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Monday 3 June 2019
U.S. Attorney Announces Support to Anchorage as Part of the National Public Safety Partnership to Combat Violent CrimeRead the Press Release
Anchorage, Alaska – As the Department of Justice continues its efforts to fulfill President Donald J. Trump’s commitment to reducing violent crime in America, Attorney General William P. Barr today announced that the District of Alaska was selected to join the National Public Safety Partnership (PSP) initiative. PSP provides a framework for enhancing federal support of state, local and tribal law enforcement officials and prosecutors as they aggressively investigate and pursue violent criminals, specifically those involved in gun crime, drug trafficking and gang violence.
“The Public Safety Partnership is a successful program that directs federal law enforcement resources to the cities where they can have the greatest impact,” Attorney General Barr said. “These resources help police departments to diagnose where crime is highest—and why—and to find, arrest and prosecute criminals. Several participating cities have already seen dramatic reductions in violent crime over the past two years. As we expand this program to 10 more cities across America, we are determined to replicate that success.”
The Justice Department created PSP and the Task Force on Crime Reduction and Public Safety in response to President Trump’s Feb. 9, 2017, Executive Order charging the agency with leading a national effort to combat violent crime. In June 2017, the Department of Justice announced the formation of the National Public Safety Partnership initiative.
To be considered for selection, a site must have sustained levels of violence that far exceed the national average and demonstrate a commitment to reducing crime. Cities must also display compliance with federal immigration requirements.
The 10 sites announced today are as follows:
- Anniston, Alabama
- Oxford, Alabama
- Anchorage, Alaska
- Davenport, Iowa
- Wichita, Kansas
- Baton Rouge, Louisiana
- Baltimore, Maryland
- Cleveland, Ohio
- Amarillo, Texas
- Harris County, Texas
“I congratulate Chief Doll and the Anchorage Police Department for their successful application to the PSP program,” said U.S. Attorney Schroder. “APD’s dedication to seeking all available resources to help stem violent crime in Anchorage is impressive. As the Attorney General discovered on his recent trip to Alaska, cooperation between federal, state, local, and tribal law enforcement agencies is as strong here as anywhere in the country. Designation as a PSP city will bring additional resources to help us protect the people of Anchorage, and make all Alaskans safer.”
“This new program adds additional horsepower to the strong existing partnership between the Anchorage Police Department and the Department of Justice,” said Chief Justin Doll. “It will be another tool in the ‘tool belt’ as Anchorage combats the increase in violent crime being felt across the country.”
Participating in PSP is consistent with the District of Alaska’s highest priority, which is fighting violent crime.
More than 30 cities have participated in PSP. The primary participating Justice Department components include the Office of Justice Programs, Office on Violence Against Women, Office of Community Oriented Policing Services, Bureau of Alcohol, Tobacco, Firearms and Explosives, FBI, U.S. Drug Enforcement Administration and U.S. Marshals Service.
More information about PSP can be found at: http://www.nationalpublicsafetypartnership.org.
Three Armed Bank Robbers Sentenced to Combined 88 Years in Federal PrisonRead the Press Release
Florence, South Carolina ---- United States Attorney Sherri A. Lydon announced today that Lance Hardiman, Justin Pressley, and Rodrick Berklery, all 28 years old, were sentenced to federal prison for their roles in the armed bank robbery of South State Bank in North Myrtle Beach, South Carolina, on May, 4, 2016, and a follow-on high-speed chase where the defendants shot at several police officers.
Hardiman was sentenced to 40 years in federal prison after a jury convicted him of armed bank robbery, witness tampering, being a felon in possession of a firearm, and two counts of using a firearm in furtherance of crimes of violence. Pressley was sentenced to over 15 years in federal prison after pleading guilty to using a firearm in furtherance of an armed bank robbery. Berklery was sentenced to 30 years after pleading guilty to conspiracy to commit robbery and using a firearm in furtherance of witness tampering. Chief United States District Judge R. Bryan Harwell of Florence sentenced the defendants, with each sentence followed by 5 years of court-ordered supervision. There is no parole in the federal system.
Evidence presented to the court showed that on May 4, 2016, the three defendants—Hardiman, Pressley, and Berklery—armed with handguns and wearing gloves and masks, robbed the South State Bank in North Myrtle Beach. After entering the bank, Hardiman stood at the door while Pressley and Berklery fired their weapons and jumped over the counter. They forced the tellers to empty their tills into a bag, threatening the women’s lives. The men obtained over $30,000 and fled the bank. Bank employees were able to trip a silent alarm and place a dye pack in the bag, and they identified the type of car that the men got into as a silver Chevrolet Impala.
Responding to the call, a detective with the North Myrtle Beach Police Department saw a silver Impala with three men inside. The officer turned on his blue lights, and the Impala took off at high speeds. The officer followed the Impala for approximately five miles as Pressley fired an AK-47 out of the back window at the officer and Hardiman shot out of the passenger’s window. As the chase wound through a residential community, the suspects reached speeds of over 80 miles an hour while indiscriminately shooting at the officer and passing motorists.
Hardiman, Pressley, and Berklery proceeded towards Longs, where one of them lived. They kept firing at the officer, hitting his vehicle twice. One round missed the officer by less than an inch. The officer thought he had been hit and crashed his car.
The three men continued driving and encountered a lieutenant with the North Myrtle Beach Police Department, who deployed spike strips in an effort to end the high speed chase. Hardiman fired out the window at the lieutenant, hitting his car, as Berklery swerved to miss the spike strip. Berklery lost control of the car and drove it off the road. The three defendants then ran from the scene into a heavily wooded area.
A manhunt began, with North Myrtle Beach Police Department, Horry County Police Department, South Carolina Law Enforcement Division (SLED), South Carolina Department of Natural Resources (SCDNR), Myrtle Beach Police Department, and Federal Bureau of Investigation (FBI) all participating in the search. A perimeter was set, and within an hour law enforcement encountered Pressley hiding in some brush.
Tracking the other two suspects, law enforcement encountered two sets of footprints going into standing water wearing shoes. On the other side of the water, one set of footprints was still wearing shoes and the other was barefoot. Hardiman was captured several hours later walking out of the woods. He had stripped down to just shorts and had scratches and scrapes, apparently from running through brush. Berklery was captured approximately 11:30 p.m. in a junkyard wearing just his boxers and no shoes.
During the trial, it was revealed that two of the members of this robbery crew had previously robbed another bank in Horry County and a restaurant.
The case was investigated by agents of the FBI, North Myrtle Beach Police Department, Horry County Police Department, SLED, SCDNR, Myrtle Beach Police Department, and Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). It was prosecuted as part of the joint federal, state, and local Project CeaseFire initiative, which aggressively prosecutes firearm cases. Project CeaseFire is part of Project Safe Neighborhoods (PSN), a crime reduction strategy originally launched in 2001 that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. Turning the tide of rising violent crime in America is a top priority for the Department of Justice, which has reinstituted PSN and directed all U.S. Attorney’s Offices to develop a district crime reduction strategy.
Assistant United States Attorneys Jim May of the Columbia office and Derek Shoemake of the Florence office prosecuted the case, along with Special Assistant United States Attorney and Chief Deputy Solicitor of the 15th Circuit Scott Hixson.
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Tennessee Man Sentenced on Firearm OffenseRead the Press Release
United States Attorney Ron Parsons announced that a Maryville, Tennessee, man convicted of Possession of an Unregistered Firearm was sentenced by Karen E. Schreier, U.S. District Court Judge.
Daniel J. Richardson, Jr., age 62, was sentenced on May 31, 2019, to 5 years in federal prison, followed by 2 years of supervised release, and was ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
The conviction stems from Richardson knowingly possessing two firearm silencers, which had not been registered to him in the National Firearms Registration and Transfer Record, in South Dakota in September 2018. Richardson was also originally charged with sending threatening interstate communications regarding Jesuits at Red Cloud Indian School. Although this charge was dismissed as part of the plea agreement, the United States offered evidence of the threatening communications at sentencing, a factor the Judge took into consideration in sentencing Richardson.
“I want to commend the outstanding cooperative efforts of the FBI and the Oglala Sioux Tribe Department of Public Safety – particularly OST Police Chief Bob Ecoffey – in apprehending this individual,” said U.S. Attorney Parsons. “This case is an example of how open lines of communication and quick, decisive action by law enforcement can prevent potential tragedy.”
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of its renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and local communities to develop effective, locally-based strategies to reduce violent crime.
This case was investigated by the Federal Bureau of Investigation and the Oglala Sioux Tribe Department of Public Safety. Assistant U.S. Attorney Benjamin Patterson prosecuted the case.
Richardson was immediately turned over to the custody of the U.S. Marshals Service.
Suburban Chiropractor Indicted on Fraud Charges for Allegedly Billing Private Insurers for Nonexistent TreatmentRead the Press Release
CHICAGO — A south suburban chiropractor has been indicted on federal fraud charges for allegedly submitting reimbursement claims to private insurers for nonexistent treatment.
JOHN KOSLOSKI operated his own practice, Diagnostic & Therapeutic Rehab, also known as Diagnostic & Therapeutic Rehab Services, in Dolton. From 2011 to 2018, Kosloski submitted fraudulent claims to private insurers for chiropractic services that were not rendered, the indictment states. At least five individuals purported to be Kosloski’s patients and allowed their personal identifying information and their family members’ information to be cited by Kosloski in the fraudulent claims, according to the indictment. After Kosloski received money from the private insurers, he would pay the co-schemers via envelopes of cash, the indictment states.
The indictment charges Kosloski, 55, of Beecher, with six counts of health care fraud. He pleaded not guilty today at his arraignment before U.S. District Judge Rebecca R. Pallmeyer.
The indictment was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; Jeffrey S. Sallet, Special Agent-in-Charge of the Chicago office of the Federal Bureau of Investigation; and Inspector General Kevin H. Winters of the Amtrak Office of Inspector General. The government is represented by Assistant U.S. Attorney Kelly Greening.
Each count of health care fraud is punishable by up to ten years in prison. If convicted, the Court must impose a reasonable sentence under federal statutes and the advisory United States Sentencing Guidelines.
The public is reminded that an indictment is not evidence of guilt. The defendant is presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.
St. Louis County Man Sentenced for Carjacking SpreeRead the Press Release
St. Louis, MO – Asean Mitchell, 20, of St. Louis, was sentenced to 150 months in prison on three counts of carjacking and one count of brandishing a firearm during a federal crime of violence. He appeared in federal court today before U.S. District Judge Audrey G. Fleissig.
According to court documents, on November 20, 2016, Mitchell and his accomplice, Travion Brown, committed a carjacking in the area of North 11th Street and St. Charles Street in downtown St. Louis. Mitchell and Brown approached the victim. Brown pulled a gun and ordered the victim out of the car. The victim complied. Brown and Mitchell entered the vehicle and drove away.
On November 22, 2016, Mitchell, Brown, and a third accomplice attempted another carjacking in downtown St. Louis. The victim was stopped at a red light at the intersection of 10th Street and Market Street. Mitchell, Brown and the third individual approached the vehicle. One of the carjackers tapped on the vehicle’s window with a gun. The light turned green and the victim successfully drove away.
Mitchell, Brown, and the third individual approached another victim seated in a vehicle at the intersection of Olive Street and 11th Street in St. Louis shortly after their earlier, unsuccessful carjacking. The victim waived the three men away from the vehicle and attempted to drive away when the light turned green. Brown shot the victim in the head. The three carjackers fled from the area. The victim survived.
Co-defendant Travion Brown was sentenced by U.S. District Judge Ronnie L. White on May 4, 2018, to 300 months in prison for his role in the armed carjackings.
“We are grateful that no one lost a life during this carjacking spree and pleased that these defendants have been taken off the streets. There is always more work to be done which is why preventing, disrupting, and prosecuting those who would commit a carjacking is one of this office’s top priorities,” said U.S. Attorney Jeff Jensen after Mitchell’s sentencing.
The St. Louis Metropolitan Police Department and the Federal Bureau of Investigation investigated the case. Assistant U.S. Attorney Sayler Fleming handled the case for the U.S. Attorney’s Office.
Siskiyou County Man Pleads Guilty to Major Fraud Against the United States for Taking FEMA Grant FundsRead the Press Release
SACRAMENTO, Calif. — Samuel Thomas Lanier, 40, of Dunsmuir, pleaded guilty today to seven counts of major fraud against the United States, U.S. Attorney McGregor W. Scott announced.
According to court documents, from approximately June 2013 to March 2018, Lanier engaged in a scheme to defraud the United States by submitting, or causing to be submitted, false reimbursement requests to the Federal Emergency Management Agency (FEMA) in connection with federal grants awarded to Siskiyou and Shasta County Fire Chiefs Associations to assist them in recruiting and training new firefighters.
In June 2013 and June 2014, respectively, the Siskiyou and Shasta County Fire Chiefs Associations were awarded grants as part of the Staffing for Adequate Fire and Emergency Response (SAFER) program. Each grant was over $1 million. The purpose of these grants was to assure that communities have adequate protection from fire-related hazards, and to help the recipients attain and maintain 24-hour staffing.
Lanier, as an owner or executive of two companies located in Dunsmuir, was hired by the Fire Chiefs Associations to administer these grants. In this capacity, Lanier knowingly submitted to FEMA false and fraudulent reimbursement requests, seeking and obtaining reimbursement for goods and services that were not, in fact, actually obtained on behalf of the fire associations. In so doing, Lanier caused a gross loss to the United States of over $500,000.
