Latest Records
Newest first across public DOJ and U.S. Attorney press releases.
Thursday 9 May 2019
Aryan Circle Gang Member Pleads Guilty to Violent Crime in Aid of RacketeeringRead the Press Release
A member of the Aryan Circle gang pleaded guilty today to committing an assault resulting in serious bodily injury to the victim in aid racketeering announced Assistant Attorney General Brian A. Benczowski of the Justice Department’s Criminal Division and U.S. Attorney Jeffrey B. Jensen of the Eastern District of Missouri.
Daniel B. Jerome, 31, of Wentzville, Missouri, committed this aggravated assault on a fellow Aryan Circle gang member in Jefferson County, Missouri, on November 9, 2013. According to the plea agreement, Jerome participated in a “patch-burning,” which included violently assaulting the victim and removing the victim’s gang tattoo using a burning log. Sentencing for Jerome has been scheduled for August 7, 2019, before U.S. District Judge Ronnie L. White for the Eastern District of Missouri.
The plea agreement states that the Aryan Circle is a powerful race-based, multi-state organization that operates inside and outside of state and federal prisons throughout Missouri, Texas, Louisiana and the United States. The Aryan Circle was established in the mid-1980s within the Texas prison system (TDCJ). In recent years, the Aryan Circle’s structure and influence expanded to rural and suburban areas throughout Missouri, Texas and Louisiana. The Aryan Circle emerged as an independent organization during a period of turmoil within the Aryan Brotherhood of Texas (ABT). The Aryan Circle was relatively small in comparison to other prison-based gangs, but grew in stature and influence within TDCJ in the 1990s, largely through violent conflict with other gangs, white and non-white alike.
The plea agreement further indicates that the Aryan Circle enforces its rules and promotes discipline among its members, prospects and associates through murder, attempted murder, assault, robbery and threats against those who violate the rules or pose a threat to the organization. Members, and oftentimes, associates, are required to follow the orders of higher-ranking members without question.
This case is being investigated by an Organized Crime Drug Enforcement Task Force consisting of the Bureau of Alcohol, Tobacco, Firearms and Explosives; Drug Enforcement Administration; Federal Bureau of Prisons; U.S. Immigration and Customs Enforcement’s Homeland Security Investigations; Texas Department of Public Safety; Houston Police Department-Gang Division; Texas Department of Criminal Justice; New Jersey Department of Corrections-Special Investigations Division and Arnold (MO) Police Department; Jefferson County (MO) Sheriff’s Department; St. Louis Metropolitan Police Department; St. Louis County (MO) Police Department; Montgomery County (TX) Precinct 1 Constable’s Office; Indiana State Police; Indiana Department of Corrections; Carrollton (TX) Police Department; Waller (TX) Police Department; Montgomery County (TX) Sheriff’s Office; Travis County (TX) Sheriff’s Office and the Tarrant County (TX) Sheriff’s Office.
The case is being prosecuted by Trial Attorney Bethany Lipman of the Criminal Division’s Organized Crime and Gang Section and Assistant U.S. Attorney Angie Danis of the Eastern District of Missouri, in cooperation with the U.S. Attorney’s Office of the Western District of Louisiana and the U.S. Attorney’s Office of the Eastern District of Texas.
Aryan Circle Gang Member Pleads Guilty to Violent Crime in Aid of RacketeeringRead the Press Release
A member of the Aryan Circle (AC) gang pleaded guilty today to committing an assault resulting in serious bodily injury to the victim in aid racketeering announced Assistant Attorney General Brian A. Benczowski of the Justice Department’s Criminal Division and U.S. Attorney Jeffrey B. Jensen of the Eastern District of Missouri.
Daniel B. Jerome, 31, of Wentzville, Missouri, committed this aggravated assault on a fellow AC gang member in Jefferson County, Missouri, on Nov. 9, 2013. According to the plea agreement, Jerome participated in a “patch-burning,” which included violently assaulting the victim and removing the victim’s gang tattoo using a burning log. Sentencing for Jerome has been scheduled for Aug. 7, 2019, before U.S. District Judge Ronnie L. White for the Eastern District of Missouri.
The plea agreement states that the AC is a powerful race-based, multi-state organization that operates inside and outside of state and federal prisons throughout Missouri, Texas, Louisiana and the United States. The AC was established in the mid-1980s within the Texas prison system (TDCJ). In recent years, the AC’s structure and influence expanded to rural and suburban areas throughout Missouri, Texas and Louisiana. The AC emerged as an independent organization during a period of turmoil within the Aryan Brotherhood of Texas (ABT). The AC was relatively small in comparison to other prison-based gangs, but grew in stature and influence within TDCJ in the 1990s, largely through violent conflict with other gangs, white and non-white alike.
The plea agreement further indicates that the AC enforces its rules and promotes discipline among its members, prospects and associates through murder, attempted murder, assault, robbery and threats against those who violate the rules or pose a threat to the organization. Members, and oftentimes, associates, are required to follow the orders of higher-ranking members without question.
This case is being investigated by an Organized Crime Drug Enforcement Task Force consisting of the Bureau of Alcohol, Tobacco, Firearms and Explosives; Drug Enforcement Administration; Federal Bureau of Prisons; U.S. Immigration and Customs Enforcement’s Homeland Security Investigations; Texas Department of Public Safety; Houston Police Department-Gang Division; Texas Department of Criminal Justice; New Jersey Department of Corrections-Special Investigations Division and Arnold (MO) Police Department; Jefferson County (MO) Sheriff’s Department; St. Louis Metropolitan Police Department; St. Louis County (MO) Police Department; Montgomery County (TX) Precinct 1 Constable’s Office; Indiana State Police; Indiana Department of Corrections; Carrollton (TX) Police Department; Waller (TX) Police Department; Montgomery County (TX) Sheriff’s Office; Travis County (TX) Sheriff’s Office and the Tarrant County (TX) Sheriff’s Office.
The case is being prosecuted by Trial Attorney Bethany Lipman of the Criminal Division’s Organized Crime and Gang Section and Assistant U.S. Attorney Angie Danis of the Eastern District of Missouri, in cooperation with the U.S. Attorney’s Office of the Western District of Louisiana and the U.S. Attorney’s Office of the Eastern District of Texas.
Another Kingsmen Motorcycle Club Member Sentenced for RICO ConspiracyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Edgar Dekay, 38, of Buffalo, NY, who was convicted of RICO conspiracy and possession of firearms in furtherance of drug trafficking, was sentenced to serve 123 months in prison by U.S. District Judge Elizabeth A. Wolford.
Assistant U.S. Attorneys Joseph M. Tripi and Brendan T. Cullinane, who handled the case, stated that the defendant admitted to being a member of the Kingsmen Motorcycle Club (KMC), a criminal organization which engaged in such crimes as distribution of controlled substances, maintaining premises for use and distribution of controlled substances, possession, use and sale of firearms, sales of untaxed cigarettes, and promoting prostitution. The KMC sought to preserve and protect their power, territory, and reputation through intimidation, violence, threats of violence, assaults, attempted murder and murders, and was involved in placing victims, potential victims, potential witnesses, and others in fear of the enterprise, its members, and associates, through violence and threats of violence.
On September 21, 2012, Dekay participated in a drive-by shooting in order to retaliate against a former KMC member who assaulted a KMC Regional President. On that date, the defendant, along with co-defendants Ryan Myrtle, Thomas Koszuta, and others, used firearms to shoot up the house of a former Kingsmen who beat up a KMC Regional President and who stole from the KMC.
On June 7, 2013, Dekay and other KMC members agreed to “shutdown” the Springville KMC Chapter because members of that chapter were loyal to the former KMC National President, who was forced out of the KMC and replaced as National President by David Pirk. As a result, the “shutdown” included Kingsmen members clubbing the former Springville KMC Chapter President victim in the head with a heavy mag light flashlight, forcibly taking property from members of the KMC Springville Chapter, and destroying evidence of the assault and robbery.
Also, on August 3, 2013, the defendant and other KMC members, decided to conduct a drive-by shooting targeting former members of the KMC Springville Chapter. The defendant and others drove to the former Springville KMC clubhouse where the former members were gathered and fired twice towards the group who were outside. One of the shots from the shotgun struck a vehicle which was parked near where one of the targeted former KMC members was standing.
A total of 16 defendants were charged and convicted in this case, including KMC National President David Pirk and Andrew Jenkins who were each sentenced to serve multiple terms of life in prison.
Today’s sentencing is the culmination of an investigation led by the Federal Bureau of Investigation’s Safe Streets Task Force, under the direction of Special Agent-in-Charge Gary Loeffert. Assisting in the investigation were the following: the FBI Knoxville, TN, and Jacksonville, FL Field Offices; Homeland Security Investigations; the Erie County Sheriff’s Office; the Buffalo Police Department; the Bureau of Alcohol, Tobacco, Firearms and Explosives; the New York State Police; the Olean Police Department; the Lancaster Police Department; the Amherst Police Department; the City of North Tonawanda Police Department; the Niagara County’s Sheriff’s Office; the Niagara Frontier Transportation Authority Police; the Cattaraugus County Sheriff’s Department; and the Hamburg Police Department.
# # # #
Alleged Synagogue Shooter Charged with Federal Hate CrimesRead the Press Release
Assistant U. S. Attorneys Shane Harrigan (619) 546-6981, Caroline Han (619) 546-6968 and Peter Ko (619) 546-7359
NEWS RELEASE SUMMARY – May 9, 2019
SAN DIEGO – The U.S. Department of Justice today charged a Rancho Peñasquitos man with federal hate crimes, including the murder of one person and the attempted murder of 53 others, for his actions during the April 27 shooting at the Chabad of Poway Synagogue.
John T. Earnest, 19, was charged by criminal complaint with 109 hate crimes violations. The complaint alleges that these crimes were motivated by hatred toward the Jewish community.
“We will not allow our community members to be hunted in their houses of worship, where they should feel free and safe to exercise their right to practice their religion,” said U.S. Attorney Robert S. Brewer, Jr. “Our actions today are inspired by our desire to achieve justice for all of the victims and their families.”
“No one in this country should be subjected to unlawful violence, injury, or death for who they are or for their religious beliefs,” said Assistant Attorney General Eric Dreiband for the Civil Rights Division. “The Department will vigorously prosecute those who commit hate crimes and acts of domestic terrorism, and we will continue to work with our state and local partners to bring to justice anyone who violates the civil rights of Americans.”
“The FBI is steadfast in our commitment to gather all the facts and ensure justice is served in this case,” said FBI San Diego Acting Special Agent in Charge Suzanne Turner. “As we work together to bring justice and begin the healing process, our community has shown extraordinary strength and unity on so many levels - from our law enforcement partners, diverse faith-based communities, and extending to our citizens and neighbors.”
According to the affidavit in support of the criminal complaint, on April 27, Earnest drove to the Chabad of Poway Synagogue, where members of the congregation were gathered to engage in religious worship celebrating Shabat and last day of Passover. Earnest entered the building armed with an AR-15 style semi-automatic rifle that was fully loaded with a 10-round magazine.
He wore a chest rig which contained five additional magazines, each loaded with ten rounds of ammunition. The affidavit alleges that while inside the Poway Synagogue, Earnest opened fire, killing one person and injuring three other members of the congregation, including a juvenile. During a pause when Earnest unsuccessfully attempted to reload his firearm, several congregant members, including an off-duty Border Patrol Agent, chased Earnest as he fled from the Synagogue. Earnest fled the scene in his car, but was subsequently apprehended by law enforcement authorities who discovered the AR-15 and additional magazines of ammunition in his car.
The affidavit further alleges that after the shooting, law enforcement investigators found a manifesto online bearing Earnest’s name. A copy of the mainfesto was later found on Earnest’s laptop during the execution of a search warrant. In the manifesto, Earnest made many anti-Semitic and anti-Muslim statements. Specifically, Earnest referred to “Jews” as a race, and he stated his only regret was that he did not kill more people.
According to the affidavit, Earnest also admitted in the manifesto to the arson of an Escondido Mosque in March 2019. The affidavit alleges that on March 24, 2019, seven individuals were inside the mosque when they smelled gasoline and saw flames coming through the crack of one of the mosque’s doors. The individuals put out the fire, but not before the fire had damaged the exterior of the mosque. The affidavit further alleges that surveillance video showed a suspect arriving at the mosque in the same type of vehicle Earnest used in committing the attack on the Synagogue. The defendant allegedly claimed in his manifesto that he was inspired by the Tree of Life synagogue shooting in Pittsburgh, Pennsylvania, and the recent shootings at two mosques in New Zealand.
Specifically, the complaint charges 109 hate crimes violations:
- 54 counts of obstruction of free exercise of religious beliefs using a dangerous weapon, resulting in death, bodily injury, and attempts to kill;
- 54 counts of hate crimes in relation to the shooting in violation of the Mathew Shepard and James Byrd Jr. Hate Crimes Prevention Act; and,
- One count of damage to religious property by use of fire in relation to the attempted arson of the mosque.
When hate crimes are intended to intimidate and coerce a civilian population, they may also be considered acts of domestic terrorism.
Assistant United States Attorneys Shane Harrigan, Peter Ko, John Parmley, and Caroline Han, along with Trial Attorney Rose Gibson of the Civil Rights Division, are prosecuting this case on behalf of the government. The FBI, San Diego Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigations.
Earnest faces a maximum possible penalty of death, or life without parole. He is currently in state custody pending state criminal charges.
The defendant is expected to make his first appearance in federal court on Tuesday May 14 at 2 p.m. before U.S. Magistrate Judge Michael Berg.
*The charges and allegations contained in a complaint are merely accusations, and the defendant is considered innocent unless and until proven guilty.
DEFENDANT Case Number 19MJ1900
John T. Earnest Age: 19 San Diego, CA
SUMMARY OF CHARGES
Obstruction of Free Exercise of Religious Beliefs Resulting in Death and Bodily Injury; and Involving Attempt to Kill, Use of a Dangerous Weapon - 18 U.S.C. §§ 247(a)(2), 247(d)(1) and 247(d)(3)
Maximum penalty: Life in prison or death and $250,000 fine
Hate Crime Acts – 18 U.S.C. § 249(a)(1)(B)(i)(ii)
Maximum penalty: Life in prison and $250,000 fine
Damage to Religious Real Property Involving Use of a Dangerous Weapon or Fire – 18 U.S.C. §§ 247(a)(1), 247 (d)(3)
Maximum penalty: Twenty years in prison and $250,000 fine
AGENCIES
Federal Bureau of Investigation
San Diego County Sheriff’s Department
San Diego Police Department
Bureau of Alcohol, Tobacco, Firearms and Explosives
San Diego County District Attorney’s Office
Escondido Police Department
A Car Ride Results in Three Months in Prison for Cedar Rapids WomanRead the Press Release
A Cedar Rapids woman who gave a fugitive a car ride to a hotel was sentenced today to three months in federal prison. Saudia Raquel Watkins, age 28, received the prison term after a November 7, 2018, guilty plea to one count of Misprision of a Felony.
In a plea agreement, Watkins admitted that, in November 2016, she provided a car ride to Kelsey Beckett, a federal fugitive felon, to a local motel. Watkins put the motel room in her name. A Deputy U.S. Marshal had warned Watkins in August 2016 that Beckett was a fugitive and that Watkins should contact the Deputy U.S. Marshal if she learned of Beckett’s whereabouts. The Deputy U.S. Marshal also told Watkins there could be criminal charges if she did not do so. Instead of contacting the Deputy U.S. Marshal, Watkins gave Beckett a ride to the motel and smoked marijuana with Beckett in the motel room.
Watkins was released pending her sentencing. In November 2018, after she pled guilty, Watkins tested positive for using marijuana. She then became a fugitive herself. U.S. Marshals apprehended Watkins in February 2018, after nearly two months on the lam.
