 2018, Reyes-Rosado was arrested for failure to declare the transportation of monetary instruments in excess of $10,000, and bulk cash smuggling into the United States. According to the indictment, on April 2, 2018, the defendant arrived at the Fernando Luis Ribas Dominicci Airport in San Juan from the Dominican Republic. The defendant completed a Customs Declaration (CBP Form 6059B) in which he declared he was not carrying currency or monetary instruments over $10,000.
During inspection, Customs and Border Protection (CBP) Officers, with a service canine, alerted positive on two suitcases to narcotics. Reyes-Rosado claimed ownership of both suitcases and the officers proceeded with further inspection. The CBP officers asked the defendant if he was carrying more than $10,000 and he said he was carrying bout $7,000, although he was not sure. Further inspection revealed currency concealed under the insoles of shoes inside the suitcases for a total of $51,802.
Based on the facts concerning the case, Reyes-Rosado was charged with intent to evade a currency reporting requirement under Title 31, United States Code, Section 5316, by knowingly concealing more than $10,000 in currency in a conveyance, article of luggage, merchandise, or other container, and transporting such currency from the Dominican Republic into Puerto Rico.
The case was prosecuted by Assistant U.S. Attorney María L. Montañez-Concepción. The investigation was conducted by the Department of Homeland Security, Immigration and Customs Enforcement, and Customs and Border Protection.
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Canton man charged with using firearm to traffic heroin, fentanyl, methamphetamine and crack cocaineRead the Press Release
A seven-count indictment was unsealed charging a Canton man with using a firearm to traffic heroin, fentanyl, methamphetamine and crack cocaine.
Jack Dale Mitchell, 43, was indicted on two counts of possession with intent to distribute methamphetamine, two counts of possession with intent to distribute fentanyl, one count of possession with intent to distribute heroin, one count of possession with intent to distribute crack cocaine and one count of possession of a firearm in furtherance of drug trafficking.
Mitchell possessed the aforementioned drugs on February 12, as well as a Ruger 9 mm pistol, according to the indictment.
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal records, if any, the defendant’s role in the offense and the characteristics of the violations. In all cases, the sentence will not exceed the statutory maximum and, in most cases, it will be less than the maximum.
This case is being investigated by the Federal Bureau of Investigation, Canton Police Department, Canton Police Department Special Investigations Unit and the Stark County Metro Narcotics Unit, which includes the Stark County Sheriff’s Office, Jackson Township Police Department and Canton Police Department. It is being prosecuted by Assistant U.S. Attorney Aaron P. Howell.
Bureau of Prisons “Ready to Work” Initiative Seeks New Business Partnerships to Strengthen Reentry Success and Address National Hiring ChallengesRead the Press Release
Today, the Bureau of Prisons (BOP) announced a new initiative to work directly with interested employers seeking to hire newly-released inmates. Through the “Ready to Work” initiative, the BOP seeks to connect employers directly to inmates to improve reentry outcomes. This initiative is part of the BOP’s holistic approach to implementation of the First Step Act, which was enacted in December 2018 and seeks to reduce recidivism among federal offenders.
“The Justice Department is committed to fully implementing the First Step Act,” said Attorney General William P. Barr. “This includes helping offenders successfully reintegrate into the community – a critical factor in preventing recidivism and, in turn, reducing the number of crime victims. Finding gainful employment is an important part of that process.”
The “Ready to Work” initiative aims to secure every offender reentering his or her community an opportunity to quickly secure employment. This includes the approximately 2,200 inmates scheduled for early release due to good conduct on July 19, 2019, after changes in the First Step Act become effective.
The BOP has long recognized that inmates benefit from a variety of self-improvement programs. Federal inmates participate in vocational training, educational classes, and skills groups – all of which contribute to employment readiness and helps to develop high-quality employees. At the same time, businesses are struggling to find qualified employees due to historically low unemployment rates.
“Newly-released individuals can provide an untapped source of qualified employees for businesses having difficulty hiring during this strong economy,” said Acting BOP Director Hugh Hurwitz. “The BOP is working to strengthen existing, and build new, partnerships with businesses across the country to ensure that inmates have solid employment opportunities upon release.”
Every day, the BOP releases hundreds of individuals into communities throughout the country, and employment plays a critical role in successful reentry and recidivism reduction. Studies have shown that individuals released from incarceration who found prompt employment were less likely to recidivate.
Prior to release, many individuals will have utilized BOP occupational training programs that produce skilled workers in a variety of professional fields, such as HVAC (heating, ventilation and air condition) systems, plumbing, masonry, aquiculture, computers and technology, carpentry, cosmetology, medical billing and food preparation, among other fields. But even those who do not qualify as skilled workers will have participated in BOP’s educational classes and self-improvement programming designed to improve community reintegration and contributes to employment success.
To learn more about the BOP’s “Ready to Work” initiative, including BOP’s employment readiness programs, or to begin working with the BOP to hire newly-released individuals, employers may contact BOP’s Reentry Services Division (email: BOP-RSD/[email protected]). Additional information about the BOP can be found at www.bop.gov.
Boston Man Charged with Fentanyl TraffickingRead the Press Release
BOSTON – A Boston man was indicted yesterday in federal court in Boston in connection with trafficking fentanyl.
Anthony Smallwood, 28, was indicted on two counts of distribution of, and possession with intent to distribute, fentanyl, and three counts of distribution of, and possession with intent to distribute, more than 40 grams of fentanyl. On May 22, 2019, Smallwood was arrested and charged by criminal complaint. He has been in custody since.
According to court records, between March and May 2019, Smallwood engaged in five separate drug sales of fentanyl to a confidential informant.
The charges of distribution of, and possession with intent to distribute, fentanyl each provide for a sentence of no greater than 20 years in prison, a minimum of three years of supervised release, and a fine of up to $1 million; the charges involving more than 40 grams of fentanyl carry a mandatory minimum sentence of five years and up to 40 years in prison, a minimum of four years of supervised release, and a fine of up to $5 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Office, made the announcement. This case was investigated by the FBI’s Organized Crime Drug Enforcement Task Force Strike Force with valuable assistance from the Boston Police Department and the Suffolk County Sheriff’s Office. Assistant U.S. Attorney Stephen W. Hassink of Lelling’s Narcotics and Money Laundering Unit is prosecuting the case.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Armed Drug Trafficker Pleads GuiltyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Demetrius Jackson, 43, of Rochester, NY, pleaded guilty today before U.S. District Judge Charles J. Siragusa to possession with intent to distribute cocaine, and possession of a firearm and ammunition by a convicted felon. The charges carry a maximum penalty of 20 years in prison, and a fine of $1,000,000.