This case is the product of an investigation by the Major Frauds & Corruption Unit of the Department of Homeland Security, Office of Inspector General. Assistant U.S. Attorney Amy Schuller Hitchcock is prosecuting the case.
Lanier is scheduled to be sentenced by U.S. District Judge Kimberly J. Mueller on September 16. He faces a maximum statutory penalty of 10 years in prison and a $10 million fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Schenectady and Amsterdam Men Plead Guilty to Heroin ConspiracyRead the Press Release
ALBANY, NEW YORK – Leamzy Soto Calderon, aka “Lee” and “Gordo,” 28, of Schenectady, New York, and Gregory Insogna, 45, of Amsterdam, New York, pled guilty on Friday and today, respectively, to conspiring to possess with intent to distribute and to distribute heroin, 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 M. Corlett.
In pleading guilty, Soto Calderon admitted to being a member of a drug-trafficking organization that distributed a kilogram or more of heroin in Schenectady between 2017 and December 20, 2018. As a member of the organization, Soto Calderon regularly picked up hundreds of grams of heroin and delivered thousands of dollars in cash in payment for the heroin; prepared the heroin for sale by mixing it with cutting agent and packaging it into “bags” and “bundles”; and sold the heroin to a large customer base in and around Schenectady, New York. In December 2018, law enforcement officers executed a search warrant at Soto Calderon’s residence in Schenectady and seized 268 grams of heroin, cutting agent, and heroin processing materials.
In his guilty plea, Insogna admitted to being a member of the same drug-trafficking organization and to obtaining heroin from Soto Calderon, and others, which Insogna then sold in Amsterdam, New York. Insogna also admitted to directing couriers to pick up the heroin from and deliver payment for the heroin to Soto Calderon in Schenectady.
Soto Calderon faces at least 10 years and up to life imprisonment, a term of supervised release of at least 5 years and up to life, and a maximum fine of $10 million. Insogna faces at least 5 years and up to 40 years imprisonment, a term of supervised release of at least 4 years and up to life, and a fine of up to $5 million. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.
This case is being investigated by the United States Homeland Security Investigations (HSI), the New York State Police, the United States Drug Enforcement Administration (DEA), the United States Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and the Amsterdam (New York) Police Department, and is being prosecuted by Assistant U.S. Attorney Cyrus P.W. Rieck.
Santa Barbara County Man Pleads Guilty to Wire Fraud in Investment Fraud Schemes that Promised Facebook, Twitter StockRead the Press Release
LOS ANGELES – A Montecito man pleaded guilty today to one felony count of wire fraud for defrauding investors by making false promises to use their money purchase shares of Facebook and Twitter prior to the companies’ initial public offerings.
Efstratios “Elias” Argyropoulos, 72, entered his plea before United States District Judge George Wu, who scheduled an August 26 sentencing hearing. Argyropoulos faces a statutory maximum sentence of 20 years in federal prison.
As he admitted in his plea agreement, between October 2010 and October 2015, Argyropoulos operated Prima Ventures Corporation, a Santa Barbara-based financial services firm of which he was the president and sole shareholder. Argyropoulos represented to investors that he had access to “amazing” investment opportunities that would provide a high rate of return on any money invested, court papers state.
Argyropoulos misrepresented to investors that he would pool their money to purchase pre-initial public offering shares of companies such as Facebook and Twitter, according to court documents. Argyropoulos also falsely told investors he had access to good investment opportunities in companies such as Alibaba, Etsy, and E-Waste, the plea agreement states. As he admitted, Argyropoulos also represented that he and Prima were licensed brokers, when in truth, neither he nor Prima was licensed by the Securities and Exchange Commission or any other regulatory authority to sell securities. Instead of purchasing the stocks, Argyropoulos diverted the investor funds for other uses, such as day-trading in stocks unrelated to the promised investments, and personal expenses, such as landscaping, utilities, and his legal expenses arising out of an investigation into his activities conducted by the SEC, the plea agreement states.
Argyropoulos, who was charged in a 21-count federal grand jury indictment last year, admitted to causing at least $1,495,657 in uncompensated losses in connection with his schemes to defraud.
Argyropoulos also admitted to willfully violating a January 2015 court order in a lawsuit brought by the Securities and Exchange Commission, which was based on the fraudulent Facebook and Twitter scheme. The injunction prohibited Argyropoulos from selling fraudulent investments and acting as an unlicensed broker.
The case against Argyropoulos was investigated by the Federal Bureau of Investigation.
The case is being prosecuted by Assistant United States Attorneys Scott Paetty and Adam Schleifer of the Major Frauds Section.
Romanian National Sentenced to 65 Months in Federal Prison for Multi-State ATM Card Skimming SchemeRead the Press Release
BOSTON - A Romanian national was sentenced today in federal court in Springfield in connection with a multi-state ATM card skimming scheme.
Bogdan Viorel Rusu, 38, a Romanian national formerly residing in Queens, N.Y., was sentenced by U.S. District Court Judge Mark G. Mastroianni to 65 months in federal prison, five years of supervised release, and ordered to pay restitution and forfeiture of $440,130. In September 2018, Rusu pleaded guilty to an Information that charged him with one count each of conspiracy to commit bank fraud, bank fraud, and aggravated identity theft. Rusu was arrested on Nov. 14, 2016, and initially charged by complaint in the District of New Jersey and has been in custody since.
From approximately Aug. 3, 2014, until his arrest on Nov. 14, 2016, Rusu engaged in a widespread bank fraud conspiracy that targeted various banks in Massachusetts, New York, and New Jersey. Rusu and his co-conspirators captured payment card account information from customers as they accessed their accounts through ATMs and then used that information to steal money from the customers’ bank accounts.
To capture the account information, Rusu and/or his co-conspirators installed electronic devices, i.e., skimming devices, which surreptitiously recorded customers’ bank account information on the banks’ card-readers at the vestibule door, the ATM machine, or both. In addition, Rusu and/or his co-conspirators installed other devices (generally either pinhole cameras or keypad overlays) in order to record the keystrokes of bank customers as they entered their personal identification numbers to access their bank accounts. After enough customers accessed the ATM machine, Rusu and/or his co-conspirators removed the skimming devices. They then transferred the illegally obtained information from the skimming devices and pinhole cameras to counterfeit payment cards. Finally, they visited other ATM machines with the counterfeit cards to obtain cash from the skimmed bank accounts before the bank or the customers became aware of their illicit conduct.
As a result of the scheme, $364,419 was lost in Massachusetts and $75,715 in New York (totaling $440,134 from 531 individual accounts), and another $428,581 was stolen in New Jersey.
United States Attorney Andrew E. Lelling; Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division; Stephen Marks, Special Agent in Charge of the U.S. Secret Service, Boston Field Division; Peter C. Fitzhugh, Special Agent in Charge of Homeland Security Investigations in Boston; East Longmeadow Police Chief Jeffrey Dalessio; and Medford Police Chief Jack Buckley made the announcement today. Assistant U.S. Attorney Steven H. Breslow of Lelling’s Springfield Branch Office and Trial Attorney Marianne Shelvey of the Justice Department’s Organized Crime and Gang Section prosecuted the case.
Romanian National Sentenced for Multi-State ATM Card Skimming SchemeRead the Press Release
A Romanian national was sentenced today in federal court in Springfield, Massachusetts, in connection with a multi-state ATM card skimming scheme.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney Andrew E. Lelling for the District of Massachusetts, Special Agent in Charge Stephen Marks of the U.S. Secret Service’s Boston Field Division, Special Agent in Charge Peter C. Fitzhugh of Immigration and Customs Enforcement’s Homeland Security Investigations (HSI) in Boston, East Longmeadow Police Chief Jeffrey Dalessio and Medford Police Chief Jack Buckley made the announcement.
Bogdan Viorel Rusu, 38, a Romanian national formerly residing in Queens, New York, was sentenced by U.S. District Court Judge Mark G. Mastroianni for the District of Massachusetts to 65 months in prison followed by 60 months of supervised release. Judge Mastroianni also ordered Rusu to pay restitution in the amount of $440,130 and forfeit the same amount. In September 2018, Rusu pleaded guilty to an Information that charged him with one count each of conspiracy to commit bank fraud, bank fraud and aggravated identity theft. Rusu was arrested on Nov. 14, 2016, and initially charged by complaint in the District of New Jersey and has been in custody since.
According to Rusu’s plea agreement, from approximately Aug. 3, 2014, until his arrest on Nov. 14, 2016, Rusu engaged in a widespread bank fraud conspiracy that targeted various banks in Massachusetts, New York and New Jersey. Rusu and his co-conspirators captured payment card account information from customers as they accessed their accounts through ATMs and then used that information to steal money from the customers’ bank accounts.
To capture the account information, Rusu and/or his co-conspirators installed electronic devices, i.e., skimming devices, which surreptitiously recorded customers’ bank account information on the banks’ card-readers at the vestibule door, the ATM machine, or both. In addition, Rusu and/or his co-conspirators installed other devices (generally either pinhole cameras or keypad overlays) in order to record the keystrokes of bank customers as they entered their personal identification numbers to access their bank accounts. After enough customers accessed the ATM machine, Rusu and/or his co-conspirators removed the skimming devices. They then transferred the illegally obtained information from the skimming devices and pinhole cameras to counterfeit payment cards. Finally, they visited other ATM machines with the counterfeit cards to obtain cash from the skimmed bank accounts before the bank or the customers became aware of their illicit conduct.
As a result of the scheme, $364,419 was lost in Massachusetts and $75,715 in New York (totaling $440,134 from 531 individual accounts), and another $428,581 was stolen in New Jersey.
The U.S. Secret Service’s Boston Field Division and HSI Boston investigated this case with assistance from East Longmeadow Police Department and Medford Police Department. This investigation started as a result of analysis provided by TD Bank Global Investigations Springfield, Massachusetts. Assistant U.S. Attorney Steven H. Breslow for the District of Massachusetts and Trial Attorney Marianne Shelvey of the Justice Department’s Organized Crime and Gang Section prosecuted the case.
Rialto Capital Management and Current Owner of Indiana Hospital to Pay $3.6 Million to Resolve False Claims Act Allegations Arising from Kickbacks to Referring PhysiciansRead the Press Release
The Department of Justice announced today that Rialto Capital Management LLC (Rialto) and its former affiliate RL BB-IN KRE LLC (RL BB) have agreed to pay $3.6 million to resolve allegations that Rialto and the Kentuckiana Medical Center (KMC), a Clarksville, Indiana-based hospital owned by RL BB, violated the Anti-Kickback Statute (AKS), the Stark Law, and the False Claims Act by engaging in illegal financial arrangements with two doctors who referred patients to KMC. Until November 2018, RL BB was an affiliate of Rialto, which oversaw management of the hospital.
“When doctors refer patients for tests and medical procedures, they must do so based on their own professional judgment and the medical needs of their patients, not personal financial benefits,” said Assistant Attorney General Jody Hunt for the Department of Justice’s Civil Division. “Illegal financial arrangements between health care providers undermine the integrity of our health care system, and we will continue to pursue those who engage in such conduct.”
The settlement resolves allegations that KMC, under the direction of Rialto, provided personal loans to two referring doctors and then repeatedly forbore from requiring repayment of those loans. The United States alleged that the hospital’s failure to collect on loans to key referral sources constituted a form of remuneration prohibited by both the AKS and the Stark Law. The AKS prohibits the provision of remuneration to induce the referral of services or items that are paid for by a federal health care program. The Stark Law restricts financial relationships that hospitals may enter into with physicians who refer patients to them. The False Claims Act prohibits the submission of claims to Medicare for items or services that are tainted by financial arrangements that violate the AKS or the Stark Law.
“The Anti-Kickback Statute, Stark Law, and False Claims Act were created to serve as tools for combating fraud, waste, and abuse in federally funded health care programs,” said U.S. Attorney for the Southern District of Indiana Josh Minkler. “This recovery sends the message that health care providers must comply with applicable state and federal laws when billing the United States Government for services, or they will face consequences.”
Rialto, through RL BB, acquired KMC as part of KMC’s bankruptcy reorganization in 2013. As part of that reorganization, KMC and Rialto initially offered to award partial ownership in the hospital’s real estate to certain physicians who had been important referral sources for KMC, but those offers were challenged in the bankruptcy proceedings. Instead, Rialto approved personal loans from KMC to two of the hospital’s key referral sources, and Rialto and KMC then allegedly repeatedly forbore from requiring repayment of those loans for more than two years after each loan matured and became due in full.
“Healthcare entities need to ensure that financial arrangements with physicians are clear and appropriate,” said Lamont Pugh III, Special Agent in Charge for the Office of Inspector General of the U.S. Department of Health and Human Services (OIG). “The practice of providing any kind of remuneration in exchange for the referral of Medicare patients is a violation of the Anti-Kickback Statute. OIG will continue to examine and investigate those relationships that violate federal statutes in an effort to protect vital taxpayer dollars.”
The settlement resolves a lawsuit filed in federal court by Dr. Abdul Buridi under the qui tam or whistleblower provisions of the False Claims Act, which permit private parties to bring lawsuits on behalf of the United States for false claims and to share in any recovery. Dr. Buridi will receive $612,000 from the settlement.