Watkins was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Watkins was sentenced to three months’ imprisonment. She must also serve a one-year term of supervised release after the prison term. There is no parole in the federal system. Watkins is being held in the United States Marshal’s custody.
The case was prosecuted by Assistant United States Attorney Tim Vavricek and investigated by the U.S. Marshal’s Service.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 18-CR-94.
Follow us on Twitter @USAO_NDIA.
5 Estonian Residents Arrested for Conspiring to Import Carfentanil and Fentanyl into the United StatesRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, and Christopher T. Tersigni, the Special Agent in Charge of the Special Operations Division of the U.S. Drug Enforcement Administration (“DEA”), today announced that Estonian residents JEVGENI BOKOV, VIKTOR LITVINTSUK, AMID MAGERRAMOV, NIKOLAI NIFTALIJEV, and VITALI VORONJUK have been charged in an Indictment filed in Manhattan federal court with narcotics trafficking and money laundering offenses, including conspiracy to import carfentanil and fentanyl into the United States. In the course of the investigation, law enforcement seized more than five kilograms of mixtures and substances containing carfentanil, representing one of the largest seizures of fentanyl analogue in the DEA’s history. The defendants were arrested in Estonia in September 2018, based on the charges in this case. Today, BOKOV, MAGERRAMOV, and VORONJUK were extradited to the United States, and they will be arraigned before U.S. Magistrate Judge Ona T. Wang this afternoon. LITVINTSUK was previously extradited to the United States and arraigned before U.S. Magistrate Judge Henry B. Pitman on February 6, 2019. NIFTALIJEV remains in custody in Estonia, where proceedings for his extradition to the United States are pending. The case has been assigned to U.S. District Judge J. Paul Oetken.
Manhattan U.S. Attorney Geoffrey S. Berman said: “The arrest of these five defendants for allegedly conspiring to traffic large quantities of carfentanil – a drug 1,000 times more potent than heroin – is yet another important case brought by this Office and the DEA in keeping deadly drugs out of our neighborhoods. A key component in battling the opioid epidemic is disrupting the supply chain, and today is another important step in that fight.”
Special Agent in Charge Christopher T. Tersigni said: “Fentanyl and carfentanil are extremely dangerous and deadly. Two milligrams of fentanyl, the amount of two grains of salt, can kill a person, and carfentanil is even more potent. We are pleased to see these individuals brought to justice as we continue to fight to keep this poison out of the United States.”
According to the allegations in the Indictment and the Complaints previously filed against the defendants:[1]
Between October 2017 and August 2018, the defendants conspired to import large quantities of carfentanil and fentanyl into the United States. Carfentanil is a fentanyl analogue approximately 1,000 times more potent than heroin, and is used commercially to sedate large animals, such as elephants. During that period, the defendants participated in a series of recorded meetings and telephone communications with an individual they understood to be affiliated with an international drug trafficking organization, for the purpose of arranging to import narcotics into the United States. That individual was, in fact, a confidential source working with the DEA (the “CS”). LITVINTSUK, MAGERRAMOV, NIFTALIJEV, and VORONJUK prepared and distributed a total of more than five kilograms of substances containing carfentanil for importation into the United States. In addition, BOKOV laundered hundreds of thousands of U.S. dollars, which he understood to be illicit narcotics proceeds, from Europe to the United States.
In mid-October 2017, MAGERRAMOV and BOKOV met together with the CS in a country in Eastern Europe (“Country-1”). During the meeting, the CS informed MAGERRAMOV and BOKOV that the CS was a member of a Colombian drug cartel that distributed narcotics in the United States and laundered the resulting proceeds. Several days later, on October 20, 2017, the CS met with BOKOV to discuss laundering money for the purported cartel. At the meeting, BOKOV agreed to transfer narcotics proceeds for the cartel from Europe to the United States. Between fall 2017 and spring 2018, the CS provided BOKOV with approximately €250,000 in cash, which BOKOV had been informed constituted narcotics proceeds, and BOKOV agreed to transfer the cash to a bank account in New York City, which was in fact controlled by the DEA. Over the course of multiple transactions, BOKOV transferred the funds, less a five percent commission, from Europe to the New York bank account.
Throughout late 2017 and early 2018, the CS also participated in a series of meetings with LITVINTSUK, MAGERRAMOV, NIFTALIJEV, and VORONJUK to discuss narcotics transactions. During the meetings, LITVINTSUK, MAGERRAMOV, NIFTALIJEV, and VORONJUK agreed to provide the CS with fentanyl in a country in Europe (“Country-2”), with the understanding that the fentanyl would be transported to the United States, mixed with heroin and other controlled substances, and sold to the cartel’s customers in New York City, among other places.
In May 2018, MAGERRAMOV coordinated the delivery of samples of carfentanil to the CS in Country-2. On May 9, 2018, MAGERRAMOV, NIFTALIJEV, and VORONJUK delivered three samples of narcotics to an agreed-upon location in Country-2. The three samples were seized by law enforcement, tested in a laboratory, and found to contain approximately 550 grams of mixtures and substances containing carfentanil. The CS later informed MAGERRAMOV that the three samples had been transported to the United States, that the purported cartel was satisfied with the quality of the narcotics, and that the CS wanted to purchase additional carfentanil from MAGERRAMOV and his associates.
In late May 2018, MAGERRAMOV arranged to have additional carfentanil delivered to the CS for importation into the United States. On May 30, 2018, VORONJUK delivered a package of narcotics to an agreed-upon location in Country-2. The package was seized by law enforcement, tested in a laboratory, and found to contain approximately 5.2 kilograms of mixtures and substances containing carfentanil. The CS subsequently reported to MAGERRAMOV that the carfentanil had been transported to the United States.
During June and July 2018, the CS continued to meet and communicate with the defendants about arranging additional narcotics transactions in the future and payment for the carfentanil that had been delivered. On July 17, 2018, the CS provided BOKOV with approximately $20,000, and BOKOV agreed to transfer that money to an account controlled by MAGERRAMOV, with the understanding that the $20,000 payment was for additional carfentanil that would be imported into the United States.
* * *
BOKOV, 44, MAGERRAMOV, 38, NIFTALIJEV, 32, and VORONJUK, 36, all of Estonia, and LITVINTSUK, 39, of Russia, are charged with one count of conspiring to import 100 grams and more of carfentanil and 400 grams and more of fentanyl into the United States, and to manufacture and distribute 100 grams and more of carfentanil and 400 grams and more of fentanyl, intending that the narcotics would be imported into the United States. That charge carries a maximum sentence of life imprisonment and a mandatory minimum sentence of 10 years’ imprisonment. LITVINTSUK, MAGERRAMOV, NIFTALIJEV, and VORONJUK are also charged with two counts of manufacturing and distributing 100 grams and more of carfentanil, intending that it would be imported into the United States, each of which carries a maximum sentence of life imprisonment and a mandatory minimum sentence of 10 years in prison. BOKOV is further charged with two counts of money laundering, each of which carries a maximum sentence of 20 years in prison. The maximum potential sentences are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by a judge.
Mr. Berman praised the outstanding efforts of the DEA’s Special Operations Division; the DEA’s Country Office in Copenhagen, Denmark; the United States Marshals Service; the U.S. Department of State, Diplomatic Security Service; the Estonia Central Criminal Police; the Estonia Office of the Prosecutor General; the Estonia Ministry of Justice; and the U.S. Department of Justice’s Office of International Affairs.
This case is being handled by the Office’s Terrorism and International Narcotics Unit. Assistant U.S. Attorneys Shawn G. Crowley and George D. Turner are in charge of the prosecution.
The charges contained in the Indictment and Complaints are merely allegations, and the defendants are presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the texts of the Indictment and Complaints charging the defendants constitute only allegations, and every fact described should be treated as an allegation.
29 Defendants Taken Off the Streets of North AlabamaRead the Press Release
BIRMINGHAM – An effort focused on reducing violent crime in North Alabama resulted in federal charges against 29 defendants, announced U.S. Attorney Jay E. Town, Bureau of Alcohol, Tobacco, Firearms and Explosives Special Agent in Charge Marcus Watson.
The U.S. Attorney’s Office and ATF joined with the Madison County Sheriff’s Office, Huntsville Police Department, City of Madison Police Department, Madison County District Attorney’s Office, Marshall County Sheriff’s Office, Marshall County District Attorney’s Office, Guntersville Police Department, DeKalb County Sheriff’s Office, DeKalb County District Attorney’s Office, Morgan County Sheriff’s Office and Jackson County Sheriff’s Office in an intense effort to charge violent offenders and take guns off the streets.
“Violent crime and violent criminals, especially our worst offenders, continue to be our highest priority for prosecution,” Town said. “It is my judgment that the law abiding public deserves the continued best efforts and partnerships of law enforcement to rid our streets of these violent criminals, these repeat offenders, and these trigger-pullers. Once convicted, these habitual felons will be rewarded with neatly tucked bedding awaiting them in a state or federal penitentiary. Our communities are safer due to the relentless and tireless work of the ATF and so many other of our local, state, and federal partners.”
The majority of the defendants charged are violent offenders. Below are some of the noteworthy investigations.
Roger Johnson: A pipe bomb detonated in the vicinity of a Jackson County Deputy and Johnson’s mother in relation to a civil dispute. Luckily, no injuries were sustained.
Daniel Steele: Agents recovered numerous unregistered machine guns, to include a Colt belt-fed .50 caliber machine gun, smoke grenades and templates for Glock conversion devices from Steele. Steele had no prior criminal history and was not on anyone’s radar.
Barry Williams, Melvin Rolin, Marcus Kyle and Britney Black: Members of the Froggy Drug Trafficking Organization (DTO). In an interview with ATF, Rolin stated he was responsible for distributing at least 200 kilograms of methamphetamine in North Alabama within a two-year period, as the head of the DTO. Numerous firearms were recovered from the DTO, to include a converted AK-47 machine gun that ATF seized in Tennessee.
Victor Ortiz-Castillo: Illegal alien in possession of a firearm after he was involved in a shooting at a residence in Huntsville.
Rex Tidmore: He is a prior felon who had numerous firearms, an underground marijuana grow, and an outside marijuana grow. He was indicted for felon in possession, possession of a firearm in furtherance of a drug trafficking crime, and possession with intent to distribute a controlled substance.
In FY18, the United States Attorney’s Office Northern District of Alabama prosecutions of illegal firearms cases rose 27% to 286, which is the largest number of illegal firearms prosecutions ever recorded in the Northern District of Alabama and accounted for about half of all federal prosecutions by the United States Attorney’s Office. The previous high was 225, which was recorded in FY17. Nationally, the prosecution of illegal firearms defendants accounts for approximately 1 in 6 of all federal prosecutions. Project Safe Neighborhoods, the premier violent crimes reduction program reinvigorated by the Department of Justice in 2017, has continued to focus on habitual felony offenders engaged in violent behavior and the Department continues to break its own records for federal prosecutions as a result.
###
Wednesday 8 May 2019
Wichita Man Sentenced on Federal Gambling, Tax ChargesRead the Press Release
WICHITA, KAN. – A Wichita man was sentenced Tuesday to serve 24 months of federal probation on federal gambling and tax charges, U.S. Attorney Stephen McAllister said. In addition, the defendant agreed to pay more than $117,000 in restitution.
Daven Flax, 48, Wichita, Kan., pleaded guilty to two counts of illegal gambling and one count of making a false tax statement. In his plea, Flax admitted he operated an illegal gambling business in Wichita. He conducted and managed illegal poker games at numerous locations in the city. His income came from taking a cut or “rake” from the amount of money wagered. He was responsible for paying employees including dealers, waitresses and caterers as well as paying for the use of commercial properties where poker games were held. The games were not open to the public. Only gamblers who were invited could play.
In addition, Flax worked as a sub-bookie for co-defendant Danny Chapman’s sports betting operation.
Flax failed to pay federal income taxes on approximately $346,000 in income from illegal gambling.
McAllister commended the FBI, the Internal Revenue Service, the Wichita Police Department, Assistant U.S. Attorney Aaron Smith and Assistant U.S. Attorney Mona Furst for their work on the case.
Weston Resident Sentenced to Federal Prison for Two Bank Robberies and Attempted CarjackingRead the Press Release
A Weston resident was sentenced today to federal prison for two bank robberies and an attempted carjacking.
Ariana Fajardo Orshan, U.S. Attorney for the Southern District of Florida, George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, Anthony W. Rosa, Chief, Sunrise Police Department, and Rick Maglione, Chief, Fort Lauderdale Police Department, made the announcement.
David Brasher, 36, of Weston, Florida, pled guilty on February 22, 2019, to two counts of bank robbery, in violation of Title 18, United States Code, Section 2113(a) and one count of attempted carjacking, in violation of Title 18, United States Code, Section 2119(1). U.S. District Judge William P. Dimitrouleas sentenced Brasher to a total of 66 months in prison, to be followed by 3 years of supervised release. Brasher was also ordered to pay a total of $18,826 in restitution.
According to the court record, including the agreed upon factual proffer, on October 30, 2018, Brasher, robbed a teller at a Wells Fargo Bank in Sunrise, Florida. Brasher gave the teller a note demanding money and stating he had a bomb. Brasher raised his shirt and displayed what the teller believed was the handle of a handgun. Brasher fled the bank with $18,613.
On November 6, 2018, Brasher robbed a teller at a Bank of America in Fort Lauderdale, Florida. Brasher gave the teller a note demanding money and stating he had a bomb and a gun. Brasher fled the bank with $2,815.
On November 6, 2018, about four hours after the Bank of America robbery, Brasher approached a woman and her minor daughter in a parking lot in Fort Lauderdale, Florida. Brasher raised a beer bottle, demanded the keys to the woman’s car, and said he would kill her if she refused. The woman yelled for help and her husband, who was a short distance away, ran to her aide, punching Brasher in his head. Brasher then fled on foot.
U.S. Attorney Fajardo Orshan commended the investigative efforts of the FBI, Sunrise Police Department and Fort Lauderdale Police Department in this matter. This case was prosecuted by Assistant U. S. Attorney William T. Shockley.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov.
Wausau Man Sentenced to 11 Years for Methamphetamine ConspiracyRead the Press Release
Madison, Wis. – Scott C. Blader, United States Attorney for the Western District of Wisconsin, announced that Antron Allen, 34, Wausau, Wisconsin, was sentenced today by U.S. District Judge James D. Peterson to 11 years in federal prison for conspiracy to distribute 50 grams or more of pure methamphetamine. Allen pleaded guilty to this charge on November 28, 2018.
On April 17, 2018, officers with the Wausau Police Department observed Allen and his co-defendant Nathaniel Drow sitting in a vehicle in a parking lot in Wausau. Officers were aware that Drow and Allen both had active arrest warrants. As law enforcement officers approached the vehicle, Drow jumped out of the passenger seat and dropped a small baggie containing methamphetamine. Officers searched the entire vehicle and found approximately 200 grams of methamphetamine located in the front passenger door. Officers later searched Allen’s cell phone and discovered that Allen and Drow had been working together to sell methamphetamine in Wausau for at least a couple of weeks.
In imposing the sentence, Judge Peterson noted that Allen’s long criminal history, spanning nearly 20 years, showed he is a dangerous and irresponsible person. Judge Peterson also stated that Allen had established a pattern of continuously committing crimes shortly after being released from prior prison terms.
Drow was sentenced on November 8, 2018, to 10 years for his role in the conspiracy.
The charges against Allen and Drow were the result of an investigation by the Wausau Police Department and Federal Bureau of Investigation. The prosecution of this case has been handled by Assistant U.S. Attorney Aaron D. Wegner.
