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30 May 2019
Former Roseville Firearms Dealer Pleads Guilty to Using Peace Officers’ Identities to Purchase Firearms and to the Sale of a Firearm in Violation of State LawRead the Press Release
SACRAMENTO, Calif. — Joseph John Deaser IV, 49, of Arizona, pleaded guilty today to one count of aggravated identity theft and one count of an illegal sale of a firearm by a federally licensed dealer in violation of state law, U.S. Attorney McGregor W. Scott announced.
Under state law, California has an approved roster of firearms that may be sold to the public. A Federal Firearms Licensee is required to make sure any handgun sold is on the approved roster. There is an exemption, however, that permits licensed dealers to sell “non-roster” firearms, or firearms that do not appear on the approved roster, to sworn peace officers. Peace officers who own non-roster firearms may sell them to the public in a private sale, as long as the sale is brokered by a Federal Firearms Licensee.
According to court documents, Deaser was a federally licensed firearm dealer who owned and operated Capital Gun Club, a members-only gun club in Roseville, California. Between December 2014 and April 2018, in order to circumvent California’s law, Deaser conducted straw purchases of new non‑roster firearms using the names and personally identifying information of peace officers that he had obtained through legitimate firearms transactions. By falsely reporting sales to peace officers, Deaser obtained new “non-roster” firearms registered to peace officers that he then sold to the public.
In order to complete many of the transactions, Deaser completed and signed federal and state firearm transaction forms that the purchaser was required to complete using an officer’s identity as the purchaser. Deaser also placed his finger print — almost always his middle finger — on the state firearm transaction forms in the box designated for the “Purchaser’s Right Thumb Print.” In all, Deaser used the identities of six law enforcement officers to obtain approximately 50 non-roster handguns that he subsequently sold to members of the public, including himself.
This case is the product of an investigation by the U.S. Bureau of Alcohol, Tobacco, and Firearms with assistance from the California Depart of Justice’s Bureau of Firearms. Assistant U.S. Attorneys Michael D. Anderson and Shelley D. Weger are prosecuting the case.
Deaser is scheduled to be sentenced by U.S. District Judge Troy L. Nunley on August 22. Deaser faces a maximum statutory penalty of five years in prison and a $250,000 fine for the illegal sale of a firearm by a licensed dealer in violation of state law and a mandatory two-year prison term consecutive to any other sentence for aggravated identity theft. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Former Owner of Chicago Medical Clinic Sentenced to More Than Six Years in Federal Prison for Selling Opioid Prescriptions to Patients Who Lacked Medical Need for the DrugsRead the Press Release
CHICAGO — The former owner of a Chicago medical clinic was sentenced today to more than six years in federal prison for selling opioid prescriptions to patients whom he knew lacked a legitimate medical need for the drugs.
MOHAMMED SHARIFF, who owned Midtown Medical Center in Chicago’s Uptown neighborhood, conspired with a physician to sell oxycodone, hydrocodone, and other medications to patients whom they knew lacked a medical reason for taking the drugs. At Shariff’s direction, the physician, DR. THEODORE GALVANI, wrote prescriptions for the powerful opioids without conducting an appropriate physical examination or performing any medical tests. Dr. Galvani often met with more than 70 patients per day, sometimes seeing them in groups of two or more at the same time. At Shariff’s direction, a “crew leader” organized groups of people to obtain opioid prescriptions from Dr. Galvani, often leading to long lines that stretched beyond the clinic’s door.
Shariff, 68, of Lincolnwood, pleaded guilty last year to one count of conspiracy to knowingly dispense controlled substances outside the usual course of professional practice and without a legitimate medical purpose. U.S. District Judge Harry D. Leinenweber imposed a 75-month sentence in federal court in Chicago.
Dr. Galvani, of Spring Grove, previously pleaded guilty to drug conspiracy charges. He is awaiting sentencing.
Shariff’s sentence was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; Brian McKnight, Special Agent-in-Charge of the Chicago Field Division of the U.S. Drug Enforcement Administration; Jeffrey Sallet, Special Agent-in-Charge of the Chicago office of the Federal Bureau of Investigation; Tara Sullivan, Acting Special Agent-in-Charge of the Internal Revenue Service Criminal Investigation Division in Chicago; and Lamont Pugh III, Special Agent-in-Charge of the Chicago Regional Office of the U.S. Department of Health and Human Services Office of Inspector General.
“The defendant chose to make his living in a vitally important industry,” Assistant U.S. Attorney Peter M. Flanagan argued in the government’s sentencing memorandum. “Rather than devote himself to people in need of fundamental care, however, he showed an abject disregard of patients and perverted his companies into engines of unlawful profit.”
“This announcement sends a clear message to the medical professionals who exploit their power, prey on the vulnerable, and violate controlled substance laws: you will be investigated and held accountable to the fullest extent,” said DEA SAC McKnight. “It also highlights the significance of federal law enforcement and prosecutors working together.”