The United States’ investigation of this matter was handled by the Civil Division’s Commercial Litigation Branch, the U.S. Attorney’s Office for the Southern District of Indiana, and the U.S. Department of Health and Human Services Office of Inspector General.
The claims resolved by the settlement are allegations only, and there has been no determination of liability. The case is captioned United States ex rel. Buridi v. Kentuckiana Medical Center LLC, et al., Case No. 4:15-cv-014 (S.D. Ind.)
Rhode Island Man Sentenced to 5 Years in Federal Prison for Trafficking FentanylRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that JUAN HAZARD, also known as “Money,” 42, of Cranston, Rhode Island, was sentenced today by U.S. District Judge Alvin W. Thompson in Hartford to 60 months of imprisonment, followed by four years of supervised release, for trafficking fentanyl.
According to court documents and statements made in court, in April 2017, Hazard agreed to meet an individual at a location in Ledyard to conduct a narcotics transaction. On April 26, 2017, investigators stopped Hazard’s vehicle in Ledyard. Hazard was arrested after investigators located a wooden box containing three shrink-wrapped packages containing a total of approximately 338 grams of fentanyl in the rear of the vehicle. Hazard’s young child was in the back seat of the car at the time of the offense.
Hazard has been detained since his federal arrest on May 4, 2018. On September 17, 2018, he pleaded guilty to one count of possession with intent to distribute 40 grams or more of fentanyl.
This investigation was conducted by the Federal Bureau of Investigation and the Waterford, Ledyard, Town of Groton and City of Groton Police Departments. The case was prosecuted by Assistant U.S. Attorney Patricia Stolfi Collins.
Red Lake Man Sentenced to 22 Years in Prison for Second Degree MurderRead the Press Release
United States Attorney Erica H. MacDonald announced the sentencing of MICHAEL WAYNE WHITEFEATHER, 18, to 264 months in prison for murder in the second degree. WHITEFEATHER, who pleaded guilty on December 17, 2018, was sentenced today by Judge Susan Richard Nelson in U.S. District Court in Saint Paul, Minnesota.
United States Attorney Erica MacDonald said, “This tragic and senseless act of violence resulted in the death of an innocent young man. We are working in collaboration with our federal, state, local and tribal law enforcement partners to do all we can to protect our communities from violent crimes such as this.”
According to the defendant’s guilty plea and documents filed in court, during the early morning hours of April 28, 2018, WHITEFEATHER and several other members of the Back of Town (“BOT”) gang were driving around looking for rival gang members on the Red Lake Indian Reservation. They encountered the victim and another male walking in a parking lot between the Red Lake Skate Park and the Red Lake Middle and High Schools. WHITEFEATHER and the other BOT gang members mistakenly thought the victim was a rival gang member. WHITEFEATHER exited the vehicle, retrieved a shotgun, and chased after the victim on foot. When WHITEFEATHER caught up to the victim, he assaulted him and shot him in the face, resulting in the victim’s death.
This case is the result of an investigation conducted by the Red Lake Department of Public Safety, the FBI Headwaters Safe Trails Task Force, the Paul Bunyan Drug Task Force, the Bemidji Police Department, the Beltrami County Sheriff's Office, and United States Customs and Border Protection. This case is part of Project Safe Neighborhoods, an initiative that brings together all levels of law enforcement and the communities they serve to reduce violent crime and make neighborhoods safer for everyone.
This case is being prosecuted by Assistant U.S. Attorney Deidre Y. Aanstad.
Defendant Information:
MICHAEL WAYNE WHITEFEATHER, 18
Red Lake, Minn.
Convicted:
- Murder in the second degree, 1 count
Sentenced:
- 264 months in prison
- Five years of supervised release
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United States Attorney’s Office, District of Minnesota: (612) 664-5600
Recording Artist Kintea McKenzie Pleads Guilty in Connection with 2018 Shooting in Times SquareRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced that KINTEA MCKENZIE, a/k/a “Kooda B,” pled guilty today in Manhattan federal court in connection with a shooting outside a hotel in Times Square on June 2, 2018, in furtherance of the Nine Trey Gangsta Bloods (“Nine Trey”) criminal enterprise. U.S. District Judge Paul A. Engelmayer accepted the defendant’s guilty plea.
U.S. Attorney Geoffrey S. Berman said: “Today, Kintea McKenzie admitted his responsibility for a brazen shooting in bustling Times Square. In coordination with Tekashi 6ix 9ine and other Nine Trey gang members, McKenzie arranged to have another individual shoot at a rival gang member. We continue our daily work with our law enforcement partners to keep our communities safe and to vigorously investigate acts of violence committed by gang members.”
As alleged in the Indictment and statements made in open court:
Nine Trey was a criminal enterprise involved in committing numerous acts of violence, including shootings, robberies, and assaults in and around Manhattan and Brooklyn. Members and associates of Nine Trey engaged in violence to retaliate against rival gangs, to promote the standing and reputation of Nine Trey, and to protect the gang’s narcotics business. On or about June 2, 2018, MCKENZIE agreed to accept money from Daniel Hernandez, a/k/a “Tekashi 6ix 9ine,” to shoot at a rival gang member and rapper who was staying at a hotel in Times Square. MCKENZIE helped to organize the shooting in order to scare that rival gang member.
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MCKENZIE, 21, of Brooklyn, pled guilty to assault with a dangerous weapon in aid of racketeering, which carries a maximum sentence of 20 years in prison.
The statutory maximum penalties are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant would be determined by Judge Engelmayer.
Mr. Berman praised the outstanding investigative work of the New York City Police Department, Homeland Security Investigations, and the Bureau of Alcohol, Tobacco, Firearms and Explosives. He also thanked the New York County District Attorney’s Office for their assistance in the investigation.
This case is being handled by the Office’s Violent and Organized Crime Unit. Assistant United States Attorneys Michael Longyear, Jacob Warren, Jonathan Rebold, and Sebastian Swett are in charge of the prosecution.
Randolph Man Pleads Guilty to Child Exploitation ChargesRead the Press Release
BOSTON – A Randolph man pleaded guilty today in federal court in Boston to child exploitation charges.
Michael Lee, 52, pleaded guilty to one count of sexual exploitation of children and one count each of distribution, receipt, and possession of child pornography. U.S. District Court Judge Indira Talwani scheduled sentencing for Aug. 28, 2019. In December 2017, Lee was arrested and charged in a criminal complaint and has been in federal custody since. He was indicted in April 2018.
A search warrant at Lee’s Randolph home was conducted as part of an investigation into the online trade of child pornography through the use of Kik, an instant messaging app. During an interview with federal agents, Lee admitted to trading images and videos of child pornography with other Kik users, including a New Hampshire man who provided Lee with images and videos documenting the sexual abuse of the man’s eight-year-old daughter at Lee’s direction. Forensic analysis of Lee’s cell phone and Kik account corroborated his admissions and showed that he had created videos of himself in which he directed the child’s father how to sexually abuse her, and had received videos in return that showed the man abusing her. Forensic review of the evidence also showed that Lee had been trading child pornography with other Kik users.
The charge of sexual exploitation of children provides for a mandatory minimum sentence of 15 years and up to 30 years in prison. The charge of possession of child pornography provides for a sentence of no greater than 20 years in prison. The charges of distribution and receipt of child pornography provides for a mandatory minimum sentence of five years and up to 20 years in prison. All four charges provide for a minimum of five years and up to a lifetime of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, made the announcement today. Assistant U.S. Attorney Anne Paruti, Lelling’s Project Safe Childhood Coordinator and a member of the Major Crimes Unit, is prosecuting the case.
The case is brought as part of Project Safe Childhood. In 2006, the Department of Justice created Project Safe Childhood, a nationwide initiative designed to protect children from exploitation and abuse. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov/.
Randolph County man admits to methamphetamine chargeRead the Press Release
ELKINS, WEST VIRGINIA – Eric Allen Harris, of Beverly, West Virginia, has admitted to a drug distribution charge, United States Attorney Bill Powell announced.
Harris, age 39, pled guilty to one count of “Possession with Intent to Distribute Methamphetamine.” Harris admitted to distributing methamphetamine, also known as “ice,” in September 2018 in Randolph County.
Harris faces up to 20 years incarceration and a fine of up to $1,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Stephen D. Warner is prosecuting the case on behalf of the government. The Mountain Region Drug & Violent Crime Task Force investigated.
The investigation was funded by the federal Organized Crime Drug Enforcement Task Force Program (OCDETF). The OCDETF program supplies critical federal funding and coordination that allows federal and state agencies to work together to successfully identify, investigate, and prosecute major interstate and international drug trafficking organizations and other criminal enterprises.
U.S. Magistrate Judge Michael John Aloi presided.
Queens Man Pleads Guilty to Assaulting a Federal Correctional Officer and Possessing Contraband at a Federal Jail in BrooklynRead the Press Release
Ali Saleh pleaded guilty today at the federal courthouse in Brooklyn to assaulting a federal correctional officer and possessing contraband at the Metropolitan Detention Center (MDC) in Brooklyn, New York. The proceeding took place before United States District Judge William F. Kuntz, II, on the day a jury was scheduled to be selected for Saleh’s trial. When sentenced, Saleh faces up to 25 years’ imprisonment on the assault and prison contraband charges.
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.
“Saleh viciously attacked a correctional officer performing routine duties at the MDC, causing the officer serious injury,” stated United States Attorney Donoghue. “Correctional officers place themselves on the front line every day and all inmates should know that we will relentlessly prosecute those who threaten or assault them.”
On July 13, 2018, Saleh was an inmate at the MDC for charges related to attempting to provide material support to the Islamic State of Iraq and al-Sham (ISIS). At approximately 12:35 p.m., while a senior correctional officer was retrieving trash through an access slot of Saleh’s cell, Saleh reached through the slot and slashed the officer with an improvised knife, seriously lacerating the officer’s right forearm. Saleh smiled at the officer and said, “I hope you die.” The correctional officer subsequently underwent surgery for his wound.
Saleh’s potential sentence of up to 25 years on the assault and possession of contraband charges is in addition to the sentence he faces for his conviction, pursuant to a guilty plea on July 24, 2018, to attempting to provide material support to ISIS.The government’s case is being prosecuted by Assistant United States Attorneys Phil Selden and Douglas M. Pravda.
The Defendant:
ALI SALEH
Age: 26
Queens, New YorkE.D.N.Y. Docket No. 18-CR-468 (WFK)
Princess Cruise Lines and its Parent Company Plead Guilty to Environmental Probation Violations, Ordered to Pay $20 Million Criminal PenaltyRead the Press Release
Today, Princess Cruise Lines Ltd. (Princess) and its parent, Carnival Cruise Lines & plc (together “Carnival”) were ordered to pay a $20 million criminal penalty and will be subject to enhanced supervision after admitting to violations of probation attributable to senior Carnival management in a case in which Princess had already paid $40 million.
Princess was convicted and sentenced in April 2017, after pleading guilty to felony charges stemming from its deliberate dumping of oil-contaminated waste from one of its vessels and intentional acts to cover it up. While serving 5 years of probation, all Carnival related cruise lines vessels eligible to trade in U.S. ports were required to comply with a court approved and supervised environmental compliance plan (ECP), including audits by an independent company and oversight by a Court Appointed Monitor. Numerous violations have been identified by the company, the outside auditor, and the court’s monitor during the first two years of probation, including “major non-conformities” as defined by the ECP.
Carnival admitted it was guilty of committing six violations of probation. Two of the violations involved interfering with the court’s supervision of probation by sending undisclosed teams to ships to prepare them for the independent inspections required during probation. When this was first discovered in December 2017, U.S. District Court Judge Patricia Seitz directed that the practice cease and ordered additional inspections as a consequence. However, without seeking court approval, a second undisclosed program was started shortly thereafter. Documents filed in court showed that a purpose of the vessel visit programs was to avoid adverse findings during the inspections.
“This case demonstrates the importance of identifying and correcting compliance problems at their source. Carnival sought to avoid the discovery of problems during the audits rather than learn from them. Carnival’s deliberate deception undermined the court’s supervision of probation,” said Assistant Attorney General Jeffrey Bossert Clark for the Justice Department’s Environment and Natural Resources Division. “I want to take this opportunity to thank and commend the Office of Probation and the Court Appointed Monitor for the close attention that they have devoted to this important matter post-conviction.”
Carnival’s Chairman of the Board, Chief Executive Officer and Chief Financial Officer attended the hearing pursuant to court’s order and were asked to personally pledge their commitment to correcting the company’s compliance issues and corporate culture. In addition, senior management of each operating cruise line of Carnival Corporation & plc were present for the court proceedings.
The company admitted to other violations of probation today including:
- Failing to establish a senior corporate officer as a corporate compliance manager with responsibility and sufficient authority for implementing new environmental measures required during probation;
- Contacting the Coast Guard seeking to re-define the definition of what constitutes a major non-conformity under the ECP without going through the required process and after the government had rejected the proposal and told the company to file a motion with the court if it wanted to pursue the issue;
- Deliberately falsifying environmental training records aboard two cruise ships; and
- Deliberately discharging plastic in Bahamian waters from the Carnival Elation and failing to accurately record the illegal discharges. Prosecutors advised the Court that this particular instance was an example of a more widespread problem, identified by the external audits, in failing to segregate plastic and non-food garbage from waste thrown overboard from numerous cruise ships.