Assistant U.S. Attorney Charles Moynihan, who is handling the case, stated that Jackson was arrested after police officers served a court-authorized search warrant at his residence on Wadsworth Street in Rochester, and found controlled substances and a loaded firearm.
While searching the location, police officers found a green container with 10 small zip-lock bags of cocaine in a bedroom which Jackson later admitted belonged to him. In the same bedroom, secreted in a crawl space, officers found a Taurus .45 caliber semiautomatic handgun which was loaded with 11 rounds of ammunition. In the living room, officers found a black container with additional quantities of cocaine, heroin and marijuana. A digital scale, typically used to weigh drugs for distribution, was located on a kitchen counter.
Jackson spoke with officers after he was arrested and admitted he was selling cocaine through a window in the residence. He said he had been selling cocaine for several weeks to earn money and acquired the handgun by exchanging cocaine for it.
The matter was brought by the United States Attorney’s Office as part of its Project Safe Neighborhoods (PSN) initiative. 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 plea is the result of an investigation by the Rochester Police Department, under the direction of Chief La’Ron Singletary, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge John B. Devito, New York Field Division.
Sentencing is scheduled for October 1, 2019, at 10:00 a.m. before Judge Siragusa.
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Akron man guilty of leading conspiracy to bring fentanyl and carfentanil into the U.S. from China, sell the drugs in Akron and Lorain, then launder the profitsRead the Press Release
An Akron man pleaded guilty to leading a conspiracy to bring large amounts of fentanyl and carfentanil into the United States from China, then sell the drugs in Akron and Lorain, then launder the profits.
Donte L. Gibson, 40, is scheduled to be sentenced September 23. He pleaded guilty to conspiracy to possess with intent to distribute fentanyl and carfentanil and conspiracy to launder money.
This took place between May 2016 and February 2018, according to court documents.
Donte and Audrey Gibson purchased fentanyl and carfentanil from China over the internet, and had the drugs shipped to locations in the Akron-Canton area through the U.S. Postal Service. They directed others to open post office boxes throughout the area, and Audrey Gibson retained control of all the post office box keys, according to court documents.
Co-conspirators picked up the packages containing fentanyl and carfentanil at the P.O. boxes and brought the packages to the Gibsons’ home on Popham Street. Donte Gibson cut the drugs with other white powder, turning 70 or 80 grams of pure fentanyl or carfentanil into seven kilograms of saleable product, according to court documents.
The Gibsons then distributed the drugs to others for sale in Akron and Lorain. The Gibsons used various residences and storage units to store the drugs and cash. They stored the drugs at their home on Popham Street, according to court documents.
Audrey Gibson in 2015 formed JayT AllServices LLC, which purported to be in the business of remodeling, painting homes and cleaning out homes. Donte Gibson later stated that he was an employee of the his wife’s company and that he helps do home improvement work, according to court documents.
In 2016, Audrey Gibson formed Pound Cake Entertainment LLC, which used the web site IAmPoundCake.com. The web site purported to sell clothing and “one of a kind items” as well as offering access to a members-only Snapchat account featuring Audrey Gibson “being flirty or nasty depending on the day,” according to court documents.
In 2017, Dontaysha Gibson formed G’s Car Care and Detail LLC, with the stated purpose of the company being car care sales and detailing. Donte Gibson later stated it was his daughter’s company but that he managed it for her, according to court documents.
The Gibsons opened bank accounts in connection to all three companies, according to court documents.
Audrey Gibson in 2017 opened a Saks Fifth Avenue Store Card and between April and December 2017 made payments on her card totaling $208,504 by using cash in store in Beachwood. She made purchases from Saks Fifth Avenue totaling $686,850 between July 2016 and February 2018 and paid for them with a combination of cash, credit cards and her Saks card. The purchases included handbags from Burberry, Chanel and Gucci, various Louis Vuitton items, Saint Laurent shoes, as well as cosmetics, fragrances and sunglasses, according to court documents.
Prosecutors are seeking to forfeit more than $280,000 in cash, two firearms and ammunition seized as part of the investigation, as well as the home at 2946 Popham Street in Akron.
Audrey Gibson previously pleaded guilty to related crimes and is awaiting sentencing.
“This defendant brought huge quantities of deadly fentanyl and carfentanil into Akron, threatening the lives of so many of our neighbors, friends, and family,” U.S. Attorney Justin Herdman said. “They set up fake companies to launder their dirty drug money and now will have to answer for his crimes”
“This case demonstrates the lengths drug dealers will go to in order to obtain deadly drugs to feed the addiction of their customers,” said FBI Special Agent in Charge Eric B. Smith. “This group flaunted their lucrative drug trafficking organization proceeds by purchasing homes, cars and other items in an attempt to hide their cash. The FBI will continue working with our law enforcement partners to help rid our communities of the individuals that bring poison to our streets.”
“The harm inflicted by opioids is matched only by the profit potential for those who sell them,” said William Cheung, Acting Special Agent in Charge, IRS Criminal Investigation, Cincinnati Field Office. "This is an important victory for the citizens of Northern Ohio. These defendants not only fueled the opioid drug problem in Northern Ohio, but they supported addiction in several parts of the country. IRS-CI worked with the U.S. Attorney’s Office and its law enforcement partners to disrupt the flow of money -- the lifeblood that allows these organizations to proliferate. The laundering of illegal drug profits is as important and essential to drug traffickers as the very distribution of their illegal drugs. Without these ill-gotten gains, the traffickers could not finance their organizations.”
“Fentanyl and carfentanil are by far the deadliest illegal drugs that we are up against in the law enforcement community,” said HSI Acting Special Agent in Charge Angie Salazar. “As this indictment clearly demonstrates, HSI is fully committed to bringing to justice all of the criminal groups and individuals who distribute this lethal poison in our community.”
