Latest Records
Newest first across public DOJ and U.S. Attorney press releases.
Tuesday 7 May 2019
Chickasha Bank Robber ArrestedRead the Press Release
OKLAHOMA CITY – DWAYNE EDWARD RASMUSSEN, 65, has been charged with robbing the Community Bank of Oklahoma in Chickasha, announced First Assistant U.S. Attorney Robert J. Troester.
According to an affidavit in support of a criminal complaint, a man entered the Chickasha branch of Community Bank of Oklahoma at approximately 9:15 a.m. on April 30, 2019, and told a bank employee: "Give me all your 50’s and 100’s." After the employee complied, he allegedly said: "That’s not enough. Give me all your money." He is alleged to have taken virtually all the money from the three tellers’ drawers, for a total reported loss of $10,474. The affidavit states that while he did this, he brandished what appeared to be a pistol with a green grip. When he entered the bank, the affidavit explains, he placed a large sponge at the base of the inside door of the "mantrap" at the bank’s entrance so the door would not close.
Based on video surveillance from the bank and a church across the street, eyewitness accounts, and interviews of his acquaintances, FBI agents determined Rasmussen was the primary suspect. He was arrested on May 6 in downtown Oklahoma City.
Rasmussen made his initial appearance during the afternoon of May 6 before U.S. Magistrate Judge Gary M. Purcell. A preliminary and detention hearing will take place before Judge Purcell on May 9.
If found guilty of bank robbery, Rasmussen faces a maximum potential penalty of twenty years in prison, three years of supervised release, a fine of $250,000, and mandatory restitution.
This case is a result of an investigation by the FBI Oklahoma City Division and the Chickasha Police Department. Assistant U.S. Attorneys Wilson McGarry and Mary E. Walters are prosecuting the case.
The public is reminded that this charge is merely an allegation and that Rasmussen is presumed innocent unless and until proven guilty beyond a reasonable doubt. Reference is made to public filings for more information.
Chester County Sheriff, Lieutenant, and Chief Deputy Indicted on Federal ChargesRead the Press Release
Columbia, South Carolina --- United States Attorney Sherri A. Lydon announced today that Chester County Sheriff George Alexander “Big A” Underwood, 55, of Chester; Chester County Sheriff’s Office Lieutenant Johnny Ricardo Neal, Jr., 39, of Lancaster; and Chester County Sheriff’s Office Chief Deputy Robert Andrew Sprouse, 44, of Chester, were indicted in federal court on an eight-count indictment related to a conspiracy to cover up an unlawful arrest and an excessive use of force.
“Today, we announce the worst kind of charges: Allegations of wrongdoing on the part of law enforcement,” said U.S. Attorney Lydon. “Those who swear to protect and uphold the law, while at the same time using their positions of power to hide their own violations of the law, will be held accountable. The American system of government depends on those in power obeying the rules and ensuring that all individuals are treated fairly and equally.”
Count One of the Indictment alleges that on November 20, 2018, law enforcement personnel from Chester County Sheriff’s Office, including Underwood, Neal, and Sprouse, responded to a car accident and fleeing suspect in Fort Lawn. A resident living nearby, identified in the Indictment as K.S., used his cellphone to live-stream the law enforcement activity. Underwood asked K.S. to stay on his porch, but K.S. remained in his yard. Underwood returned 25 minutes later, directing K.S. to retreat to his porch.
Underwood then followed K.S. onto his porch, lunged out to grab and restrain K.S. by his torso, and demanded that K.S. turn over his cellphone. After restraining K.S., Underwood stated that he was attempting to place K.S. under arrest. Neal placed K.S. in handcuffs and escorted him to a vehicle for transport to the detention center. In doing so, Neal knocked K.S. to the ground while K.S. was restrained in handcuffs, injuring K.S.’s head and elbow. Neal then directed the transport office to place a “hold” on K.S., causing him to be held in jail for three nights.
Underwood and Sprouse learned that K.S. had live-streamed the video from his cellphone onto the Internet. Underwood and Sprouse then announced that a radio had been lost during the seizure of K.S. Sprouse and Neal then directed subordinate deputies to draft a search warrant that would allow them to enter K.S’s home. Sprouse entered K.S.’s home without a warrant, searching for the cellphone. He directed a subordinate deputy to dial a phone number in an effort to identify the target phone by making it ring. Sprouse ultimately removed a cellphone from K.S’s home without consent. Sprouse then delivered that phone to a Sheriff’s deputy in charge of evidence collection.
In January 2019, Sprouse and Neal created an incident report containing false statements about K.S.’s seizure, and Underwood and Sprouse created and signed a disciplinary report shifting the blame to the deputy in charge of evidence collection for taking the phone following the seizure of K.S. Also in January 2019, Underwood and Sprouse made false statements to the Federal Bureau of Investigation (FBI) concerning the seizure of K.S. and the cellphone.
This Count carries a maximum penalty of five years in federal prison and a fine of $250,000.
Count Two alleges that Underwood violated K.S.’s rights while acting under color of law by seizing K.S. without probable cause to believe K.S. committed a crime, causing him to be detained in jail for three nights. This Count carries a maximum penalty of one year in federal prison.
Count Three alleges that Neal violated K.S.’s rights while acting under color of law by knocking K.S. to the ground while he was handcuffed, resulting in bodily injury to K.S. This Count carries a maximum penalty of 10 years in federal prison.
Count Four alleges that Underwood and Sprouse tampered with the cellphone, attempting to alter, destroy, or conceal it with the intent to impair its integrity or availability for use in the federal case involving the deprivation of K.S.’s rights. This Count carries a maximum penalty of 20 years in federal prison and a fine of $250,000.
Count Five alleges that Neal and Sprouse falsified a record with the intent to impede a federal investigation by creating a false incident report indicating that K.S. repeatedly left his yard to enter the roadway and that K.S. directed profane language toward them – when in fact K.S. did neither – and caused that report to go to the FBI. This Count carries a maximum penalty of 20 years in federal prison and a fine of $250,000.
Count Six alleges that Underwood and Sprouse falsified a record with the intent to impede a federal investigation by creating and signing a disciplinary report shifting blame to the deputy in charge of evidence collection for taking the cellphone following K.S.’s seizure, and caused that report to go to the FBI. This Count carries a maximum penalty of 20 years in federal prison and a fine of $250,000.
Count Seven alleges that Underwood made a false statement to the FBI on May 3, 2019, representing that he first viewed K.S.’s video recording about a week after the incident, when in fact he viewed the recording on the date of the incident. This Count carries a maximum penalty of five years in federal prison and a fine of $250,000.
Count Eight alleges that Sprouse made a false statement to the FBI on January 8, 2019, representing that he did not know how a cellphone was removed from K.S.’s home, when in fact he removed the phone. This Count carries a maximum penalty of five years in federal prison and a fine of $250,000.
“We will never shy away from bringing these types of cases,” continued U.S. Attorney Lydon. “We will work day in and day out to make sure our citizens in Chester and across South Carolina can have confidence in their public servants, their government, and certainly their police officers.”
“It is paramount that law enforcement maintain the trust of the public which it serves,” said Jody Norris, Special Agent in Charge of the FBI. “These charges are a reminder that nobody is above the law. We will continue to aggressively investigate allegations of law enforcement misconduct, and we are grateful to the South Carolina Law Enforcement Division for their assistance in this case.”
Underwood, Neal, and Sprouse will make their initial appearances at 10:00 a.m. on Tuesday, May 21, at the Matthew J. Perry Federal Courthouse in Columbia.
This case was investigated by the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorneys Alyssa Leigh Richardson and William Camden Lewis of the Columbia office.
U.S. Attorney Lydon stated that all charges in the Indictment are merely accusations and that the defendants are presumed innocent until and unless proven guilty.
#####
20190507_-_indictment.pdfBurnham Man Sentenced to 37 Months for Illegal Possession of a FirearmRead the Press Release
Bangor, Maine: United States Attorney Halsey B. Frank announced Matthew Johnson, 39, of Burnham, Maine, was sentenced today in U.S. District Court by Judge Lance E. Walker to 37 months in prison and three years of supervised release for being an unlawful user of heroin and bath salts in possession of a firearm. The defendant pleaded guilty on June 21, 2018.
Court records reveal on April 20, 2017, officers from the Westbrook and Scarborough Police Departments stopped the defendant’s vehicle which had reportedly fled the scene of an accident. A search of the vehicle revealed controlled substances, drug paraphernalia and a locked safe. Inside the locked safe, officers found a fully loaded .357 Magnum revolver, bath salts and other drugs. The defendant admitted he was an addict. The ensuing investigation revealed that the defendant had purchase the revolver in Bangor and was an unlawful user of heroin and bath salts.
In imposing the sentence, Judge Walker noted the “deadly and destructive” influence of the combination of illegal drug use and firearm possession within our society.
The investigation was conducted by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the Maine Drug Enforcement Agency as well as the Westbrook and Scarborough Police Departments.
Boston Man Pleads Guilty to Business Loan SchemeRead the Press Release
BOSTON – A Boston man pleaded guilty yesterday in federal court in Boston in connection with making false statements on a loan application.
Alexander Grinis, 47, of Jamaica Plain, pleaded guilty to one count of false statements on loan applications. U.S. District Court Judge Nathaniel M. Gorton scheduled sentencing for Aug. 7, 2019. In June 2018, Grinis was arrested and charged with co-defendant Igor Mosieev, 59, of Newton, who pleaded guilty on May 3, 2019.
Grinis was the manager of Eastern Bank in Auburndale. Among his responsibilities were assisting customers with opening and closing accounts and applying for loans and lines of credit. In approximately February 2015, Grinis assisted Mosieev in opening a checking and savings account at Eastern Bank with the license and Social Security card of another individual, without the knowledge or consent of that person. Later that year, Grinis assisted Mosieev in adding the individual to a business account in the name of TFC Enterprises, LLC. Thereafter, Moiseev forged the individual’s name on applications for two purported business loans. On each loan application, Grinis falsely certified that he had complied with all bank procedures and, as a result, the loans were approved. The proceeds of the two loans were subsequently distributed to the business checking account and Moiseev forged the individual’s name on checks and withdrew money from the account to pay for his own personal expenses. In addition, Moiseev, with Grinis’ assistance, caused proceeds from the business checking account to be wire transferred to Russia, Canada, and elsewhere overseas using the individual’s name. Both loans defaulted and were never paid back to Eastern Bank, resulting in a loss of over $90,000.
The charge of false statements provides for a sentence of no greater than 30 years in prison, five years of supervised release, and a fine of up to $250,000, or twice the gross gain/loss whichever is greater. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, made the announcement. Assistant U.S. Attorney Laura J. Kaplan of Lelling’s Organized Crime and Gang Unit is prosecuting the case.
Bethlehem Man Found Guilty of Entering United States Illegally for Fourth TimeRead the Press Release
EASTON, PA – U.S. Attorney William M. McSwain announced that Martin Castro-Molina, a/k/a “Jose Noe Galsano-Castellano”, 42, of Bethlehem, PA was found guilty by a federal jury of one count of reentering the United States after deportation. He was removed from the United States on three prior occasions between 2008 and 2017, before being found unlawfully in the United States on or about August 24, 2018. At the time of his arrest, the defendant gave multiple fictitious names to authorities.
“The defendant in this case clearly has no respect for the laws of this country,” said U.S. Attorney McSwain. “After being removed on three previous occasions, Castro-Molina decided yet again to snub our immigration system by entering the United States illegally. I am glad that the jury in this case agreed and held him responsible for his actions.”
“The brave men and women of ICE contribute to making our communities safer by arresting criminal aliens like Martin Castro-Molina,” said Simona L. Flores, Field Office Director for ICE Enforcement and Removal Operations (ERO) Philadelphia. “We will ensure that aliens who may pose a threat to our communities are not released onto the streets to potentially reoffend and harm individuals living within our communities.”
The case was investigated by the Department of Homeland Security, Immigration and Customs Enforcement, and is being prosecuted by Assistant United States Attorneys Meaghan Flannery and Jose Arteaga.
210 Months Prison Sentence for Oregon Sex Offender Caught Luring, Threatening Young Columbus Girl OnlineRead the Press Release
COLUMBUS – A federal judge handed down a 210-month sentence today to an Oregon man guilty of Coercion and Enticement of a Minor, said Charles “Charlie” Peeler, the United States Attorney for the Middle District of Georgia. Colby Ray Cochran, 24, of Warrenton, Oregon, is a registered sex offender in his home state, having been convicted in July 2016 of the state felony charge of Luring a Minor. Mr. Colby was on probation, and was active on the Oregon sex offender registry, at the time he committed the federal sex crime in Georgia. The Honorable Clay Land presided over Tuesday’s sentencing in Columbus federal court, additionally sentencing Mr. Cochran to 15 years of supervised release. There is no parole in the federal system.
Mr. Cochran admitted in his plea agreement to first interacting with the 15-year-old female victim “Jane Doe” on Instagram, a popular social media application. Jane Doe, who was living on Fort Benning, a military installation in Columbus, first became active on Instagram and Snapchat in August 2017, and shortly thereafter made contact with Mr. Cochran on Instagram, under the username “utopic_ecchi” with a profile picture of a distinctive Japanese female anime character. They initially engaged in typical friendly small talk, but as their online relationship progressed, Mr. Cochran began asking Jane Doe for risqué photos of herself. Jane Doe told Mr. Cochran she was 15 years old and had a boyfriend. Mr. Cochran stated he was 19 years old. On October 17, 2017 he asked her to send nude photos on Snapchat, under the username “happycannon”. Mr. Cochran also sent Jane Doe several photos of his genitalia. Jane Doe soon regretted her actions, exited Snapchat, and blocked him.