Under the terms of the settlement, Carnival will do the following:
- Pay a $20 million criminal penalty;
- Issue a statement to all employees in which Carnival’s CEO accepts management’s responsibility for the probation violations;
- Restructure the company’s corporate compliance efforts, including appointing a new chief Corporate Compliance Officer, creating an Executive Compliance Committee across all cruise lines, adding a new member to the Board of Directors with corporate compliance expertise, and train its Board of Directors;
- Pay up to $10 million per day if it does not meet deadlines for submitting and implementing needed changes to its corporate structure;
- Pay for 15 additional independent audits per year conducted by the third-party auditor and Court Appointed Monitor (on top of approximately 31 ship audits and 6 shore-side audits currently performed annually);
- Comply with new reporting requirements, including notifying the government and court of all future violations, and specifically identifying foreign violations and the country impacted; and
- Make major changes in how the company uses and disposes of plastic and other non-food waste to urgently address a problem on multiple vessels concerning illegal discharges of plastic mixed with other garbage.
The revised sentence imposed by Judge Seitz also requires that Princess remain on probation for a period of three years.
The case is being prosecuted by Richard A. Udell, Senior Litigation Counsel with the Environmental Crimes Section of the Department of Justice and Assistant U.S. Attorney Thomas Watts-FitzGerald, Deputy Chief, Economic & Environmental Crimes Section for the Southern District of Florida, with assistance from Lt. Commander Anton DeStefano of the U.S. Coast Guard.
Pill Mill Clinic Manager Sentenced to Nine Years in Federal Prison for Illegal Opioid DistributionRead the Press Release
PORTLAND, Ore.—Osasuyi Kenneth Idumwonyi, 58, of Houston, Texas was sentenced today to 108 months in federal prison and three years’ supervised release for illegally distributing opioids.
According to court documents, in January 2015, Idumwonyi along with codefendant and former nurse practitioner Julie Ann DeMille opened the Fusion Wellness Clinic on Southeast 122nd Avenue in Portland. From the clinic’s opening until July 2016, DeMille illegally wrote thousands of prescriptions for opioids including oxycodone and hydrocodone.
Idumwonyi has a history of operating medical clinics purporting to offer legitimate pain management services. His earliest clinic was started in 2009 in Houston, Texas. To maintain an appearance of legitimacy, Idumwonyi would employ physicians or nurse practitioners who were willing to illegally prescribe controlled substances in a manner that would not draw the attention of law enforcement or state regulators.
Idumwonyi and DeMille first met in late 2010 or early 2011. A mutual acquaintance with healthcare industry experience knew of DeMille as someone who willing to write illegal prescriptions. At the time, DeMille lived in the Houston area and was licensed to dispense controlled substances by the State of Texas.
Idumwonyi hired DeMille after interviewing her about her willingness to write prescriptions for a specific combination of controlled substances that were in demand at the time in Houston. Idumwonyi and DeMille worked together at his clinics in Houston from early 2011 to mid-2014.
As early as 2013, DeMille began planning a move from Houston, Texas to Portland. She was attracted to Oregon where licensed nurse practitioners can write prescriptions without the oversight and approval of a physician. She moved to Portland in 2014 and was hired by a publicly funded, county health clinic. From the beginning, DeMille planned to subsidize her county income by operating an illegal opioid pill mill.
After DeMille arranged to lease an office for newly-created Fusion Wellness Clinic, Idumwonyi drove a moving truck from Houston to Portland with the equipment from their last pill mill. Idumwonyi chose not move to Oregon and instead made plans to commute between Houston and Portland each week.
From January 2015 to his arrest in July 2016, Idumwonyi served as the gatekeeper, office manager and enforcer for the Fusion Wellness Clinic. He oversaw the recruitment of new patients, reviewed intake paperwork, collected payments, coordinated with patients and DeMille to ensure the patients received the drugs they were seeking and supervised the clinic’s two other employees. Idumwonyi’s patient-recruiting efforts included visiting a Narcotics Anonymous meeting and a homeless shelter in search of people susceptible to opiate addiction.
Idumwonyi eventually began to require some patients to kick back a portion of their prescribed pills to him for the “privilege” of returning to the clinic for additional prescriptions. He also required other patients to sell him a portion of their oxycodone pills, which he gave to his girlfriend, who was heavily addicted to the drug.
Idumwonyi and DeMille split the clinic’s cash proceeds. In a typical day at the clinic, DeMille saw up to 20 patients, charging each $200 in cash. In 2015, the clinic generated at least $388,000 in revenue. In 2015 alone, according to data from the Oregon Prescription Drug Monitoring Program, DeMille wrote more than 1,940 prescriptions for controlled substances. Together, these prescriptions resulted in the distribution of more than 219,000 pills, 96.7% of which were opioids.
Idumwonyi pleaded guilty on February 28, 2017 to conspiring to distribute or dispense and possessing with intent to distribute or dispense oxycodone and hydrocodone.
During sentencing, U.S. District Court Judge Robert E. Jones ordered Idumwonyi to pay $294,000 to satisfy a forfeiture money judgement, representing illegal proceeds from the clinic that were traced to Idumwonyi’s bank accounts.
Codefendant DeMille was sentenced on March 26, 2019 to four years in federal prison for illegally distributing prescription opioids, filing a false tax return and lying to federal agents.
This case was investigated by the Drug Enforcement Administration, U.S. Marshals Service and Portland Police Bureau. It was prosecuted by Thomas S. Ratcliffe and Donna Brecker Maddux, Assistant U.S. Attorneys for the District of Oregon.
Drug abuse affects communities across the nation, and opioid abuse continues to be particularly devastating. The CDC reports that from 1999 to 2016, more than 630,000 people have died from a drug overdoses. In 2016, 66% of drug overdose deaths involved an opioid. Drug overdose is now the leading cause of injury or death in the United States.
In Oregon, the total number of deaths related to drug use increased 11 percent between from 2013 to 2017, with 546 known drug related deaths in 2017. Nearly half of all prescriptions for controlled substances filled at Oregon retail pharmacies in 2017 were for opioids. Oregon has one of the highest rates of prescription opioid misuse in the country, with an average of three deaths every week from prescription opioid overdose.
If you or someone you know suffers from addiction, please call the Lines for Life substance abuse helpline at 1-800-923-4357 or visit www.linesforlife.org. Phone support is available 24 hours a day, seven days a week. You can also text “RecoveryNow” to 839863 between 8am and 11pm Pacific Time daily.
Paramedic Pleads Guilty to Tampering with Fentanyl and Ketamine VialsRead the Press Release
OKLAHOMA CITY – COLIN ANDREW DAVIS, 33, of Oklahoma City, has pleaded guilty to tampering with fentanyl and ketamine vials while working as a paramedic for an emergency air evacuation company, announced First Assistant U.S. Attorney Robert J. Troester.
On April 30, 2019, the U.S. Attorney’s Office filed an information that charges Davis with tampering with the labeling and container for consumer products in November 2017 in Weatherford, Oklahoma. According to the information, Davis removed fentanyl and ketamine from vials and replaced them with a sterile saline solution. As a result, patients undergoing emergency air evacuation could have received saline when medical professionals intended to administer fentanyl or ketamine. The information alleges Davis took this action with reckless disregard for the risk that another person would be placed in danger of death or bodily injury and under circumstances manifesting extreme indifference to that risk. Fentanyl is a Schedule II controlled substance in the opioid family; ketamine is a Schedule III analgesic often used in anaesthesia.
"When Davis stole these drugs, he made them unavailable for critical emergency treatment and placed patient care in jeopardy," said First Assistant Troester. "This case is yet another manifestation of the ways in which opioid abuse causes harm in our community. We are pleased to work with the Food and Drug Administration as part of the Department of Justice’s focus on opioid enforcement, which includes this office’s Western Oklahoma Opioid Enforcement Team."
"Patients experiencing pain severe enough to warrant treatment with opioids must have confidence in their health care provider that they are receiving appropriate medical care," said Special Agent-in-Charge Charles L. Grinstead, FDA Office of Criminal Investigations, Kansas City Field Office. "We are committed to working with our law enforcement partners to protect the public health and bring to justice those who tamper with medications which can not only endanger the health of patients by exposing them to contaminated products but also may deny them access to the treatments they need."
At sentencing, Davis faces a maximum penalty of ten years in prison, a fine of $250,000, and three years of supervised release. Sentencing will take place in approximately ninety days.
This case is the result of an investigation by the Food and Drug Administration, Office of Criminal Investigations. Assistant U.S. Attorney Jacquelyn M. Hutzell is prosecuting the case.
Reference is made to court filings for further information.
Operation Saigon Sunset Update: Last Defendant Sentenced for his Role in Federal Drug ConspiracyRead the Press Release
HUNTINGTON, W.Va. – A Barboursville man caught selling heroin in January 2018 was sentenced today to 90 days home confinement and five years of probation for his role in a federal drug conspiracy charge, announced United States Attorney Mike Stuart. Silas Pardue, 34, previously pled guilty to an indictment charging him with conspiracy to distribute heroin.
“The sun has set on Operation Saigon Sunset, but it is rising in Huntington. The future is incredibly bright for the greater Huntington area,” said United States Attorney Mike Stuart. “All 15 defendants charged for their involvement in the Peterson drug trafficking organization have now been sentenced. The sentences imposed in this case range from 97 months in prison to Pardue’s sentence of 90 days of home confinement. We are tough on drug dealers that peddle poisons in our communities, but we always hope that more of our defendants take the path that Pardue has chosen to take -- the path of recovery and finding honest employment.”
Pardue admitted that between August 2017 and April 2018 he conspired with individuals to distribute heroin in Huntington, West Virginia. As part of the plea agreement, Pardue admitted that Manget Peterson, also known as “Money,” supplied him with heroin to use or to sell. Pardue admitted to selling heroin to a male in January 2018 at the WalMart on Route 60 in Huntington. Pardue admitted to being a “runner” for Manget Peterson.
This investigation was the result of a joint effort by the Drug Enforcement Administration and the Violent Crime and Drug Task Force West. United States District Judge Robert C. Chambers imposed the sentence. Assistant United States Attorney Stephanie S. Taylor handled the prosecution.
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Notice of Court ProceedingsRead the Press Release
COLUMBIA, SOUTH CAROLINA -- United States Attorney Sherri A. Lydon announced today that a sentencing hearing has been scheduled in the case of United States v. Daniel Edward Johnson, Case No. 3:18-863. Johnson has pleaded guilty to one count of Wire Fraud. Senior United States District Court Judge Cameron McGowan Currie will preside.
WHEN: Tuesday, June 4, 2019, at 2:30 p.m.
WHERE: Courtroom I
Matthew J. Perry, Jr. Courthouse
901 Richland Street
Columbia, South Carolina 29201
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North Suburban Sex Trafficker Sentenced to More Than 27 Years in PrisonRead the Press Release
CHICAGO — A federal judge has sentenced a north suburban man to 27 and a half years in prison for attempting to transport a minor to Wisconsin to engage in prostitution.
DERONARTE NORWOOD, 32, of North Chicago, physically and emotionally harmed the 15-year-old girl after meeting her in 2015. He exploited the girl in graphic online advertisements offering commercial sex, and then sent her to have sex with strangers, leaving her alone in hotel rooms. Norwood pocketed all of the money she made.
Norwood was arrested in October 2016 in Waukegan, and he has remained in custody since then. A federal jury in Chicago last year convicted him of attempting to transport a minor to Wisconsin from Illinois to engage in prostitution. U.S. District Judge Gary Feinerman imposed the 330-month sentence Thursday in federal court.
The sentence 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 Federal Bureau of Investigation. Substantial assistance was provided by the Lake County Special Investigations Group, Winthrop Harbor Police Department, and New Albany, Ind., Police Department.
“Defendant is among those criminals who destroy the lives of our communities’ most precious resource – children,” Assistant U.S. Attorneys Nicole M. Kim and Abigail Peluso argued in the government’s sentencing memorandum. “Defendant was a predator who targeted, assaulted, and repeatedly exploited [the victim].”
If you believe you are a victim of sexual exploitation, you are encouraged to contact the National Center for Missing and Exploited Children by logging on to www.missingkids.com/home or by calling 1-800-843-5678. The service is available 24 hours a day, seven days a week.
North Carolina Man Sentenced to Four Years in Prison for Spousal Rape and Assault on Military BaseRead the Press Release
A North Carolina resident, who previously resided on Joint Base Lewis-McChord (JBLM) with his service member spouse has been sentenced to four years in prison and eight years of supervised release for his rape and brutal assault on his estranged wife, announced U.S. Attorney Brian T. Moran. The couple were in the midst of a divorce but residing in the same residence when JIMMY ANTHONY INDARTE, 28, raped and strangled the victim to unconsciousness. When she regained consciousness, he chased her with a butcher knife. Military police were able to intervene and rescue the victim. At the sentencing hearing U.S. District Judge Benjamin H. Settle said “this is one of the most serious crimes that a person can commit.”