Watkins Glen Man Going to Prison on Methamphetamine ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Christopher Wiesner, 32, of Watkins Glen, NY, who was convicted of attempted possession with intent to distribute 50 grams or more of methamphetamine was sentenced to 130 months In prison by U.S. District Judge Charles J. Siragusa.
Assistant U.S. Attorney Sean C. Eldridge, who handled the case, stated that On May 16, 2018, a package from California was sent to the defendant at his home in Watkins Glen. Inspectors with the U.S. Postal inspection Service obtained a search warrant for the package, which was found to contain approximately 55 grams of crystal (pure) methamphetamine. Wiesner contacted the Watkins Glen Post Office on several occasions between May 16, 2018, and May 22, 2018, attempting to locate and pick up the package. On May 23, 2018, the defendant went to the Watkins Glen Post Office and retrieved a package that was filled with sham. Shortly after exiting the post office, Wiesner was arrested. The defendant admitted that he purchased the methamphetamine from the dark web, and that he intended to sell it.
The sentencing is the result of an investigation by the U.S. Postal Inspection Service, under the direction of Boston Division Inspector-in-Charge Joseph W. Cronin, with assistance from the New York State Police.
# # # #
U.S. Department of Justice releases additional Filip factor guidanceRead the Press Release
Indianapolis – United States Attorney Josh J. Minkler is pleased to announce that the Department of Justice (DOJ) has issued new guidance on how corporate compliance programs will be evaluated by DOJ. The Southern District of Indiana personally participated in the Department’s April 30, 2019 launch efforts in Washington, D.C.
The new DOJ guidance is intended to provide greater transparency into prosecution decisions and updates previous February 2017 guidance described when Department prosecutors conduct investigations of corporations. The Justice Manual considerations focus on “the adequacy and effectiveness of the corporation’s compliance program at the time of the offense, as well as at the time of a charging decision.”
The Southern District of Indiana (SDIN) was one of twenty-two in the country represented at the recent Criminal Division rollout addressing this guidance. USA Minkler appointed First Assistant United States Attorney Cynthia J. Ridgeway to represent the district and engage with Fraud Section leaders and private sector compliance representatives.
The Department’s guidance document, entitled “The Evaluation of Corporate Compliance Programs,” may be viewed at https://www.justice.gov/opa/pr/criminal-division-announces-publication-guidance-evaluating-corporate-compliance-programs. USA Minkler will be convening a private sector seminar in the coming months to discuss the three basic, overarching questions Department lawyers will contemplate:
- Is the corporate compliance program well designed?
- Is the program being applied earnestly and in good faith?
- Does the compliance program work in practice?
U.S. Attorney’s Office Announces Conviction of Christian Dawkins and Merl Code for Bribing NCAA Division I Men’s College Basketball CoachesRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced today the conviction of CHRISTIAN DAWKINS and MERL CODE for conspiring to bribe various NCAA Division I men’s college basketball coaches. DAWKINS was additionally found guilty of a substantive count of bribery. The defendants were convicted after a two-and-a-half week trial before U.S. District Judge Edgardo Ramos.
DAWKINS and CODE were both previously convicted for their roles in a scheme to defraud an Adidas-sponsored university by funneling payments from Adidas to the family of a high-school college basketball player and then concealing those payments from the school.
Manhattan U.S. Attorney Geoffrey S. Berman said: “Today, Christian Dawkins and Merl Code were found guilty a second time for their roles in corrupting the world of college basketball, in this case for conspiring to bribe multiple Division I men’s basketball coaches. And while their convictions mark the culmination of the criminal charges announced by this Office in September 2017, they should also make clear to those who might be tempted to engage in the sort of misconduct these prosecutions have only begun to expose: that bribery is a crime, one this Office is prepared to charge criminally and prosecute to the full extent of the law.”
According to the allegations contained in the Complaint, Indictment, Superseding Indictment, and evidence presented during the trial in Manhattan federal court:
Overview of the Scheme
DAWKINS and CODE agreed to pay bribes to various NCAA Division I men’s college basketball coaches in exchange for those coaches’ exerting their influence over the student-athletes that they coached in order to retain the services of DAWKINS and a new sports management business (the “Dawkins Company”) that he had recently started.
Prior to founding the Dawkins Company, from 2015 until May 2017, DAWKINS worked for a major sports agency recruiting high school and college basketball players as clients. In connection with his work for the sports agency, DAWKINS paid bribes to Lamont Evans, who at the time was an assistant coach at the University of South Carolina, in order for Evans to exert his official influence over student-athletes he coached to retain the services of the sports agency that employed DAWKINS. DAWKINS subsequently introduced Louis Martin Blazer III, a financial advisor who, unbeknownst to DAWKINS, was cooperating with the Government, and Munish Sood, another financial advisor, to Lamont Evans in order for them to continue paying bribes to him.
In May 2017, DAWKINS was terminated from his job at the sports agency and started the Dawkins Company with Munish Sood and another investor who, unbeknownst to DAWKINS, was an undercover law enforcement officer (“UC-1”). In order to recruit future clients, DAWKINS proposed, among other things, paying bribes to coaches at various NCAA Division I universities so that these coaches would steer their student-athletes to retain the services of the Dawkins Company. DAWKINS thereafter proposed paying bribes to Emanuel “Book” Richardson, an assistant coach at the University of Arizona. Soon thereafter, DAWKINS arranged for Richardson to travel to New York City in order to receive a $5,000 cash bribe. Weeks later, Richardson requested an additional $15,000 from DAWKINS, which Richardson said he would use in order to secure the commitment of a top high school basketball player to attend the University of Arizona, who Richardson would then steer to retain the services of DAWKINS and his company. DAWKINS arranged for UC-1 and Sood to pay Richardson an additional $15,000 cash bribe in New Jersey in July 2017.
In June 2017, DAWKINS introduced Sood, UC-1, and Blazer, among others, to MERL CODE, who at the time was a consultant for Adidas, in order for CODE to work with the Dawkins Company to recruit future clients. During the initial meeting, DAWKINS, CODE, Sood, Blazer, and UC-1 discussed, among other things, CODE’s ability to identify and connect the Dawkins Company with corrupt college basketball coaches willing to accept money. At the end of the meeting, CODE received a $5,000 cash payment from UC-1 on behalf of the Dawkins Company.
In July 2017, DAWKINS and CODE discussed by telephone, among other things, CODE introducing UC-1 to various men’s college basketball coaches at an upcoming recruiting event in Las Vegas, Nevada, and that CODE would be paid $5,000 for each men’s college basketball coach that he introduced to DAWKINS and UC-1. CODE later sent a text message to DAWKINS containing a list of coaches that CODE had set up meetings with in Las Vegas, including the dates and times of each of the meetings, for the purpose of DAWKINS and his company arranging to bribe them. In advance of the meetings, CODE advised UC-1 and DAWKINS that they should tell the coaches they would meet with that they would be available to provide them with money in the future, including with respect to any future financial needs these coaches had in connection with recruiting.
In Las Vegas, several coaches received cash bribes during their meetings with DAWKINS in exchange for agreeing to use their influence to steer players on their teams to the Dawkins Company. In particular, Anthony Bland, an assistant coach at the University of Southern California, and an assistant coach from Creighton University -- two of the coaches that were on the list of meetings that CODE sent to DAWKINS by text message -- met with DAWKINS, UC-1, and Blazer in Las Vegas in July 2017 and accepted cash bribes. During the meeting in Las Vegas, Bland accepted a cash bribe and confirmed that he would use his influence to steer student-athletes at the University of Southern California to retain the Dawkins Company. During the same trip to Las Vegas, DAWKINS, Blazer, and UC-1 also met with a third coach from Texas Christian University and paid this coach a cash bribe, as well.
After these meetings, and consistent with the bribery scheme, DAWKINS continued to discuss with these corrupt college coaches players that they could steer to DAWKINS and his new company. For example, in August 2017, Bland, facilitated meetings between DAWKINS, Sood, and the family members of a then-current student-athlete on the University of Southern California men’s basketball team, as well as a family member of a different student-athlete who was a rising freshman planning to play for the University of Southern California men’s basketball team the next season. During a meeting on the campus of the University of Southern California in August 2017, Bland also informed DAWKINS and Sood that if they continued to fund payments to family members of University of Southern California men’s college basketball players and recruits that Bland would use his position as an assistant coach in order to influence these players to retain the Dawkins Company.
* * *
DAWKINS, 26, of Atlanta, Georgia, and CODE, 45, of Greer, South Carolina, were each convicted of one count of conspiracy to commit bribery, which carries a maximum sentence of five years in prison. DAWKINS was also convicted of a substantive bribery count, which carries a maximum sentence of 10 years in prison. DAWKINS and CODE were acquitted of the other charges in the Indictment. Both defendants will be sentenced before Judge Ramos at a future date.
Mr. Berman praised the work of the FBI and the Special Agents of the United States Attorney’s Office for the Southern District of New York.
The case is being handled by the Office’s Public Corruption Unit. Assistant United States Attorneys Robert L. Boone, Noah Solowiejczyk, and Eli J. Mark are in charge of the prosecution.
U.S. Attorney's Office to Host Central Reentry Job Fair & ExpoRead the Press Release
Columbia, South Carolina – United States Attorney Sherri A. Lydon announced today that the United States Attorney’s Office for the District of South Carolina; the South Carolina Department of Probation, Parole and Pardon Services; SC Department of Employment and Workforce; SC Works; SC Vocational Rehabilitation; SC Department of Social Services; and the United States Probation Office are continuing their statewide partnership to help individuals with prior criminal backgrounds secure employment.
The Third Annual Central Reentry Job Fair & Expo will be held Wednesday, May 15, 2019, from 10:00 am to 1:00 pm at the Dutch Square Mall, located at 421 Bush River Road, Columbia, SC 29210.
This job fair, which is intended as a resource for Midlands residents, is part of a series of events held annually in Florence, the Midlands, the Lowcountry, and the Upstate. The partner organizations have tailored the expo to help people with a criminal record overcome the particular obstacles they face after returning home.
The fair and expo will include area employers friendly to hiring individuals with a criminal background and other organizations who provide resources for returning citizens.
Professional dress is required. As always, the event will feature workshops on how to seek expungements and pardons of prior criminal convictions.
Interested employers or vendors should inquire with Rosalind Harps at (803) 313-7386 or [email protected]. Job seekers should contact Jake Bookard of the United States Probation Office at [email protected]; or George Whitehead of the South Carolina Department of Probation, Parole and Pardon Services at (803) 734-9143, (803) 667-1258, or [email protected] with questions about the event.
#####
U.S. Attorney's Office Hosts Roundtable on Sexual Harassment in HousingRead the Press Release
MADISON, WIS. – The U.S. Attorney’s Office for the Western District of Wisconsin and the Justice Department’s Civil Rights Division hosted a roundtable today for community organizations to discuss the problem of sexual harassment in housing, U.S. Attorney Scott C. Blader announced. The event hosted organizations who routinely work with vulnerable populations most likely to become victims of sexual harassment in housing, including legal aid offices, fair housing organizations, and shelters and transitional housing providers.
The Department of Justice, through the U.S. Attorneys’ Offices and the Civil Rights Division, enforces the federal Fair Housing Act, which prohibits discrimination in housing on the basis of race, religion, sex, familial status, national origin, and disability. Sexual harassment is a form of sex discrimination prohibited by the Act.
“Sexual harassment in housing is often underreported, but it is an egregious violation of the Fair Housing Act,” U.S. Attorney Blader said. “My office is dedicated to uncovering such violations where they exist and vigorously enforcing the law.”
Today’s roundtable is part of the Justice Department’s Sexual Harassment in Housing Initiative. It seeks to identify barriers to reporting sexual harassment in housing, increase awareness of enforcement efforts – both among survivors and those to whom they report – and collaborate with federal, state and local partners to increase reporting and help survivors quickly and easily connect with federal resources.
While most people are familiar with the problem of sexual harassment in the workplace, harassment also occurs in housing, and the Fair Housing Act prohibits it. The Justice Department brings cases each year involving various illegal conduct, including allegations that defendants have exposed themselves sexually to current or prospective tenants, requested sexual favors in exchange for reduced rents or making necessary repairs, made unrelenting and unwanted sexual advances to tenants, and evicted tenants who resisted their sexual overtures. Many instances of sexual harassment in housing continue to go unreported. The Justice Department’s investigations frequently uncover sexual harassment that has been ongoing for years or decades and identify numerous victims who never reported the conduct to federal authorities.
In October 2017, the Justice Department launched an initiative to combat sexual harassment in housing. In April 2018, the Department announced the nationwide rollout of the initiative, including three major components: a new joint Task Force with the Department of Housing and Urban Development to combat sexual harassment in housing, an outreach toolkit to leverage the Department’s nationwide network of U.S. Attorney’s Offices, and a public awareness campaign, including the launch of a national Public Service Announcement.
Since launching the initiative, the Justice Department has filed nine lawsuits alleging a pattern or practice of sexual harassment in housing. The Justice Department has filed or settled 14 sexual harassment cases since January 2017, and has recovered over $2.2 million for victims of sexual harassment in housing.
The Justice Department’s Civil Rights Division enforces the Fair Housing Act and the Equal Credit Opportunity Act, which prohibit discrimination in housing and lending. More information about the Civil Rights Division and the laws it enforces is available at https://www.justice.gov/crt . Individuals who believe that they may have been victims of sexual harassment or other types of housing discrimination can call the Housing Discrimination Tip Line at 1-800-896-7743, e-mail the Justice Department at [email protected], or contact HUD at 1-800-669-9777 or through its website at https://www.hud.gov/program_offices/fair_housing_equal_opp .
Individuals who believe they may have been victims of discrimination may also file a complaint with the U.S. Attorney’s Office at 222 West Washington Avenue, Suite 700, Madison, WI, 53703; ATTN: Civil Rights Coordinator.
U.S. Attorney Announces Indictments for Gun and Drug Crimes in Washington CountyRead the Press Release
MARIETTA, Ohio – Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, today announced three indictments against alleged drug dealers in Marietta and Washington County.
Timothy J. Plancon, Special Agent in Charge, Drug Enforcement Administration (DEA), Jonathan McPherson, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Marietta Police Chief Rodney Hupp, Washington County Sheriff Larry R. Mincks, Sr., Rocky Nelson, Executive Director, Ohio Attorney General Dave Yost’s Organized Crime Investigations Commission (OCIC), and officials in the Major Crimes Task Force joined U.S. Attorney Glassman in announcing the charges.
The first indictment charges Andrew Lee McCarty, 30, with conspiracy and illegal distribution of heroin, fentanyl and methamphetamine. The crime has a maximum punishment of 20 years in prison.
The second indictment charges Darren M. Edwards, 54, with unlawful possession and distribution of more than 50 grams of methamphetamine, and illegal possession of a firearm. If convicted, Edwards faces at least five years and up to 40 years in prison.
The third indictment charges Darren C. Dunkle, 43, with possession and distribution of methamphetamine. That crime is punishable by at least five years and up to 40 years in prison.
Agents and officers arrested Dunkle and Edwards last week. McCarty was transferred into federal custody today. They will be taken to Columbus to appear before a U.S. Magistrate Judge.
U.S. Attorney Glassman commended the investigations by the DEA, ATF, Marietta Police, Washington County Sheriff’s Office, OCIC and the agencies participating in the Major Crimes Task Force. Those agencies include the Belpre Police Department, Marietta Police Department, McConnelsville Police Department, Morgan County Prosecutor’s Office, Morgan County Sheriff’s Office, Noble County Prosecutor’s Office, Noble County Sheriff’s Office, Washington County Prosecutor’s Office and the Washington County Sheriff’s Office.
Glassman also commended Assistant U.S. Attorney Kevin Kelley, who is representing the United States in these cases.
An indictment merely contains allegations, and the defendants are presumed innocent unless proven guilty in a court of law.