Akron Police Chief Kenneth Ball said: “I feel a strong sense of relief knowing that a group of criminals that had a major role in the city's battle against drugs, and the companion, devastating effects of addiction, will be held accountable. I am proud of the work of Akron's team and our partners with the Safe Streets Task Force. Gibson and his conspirators have been justly charged, they now need to be justly tried and sentenced.”
This case was investigated by the FBI’s Safe Streets Task Force -- which is comprised of agents and officers from the Federal Bureau of Investigation, Homeland Security Investigations, U.S. Postal Inspection Service, Internal Revenue Service and the Akron Police Department. It is being prosecuted by Assistant U.S. Attorney Mark S. Bennett.
10 Year Prison Term for Receipt of Child PornographyRead the Press Release
Spokane – Joseph H. Harrington, United States Attorney for the Eastern District of Washington, announced that Michael Leavitt, age 54 of Warden, Washington, was sentenced today after having pleaded guilty on March 14, 2019, to receipt of child pornography. Chief United States District Judge Thomas O. Rice sentenced Leavitt to a 10-year term of imprisonment, to be followed by a 10-year term of court supervision after he is released from federal prison. Chief Judge Rice imposed restitution in the amount of $3,000 for one of the child pornography victims whose picture Leavitt had in his collection. Chief Judge Rice also required Leavitt to register as a sex offender upon completion of his prison sentence.
According to information disclosed during court proceedings, Leavitt received over 600 images of child pornography via the internet. The images were discovered on his digital devices, which were searched pursuant to federal search warrants. The investigation began when a 9-year-old student reported to authorities that Leavitt attempted to take photographs under her skirt while he was substitute teaching in her class at Warden Elementary. Investigators discovered Leavitt possessed numerous images of other students. During an interview with law enforcement, Leavitt admitted he had taken pictures of the students without their knowledge.
Chief Judge Rice noted that the lives of the child victims depicted in child pornography images will never be the same and Leavitt was not the type of child pornography defendant who only acted alone in front of a computer without access to children. The Court ruled that Leavitt’s attempted interactions with young children merited a more serious sentence, and his conduct was very close to the kinds of child exploitation conduct that often merits a life sentence.
U.S. Attorney Harrington said, “This case sends a strong message that the United States Attorney’s Office for the Eastern District of Washington and our federal, state and local law enforcement partners are firmly committed to protecting the public from individuals with a sexual interest in children who receive and collect child pornography. The United States Attorney’s Office commends the law enforcement officers with the Warden Police Department and Federal Bureau of Investigation who investigated this case. Their partnership during the investigation resulted in the successful outcome of this case.”
This case was pursued as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the United States 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, 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. The Project Safe Childhood Initiative (“PSC”) has five major components:
· Integrated federal, state, and local efforts to investigate and prosecute child exploitation cases, and to identify and rescue children;
· Participation of PSC partners in coordinated national initiatives;
· Increased federal enforcement in child pornography and enticement cases;
· Training of federal, state, and local law enforcement agents; and
· Community awareness and educational programs.
For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
This case was investigated by the Spokane Resident Office of the Federal Bureau of Investigation and the Warden Police Department. This case was prosecuted by David M. Herzog, an Assistant United States Attorney for the Eastern District of Washington.
Wednesday 12 June 2019
Woman Sentenced to Prison for Giving Opioids Causing Overdose and Death to Her CousinRead the Press Release
A woman who provided heroin that contained fentanyl to her cousin and another person causing her cousin’s death was sentenced June 10, 2019, to more than three years in federal prison.
Marvita Roxanna Causey, age 39, from Waterloo, Iowa, received the prison term after a November 20, 2018 guilty plea to distribution of controlled substances.
Court filings show that Causey gave what she believed to be heroin to two individuals, her cousin and another woman. Residue from the leftover heroin showed that the heroin also contained fentanyl. Causey’s cousin was later found dead and Causey agreed that the proximate cause of her cousin’s death was her distribution of heroin and fentanyl.
Causey was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Causey was sentenced to 37 months’ imprisonment. She must also serve a 3-year term of supervised release after the prison term. There is no parole in the federal system.
Causey is being held in the United States Marshal’s custody until she can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Emily K. Nydle and investigated by Waterloo Police Department and the Federal Bureau of Investigation. Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is 18-CR-2061.
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Woman Pleads Guilty to Fraud and Drug ChargesRead the Press Release
ALEXANDRIA, Va. – A Burke woman pleaded guilty today to bank fraud, aggravated identity theft, and possession with intent to distribute methamphetamine.
According to court documents, Shawnirah M. Mickens, 35, acquired stolen personal identification information (PII) of more than 300 people who lived throughout the United States. Mickens used the stolen PII to open multiple bank accounts and would subsequently fund those accounts with minimal cash deposits and large counterfeit corporate checks. The bank would immediately make available a portion of the deposited checks. Mickens would then quickly withdraw cash, make point of sale purchases, or conduct wire transfers of the floated funds before the bank could determine that the accounts were fraudulent and the checks were worthless. Once the bank learned of the fraud it would close the account and Mickens would move on to the next account and the next victim. The loss amount is in the $250,000 to $550,000 range.
Additionally, during the course of the investigation, agents recovered a package containing approximately 120 grams of methamphetamine being mailed to P.O. Box rented by Mickens and used to further the bank fraud scheme. When Mickens was arrested in May, agents conducted a search of her residence and recovered evidence relating to the bank fraud as well as another 150 grams of methamphetamine.
Mickens pleaded guilty to one count of bank fraud, one count of aggravated identity theft, and one count of possession with intent to distribute methamphetamine. Mickens faces a maximum penalty of 30 years in prison for the bank fraud, two additional years in prison for the aggravated identity theft, and a mandatory minimum of 5 years but not more than 40 years in prison for possession with intent to distribute methamphetamine when sentenced on September 6. 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, Charles Dayoub, Acting Special Agent in Charge, Criminal Division, FBI Washington Field Office, Peter R. Rendina, Inspector in Charge of the Washington Division of the U.S. Postal Inspection Service, and Colonel Edwin C. Roessler Jr., Fairfax County Chief of Police, made the announcement after U.S. District Judge Leonie M. Brinkema accepted the plea. Assistant U.S. Attorney William Fitzpatrick and Special Assistant U.S. Attorney Brendan P. Geary are prosecuting the case.