According to records filed in the case, in August 2017, INDARTE and his spouse were in the midst of a divorce, in part, because she had discovered INDARTE had tortured and intentionally killed one or more of the couple’s four puppies they had adopted over the previous 12 months. INDARTE had originally claimed the dogs died accidentally. INDARTE’s spouse discovered videos on INDARTE’s phone showing him raping her while she was unconscious, apparently from medications. When she confronted INDARTE about the videos, he choked her into unconsciousness. When she came to, she was able to call 9-1-1. Before law enforcement arrived, INDARTE chased his spouse through the home with a large kitchen knife. The couple’s three-year-old son was present during the assault.
Following the assault and a no contact order, INDARTE tried repeatedly to contact his former spouse in violation of the order and used falsified emails to try to make it appear the former spouse had fabricated information provided to the FBI. INDARTE used threats to try to convince his former spouse to stop cooperating with law enforcement.
The case is being resolved in federal court, because the rape and assault occurred on JBLM. INDARTE was arrested in December 2017 at his father’s residence in High Point, North Carolina. He has been detained since his arrest. INDARTE pleaded guilty to abusive sexual contact in March 2019.
The case was investigated by the FBI and the Army Criminal Investigation Command (CID).
The case was prosecuted by Assistant United States Attorney Grady Leupold.
Nicaraguan National Pleads Guilty to Conspiring to Distribute Cocaine and Marijuana on the DarknetRead the Press Release
SACRAMENTO, Calif. — Eddy Steven Sandoval Lopez, 23, a Nicaraguan national residing in Sacramento, pleaded guilty today to conspiracy to distribute controlled substances, U.S. Attorney McGregor W. Scott announced.
According to court documents, Sandoval Lopez distributed cocaine and marijuana on a darknet site, Dream Market, using the vendor accounts “CokeWave,” “SafeDealsDirect,” and “HerbanFarmer.” The Dream Market allowed individuals to sell narcotics and other illegal goods and services. In return for his cocaine and marijuana sales, Sandoval Lopez received $97,891 in bitcoin from his customers.
This case is the product of an investigation by the Northern California Illicit Digital Economy Task Force (NCIDE), composed of agents from Homeland Security Investigations, the Federal Bureau of Investigation, the U.S. Postal Inspection Service, and the Drug Enforcement Administration. The NCIDE Task Force is a joint federal task force focused on targeting all forms of darknet and cryptocurrency activity in the Eastern District of California. The Sacramento County Sheriff’s Department also assisted in this investigation. Assistant U.S. Attorneys Grant B. Rabenn and Paul Hemesath are prosecuting the case.
Sandoval Lopez is scheduled for sentencing on August 26 before U.S. District Judge Kimberly J. Mueller. Sandoval Lopez faces a maximum statutory penalty of 20 years in prison and a $1 million fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
New York man sentenced for cigarette smugglingRead the Press Release
MARTINSBURG, WEST VIRGINIA – John Barrett Fairchild, of East Islip, New York, was sentenced today to three years probation for trafficking cigarettes to avoid paying the cigarette tax, United States Attorney Bill Powell announced.
Fairchild, age 42, pled guilty to one count of “Conspiracy to Evade Tobacco Taxes” and one count of “Contraband Cigarettes Trafficking Act” in December 2017. Fairchild conspired with others to profit from the unlawful sale of contraband cigarettes. He transported large quantities of cigarettes across state lines for redistribution and sale.
The cigarettes were acquired in Virginia, where the tax rate for cigarettes is one of the lowest in the nation, and sold in other states, including New York, which has one of the nation’s highest tax rates. The cigarettes were possessed and transported in West Virginia.
Fairchild was also ordered to pay a $5,000 fine.
Assistant U.S. Attorney Michael D. Stein prosecuted the case on behalf of the government. The Internal Revenue Service Criminal Investigation, Homeland Security Investigations, the Alcohol and Tobacco Tax and Trade Bureau, and the Frederick County, Virginia Sheriff’s Office investigated.
Chief U.S. District Judge Gina M. Groh presided.
New York Fugitive Arrested at Cyril E. King Airport on Bank Fraud and Theft ChargesRead the Press Release
St. Thomas, USVI – Carlos Iglesias, alias "Abraham Reyes", 39, was detained today by Magistrate Ruth Miller, and committed to the custody of the United States Marshals pending his removal to the District of Rhode Island for bank fraud and identity theft charges, United States Attorney Gretchen C.F. Shappert announced.
On Thursday, May 30, 2019, Iglesias was taken into custody by Homeland Security Investigation as he attempted to board a JetBlue flight to New York’s JFK International Airport. Iglesias is wanted in Rhode Island on charges stemming from a 2009 bank fraud conspiracy scheme. According to the complaint, on December 2, 2009 and December 3, 2009, Iglesias and his co-defendant entered Bank of America in Pawtucket, RI and cashed or attempted to cash fraudulent Bank of America cashier's checks. At Bank of America, Iglesias presented a fake United States passport in the name of "Abraham Reyes", with his photograph in it. Iglesias opened a checking account with Bank of America in the name of "Abraham Reyes", then cashed a fraudulent cashier's check in the amount of $65,000 against the account, using the fake passport as identification. Because the branch bank had insufficient funds on hand to honor the cashier's check, Bank of America gave Iglesias two cashier's checks in the amounts of $19,000 and $27,000, both of which Iglesias cashed and kept $19,000 for himself. On a third occasion, Iglesias attempted to cash another fraudulent cashier's check in the amount of $53,000, payable to "Abraham Reyes". Bank of America, upon discovering the check cashing scheme, reported the incidents to the authorities.
According to court records, Iglesias was later interviewed by the Rhode Island State Police and admitted that on three occasions he cashed or attempted to cash fraudulent cashier’s checks at three or four Bank of America branches. Iglesias also told the authorities that he had traveled to Rhode Island from New York to visit a friend who provided him with the fake passport, and offered him $20,000 - $30,000 as payment for cashing the fraudulent checks.
This case is being investigated by Homeland Security Investigation, and is being prosecuted by the Rhode Islands United States Attorney’s Office, and Delia L. Smith, Assistant United States Attorney, Virgin Islands District.
United States Attorney Shappert reminds the public that an indictment is merely a formal charging document and is not evidence of guilt. Every defendant is presumed innocent until and unless found guilty.
New Orleans Tax Preparer Charged for Failing to Declare More Than $144,401 in Fees on Tax ReturnRead the Press Release
NEW ORLEANS, LOUISIANA – U.S. Attorney Peter G. Strasser announced the filing on Friday, June 3, 2019 of a one count bill of information charging QUINCY E. IRVIN, age 41 of New Orleans, Louisiana with one count of violating Title 26, United States Code, Section 7206, making false statements on an income tax return.
The bill of information charged IRVIN with failing to declare more than $144,401 in funds on his 2012 individual tax return 1040. IRVIN was self-employed as a tax preparer with Discount Tax Service and Quincy Irvin Tax Service. IRVIN failed to declare the $144,401 in fees he charged to prepare other individual’s tax returns.
The maximum period of incarceration should IRVIN be convicted or plead guilty is 3 years incarceration, a $250,000 fine, the cost of the investigation, as well as restitution to the IRS. U.S. Attorney Strasser emphasized that a bill of information is simply an allegation. Each element of the offense must be proven beyond a reasonable doubt to convict IRVIN.
U.S. Attorney Strasser praised the work of the Internal Revenue Service Criminal Investigation Division for their thorough investigation. The case is being prosecuted by Assistant United States Attorney Carter K.D. Guice Jr.
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New Orleans Man Pleads Guilty to Obtaining Kilograms of Fentanyl Analogue from ChinaRead the Press Release
NEW ORLEANS - U.S. Attorney Peter G. Strasser announced that CARL J. HURST, age 35, of New Orleans, pleaded guilty Friday, May 31, 2019 to one count of conspiring to distribute 100 grams or more of a fentanyl analogue and 100 grams or more of heroin. HURST is facing a mandatory minimum sentence of 10 years’ imprisonment, a maximum sentence of life, a possible fine of up to $10,000,000, and at least five years of supervised release upon his release from prison.
According to court records, HURST conspired with others to order kilograms of acetylfentanyl, an analogue of fentanyl, from a Chinese manufacturer. HURST admitted that he conspired to order up to 9 kilograms of the acetylfentanyl in 2014 and 2015. HURST and his coconspirators mixed the acetylfentanyl with heroin or sold it as a standalone product in the New Orleans area.
U.S. District Judge Ivan L.R. Lemelle will sentence HURST on October 23, 2019.
This prosecution is part of an extensive investigation by the Organized Crime Drug Enforcement Task Force (OCDETF). OCDETF is a joint federal, state, and local cooperative approach to combat drug trafficking and is the nation’s primary tool for disrupting and dismantling major drug trafficking organizations, targeting national and regional level drug trafficking organizations and coordinating the necessary law enforcement entities and resources to disrupt or dismantle the targeted criminal organization and seize their assets.
U.S. Attorney Strasser praised the work of the Drug Enforcement Administration and the New Orleans Police Department in investigating this matter. Assistant United States Attorneys Brandon Long and Nicholas Moses are responsible for the prosecution.
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Morristown Resident Sentenced to Serve 18 Years in Federal Prison on Methamphetamine Trafficking and Gun CrimesRead the Press Release
GREENEVILLE, Tenn. – On June 3, 2019, Brandon Lee Alexander, 36 of Morristown, Tennessee, was sentenced by the Honorable J. Ronnie Greer, U.S. District Judge, to serve 216 months in federal prison for possession with the intent to distribute 50 grams or more of methamphetamine; possession with the intent to distribute five grams or more of methamphetamine; possession of a firearm in furtherance of a drug trafficking crime; and possession of a firearm by a convicted felon. Alexander was also denied his request for a new trial.
A jury convicted Alexander following a two-day trial that concluded on February 13, 2019. Evidence presented at trial revealed that detectives with the Morristown Police Department were conducting an investigation into Alexander and traffic stopped him in April 2017, where he was found to possess 28 grams of methamphetamine in his waistband; $11,580 cash; and, a loaded semi-automatic pistol. Alexander was arrested and released on bond the following day. In May 2017, Alexander was stopped again and had found to have 100 grams of methamphetamine in his possession.
Alexander was convicted as part of a case brought against a methamphetamine distribution network that was obtaining high-purity methamphetamine from out of state sources and reselling the drug in east Tennessee. In May 2019, two prominent codefendants were sentenced after pleading guilty to conspiring to distribute 50 grams or more of methamphetamine. Pamela Renee Puckett, 49, of Buford, Georgia was sentenced to serve 210 months in federal prison. Thomas Lynn Martin, 48 of Cosby, Tennessee, was sentenced to 21 years in federal prison.
The investigation leading to the indictment was the product of a partnership between the Morristown Police Department, Hamblen County Sheriff’s Department, Grainger County Sheriff’s Office, Cocke County Sheriff’s Office, Newport Police Department, Third Judicial Drug Task Force, Tennessee Highway Patrol, Appalachian High Intensity Drug Trafficking Area - Rocky Top Task Force, Third Judicial District Attorney General’s Office, Fourth Judicial District Attorney General’s Office, U.S. Marshals Service, Bureau of Alcohol, Tobacco, Firearms and Explosives, and Federal Bureau of Investigation. Assistant U.S. Attorneys Thomas A. McCauley and J. Christian Lampe represented the United States.
This case was a result of the Department of Justice’s Organized Crime and Drug Enforcement Task Force (OCDETF) program, the centerpiece of the Department of Justice’s drug supply reduction strategy. OCDETF was established in 1982 to conduct comprehensive, multi-level attacks on major drug trafficking and money laundering organizations. Today, OCDETF combines the resources and expertise of its member federal agencies in cooperation with state and local law enforcement. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking and money laundering organizations and those primarily responsible for the nation’s drug supply.
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Monroe County Man Pleads Guilty and Is Sentenced to 18 Months in Prison for Role in Drug Trafficking ConspiracyRead the Press Release
WILKES-BARRE - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Jace Bradley, age 58, of East Stroudsburg, Pennsylvania, entered a guilty plea on May 30, 2019, and was immediately sentenced by Senior U.S. District Court Judge A. Richard Caputo to 18 months’ imprisonment and four years supervised release for his role in a Monroe County-based cocaine trafficking conspiracy.
According to United States Attorney David J. Freed, Bradley pleaded guilty to conspiring with others to distribute between 500 grams and two kilograms of cocaine, in the Monroe County area between May and July 2015. Bradley was one of eleven individuals indicted by a grand jury in July 2015 and charged with conspiring to distribute powder cocaine, crack cocaine and/or heroin in the Monroe County area.
The case was investigated by the Drug Enforcement Administration (DEA) and the Pocono Mountain Regional Police Department. Assistant United States Attorney Robert J. O’Hara prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local and tribal enforcement and the local community to develop effective, locally-based strategies to reduce crime.
This case was also brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin. Led by the United States Attorney’s Office, the Heroin Initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.
This prosecution is also part of an extensive investigation by the Organized Crime Drug Enforcement Task Force (OCDETF). OCDETF is a joint federal, state, and local cooperative approach to combat drug trafficking and is the nation’s primary tool for disrupting and dismantling major drug trafficking organizations, targeting national and regional level drug trafficking organizations and coordinating the necessary law enforcement entities and resources to disrupt or dismantle the targeted criminal organization and seize their assets.