# # #
Two Leaders of ‘Jugging’ Crew Sentenced in Federal CourtRead the Press Release
Two leaders of a Houston-based robbery conspiracy were sentenced to more than a dozen years in prison each this week, announced U.S. Attorney for the Northern District of Texas Erin Nealy Cox.
Chrisheena Ladale Milburn, 28, of Houston, and her brother, Brandon Chermaine Mallet, 32, of Missouri City, Texas, pleaded guilty in July 2018 to one count of conspiracy to interfere with commerce by robbery and two counts of interference with commerce by robbery for their role in spate of local “juggings.”
“Jugging” refers to a scheme in which a group of perpetrators follows bank customers suspected of having large containers of cash – often small business owners – leaving financial institutions. At the customers’ next location, the group takes the money by force, either by confronting victims or by breaking into their vehicles.
On Wednesday, U.S. District Judge Ed Kinkeade sentenced Ms. Milburn to 220 months (18 years, 4 months) and Mr. Mallet to 170 months (14 years, 2 months) in federal prison.
The FBI began investigating this conspiracy – which eventually netted 13 defendants – after the Dallas area experienced a surge in jugging offenses in 2016 and 2017.
Ms. Milburn, Mr. Mallet, and two others were first arrested by Dallas Police Department in June 2016, while fleeing from a robbery. Ms. Milburn, Mr. Mallet, and three others were arrested again in July 2017 during a DPD undercover sting targeting jugging activity.
Through various investigative techniques, the FBI tied the Houston-based crew to an estimated 30+ jugging offenses in the Dallas area. The FBI concluded that the crew had taken more than three-quarters of a million dollars, primarily from Dallas-area small business owners and operators.
Thirteen defendants were charged in federal court. Eleven have pleaded guilty.
Previously sentenced co-defendants include:
• Jarvis Broussard — 90 months
• Gemarcus Dontae Earl — 72 months
• Christian Demond Gilbert — 50 months
• Randy Lamark Hammond — 50 months
• John Christopher Jones — 180 months
• Tony Jarel Russell — 65 months
• Fernando Rafael Taylor — 60 months
• Jonathan Walker — 50 months
Charges remain pending against three defendants in connection with the conspiracy.
This is believed to be the first federal prosecution of a jugging robbery conspiracy in the nation.
“These defendants were systematically harming small business owners, who represent a backbone of Dallas’ economy,” said U.S. Attorney Erin Nealy Cox. “I’m proud of the prosecutors, agents, and officers who helped us bring justice in this milestone case.”
“FBI Dallas and its local partners worked together through our Violent Crimes Task Force to combat the threat of jugging and dismantled this criminal enterprise," said FBI Dallas Acting Special Agent in Charge Michael Schneider. "We will continue to pursue criminals with all available resources at our disposal and remain determined to eradicate violent crime from our streets."
In 2017, the FBI Violent Crimes Task Force received reports of in excess of 80 jugging robberies in the Dallas area. The FBI received a report of only one jugging robbery in 2018.
However, the agency urges the banking public to remain vigilant.
The Federal Bureau of Investigation conducted the investigation with assistance from the Dallas, Garland, Irving, and Richardson Police Departments. Assistant United States Attorneys Brian McKay and Sid Mody are prosecuting the case.
Third and Final Former 5LINX Owner Sentenced for Wire Fraud and Tax Charge for His Role in Multi-Million Dollar Marketing SchemeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Jason Guck, 43, of Victor, NY, who was convicted of conspiracy to commit wire fraud and filing a false tax return for the year 2012, was sentenced to serve seven months in prison by U.S. District Judge David G. Larimer.
Assistant U.S. Attorney Richard A. Resnick, who handled the case, stated that in 2001, Guck, Craig Jerabeck, and Jeb Tyler started 5LINX Enterprise, Inc. (5LINX), a multi-level marketing company headquartered in Rochester, NY, which offered utility and telecommunications services, health insurance, nutritional supplements and business services. 5LINX used independent representatives to sell products and services and to recruit additional representatives. Jerabeck was President and Chief Executive Officer, Guck was Vice President and Secretary, and Tyler was Vice President of 5LINX.
In June 2006 and July 2006, Guck, Tyler, and Jerabeck sold 5LINX stock for $5,500,000 to three investment companies, Trillium Lakefront Partners III, L.P.; Trillium Lakefront Partners III, NY L.P.; and Shalam Investment Co., L.L.C. (collectively known as "the Investors"). Guck admitted in the plea agreement that from in or about May 2010 to April 2016, 5LINX sold and distributed products for a Florida vendor. Guck, along with Tyler and Jerabeck, and without the knowledge of the Investors, Board of Directors, or other stockholders, conspired and agreed to cause the Florida vendor to pay them personally or companies they owned approximately $2,310,510, which their Stockholders Agreements prohibited them from receiving. 5LINX, its investors, as owners between 2006 and January 2014, and as creditors thereafter, and stockholders were entitled to and should have received such funds instead of defendant, Guck, and Tyler.
Assistant U.S. Attorney Resnick further stated that Guck solely owned YaYa Holdings Corporation. Guck provided material false information on YaYa Holdings, Inc.’s federal tax returns for the fiscal years ending July 31, 2012, and 2013, and failed to file corporate returns for the fiscal years ending July 31, 2014, and 2015. In addition, for fiscal years ending July 31, 2012, and 2013, Guck failed to report income the corporation received from 5LINX. Also, for the fiscal years ending July 31, 2014, and 2015, the corporation had income that Guck should have reported on corporate tax returns for those years. The false returns and failure to file returns resulted in a tax loss of approximately $778,718.
In addition, Guck will forfeit various assets previously seized by the government, totaling to approximately $53,000.
Craig Jerabeck and Jeb Tyler were previously convicted and also sentenced to serve 14 months in prison.
Today’s sentencing is the culmination of an investigation by Special Agents of the Federal Bureau of Investigations, under the direction of Special Agent-in-Charge Gary Loeffert, and the Internal Revenue Service, Criminal
Investigation Division, under the direction of Acting Special Agent-in-Charge Jonathan D. Larsen, New York Field Office.
# # # #
Texas Man Pleads Guilty to Conspiring to Provide Material Support to a Foreign Terrorist OrganizationRead the Press Release
A Fort Worth man today pleaded guilty to a federal terrorism charge, announced Assistant Attorney General for National Security John C. Demers and U.S. Attorney Erin Nealy Cox for the Northern District of Texas.
Michael Kyle Sewell, 18, who was arrested in February, formally pleaded guilty to conspiracy to provide material support to Lashkar-e-Taiba, a Pakistani-based foreign terrorist organization also known as LeT.
According to court documents, Sewell admitted to encouraging an individual, identified in court documents only as coconspirator 1, to join LeT.
Sewell then provided the coconspirator, who he spoke to on social media, with contact information for an individual he believed could facilitate the coconspirator’s travel to Pakistan to join LeT. Unbeknownst to Sewell and the coconspirator, the facilitator was an undercover FBI agent.
Sewell and the coconspirator discussed what the coconspirator should say to the undercover agent who posed as the facilitator, in order to gain the facilitator’s trust and be permitted to join LeT. Sewell also contacted the facilitator to vouch for the coconspirator’s authenticity.
Sewell now faces up to 20 years in federal prison and a fine of up to $250,000. He will be sentenced on Aug. 12, 2019 in Fort Worth.
The Federal Bureau of Investigation and its Joint Terrorism Task Force members, including the Arlington Police Department, the Fort Worth Police Department, the Tarrant County Sheriff’s Office, the Naval Criminal Investigation Service, Homeland Security Investigations, and the Texas Department of Public Safety conducted the investigation. Assistant U.S. Attorney Jay Weimer prosecuted the case with the assistance of Trial Attorney Bridget Behling of the National Security Division's Counterterrorism Section.
Texas Man Pleads Guilty for Role in Interstate Marijuana Trafficking ConspiracyRead the Press Release
PORTLAND, Ore.—Trent Lamar Knight, 31, of Houston, Texas, pleaded guilty today for his role in a conspiracy to traffic marijuana grown in Portland to Texas.
Drug proceeds, in the form of bulk U.S. currency, were returned to Oregon via U.S. mail and passenger luggage on commercial airlines. As part of this investigation, federal authorities have seized approximately 11,000 marijuana plants, 546 pounds of processed marijuana, more than $2.8 million in cash, 51 firearms, 26 vehicles, trailers, pieces of heavy equipment, a yacht, and three houses used as marijuana grow sites, all since August 2017.
Knight pleaded guilty to one count each of conspiring to manufacture, possess with intent to distribute, and distribute marijuana, maintaining drug-involved premises and using and carrying a firearm during and in relation to a drug trafficking crime.
Conspiring to manufacture, possess with intent to distribute, and distribute marijuana and maintaining drug involved premises carries a maximum sentence of 40 years in prison, a $5 million fine and a lifetime of supervised release. Using or carrying a firearm in relation to a drug trafficking crime carries a maximum sentence of life in prison with a mandatory minimum of seven years, a $250,000 fine and five years’ supervised release.
Knight will be sentenced on August 14, 2019 before U.S. District Court Judge Robert E. Jones.
As part of his plea agreement, Knight has agreed to forfeit any criminally-derived proceeds and property used to facilitate his crimes identified by the government prior to sentencing.
Co-defendants Brittany Lesanta Kizzee, 28, of Houston, Paul Eugene Thomas, 38, and Raleigh Dragon Lau, 33, both of Portland; and Cole William Griffiths, 30, of Hood River, Oregon have all pleaded guilty on related charges. Griffiths and Thomas will be sentenced on August 5 and 6, 2019, respectively. Kizzee and Lau will both be sentenced on August 7, 2019. Finally, co-defendant Jody Tremayne Wafer, 29, also of Houston, is scheduled for trial on June 18, 2019.
This case was investigated by the U.S. Drug Enforcement Administration, IRS Criminal Investigation, Homeland Security Investigations and the FBI. It is being prosecuted by the U.S. Attorney’s Office for the District of Oregon.
This case was brought as part of the Justice Department’s Organized Crime and Drug Enforcement Task Force (OCDETF) program, the centerpiece of the department’s strategy for reducing the availability of drugs in the U.S. OCDETF was established in 1982 to mount a comprehensive attack on drug trafficking by disrupting and dismantling major drug trafficking and money laundering organizations. Today, OCDETF combines the resources and expertise of its member federal agencies in coordination with state and local law enforcement.
St. Albans Man Sentenced for Theft of Social Security Income BenefitsRead the Press Release
CHARLESTON, W.Va. – Joseph McLaughlin was sentenced to six months of federal incarceration, to be followed by six months of home confinement at a drug rehabilitation shelter in Beckley, West Virginia for the felony offense of fraudulently obtaining Social Security Administration benefits, announced United States Attorney Mike Stuart. McLaughlin, 38, of St. Albans, West Virginia will also be required to serve an additional three years on supervised release. He was further ordered by the Court to pay restitution to the United States Treasury in the amount of $121,436. The investigation was conducted by the Social Security Administration’s Office of the Inspector General (OIG) and the Social Security Administration.
“For years McLaughlin continued to receive federal benefits to which he was not entitled,” said United States Attorney Mike Stuart. “Social Security fraud is rampant in West Virginia and we are doing everything we can to hold fraudsters accountable.”
McLaughlin applied for Title II Social Security Administration (SSA) benefits in 2007 for the care of a child as the child’s representative payee. These Social Security representative payee benefits are based on income and living arrangements and create a duty on the recipient to report a change in living arrangements. There is also a requirement that the SSA money received actually be used for the well-being of the child. McLaughlin indicated that the child resided with him and he used the SSA benefits for the child’s care. In fact, McLaughlin’s child had moved out in 2011 and was no longer residing with him. The absence of the child would have ended the amount of money he was receiving every month from the Social Security Administration as the child’s representative payee. From April 2011 through February 2017, McLaughlin received at least $121,436 in Social Security benefits in excess of the amount he was due and that were not spent on the child. On August 15, 2017, McLaughlin gave a detailed statement to federal investigators with the OIG. McLaughlin admitted that he was receiving money that he was not entitled to receive and that the child had moved out of the home in 2011.
Assistant United States Attorney Erik S. Goes handled the prosecution. United States District Judge John T. Copenhaver Jr. presided over the hearing.
Follow us on Twitter: @SDWVNews and @USAttyStuart
###
Springfield Man Pleads Guilty to Narcotics, Money Laundering, and Firearms OffensesRead the Press Release
BOSTON - A Springfield man pleaded guilty in federal court in Springfield on Monday, May 6, 2019, to his role in a firearms, narcotics, and money laundering conspiracy.
Dinelson Dinzey, 35, pleaded guilty to an Information charging him with one count of conspiracy to distribute heroin, cocaine, and 280 grams or more of crack cocaine; five counts of distribution and possession with intent to distribute heroin, cocaine, and crack cocaine; two counts of money laundering conspiracy; one count of conspiracy to engage in the unlicensed dealing of firearms; one count of engaging in the unlicensed dealing of firearms; and one count of being a felon in possession of a firearm. U.S. District Court Judge William G. Young scheduled Dinzey’s sentencing for Sept. 4, 2019. Dinzey and seven others were charged in a superseding indictment on Dec. 21, 2018.
According to court documents, Dinzey and co-defendant Nia Moore-Bush obtained narcotics in the Springfield area, transported the narcotics to Vermont themselves or via couriers, and distributed the drugs in the Barre area, where drug prices are much higher than in Springfield.
Dinzey then conspired to launder the proceeds of the drug sales through bank accounts allegedly held by another co-defendant, Daphne Moore, in trust for Moore-Bush. Court records state that the organization would make cash deposits in Vermont, and Moore-Bush and Moore would facilitate the withdrawal of those funds from the accounts in Massachusetts. Dinzey also conspired with Moore-Bush to launder drug proceeds through the purchase of an Audi vehicle.
It is alleged that Dinzey further conspired with Moore-Bush and others to engage in the unlicensed dealing of firearms and to participating in a May 5, 2017, firearms sale. According to court documents, federal agents traced six firearms involved in this conspiracy to individuals connected to Vermont or New Hampshire. Dinzey also pleaded guilty to being a felon in possession of the firearms sold on May 5, 2017. Court documents indicate that Dinzey has been convicted of felony drug offenses in state courts on three prior occasions.
The charge of conspiracy to distribute and possess with intent to distribute 280 grams or more of cocaine base carries a mandatory minimum sentence of 15 years and up to life in prison, at least 10 years of supervised release, and a fine of up to $20 million. Each money laundering conspiracy charge carries a sentence of no greater than 20 years in prison, up to three years of supervised release, and a fine of up to $500,000. The charges of conspiring to engage in the unlicensed dealing of firearms and engaging in the unlicensed dealing of firearms, provide for a sentence of no greater than five years in prison, up to three years of supervised release, and a fine of up to $250,000. The charge of being a felon in possession of a firearm, carries a sentence of at least 15 years and up to life in prison, up to three years 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 Kelly D. Brady, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms, and Explosives, Boston Field Division, made the announcement. Valuable assistance was provided by the Internal Revenue Service’s Criminal Investigations in Boston, the Massachusetts State Police, the Vermont State Police, the Montpelier (VT) and Barre (VT) Police Departments. Assistant U.S. Attorneys Katharine A. Wagner of Lelling’s Springfield Office and Amy Harman Burkart of Lelling’s Boston Office are prosecuting the cases.
The details contained in the indictment are allegations. The remaining defendants are presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
South Florida Patient Recruiter Sentenced for Role in $1.6 Million Kickback SchemeRead the Press Release
A South Florida patient recruiter was sentenced to 87 months in prison today for her role in a scheme involving approximately $1.6 million in Medicare claims for home health care services that were procured through the payment of kickbacks.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney Ariana Fajardo Orshan of the Southern District of Florida, Special Agent in Charge George L. Piro of the FBI’s Miami Field Office and Special Agent in Charge Shimon R. Richmond of the U.S. Department of Health and Human Services Office of Inspector General’s (HHS-OIG) Miami Regional Office made the announcement.