At this point, Mr. Cochran began to threaten Jane Doe on Instagram, demanding more nude photos. She refused. Mr. Cochran threatened to spread her photos “all over” and share with her boyfriend. She replied that if he wanted to remain friends, he had to delete the photos. He warned her that he had an app that saved all the photos and again threatened to send them to her boyfriend. Mr. Cochran then proposed an arrangement where he would delete the photos if she agreed to continue to exchange nude photos occasionally. Jane Doe feigned interest in the arrangement while unsuccessfully trying to convince Mr. Cochran to delete the photos she had sent. Around this time, Jane Doe’s mother walked into a room and found her child crying. After being assured she wasn’t in trouble, Jane Doe told her mother what happened and described how she had been threatened by someone she met online. The mother, posing as Jane Doe’s father, confronted Mr. Cochran on Snapchat, stating the police had been contacted. The mother reported the incident to Fort Benning law enforcement, who turned the investigation over to the Federal Bureau of Investigation (FBI). Following an investigation, Mr. Cochran was located and taken into custody.
“This case paints a picture of what many parents fear most in today’s world—their children being lured by online predators into making terrible choices that threaten their safety and their future,” said Charles “Charlie” Peeler, the U.S. Attorney for the Middle District of Georgia. “I want to commend the victim’s mother, who was attentive to her child’s distress and immediately notified authorities. I also want to recognize the excellent investigative work of the FBI. These agents quickly and methodically tracked down a predator and stopped him from potentially harming other children. Protecting our children in today’s technological environment is a difficult task, but our Office will do our part and hold child predators accountable for their criminal actions.”
“The FBI will always make it a top priority to protect the most vulnerable in our society, our children,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “It is clear from this sentencing that Cochran’s actions will not be tolerated by our justice system, and hopefully, it will send a message to anyone with similar perverse intent.”
The case was investigated by the FBI and the Clatsop County (Oregon) Sheriff’s Office. Assistant U.S. Attorney Crawford Seals prosecuted the case for the Government. Questions can be directed to Pamela Lightsey, Public Information Officer, United States Attorney’s Office, at (478) 621-2603 or Melissa Hodges, Public Affairs Director (Contractor), United States Attorney’s Office, at (478) 765-2362.
Monday 6 May 2019
York County Man Sentenced to 96 Months’ in Prison for Child Exploitation OffensesRead the Press Release
HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced that Robert T. Donelon, age 56, of York County, was sentenced on May 3, 2019, by Chief United States District Court Judge Christopher C. Conner to 96 months’ imprisonment followed by 10 years of supervised release for child exploitation offenses. Chief Judge Conner also ordered Donelon to pay $1,000 to each of the seven identifiable victims.
According to United States Attorney David J. Freed, Donelon pled guilty to the receipt and distribution of images of child pornography between December 2016 and January 2018, in York County.
The case was investigated by the West York Borough Police Department and the Federal Bureau of Investigation. Assistant United States Attorney James T. Clancy prosecuted the case.
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."
# # #
Wheeling man admits to distributing methamphetamineRead the Press Release
WHEELING, WEST VIRGINIA – Randy Lee Donahue, Jr., of Wheeling, West Virginia, has admitted to distributing methamphetamine, United States Attorney Bill Powell announced.
Donahue, age 37, pled guilty to one count of “Aiding and Abetting Possession with Intent to Distribute Methamphetamine within 1,000 Feet of a Protected Location.” Donahue admitted to distributing methamphetamine from an apartment located at 97 16th Street in Wheeling, within 1,000 feet of Wheeling Central Catholic High School in November 2018.
Donahue faces not less than one and up to 40 years incarceration and a fine of up to $2,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Stephen L. Vogrin is prosecuting the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms and Explosives; the West Virginia State Police; and the Ohio Valley Drug & Violent Crimes Task Force, a HIDTA-funded initiative, investigated.
Senior U.S. District Judge Frederick P. Stamp, Jr. presided.
Washington, D.C. man sentenced for firearms chargesRead the Press Release
MARTINSBURG, WEST VIRGINIA – Roger Anthony Williams, of Washington, D.C., was sentenced today to 84 months incarceration for firearms charges, United States Attorney Bill Powell announced.
Williams, age 38, pled guilty to two counts of “Unlawful Possession of a Firearm” in January 2019. Williams, having previously been convicted of second-degree murder in Prince George’s County, Maryland, admitted to having a 9mm pistol in October 2017 in Berkeley County. He also admitted to having .45 caliber pistol and .45 caliber ammunition in September 2018 in the District of Columbia.
This case was brought as part of Project Safe Neighborhoods (PSN). Project Safe Neighborhoods is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Assistant U.S. Attorney Lara Omps-Botteicher prosecuted the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated.
Chief U.S. District Judge Gina M. Groh presided.
United States Attorney Announces $17 Million Healthcare Fraud SettlementRead the Press Release
LARGEST HEALTHCARE FRAUD SETTLEMENT IN WEST VIRGINIA HISTORY
CHARLESTON, W.Va. – United States Attorney Mike Stuart, along with Special Agent in Charge Maureen R. Dixon, United States Department of Health and Human Services – Office of Inspector General (HHS-OIG), Acting Assistant Special Agent in Charge Justin Schoeman, Drug Enforcement Administration (DEA), Cabinet Secretary Bill J. Crouch, West Virginia Department of Health and Human Resources, and Director Mike Malone, West Virginia Medicaid Fraud Control Unit (MFCU), announced that his office has settled healthcare fraud claims against Acadia Healthcare Company, Inc. (“Acadia”). Pursuant to the settlement agreement, Acadia will pay $17 million to resolve allegations of a billing scheme that defrauded Medicaid of $8.5 million. The settlement represents the largest healthcare fraud settlement in the history of West Virginia and is twice the actual loss from the scheme. Of the $17 million settlement, nearly $2.2 million will be paid directly to the State of West Virginia.
“$17 million – the largest healthcare fraud settlement in the history of West Virginia,” said United States Attorney Mike Stuart. “$8.5 million in Medicaid fraud means $8.5 million in fraud to the taxpayers. Nearly 600,000 West Virginians rely on Medicaid for the payment of critical services. Medicaid fraud is not a victimless crime. I am proud of the work of my office and that of our partners to ensure the end of this multi-million dollar scheme. In this case, every dime in false billings was doubled for a total settlement that represents twice the harm caused. This is a strong message and a massive penalty. The message is clear – if you are cheating the system and we find you, you’ll not only pay for the damage done but far more. This is a message of deterrence to other would-be fraudsters.”
Acadia, acting through its subsidiary, CRC Health, L.L.C. (“CRC”), operates seven drug treatment centers in West Virginia. These treatment centers are located in Charleston, Huntington, Parkersburg, Beckley, Williamson, Clarksburg, and Wheeling. The West Virginia Centers provide outpatient drug treatment, including the administration of Methadone and the prescribing of Suboxone and Subutex. Each of Acadia’s West Virginia treatment centers is certified by the Centers for Medicare and Medicaid Services (“CMS”) to perform uncomplicated “waived” laboratory testing only. Waived laboratory tests are simple tests with a low risk for an incorrect result. “Non-waived” laboratory testing, in contrast, consists of moderate and high complexity testing. Laboratories that perform non-waived tests are required to have a significantly higher level of certification than the certifications held by the Acadia treatment centers.
From January 1, 2012 to July 31, 2018, Acadia’s treatment centers sent urine and blood samples to an outside laboratory, San Diego Reference Laboratory (the “San Diego Lab”) for all moderate and high complexity drug testing. The San Diego Lab performed the testing and invoiced Acadia’s treatment centers for the services, and did so at the request of the treatment centers. Acadia’s treatment centers paid the San Diego Lab directly. However, Acadia’s West Virginia treatment centers then billed West Virginia Medicaid for the urine and blood testing performed by the San Diego Lab, as though the testing had been performed by the treatment centers. In the claims for reimbursement submitted to Medicaid, Acadia’s treatment centers represented that they had performed the moderate and/or high complexity laboratory services. Medicaid, induced by the claims submitted by Acadia’s treatment centers, paid the treatment centers a substantially higher amount than the San Diego Lab charged to actually perform the testing. Medicaid regulations and policies specifically prohibited Acadia’s treatment centers from seeking reimbursement for moderate and complex urine and blood testing which they were not certified to perform, and did not, in fact, perform.
Medicaid paid Acadia’s treatment centers $8,500,000 as a result of these moderate and complex urine and blood testing claims, resulting in a loss of $2,181,100 to the State of West Virginia and $6,318,900 to the United States. The Medicaid program is primarily administered by the states, but jointly financed by federal and state funds – funds ultimately originating from taxpayers. As a result of the $17 million settlement, which represents twice the actual loss suffered by Medicaid, both the state and federal programs will be made whole.
As part of this settlement, CRC Health and Acadia Healthcare entered into a five-year corporate integrity agreement (CIA) with HHS-OIG. The CIA requires CRC and Acadia to maintain a compliance program, implement a risk assessment program, and hire an Independent Review Organization to review Medicaid claims.
Medicaid fraud cost states billions of dollars every year, diverting funds that could otherwise be used for legitimate health care services. In 2018, improper payments alone—which include things like payment for non-covered services or for services that were billed but not provided—totaled more than $40 billion nationally according to the Government Accountability Office.
“Fraudulent billing by these Acadia/CRC drug treatment clinics, as contended by the government, limits the State’s ability to provide desperately needed addiction treatment services,” said Maureen R. Dixon, Special Agent in Charge of the Office of Inspector General of the U.S. Department of Health and Human Services Region including West Virginia. “We will continue working with the U.S. Attorney and other law enforcement partners to protect government health programs, taxpayers, and importantly people who depend on these funds for vitally needed treatment.”
“The West Virginia Department of Health and Human Resources, through its Medicaid Fraud Control Unit, continues to protect the integrity of healthcare programs and the citizens of West Virginia,” said Bill J. Crouch, Cabinet Secretary of the West Virginia Department of Health and Human Resources. “I am proud of DHHR’s Medicaid Fraud Control Unit under the leadership of Director Michael Malone and its work with the United States Attorney’s Office Southern District in combatting healthcare fraud and the opioid crisis and as a member of the innovative ARREST Task Force.”
“The Drug Enforcement Administration routinely works in partnership with other agencies to fight the opioid crisis,” said Justin Schoeman, Acting Assistant Special Agent in-Charge of DEA’s Charleston District Office, which covers West Virginia. “This settlement is just one example of the great results from our collaboration and hopefully it will have a positive effect on the people of West Virginia,” Schoeman added.
The investigation was conducted by HHS-OIG, DEA and MFCU, members of the United States Attorney’s Healthcare Fraud Abuse, Recovery and Response Team (ARREST), an innovative approach linking civil and criminal enforcement efforts together in a comprehensive attack on the opioid epidemic and healthcare fraud. Assistant United States Attorneys Alan McGonigal and Jennifer Mankins handled the matter on behalf of the United States. The settlement agreement can be found here: https://www.justice.gov/usao-sdwv/press-release/file/1160101/dl?inline=.
United States Attorney Mike Stuart announced the formation of ARREST in February 2019. This settlement is the first significant result since its inception. All health care related cases in the Southern District of West Virginia, whether they are the subject of criminal or civil investigation or enforcement, are directed through ARREST. Included within the purview of the team are the Opioid Fraud and Abuse Detection Unit, Affirmative Civil Enforcement Unit, Appalachian Regional Prescription Opioid Task Force, Medicare and Medicaid Fraud, and Asset Forfeiture efforts related to all healthcare matters.
Follow us on Twitter: SDWVNews
###
Tyler County man admits to firearms violationRead the Press Release
WHEELING, WEST VIRGINIA – Michael John Maisey, of Sistersville, West Virginia, has admitted to a firearms charge, United States Attorney Bill Powell announced.
Maisey, age 49, pled guilty to one count of “Unlawful Possession of a Firearm.” Maisey, being prohibited from possessing a firearm, admitted to having a 9mm caliber pistol in July 2018 in Tyler County.
Maisey faces up to 10 years incarceration and a fine of up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Shawn M. Adkins is prosecuting the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms, and Explosives and the New Martinsville Police Department investigated.
Senior U.S. District Judge Frederick P. Stamp, Jr. presided.
Two Defendants Sentenced in Federal Court for Drug OffensesRead the Press Release
HUNTINGTON, W.Va. – Two defendants involved in drug offenses last year in Huntington were sentenced today in federal court, announced United States Attorney Mike Stuart. Marquan Charles Williams, 27, was sentenced to 67 months in federal prison after previously pleading guilty to possession with intent to distribute heroin. In a separate prosecution, Krista N. Ramey, 25, was sentenced to 24 months in federal prison after previously pleading guilty to distributing methamphetamine. Stuart commended the investigative efforts of the FBI Drug Task Force, the Cabell County Sheriff’s Department and the Huntington Police Department.