This case was investigated by the FBI Washington Field Office’s Transnational Organized Crime Task Force, which is composed of FBI Agents and domestic and international law enforcement partners.
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-184.
Winsted Man Sentenced for Selling Heroin to Teen Overdose VictimRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that ANTHONY HUNT, 20, of Winsted, was sentenced today by U.S. District Judge Vanessa L. Bryant in Hartford to 12 months of imprisonment, followed by five years of supervised release, for selling heroin to a teen overdose victim.
This matter stems from an ongoing statewide initiative targeting narcotics dealers who distribute heroin, fentanyl or opioids that cause death or serious injury to users.
According to court documents and statements made in court, on June 2, 2017, at approximately 5:41 p.m., members of the Connecticut State Police responded to a family-owned boat in Washington, Connecticut, on the report of a 17-year-old male in cardiac arrest. Attempts to revive the victim were not successful and he was pronounced deceased. Law enforcement officers seized various drug and non-drug evidence from the boat, including suspected heroin, miscellaneous pharmaceutical pills and an iPhone.
The State of Connecticut Medical Examiner determined that the victim died from toxicity associated with a number of controlled substances, including heroin and alprazolam (Xanax).
The investigation, which has included witness interviews and analysis of the seized iPhone, revealed that Hunt sold heroin and Xanax to the victim between May 17 and June 1, 2017, and that the victim traveled to Winsted to purchase drugs from Hunt the day before the victim died.
Hunt was arrested on a criminal complaint on March 22, 2018. On September 13, 2018, he pleaded guilty to one count of possession with intent to distribute, and distribution of, heroin.
This matter was investigated by the Drug Enforcement Administration New Haven Task Force and the Connecticut State Police. The case was prosecuted by Assistant U.S. Attorney Jocelyn Courtney Kaoutzanis.
Winchester Woman Associated with Mexican Drug Cartel Sentenced for Role in Cocaine Distribution ConspiracyRead the Press Release
Harrisonburg, VIRGINIA – Judith Wright, a Winchester woman who trafficked cocaine for drug cartel members, was sentenced yesterday in U.S. District Court in Harrisonburg to 84 months of federal incarceration, United States Attorney Thomas T. Cullen announced.
“This defendant partnered with members and associates of the Mexican drug cartel known as CJNG, one of the most violent criminal organizations in the world, to sell cocaine in the Northern Shenandoah Valley,” U.S. Attorney Cullen stated. “As this case and other recent indictments indicate, we are committed to dismantling CJNG’s distribution networks in Western Virginia and stanching the flow of these deadly drugs.”
In February 2019, a jury convicted Wright, 38, of one count of conspiracy to distribute and possess with the intent to distribute cocaine. Evidence at trial established that Wright transported large shipments of cocaine into Virginia from California, and funneled money through her bank account, all at the direction of individuals associated with the Mexican Drug Cartel Jalisco Nueva Generacion (CJNG).
CJNG is one of the most powerful cartels in Mexico and the Department of Justice considers it to be one of the five most dangerous transnational criminal organizations in the world, responsible for trafficking many tons of cocaine, methamphetamine, and fentanyl-laced heroin into the United States, as well as for violence and significant loss of life in Mexico.
Wright drove a vehicle with a hidden compartment designed to conceal significant amounts of cocaine. Co-conspirator Blas Rodriguez-Avila, an associate of CJNG, paid Wright approximately $2,000 each time she made a trafficking trip from California to Virginia.
In addition, Wright allowed Rodriguez-Avila and other co-conspirators, including Oliva Parsons, to use Wright’s apartment to store and distribute cocaine. Wright allowed others to use a lockbox in her bedroom to conceal the drugs and to use Wright’s scales to weigh out the cocaine for customers.
The investigation of the case was conducted by the Drug Enforcement Administration, the Northwest Virginia Regional Drug and Gang Task Force (NWVRDGTF), the Department of Homeland Security-Homeland Security Investigations, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Federal Bureau of Investigation. Assistant United States Attorney Erin M. Kulpa prosecuted the case for the United States.
This investigation was funded in part by the federal Organized Crime Drug Enforcement Task Force (OCDETF) Program. 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.
The NWVRDGTF uses the combined efforts of local, state, and federal agencies to actively pursue those groups or individuals who manufacture, distribute, or sell illegal narcotics. The NWVRDGTF is comprised of the Virginia State Police, the Winchester Police Department, the Front Royal Police Department, the Strasburg Police Department, the Frederick County Sheriff’s Office, the Page County Sheriff’s Office, the Warren County Sheriff’s Office, the Shenandoah County Sheriff’s Office, and the Clarke County Sheriff’s Office.
Wilson Man Sentenced for Drug TraffickingRead the Press Release
RALEIGH – United States Attorney Robert J. Higdon, Jr. announced that today in federal court, Chief United States District Judge Terrence W. Boyle sentenced RASHON DESHAY MCNEIL, 28, of Sharpsburg, North Carolina to 96 months imprisonment, followed by 3 years of supervised release..
MCNEIL was named in a five-count Indictment filed on December 4, 2018 charging him with four counts of distribution of a quantity of heroin, and distribution of a quantity of cocaine. On February 6, 2019, Mcneil pled guilty to each of the charges.
According to the investigation, MCNEIL distributed heroin and cocaine in Wilson county. As part of the investigation, law enforcement utilized an informant to make controlled drug buys directly from MCNEIL. On November 5, 2018, MCNEIL was arrested on related state charges where he possessed cocaine base (crack), marijuana, and drug paraphernalia, such as two digital scales.
This case is part of the United States Attorney’s Office’s Take Back North Carolina Initiative. This initiative emphasizes the regional assignment of federal prosecutors to work with law enforcement and District Attorney’s Offices on a sustained basis in those communities to reduce the violent crime rate, drug trafficking, and crimes against law enforcement.
Investigation of this case was conducted by the Wilson County Sheriff’s Office, Wilson Police Department, and North Carolina State Bureau of Investigation. Assistant United States Attorney Dena King represented the government.
Webster City Man to Federal Prison for Meth ConvictionRead the Press Release
A man who conspired to distribute methamphetamine was sentenced June 10, 2019, to more than eleven years in federal prison.