Yamilet Diaz, 50, of Hialeah, Florida, was sentenced by U.S. District Judge James I. Cohn of the Southern District of Florida. After a four-day trial in February 2019, which Judge Cohn presided over, Diaz was convicted of one count of conspiracy to defraud the United States and to receive health care kickbacks and four counts of receiving health care kickbacks.
According to evidence presented at trial and at sentencing, from approximately February 2012 to August 2013, Diaz received kickbacks in return for referring Medicare beneficiaries to five South Florida home health agencies to serve as patients. The evidence established that Diaz and her co-conspirators caused Medicare to make over $1.6 million in payments to the home health agencies based upon claims for home health services submitted on behalf of the beneficiaries recruited by Diaz. The evidence further established that Diaz personally benefited from the fraud and received at least $710,000.
This case was investigated by the FBI with support from HHS-OIG and was brought as part of the Medicare Fraud Strike Force, under the supervision of the Criminal Division’s Fraud Section and the U.S. Attorney’s Office for the Southern District of Florida. The case was prosecuted by Trial Attorneys Patrick Mott, John (Fritz) Scanlon and Timothy Loper of the Fraud Section. Assistant U.S. Attorney Leslie Wright of the District of Massachusetts, formerly with the Fraud Section, previously worked on the case.
The Fraud Section leads the Medicare Fraud Strike Force. Since its inception in March 2007, the Medicare Fraud Strike Force, which maintains 14 strike forces operating in 23 districts, has charged nearly 4,000 defendants who have collectively billed the Medicare program for more than $14 billion. In addition, the HHS Centers for Medicare & Medicaid Services, working in conjunction with the HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.
South Bend Man Sentenced to 120 Months in PrisonRead the Press Release
SOUTH BEND –Rashee Herron, age 27, of South Bend, Indiana, was sentenced before United States District Court Judge Robert L. Miller, Jr., upon his plea of guilty to possessing with intent to distribute fentanyl and possessing one or more firearms in furtherance of a drug trafficking crime, announced U. S. Attorney Kirsch.
Herron was sentenced to 120 months in prison followed by 4 years of supervised release.
According to documents in this case, this case stems from a local investigation into heroin and fentanyl distribution. On July 10, 2018, an undercover investigator ordered drugs by calling a phone number that they believed was associated with a drug dealer called “Ace”. Mr. Herron, later identified as “Ace”, arrived at the meeting place and met with the officer. Herron was holding baggies apparently containing drugs but ended the meeting when the officer refused Herron’s demand to use some of the drugs in front of him. Later the same day, investigators arranged another controlled purchase of drugs. This time, Herron’s co-defendant arrived and sold approximately 1 gram of fentanyl in exchange for $140. The co-defendant was driving the same car Herron used a short time earlier. On July 13, investigators searched a house in South Bend pursuant to a warrant. In the bedroom shared by Herron and his co-defendant investigators found almost 100 grams of fentanyl, 2 loaded handguns, scales, marijuana, a money counter and more than $30,000 cash.
The case was investigated by the ATF with the assistance of the South Bend Police Department and was handled by Assistant United States Attorneys Joel Gabrielse and Molly Donnelly.
###
Six Men Charged for Role in Five-Year High-Yield Investment Fraud SchemeRead the Press Release
Six men were charged in an indictment unsealed today for their alleged participation in a five-year high-yield investment fraud scheme.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney Erin Nealy Cox of the Northern District of Texas and Inspector in Charge Delany DeLeon-Colón of the U.S. Postal Inspection Service’s Criminal Investigations Group in Washington, D.C., made the announcement.
Cengiz Jan “CJ” Comu, 58, of Dallas, Texas; John Mervyn Price, 63, also of Dallas; Harley E. “Buddy” Barnes, III, 60, of Plano, Texas; Richard Laurence Kadish, 57, of Miami, Florida; Richard Lawrence Green, 69, also of Miami; and Daniel Thomas Broyles Sr., 61, formerly of Malibu, California, were charged in an indictment returned in the Northern District of Texas with one count of conspiracy to commit mail and wire fraud, 10 counts of mail fraud and 10 counts of wire fraud. Price and Barnes were arrested and appeared Monday before U.S. Magistrate Judge Renee H. Toliver of the Northern District of Texas. Comu was arrested and appeared on Wednesday, also before Judge Toliver. Kadish was arrested and appeared Wednesday in Miami before U.S. Magistrate Judge Jacqueline Becerra of the Southern District of Florida. Kadish was arrested and appeared Wednesday in Fort Lauderdale before U.S. Magistrate Judge Lurana S. Snow of the Southern District of Florida. A trial date has not yet been set.
Broyles, who was previously indicted in the Western District of North Carolina for his role in another high-yield investment fraud scheme, also remains a fugitive.
“These individuals are charged with making multiple false and fraudulent representations as part of a five-year fraud scheme that ripped off investors, many of whom were elderly,” said Assistant Attorney General Benczkowski. “The indictment unsealed today underscores the Criminal Division’s commitment to combating high-yield investment fraud, which often targets and victimizes some of the most vulnerable members of our community.”
“The defendants peddled an absurd get-rich-quick scheme, deceiving hundreds of hardworking Americans,” said U.S. Attorney Erin Nealy Cox. “We will not stand for this type of blatant fraud.”
“Anyone who engages in deceptive securities practices needs to know they will not go undetected and will be held accountable,” said Inspector in Charge DeLeon-Colón. “The Postal Inspection Service has been investigating crimes like the ones alleged here for many years. Our duty is to protect investors and defend the integrity of the marketplace and the U.S. Mail.”
The indictment alleges that, beginning in 2013, Comu, Price, Barnes, Kadish, Green and Broyles conspired to sell stock in EarthWater, a United Kingdom company headquartered in Dallas County, Texas. EarthWater manufactured and sold bottled water that it claimed was infused with special minerals mined from an 80-million-year-old deposit hidden in a secret location.
According to the indictment, Comu, who is EarthWater’s founder, chairman and chief executive officer, falsely represented to victim investors that he was a successful Wall Street veteran with decades of experience and did not disclose to investors that, among other things, he was permanently barred from selling unregistered securities as a result of actions filed by state and federal securities regulators.
The indictment further alleges that, to induce victims to purchase EarthWater stock, Comu, Price, Barnes, Kadish, Green, Broyles, and others made numerous false and misleading representations, including that victim investors only had a brief opportunity to purchase EarthWater stock for anywhere from $.10 to $.50 per share in an unregistered offering before EarthWater launched an initial public offering (IPO) or was acquired by a large well-known company and EarthWater’s stock price would increase anywhere from 10- to 50- times the purchase price. In reality, EarthWater allegedly never initiated an IPO, or a merger or acquisition.
The indictment also alleges that defendants falsely represented to victim investors that EarthWater would use 90 percent of invested funds to grow its business and expand operations, and that any fees paid to broker-dealers with respect to the sale of EarthWater stock would not exceed 10 percent of the purchase price of the shares. In reality, Comu, Price and Barnes allegedly agreed to split victim investors’ funds 50-50 with Kadish, Green, Broyles and other individuals who sold EarthWater stock. As a result, nearly half of all of the money victims invested in EarthWater allegedly went directly into the pockets of the individuals who sold them the stock.
In addition, according to the indictment, the defendants also falsely represented to victim investors that Comu, Price and Barnes did not receive salary from EarthWater in 2014, 2015 or 2016. In reality, Comu, Price and Barnes allegedly used EarthWater’s investment account as a personal piggybank, using victim investor funds for their own personal benefit and transferring victim investor funds to bank accounts controlled by them for their own personal use.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
This case was investigated by the U.S. Postal Inspection Service. Trial Attorneys Christopher Fenton and William Bowne of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Mary F. Walters of the Northern District of Texas are prosecuting the case.
The Criminal Division’s Fraud Section plays a pivotal role in the Department of Justice’s fight against white collar crime around the country.
Individuals who believe that they may be a victim in this case should visit the Fraud Section’s Victim Witness website for more information.
Sauk Rapids Man Indicted on 33 Counts of Filing False Tax ReturnsRead the Press Release
United States Attorney Erica H. MacDonald today announced a 33-count indictment charging ADAM M. LASHINSKI, 40, with filing false tax returns. LASHINSKI will make his initial appearance in U.S. District Court at a later date.
According to the allegations in the indictment, LASHINSKI, who falsely claimed to be a certified public accountant, prepared and filed dozens of fraudulent federal individual income tax returns for his acquaintances between 2013 and 2015. The charges state that LASHINSKI repeatedly filed returns in the names of the taxpayers that omitted taxable income and claimed false adjustments, deductions, and business expenses, which resulted in larger refunds than what the taxpayers were actually entitled to receive. To obtain additional profits beyond the small payments LASHINSKI received from the taxpayers for his services, the indictment alleges that LASHINSKI filed documentation with the IRS to cause portions of the fraudulent refunds to be paid directly into his personal bank account.
This case is the result of an investigation conducted by the Criminal Investigation Division of the IRS, with assistance from the Minnesota Department of Revenue.
These cases are being prosecuted by Assistant U.S. Attorney Robert M. Lewis.
Defendant Information:
ADAM M. LASHINSKI, 40
Sauk Rapids, Minn.
Charges:
- Filing false tax returns, 33 counts
###
Additional news available on our website.
Follow us on Twitter and Facebook.
United States Attorney’s Office, District of Minnesota: (612) 664-5600
The charges contained in the indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Salina Man Married to Pharmacist Got His Drugs from HerRead the Press Release
WICHITA, KAN. – A Salina man unlawfully received controlled prescription drugs from his wife, who was a pharmacist, U.S. Attorney Stephen McAllister said.
Dalton R. Hartley, 29, Salina, Kan., pleaded guilty Tuesday to one count of acquiring controlled substances through fraud. Hartley is married to co-defendant Kirsty C. Hartley, who worked at a CVS Pharmacy in Salina. In his plea, Dalton Hartley admitted he fraudulently received 450 tablets of hydrocodone with acetaminophen and 360 tablets of alprazolam from his wife. He would consume the medication himself or trade tablets to other people for marijuana.
Hartley admitted he knew his wife was altering legitimate prescriptions in order to divert the medications to him.
Co-defendant Kirsty Hartley pleaded guilty last month to one count of distributing and dispensing controlled substances without a legitimate medical reason. She admitted unlawfully dispensing more than 21,000 tablets of hydrocodone with acetaminophen.
Both parties have agreed to recommend the Hartleys be sentenced to 18 months of house arrest with 200 hours of community service. Kirsty Hartley has surrendered her pharmacist license.
McAllister commended the Salina Police Department, the Drug Enforcement Administration and Assistant U.S. Attorney Mona Furst for their work on the case.
Queens Immigration Attorney Sentenced to Five Years in Prison for Operating Asylum Fraud SchemeRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced that ANDREEA DUMITRU, a/k/a “Andreea Dumitru Parcalaboiu,” an immigration attorney based in Queens, New York, was sentenced to five years in prison in connection with her operation of a scheme to submit fraudulent asylum applications to United States immigration authorities. DUMITRU was convicted on November 19, 2018, of asylum fraud, making false statements to immigration authorities, and aggravated identity theft following a two-week trial before U.S. District Judge Lewis A. Kaplan, who imposed today’s sentence.
Manhattan U.S. Attorney Geoffrey S. Berman said: “Using lies and forgery, Andreea Dumitru, an immigration attorney, cheated the nation’s asylum program. For her crimes, Dumitru will now spend five years in prison.”
According to the Superseding Indictment, other filings in Manhattan federal court, and the evidence presented at trial:
Between 2013 through 2017, DUMITRU operated a scheme to submit fraudulent I-589 Forms in connection with applications for asylum. Specifically, DUMITRU submitted more than 100 applications in which she knowingly made false statements and representations about, among other things, the applicants’ personal narratives of alleged persecution, criminal histories, and travel histories. DUMITRU deliberately fabricated detailed personal stories of purported mistreatment of her clients, forged her clients’ signatures, and falsely notarized affidavits.
* * *
In addition to the prison term, DUMITRU, 43, of Queens, New York, was sentenced to one year of supervised release, and was ordered to forfeit $157,500.
Mr. Berman praised the outstanding investigative work of Homeland Security Investigations and United States Citizenship and Immigration Services, and thanked the Federal Bureau of Investigation and the United States Department of Justice’s Executive Office for Immigration Review for their assistance.
This case is being prosecuted by the Office’s General Crimes Unit. Assistant U.S. Attorneys Nicholas W. Chiuchiolo, Alison G. Moe, and Robert B. Sobelman are in charge of the prosecution.
Pueblo Bishop Bloods Gang Member Convicted at Retrial in RICO Case for Ambush Murder of Man in Front of His 2-Year-Old SonRead the Press Release
LOS ANGELES – A member of the Pueblo Bishop Bloods street gang has been found guilty by a jury for the second time of racketeering offenses that included the slaying of a man in front of the victim’s 2-year-old son.
Rondale Young, a.k.a. “Pueblo Grump,” 36, of South Los Angeles, was found guilty on Tuesday after a two-week trial. United States District Judge S. James Otero has scheduled an October 7 sentencing hearing, at which time Young is expected to receive a sentence of life in federal prison.
The federal jury convicted Young of conspiring to violate the Racketeer Influenced and Corrupt Organizations Act (RICO) in relation to the August 2, 2009 murder of Francisco Cornelio, a 23-year-old man with no gang affiliation who was shot to death at point-blank range while vacuuming his car and in front of his young son. The jury also found Young guilty of conspiracy to commit a violent crime in aid of racketeering (VICAR); VICAR murder; and possessing, using and discharging a firearm resulting in death in relation to a crime of violence.
According to the evidence presented at trial, on the day of Mr. Cornelio’s murder, Young, accompanied by other armed gang members, drove his car into rival gang territory, seeking retaliation for a fatal drive-by shooting of a Pueblo Bishop gang member. Mr. Cornelio was targeted simply because he was of Hispanic descent and was in rival gang territory. Local authorities originally charged Young in 2009 with killing Mr. Cornelio, but he was acquitted by a state jury.
An August 2010 indictment charged Young and 44 other members and associates of the gang with being members of a criminal enterprise that engaged in drug dealing, firearms trafficking, murder, witness intimidation and armed robbery as part of the gang’s efforts to control and terrorize the Pueblo Del Rio Housing Projects in South Los Angeles.
In 2013, Young was convicted of racketeering charges in connection to the indictment and Mr. Cornelio’s murder and was sentenced to life in federal prison. That conviction was vacated in 2017 by the U.S. Court of Appeals for the Ninth Circuit, which cited evidentiary errors during the first trial. The case was sent back to the district court for a retrial. Young has been in federal custody since the 2010 indictment.
With Young’s conviction, all 45 defendants charged in this matter have been convicted of federal RICO and related charges, and have been held responsible for multiple murders.
This matter was investigated by the Federal Bureau of Investigation; the Los Angeles Police Department; the United States Department of Housing and Urban Development, Office of Inspector General; the California Department of Corrections and Rehabilitation; and the Los Angeles County District Attorney’s Office.
This case is being prosecuted by Assistant United States Attorney Mack E. Jenkins, Chief of the Public Corruption and Civil Rights Section; Assistant United States Attorney Frances S. Lewis of the Public Corruption and Civil Rights Section; and Assistant United States Attorney Julia S. Choe of the Cyber and Intellectual Property Crimes Section.