“If you are a drug dealer -- regardless of whether it’s fentanyl, heroin, methamphetamine, or any other illegal drug -- and we find you, we will prosecute you and put you behind bars for as long as possible,” said United States Attorney Mike Stuart.
In the Williams prosecution, officers with the Huntington Police Department were conducting surveillance at the Greyhound bus station in Huntington on May 23, 2018, when they observed Williams and another individual arrive on a bus from Detroit. Officers continued to conduct surveillance and observed Williams and the other individual enter a residence on West 7th Avenue in Huntington. The other individual was then seen leaving the residence and entering a vehicle which was stopped by officers. During the traffic stop, officers recovered a bag containing over 100 grams of fentanyl.
Officers subsequently executed a search warrant at the West 7th Avenue residence. When officers entered, they located Williams in the kitchen processing and bagging an additional quantity of fentanyl which Williams admitted that he intended to sell. Williams further admitted as part of his plea agreement that he directed the other individual to take the fentanyl seized during the traffic stop to a local motel to store it for later distribution.
In the Ramey prosecution, a confidential informant contacted Ramey on August 17, 2018, to arrange the purchase of methamphetamine. The informant then traveled to Ramey’s residence on South High Street in Huntington where Ramey distributed methamphetamine to the informant. As part of her plea, Ramey admitted that she also distributed methamphetamine to the informant on August 20, 2018, and that investigators seized four firearms during a search of her residence on August 23, 2018.
Assistant United States Attorney Joseph F. Adams handled the prosecutions. The sentences were imposed by United States District Judge Robert C. Chambers.
Follow us on Twitter: SDWVNews
###
Two Brooklyn Men Sentenced to Nine Years’ and 15 Years, Respectively, for Kidnapping, Extortion and Torture of VictimRead the Press Release
Earlier today, in federal court in Brooklyn, Michael Crumble was sentenced by United States District Judge Allyne R. Ross to nine years’ imprisonment for kidnapping conspiracy, kidnapping and committing physical violence in furtherance of an extortion relating to the December 2017 abduction, assault and extortion of a victim. On May 3, 2019, co-defendant Ramell Markus was sentenced to 15 years’ imprisonment for his role in the same crimes. The defendants were convicted by a federal jury in May 2018 following a one-week trial.
Richard P. Donoghue, United States Attorney for the Eastern District of New York, William F. Sweeney, Jr., Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), and James P. O’Neill, Commissioner, New York City Police Department (NYPD), announced the sentences.
“The defendants were seeking cash and drugs when they brutally assaulted the victim, but what they ultimately received as a result of their vicious conduct were lengthy prison sentences,” stated United States Attorney Donoghue. “I commend our FBI and NYPD partners in the New York City Safe Streets Task Force for their outstanding investigative work in this case.”
“The primary mission of the NYPD and our law enforcement partners is to arrest, prosecute, and send away with a meaningful prison sentence anyone who commits violent crime, and instills fear in New Yorkers through their criminal actions,” stated NYPD Commissioner O’Neill. “I want to thank the Eastern District and the investigators from the FBI and NYPD who worked on this case. Their hard work helps ensure that those who engage in serious crimes like kidnapping, extortion and assault will face justice.”
On December 17, 2017, Crumble, Markus, and a co-conspirator kidnapped the victim outside his residence in Queens and forced him into a vehicle. Markus pistol-whipped the victim in a futile attempt to force him to give up narcotics believed to be in the victim’s home. The defendants and their co-conspirator then drove the victim to another location in Brooklyn, and during the next several hours tortured him – smashing a glass into his face and burning his arms with a hot iron – until the drugs and cash were given to them.The government’s case is being handled by the Office’s Organized Crime and Gangs Section. Assistant United States Attorneys Keith D. Edelman and Lindsay K. Gerdes are in charge of the prosecution.
The Defendants:
MICHAEL CRUMBLE
Age: 35
Residence: Brooklyn, New York,RAMELL MARKUS (also known as “Rah,” “Dollah” and “Smooth”)
Age: 36
Residence: Brooklyn, New YorkE.D.N.Y. Docket No. 18-CR-32 (ARR)
Trucker Working for Kansas Company Pleads Guilty to Stealing Load of MeatRead the Press Release
KANSAS CITY, KAN. – A California trucker working for a Kansas freight brokerage pleaded guilty Monday to stealing a load of meat valued at more than $160,000, U.S. Attorney Stephen McAllister said.
Gegham Avetisyan, 37, Valley Village, Calif., pleaded guilty to one count of wire fraud. Avetisyan contracted with a trucking freight brokerage business in Olathe to deliver a load of meat to three locations in California. He faxed documents to the company in which he used the name Robert Ivanov. He picked up the meat at a packing plant in Omaha, but never delivered it.
Sentencing is set for Aug. 12. He faces a sentence of up to 20 years in federal prison and a fine up to $250,000. McAllister commended the FBI and Assistant U.S. Attorney Chris Oakley for their work on the case.
Three Sentenced for Roles in Year-Long Mail Theft Scheme Involving over 500 VictimsRead the Press Release
Anchorage, Alaska – U.S. Attorney Bryan Schroder announced that three Anchorage residents have been sentenced for their roles in an Anchorage mail theft scheme, which involved obtaining checks from the mail, and then negotiating the stolen checks at different banks using stolen identities and bank accounts.
The last of three defendants in this case, Ronald Travis Hecker, 36, of Anchorage, was sentenced today by U.S. District Judge Sharon L. Gleason to serve 3.5 years in prison, followed by 3 years of supervised release. In November 2018, Ronald Hecker pleaded guilty to conspiracy, bank fraud, aggravated identity theft, and possession of stolen mail. As part of his sentence, Ronald Hecker was ordered to pay approximately $50,000 in restitution, joint and severally with his co-conspirators.
Ronald Hecker’s co-conspirators were each sentenced in April 2019 for their roles in the conspiracy, after previously pleading guilty. Amber Hecker, 35, and leader of the conspiracy, was sentenced to serve 3.5 years in prison for conspiracy, bank fraud, aggravated identify theft, and possession of stolen mail. Richard Hoglin, 36, was sentenced to serve 2 years and 3 months in prison for bank fraud and aggravated identify theft.
According to court documents, from April 2017 to April 2018, Ronald Hecker conspired with his wife, Amber Hecker, along with Richard Hoglin, to steal mail and pass stolen checks with stolen identities at Alaska USA Federal Credit Union. They stole checks from the mail including convenience checks from Bank of America, Capital One, and Citibank. The stolen identities used by Ronald Hecker and his co-conspirators to pass the stolen checks came from committing vehicle break-ins, as well as backpack and purse snatching from places like Chuck E. Cheese and daycare centers. They would then falsely alter the stolen checks to deposit them in the accounts associated with the stolen identities and then make cash withdrawals. Specifically, the stolen checks were falsely made out to make the payee a separate stolen identity that was used by the defendants to negotiate the stolen checks.
After her husband’s arrest, Amber Hecker recruited Hoglin to help steal mail and pass stolen checks with stolen identities at Alaska USA. Hoglin was involved in nine successful transactions in March 2018. He also assisted Amber Hecker in depositing $9,425 in stolen and forged checks and withdrawing $4,600 in cash.
In addition to the stolen identifications used in the approximately 88 fraudulent transactions during the course of the conspiracy, Ronald and Amber Hecker also had stolen identification information including social security cards, identification cards, and credit cards, of approximately 500 victims. This was the largest amount of victims impacted by a mail theft ring in Alaska. The investigation revealed that the total loss amount during the course of the conspiracy was $81,342.
Judge Gleason noted that these kinds of crimes are very serious because they “destroy the sense of community” and erode trust.
The Anchorage Police Department (APD) and the U.S. Postal Inspection Service (USPIS), along with the Anchorage Airport Police, conducted the investigation leading to the successful prosecution of this case. This case was prosecuted by Assistant U.S. Attorney Aunnie Steward.
Three Men Involved in Large-Scale Marijuana Trafficking Operation Plead GuiltyRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, today announced that SCOTT BODNAR, also known as “Pep,” 40, of Ansonia, TERRELL GIVENS, 34, of Beacon Falls, and DONALD BURNS, 61, of Milford, have pleaded guilty to federal offenses related to their involvement in a large-scale marijuana trafficking conspiracy.
According to court documents and statements made in court, in 2016, the Federal Aviation Administration began investigating a Piper single-engine aircraft, owned by Burns, that was making regular flights between Stratford, Connecticut, and northern California via the southwest United States. On June 28, 2017, Burns flew the aircraft from northern California to Lubbock, Texas. The next day, Burns flew the aircraft from Texas to Arkansas, and then to West Virginia and Connecticut, where he landed in the evening at Sikorsky Airport in Stratford. After it landed, a law enforcement search of the plane revealed approximately 400 pounds of marijuana in vacuum-sealed packages. Investigators determined that the marijuana was intended for Bodnar, Givens and others to distribute in Connecticut.
The investigation revealed that, over a period of approximately two years, members of the conspiracy earned millions of dollars by trafficking nearly two tons of marijuana from California to Connecticut. Bodnar, Givens and others also laundered approximately $6 million to purchase marijuana in California, pay for their travel to and from California, and pay Burns to transport the marijuana.
On May 2, 2019, Bodnar pleaded guilty to one count of conspiracy to distribute, and to possess with intent to distribute, 1,000 kilograms or more of marijuana, and one count of conspiracy to launder monetary instruments. Givens pleaded guilty to the same charges on May 3. Today, Burns pleaded guilty to one count of conspiracy to distribute, and to possess with intent to distribute, 1,000 kilograms or more of marijuana. At sentencing, each defendant faces a maximum term of imprisonment of life.
In pleading guilty, the defendants agreed to the forfeiture of cash and various items, including Burns’ Piper aircraft, a 2012 Toyota Camry belonging to Bodnar, and a 2009 Jaguar XF and approximately $8,000 in jewelry belonging to Givens.
This matter is being investigated by the Drug Enforcement Administration, the Federal Aviation Administration’s Law Enforcement Assistance Program (LEAP), the Internal Revenue Service – Criminal Investigation Division, and the Stratford, Bridgeport and Derby Police Departments.
The case is being prosecuted by Assistant U.S. Attorneys Rahul Kale and Marc Silverman.
Texas Man Found Guilty of Conspiring to Support ISISRead the Press Release
A federal jury convicted a Dallas, Texas man on multiple terror charges, Assistant Attorney General for National Security John C. Demers and U.S. Attorney Erin Nealy Cox for the Northern District of Texas announced today.
Following a three-and-a-half day trial, Said Azzam Mohamad Rahim, a 42-year-old United States citizen, was convicted of one count of conspiracy to provide material support to a designated foreign terrorist organization (FTO), one count of attempting to provide material support to an FTO, and six counts of making false statements involving international terrorism to federal authorities.
“Said Azzam Mohamad Rahim operated online to spread ISIS’s poisonous message of hate and violence,” said Assistant Attorney General Demers. “Then he attempted to travel to support ISIS and he lied to the FBI when questioned about his activities. With the jury’s guilty verdicts, he is being held accountable for his crimes. I want to thank the prosecutors, agents, and analysts who are responsible for this result.”
“We will not allow radical terrorists motivated by dangerous ideologies to promote violence against innocent people,” said U.S. Attorney Nealy Cox. “The Justice Department is committed to combatting terror at home and abroad.”
According to evidence presented at trial, Mr. Rahim moderated a social media channel dedicated to recruiting fighters for the Islamic State of Iraq and al-Sham, or ISIS, a State Department designated terror group.
Mr. Rahim used Zello, a push-to-talk direct messaging application, to promote violence in ISIS’s name, prosecutors said.
Records showed he spent hours on Zello’s “State of the Islamic Caliphate” channel, where he touted acts of terror under various monikers:
“Kill and do not consult anyone,” he said in July 2016. “Kill by any means, smash his head on the wall, spit in his face, burn -- I mean anything, anything – poison, anything.”
“Brothers! What are you waiting for?,” he said a month later. “Mobilize and perform jihad for the cause of Allah…. Some of the brothers mobilized from this channel, they were amongst us. ”
He even praised several terrorist attacks after the fact.
“I was happy for this act,” Rahim said after a truck barreled into a crowd of people in Nice, France, killing 86. “Those dogs.”
Mr. Rahim was arrested on March 5, 2017 at the Dallas Fort Worth International Airport, where he was attempting to board a flight to Amman, Jordan. Asked by agents if he had ever supported ISIS, advocated travel for the purposes of jihad, promoted violence on ISIS’s behalf, or encouraged anyone to kill infidels at the urging of ISIS spokesman Abu Mohammed Al Adnani, Mr. Rahim said “no.”
Rahim now faces up to 20 years in federal prison for each material support count and eight years for each false statement count, for a total of up to 88 years imprisonment. The FBI, the U.S. Department of State – Diplomatic Security Services and the Joint Terrorism Task Force conducted the investigation. Assistant United States Attorney Errin Martin and Trial Attorney Taryn Meeks of the National Security Division’s Counterterrorism Section prosecuted the case. U.S. District Court Judge Jane J. Boyle presided over the trial.