Ty Wildt, 30, from Webster City, Iowa, received the prison term after a January 8, 2019, guilty plea to conspiracy to distribute methamphetamine. In 2016, Wildt was previously convicted of two felony drug offenses in Iowa.
Evidence at the plea hearing and sentencing showed Wildt was involved in a conspiracy from April 2018 through September 2018 that distributed more than 150 grams of pure methamphetamine. On three occasions in August 2018, Wildt distributed more than 24 grams of pure methamphetamine to individuals cooperating with law enforcement.
Wildt was sentenced in Sioux City by United States District Court Judge C.J. Williams. Wildt was sentenced to 141 months’ imprisonment. He must also serve a 5-year term of supervised release after the prison term. There is no parole in the federal system. Wildt is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Shawn S. Wehde and investigated by the Iowa Division of Narcotics Enforcement, Wright County Sheriff’s Office, Webster City Police Department, and Iowa Division of Criminalistics Investigation.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 18-3038. Follow us on Twitter @USAO_NDIA.
Waynesboro Woman Pleads Guilty to Theft of Government FundsRead the Press Release
Hattiesburg, Miss. – Sadie Bradley, 66, of Waynesboro, pled guilty today before Senior U.S. District Judge Keith Starrett to one count of theft of government funds by fraudulently obtaining Social Security Supplemental Security Income (SSI) benefit payments, announced U.S. Attorney Mike Hurst and Resident Agent in Charge Marvin Mauldin of the Office of Inspector General, Social Security Administration.
From October 2008 through October 2017, Bradley received a total of $197,216.11 in funds belonging to the United States, by receiving Social Security benefits to which she knew she was not entitled. In 1966, Bradley was issued a social security number under the name Sadie McCornell, and began receiving SSI benefit payments in 1974. In 1976, Bradley fraudulently applied for and was issue a second social security number under the name Sadie McConn, later changing her name to Sadie Bradley. In 2008, Bradley applied for and began receiving SSI benefit payments under her second social security number, while still receiving SSI benefit payments under her first social security number. In doing so, Bradley knowingly concealed and misrepresented her identity, income, resources, marital status, and living arrangements to the Social Security Administration in order to receive SSI benefit payments under both social security numbers.
Bradley will be sentenced by Judge Starrett on October 2, 2019, at 9:30 a.m., and faces a maximum penalty of 10 years in prison, followed by 3 years of supervised release, and a $250,000 fine.
The case was investigated by the Social Security Administration-Office of Inspector General. It is being prosecuted by Special Assistant United States Attorney Joshua Paul Fortenberry.
Wagner Man Sentenced for Aggravated Sexual AbuseRead the Press Release
United States Attorney Ron Parsons announced that a Wagner, South Dakota, man convicted of Aggravated Sexual Abuse was sentenced on June 6, 2019, by U.S. District Judge Karen E. Schreier.
Xavier Zephier, age 26, was found guilty of Aggravated Sexual Abuse as a result of a federal jury trial in Sioux Falls, South Dakota, on March 5, 2019. Zephier was sentenced to 180 months in federal prison, followed by 5 years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $5,100.
The conviction stemmed from an incident on October 29, 2017, when Zephier forcibly raped a woman while she was sleeping.
This case was investigated by the Federal Bureau of Investigation. Assistant U.S. Attorneys Jennifer D. Mammenga and Ann M. Hoffman prosecuted the case.
Zephier was immediately turned over to the custody of the U.S. Marshals Service.
Woman Sentenced to 18 Months in Federal Prison for Stealing More Than $800,000 from Her Employer in Otis. N.m.Read the Press Release
ALBUQUERQUE – Lori V. Whitaker, 56, formerly of Carlsbad, N.M., was sentenced in federal court yesterday to 18 months in prison for wire fraud. She was also ordered to pay restitution for the loss to her employer in Otis, N.M., of approximately $816,000.
Whitaker previously pleaded guilty to this offense on May 2, 2018. In her plea agreement, she admitted to committing this crime while employed as office manager for the Otis Mutual Domestic Water Consumers and Sewage Works Association in Otis, N.M. Whitaker misused a credit card intended to pay business expenses by making personal charges and taking cash advances at various casinos in New Mexico and elsewhere. Whitaker would pay the bills for these fraudulent charges by transferring money from her employer’s checking account.
The Las Cruces resident agency of the FBI investigated this case with the Internal Revenue Service and Eddy County Sheriff’s Office. Assistant U.S. Attorney Richard C. Williams and former Assistant U.S. Attorney John Balla prosecuted the case.
Woman Sentenced to 18 Months in Federal Prison for Stealing More Than $800,000 from Her Employer in Otis. N.m.Read the Press Release
ALBUQUERQUE – Lori V. Whitaker, 56, formerly of Carlsbad, N.M., was sentenced in federal court yesterday to 18 months in prison for wire fraud. She was also ordered to pay restitution for the loss to her employer in Otis, N.M., of approximately $816,000.
Whitaker previously pleaded guilty to this offense on May 2, 2018. In her plea agreement, she admitted to committing this crime while employed as office manager for the Otis Mutual Domestic Water Consumers and Sewage Works Association in Otis, N.M. Whitaker misused a credit card intended to pay business expenses by making personal charges and taking cash advances at various casinos in New Mexico and elsewhere. Whitaker would pay the bills for these fraudulent charges by transferring money from her employer’s checking account.
The Las Cruces resident agency of the FBI investigated this case with the Internal Revenue Service and Eddy County Sheriff’s Office. Assistant U.S. Attorney Richard C. Williams and former Assistant U.S. Attorney John Balla prosecuted the case.
Veronica Lewis Charged with Unlawfully Possessing Stolen FirearmRead the Press Release
The Office of the United States Attorney for the District of Vermont announced that Veronica Lewis was charged yesterday by Criminal Complaint in U.S. District Court with unlawfully possessing a firearm after having been adjudicated as mentally defective, in violation of 18 U.S.C. § 922(g)(4), and possessing a stolen firearm, in violation of 18 U.S.C. § 922(j). Lewis was arrested this morning, and will appear today in federal court in Burlington.