Project Safe Neighborhoods Yellowstone County one-year results show violent crime increase nearly haltedRead the Press Release
Montana U.S. Attorney Kurt Alme discusses one-year results for Project Safe Neighborhoods Yellowstone County. On display are some of the firearms that have been seized in PSN cases.BILLINGS—In the one year that Project Safe Neighborhoods, a federal initiative, has been at work in Yellowstone County, law enforcement has dismantled methamphetamine trafficking rings, seized hundreds of pounds of methamphetamine and numerous firearms, and prosecuted more than 200 violent offenders, top federal, state and local prosecutors announced today.
The one-year results show that a steadily growing violent crime rate in Yellowstone County has been almost stopped since PSN went into effect.
U.S. Attorney Kurt Alme, Montana Attorney General Tim Fox and Yellowstone County Attorney Scott Twito discussed the PSN results during a news conference at the U.S. Attorney’s Office in Billings.
PSN is a reinvigorated U.S. Department of Justice initiative that targets the most violent criminals in high-crime areas and works with federal, state and local law enforcement and community partners to reduce crime and to develop a substance abuse treatment and prevention strategy. PSN began operating in Yellowstone County in April 2018.
“The significant increases in violent crime in Yellowstone County have almost stopped because of the hard work of our committed federal, state and local law enforcement and prosecutors,” U.S. Attorney Alme said. “Now, to reduce violent crime, we need to continue to get the most dangerous offenders off the street and we need to reduce the demand for meth,” he said.
“The Yellowstone County results of Project Safe Neighborhoods are clear: when it comes to meth and violent crime, enforcement works,” Attorney General Fox said. “The results we have achieved here are due to the commitment and collaboration of federal, state and local law enforcement professionals working in tandem to target the worst offenders and bring them to justice. Our work in Yellowstone County and elsewhere will continue.” he said.
The violent crime rate in Yellowstone County has been increasing every year since 2014. In the 12 months prior to PSN beginning in April 2018, murder, robbery and aggravated assaults had increased almost 26 percent. And in the 12 months before that those crimes had increased by almost 16 percent. In the 12 months since PSN began, the growth in violent crimes has almost stopped, increasing just 1.3 percent.
To date, 170 defendants have been charged with federal meth trafficking, armed robbery and firearms offenses by the U.S. Attorney’s Office.
In addition, 245 pounds of meth, representing almost 890,000 doses and an estimated $11 million street value, have been seized. Law enforcement officers also have seized 212 firearms, including 57 semi-automatic assault-style rifles. The U.S. Marshals Service Violent Offender Task force has served 652 federal and state warrants on violent offenders.
Yellowstone County has filed 12 robbery cases and 22 assault with a weapon or aggravated assault charges.
“The Yellowstone County Attorney’s Office will continue to prosecute these offenders to the fullest extent of the law,” County Attorney Twito said.
PSN will continue its enforcement strategy to drive down the violent crime rate as well as work to reduce demand for meth through the Yellowstone Substance Abuse Connect coalition. The coalition includes 62 nonprofit and governmental organizations working to create a community plan to reduce the demand for meth through prevention and treatment.
PSN Yellowstone County’s partners include the U.S. Attorney’s Office; Yellowstone County Attorney’s Office; Montana Department of Justice’s Prosecution Services Division, Highway Patrol and the Division of Criminal Investigation; the Montana Department of Correction’s Adult Probation and Parole Division; the Billings and Laurel police departments; the Yellowstone County Sheriff’s Office; Alcohol, Tobacco, Firearms and Explosives; Drug Enforcement Administration; FBI, Homeland Security Investigations and the U.S. Marshal’s Service.
###
Prince George’s County Man Pleads Guilty to Federal Charge of Sex Trafficking of a MinorRead the Press Release
Baltimore, Maryland – Rody L. Bowden, age 40, of Prince George’s County, Maryland, pleaded guilty on May 7, 2019, to the federal charge of sex trafficking of a minor. Bowden was a registered sex offender at the time of the offense.
The guilty plea was announced by United States Attorney for the District of Maryland Robert K. Hur and Acting Special Agent in Charge Cardell T. Morant of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI).
“This is an egregious case because the defendant was already a twice-convicted sex offender and his victim was a 14- year old child,” said U.S. Attorney Robert K. Hur. “This prosecution sends a powerful message that sex trafficking of children will not be tolerated in Maryland. Rody Bowden is now facing at least 20 years in federal prison, where there are no suspended sentences and no parole - ever”
According to Bowden’s plea agreement, in late 2016 and early 2017, Bowden engaged in commercial sex acts with a 14-year-old ninth-grade student, including in Anne Arundel County motel rooms. On January 4, 2017, Bowden recorded a video of the victim engaged in oral sex with him. The next day, Bowden created an account on a streaming pornographic website and uploaded the video to his account, where it could be viewed by all of Bowden’s followers on the site. On September 4, 2017, Bowden e-mailed a copy of the video to another account that he controlled.
Bowden was previously required to register as a sex offender, stemming from two convictions for third-degree sex offenses in Prince George’s County and Charles County. Bowden has been detained since his arrest.
Bowden and the government have agreed that if the Court accepts the plea agreement, Bowden will be sentenced to between 20 and 25 years in federal prison. U.S. District Judge Catherine C. Blake has scheduled sentencing for July 30, 2019 at 9:15 a.m.
This case was investigated by the Maryland Human Trafficking Task Force, formed in 2007 to discover and rescue victims of human trafficking while identifying and prosecuting offenders. Members include federal, state and local law enforcement, as well as victim service providers and local community members. For more information about the Maryland Human Trafficking Task Force, please visit http://www.justice.gov/usao/md/priorities_human.html.
Report suspected instances of human trafficking to HSI's tip line at 866-DHS-2ICE (1-866-347-2423) or by completing its online tip form. Both are staffed around the clock by investigators.
United States Attorney Robert K. Hur commended HSI for its work in the investigation. Mr. Hur thanked Assistant U.S. Attorney Zachary A. Myers, who is prosecuting the case.
# # #
Physician Facing Federal Indictment for Passport Fraud, Falsely Claiming U.S. Citizenship, and Illegal Voting by an AlienRead the Press Release
Baltimore, Maryland – A federal grand jury has indicted Michael Nana Baako, age 50, a native of Ghana residing in Fulton, Maryland, on the federal charges of passport fraud, falsely claiming U.S. citizenship, and illegal voting by an alien. Baako was a physician who practiced in hospitals in Maryland and maintained his own clinic, Biazo Healthcare. The indictment was returned on May 1, 2019, and was unsealed at his initial appearance today.
The indictment was announced by United States Attorney for the District of Maryland Robert K. Hur and Special Agent in Charge Edwin Guard of the U.S. Department of State’s Diplomatic Security Service (DSS) Washington Field Office.
According to the indictment, since at least 2001, Baako and R.A.A., also born in Ghana, have lived together in Howard County, Maryland and are the parents of two minor children. Baako and R.A.A. entered the United States legally after obtaining a visa in 1995. In 1996, Baako applied for certification of his Ghanian medical education in the United States through the Educational Commission for Foreign Graduates. In 1998, Baako married a U.S. citizen in Virginia, who filed a petition for Baako to become a naturalized United States citizen. On June 20, 2000, the petition was denied after immigration officials concluded that Baako’s marriage was a “sham” marriage entered into for the sole purpose of obtaining immigration benefits. In 2001, Baako was licensed to practice in Maryland as a physician.
The indictment alleges that on November 29, 2005, Baako registered to vote in Maryland, swearing that he was a United States citizen, and subsequently voted in 10 elections between November 7, 2006 and November 6, 2018.
Further, the indictment alleges that on April 17, 2007, and September 16, 2009, respectively, Baako and R.A.A. submitted passport applications on behalf of their minor children, in which Baako falsely claimed that he was a citizen of the United States, born in Hillsborough, North Carolina. On April 22, 2008, Baako allegedly submitted an application for a United States passport for himself in which he falsely claimed that he was born in North Carolina, as were both of his parents. As part of his passport application, Baako allegedly provided an affidavit purporting to be from a family friend, falsely stating that this person was one of the first people to see Baako after his birth and was present at a subsequent naming and baptism ceremony for Baako at a Hillsborough, North Carolina church. Baako was issued a U.S. passport on April 29, 2008, which he allegedly used for international travel on several occasions. That passport included the false information that Baako was a citizen of the United States born in North Carolina. According to the indictment, on July 31, 2012, Baako and R.A.A. submitted a passport renewal application on behalf of their first child, in which Baako falsely stated that he was a citizen of the United States. On February 20, 2018, Baako allegedly filed a passport renewal application for his own passport, again falsely stating that he was a U.S. citizen born in North Carolina. Baako was interviewed by Department of State officials on April 22, 2010, and on June 12, 2018. The indictment alleges that in both interviews Baako falsely stated that he was born in Hillsborough, North Carolina. The indictment alleges that in the 2018 interview Baako also falsely stated that he never applied for any immigration benefit with U.S. immigration authorities, nor submitted documents in an attempt to become a naturalized United States citizen.
If convicted, Baako faces a maximum sentence of 10 years in prison for each of four counts of passport fraud; a maximum of three years in prison for false claim to U.S. citizenship; and a maximum of one year in prison for each of three counts of illegal voting by an alien. At today’s initial appearance in U.S. District Court in Baltimore/ Greenbelt, U.S. Magistrate Judge Stephanie Gallagher ordered that Baako be detained pending a detention hearing scheduled for May 10, 2019, at 11:45 a.m.
An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.
United States Attorney Robert K. Hur commended the State Department’s DSS for its work in the investigation. Mr. Hur thanked Assistant U.S. Attorneys Zachary A. Myers and Daniel A. Loveland, who are prosecuting the case.
# # #
Peruvian Man Pleads Guilty to Operating Spanish-Speaking Call Center that Threatened and Extorted U.S. ConsumersRead the Press Release
A resident of Lima, Peru, pleaded guilty today to extortion for operating call centers that threatened Spanish-speaking victims in the United States, the Justice Department and U.S. Postal Inspection Service announced.
Omar Portocarrero Caceres, 39, was extradited from Peru in April and pleaded guilty in the U.S. District Court for the Southern District of Florida. The charges against Portocarrero allege that he owned and operated a call center in Peru that falsely told Spanish-speaking victims across the United States that they had incurred debts and would suffer various consequences for failure to pay off the debts that they did not, in fact, owe.
“The Department of Justice is committed to identifying and prosecuting criminals who target and extort consumers in the United States,” said Assistant Attorney General Jody Hunt of the Department of Justice’s Civil Division. “Those who threaten U.S. consumers by phone cannot escape justice by placing their calls from abroad. Working with our international partners, we will bring them to justice no matter where they reside. I thank the Republic of Peru for extraditing the defendants in this case to face justice in our courts.”
Portocarrero and his co-conspirators in Peru contacted U.S. consumers, many of whom were elderly and vulnerable, using Internet-based telephone calls. Claiming to be attorneys and government representatives, the callers falsely told victims that they had failed to pay for or receive a delivery of products. The callers also falsely threatened victims with lawsuits, negative marks on their credit reports, imprisonment, or immigration consequences if they did not immediately pay for the purportedly delivered products and “settlement fees.” Many victims made monetary payments based on these baseless threats.
“If an individual who claims to be an attorney or government representative calls and instructs you to pay money to: receive products you did not buy; avoid a lawsuit; avoid imprisonment; or avoid a change in immigration status, hang up and immediately report that threat to www.ftccomplaintassistant.gov,” said U.S. Attorney for the Southern District of Florida Ariana Fajardo Orshan. “I thank the Republic of Peru for extraditing the defendants in this case and the U.S. Postal Inspection Service for their unwavering commitment to investigate and pursue those who threaten U.S. consumers.”
“The U.S. Postal Inspection Service will not allow overseas criminal enterprises to illegally enrich themselves by using the U.S. Mail to defraud U.S. consumers,” said U.S. Postal Inspector in Charge Antonio J. Gomez. “With the continued cooperation of law enforcement colleagues in countries like Peru, these criminals will be aggressively pursued and brought to justice.”
Portocarrero is the second defendant to plead guilty in connection with the scheme. Three of his co-defendants have been detained pending trial before U.S. District Court Judge Roy K. Altman in Fort Lauderdale. Judge Altman has scheduled their trial to begin on June 10, 2019.
Trial Attorney Phil Toomajian of the Department of Justice’s Consumer Protection Branch is prosecuting the case. The Postal Inspection Service investigated the case. The Criminal Division’s Office of International Affairs, the U.S. Attorney’s Office of the Southern District of Florida, the Diplomatic Security Service, and the Peruvian National Police provided critical assistance.
Ohioans turned in 50,000 pounds of prescription medication as part of DEA National Prescription Drug Take Back DayRead the Press Release
With enthusiastic participation nationwide, DEA and its law enforcement partners have now collected nearly 12 million pounds of unused or expired prescription medications over the course of 17 successful DEA National Prescription Drug Take Back events. During the 17th semiannual event on April 27, the Take Back initiative saw new records for the numbers of law enforcement partners, collection sites. Together with these local, state, tribal and federal partners – more than 5,000 total – at nearly 6,400 collection sites, DEA collected and destroyed close to 469 tons of potentially dangerous unwanted drugs.
This brings the total amount of drugs collected by DEA since the fall of 2010 to 11,816,393 pounds, or 5,908 tons.
The Detroit Field Division, servicing Michigan and Ohio collected a total of 75,514 pounds of unused, unwanted or expired prescription drugs. The state of Michigan collected 23,692 pounds and the state of Ohio 50,821 pounds.
“We know of many cases where leftover pain pills have led to an opioid addiction,” U.S. Attorney for the Northern District of Ohio Justin Herdman said. “Properly disposing of these pills is one important step anyone can take to get involved in turning the tide on the opioid epidemic that has caused so much pain here in Ohio.”
National Prescription Drug Take Back Day events have been extremely successful not only in getting unused drugs out of the house, but also in raising awareness of their link to addiction and overdose deaths. The public has embraced the opportunity these events provide to remove medicines languishing in the home that are highly susceptible to misuse, abuse and theft. Public demand for safe and secure drug disposal has also resulted in a significant increase in year-round drug drop boxes at law enforcement facilities, pharmacies, and elsewhere, making drug disposal even more convenient.
Complete results for DEA’s spring Take Back Day are available at www.DEATakeBack.com. Video of DEA’s Take Back Day collections being weighed and destroyed is available at https://youtu.be/5y_LCuJvWRs.
DEA’s next National Prescription Drug Take Back Day is October 26, 2019.
Oakland Resident Indicted on Five Bank Robberies Across the Bay AreaRead the Press Release
SAN FRANCISCO – A federal grand jury indicted Duane Kurt Makela on charges he committed five bank robberies in the San Francisco Bay Area, announced Adam A. Reeves, Attorney for the United States acting under authority conferred by 28 U.S.C. § 515, and Federal Bureau of Investigation Special Agent in Charge John F. Bennett.
According to the indictment filed yesterday and unsealed this morning, between October 19, 2018, and February 4, 2019, Makela, 49, of Oakland, used force, violence, and intimidation, to rob a credit union and four banks. The robberies, four of them armed, occurred on the following dates and locations:
- October 19, 2018 – Meriwest Credit Union in Mountain View, Calif.
- October 22, 2018 – Chase Bank in South San Francisco, Calif.
- November 5, 2018 – U.S. Bank in Alameda, Calif.
- December 23, 2018 – U.S. Bank in Castro Valley, Calif.
- February 4, 2019 – Wells Fargo Bank in Palo Alto, Calif.
Makela allegedly stole a total of $33,301.00 from the credit union and banks. With regard to the first four incidents, Makela was charged with armed bank robbery, in violation of 18 U.S.C. § 2113(a) and (d). For the last incident, Makela was charged with bank robbery, in violation of 18 U.S.C. § 2113(a).