According to Shariff’s plea agreement, individuals paid $100 to $200 in cash to Shariff and Galvani in exchange for the improper prescriptions. For individuals insured by Medicare, Shariff and Dr. Galvani prescribed the opioids and then submitted or caused others to submit false claims to Medicare, seeking reimbursement for purported office visits with those individuals, the plea agreement states. From February 2012 to March 2013, Shariff and Dr. Galvani received a total of at least $584,188 through the improper prescription scheme. During the same period, the pair was responsible for prescribing more than two kilograms of oxycodone, more than 595,000 hydrocodone pills, and more than 190,000 alprazolam pills (commonly known as Xanax), to individuals whom they knew had no legitimate medical need for those drugs.
In addition to the improper prescriptions, Shariff attempted to carry out a separate fraud scheme involving a home health care company that he owned, Elgin-based Home Health Resource LLC. In a May 2016 meeting in Chicago, Shariff offered to pay a physician $500 each time the doctor certified a Medicare beneficiary as eligible for home health care and referred the patient to Shariff’s company. Unbeknownst to Shariff, the physician was cooperating with law enforcement, and their conversation was surreptitiously recorded. Shariff told the cooperating physician that Shariff instructed nurses at the company to “tell the patient you are homebound,” and that “when the doctor come, don’t say that you go out and drive and this and that. Don’t tell anybody you drive, don’t tell anybody you’re taking the bus, even going to the groceries. If anybody asks, ‘I stay home. I’m homebound.’”
Former Manager of North Kenner Post Office Sentenced to 30 Months for Stealing More Than $630,000 in Postal StampsRead the Press Release
NEW ORLEANS – United States Attorney Peter G. Strasser announced today that RYAN S. CORTEZ, age 47, of Des Allemands, Louisiana, was sentenced today for Misappropriation of Postal Funds.
According to court records, special agents with the U.S. Postal Service, Office of Inspector General (“USPS-OIG”) were notified by PayPal and eBay regarding significant quantities of U.S. Postal stamps being sold by CORTEZ on eBay. A subsequent investigation by Postal OIG revealed that, as manager, CORTEZ had increased the North Kenner Post Office’s reserve stamp stock by more than $600,000. Subpoenaed records from CORTEZ'S Regions Bank account revealed substantial deposits, including more than $58,000 in a one-month period in the summer of 2018.
During their investigation, Postal OIG agents determined CORTEZ withdrew thousands of dollars on a regular basis at the Harrah’s Casino in New Orleans. Harrah’s records revealed CORTEZ lost over $667,000 since 2011 and lost over $220,000 in 2017. Postal records indicate CORTEZ earned an annual salary of $70,818.
On October 10, 2018, Postal OIG special agents executed a federal search warrant issued by a federal magistrate judge at CORTEZ’s residence in Des Allemands. Agents found evidence linking CORTEZ to the ordering of the stamps from the Stamp Fulfillment Center thus increasing the reserve stamp stock for the North Kenner Post Office. During the search of the Post Office, Postal OIG special agents advised CORTEZ of his Miranda rights and told him that they wanted to discuss financial issues with the Post Office. CORTEZ admitted to Postal agents that he had stolen stamps from the North Kenner Post Office and sold them on eBay. When asked to estimate the dollar amount of stamp stock that had been stolen, CORTEZ responded, “Hundreds of thousands.” CORTEZ claimed he began selling stamps on eBay in 2015. CORTEZ said he was addicted to gambling and the money obtained from the illegal sale of stamps was to support his gambling addiction. CORTEZ confirmed he manipulated stamp stock counts by using another supervisor’s password to access the computer system. As a result, existing internal controls failed to detect the theft of these stamps.
In total, Postal records reveal that CORTEZ stole over $630,000 in U.S. stamps and sold them on eBay. According to Postal authorities, CORTEZ’s illegal activities constitute one of the largest internal Postal thefts by a Postal Service employee in the history of the U.S. Postal Service.
United States District Court Judge Barry W. Ashe sentenced CORTEZ to 30 months imprisonment, followed by three (3) years of supervised release, and ordered CORTEZ to pay restitution in the amount of $856,801.41.
U.S. Attorney Peter G. Strasser praised the work of the U.S. Postal Service, Office of Inspector General. The prosecution of this case is being handled by Assistant U.S. Attorney Brian M. Klebba, Supervisor of the Financial Crimes Unit.
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Former High-Ranking Member of Sinaloa Drug Cartel Sentenced to 15 Years in Prison for Trafficking Narcotics to ChicagoRead the Press Release
CHICAGO — A former high-ranking member of the Sinaloa drug cartel in Mexico was sentenced today to 15 years in prison for his role in trafficking large amounts of illegal drugs to the Chicago area.