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Michigan Practitioner Diversion Awareness TrainingRead the Press Release
News Advisory
Working to reduce prescription drug abuse
GRAND RAPIDS, Mich. – Drug overdoses are the leading cause of injury-related deaths in the United States and every day we see the impact that prescription drug abuse has on our neighborhoods. This crisis is destroying communities throughout our nation. In an effort to address this epidemic, the Drug Enforcement Administration (DEA) and co-sponsor, the Federation of State Medical Boards, present the Michigan Practitioner Diversion Awareness Training.
This invitation-only training is for DEA-registered physicians, dentists, physician assistants and nurse practitioners. The objective is to provide information and tools to address prescription drug abuse and addiction. The training will include topics such as the DEA Diversion Control mission, Michigan Automated Prescription System and state legislative updates, health care fraud and diversion, electronic prescribing, and the physiology of addiction. A positive response is expected from Michigan’s nearly 53,000 practitioners who are currently registered with the DEA.
The Michigan Practitioner Diversion Awareness Training will be held Friday, June 14 from 8:30 a.m. - 5:00 p.m. at Grand Valley State University (Loosemore Auditorium) located at 401 Fulton Street W., Grand Rapids, Michigan 49504. Check-in begins at 7:30 a.m. and a live stream of this event is available to DEA-registered practitioners. Registration for this training is currently closed.
There will be media availability between 7:00 a.m. and 8:15 a.m. Kathy Federico, Diversion Program Manager of the Drug Enforcement Administration, Detroit Field Division, will be in attendance and available for comments to the media after opening event remarks.
Metro-PCS Robber Sentenced to 151 Months in Prison for 11 San Diego RobberiesRead the Press Release
Assistant U. S. Attorney Stephen Wong (619) 546-9464
NEWS RELEASE SUMMARY – June 3, 2019
SAN DIEGO – Justin Wayne Caldwell was sentenced in federal court today to 151 months prison in connection with the robberies of 11 San Diego area businesses in January and February 2017. U.S. District Judge Thomas J. Whelan also ordered Caldwell and his codefendant, Carlos Adolfo Soto, to pay $42,000 restitution to the victims.
Soto was sentenced to 140 months on May 27, 2019.
As described in his plea agreement, the spree of robberies involved 10 Metro PCS stores and a Subway Restaurant, all in San Diego County. The first robbery occurred on January 25, 2017 and the last on February 21, 2017. Soto admitted to committing eight of the eleven robberies, and to being part of a conspiracy that involved 11 robberies. In most of his robberies, Soto used a pellet gun that resembled a pistol during the robberies, pointing the weapon at store clerks and customers and demanding cellular phones and cash.
Soto was dubbed the “pinky bandit” for his distinctive pinky finger, which protruded out from the weapons he held during a string of eleven robberies. In a typical robbery, Soto entered the store holding a weapon such as a machete, tazer, or pellet gun that resembled a firearm. Soto pointed his weapon at store clerks and demanded cellular phones and cash. On one occasion, Soto threatened a store clerk with a machete, which he wielded during the robbery.
According to the government’s sentencing memorandum and admissions in his plea agreement, Caldwell typically waited outside the store in a car, serving as the getaway driver who helped Soto escape the crime scene. On at least one occasion, Caldwell also entered the store with a weapon. For example, on February 14, 2017, Soto and Caldwell pointed an object that resembled a handgun at a store clerk and forced the clerk into a storage area in the back of the store, where he was made to kneel down on his hands and feet, while they loaded a backpack with cellular phones. They then ordered the clerk to open the cash register.
Public filings describe how FBI agents and robbery detectives with the San Diego Police Department and the San Diego Sheriff’s Department collaborated to solve this case. In late January and early February of 2017, investigators noticed a series of robberies around San Diego County that fit a pattern. Ten of the 11 robberies involved Metro PCS cell phone stores and in each case the robbers used similar methods, weapons and disguises. Investigators identified the robbers after one of them registered a cell phone that had been stolen during an earlier robbery. Surveillance ultimately led investigators to the scene of the final robbery in the series. Soto was arrested after a foot chase, during which he dropped merchandise taken during the final robbery. Officers arrested Caldwell in his car, parked at the scene.
DEFENDANTS Case Number 17-CR-558-W
Carlos Adolfo Soto Age: 41 San Diego, CA
Justin Wayne Caldwell Age: 32 San Diego, CA
SUMMARY OF CHARGES
Hobbs Act Robbery, 18 U.S.C. § 1951
Maximum penalty: Twenty years in prison, $250,000 fine, 3 years’ supervised release
INVESTIGATING AGENCIES
Federal Bureau of Investigation
San Diego Police Department
San Diego Sherriff’s Department
Maryland U.S. Attorney Announces Support to Baltimore City as Part of the National Public Safety Partnership to Combat Violent CrimeRead the Press Release
Baltimore, Maryland – As the Department of Justice continues its efforts to fulfill President Donald J. Trump’s commitment to reducing violent crime in America, Attorney General William P. Barr today announced that the city of Baltimore, Maryland was selected to join the National Public Safety Partnership (PSP) initiative. PSP provides a framework for enhancing federal support of state, local and tribal law enforcement officials and prosecutors as they aggressively investigate and pursue violent criminals, specifically those involved in gun crime, drug trafficking, and gang violence.
“The Public Safety Partnership is a successful program that directs federal law enforcement resources to the cities where they can have the greatest impact,” Attorney General Barr said. “These resources help police departments to diagnose where crime is highest—and why—and to find, arrest and prosecute criminals. Several participating cities have already seen dramatic reductions in violent crime over the past two years. As we expand this program to 10 more cities across America, we are determined to replicate that success.”
U.S. Attorney Robert K. Hur stated, “Violent crime in Baltimore, especially gun crime, takes far too many lives and undermines our ability to educate our children and build thriving businesses. Federal, state, and local law enforcement are united in our commitment to get guns and violent criminals off our streets and to reduce violent crime in our neighborhoods. All hands are on deck to make Baltimore safer, and the technical assistance available to Baltimore as part of the Justice Department’s Public Safety Partnerships will be crucial to our efforts.”
The Justice Department created PSP and the Task Force on Crime Reduction and Public Safety in response to President Trump’s February 9, 2017, Executive Order charging the agency with leading a national effort to combat violent crime. In June 2017, the Department of Justice announced the formation of the National Public Safety Partnership initiative.
To be considered for selection, a site must have sustained levels of violence that far exceed the national average and demonstrate a commitment to reducing crime. Cities must also display compliance with federal immigration requirements.
The 10 sites announced today are as follows:
- Anniston, Alabama
- Oxford, Alabama
- Anchorage, Alaska
- Davenport, Iowa
- Wichita, Kansas
- Baton Rouge, Louisiana
- Baltimore, Maryland
- Cleveland, Ohio
- Amarillo, Texas
- Harris County, Texas
More than 30 cities have participated in PSP. The primary participating Justice Department components include the Office of Justice Programs, Office on Violence Against Women, Office of Community Oriented Policing Services, Bureau of Alcohol, Tobacco, Firearms and Explosives, FBI, U.S. Drug Enforcement Administration and U.S. Marshals Service.
More information about PSP can be found at: http://www.nationalpublicsafetypartnership.org.
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Maryland Man Sentenced to 13 Years for Sexually Abusing 9-Year-Old ChildRead the Press Release
WASHINGTON – Jose Hernandez, 24, of District Heights, Md., was sentenced today to 13 years in prison followed by five years supervised release for sexually abusing a nine-year-old girl, U.S. Attorney Jessie K. Liu announced.
Hernandez pled guilty on November 16, 2018, in the Superior Court of the District of Columbia to a charge of first-degree child sexual abuse with aggravating circumstances. Following his prison term, Hernandez will be required to register for the rest of his life as a sex offender and complete a five-year term of supervised release. As part of the plea, the government agreed to dismiss a pending gun case. The Honorable Danya A. Dayson sentenced Hernandez today.
According to the government’s evidence, on June 16, 2017, the victim was at her home in Northwest Washington with her 4-year-old brother. The defendant - the victim’s stepfather’s brother - came to the house. The defendant forced the victim into the bathroom. The victim asked her brother for help, but the defendant closed the door on her brother and sexually assaulted the girl. The victim began pushing the defendant off of her, and he got off of her and went back into the living room. The victim went back into the living room and the defendant kept apologizing to her. The defendant asked the victim if she was going to tell her mother, and said that if she told, the defendant would go to jail and she would never see him again. After initially informing the defendant she was going to call her parents, the victim told the defendant she wouldn’t so the defendant wouldn’t get mad at her. The defendant left the home, and the victim locked the door behind him. The victim then called her mother to report the assault.
The defendant was arrested in October 2017 and has been in custody ever since.
In announcing the plea, U.S. Attorney Liu commended the work of those who investigated the case from the Metropolitan Police Department’s Youth and Family Services Division. She also expressed appreciation for the assistance provided by the U.S. Marshals Service, the District of Columbia Department of Forensic Sciences, the Children’s Advocacy Center, and Children’s National Medical Center. She acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Victim/Witness Advocates Juanita Harris and Tracy Owusu, Paralegal Specialists Brenda Williams, D’Yvonne Key, and T.J. McPhail, and Assistant U.S. Attorneys Elana Suttenberg and Stuart D. Allen, who investigated and prosecuted the case.
Man sentenced for Receiving Child PornographyRead the Press Release
United States Attorney Joe Kelly announced that Mark Ringland, 53, was sentenced on Monday, June 3, 2019, to 168 months in federal prison to be followed by 10 years of supervised release by Senior U.S. District Judge Laurie Smith-Camp in Omaha. A jury convicted Ringland of Receiving Child Pornography after a two-day trial that took place in February. There is no parole in the federal system.
Agents with the Federal Bureau of Investigation’s Child Exploitation Task Force received information in the spring of 2017, from the National Center for Missing and Exploited Children, that a specific email address was receiving child pornography. The investigators were able to determine that it was Ringland’s email. He was arrested on September 1, 2017, and had a cell phone and iPad in his possession. The investigators seized both devices for which they had an authorized search warrant. Searches were done and investigators located more than 900 images of what they believed to be child pornography between the two devices. It was determined that at least one of the images was received by Ringland between April 1, 2017 and September 1, 2017. On the date of his arrest Ringland told the investigators he downloaded child pornography as a “pill for pedophilia,” that is, he looked at the images so that he would not act out himself on children. At his sentencing hearing he blamed Google for providing a forum for child pornography to exist. He claimed to be searching for the images so he could report to Congress they need to change laws with respect to child pornographic content.
This case was investigated by the FBI Child Exploitation Task Force, including members from the FBI, Nebraska State Patrol, and Douglas County Sheriff’s Office.
Man Who Volunteered as Church Bus Driver Pleads Guilty to Aggravated Sexual Abuse of ChildrenRead the Press Release
CINCINNATI – A Warren County man who met his victims through his volunteer work as a church bus driver pleaded guilty in U.S. District Court this morning to sexually abusing a minor under the age of 12.
A federal grand jury charged Jory Leedy, 49, of Franklin, Ohio, in April 2016. Leedy was scheduled to begin a jury trial today.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Todd A. Wickerham, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Field Division, Hamilton County Sheriff Jim Neil and other members of the Regional Electronics and Computer Investigations (RECI) Task Force announced the plea entered into today before U.S. District Judge Timothy S. Black.
According to court documents, Leedy sexually abused at least two minor boys as young as seven and eight years old. Leedy met the minors through a religious organization in Dayton, where he volunteered as a bus driver.
The children rode the bus, along with their mother, to the ministry on Sunday. Thereafter, Leedy stopped by the residence to play with the boys and eat dinner with the family. Leedy stopped volunteering as a bus driver shortly after.
Leedy began going to the residence on a nightly basis. He began buying the minors clothes and games. Eventually, Leedy ingratiated himself into the family, taking the boys to church in Cincinnati and on trips to the zoo, Cincinnati Reds games and Kings Island. He began taking the boys on vacations out of state. For example, Leedy took the victims to religious concerts and to Disney World.
Leedy arranged for the purchase of a car for the family. He helped enroll the boys in a private school. Further, Leedy assisted the family in securing another home that was owned by a friend of his; Leedy paid for part of the rent.
Leedy had provided the victims’ family with a fake name. His true identity was discovered during an altercation with the victims’ father in which the police were called. Police advised the parents of Leedy’s true identity and that he was a registered sex offender.
The victims told police the abuse took place over the course of two years and occurred in different states, including Kentucky, Florida and New York.
In addition, Leedy admitted in court documents that between 1999 and 2001 he sexually abused a then-minor relative when he would take the boy on trips for sporting events.
The parties involved in this case have recommended a prison sentence of 30 years in prison. Judge Black will consider that recommendation at a future sentencing hearing.
U.S. Attorney Glassman commended the investigation of this case by the FBI and Hamilton County Sheriff’s Office, as well as Assistant United States Attorney Christy L. Muncy and Criminal Chief Kenneth L. Parker, who are prosecuting the case.
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Man Arrested for Transporting Images of Child Sexual AbuseRead the Press Release
ALEXANDRIA, Va. – A man with citizenship in Lebanon and the United States was arrested this morning after arriving at John F. Kennedy International Airport in New York on charges of transporting visual depictions of minors engaged in sexually explicit conduct.
According to court documents, George Aref Nader, 60, was charged by criminal complaint after he arrived at Washington-Dulles International Airport on Jan. 17, 2018 from Dubai in possession of a cell phone containing visual depictions of minors engaged in sexually explicit conduct. The charges were unsealed after his arrest this morning.