An indictment merely alleges that crimes have been committed and Makela, like all defendants, is presumed innocent until proven guilty beyond a reasonable doubt. The defendant faces a maximum statutory penalty of 25 years in prison for each of the four armed bank robbery charges and 20 years in prison for the remaining bank robbery charge. Additional fines, forfeitures, restitution, and special assessments may also be imposed. However, any sentence will be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Makela appeared before U.S. Magistrate Sallie Kim today for his initial appearance and arraignment. Magistrate Judge Kim ordered Makela to be held in federal custody pending the outcome of the case. Makela’s next appearance is scheduled for May 23, 2019, at 1:30 p.m., before the Honorable William H. Orrick, U.S. District Judge.
Assistant U.S. Attorney Nicholas Walsh is prosecuting the case with the assistance of Margoth Turcios. The prosecution is the result of investigations by the FBI with assistance from the police departments of Mountain View, South San Francisco, Alameda, and Palo Alto, as well as the Alameda County Sheriff’s Office.
Nigerian Man Pleads Guilty to Role in $8.3 Million Medicare Fraud Scheme and Related Money LaunderingRead the Press Release
A Nigerian man pleaded guilty today for his role in a durable medical equipment (DME) scheme that fraudulently billed more than $8 million dollars to Medicare for DME that was not medically necessary.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney Nicola T. Hanna of the Central District of California, Special Agent in Charge Christian J. Schrank of the U.S. Department of Health and Human Services Office of the Inspector General’s (HHS-OIG) Los Angeles Region, Assistant Director in Charge Paul D. Delacourt of the FBI’s Los Angeles Division and Acting Special Agent in Charge Ryan L. Korner of the IRS Criminal Investigations (IRS-CI) Los Angeles Field Office made the announcement.
Ayodeji Temitayo Fatunmbi, 47, pleaded guilty to one count of conspiracy to commit health care fraud and one count of conspiracy to commit money laundering before U.S. District Judge Christina A. Snyder of the Central District of California. Fatunmbi was extradited from Nigeria to the Central District of California in October of 2018 on charges contained in a May 2013 indictment. Sentencing has been scheduled for Aug. 19, 2019 before Judge Snyder.
As part of his guilty plea, Fatunmbi admitted that he and others paid cash kickbacks to patient recruiters and physicians for fraudulent prescriptions for DME such as power wheelchairs, which the Medicare beneficiaries did not need. Fatunmbi and co-conspirators caused Lutemi Medical Supply (Lutemi), a DME supply company that he co-ran, to submit approximately $8.3 million in claims to Medicare, which resulted in the company being paid over $3.5 million. Fatunmbi further admitted that he was responsible for $2,090,434 in false and fraudulent claims for medically unnecessary DME and that as a result of his conduct, Medicare paid Lutemi a total of $1,076,893. In furtherance of this scheme, Fatunmbi and a co-conspirator wrote checks from Lutemi’s bank account to Lutemi employees and others, and Fatunmbi instructed that those monies be returned to him to pay the illegal cash kickbacks to the patient recruiters and doctors, he admitted. Fatummbi admittedly directed others at Lutemi to engage in these tranactions to conceal the nature and source of the proceeds of the health care fraud conspiracy. As part of his plea agreement, Fatunmbi agreed to pay restitution to Medicare in the amount of $1,076,893.
Fatunmbi was charged along with Olufunke Ibiyemi Fadojutimi, 47, of Carson, California, and Maritza Elizabeth Velasquez, 44, of Las Vegas, Nevada. Velasquez pleaded guilty on July 24, 2013, to one count of conspiracy to commit health care fraud, and was sentenced to 15 months in prison and restitution in the amount of $3,411,428. Fadojutimi was found guilty after a jury trial on July 31, 2014, of one count of conspiracy to commit health care fraud, seven counts of health care fraud and one count of money laundering, and sentenced to four years in prison and restitution in the amount of $4,372,466. In her sentencing, Fadojutimi was held responsible for the full amount of over $8 million in intended losses caused by the fraud at Lutemi.
This case was investigated by the the FBI, the IRS and the Los Angeles Region of HHS-OIG. Trial Attorneys Claire Yan, Emily Culbertson and Justin Givens of the Criminal Division’s Fraud Section are prosecuting the case.
The Fraud Section leads the Medicare Fraud Strike Force. Since its inception in March 2007, the Medicare Fraud Strike Force, now operating in nine cities across the country, has charged nearly 2,300 defendants who have collectively billed the Medicare program for more than $7 billion. In addition, the HHS Centers for Medicare & Medicaid Services, working in conjunction with the HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.
New York Diagnostic Testing Facility Owners Plead Guilty in Multi-Million Dollar Health Care Fraud SchemeRead the Press Release
Earlier today, at the federal courthouse in Brooklyn, Tea Kaganovich and Ramazi Mitaishvili, the co-owners of diagnostic testing facilities in Brooklyn, each pleaded guilty to one count of health care fraud and one count of conspiracy to defraud the lawful functions of the Internal Revenue Service (IRS). The pleas took place before United States Magistrate Judge Steven M. Gold.
Richard P. Donoghue, United States Attorney for the Eastern District of New York, Brian A. Benczkowski, Assistant Attorney General of the Justice Department’s Criminal Division, William F. Sweeney, Jr., Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), Scott J. Lampert, Special Agent-in-Charge, U.S. Department of Health and Human Services, Office of Inspector General, New York Region (HHS-OIG), and Jonathan D. Larsen, Acting Special Agent-in-Charge, IRS Criminal Investigation (IRS-CI), announced the guilty pleas.
Kaganovich and Mitaishvili, a married couple, were the co-owners of several diagnostic testing facilities, including Sophisticated Imaging Inc., East Coast Diagnostics Inc., East Shore Diagnostics Inc., East West Management Inc. and RM Global Health Inc. As part of their guilty pleas, Kaganovich and Mitaishvili admitted that they submitted fraudulent health care claims for diagnostic testing services. The defendants admitted that they paid approximately $18.5 million in kickbacks for the referral of beneficiaries who submitted themselves to diagnostic testing and other purported medical services. Kaganovich and Mitaishvili falsely reported to the IRS that the illegal kickback payments were legitimate business expenses, which caused relevant tax forms to falsely under-report business income and claim deductions.
The FBI, HHS-OIG and IRS-CI investigated the case, which was brought as part of the Medicare Fraud Strike Force, under the supervision by the Criminal Division’s Fraud Section and the U.S. Attorney’s Office for the Eastern District of New York. Trial Attorneys Debra Jaroslawicz and Sarah Wilson Rocha of the Fraud Section are prosecuting the case. Assistant United States Attorney Tanisha Payne of the Eastern District of New York’s Civil Division is handling the forfeiture matters.
The Medicare Fraud Strike Force is part of a joint initiative between the Department of Justice and HHS to focus their efforts to prevent and deter fraud and enforce current anti-fraud laws around the country. Since its inception in March 2007, the Medicare Fraud Strike Force, which maintains 14 strike forces operating in 23 districts, has charged nearly 4,000 defendants who have collectively billed the Medicare program for more than $14 billion.
The Defendants:
TEA KAGANOVICH
Age: 47
Brooklyn, New York
RAMAZI MITAISHVILI
Age: 58
Brooklyn, New YorkE.D.N.Y. Docket No. 17-CR-649 (MKB)
New York Diagnostic Testing Facility Owners Plead Guilty in More than $18.5 Million Health Care Fraud SchemeRead the Press Release
Two New York diagnostic testing facility owners pleaded guilty today for their roles in a more than $18.5 million health care fraud scheme.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney Richard P. Donoghue of the Eastern District of New York, Assistant Director in Charge William F. Sweeney Jr. of the FBI’s New York Field Office, Special Agent in Charge Scott J. Lampert of the U.S. Department of Health and Human Services Office of Inspector General’s (HHS-OIG) New York Region and Acting Special Agent in Charge Jonathan Larsen of IRS Criminal Investigation (IRS-CI) New York made the announcement.
Tea Kaganovich, 47, and Ramazi Mitaishvili, 58, a married couple, both of Brooklyn, New York, each pleaded guilty to one count of health care fraud and one count of conspiracy to defraud the lawful functions of the IRS before U.S. Magistrate Judge Steven M. Gold of the Eastern District of New York. Sentencing has been scheduled for July, 18, 2019, before U.S. District Judge Margo K. Brodie of the Eastern District of New York.
The defendants were the co-owners of several diagnostic testing facilities in Brooklyn, including Sophisticated Imaging Inc., East Coast Diagnostics Inc., East Shore Diagnostics Inc., East West Management Inc. and RM Global Health Inc. As part of their guilty pleas, Kaganovich and Mitaishvili admitted that they executed a scheme in which they submitted fraudulent health care claims for diagnostic testing services. The defendants admitted that they paid approximately $18.5 million in kickbacks for the referral of beneficiaries who submitted themselves to diagnostic testing and other purported medical services. Kaganovich and Mitaishvili falsely reported to the IRS that the illegal kickback payments were legitimate business expenses, which caused relevant tax forms to falsely under-report business income and claim deductions, they further admitted.
The FBI, HHS-OIG and IRS-CI investigated the case, which was brought as part of the Medicare Fraud Strike Force, under the supervision by the Criminal Division’s Fraud Section and the U.S. Attorney’s Office for the Eastern District of New York. Trial Attorneys Debra Jaroslawicz and Sarah Wilson Rocha of the Fraud Section are prosecuting the case. Assistant U.S. Attorney Tanisha Payne is handling the forfeiture in the case.
The Medicare Fraud Strike Force is part of a joint initiative between the Department of Justice and HHS-OIG to focus their efforts to prevent and deter fraud and enforce current anti-fraud laws around the country. Since its inception in March 2007, the Medicare Fraud Strike Force, which maintains 14 strike forces operating in 23 districts, has charged nearly 4,000 defendants who have collectively billed the Medicare program for more than $14 billion.
Nevada Cardiologist Sentenced to Three Years in Prison for Unlawful Distribution of OpioidsRead the Press Release
RENO, Nev. – Dr. Devendra I. Patel, aka Devendrakumar I. Patel, a northern Nevada cardiologist was sentenced Tuesday to three years and one month in federal prison for prescribing highly addictive pain pills Oxycodone and Hydrocodone at a high rate to his patients without a medical purpose.
United States Attorney Nicholas A. Trutanich for the District of Nevada, Special Agent in Charge Aaron C. Rouse of the FBI’s Las Vegas Division, Resident Agent in Charge Marc C. Kuzmicki of the DEA’s Reno Office, and Special Agent in Charge Christian J. Schrank of the Office of Inspector General, for the U.S. Department of Health and Human Services Office Los Angeles Region made the announcement.
“Medical professionals who violate their oath and the law by prescribing addictive opioids without a legitimate medical purpose will be investigated, prosecuted, and held accountable for their actions,” said U.S. Attorney Trutanich. “The U.S. Attorney’s Office is fully committed to the investigation and prosecution of medical professionals who abuse their position of trust and by a stroke of the pen directly contribute to the opioid crisis.”
“Let those who would betray their oath to do no harm take notice of the penalty for such callous mistreatment of their patients,” said Special Agent in Charge Rouse. “The FBI will continue to work with our law enforcement partners in a unified effort to battle the opioid crisis in the state of Nevada.”
“This case is a direct result of the hard work of the investigators and prosecutors from the DOJ and their partners in Reno, Nevada,” said Resident Agent in Charge Kuzmicki. “This should serve as a warning to practitioners in Northern Nevada who are helping fuel the opioid epidemic. While the vast majority of medical professionals are following the appropriate guidelines and prescribing well within the law, we will find those who are harming members of our community and bring them to justice.”
“It is difficult to believe that a physician, sworn to do no harm by his Hippocratic oath, would needlessly prescribe these highly addictive opioid medications,” said Special Agent in Charge Schrank. “Yet our investigation revealed that Dr. Patel did exactly that. Physicians using prescribing privileges to fatten their profits rather than easing the pain of patients should expect aggressive investigation and prosecution.”
Patel, 60, of Elko, pleaded guilty in November 2018, to distribution of controlled substances, and was indicted by a grand jury in December 2017. His DEA license was suspended upon his arrest in December 2017. He owned and operated Northeastern Nevada Cardiology. In addition to the prison term, U.S. District Judge Larry R. Hicks sentenced Patel to three years of supervised release and ordered him to pay a $500,000 fine. Patel was ordered to self-surrender to begin serving his sentence on August 6, 2019.
Between September 2015 and February 2016, he prescribed Oxycodone and Hydrocodone to patients without a legitimate medical purpose and outside the usual course of professional practice. His prescribing practices allowed him to see a high volume of patients and easily prescribe opioids, while not addressing any legitimate medical concerns of his patients.
The case was investigated by the FBI, DEA, Office of Inspector General of the U.S. Department of Health and Human Services, U.S. Secret Service, the Elko Combined Narcotics Unit, Elko Police Department, Elko County Sheriff’s Office, and the Nevada Department of Public Safety. Assistant U.S. Attorney Sue Fahami prosecuted the case.
More than 42,000 people died from a prescription opioid overdose in 2016, and over 1,000 people are treated in the emergency room daily for improper use of prescription opioids, according to the Center for Disease Control. In 2016, there were 408 opioid-related deaths in Nevada, according to the Nevada Department of Health and Human Services.
The Opioid Fraud and Abuse Detection unit is a program that utilizes data to help combat the devastating opioid crisis. In 2017, the District of Nevada was selected as one of 12 districts nationally to participate in the program. The District of Nevada has assigned an experienced prosecutor that focuses solely on investigating and prosecuting health care fraud related to medical professionals who prescribe opioids, that unlawfully divert of dispense prescription opioids for illegitimate purposes.
For information about the harmful effects of illicit drug use, visit www.JustThinkTwice.com for teens and www.GetSmartAboutDrugs.com for parents, educators, and caregivers. To report suspected opioid-related crimes, the public is encouraged to contact the FBI at tips.fbi.gov or the DEA at www.deadiversion.usdoj.gov/tips_online.htm.
###
Montana Man Charged in Connection with $43 Million Fraud SchemeRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, and William F. Sweeney Jr., Assistant Director-in-Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), announced the unsealing today of an Indictment charging TODD CAPSER with defrauding one financial institution of $43 million, and attempting to defraud at least nine other financial institutions of between $46 million and $52 million each. CAPSER was arrested earlier today in Billings, Montana, and will be presented before Magistrate Judge Timothy J. Cavan of the District of Montana later this afternoon. The case is assigned to U.S. District Judge J. Paul Oetken of the Southern District of New York.
U.S. Attorney Geoffrey S. Berman said: “Todd Capser, as alleged, managed to mislead a Canadian financial institution into lending him more than $43 million, and tried to mislead other financial institutions into lending him tens of millions of dollars more, by creating mountains of false evidence of his solvency to represent himself as a legitimate business owner. Capser is now in custody and faces significant time in prison for his alleged crimes.”
FBI Assistant Director William F. Sweeney Jr. said: “Despite the fact that this was a $43 million fraud scheme, the alleged illegal conduct was fairly simple. Omitting key information and falsifying loan documents are violations of federal law. To make matters worse, Capser went so far as to claim his daughter was terminally ill in an effort to explain behavior that would have otherwise attracted negative attention. Capser took a significant risk by conducting himself in this way. Unfortunately for him, he miscalculated the reward.”
As alleged in the Indictment unsealed today:[1]
From January 2016 through April 2019, CAPSER and CAPSER’s father (“CC-1”) perpetrated a scheme to defraud a financial institution based in Toronto, Canada (“Financial Institution-1”), by inducing it, through false and misleading representations and omissions, to loan approximately $43.3 million to an entity incorporated by CAPSER (“Capser Entity-1”), for the purchase of two chemical and oil tankers (the “Tankers”).