Ten, including Pharmacy Owners, Pharmacist, and Nurse Practitioner, Charged in over $200 Million Prescription Drug FraudRead the Press Release
BIRMINGHAM – Ten defendants were charged in a 103-count indictment, including a nurse practitioner, and the owners, a pharmacist, managers, sales representatives, and billers, of a Haleyville, Ala.-based pharmacy, Northside Pharmacy doing business as Global Compounding Pharmacy. The indictment charges them with fraudulently billing health care insurers and prescription drug administrators for over $200 million in prescription drugs. In one listed instance, the defendants’ fraudulent conduct caused a prescription plan administrator to pay over $29,000 for one tube of a cream advertised as treating “general wounds.”
U.S. Attorney Jay E. Town, Federal Bureau of Investigation Special Agent in Charge Johnnie Sharp, Jr., U.S. Department of Health and Human Services, Office of Inspector General, Special Agent in Charge Derrick L. Jackson, Defense Criminal Investigative Service Special Agent in Charge John F. Khin, United States Postal Inspector in Charge, Houston Division Adrian Gonzalez, and Internal Revenue Service-Criminal Investigation Special Agent in Charge Thomas Holliman announced the charges.
The indictment filed in U.S. District Court charges the following individuals:
- John Jeremy Adams, 38, of Panama City Beach, Florida, an owner and president of Global, charged in 38 counts;
Adams was arrested on Wednesday and arraigned on Thursday in the Northern District of Florida.
- Ashley Adams, 36, of Santa Rosa Beach, Florida, director of HR for Global, charged in 10 counts;
- Jeffrey Black, 54, of Destin, Florida, an owner and vice president and COO of Global, charged in 18 counts;
- James A. Mays, III, 43, of Winfield, Alabama, a pharmacist at Global, charged in 20 counts;
- Jessica Linton, 36, of Clearwater, Florida, the manager of the billing team at Global, charged in 24 counts;
- Lisa Holmes, 40, of Troy, Alabama, a district manager supervising sales representatives at Global, charged in 12 counts;
- John Gladden, 49, of Tallahassee, Florida, a district manager supervising sales representatives at Global, charged in 9 counts;
- Christi Cunningham, aka Christi Mook, 34, of Crestview, Florida, a sales representative at Global, charged in 9 counts;
- Juan Rodriguez, 41, of Tampa, a biller at Global, charged in 6 counts; and
- Lori Dawn Edenfield, 45, of Marianna, Florida, a nurse practitioner, charged in 32 counts.
“Motivated by greed, the defendants executed a brazen health care fraud conspiracy and scheme that cost health insurance plans, including those that protect the elderly, disabled, military members and veterans, millions of dollars,” Town said. “Their scheme deprived health insurance plans of money that could have gone to assist patients with real medical needs. To date, this investigation has resulted in 28 people being charged. Would-be healthcare fraudsters should be on notice that our Office is dedicated to rooting out this conduct. We applaud the investigative agencies for their hard work.”
“The egregious corruption uncovered in this complex and wide-ranging fraud scheme wasted millions of dollars in American taxpayer funds, and furthermore, deprived U.S. military members and their families of legitimate prescription medications and other needed medical care,” said John F. Khin, Special Agent in Charge, DCIS-Southeast Field Office. “Through our aggressive investigative efforts with our partner agencies, DCIS helped stop this shameful abuse of one of DoD’s most critical programs.”
“Healthcare Fraud continues to impact the cost of healthcare in America and is amplified when trusted professionals abandon their ethical code in the name of greed. These unethical practices are damaging the lives of individuals and families throughout this country,” said Thomas J. Holloman, Special Agent in Charge for IRS Criminal Investigation. “IRS CI will continue to work closely with our law enforcement partners in an effort to prosecute those abusing our healthcare system for profit.”
“This audacious multimillion-dollar fraud scheme posed a significant threat to the integrity of government healthcare programs at the expense of taxpayers,” said Special Agent in Charge Derrick L. Jackson of the HHS Office of Inspector General. “Working closely with our law enforcement partners, our agency will continue to protect Medicare and Medicaid from such costly scams.”
“In addition to undermining public health and safety, health care fraud cheats Americans out of more than eighty billion dollars a year in higher premiums and increased out-of-pocket expenses,” said Adrian Gonzales, Postal Inspector in Charge, Houston Division. “The United States Postal Inspection Service is committed to investigations with our law enforcement partners whenever health care fraudsters try to involve the U.S. Mail in their nefarious schemes, as in this case against Northside Pharmacy of Haleyville, Alabama, doing business as Global Compounding Pharmacy.”
“Pursuing those who perpetrate fraud against VA programs and operations is a priority for VA OIG,” said Veteran Affairs Office of Inspector General Criminal Investigations Division Special Agent in Charge David Spilker. “We will continue to work with our law enforcement partners to ensure the integrity of VA programs designed to help our nation’s veterans and their families.”
According to the indictment, Global, which described itself as “one of the top three largest compounding pharmacies in the United States,” primarily shipped compounded and other drugs from its Haleyville facility, but did most of its prescription processing, billing and customer service at its “call center” in Clearwater, Fla. The company hired sales representatives who were located in various states and were responsible for generating prescriptions from physicians and other prescribers. The company also worked with affiliated pharmacies.
The indictment describes a multi-faceted health care fraud and mail fraud conspiracy and scheme in which the defendants billed for medically unnecessary drugs. Aspects of the scheme included paying prescribers to issue prescriptions; directing employees to get medically unnecessary drugs for themselves, family members, and friends, to be filled and billed by Global and other related pharmacies; altering prescriptions to add non-prescribed drugs including controlled substances such as Tramadol and Ketamine; automatically refilling prescriptions—often as many as 12 times—regardless of patient need; routinely waiving and discounting co-pays to induce patients to obtain and retain medically unnecessary drugs; and billing for drugs without patients’ knowledge and hiding that conduct from patients by mailing the drugs to J. Adams’ home. According to the indictment, when prescription drug administrators attempted to police this fraudulent conduct, the defendants evaded and obstructed those efforts, including by providing false information in response to audits and diverting their billing through affiliated pharmacies. In executing the scheme, the defendants billed health insurance plans and their prescription plan administrators over $200 million and were paid over $50 million.
The indictment states that the defendants targeted multiple health insurance plans, including Global’s, Blue Cross Blue Shield of Alabama, and plans providing health insurance to the elderly, disabled, members of the military, and veterans—Medicare, TRICARE, and CHAMPVA, among others. In addition, the defendants targeted the health insurance plans of Medtronic, a medical device company, and Novartis Pharmaceuticals Corp., pharmaceutical company, both known by some of the defendants to have high-reimbursing health insurance. According to the indictment, Adams and Black would hire individuals known to be on Medtronic and Novartis’s health insurance plans, and direct them to get prescriptions for medically unnecessary drugs for themselves, family members, and friends, and then pay them a commission for these prescriptions.
Some of the conduct described in the indictment includes billing for female sex creams issued to male patients, billing for drugs issued to children that Global stated were contraindicated for use by children, and billing for drugs that patients did not need and therefore simply discarded in the trash.
The indictment also charges the defendants with aggravated identity theft, charges J. Adams, Black, and Edenfield with participating in a kickback conspiracy, and charges J. Adams, Black, and Mays with multiple counts of spending the proceeds of health care fraud and mail fraud. Purchases included for private plane travel and expensive watches.
The charges stem from a larger investigation that has to date resulted in 18 additional individuals being charged and signing plea agreements. Those individuals include Global Vice President of Sales Phillip Marks, Operations Manager Jeffrey South, District Manager Angie Nelson, National Field Trainer and sales representative Bridget McCune; sales representatives Bonita Amonett, Roddrick Boykin, Joshlyn Bowen, Erin Brown, Vanessa Case, Peter Eodice II, Jody Hobbs, Robin Lowry, Kelley Norris and Dawn Whitten; billers Fermin Alfonso, Stacey Cardozo, and Christopher Nunez; and a nurse practitioner, Brandy Lunsford.
The maximum penalty for healthcare and mail fraud conspiracy is 20 years in prison and a $250,000 fine. The maximum penalty for health care fraud is 10 years in prison and a $250,000 fine. The maximum penalty for mail fraud is 20 years and a $250,000 fine. The penalty for aggravated identity theft is a mandatory two years, to run consecutive to other counts. The maximum penalty for the kickback conspiracy charge is 5 years in prison and a $250,000 fine. The maximum penalty for spending proceeds of health care fraud and mail fraud is 10 years in prison and a $250,000 fine.
The FBI, HHS-OIG, DCIS, USPIS, IRS-CI, and a United States Attorney’s Office investigator investigated the cases, which Assistant U.S. Attorneys Chinelo Dike-Minor and Don Long are prosecuting. The Veteran Affairs Office of Inspector General Criminal Investigations Division provided assistance in the investigation.
An indictment contains only charges. A defendant is presumed innocent unless and until proven guilty.
###
Tax Preparer Admits Preparing False Federal Income Tax Returns for OthersRead the Press Release
PITTSBURGH, PA – A resident of Westmoreland County, Pennsylvania, has pleaded guilty in federal court on charges of aiding or assisting in the preparation or filing of false federal income tax returns, United States Attorney Scott W. Brady announced today.
Daniel K. Hamilton of Arnold, PA, pleaded guilty to one count before United States District Judge Nora Barry Fischer.
In connection with the guilty plea, the court was informed that between 2010 and 2016, Hamilton, a tax preparer for Cititax Refund Co. in Pittsburgh, prepared federal income tax returns for other persons that included false Schedule C information, and which requested more than $2 million in false Earned Income Tax Credit refunds for the taxpayer.
Judge Fischer scheduled the sentencing for October 2, 2019 at 9 a.m. The law provides for a total sentence of three years imprisonment for each count, a fine of $100,000.00 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the criminal history, if any, of the defendant.
Assistant United States Attorney Gregory C. Melucci is prosecuting this case on behalf of the government.
The Internal Revenue Service-Criminal Investigations conducted the investigation that lead to the prosecution of Daniel K. Hamilton.
Super Bowl, All-Star and NCAA Championship Counterfeit Ticket Producer Sentenced to 4+ Years in PrisonRead the Press Release
PHILADELPHIA – U.S. Attorney William M. McSwain announced that Eugene Smith, 45, of Lithonia, GA was sentenced today to 51 months imprisonment after being convicted of conspiracy to commit wire fraud, wire fraud, conspiracy to traffic in counterfeit goods, and trafficking in counterfeit goods, arising from Smith’s leadership role in the production and sale of counterfeit tickets to sporting events, including the National Football League’s Super Bowl LI (51) in Houston (between the Patriots and the Falcons) and Super Bowl LII (52) in Minneapolis (between the Eagles and the Patriots), a National Basketball Association All-Star game, National Collegiate Athletic Association Championship football and basketball games, and other sporting events and concerts. The counterfeit tickets bore the authentic trademarks of the respective organization or agency that was registered with the United States Patent and Trademark Office. Smith sold the counterfeit tickets at the various venues and also distributed the counterfeit tickets to other sellers nationwide for resale to victims.
Smith targeted events and victims based on profitability – the bigger the event, the bigger the payoff. The scheme involved several steps and multiple players: after determining which events would draw the most profit, Smith provided a real ticket to the event to his printer for use in the production of multiple tickets for the event. Smith would then travel to venues to sell the counterfeit tickets or he provided the counterfeit tickets to other sellers to resell to unwitting fans. This scheme involved sophisticated printing that mimicked the authentic tickets’ markings and hologram.
At Smith’s sentencing hearing, Eric Ferguson, who was also charged with the same offenses, testified that he was recruited by Smith to produce the counterfeit tickets for the sporting events and concerts. The government presented evidence that the face value of the counterfeit tickets printed by Ferguson was at least $170,000, but the government estimated that the actual resale value of the tickets, particularly the Super Bowl tickets, far exceeded their face value.
“This case isn’t just about taking advantage of sports fans’ willingness to spend their hard-earned dollars to enjoy a game; this is about ensuring that consumers of all types can trust that when they spend their money, they are getting the authentic product for which they paid,” said U.S. Attorney McSwain. “Smith is nothing more than a con-artist and thief, and I’m grateful that the judge saw it that way and gave him a sentence that ensures justice for his victims.”
The case was investigated by the Federal Bureau of Investigation and prosecuted by Assistant United States Attorneys Joan E. Burnes and Anita Eve.
Suburban Chicago Man Sentenced to 16 Years in Federal Prison for Attempting to Detonate Explosive Device in Downtown ChicagoRead the Press Release
CHICAGO — A suburban Chicago man was sentenced today to 16 years in federal prison for attempting to detonate an explosive device at a bar in downtown Chicago.
ADEL DAOUD, 25, of Hillside, Ill., attempted to detonate what he thought was a 1,000-pound car bomb at a popular bar in the downtown Loop neighborhood of Chicago on Sept. 14, 2012. Prior to the evening of the planned attack, Daoud had been preaching for violent jihad and expressed an interest in working with operational terrorists. He researched and created a list of potential Chicago-area targets, which included movie theaters, bars and nightclubs, a suburban mall, and military recruiting centers. Unbeknownst to Daoud, the explosive device at the Loop bar was inert and had been constructed by bomb technicians from the Federal Bureau of Investigation. Daoud was arrested on the scene after twice attempting to detonate the purported bomb. He has been in federal custody since then.