According to court records, Lewis had been adjudicated as mentally defective on October 16, 2013, in the Queens County Criminal Court, due to a judicial finding of mental incapacity. This prior judicial finding precluded Lewis from thereafter lawfully possessing firearms and ammunition under federal law. On June 29, 2015, Lewis allegedly used a Smith & Wesson Model K-22 .22 caliber revolver to shoot firearms instructor Darryl Montague in Westford, Vermont. After the shooting, Lewis fled, taking Montague’s firearm and ammunition with her. Later that day, Lewis was arrested and Montague’s firearm was seized from Lewis’s backpack. She was also observed attempting to hide .22 caliber ammunition in a toilet paper roll in her holding cell.
If convicted, the defendant faces a maximum of ten years of imprisonment on each count. The actual sentence however, would be determined by the Court with guidance from the advisory Federal Sentencing Guidelines. The United States Attorney emphasizes that the charges in the complaint are merely accusations, and that the defendant is presumed innocent unless and until she is proven guilty.
United States Attorney Christina E. Nolan commended the investigative efforts of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) and the Vermont State Police (VSP).
The United States is represented in this matter by Assistant U.S. Attorney Jonathan Ophardt. Defendant Lewis is represented by the Office of the Federal Public Defender.
Union County, New Jersey, Man Sentenced to 25 Months in Prison in Scheme to Manipulate Microcap Stock by Touting A ‘Wellness Social Community for People and Their Pets’Read the Press Release
TRENTON, N.J. – The owner of a purported business consulting firm was sentenced today to 25 months in prison for operating a $1.1 million scheme that artificially inflated the stock price of a publicly traded company he controlled, U.S. Attorney Craig Carpenito announced.
James Farinella, 52, of Springfield, New Jersey, previously pleaded guilty before U.S. District Judge Anne E. Thompson to one count of conspiracy to commit securities fraud. Judge Thompson imposed the sentence today in Trenton federal court.According to the documents filed in this case and statements made in court:
From June 2012 through December 2012, Farinella and others allegedly operated a scheme to profit by fraudulently inflate the prices of Pazoo Inc. (PZOO). Pazoo had little or no real business operations, and when it started trading in June 2012, Farinella controlled 98 percent of the free-trading shares in Pazoo.
Farinella and other conspirators allegedly inflated the price of those shares by orchestrating a series of trades between accounts they controlled to create the appearance that Pazoo stock was rising in price and heavily traded. In order to further inflate the prices, Farinella and his conspirators also disseminated misleading promotional materials to lure investors to purchase the stocks, including touting Pazoo as a leading provider of nutritional supplements for people and their pets.
After inflating the price of the stock, Farinella and his conspirators sold large volumes of the stock to over 1,000 investors at the artificially inflated prices. The company’s stock price then dropped, causing victims of the scheme to suffer losses. The alleged stock manipulation scheme generated approximately $1.1 million in gross trading proceeds.
In addition to the prison term, Judge Thompson sentenced Farinella to 3 years of supervised release.The U.S. Securities and Exchange Commission (SEC) has a civil complaint pending against Farinella.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Special Agent in Charge Gregory W. Ehrie in Newark, with the investigation leading to today’s sentencing. He also thanked the U.S. Securities and Exchange Commission’s New York Regional Office, under the direction of Marc P. Berger, for its assistance in this matter.
The government is represented by Assistant U.S. Attorney Justin S. Herring, Chief of the Cybercrimes Unit in Newark.
Defense counsel: Bruce I. Goldstein Esq., Florham Park, New Jersey
Un hombre de Luisiana es acusado de delitos de odio federales por prender fuego a iglesias de la Parroquia de St. LandryRead the Press Release
Holden James Matthews, de 21 años, vecino de Opelousas, Luisiana, fue acusado hoy por un gran jurado federal, en una acusación formal sellada abierta hoy, por prender fuego y destrozar tres iglesias de la Parroquia de St. Landry, anunciaron Eric Dreiband, el Fiscal General Auxiliar de la División de Derechos Civiles del Departamento de Justicia, y David C. Joseph, el Fiscal Federal para el Distrito Occidental de Luisiana.
Según la declaración formal de seis cargos, durante un período de diez días, Matthews prendió fuego intencionalmente a la Iglesia Bautista St. Mary en Port Barre, Luisiana, el 26 de marzo, a la Iglesia Bautista Greater Union en Opelousas, Luisiana, el 2 de abril, y a la Iglesia Bautista Mount Pleasant en Opelousas, Luisiana, el 4 de abril. La acusación formal alega que fue motivado a prender los fuegos por el carácter religioso de las propiedades. A Matthews se le acusa de tres cargos de daño intencional a propiedades religiosas, los cuales son cargos por delitos de odio bajo la ley de Prevención de Incendios Provocados en Iglesias, y de tres cargos de uso de incendio para la comisión de un delito grave.
«Las leyes federales protegen nuestra libertad de culto en un entorno seguro sin amenazas de discriminación o violencia», dijo el Fiscal General Auxiliar Eric Dreiband. «El Departamento de Justicia toma muy en serio toda presunta vulneración de derechos civiles federales y la enjuiciará».
«Los ataques contra un individuo o un grupo por motivos de sus creencias religiosas no se tolerarán en el Distrito Occidental de Luisiana», afirmó el Fiscal Federal David C. Joseph. «Las iglesias son un lugar esencial de culto y confraternización para nuestros ciudadanos y nos unen como comunidad. Hay que proteger celosamente nuestra libertad para reunirnos en estas iglesias de manera segura y practicar nuestras creencias religiosas. Hoy hemos tomado un paso más hacia la justicia para los feligreses de estas iglesias y las comunidades de la Parroquia de St. Landry que se vieron afectados por estos actos. Mi oficina seguiría trabajando diligentemente con nuestras agencias asociadas del orden público para investigar y enjuiciar cualquier tipo de delito de odio».
De ser condenado, Matthews se enfrenta a una encarcelación máxima de 20 años por cada cargo de daño intencional a una propiedad religiosa. Asimismo, Matthews se enfrenta a una pena mínima adicional de 10 años por el primer cargo de uso de fuego para cometer un delito grave y de 20 años por los demás cargos; estas penas se servirían consecutivamente. También se enfrenta a libertad supervisada de hasta tres años, una sanción de $250.000 e indemnizaciones por cada uno de los cargos.