Nader previously pleaded guilty in the Eastern District of Virginia to the same charge in 1991.
If convicted, Nader faces a mandatory minimum of 15 years in prison and a maximum of 40 years. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and John P. Selleck, Acting Assistant Director in Charge of the FBI’s Washington Field Office, made the announcement. Assistant U.S. Attorneys Jay V. Prabhu and Laura Fong are prosecuting the case.
This case is being investigated by the FBI Washington Field Office’s Child Exploitation and Human Trafficking Task Force, composed of FBI agents and local, state and federal 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. 1:18-mj-196.
A criminal complaint contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.
Lorain man and inmate at a federal prison in New Jersey were each sentenced to more than 20 years in prison for their conspiracy to commit murder for hire and to distribute cocaineRead the Press Release
A Lorain man and an inmate at a federal prison in New Jersey were each sentenced to more than 20 years in prison for their conspiracy to commit murder for hire and to distribute cocaine.
Eduardo Rios Velasquez, 38, of Lorain, was sentenced to nearly 24 years in prison. Angel Cordero, 38, an inmate at Fort Dix Federal Correctional Institution, was sentenced to 25 years in prison, to be served consecutive to another 40-year prison sentence he is serving.
A jury convicted both last year on one count of conspiracy to commit murder for hire and one count of conspiracy to distribute cocaine.
Velasquez and Cordero had previously been incarcerated together. Cordero was in contact with Velasquez in the summer of 2017 through a contraband cellular phone that had been smuggled into Fort Dix, according to court documents and trial testimony.
Cordero put Velasquez in contact with another inmate. Velasquez offered to pay the other inmate money if he could provide Velasquez with the address for a woman identified in court documents as T.G. Cordero told the inmate that Velasquez had been hired to kill T.G, according to court documents.
Additionally, another person supplied Velasquez with large shipments of cocaine, with Cordero serving as the broker in the deals. Federal law enforcement authorities intercepted a kilogram of cocaine in July that was being shipped to Velasquez, according to court documents and trial testimony.
“This case was an outstanding effort by investigators and prosecutors from multiple states and jurisdictions who came together to avert a tragedy,” U.S. Attorney Justin E. Herdman said. “These prison sentences demonstrate the serious nature of the crimes of these two defendants.”
“This case shows that no one is out of reach from being charged and prosecuted when a crime is committed,” said Angel M. Melendez, special agent in charge of HSI New York. “Even when serving a sentence, Cordero continued his criminal activity with little regard of the consequences.”
“The FBI is pleased with the sentencing handed down today. Velasquez will now have additional time to spend behind bars for his ruthless willingness to kill someone for money,” said FBI Special Agent in Charge Eric B. Smith. “The FBI Cleveland Division commends the collaboration between the law enforcement agencies involved in disrupting and prosecuting this murder for hire. Let's hope Mr. Velasquez has learned that he will be prosecuted if he chooses to engage in any more crime, no matter where he is located."
The case is being prosecuted by Assistant U.S. Attorneys Brian McDonough, Brad Beeson and Special Assistant U.S. Attorney Hiral Mehta following an investigation by the U.S. Department of Homeland Security’s New York office, the DEA’s New York Drug Enforcement Task Force – which is comprised of agents, detectives and investigators of the U.S. Drug Enforcement Administration, New York City Police Department and the New York State Police -- and the Federal Bureau of Investigation’s Cleveland office, with assistance from the U.S. Attorney’s Office for the Eastern District of New York.
Long Island Man Sentenced to 18 Months’ Imprisonment for Threatening to Assault and Murder Two United States SenatorsRead the Press Release
Earlier today, at the federal courthouse in Central Islip, Ronald DeRisi was sentenced by United States Circuit Judge Joseph F. Bianco to 18 months’ imprisonment for threatening to assault and kill two sitting United States Senators in retaliation for their support of the nomination and confirmation of Justice Brett Kavanaugh to the U.S. Supreme Court. As part of his sentence, DeRisi was ordered to forfeit two firearms to the United States.
Richard P. Donoghue, United States Attorney for the Eastern District of New York, and Acting Chief Steven Sund, United States Capitol Police, announced the sentence.
“Our political process allows for vigorous debate, but not destruction. Threatening to harm or kill elected officials because one disagrees with their public positions goes far beyond the scope of the First Amendment and will not be tolerated,” stated United States Attorney Donoghue. “We will not allow individuals to influence political decision-making through criminal threats.” Mr. Donoghue thanked the Federal Bureau of Investigation and the Suffolk County Police Department for their assistance in the case.
“I also want to thank our USCP investigators, and all of our partners in successfully investigating and prosecuting this case,” said Acting Capitol Police Chief Sund.
In September and October of 2018, DeRisi telephoned and left approximately 12 anonymous, threatening voice-messages at the offices of two United States Senators, both of whom were publicly supporting the nomination and confirmation of Justice Kavanaugh to the U.S. Supreme Court. DeRisi’s threats, which were made both before and after Justice Kavanaugh’s confirmation, included threatening to shoot one of the Senators in the head with a 9mm firearm. When DeRisi was arrested on October 19, 2018, members of law enforcement recovered live 9mm ammunition during the execution of a search warrant at his residence.The government’s case is being handled by the Office’s Long Island Criminal Division. Assistant United States Attorney Justina L. Geraci is in charge of the prosecution.
The Defendant:
Ronald DeRisi
Age: 75
Smithtown, New YorkE.D.N.Y. Docket No. 19-CR-090 (JFB)
Lobelville, TennesseeMan Sentenced to 240 Months for Conspiracy to Distribute Methamphetamine and Fentanyl; and Felon in Possession of FirearmsRead the Press Release
Jackson, TN – Daniel Ranger, 33, has been sentenced to 240months imprisonment for conspiracy to distribute 50 grams or more of actual methamphetamine, aiding and abetting the distribution and attempted distribution of a detectable amount of Fentanyl and being a felon in possession of firearms. U.S. Attorney D. Michael Dunavant announced the sentence today.
This is the latest sentencing in a case involving multiple defendants including Rolando Lopez, Saul Vega Flores, Virginia Torres, Kenneth Edward Garrett, Ronald Lynn Parham, Tammy Ranger, Marcus Jones, and Xavier Demetrius James for charges of conspiracy to distribute methamphetamine.
According to information presented in court, on February 28, 2017, officers with the Lawrenceburg Police Department conducted a traffic stop of a vehicle operated by Ranger. Ranger was found to be in possession of various items located throughout the vehicle to include: a Taurus 9mm handgun, a ballistics vest, three cellular phones, 5.5 grams of methamphetamine/ice and $10,241 in cash. On October 7, 2017, Ranger was again stopped operating a motor vehicle while having a suspended driver’s license. The Perry County Sheriff’s Office searched the vehicle and recovered $98,360 in cash, 37 sildenafil tablets, 50 tadalafil tablets, and a drug ledger. After deputies removed Daniel Ranger from their patrol vehicle, they found a $5 bill, a syringe, and 2.4 grams of methamphetamine/ice in the backseat.
On October 24, 2017, the Lewis County Sheriff’s Office responded to a call regarding an automobile wreck. The caller advised that a vehicle with front end damage was located in the ditch. Daniel Ranger was identified exiting the scene of the accident. As officers arrived, they began investigating the car crash and observed a blue cooler in the tree line. The cooler contained 222 grams of methamphetamine at 95% purity, 20.15 grams of fentanyl/heroin, a small amount of cocaine, and numerous pills. Also recovered was $20,000 in cash, 195 grams of marijuana, and a drug ledger that listed prices based on drug quantity and money owed by customers.
Later that same day, investigators executed a search warrant at 3439 Red Bank Creek Road in Lobelville, Tennessee, the residence of Daniel Ranger and Tammy Ranger. Investigators found 1.51 kilograms of marijuana in a trash bag in the kitchen. They also located .78 kilograms of methamphetamine/ice and 260 grams of heroin in the dishwasher.
On October 28, 2017, after receiving further information regarding additional narcotics, U.S. currency, and firearms that were still either in the home or on the property, investigators executed a second search warrant at Daniel Ranger and Tammy Ranger’s residence. Inside the residence, investigators found an additional set of digital scales, and assorted pills in sample packs. In a trailer behind the residence, officers located another assortment of sample packs of pills and a Glock pistol case with a 9mm magazine, a Remington five-round magazine, fourteen .223 rounds in a plastic clip, and ten 12-gauge shotgun shells.
U.S. Attorney D. Michael Dunavant said, "Fentanyl and Methamphetamine are deadly drugs that destroy lives, and the substantial quantity of illegal narcotics possessed by the defendant for resale could have caused countless injuries and deaths. This armed recidivist drug dealer will now have to pay for his crimes with a 20 year federal prison sentence."
During his guilty plea, Ranger was held accountable for 963.9 grams of actual methamphetamine, 228.15 grams of heroin/fentanyl, and 1,480 grams of marijuana.
On May 31, 2019, U.S. District Court Judge Thomas Anderson sentenced Ranger to 240 months in federal prison followed by 5 years supervised release.
This case was investigated by the Drug Enforcement Administration (DEA) – Nashville, Jackson, Knoxville, Atlanta; Tennessee Bureau of Investigation; 23rd Judicial Drug Task Force; Metro Nashville Police Department; Jackson Police Department; Carroll County Sheriff’s Office; Madison County Sheriff’s Office; Lewis County Sheriff’s Office; Perry County Sheriff’s Office; Tennessee Highway Patrol; Lawrenceburg Police Department; the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF); Knox County Sheriff’s Office and Obion County Sheriff’s Office.
Assistant U.S. Attorney Jerry Kitchen prosecuted this case on behalf of the government.
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Loading 168 Pounds of Marijuana Costs KCK Man Four Years in PrisonRead the Press Release
KANSAS CITY, KAN. – A Kansas man was sentenced today to four years in federal prison for helping to move 168 pounds of marijuana from one house to another to keep police from finding it, U.S. Attorney Stephen McAllister said.
Felipe Cano-Porras, 32, Kansas City, Kan., pleaded guilty to one count of conspiracy to distribute marijuana. Law enforcement had a house in the 900 block of Riverview in Kansas City, Kan., under surveillance when Cano-Porras and another man come out. In the house, investigators found 168 pounds of marijuana in suitcases, 704 grams of methamphetamine, three firearms and more than $25,000 in cash. In his plea, Cano-Porras admitted he and another moved the marijuana, the methamphetamine, the guns and the cash into the house from another residence.
McAllister commended the Drug Enforcement Administration, the Kansas City, Kan., Police Department and Assistant U.S. Attorney Jared Maag for their work on the case.
Langhorne Podiatrist to Pay $75,000 and Cease Prescribing Schedule II Opioids for Two YearsRead the Press Release
PHILADELPHIA – U.S. Attorney William M. McSwain announced that Langhorne podiatrist Dr. Ronald Klein will pay $75,000 and stop prescribing Schedule II opioids, a class of controlled substances with a high potential for abuse, for two years to resolve allegations that he improperly prescribed opioids to one of his patients from October 2014 to October 2016.
The settlement resolves allegations that over two years, Dr. Klein wrote prescriptions for one of his patients that had no legitimate medical purpose and were not issued in the usual course of professional practice. In particular, Klein allegedly wrote improper prescriptions, including for opioids, when multiple prescriptions were written for the same drug on the same day, were written too early based upon the previous prescription’s supply and directions for use, and were not supported by contemporaneous medical histories or physical examinations.
“Healthcare providers have an unwavering duty to their patients to ensure that opioid prescriptions are written for a legitimate medical purpose, and are consistent with the law and the accepted standard of care,” said U.S. Attorney McSwain. “This settlement is the latest example of my Office’s commitment to using all of our enforcement tools to ensure that providers are living up to that duty, and more broadly, of our commitment to taking a multi-pronged approach to combatting the opioid epidemic. We are grateful to our partners at the Drug Enforcement Administration for helping us investigate improper opioid prescriptions.”
This investigation was conducted with the Philadelphia Field Division of the Drug Enforcement Administration. For the United States Attorney’s Office, Assistant United States Attorney Anthony D. Scicchitano and Auditor Denis Cooke handled the investigation and settlement.
The claims resolved by the settlement are allegations only; there has been no determination of liability.
KC Man Sentenced to 25 Years in Prison for Illegal FirearmRead the Press Release
KANSAS CITY, Mo. – A Kansas City, Mo., man has been sentenced in federal court for illegally possessing a firearm.
Emmanuel Robinson, 36, was sentenced by U.S. District Judge Greg Kays on Thursday, May 30, to 25 years and five months in federal prison without parole. Robinson was sentenced as an armed career criminal due to his prior felony convictions.
On Dec. 5, 2018, Robinson was convicted at trial of being a felon in possession of a firearm. Evidence introduced during the trial indicated that Robinson, a convicted felon, was in possession of a Taurus .40-caliber handgun on March 10, 2017.
Kansas City police detectives were contacting another individual on an unrelated matter on that date when an altercation occurred between that individual and Robinson. During the altercation, Robinson pushed the other individual and made motions towards his front waistband. The detectives identified themselves and Robinson started to walk away but kept his hands near his front waistband. Both Robinson and the other individual were detained in order to control the situation. During a search, a detective found the loaded handgun concealed in the waistband of Robinson’s pants.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Robinson has two prior felony convictions for unlawful use of a weapon and prior felony convictions for robbery, domestic assault, endangering the welfare of a child, assault, and armed criminal action.