U.S. District Judge Sharon Johnson Coleman imposed the sentence in federal court in Chicago.
The sentence was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; John C. Demers, Assistant Attorney General for National Security; and Jeffrey S. Sallet, Special Agent-in-Charge of the Chicago office of the FBI. The government is represented by Assistant U.S. Attorneys Barry Jonas and Tiffany Ardam of the Northern District of Illinois, with assistance by Trial Attorney Bridget Behling of the National Security Division’s Counterterrorism Section.
“Protecting our national security is the Department of Justice’s top priority,” said U.S. Attorney Lausch. “We will continue to work with our law enforcement partners to prevent, disrupt, and defeat terrorist operations before they occur.”
“The conviction and sentencing of Adel Daoud are evidence of the FBI’s commitment to working vigilantly with our local, state, and federal law enforcement partners to prevent violent attacks before they occur,” said SAC Sallet. “This investigation would not have been possible without the joint efforts of our law enforcement community. As long as terrorists threaten the security of our nation, we will unite to shield our citizens from harm. Our message to terrorists is clear: We will find you, we will arrest you, and we will bring you to justice.”
The attempted bombing was one of three cases against Daoud to be resolved today as part of the sentencing order. While he was jailed for attempting to detonate the bomb, Daoud in late 2012 solicited his cellmate to have a violent gang member murder an FBI agent who had posed undercover as a terrorist during the investigation. The murder-for-hire plot was not carried out, and the FBI agent was not injured. The third case against Daoud involved a violent assault on a fellow jail inmate in 2015. While incarcerated at the Metropolitan Correctional Center in Chicago, Daoud attacked an inmate who had drawn what Daoud felt was an insulting picture of the prophet Mohammad. The inmate suffered lacerations on his head and a bite mark on an arm.
Staten Island Man Arrested for Distributing Heroin and FentanylRead the Press Release
A criminal complaint was unsealed today in federal court in Brooklyn charging Nalerton Charles, also known as “Lite,” with conspiring to distribute and distributing more than 40 grams of fentanyl and heroin in Staten Island, New York. Charles was arrested earlier today and is scheduled to be arraigned this afternoon before United States Magistrate Judge Peggy Kuo.
Richard P. Donoghue, United States Attorney for the Eastern District of New York, Ray Donovan, Special Agent-in-Charge, Drug Enforcement Administration, New York Division (DEA), and James P. O’Neill, Commissioner, New York City Police Department (NYPD), announced the charges.
“As alleged, Charles sold heroin laced with fentanyl, and on occasion fentanyl alone, without regard for the potentially deadly consequences of the narcotics to users,” stated United States Attorney Donoghue. “This Office will continue to work tirelessly with our law enforcement partners to save lives by arresting and prosecuting those who contribute to the opioid epidemic by pushing these dangerous drugs.”
“This arrest underscores the dangers posed by opioid traffickers,” said DEA Special Agent-in-Charge Donovan. “Fentanyl is the leading killer among street drugs because of its fatal potency of 2-3 milligrams. Every time you use, you put your life in the hands of a drug dealer. Law enforcement’s tireless effort to safeguard our communities from drug traffickers will continue.”
“Anyone who deals in illegal narcotics, including opioids, should understand that the nation’s best investigators will stop at nothing to fight crime, target traffickers, and keep safe everyone we serve,” stated NYPD Commissioner O’Neill. “I would like to thank the U.S. Attorney for the Eastern District, the DEA, and the investigators involved in this investigation for their efforts which resulted in this arrest.”
As alleged in the complaint, between July 2018 and April 2019, Charles sold at least 40 grams of fentanyl and heroin laced with fentanyl. On September 9, 2018, a 43-year-old individual (Victim-1) died of a drug-related overdose at his residence on Staten Island. Drug packaging found near Victim-1’s body was consistent with the packaging that Charles used for the narcotics he sold. Law enforcement officers obtained video from surveillance cameras outside Victim-1’s residence recorded shortly before his death. The video showed Victim-1 and Charles together. On April 23, 2019, a 29-year-old individual (Victim-2) died of a drug-related overdose at his residence on Staten Island. A search of Victim-2’s phone revealed text messages between Charles and Victim-2. On the morning of Victim-2’s death, he texted Charles, “Is it mix w fentonal…Just wanna know to be careful”. Shortly before Victim-2’s body was discovered, Charles texted Victim-2: “U good”.
Additionally, Charles sold pure fentanyl to a confidential source and an undercover NYPD officer in doses that could have been lethal if consumed.
According to the Centers for Disease Control and Prevention (CDC) and the Department of Justice, drug overdoses have become the leading cause of death for Americans under the age of 50. The increase in overdose deaths has been driven in large part by fentanyl – a drug that has been described as 50 to 100 times more potent than morphine. In New York, from 2014 to 2015, fentanyl overdose deaths rose 135 percent, while heroin overdose deaths rose 28 percent. According to the CDC, in 2016 synthetic opioid overdose deaths — which include fentanyl — more than doubled from 9,580 in 2015 to 19,413.
The charges in the complaint are allegations, and the defendant is presumed innocent unless and until proven guilty. If convicted, the defendant faces a mandatory minimum sentence of five years’ imprisonment and up to 40 years’ imprisonment.
The government’s case is being prosecuted by Department of Justice Trial Attorney Miriam L. Glaser Dauermann of the Criminal Division’s Fraud Section under the supervision of the U.S. Attorney’s Office for the Eastern District of New York and the Criminal Division’s Fraud Section.
The Defendant:
NALERTON CHARLES (also known as “Lite”)
Age: 38
Staten Island, New YorkE.D.N.Y. Docket No. 19-MJ-418
Stamford Man Pleads Guilty to Role in Trafficking Fake Oxycodone Pills Containing Fentanyl AnaloguesRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that DAVID REICHARD, 30, of Stamford, pleaded guilty today before U.S. District Judge Stefan R. Underhill in Bridgeport to a charge stemming from his role in a conspiracy to manufacture and distribute counterfeit oxycodone pills containing fentanyl analogues.
According to court documents and statements made in court, Reichard’s associates purchased fentanyl analogues from suppliers in China. Reichard and his associates then pressed the drug into counterfeit oxycodone pills and mailed the pills to customers who had purchased them on dark web markets.
On April 3, 2018, a court-authorized search of a Stamford residence revealed numerous pills containing approximately 330 grams of fentanyl and acetyl fentanyl, approximately 40 grams of fentanyl analogues in powder form, three pill presses, instructions on how to prepare the fentanyl analogue Carfentanil, a hazardous material suit, a gas/respirator-type mask, and numerous U.S. Postal mail envelopes.
Reichard was arrested on a federal criminal complaint on April 13, 2018. Today, he pleaded guilty to one count of conspiracy to distribute, and to possess with intent to distribute, fentanyl analogue, an offense that carries a mandatory minimum term of imprisonment of 10 years and a maximum term of imprisonment of life. Judge Underhill scheduled sentencing for July 29, 2019.
This investigation is being conducted by the U.S. Postal Inspection Service, Drug Enforcement Administration, Connecticut State Police and Stamford Police Department, with the assistance of the Albanian State Police. The case is being prosecuted by Assistant U.S. Attorney Douglas P. Morabito.
St. Louis Drug Distributor Sentenced for Dealing Cocaine and to Forfeit over $1.1 Million DollarsRead the Press Release
St. Louis, MO – Quentarus Smith, 38, of St. Louis, MO, was sentenced to 7 years’ imprisonment for his participation in a conspiracy to possess with the intent to distribute cocaine, a fine of $25,000, and he was ordered to forfeit over $1.1 million in the sale of drug proceeds. Smith appeared before U.S. District Judge Catherine D. Perry this afternoon.
Smith previously admitted to his participation in a drug trafficking organization engaged in the multi-kilogram shipment of cocaine and marijuana from Los Angeles, California, and Florida, to St. Louis for distribution. Smith was ultimately apprehended by law enforcement returning to St. Louis in possession of over $900,000 in U.S. currency, which investigators have traced as proceeds of his participation in the conspiracy to distribute cocaine.
The Drug Enforcement Administration – St. Louis Office investigated this case. Assistant U.S. Attorneys Erin Granger and Lisa Yemm handled the case for the U.S. Attorney’s Office.
Sioux Falls Man Found Not Guilty of Failure to RegisterRead the Press Release
United States Attorney Ron Parsons announced that a Sioux Falls, South Dakota, man was acquitted of Failure to Register as a Sex Offender as a result of a federal jury trial in Pierre, South Dakota, beginning mid-morning on May 2, 2019, and concluding in the afternoon of May 2, 2019.
Phillip Running, age 32, was indicted by a federal grand jury on February 13, 2019.
The charge alleged that between December 14, 2018, and December 20, 2018, Running, a person required to register under the Sex Offender Registration and Notification Act, and a sex offender by reason of conviction under law, failed to register and update his registration.
The investigation was conducted by the U.S. Marshals Service. The U.S. Attorney’s Office prosecuted the case.
San Fernando Valley Man Convicted in Scheme that Used Stolen Identities to Obtain over $3 Million in Loans, Cars and CashRead the Press Release
LOS ANGELES – A jury has convicted a Northridge man of 51 counts of fraud, money laundering, identity theft and other federal offenses in relation to a scheme that generated at least $3 million.
Turhan Lemont Armstrong, 49, was found guilty Friday afternoon at the conclusion of a two-week trial. Armstrong was convicted of all 51 counts in a grand jury indictment, which included charges of conspiracy to commit financial institution fraud, financial institution fraud, making false statements to financial institutions, conspiracy to commit money laundering, money laundering, conspiracy to commit access device (credit card) fraud, access device fraud, interstate transportation of stolen vehicles, and aggravated identity theft.
The evidence presented at trial showed that Armstrong used stolen identities and Social Security numbers to obtain credit cards, open bank accounts, set up shell companies, apply for loans, and purchase homes and cars. Armstrong and his co-defendants – two of whom previously pleaded guilty – favored using the social security numbers of children, who would be less likely to monitor their credit.
In addition to using fraudulently obtained credit cards to purchase goods, members of the scheme were able to use point-of-sale terminals maintained by “collusive merchants,” which allowed them to make what were essentially cash withdrawals.
Armstrong and his co-conspirators also used the fraudulent information to apply for loans from financial institutions across the country. In some instances, Armstrong obtained loans for cars that had already been exported out of the United States.
During the trial, the jury heard evidence that Armstrong did not report any income to the Internal Revenue Service for the years 2009 through 2017 – yet he maintained residences in Georgia, Florida and the Sherwood Forest neighborhood of Northridge. When authorities went to Armstrong’s apartment in Atlanta in late 2017 to arrest him pursuant to the indictment, he evaded law enforcement, only to be arrested three days later leaving his house in Fort Lauderdale. Investigators executed search warrants at all three of Armstrong’s homes, as well as two storage units in the Los Angeles area, where they discovered false identity documents, hundreds of credit cards in various names, and lists of social security numbers belonging to other people.
Armstrong is scheduled to be sentenced by United States District Judge R. Gary Klausner on August 5. As a result of the guilty verdicts, Armstrong faces a statutory maximum sentence of over 1,000 years in federal prison.
The investigation of Armstrong was conducted by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations. Substantial assistance was provided by the Social Security Administration’s Office of Inspector General, the Miami-Dade Police Department, and the North Miami Beach Police Department.
The matter is being prosecuted by Assistant United States Attorneys Alexander B. Schwab of the Major Frauds Section and Allison L. Westfahl Kong of the General Crimes Section.
Saluda Woman Pleads Guilty to Filing False Tax ReturnsRead the Press Release
Columbia, South Carolina ---- United States Attorney Sherri A. Lydon stated that Brenda Rodgers, age 57, of Saluda, pleaded guilty to Filing a False Tax Return. United States District Court Judge Timothy Cain, of Anderson, accepted the plea and will sentence Rodgers after receiving and reviewing a presentence report prepared by the United States Probation Office.
Evidence presented at the hearing established that from 2012 through 2016, Rodgers was an employee of a property and casualty insurance agency located in Columbia. Rodgers embezzled by writing checks from a particular client’s account to herself and forging the name of her supervisor. During the tax years 2012 through 2016, Rodgers wrote herself 325 checks totaling over $337,000. Rodgers concealed her activity by making false entries in the accounting records and on check stubs. She also removed pages from the bank statements that contained photocopies of the checks transferring funds into her bank account. By creating false entries and removing bank records, Rodgers avoided reporting taxable income associated with her embezzlement. As a result, she avoided tax payments totaling $78,892 for the years 2012 through 2016. As for Count 4 of the Indictment, to which she pleaded guilty, the additional tax she owed that year was at least $27,222.
Rodgers confessed to deputies of the Richland County Sheriff’s Office, explaining that she used the money to pay bills, make car payments, and pay off her mortgage.
The maximum penalty Rodgers faces is three years in federal prison and a fine of $100,000.
The United States Internal Revenue Service and the Richland County Sheriff’s Office investigated the case. Assistant United States Attorney Winston David Holliday, Jr., of the Columbia office is prosecuting the case.