La Agencia de Control de Bebidas Alcohólicas, Tabaco, Armas de Fuego y Explosivos (ATF, por sus siglas en inglés), el FBI, el Jefe de Bomberos del Estado de Luisiana, la Oficina del Sheriff de la Parroquia de St. Landry, la Fiscalía de Distrito para la Parroquia de St. Landry, la Policía Estatal de Luisiana, la Unidad de Delitos Cibernéticos del Fiscal General de Luisiana Jeff Landry y la Oficina del Jefe de Bomberos del Estado de Florida llevaron a cabo la investigación.
Los Fiscales Federales Auxiliares Dominic Rossetti y John Luke Walker, juntos con la Abogada de Litigios Risa Berkower, de la Sección Penal del Departamento de Justicia, División de Derechos Civiles, son responsables del enjuiciamiento del caso.
Para más información sobre el trabajo del Departamento de Justicia para combatir y prevenir los delitos de odio, vaya a www.justice.gov/hatecrimes: es un portal único con enlaces a recursos del Departamento de Justicia relacionados con delitos de odio para la policía, los medios de comunicación, investigadores, víctimas, grupos de apoyo, y otras organizaciones y personas.
Una acusación formal es sencillamente una acusación y al acusado se lo considera inocente mientras no se pruebe su culpabilidad más allá de cualquier duda razonable.
Download matthews_indictment_6_12_19.pdf
U.S. Attorney's Office Concludes 28th Annual Seminar Series on School SafetyRead the Press Release
Columbia, South Carolina ---- United States Attorney Sherri A. Lydon announced today that the U.S. Attorney’s Office for the District of South Carolina has wrapped up its 28th Annual Safe Schools Seminars Series. The Safe Schools Seminars bring together law enforcement and school personnel charged with protecting children—such as superintendents, administrators, counselors, school resource officers, nurses, and social workers—to discuss some of the safety issues today’s students face.
Topic sessions during the Safe Schools Seminars include De-Escalation in the Education Environment; Behavior Threat Assessment; and Vaping: How It’s Affecting Our Youth.
The Safe Schools Seminars are hosted by the U.S. Attorney’s Office, the South Carolina Law Enforcement Officers Association, the South Carolina Department of Education, the Francis Marion University Police Department, the West Columbia Police Department, the Lexington Police Department, the Greer Police Department, and the North Charleston Police Department.
The seminars took place in Greer, West Columbia, Florence, Lexington and concluded today in North Charleston, South Carolina.
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Two Men Indicted in South Florida and Arrested in connection with Torture and Kidnapping PlotRead the Press Release
Two men accused of kidnapping a victim at gunpoint and torturing him with a blowtorch were indicted. One man is currently being detained in South Florida, and the second was arrested and is currently being detained in Spain.
Ariana Fajardo Orshan, U.S. Attorney for the Southern District of Florida, George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, and Sonia Quiñones, Chief, Hallandale Beach Police Department, made the announcement.
Sergei Nkorina, 53, of Tenerife, Spain, and Justin Boccio, 33, of Deerfield Beach, were charged by indictment (Case No. 19-20261-CR-CMA) with conspiracy to commit kidnapping, in violation of Title 18, United States Code, 1201(c); kidnapping, in violation of Title 18, United States Code, Section 1201(a); and brandishing a firearm in furtherance of a crime of violence, in violation of Title 18, United States Code, Section 924(c). Nkorina and Boccio were previously charged by criminal complaint (Case No. 19-mj-2496; 19-mj-2491).
According to court records and allegations, Nkorina and Boccio plotted to kidnap and torture a victim in an attempt to obtain tens of thousands of dollars from him. To facilitate the kidnapping, on or about December 30, 2018, Nkorina and Boccio purchased supplies at a Home Depot in Broward County, Florida. On or about January 5, 2019, the defendants rented a van from Budget with Florida tag number GHPT19. Then, on January 14, 2019, Boccio entered the victim’s office and made false representations on paperwork inside of the victim’s office. Later that same day, Nkorina and Boccio intercepted the victim in a Walmart parking lot in Broward County. It is further alleged in court records, that Nkorina and Boccio blindfolded the victim and forced the victim into the rental van. The defendants transported their victim to a storage facility in Margate, Florida, in which they burned the victim’s hands with a blowtorch while threatening to kill him with a firearm and other weapons. Nkorina and Boccio demanded information about the victim’s home address, including access codes to the victim’s residence. The next day, Nkorina visited the premises of the victim’s home while carrying a firearm. Nkorina and Boccio left the victim, with his hands and feet bound, in his vehicle in the parking lot of Cheetah Gentlemen’s Club in Broward County, Florida.
Each defendant faces a maximum statutory sentence of life in prison if convicted on either one count of kidnapping or one count of conspiracy to commit kidnapping. In addition, each defendant faces a mandatory minimum term of imprisonment of seven years and a statutory maximum sentence of life in prison if convicted on the firearm charge.
An indictment and a criminal complaint are merely accusations. A defendant is presumed innocent unless and until proven guilty in a court of law.
U.S. Attorney Fajardo Orshan commended the investigative efforts of the FBI, Hallandale Beach Police Department, and South Florida Violent Crimes Task Force in this matter. This case is being prosecuted by Assistant U.S. Attorney Lisa H. Miller.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Trucking Company Vice President Pleads Guilty to Orchestrating United States Postal Service Contract FraudRead the Press Release
Ariana Farjado Orshan, U.S. Attorney for the Southern District of Florida, and Steven Stuller, Deputy Special Agent in Charge, U.S. Postal Service Office of Inspector General (USPS OIG) announced that Alexei Rivero, 46, of Miami, Florida, pled guilty yesterday before U.S. District Judge Darrin P. Gayles, to a two-count wire fraud indictment, in violation of Title 18, United States Code, Section 1343 (Case No. 18-CR-20452). Sentencing has been scheduled for August 23, 2019. At sentencing Rivero faces a maximum possible statutory sentence of up to 20 years in prison.