After obtaining the loan from Financial Institution-1 and purchasing the Tankers, CAPSER and CC-1 attempted to induce at least nine other Financial Institutions to loan between $46 million and $52 million each to refinance the original loan.
CAPSER and CC-1 fraudulently induced Financial Institution-1 to make the $43 million loan, and attempted to induce the other Financial Institutions to make the $46 million to $52 million refinancing loans, through, among other things: (a) fraudulently obtaining documents from a company that provides wealth‑management services to private clients (“Trust Company‑1”); (b) altering the Trust Company-1 documents, and forging additional Trust Company-1 documents, to make it appear as though CC-1 held an investment portfolio at Trust Company-1 composed of securities worth tens of millions of dollars, which could serve as collateral for the loans; (c) sending the altered and forged Trust Company-1 documents to certain of the Financial Institutions; (d) creating fake email accounts for employees of Trust Company-1, and sending emails from those accounts to certain of the Financial Institutions to make it appear as though CC-1 held an investment portfolio at Trust Company-1 composed of securities worth tens of millions of dollars; and (e) making false and misleading representations and omissions about the financial assets of CAPSER, CC-1, and their family to certain of the Financial Institutions, including falsely claiming to own a cattle company and ranch.
In addition, in an effort to engender sympathy, deflect questions, and explain suspicious behavior, CAPSER falsely represented to certain of the Financial Institutions that his daughter was terminally ill with cancer.
* * *
CAPSER, 47, of Billings, Montana, has been charged with one count of conspiracy to commit wire fraud and one count of wire fraud, each of which carries a maximum sentence of 20 years in prison. CAPSER has also been charged with one count of aggravated identity theft, which carries a mandatory sentence of two years in prison. The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by a judge.
The charges in the Indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Mr. Berman praised the outstanding investigative work of the FBI. He also thanked the FBI’s Billings Resident Agency for their assistance with the investigation.
The prosecution of this case is being handled by the Office’s General Crimes Unit. Assistant United States Attorney Benjamin Woodside Schrier is in charge of the prosecution.
[1] As the introductory phrase signifies, the entirety of the text of the Indictment and the description of the Indictment set forth below constitute only allegations, and every fact described should be treated as an allegation.
Michigan Man Sentenced for Unlawfully Importing and Distributing Misbranded DrugsRead the Press Release
Matthew Dailey, 36, of Royal Oak, Michigan, was sentenced today to two years in prison for illegally importing kratom—a powerful psychoactive substance—and selling it unlawfully through unapproved claims that it could treat serious diseases and medical conditions, including opiate withdrawal symptoms, the Department of Justice announced.
Dailey pleaded guilty on Jan. 8 in the Eastern District of Michigan to one count of introducing misbranded drugs into interstate commerce and one count of importing merchandise contrary to law. As part of his plea, Dailey agreed to forfeit $1,000,000 in illegal proceeds. Today, Judge Judith E. Levy of the Eastern District of Michigan sentenced Dailey to serve two years in prison, followed by three years supervised release.
Dailey was the owner and operator of Nomad Botanicals, an online business that sold kratom, which is made from the leaves of a tree indigenous to Southeast Asia, to consumers throughout the United States. In pleading guilty, Dailey admitted that he sold kratom with the intention that it be used as a drug to treat a variety of diseases, including chronic pain, Lyme disease, rheumatoid arthritis, and fibromyalgia. Dailey also widely distributed kratom as an opiate withdrawal drug, and as a substitute for drugs of abuse and prescription pills. Dailey further admitted that to circumvent the United States Food and Drug Administration’s (FDA) regulation of drugs under the federal Food, Drug, and Cosmetic Act (FDCA), Dailey knowingly and fraudulently portrayed his kratom products to the FDA as “incense,” “paint pigment,” and other substances not intended for human consumption. By deceiving the FDA in this manner, Dailey was able to import several tons of kratom into the United States.
“We will not tolerate the importation or misbranding of drugs and other products without proper regulatory approvals,” said Assistant Attorney General Jody Hunt of the Department of Justice’s Civil Division. “The Department of Justice will continue to work with the FDA to ensure that drug distributors do not put consumers at risk by circumventing their obligations under the Food, Drug, and Cosmetic Act.”
As part of his plea agreement, Dailey further admitted that he repackaged and labeled the illegally imported kratom in his residence, which he did not register as a facility that manufactured, prepared, and processed drugs, as required under the FDCA. Dailey then sold and shipped kratom products to consumers throughout the United States for use as a drug without providing any directions for use, such as indications, dosage instructions, methods of administration, or contraindications.
This case was prosecuted by Trial Attorneys Clint Narver and Jocelyn Hines of the Department of Justice’s Consumer Protection Branch. The prosecution was assisted by Assistant U.S. Attorney Adriana Dydell of the United States Attorney’s Office for the Eastern District of Michigan. The case was investigated by the FDA’s Office of Criminal Investigations.
For more information about the Consumer Protection Branch, visit its website at http://www.justice.gov/civil/consumer-protection-branch.
Men from Mansfield and Perry indicted on child pornography chargesRead the Press Release
Men from Mansfield and Perry were indicted in federal court on child pornography charges.
Indicted are: Christopher Coffer, 41, of Mansfield, and Anthony V. Coladangelo, 50, of Perry. Their cases are not otherwise related.
Coffer was charged with knowingly transporting, shipping, receiving, distributing, reproducing for distribution, possession of visual depictions of minors engaging in sexually explicit conduct.
Coffer knowingly received and distributed numerous computer files which contained visual depictions of real minors engaged in sexually explicit conduct. This took place between May 15, 2016 through February 22, 2018, according to the indictment.
The indictment also charges that on or about April 4, 2018, Coffer possessed a computer which contained child pornography.
Coladangelo was charged with receipt and distribution of visual depictions of real minors engaged in sexually explicit conduct and possession of child pornography.
Coladangelo knowingly received and distributed numerous computer files which contained visual depictions of real minors engaged in sexually explicit conduct. This took place between January 7, 2019 through February 24, 2019, according to the indictment.
The indictment also charges that on or about April 16, 2019, Coladangelo knowingly possessed a computer that contained an image of child pornography, and at least one image involved in the offense involved a prepubescent minor or a minor who had not attained 12 years of age.
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant's role in the offense and the characteristics of the violation. In all cases the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
The cases were investigated by the Federal Bureau of Investigation and the Lake County Sheriff’s Office (Coladangelo).
The cases are being prosecuted by Assistant U.S Attorneys Danielle K. Angeli, Brian Deckert and Michael A. Sullivan.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Man Who Cashed More Than $60,000 in Stolen Postal Money Orders Sentenced to 30 Months in Federal PrisonRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that James Lebel, 40, formerly of Brooklyn, Connecticut, was sentenced today by U.S. District Judge Kari A. Dooley in Bridgeport to 30 months of imprisonment, followed by three years of supervised release, for cashing more than $60,000 in stolen postal money orders.
According to court documents and statements made in court, Lebel was married to Michelle Barbeau, who was employed by the U.S. Postal Service at the Wauregan Post Office in Plainfield. Between April and September 2017, Lebel and Barbeau conspired to take 179 blank U.S. Postal money orders from the Wauregan Post Office and imprint them in various denominations. Lebel then cashed more than $60,355 in fraudulently imprinted postal money orders at a post office in Hartford.
Lebel’s criminal history includes convictions for harassment, larceny, sexual assault, burglary and narcotics offenses.
Lebel has been detained since his arrest on September 19, 2018. On January 15, 2019, he pleaded guilty to one count conspiracy to commit wire fraud.
Barbeau pleaded guilty to the same charge on January 16, 2019. On April 10, she was sentenced to three years of probation and eight months of home confinement.
Lebel and Barbeau were ordered to pay full restitution.
This matter was investigated by the U.S. Postal Service, Office of the Inspector General. The case was prosecuted by Assistant U.S. Attorney Ray Miller.
Media Advisory: Justice Department Officials to Announce Significant Cybercrime Enforcement ActionRead the Press Release
PITTSBURGH – Federal authorities will hold a news conference on May 8 at 2 p.m. ET in Pittsburgh to discuss a significant cybercrime enforcement action. This investigation was led by the United States Attorney’s Office in Western Pennsylvania and the Federal Bureau of Investigation – Pittsburgh Field Office, and also included the Criminal Division of the U.S. Department of Justice.
WHO:
U.S. Attorney Scott W. Brady, Western District of Pennsylvania
Deputy Assistant Attorney General Richard W. Downing, Justice Department’s Criminal Division
Special Agent in Charge Robert Allan Jones, FBI Pittsburgh Field Office
Eugenio Ricas, Brazilian Federal Police Attaché
Gabriel Bitton, Israel National Police Attaché for North America
WHEN:
WEDNESDAY, MAY 8, 2019
2 p.m. ET
WHERE:
U.S. Attorney’s Office
Joseph F. Weis Jr. United States Courthouse
700 Grant Street – Suite 4000
Pittsburgh, Pennsylvania 15219
LIVESTREAM ON:
KDKA.COM
Ludlow Man Sentenced to 12 Months and a Day for the Illegal Purchase of FirearmsRead the Press Release
Bangor, Maine: United States Attorney Halsey B. Frank announced that Richard R. Hemingway, 34, of Ludlow, Maine, was sentenced today in U.S. District Court by Judge Lance E. Walker to 12 months and a day in prison and two years of supervised release for providing false information during the purchase of two firearms. Hemingway pleaded guilty on August 21, 2018.
According to court records, on October 4, 2017, Hemingway purchased a Windham Weaponry ‘WW-15’ .300BLK caliber AR-15 style rifle and a Sig Sauer ‘MCX’ .300BLK caliber AR-15 style rifle from a federally licensed firearms dealer. In doing so, he completed a Firearms Transaction Record form in which he falsely reported that he was the actual purchaser of the firearms. In fact, Hemingway was buying the firearms for David Allen Polchies. On the same day the firearms were purchased, officers with the Canada Border Services Agency (CBSA) arrested Polchies and Sharon Weeks as they attempted to smuggle the rifles, several high-capacity drum magazines, and 350 rounds of ammunition into Canada. Polchies and Weeks were prosecuted in Canada.
The case was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations and the Bureau of Alcohol, Tobacco, Firearms and Explosives with assistance from the CBSA. The case was prosecuted as part of Project Safe Neighborhoods (PSN). PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proved to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Lockport Man Indicted for Threatening to Kill the President, A Judge, His Wife, and A Secret Service AgentRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that a federal grand jury has returned a five-count indictment charging Jared Marc Brown, 23 of Lockport, NY, with one count of making a threat against the president, two counts of retaliating against a United States judge, one count of retaliating against a federal law enforcement officer, and one count of mailing a threatening communication. The charges carry a maximum penalty of 10 years in prison.
Assistant U.S. Attorney Meghan A. Tokash, who is handling the case, stated that according to the indictment, on March 25, 2019, the defendant made a threat to take the life of, and to inflict bodily harm upon, the President of the United States. Specifically, the defendant sent a letter to a United States Secret Service Special Agent stating, “I’m [ ] gonna kill Donald Trump with Anthrax when I get out.”
In addition, also on March 25, 2019, Brown threatened to assault and murder United States District Judge Lawrence J. Vilardo, his spouse, and a United States Secret Service Special Agent. The defendant intended to retaliate against Judge Vilardo and the Secret Service Special Agent on account of the performance of their official duties.
The indictment is the result of an investigation by the United States Secret Service, under the direction Special Agent-in-Charge Lewis Robinson.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
# # # #
Local Woman Charged with Filing False Tax ReturnRead the Press Release
HOUSTON – A local woman has been arrested following the return of a federal indictment alleging she filed a false tax return, announced U.S. Attorney Ryan K. Patrick and Acting Special Agent in Charge Sarah Kull of IRS – Criminal Investigation (CI).
A federal grand jury returned the indictment against Vanessa Ben April 25, 2019. She was taken into custody today and expected to make her initial appearance today before U.S. Magistrate Judge Christina A. Bryan.
The indictment alleges that from 2012 through 2015, Ben willfully filed U.S. Individual Income Tax returns she did not believe to be true and correct. She allegedly filed these returns knowing she was not entitled to claim several items on her returns.
If convicted, she faces up to three years in federal prison and a possible $100,000 maximum fine.
IRS-CI conducted the investigation. Assistant U.S. Attorney Rodolfo Ramirez is prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law.Lincoln Man Sentenced for Possession with Intent to Distribute MethamphetamineRead the Press Release
United States Attorney Joe Kelly announced that Aaron C. Collins, 37, of Lincoln, was sentenced today to four years, (48 months), in federal prison by Chief United States District John M. Gerrard on each of two counts of possession with intent to distribute five grams or more of methamphetamine actual (pure). The two sentences will run concurrently (at the same time). Following the prison term, Collins will serve five years on supervised release.
On November 10, 2016, Collins was stopped for traffic violations and was found in possession of four baggies containing a total of at least 75 grams (2 ⅔ ounces) of actual (pure) methamphetamine, more than $2,000 in cash, suspected drug records and brass knuckles with folding knives on each end. On January 27, 2017, Collins was arrested for driving on a suspended license. He was found in possession of four plastic bags containing a total of at least 18 grams of actual (pure) methamphetamine, two digital scales, plastic baggies and a loaded handgun. Collins admitted he had just purchased the methamphetamine but denied ownership of the gun, saying someone else left it in his car.
This case was investigated by the Lincoln/Lancaster County Drug Task Force.
Lackawanna Man Going to Prison for Selling Crack Cocaine Near A Public Housing FacilityRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Rodney Alls, a/k/a Session, 49, of Buffalo, NY, who was convicted of distribution of crack cocaine, was sentenced to serve 25 months in prison by U.S. District Judge Richard J. Arcara.
Assistant U.S. Attorney Emmanuel O. Ulubiyo, who handled the case, stated that in May 2017, the Federal Bureau of Investigation and Lackawanna Police Department investigated the defendant for suspected distribution of crack cocaine in and around the City of Lackawanna.
On 10 occasions between May 10, 2017, and July 11, 2017, Alls sold crack cocaine to an individual working with the FBI. Each of the sales occurred at or within 1,000 feet of the Baker Homes Housing Project, a public housing facility owned by the Lackawanna Municipal Housing Authority.
The sentencing is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Gary Loeffert, and the Lackawanna Police Department, under the direction of Chief James Michel.
# # # #
Kentwood Man Pleads Guilty to Possession of Child PornographyRead the Press Release
NEW ORLEANS, LOUISIANA – RANDOLPH ARD (“ARD”), age 62, of Kentwood, Louisiana, entered a plea of guilty May 3, 2018 to Possession of Child Pornography, in violation of Title 18, United States Code, Section 2252(a)(4)(B).
According to documents filed in federal court, on November 22, 2017, law enforcement officers with the Louisiana Bureau of Investigation arrested ARD at his Kentwood home after finding that ARD was in possession of several items, including a laptop computer and thumb drive that contained images depicting the sexual victimization of prepubescent children. Court records also revealed that ARD was previously convicted in Tangipahoa Parish Criminal District Court for pornography involving juveniles and indecent behavior with juveniles on March 6, 2013. ARD was on state parole supervision at the time of his arrest.
ARD faces a mandatory minimum penalty of ten (10) years imprisonment up to twenty (20) years, followed by up to a life term of supervised release, and a $250,000.00 fine.
ARD will be sentenced by U.S. District Judge Eldon E. Fallon on August 8, 2019.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab “resources.”
U.S. Attorney Strasser praised the work of the U. S. Department of Homeland Security, Homeland Security Investigations, the Louisiana Bureau of Investigation, and Louisiana Probation and Parole in investigating this matter. The prosecution of this case is being handled by Project Safe Childhood Coordinator and Financial Crimes Unit Supervisor, Assistant U. S. Attorney Brian M. Klebba.
* * *