#####
Puerto Rican Coconspirator in Transnational Drug Organization Sentenced to 10 Years in Prison for Attempted Possession of CocaineRead the Press Release
St. Croix, USVI – District Court Judge Anne E. Thompson, on May 6, 2019, sentenced Jean Cruz-Albert, 28, of Puerto Rico, to a mandatory 10 years in prison for attempted possession of cocaine with intent to distribute, United States Attorney Gretchen C.F. Shappert announced. Judge Thompson also sentenced Cruz-Albert to four years of supervised release and ordered him to pay a fine of $500.00 and a special assessment of $100.00.
Cruz-Albert pled guilty to the attempted possession of cocaine on February 26, 2017. Court records reveal that between November 9, 2015 and November 12, 2015, Cruz-Albert and others in a multi-drug trafficking organization made three boat trips from St. Croix in attempt to effect a mid-sea retrieval of cocaine. They conspired to bring drugs to St. Croix and transfer the drugs to Puerto Rico.
On December 13th and 14th of 2014, Cruz-Albert and others successfully effected the mid-sea retrieval of 30 kilograms of cocaine. On or about May 14, 2015, Cruz-Albert and others made another attempt to effect the mid-sea retrieval of drugs by boat. Finally, on November 13, 2015, members of the conspiracy successfully completed another mid-sea retrieval of the cocaine and were subsequently apprehended at Knight’s Bay in St. Croix. Law enforcement agents seized 87 kilograms of cocaine and the conspirators were apprehended.
The case was investigated by the U.S. Drug Enforcement Administration and prosecuted by Assistant U.S. Attorney Alphonso Andrews, Jr.
Providence Man Sentenced for Trafficking CocaineRead the Press Release
PROVIDENCE, RI – A Providence man who admitted to importing cocaine from Puerto Rico into Rhode Island through the U.S. Postal Service and, in return, shipping back large sums of cash to a cocaine distributor in Puerto Rico was sentenced today to one year and one day in federal prison.
Appearing before U.S. District Court Chief Judge William E. Smith, Eliot Figueroa-Rosario, 45, was also ordered to serve 3 years supervised release upon completion of his term of incarceration and to forfeit $32,500 seized by law enforcement. Figueroa-Rosario pleaded guilty on December 7, 2018, to attempted possession with intent to distribute 500 grams or more of cocaine.
Figueroa-Rosario’s sentence is announced by United States Attorney Aaron L. Weisman, Colonel James M. Manni, Superintendent of the Rhode Island State Police, and Joseph W. Cronin, Inspector in Charge of the U.S. Postal Inspection Service, Boston Division.
According to court documents, in May 2017 and May 2018, Figueroa-Rosario was captured on video surveillance shipping parcels to Puerto Rico from the U.S. Postal Service Providence Processing and Distribution Center (P&DC). A court-authorized search of the packages found them to contain $16,000 and $26,000 respectively. The cash was seized by law enforcement.
On June 15, 2018, a Priority Mail package mailed three days earlier from Puerto Rico and addressed to Figueroa-Rosario’s Providence residence was intercepted from the mail stream at the P&DC. The package was examined by a Rhode Island State Police K-9, which detected the presence of a narcotic odor. A court-authorized inspection of the contents of the package revealed 1160 grams of cocaine.
Several days later a Postal Service Inspection undercover agent delivered the package to Figueroa-Rosario’s residence. Figueroa-Rosario accepted the package and was arrested. A court-authorized search of the residence by U.S. Postal Inspectors and members of the Rhode Island State Police High Intensity Drug Trafficking Area Task Force resulted in the seizure of, among other items, evidence of packages shipped from Puerto Rico to Figueroa-Rosario’s residence and $6,500 in cash found hidden in a floor vent.
The case was prosecuted by Assistant U.S. Attorney Gerard B. Sullivan.
###
Proclamations Missing and Murdered American Indians and Alaska Natives Awareness Day, 2019Read the Press Release
On Missing and Murdered American Indians and Alaska Natives Awareness Day, we draw attention to the horrible acts of violence committed against American Indian and Alaska Native people, particularly women and children. Too many American Indians and Alaska Natives are the victims of abuse, sexual exploitation, or murder — or are missing from their communities. Some of those missing may be victims of human trafficking. We must work together as a Nation to correct these injustices and ensure the safety of all Americans, particularly our most vulnerable populations.
American Indian and Alaska Native people face alarming levels of violence. Data from the National Institute of Justice and the Centers for Disease Control and Prevention indicate that more than 1.5 million American Indian and Alaska Native women have experienced violence, including sexual violence, in their lifetimes. American Indian and Alaska Native children attempt and commit suicide at rates far higher than those in any other demographic in our Nation, and often endure disproportionately high rates of endemic drug abuse, violence, and crime.
Ending the violence that disproportionately affects American Indian and Alaska Native communities is imperative. Under my Administration, Federal agencies are working more comprehensively and more collaboratively to address violent crime in Indian country, to recover the American Indian and Alaska Native women and children who have gone missing, and to find justice for those who have been murdered. As a result of these ongoing efforts, we are improving public safety, we are expanding funding and training opportunities for law enforcement in Indian country, and we are better equipping them with tools like access to criminal databases. We have also established improved protocols based on our government-to-government relationships with the tribes, and have become more transparent and accountable in our efforts.
Currently, every United States Attorney’s Office with Indian country jurisdiction has developed sexual assault response and multidisciplinary teams to combat sexual assault and abuse of American Indian and Alaska Native women and children. In addition, the Attorney General has developed a working group dedicated to addressing violent crime in Indian country. This working group has made the development of law enforcement strategies for Missing and Murdered Indigenous People (MMIP) a priority, improving human trafficking training and creating law enforcement initiatives for United States Attorneys.
To help address the significant challenges in collecting data regarding missing and murdered American Indian and Alaska Native people, the Department of the Interior’s Bureau of Indian Affairs (BIA) and the Department of Justice (DOJ) partnered together to capture tribal data through new data fields in the National Missing and Unidentified Persons System. DOJ has also expanded the Tribal Access Program (TAP) and Amber Alert in Indian country to make law enforcement more aware of missing persons and to enhance their ability to be responsive to missing persons reports and Sexual Offender Registration and Notification Act (SORNA) registrants in the area. TAP also enables tribal law enforcement to have access to national law enforcement databases and to immediately and directly enter missing persons reports into them. In addition, BIA’s Tribal Justice Support Directorate funds the training of tribal attorneys in prosecuting domestic violence and partner abuse crimes as part of implementing the Violence Against Women Act.
In Fiscal Years 2018 and 2019, DOJ allocated historic amounts of funding to combat violent crime in Indian country, including to the MMIP efforts of the Office on Violence Against Women (OVW). DOJ set aside close to $300 million from the Crime Victim Fund over two years to assist victims of crime in Indian country. It also expanded the Tribal Special Assistant United States Attorney program, which is aimed at reducing violent crime, including violence against women, in Indian country and building important partnerships between Federal and tribal agencies. In addition, DOJ funds the National Indian Country Training Initiative (NICTI), which continues to provide training at the National Advocacy Center and in the field for Federal, State, and tribal criminal justice and social service professionals.
My Administration will continue working to root out injustice and protect each and every person in America. On Missing and Murdered American Indians and Alaska Natives Awareness Day, we pause to raise awareness of unacceptable acts of violence that profoundly harm American Indian and Alaska Native communities. As a Nation, we honor the lives of all missing and murdered American Indians and Alaska Natives, and we reaffirm our commitment to ensuring that violence against these vulnerable Americans shall not be overlooked or tolerated.
NOW, THEREFORE, I, DONALD J. TRUMP, President of the United States of America, by virtue of the authority vested in me by the Constitution and the laws of the United States, do hereby proclaim May 5, 2019, as Missing and Murdered American Indians and Alaska Natives Awareness Day. I call upon Americans and all Federal, State, tribal, and local governments to increase awareness of the crisis of missing and murdered American Indians and Alaska Natives through appropriate programs and activities.
IN WITNESS WHEREOF, I have hereunto set my hand this third day of May, in the year of our Lord two thousand nineteen, and of the Independence of the United States of America the two hundred and forty-third.
DONALD J. TRUMP
The White House
Portland Man Sentenced to Federal Prison for Attempting to Bribe Ice Deportation OfficerRead the Press Release
PORTLAND, Ore.—Antonio Oswaldo Burgos, 48, of Portland, was sentenced today to four months in federal prison and three years’ supervised release for attempting to bribe a U.S. Immigration and Customs Enforcement (ICE) deportation officer.
According to court documents, on May 24, 2018, Burgos followed an ICE deportation officer in his vehicle from the ICE office in Portland until the officer stopped in a parking lot in Vancouver, Washington. The defendant offered the officer money to deport his wife who he had met in El Salvador and was in the process of divorcing. The officer declined Burgos’ offer and reported the event to the ICE Office of Professional Responsibility (OPR).
On May 31, 2018, the officer made a recorded call to Burgos with the assistance of an OPR investigation team. Burgos offered to the pay the officer $3,000 to remove his wife from the U.S. On June 5, 2018, the officer and OPR team made a second recorded call on which Burgos again offered to pay the officer for his wife’s removal. Burgos and the officer proceeded to discuss logistics for an in-person meeting.
On June 6, 2018, Burgos met the officer in a pre-determined location and offered to pay $4,000 for the removal of his wife and his wife’s minor child from a previous relationship.
On November 20, 2018, Burgos pleaded guilty to one count of bribery of a public official.
This case was jointly investigated by ICE OPR and Homeland Security Investigations. It was prosecuted by Rachel K. Sowray and Claire M. Fay, Assistant U.S. Attorneys for the District of Oregon.
Owner of Canton company that manufactures American flags sentenced to two years in prison for failing to pay $162,000 in taxesRead the Press Release
The owner of a Canton company that manufactures American flags was sentenced to two years in prison for failing to pay more than $162,000 in payroll taxes.
Richard Spencer, 52, was ordered to pay $197,040 in restitution. He previously pleaded guilty to failure to account for, collect and pay over employment taxes.
U.S. Attorney Justin Herdman said: “This defendant did not paying over taxes he collected from his employees, and intentionally misclassified others to avoid taxes. This defendant benefitted from being able to say that his flags were made in America, but he failed to meet his obligations to his employees and the American taxpayer.”
“Richard Spencer did not have any problems with earning income from manufacturing the American flag, but he did have problems with paying employment taxes to the IRS that he withheld from his employees,” said William Cheung, Acting Special Agent in Charge, IRS Criminal Investigation, Cincinnati Field Office. “What is very disturbing about this case is that an IRS audit disclosed that Richard Spencer improperly treated employees as contractors and even after learning the results of the audit he continued to misclassify his employees and continued to fail to pay the employment taxes.”
Spencer controls RS Sewing, which manufactures American flags. Spencer oversaw production, source materials, paperwork and the company’s financial operations, according to court documents.
Spencer, beginning around 2008, reclassified some of his workers from employees to independent contractors. Following an audit in 2011, Spencer was informed he improperly classified the workers as independent contractors, and a penalty was assessed against Spencer. He continued to misclassify some employees and failed to pay employment taxes, according to court documents.
Spencer classified some workers as independent contractors and others as employees, although all RS Sewing workers were required to clock in and out, were paid wages by the hour, were provided materials to make the flags by RS Sewing and were otherwise treated the same by managers, according to court documents.
Spencer from 2012 through 2015, Spencer failed to withhold taxes from workers he knowingly and willfully misclassified as independent contractors. For workers classified as W-2 employees, Spencer withheld federal income, Social Security and Medicare taxes from employees but never paid the money to the IRS, according to court documents.
Overall, he failed to collect, account for and pay over approximately $162,728 of federal employment taxes, according to the indictment.
This case was investigated by the Internal Revenue Service – Criminal Investigations. It was being prosecuted by Assistant U.S. Attorneys Carmen Henderson and Robert Kern.
New York man denies making false statements involving international terrorismRead the Press Release
MISSOULA—A New York City man arrested in April at a Bozeman shooting range today denied charges that he made false statements to the FBI in a terrorism investigation, U.S. Attorney Kurt Alme said.
Fabjan Alameti, 21, of the Bronx, who had recently traveled to Bozeman from New York, pleaded not guilty to a four-count indictment charging him with three counts of false statements to a federal officer in a matter involving terrorism and one count of possession of a firearm by an unlawful user of a controlled substance.
U.S. Magistrate Judge Jeremiah C. Lynch conducted the arraignment and ordered Alameti be detained pending further proceedings. A detention hearing is set for May 15.
If convicted of the most serious crime, Alameti faces a maximum 10 years in prison, a $250,000 fine and three years of supervised release.
Alameti has been in custody since April 3, 2019, when FBI agents arrested him at a shooting range in Bozeman after he allegedly took possession of an M1A firearm he had rented.
Assistant U.S. Attorney Jeff Starnes and Trial Attorney Rebecca Magnone, from the National Security Division’s Counterterrorism Section, are prosecuting the case, which was investigated by the FBI.
Pacer case reference. 19-13. Progress of the case may be monitored through the U.S. District Court calendar and the PACER system. To establish a PACER account, which will allow you to review documents filed in the case, please go to, http://www.pacer.gov/register.html. To access the district court’s calendar, please go to https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.