This case was prosecuted by Assistant U.S. Attorneys Brad K. Kavanaugh and Alison D. Dunning. It was investigated by the Kansas City, Mo., Police Department.
Project Safe Neighborhoods
The U.S. Attorney’s Office is partnering with federal, state, and local law enforcement to specifically identify criminals responsible for significant violent crime in the Western District of Missouri. A centerpiece of this effort is Project Safe Neighborhoods, a program that brings together all levels of law enforcement to reduce violent crime and make neighborhoods safer for everyone.Justice Department Announces Addition of 10 Cities and Counties as Part of the National Public Safety Partnership to Combat Violent CrimeRead the Press Release
As the Department of Justice continues its efforts to fulfill President Donald J. Trump’s commitment to reducing violent crime in America, Attorney General William P. Barr today announced 10 new National Public Safety Partnership (PSP) sites in areas with elevated crime rates. The partnership provides a framework for enhancing federal support of state, local and tribal law enforcement officials and prosecutors as they aggressively investigate and pursue violent criminals, specifically those involved in gun crime, drug trafficking and gang violence.
“The Public Safety Partnership is a successful program that directs federal law enforcement resources to the cities where they can have the greatest impact," Attorney General Barr said. "These resources help police departments to diagnose where crime is highest—and why—and to find, arrest and prosecute criminals. Several participating cities have already seen dramatic reductions in violent crime over the past two years. As we expand this program to 10 more cities across America, we are determined to replicate that success.”
The Justice Department created PSP and the Task Force on Crime Reduction and Public Safety in response to President Trump’s February 9, 2017, Executive Order charging the agency with leading a national effort to combat violent crime. In June 2017, the Department of Justice announced the formation of the National Public Safety Partnership initiative.
To be considered for selection, a site must have sustained levels of violence that far exceed the national average and demonstrate a commitment to reducing crime. Cities must also display compliance with federal immigration requirements.
The 10 sites announced today are as follows:
- Anniston, Alabama
- Oxford, Alabama
- Anchorage, Alaska
- Davenport, Iowa
- Wichita, Kansas
- Baton Rouge, Louisiana
- Baltimore, Maryland
- Cleveland, Ohio
- Amarillo, Texas
- Harris County, Texas
Last week, Attorney General Barr visited one of the new PSP sites in Anchorage, Alaska, and participated in a roundtable where he heard the public safety concerns from many Alaska Native leaders.
“I know through experience as a former U.S. Attorney that the surest way to drive down crime is through a united effort that involves local government leaders and law enforcement agencies at all levels,” said Principal Deputy Assistant Attorney General Matt M. Dummermuth, who oversees DOJ’s Office of Justice Programs. “The National Public Safety Partnership has been the force behind successful violence reduction efforts in a number of communities, and we intend to carry that success into other high crime neighborhoods.”
More than 30 cities have participated in PSP. The primary participating Justice Department components include the Office of Justice Programs, Office on Violence Against Women, Office of Community Oriented Policing Services, Bureau of Alcohol, Tobacco, Firearms and Explosives, FBI, U.S. Drug Enforcement Administration and U.S. Marshals Service.
“We are proud to provide support to law enforcement in these new Sites, and we’re confident that this collaborative effort will help these jurisdictions reduce violent crime,” said Jon Adler, Director of the Bureau of Justice Assistance.
More information about PSP can be found at: http://www.nationalpublicsafetypartnership.org.
Jefferson County man sentenced to 20 years for bank robberyRead the Press Release
MARTINSBURG, WEST VIRGINIA – Timothy Byers, Jr., of Charles Town, West Virginia, was sentenced today to 240 months incarceration for bank robbery, United States Attorney Bill Powell announced.
Byers, age 48, pled guilty to one count of “Bank Robbery” in March 2019. Byers admitted to robbing the Bank of Charles Town in Charles Town, West Virginia, on May 19, 2018. Byers got away with $7,048.
Byers was also ordered to pay &8,044 in restitution.
Assistant U.S. Attorney Kimberley D. Crockett prosecuted the case on behalf of the government. The Charles Town Police Department investigated.
Chief U.S. District Judge Gina M. Groh presided.
Huntington Man Sentenced for Federal Drug ChargeRead the Press Release
HUNTINGTON, W.Va. – A Huntington man was sentenced to 15 months in prison on a federal drug charge, announced United States Attorney Mike Stuart. Ralph Wray, 36, previously pled guilty to an indictment charging him with possession with the intent to distribute methamphetamine.
“Another meth dealer locked up,” said United States Attorney Mike Stuart. “Every week we send more meth dealers to federal prison.”
Wray admitted that on July 23, 2018, he purchased methamphetamine at a home on Oakland Avenue in Huntington. He left the home and an officer with Huntington Police Department saw what appeared to be baggies of methamphetamine hanging from his belt. The officer approached Wray and Wray admitted the baggies contained methamphetamine. The baggies contained approximately 33 grams of methamphetamine.
The Huntington Police Department conducted the investigation.
United States District Judge Robert C. Chambers imposed the sentence. Assistant United States Attorney Stephanie S. Taylor handled the prosecution.
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Hermitage Company and Its Owner Plead Guilty to Illegally Importing and Selling “Brain Drugs” Not Approved for Sale by FDARead the Press Release
PITTSBURGH - A resident of Hermitage, Pennsylvania, and a corporation, also from Hermitage, pleaded guilty in federal court to a charge of conspiracy, United States Attorney Scott W. Brady announced today.
Emil Koledin aka Butch, and Koledin Enterprises, Inc. pleaded guilty to one count of conspiracy to defraud agencies of the United States before Senior United States District Judge Donetta W. Ambrose.
In connection with the guilty plea, the court was advised that Koledin operated a business out of his Hermitage home called Koledin Enterpsises, Inc., that sold various illegal drugs manufactured primarily in Russia and China though the website awakebrain.com. Koledin sold the drugs as "nootripics", which he described as "Smart drugs, memory enhancers, neuro exchangers, and intelligence enhancements." He falsely represented these drugs as legal to sell in the United States. In fact, these are drugs that were illegally imported into the United States and illegal to sell in the United States because they are not approved for sale by the Food and Drug Administration, the products do not contain the proper labeling, directions for use and warnings, and because they were manufactured in unapproved facilities. Some of the illegal drugs Koledin was selling include the following: Adrafinil, aka Noofon; Bromantane; Coluracetam; Etifoxine, aka Stresam; Noopept; Piracetam, a/k/a Nootropil; Phenylpiracetam, aka Phenotropil; Sunifiram; Theanine; and Tianetine,
Judge Ambrose scheduled sentencing for October 7, 2019. For the conspiracy charge relating to Emil Koledin, the law provides for a total sentence of not more than five years in prison, a fine of $250,000, or both. For the charge against Koledin Enterprises, Inc., the law provides for a total sentence of a fine of $500,000. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Brendan T. Conway is prosecuting this case on behalf of the government.
The Food and Drug Administration Office of Criminal Investigations conducted the investigation that led to the prosecution of Koledin and Koledin Enterprises, Inc.
Hazleton Woman Sentenced to Probation for Firearms OffenseRead the Press Release
SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced that on May 31, 2019, United States District Court Judge James M. Munley sentenced Jasmine Wing, age 27, of Hazleton, Pennsylvania, to two years of probation and 50 hours of community service, for making false statements in the purchase of firearms.
According to United States Attorney David J. Freed, Jasmine Wing purchased six firearms while making false representations that she was the actual buyer, when in fact her father, Theodore Wing, and his co-conspirators selected, paid for, and took possession of the firearms. The firearms were purchased from Bob’s Sporting Goods in Hazleton, PA, and from Dave’s Gun Shop in Drums, PA, between September 19, 2014 and April 14, 2015. The firearms were:
- Glock 19 9mm;
- Glock 23 .40 caliber;
- Taurus PT745Pro .45acp;
- Extar EXP556 5.56;
- CAI/Romarm Micro Draco 7.62x39 (a semiautomatic firearm that is capable of accepting a large capacity magazine); and
- Ruger P91DC .40acp.
Two of the firearms subsequently were recovered in law enforcement operations, including one that had been used in a shooting in Hazleton, Pennsylvania, in February 2015.
Theodore Wing was previously convicted of aiding and abetting the making false statements in the purchase of firearms and on April 24, 2019, was sentenced to 63 months’ imprisonment.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives. Assistant U.S. Attorney Phillip J. Caraballo prosecuted the cases.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
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Government Contractor Pleads Guilty to Making False StatementsRead the Press Release
CONCORD – Enco Industries, Inc., a company located in Plaistow, New Hampshire, pleaded guilty to making false statements to the U.S. Department of Defense’s Defense Logistics Agency, announced United States Attorney Scott W. Murray.
According to court documents and statements made during a hearing earlier today, the Defense Logistics Agency (“DLA”) purchases operating supplies (“items”) for the U.S. military from government contractors through the federal supply system. The Department of Defense (“DoD”) requires that all items conform to strict military specifications identified in its contracts. Contract solicitations include the DoD’s specifications for the requested item.
An oil sorbent mat is one item the DLA acquires through the federal supply system. Because the mats are used to absorb flammable liquids, the mats are required to meet specifications requiring them to dissipate electrical charges to the ground.
According to court documents, in December of 2011, the DLA posted a solicitation to acquire approximately 96,000 units of hazardous material mats over a five-year period. The solicitation required, among other things, that the mats pass standards established in National Fire Protection Association for Static Decay and Surface Resistivity. The solicitation also required the selected government contractor to purchase mats manufactured by a company in Tipton, Pennsylvania or another company in Pennsylvania.
Enco has been an approved government contractor since 2004. On January 13, 2012, Enco’s government contracting manager submitted Enco’s bid for the contract. The bid stated that Enco would purchase the mats from the company in Tipton for $29.15 for each unit containing 100 mats during the first year of the five-year annually renewable contract. This statement was false because, at the time the bid was submitted, Enco did not intend to purchase the mats from the company in Tipton.
The court documents further allege that on June 18, 2012, the DLA awarded the contract to Enco and sent the company a purchase order that incorporated all the required specifications for the mats. From June of 2012 to October of 2013, Enco provided approximately 21,700 units to the DLA. To obtain payments, Enco’s office manager submitted claims to the DoD. Most of claims were false because only seven units contained mats that were manufactured by the company in Tipton. Enco received payments totaling $683,513.55 for these claims.
In August of 2013, an independent company concluded that several of the mats it tested did not meet the contract’s requirements for static decay or surface resistivity. As a result, the DLA sent Enco a letter on October 7, 2013, that notified the company that the contract might be terminated due to non-conformance.
In an October 2013-email addressed to the DLA, Enco’s president stated that Enco bought the mats from a non-approved manufacturer because the amount charged by the company in Tipton was prohibitive. In the same email, Enco’s president stated that Enco was not able to identify the non-approved manufacturer. This statement was false because, at the time of the email, Enco was able to identify the manufacturers from whom it had purchased the mats.
While speaking with Special Agents from the Naval Criminal Investigative Service (“NCIS”) and Defense Criminal Investigative Service (“DCIS”) on February 21, 2014, Enco’s president stated that before Enco submitted its bid on the contract, the company received price quotes from the two approved manufacturers. According to the court documents, Enco’s president also stated that Enco decided to buy the mats from the company in Tipton because its price was lower. This statement was false and misleading because when Enco submitted its bid for the contract, it intended to fulfill the contract by purchasing mats from a non-approved manufacturer.
A sentencing hearing has been scheduled for September 11th, 2019. At sentencing, the company could be placed on probation for up to five years and fined up to $500,000.
“Defense procurement fraud is a serious crime that can jeopardize the safety of military personnel,” said U.S. Attorney Murray. “Those who seek to do business with the government should be truthful and candid. We will always work closely with our law enforcement partners to identify and prosecute individuals or entities that seek to defraud the government or who are dishonest in their dealings with federal agencies.”
"Ensuring the integrity of the U.S. Department of Defense's (DoD) procurement process is a top investigative priority for the Defense Criminal Investigative Service (DCIS)," said Leigh-Alistair Barzey, Special Agent in Charge of the DCIS Northeast Field Office. "The guilty plea announced today is the direct result of a joint effort and it demonstrates DCIS' ongoing commitment to partner with the U.S. Attorney's Office, NCIS and AFOSI to investigate and prosecute companies that provide false statements to the DoD in an effort to improperly receive defense contracts."
“Fraud is never a victimless crime,” said Special Agent in Charge Leo S. Lamont of the NCIS. “This case of using inferior and substandard materials damaged the readiness and safety of U.S. forces. The victims are not just our men and women in uniform, but all American taxpayers. NCIS will continue to tirelessly pursue all those who seek to take advantage of the Department of the Navy and its interests while keeping the procurement system fair and honest."
"The Air Force Office of Special Investigations (AFOSI), along with its law enforcement partners, has, and always will, aggressively identify, investigate and neutralize anyone who attempts to defraud the US Government and put our nation's warfighters at risk," said Special Agent-in-Charge Jason T. Hein, AFOSI, Office of Procurement Fraud.
The case was investigated by the NCIS, DCIS, and the AFOSI, Office of Procurement. Assistant U.S. Attorney Robert Kinsella is prosecuting the case.
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