According to documents filed with the court and statements made during the plea, Rivero was the vice president of Florida Carrier & Brokerage Service Inc. (“Florida Carriers”), a licensed and bonded freight trucking company in Miami, Florida. Between March 2011 and September 2013, Florida Carrier was the supplier on twenty-two Highway Contract Route agreements with the U.S. Postal Service. A Highway Contract Route is a route of travel serviced by a postal contractor to move bulk mail over highways between designated postal facilities. Rivero dealt with the U.S. Postal Service to facilitate these contracts. The bids included costs to be paid to drivers hired to service the contracts. These costs include fringe benefits, as well as estimated payroll taxes for social security, workers compensation, federal unemployment compensation and state unemployment compensation.
The terms and conditions of the highway contract route contracts also incorporated the McNamara-O’Hara Service Contract Act (“SCA”). The SCA covers contracts and bid specifications in excess of $2,500, entered into by federal agencies, the principal purpose of which is to furnish services through the use of service employees. The SCA provides covered service workers the right to receive from federal contractors no less than the wage rates and fringe benefits found prevailing in the locality, as provided in wage determinations issued by the Department of Labor.
According to the court record, to facilitate the contract fraud Florida Carrier did not pay, on behalf of its drivers, the contracted costs for payroll taxes. In addition, they did not provide fringe benefits to drivers, as represented to the U.S. Postal Service. In addition, contrary to the U.S. Postal Service requirements, Florida Carriers had not hired some of these drivers as employees, but instead as independent contractors. Florida Carrier provided it drivers with Forms 1099 rather than Forms W-2.
“Yesterday’s guilty plea reflects the importance and impact of our continuing efforts to protect the rights of workers hired to perform services under government contracts,” said U.S. Attorney Arian Fajardo Orshan. “Companies that profit from doing business with federal agencies have a duty to provide workers with fringe benefits and pay the requisite tax obligations. Those who engage in deceptive and fraudulent behavior fueled by greed will continue to be investigated and prosecuted in a federal court of law.”
“We are gratified to have contributed to this investigation and applaud the exceptional work by the United States Attorney’s Office for both protecting the contracting process and overall program costs,” said Steven Stuller, Deputy Special Agent in Charge, USPS OIG. “Along with our law enforcement partners, the USPS OIG will continue to aggressively investigate those who would engage in fraudulent activities designed to defraud the Postal Service.”
U.S. Attorney Fajardo Orshan commended the investigative efforts of USPS OIG. This case is being prosecuted by Assistant U.S. Attorney Lois Foster-Steers.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov.
Three Time Drug Dealer with History of Violence Sentenced to 15 Years’ Federal ImprisonmentRead the Press Release
A man with a history of criminal convictions who possessed methamphetamine for distribution was sentenced June 11, 2019, to more than 15 years in federal prison.
Clyde Allen Lincoln, age 37 from Sioux City, Iowa, received the prison term after a November 26, 2018, guilty plea to one count of possession with intent to distribute methamphetamine within a protected location.
Evidence at the change of plea and sentencing revealed Lincoln attempted to flee from the scene of a traffic stop in Sioux City, Iowa on May 22, 2018. During the foot pursuit, Lincoln discarded a package later determined to contain over 82 grams of pure methamphetamine. The police caught and subdued Lincoln (who resisted arrest) near the protected areas of Rose Hill Park and Heelan High School in Sioux City, Iowa.
Lincoln’s criminal history included two operating while intoxicated offenses, four assault convictions, a burglary conviction, and two previous convictions for possession with intent to distribute drugs. He was also on probation when he committed the instant federal offense.
Lincoln was sentenced in Sioux City by Chief United States District Court Judge Leonard T. Strand. Lincoln was sentenced to 188 months’ imprisonment. He must also serve an 8-year term of supervised release after the prison term. There is no parole in the federal system.
Lincoln is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was investigation by the Sioux City, Iowa Police Department and prosecuted by Assistant United States Attorney Forde Fairchild.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 18-CR-4075.
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Three Charged in Conspiracy to Distribute Fentanyl and HeroinRead the Press Release
PITTSBURGH - Two residents of Allegheny County and a Somerset County man have been indicted by a federal grand jury in Pittsburgh on charges of violating the federal narcotics and/or firearms laws, United States Attorney Scott W. Brady announced today.
The two-count Indictment named Harvey G. Hicks, 49, of Pittsburgh, Pennsylvania; Breanna M. Bane, 27, of Monroeville, Pennsylvania; and Matthew L. Pearson, 44, of Somerset, Pennsylvania; as the defendants.
According to the Indictment, in and around March 2019, and continuing to on or about May 1, 2019, the defendants conspired to possess with intent to distribute and distribute 400 grams or more of a mixture and substance containing fentanyl, a Schedule II controlled substance, and 100 grams or more of a mixture and substance containing heroin, a Schedule I controlled substance. Additionally, the Indictment charges Hicks, a felon, with unlawfully possessing four firearms and ammunition on or about May 1, 2019. Federal law prohibits felons from possessing a firearm or ammunition.
As to Hicks, the law provides for a maximum total sentence of not less than 15 years up to life in prison, a fine of up to $20,250,000, or both. As to Bane and Pearson, the law provides for a maximum total sentence of not less than 10 years up to life in prison, a fine of up to $10,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentences imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendants.
Assistant United States Attorney Jerome A. Moschetta is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation and the Pennsylvania State Police conducted the investigation leading to the Indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Spring Creek Man Indicted on Assault ChargesRead the Press Release
United States Attorney Ron Parsons announced that a Spring Creek, South Dakota, man has been indicted by a federal grand jury for Assault With a Dangerous Weapon, Assault Resulting in Serious Bodily Injury, and Assault by Strangulation and Suffocation.
Jason Corey Poorman, Sr., age 43, was indicted on May 14, 2019. He appeared before U.S. Magistrate Judge Mark A. Moreno on June 6, 2019, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 10 years in federal prison and/or a $250,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on December 20, 2018, Poorman unlawfully assaulted an individual with shod feet with the intent to do bodily harm, and that the assault resulted in bodily injury. The Indictment further alleges that on February 9, 2019, Poorman unlawfully assaulted an intimate partner by strangling and suffocating her, and that he further assaulted her with shod feet and a log with the intent to do bodily harm.
The charges are merely accusations and Poorman is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Rosebud Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Kirk Albertson is prosecuting the case.
Poorman was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.