XXX
New York Man Sentenced After Being Caught En Route to Burning Man with Smorgasbord of Illegal DrugsRead the Press Release
DENVER – Alexander Zelyakovsky, age 46, of New York, was sentenced today by Senior U.S. District Court Judge J. Thomas Marten of the District of Kansas to serve 34 months in federal prison followed by 3 year on supervised release with the first 6 months in home detention for possession with intent to distribute five different controlled substances, announced U.S. Attorney Jason Dunn and Homeland Security Investigations Denver Special Agent in Charge Steven Cagen. The defendant was on his way to the 2018 Burning Man Festival in Nevada to sell the drugs when he was stopped and arrested in Colorado. The defendant appeared at the sentencing hearing in custody and was remanded at its conclusion.
Zelyakovsky was first charged by Criminal Complaint on August 27, 2018. He was indicted by a federal grand jury on September 18, 2018. The indictment was superseded by the filing of an Information on February 20, 2019. The defendant also pled guilty to the Information before Magistrate Judge Gordon P. Gallagher on that day.
According to court documents, including the stipulated facts contained in the plea agreement, on August 25, 2018, the defendant was driving a truck containing several pounds of controlled substances and $26,745 in cash concealed in a compartment in the tailgate of the truck. The defendant intended to distribute the controlled substances at the Burning Man Festival in Nevada, and use the cash he possessed and proceeds from the distribution of the controlled substances to purchase additional quantities of controlled substances for later distribution.
While the defendant drove through Colorado, a Colorado State Patrol (CSP) trooper stopped the defendant for a traffic infraction. During the course of the stop, the defendant consented to a search of the truck he was driving. The trooper noted the tailgate of the truck was unusually heavy and looked behind a factory panel, discovering the controlled substances and currency concealed within. Zelyakovsky was transporting 1125 grams of Ecstasy, 376 grams of Psilocyn mushrooms, .0173 grams of LSD, 229 grams of cocaine and 331 grams of Ketamine.
“Thanks to an alert CSP officer, these drugs are off the streets,” said U.S. Attorney Jason Dunn. “Drug dealers should know that trying to pass through Colorado is risky business. We will catch them and we will prosecute them.”
“This drug dealer had been making huge profits by selling illicit drugs as a multi-state broker,” said Special Agent In Charge Steven Cagen, Homeland Security Investigations Denver. “Now he’s lost his profits, and he’s lost his freedom for 34 months.”
In December 2017, the defendant was stopped by the New York Police Department for a traffic stop. During that stop officers found a marijuana cigarette in the cup holder in the car. After he was ordered out of the car, the defendant fled on foot. After a short chase Zelyakovsky was caught. Around that time officers saw that the defendant had a bag. A search of the bag revealed $11,000 in cash and vials of cocaine for future distribution. Eventually the defendant was released from custody. For purposes of efficiency, the defendant waived venue and pled guilty to the New York offenses in Colorado.
This case was investigated by the New York Police Department, the Colorado State Patrol, and HSI Denver. The defendant was prosecuted by Assistant U.S. Attorney Jeremy Chaffin.
Morgan County man sentenced for failing to update his sex offender registrationRead the Press Release
MARTINSBURG, WEST VIRGINIA – Douglas Brett Bishop, of Great Capacon, West Virginia, was sentenced today to 30 months incarceration for failing to register as a sex offender, United States Attorney Bill Powell announced.
Bishop, age 51, pled guilty to one count of “Failure to Register.” Bishop admitted to failing to register as a sex offender in Morgan County, West Virginia from May to September 2018. Bishop was convicted of a crime in Union County, South Carolina that required him to register as a sex offender under the Sex Offender Registration and Notification Act.
Assistant U.S. Attorney Lara K. Omps-Botteicher prosecuted the case on behalf of the government. The United States Marshal Service and the West Virginia State Police investigated.
This case is prosecuted as part of Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorneys’ Offices, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/.
Chief U.S. District Judge Gina M. Groh presided.
Mineral County man sentenced for firearms chargeRead the Press Release
MARTINSBURG, WEST VIRGINIA – Phillip Arnold Bennett, III, of Piedmont, West Virginia, was sentenced today to 120 months incarceration for a firearms violation, United States Attorney Bill Powell announced.
Bennett, age 31, pled guilty to one count of “Unlawful Possession of a Firearm” in January 2019. Bennett admitted to illegally possessing a .380 caliber pistol in September 2017 in Mineral County.
This case was brought as part of Project Safe Neighborhoods (PSN). Project Safe Neighborhoods is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Assistant U.S. Attorney Lara K. Omps-Botteicher prosecuted the case on behalf of the government. The Potomac Highlands Drug & Violent Crimes Task Force, a HIDTA-funded initiative, and the West Virginia State Police investigated.
Chief U.S. District Judge Gina M. Groh presided.
Mineral County man sentenced for firearms chargeRead the Press Release
MARTINSBURG, WEST VIRGINIA – John Michael Martin, of Keyser, West Virginia, was sentenced today to three years probation for a firearms violation, United States Attorney Bill Powell announced.
Martin, age 30, pled guilty to one count of “Sale or Transfer to a Prohibited Person” in November 2018. Martin admitted to selling a 12-gauge shotgun to Nathan E. Carpenter, who was known to have been convicted of a crime, in April 2018 in Mineral County.
This case was brought as part of Project Safe Neighborhoods (PSN). Project Safe Neighborhoods is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Assistant U.S. Attorney Lara Omps-Botteicher prosecuted the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated.
Chief U.S. District Judge Gina M. Groh presided.
Maryland Man Pleads Guilty to Cyber Intrusion Damaging Oregon's Medicaid Management SystemRead the Press Release
PORTLAND, Ore.—Hossein Heydari, 61, of Gaithersburg, Maryland, pleaded guilty today to one count of fraud and related activity in connection with computers after intentionally damaging the Oregon Medicaid Management Information System (MMIS) and causing it to fail.
“Mr. Heydari’s illegal intrusion of the Oregon Medicaid system posed a serious risk to public health, jeopardizing patient medical exams, diagnoses and treatment,” said Billy J. Williams, U.S. Attorney for the District of Oregon. “If not properly secured, network insiders can pose a serious cyber threat to businesses and government agencies alike.”
“It is very important that the FBI and its partners work to deter future attacks by holding people such as Mr. Heydari responsible for their actions,” said Renn Cannon, Special Agent in Charge of the FBI in Oregon. “If any company or agency in the state suspects a system compromise, contact the FBI’s Oregon Cyber Task Force right away so that our experts can help to mitigate the damage and work to identify the intruder.”
According to court documents, Heydari was formerly employed by Hewlett Packard Enterprises (HPE) as a system administrator and technical support specialist. As part of an HPE contract with the Oregon Health Authority, Heydari had administrative access to Oregon MMIS servers located in Salem, Oregon. On October 28, 2016, Heydari was laid off by HPE. A few days later, he intentionally altered part of the MMIS system causing it to fail and resulting in an 8-hour loss of user functionality.
The Oregon MMIS is a marketplace for medical care providers, pharmacies and patients to exchange eligibility information for care, prescriptions and other benefits provided by Medicaid.
Heydari faces a maximum sentence of 10 years in prison, a $250,000 fine and three years of supervised release. He will be sentenced on August 12, 2019 before U.S. District Court Judge Michael H. Simon.
As part of the plea agreement, Heydari has agreed to pay $44,777 in restitution to the Oregon Health Authority and $31,195 to HPE.
This case was investigated by the FBI’s Oregon Cybercrime Task Force and is being prosecuted by Quinn P. Harrington, Assistant U.S. Attorney for the District of Oregon.
Any public or private entity suspecting a cyber intrusion or attack should contact the FBI through the Internet Crime Complaint Center at www.ic3.gov or by calling your nearest FBI office.
Marshall County man sentenced for drug distributionRead the Press Release
HEELING, WEST VIRGINIA – John Crow, of Moundsville, West Virginia, was sentenced today to 33 months incarceration for distributing methamphetamine, United States Attorney Bill Powell announced.
Crow, age 49, pled guilty to one count of “Conspiracy to Possess with Intent to Distribute and to Distribute Methamphetamine” in February 2019. Crow admitted to conspiring with others to distribute methamphetamine in 2017 and 2018 in Marshall County.
Assistant U.S. Attorney Robert H. McWilliams, Jr., prosecuted the case on behalf of the government. The Drug Enforcement Administration; the Bureau of Alcohol, Tobacco, Firearms, and Explosives; the Marshall County Drug and Violent Crimes Task Force, a HIDTA-funded initiative; the West Virginia State Police; the Tyler County Sheriff’s Office; the Wetzel County Sheriff’s Office; the Sistersville Police Department; the Paden City Police Department; and the New Martinsville Police Department investigated. The Columbus, Ohio, Police Department Gang Crimes Unit assisted in the case.
The investigation was funded in part by the federal Organized Crime Drug Enforcement Task Force Program (OCDETF). The OCDETF program supplies critical federal funding and coordination that allows federal and state agencies to work together to successfully identify, investigate, and prosecute major interstate and international drug trafficking organizations and other criminal enterprises.
Senior U.S. District Judge Frederick P. Stamp, Jr. presided.
Man Sentenced to 15 Years in Prison for Multiple Armed RobberiesRead the Press Release
LAS VEGAS, Nev. – A Las Vegas man was sentenced to 15 years in federal prison and three years of supervised release in connection with multiple armed robberies, announced U.S. Attorney Nicholas A. Trutanich for the District of Nevada.
Bailey Aaron Hall, 23, pleaded guilty to three counts of interference with commerce by robbery and one count of brandishing a firearm during and in relation to a crime of violence. United States District Judge Jennifer A. Dorsey presided over today’s sentencing hearing.
According to court documents, on August 13, 2016, Hall entered a restaurant at North Decatur Blvd. pointing a .45 caliber firearm at an employee and a customer. He demanded money from the register and the employee complied. Hall received approximately $114 of the business cash and fled in a stolen vehicle. A few days later on August 17, Hall entered another restaurant at North Decatur Blvd. pointing a .45 caliber firearm at an employee. He demanded the employee put money from the register into his backpack. The employee explained that the register was locked. Hall then struck the employee in the head with his gun and gave the employee to the count of three to open the register or he would shoot the employee. The employee opened another register and Hall fled with approximately $150 of the business cash in a stolen vehicle. The third armed robbery occurred on August 21 at a grocery store on North Decatur Blvd. Hall entered the grocery store again pointing a .45 caliber firearm at an employee. He told the employee to empty the register and place the money into his backpack. He also demanded cartons of cigarettes. Before exiting the store, Hall dropped the cigarettes and discharged his firearm. He collected the cartons and fled the store with approximately $950 of the business cash and the cartons of cigarettes. Hall again fled in a stolen vehicle.
At the time of the offenses, Hall had absconded from state parole.
The case was investigated by the FBI and Las Vegas Metropolitan Police Department. Assistant U.S. Attorney Alexandra Michael prosecuted the case.
###
Man Pleads Guilty to Selling Crack Cocaine at 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 Nafese J. Sanford, 27, of Buffalo, NY, pleaded guilty to possession with intent to distribute crack cocaine before U.S District Judge Richard J. Arcara. The charge carries a maximum penalty of 20 years in prison and a $1,000,000.
Assistant U.S. Attorney Laura A. Higgins, who is handling the case, stated that on three separate occasions between July 13 and August 8, 2018, law enforcement officers conducted three controlled purchases of crack cocaine from the defendant. The purchases were conducted at the Parkview Tower Apartments, a public housing facility in Lackawanna, NY.
On August 22, 2018, law enforcement officers set up another controlled purchase with Sanford. As he arrived at the Parkview Tower Apartments, officers performed a traffic stop of the defendant after observing him commit a traffic violation. During the stop, Sanford was arrested at the scene.
Today’s plea is the result of an investigation by the Lackawanna Police Department, under the direction of Chief James Michel, and the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division.
Sentencing is scheduled for August 12, 2019, at 12:30 p.m. before Judge Arcara.
# # # #
Lincoln Woman Sentenced for Conspiracy to Distribute MethamphetamineRead the Press Release
United States Attorney Joe Kelly announced that Lisa Marie Booton, 29, of Lincoln, was sentenced today to 10 years, (120 months), in federal prison by Chief United States District Judge John M. Gerrard for conspiracy to distribute and possess with intent to distribute 500 grams or more of methamphetamine mixture. Following the prison term, Booton will serve five years on supervised release.
Information provided to law enforcement indicated that between January of 2013 and August of 2017, Booton was involved in the distribution of at least 1.5 kilograms (approximately three pounds) of methamphetamine mixture in the Lincoln area.
This case was investigated by the Lincoln/Lancaster County Drug Task Force.
Leader of drug trafficking organization sentencedRead the Press Release
INDIANAPOLIS – United States Attorney Josh J. Minkler announced the sentencing of the leader of a drug trafficking organization which distributed large amounts of cocaine and methamphetamine in the Indianapolis area. Brayan Quinonez, 25, was sentenced to 210 months’ imprisonment by U.S. District Judge James R. Sweeney II.
“The stalwart efforts our Assistant U.S. Attorneys and federal agents demonstrate and the impact of their multijurisdictional and international investigations utilizing the Organized Crime Drug Enforcement Task Force (OCDETF) model cannot be understated,” said Minkler. “The remarkable illicit drug and firearm seizures in this case unequivocally make our district a safer place. I commend these efforts and express personal pride and gratitude for the regular sacrifices law enforcement and partner agencies make in the interests of justice.”
Beginning in early 2017, the Federal Bureau of Investigation and Internal Revenue Service investigated the drug trafficking activities of Brayan Quinonez and others; this investigation demonstrated that Quinonez and others were conspiring to distribute controlled substances, including cocaine and methamphetamine. Quinonez distributed multiple kilograms of these substances at a time to customers located in the Indianapolis area; Quinonez received these drugs from sources of supply located in Mexico. Quinonez and others then conspired to launder the proceeds of this vast drug trafficking activity in various ways, including through a series of wire transfers to various nominees in Mexico, who received the drug proceeds on behalf of the source of supply.
This investigation culminated with the execution of numerous federal search warrants at locations in Indianapolis, including Quinonez’s residence and a second location he utilized to further his drug trafficking. In the execution of the search warrants, agents seized over 70 pounds of methamphetamine, six pounds of cocaine, $50,000 in cash, and 17 firearms (four of which were seized from Quinonez’s residence, as pictured below).
This case was jointly investigated by the Federal Bureau of Investigation, Internal Revenue Service Criminal Investigation, the Indianapolis Metropolitan Police Department, Drug Enforcement Administration, Indiana State Police, and the Brownsburg Police Department.
“Residents living in fear because of narcotics trafficking in their neighborhoods by violent individuals such as Mr. Quinonez will never be tolerated,” said Grant Mendenhall, Special Agent in Charge of the FBI’s Indianapolis Division. “This illustrates how the combined resources of the FBI and our law enforcement partners can target criminal enterprises and disrupt the flow of illegal drugs into our communities."
“IRS CI special agents exposed Quinonez’s money laundering activities by expertly tracing drug proceeds through international financial systems,” said Brenda Viteri, Acting Special Agent in Charge of IRS Criminal Investigation. “First, today’s sentencing reinforces the continued success of OCDETF partnerships that IRS CI is proud to support. Second, a word of warning – if you launder illegal money, we will find you; it’s only a matter of time.”
According to Assistant United States Attorney Michelle Brady, who is prosecuting this case for the government, Quinonez must serve five years of supervised release following his prison sentence.
In October 2017, United States Attorney Josh J. Minkler announced a Strategic Plan designed to shape and strengthen the District’s response to its most significant public safety challenges. This prosecution demonstrates the Office’s firm commitment to prosecuting those who engage in organized drug and violent crime. See United States Attorney’s Office, Southern District of Indiana Strategic Plan 2.1
Leader of Lawrence-Based Drug Trafficking Organization Sentenced to 12 Years in Federal PrisonRead the Press Release
BOSTON – The leader of a Lawrence-based heroin and fentanyl trafficking organization was sentenced today in federal court in Boston in connection with orchestrating a wide-ranging operation that distributed multiple kilos of fentanyl and cocaine to customers in Lawrence and surrounding areas – including New Hampshire and Maine.
Juan Anibal Patrone, 29, a Dominican national formerly residing in Lawrence, was sentenced by U.S. Senior District Court Judge Douglas P. Woodlock to 12 years in prison and five years of supervised release. Patrone will be subject to deportation upon completion of his sentence. In September 2018, Patron pleaded guilty to one count of conspiracy to possess with intent to distribute heroin, cocaine, and 400 grams or more of fentanyl and one count of being an alien in possession of a firearm. Patrone has been in custody since his arrest in May 2017.
In May 2017, a large scale law enforcement operation dismantled two Lawrence-based drug trafficking organizations, one run by Patrone, and another led by Santo Ramon Gonzalez Nival, who was a source of supply for Patrone. Patrone and approximately 28 co-conspirators were arrested, including Gonzalez Nival and nine members of his drug trafficking organization. Gonzalez Nival previously pleaded guilty and was sentenced on Sept. 21, 2018, to 135 months in prison.
Patrone ran his organization like a business. He bought drugs from suppliers, such as co-conspirator Domingo Gonzalez Martinez, who sold drugs to Patrone out of the Corniel Market in Lawrence. Patrone personally paid rent for stash houses, including 277 Merrimack Street and 20 Cambridge Street in Lawrence, and paid his brother, Josuel Moises Patrone-Gonzalez, and Oscar Marcano, to prepare and package drugs in those stash houses. He ran a crew of couriers, including some who worked in cars, like Luis Lugo and Leonel Vives, and others who walked the street, such as Daniel Diaz and Andruery Fanas Burgos, telling them specifically where to go and who to see. Similarly, Patrone personally directed his redistributors where to go to purchase narcotics to distribute, including Matthew Shover, Stacey Littlefield, Lacey Picariello, Reynaldo Duran Lora, and Rafael Arce – some of whom came from New Hampshire and Maine to obtain drugs to redistribute outside of Massachusetts. Patrone also paid Euclides Alcantara to register and insure his fleet of vehicles in false names, and to carry drug proceeds to the Dominican Republic.
In addition, Patrone openly discussed the size of his drug business with others, including family. In intercepted calls, he admitted that he had worked in the business for seven years and wanted to return to the Dominican Republic, where he planned to get out of the drug business and live well. Investigators learned from these calls that Patrone’s assets are primarily in the Dominican Republic, and the government has undertaken efforts to freeze and forfeit them as part of his sentence in this case.
Furthermore, during a search of Patrone’s home, agents found a 10mm Auto-Ordnance Corp, loaded with a magazine containing six 10mm rounds of ammunition.
United States Attorney Andrew E. Lelling; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Division; and Peter C. Fitzhugh, Special Agent in Charge of Homeland Security Investigations in Boston, made the announcement today. The Massachusetts State Police and the Andover, Haverhill, Lawrence, Lowell, and Wilmington Police Departments assisted with the investigation. Assistant U.S. Attorney Theodore Heinrich of Lelling’s Narcotics and Money Laundering Unit prosecuted the case.
Jury Finds Eagle Butte Man Guilty of AssaultRead the Press Release
United States Attorney Ron Parsons announced that Jared Bourland, age 38, of Eagle Butte, South Dakota, was found guilty of Assault by Striking, Beating, or Wounding, and Simple Assault as a result of a federal jury trial in Pierre, South Dakota.
The charge of Assault by Striking, Beating, or Wounding carries a maximum penalty of 1 year in federal prison and/or a $100,000.00 fine, 1 year of supervised release, and a $25.00 special assessment to the Federal Crime Victims Fund. The Simple Assault charge carries a maximum penalty of 6 months in federal prison and/or a $5,000.00 fine, 1 year of supervised release, and a $10.00 special assessment to the Federal Crime Victims Fund.
Bourland was indicted by a federal grand jury on November 14, 2017. The charges stemmed from an incident on December 28, 2016, when law enforcement was doing a welfare check at the Bourland residence, based on a call from Bourland’s mother-in-law. When law enforcement arrived, the victim was upset and crying. The victim told law enforcement that Bourland would not let her leave and when asked if she wanted to leave, the victim stated yes, collected her items, and left the residence. Later that night, the victim later disclosed that she had been strangled, kicked, and punched by Bourland. She was transported to the Indian Health Services where she was treated for her injuries.
This case was investigated by the Cheyenne River Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Jay Miller prosecuted the case.
A presentence investigation was ordered and a sentencing date has not been set. The defendant was remanded to the custody of the U.S. Marshals Service.
Jewelry Manufacturer Pleads Guilty to Tax EvasionRead the Press Release
PROVIDENCE – The president and sole owner of a Providence jewelry manufacturing company pleaded guilty on Friday to tax evasion, admitting to the Court that in 2015 he diverted business receipts in order to avoid paying taxes on those receipts.
Byron Urizar, 47, of Lincoln, R.I., President and sole officer of B U, Inc., admitted to the Court that in 2014 and 2015, he diverted a large portion of third-party checks made payable to his business by using a check casher to cash the checks.
Appearing before U.S. District Court Chief Judge William E. Smith, Urizar admitted to using a check casher to cash 268 checks totaling approximately $399,593 in business receipts for the tax year 2015.
Urizar admitted to the Court that he did not inform his accountant that a significant portion of the businesses gross receipts were cashed at the check casher and not deposited into the business bank account. This ensured that the gross receipts reported on his tax returns were based solely on the deposits he made to the business account and not the checks he had cashed at the check casher.
Urizar’s guilty plea to tax evasion is announced by United States Attorney Aaron L. Weisman and Kristina O'Connell, Special Agent in Charge of Internal Revenue Service Criminal Investigation.
Urizar is scheduled to be sentenced on July 19, 2019. Tax evasion is punishable by statutory penalties of up to 5 years imprisonment, 3 years supervised release, and a fine of $250,000 or twice the pecuniary gain or loss.
The case is being prosecuted by Assistant U.S. Attorney Dulce Donovan.
The matter was investigated by IRS Criminal Investigation.
###
Jefferson County man sentenced for destroying mailboxRead the Press Release
MARTINSBURG, WEST VIRGINIA – Derek Wayne Blanken, Jr., of Harpers Ferry, West Virginia, was sentenced today to two months incarceration for destroying a mailbox, United States Attorney Bill Powell announced.
Blanken, age 21, pled guilty to one count of “Destruction of Letter Boxes or Mail” in January 2019. Blanken admitted to destroying a mailbox on Upper Clubhouse Drive in Harpers Ferry in October 2018.
Blanken was also ordered to pay $5,931 in restitution.
Assistant U.S. Attorney Jeffrey A. Finucane prosecuted the case on behalf of the government. The U.S. Postal Service investigated.
Chief U.S. District Judge Gina M. Groh presided.
Indiana Man Sentenced to 96 Months in Prison for Five Pharmacy Robberies in IowaRead the Press Release
DAVENPORT, IA – On Friday, May 3, 2019, Rontel Nijae Mial, age 19, of Indianapolis, Indiana, was sentenced by United States District Court Chief Judge John A. Jarvey to 96 months in prison after pleading guilty to five counts of robbery, announced United States Attorney Marc Krickbaum. Mial was ordered to serve a three year period of supervised release to follow his prison term and a $100 special assessment, per count, payable to the Crime Victims’ Fund.
Mial pleaded guilty to the charges on September 12, 2018. According to court documents, on December 16, 2017, Mial traveled from Indiana to a Walgreens store in Davenport, Iowa, with the intent to rob the pharmacy. Just after 12:00 a.m., Mial entered the store armed with a dangerous weapon, approached the pharmacy counter, displayed the weapon, and demanded the pharmacist give him controlled substances including, but not limited to, oxycontin and oxycodone. Mial utilized a getaway driver/co-defendant, to quickly leave the scene; however, a GPS tracker device was included in one of the stolen pill bottles. Officers with the Davenport Police Department were dispatched to the GPS tracker device’s location. Mial and his co-defendant backed into police squad car, knocked into a parked car, and drove through a yard in attempt to elude officers. Officers were able to safely disable their vehicle. Mial then fled on foot but was apprehended after a short chase.
Further investigation revealed Mial was responsible for four other pharmacy robberies. Specifically, Mial admitted robbing a Walgreens store in Davenport, Iowa, on November 17, 2016; a CVS store in Des Moines, Iowa, on January 14, 2017; a Walgreens store in Davenport, Iowa, on November 1, 2017; and a Walgreens store in Iowa City, Iowa, on November 25, 2017.
This matter was investigated by the Davenport Police Department, Iowa City Police Department and Des Moines Police Department. The case was prosecuted by the United States Attorney’s Office-Southern District of Iowa.
Illegal Alien from Mexico Pleads Guilty to Re-entering United States without PermissionRead the Press Release
ERIE, Pa. - A citizen of Mexico pleaded guilty in federal court to a charge of violating federal immigration laws, United States Attorney Scott W. Brady announced today.
Juan Aranda-Lara, 38, pleaded guilty to one count before United States District Judge Susan Paradise Baxter.
In connection with the guilty plea, the court was advised that on or about December 17, 2018, Aranda-Lara was found to be unlawfully present within the United States. Aranda-Lara had been previously ordered deported and removed from the United States on May 11, 2001 and was removed from the United States on May 15, 2001, September 29, 2009, November 14, 2009, November 24, 2009, December 1, 2009, and November 20, 2014. The defendant subsequently reentered the United States, and was found to be present in this country without the permission of the Attorney General of the United States or his successor the Secretary of the Department of Homeland Security.
Judge Baxter scheduled sentencing for August 22, 2019 at 11 a.m. The law provides for a total sentence of two years in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Marshall J. Piccinini is prosecuting this case on behalf of the government.
Immigration and Customs Enforcement conducted the investigation that led to the prosecution of Aranda-Lara.
Harrisburg Man Sentenced to over Eight Years in Prison for Drug Trafficking and Firearm OffenseRead the Press Release
HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced that Caesar A. Torres-Rodriguez, age 23, of Harrisburg, was sentenced on May 2, 2019, by Chief United States District Court Judge Christopher C. Conner to 100 months’ imprisonment followed by three years of supervised release for drug trafficking and firearm charges.
According to United States Attorney David J. Freed, Torres possessed a firearm in furtherance of trafficking heroin on April 30, 2016, in Dauphin County.
The charge stemmed from an investigation conducted by the Harrisburg Police Department, assisted by the Bureau of Alcohol, Tobacco, and Firearms. Assistant United States Attorney James T. Clancy prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
This case was also brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin. Led by the United States Attorney’s Office, the Heroin Initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.
# # #