VICENTE ZAMBADA-NIEBLA conspired with other Sinaloa members to import and distribute large quantities of illegal drugs into the United States. From approximately 1996 to 2008, Zambada-Niebla oversaw shipments of narcotics from Central and South America into Mexico and eventually into the U.S. The cartel covertly transported the drugs via private aircraft, submarines, container ships, fishing vessels, buses, tractor-trailers, automobiles, and other methods. Zambada-Niebla also oversaw the corresponding transfer of drug proceeds back to Mexico.
Zambada-Niebla, 44, has been in law enforcement custody since March 2009. He pleaded guilty in 2013 to a drug conspiracy charge and agreed to cooperate with the U.S. government in its efforts to dismantle the Sinaloa Cartel and one of its rivals, the Beltran-Leyva organization, and hold their leaders accountable in U.S. courts.
U.S. District Chief Judge Ruben Castillo imposed the 15-year sentence in federal court in Chicago.
The sentence was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; and Brian McKnight, Special Agent-in-Charge of the Chicago Field Division of the U.S. Drug Enforcement Administration. Valuable assistance was provided by the Internal Revenue Service Criminal Investigation Division in Chicago, and the Chicago Police Department.
“Zambada-Niebla played a major role in flooding the streets of Chicago with dangerous narcotics,” said U.S. Attorney Lausch. “Not only has he been brought to justice for his actions, but his extensive cooperation led to charges against dozens of other high-level drug traffickers in courts throughout the United States.”
“The DEA law enforcement team and prosecutorial partnerships continue to thrive and this sentencing is just one result of those great partnerships,” said SAC McKnight. “Members of the Sinaloa Cartel’s leadership have been held accountable for their actions. DEA will continue to focus investigative efforts to arrest the remainder of the Sinaloa Cartel leaders who are operating in Mexico to face justice in the United States.”
Zambada-Niebla is one of more than 20 members of the Sinaloa and Beltran-Leyva cartels to be indicted in federal court in Chicago. The investigation has resulted in seizures of approximately $30.8 million, approximately eleven tons of cocaine, 265 kilograms of methamphetamines, and 78 kilograms of heroin.
Former Grove City Man Sentenced to 17½ Years in Prison for Producing Child PornographyRead the Press Release
PITTSBURGH, PA - A former resident of Grove City, Pennsylvania, has been sentenced in federal court to 17 years and 6 months in prison, followed by 20 years of supervised release, on his conviction of production of material depicting the sexual exploitation of a minor, United States Attorney Scott W. Brady announced today.
United States District Judge Arthur J. Schwab imposed the sentence on Matthew Switzer, 33.
According to information presented to the court at the time of Switzer’s guilty plea, Switzer coerced a four-year-old female to engage in sexually explicit conduct on multiple occasions for the purpose of producing at least 13 visual depictions of such conduct. The photographs were later discovered by the victim’s mother and forensically retrieved from his Gmail account by members of the Pennsylvania State Police and the Federal Bureau of Investigation. Switzer faces numerous state charges in Mercer County, which allege, among other things, that he also sexually assaulted another minor female.
Assistant United States Attorney Carolyn J. Bloch prosecuted this case on behalf of the government.
The Federal Bureau of Investigation and the Pennsylvania State Police conducted the investigation leading to the prosecution of Switzer.
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.justice.gov/psc.
Former Bank Teller Sentenced in White Plains Federal Court for Participating in Violent Bank Robbery in October 2013Read the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced that VIRGINIA BLANCO was sentenced yesterday to 10 years in prison for participating in the robbery of a Wells Fargo Bank branch in Yonkers, New York, in October 2013. BLANCO was previously found guilty on all counts of a three-count Indictment that charged her with conspiracy to commit bank robbery, bank robbery, and aiding and abetting the discharge of a firearm in furtherance of the robbery. The verdict came following a four-day jury trial in White Plains federal court before U.S. District Judge Cathy Seibel.
U.S. Attorney Geoffrey S. Berman said: “Virginia Blanco brazenly used her inside knowledge to further an armed robbery at a Wells Fargo Bank branch in Yonkers. By providing the robbers with critical information about the Bank’s security, personnel, and procedures, she set the stage for the violent episode. Blanco’s lengthy sentence makes clear that enablers and facilitators of bank robberies – even if they’re not the ones storming the bank, pulling the trigger, or directly terrorizing the innocent bystanders – will face justice for their conduct.”
According to the allegations contained in the Indictment and evidence presented during the trial in Manhattan federal court:
In or about October 2013, BLANCO was working as a teller at a Wells Fargo Bank branch located at 500 Odell Avenue in Yonkers, New York (the “Bank”). She conspired with co-defendant Giovanny Marte to rob the Bank and provided critical information to Marte that allowed him and his co-conspirators to carry out the robbery successfully. On October 29, 2013, at approximately 3:17 p.m., Marte and three co-conspirators arrived at the Bank. One co-conspirator remained in the car while Marte and two co-conspirators entered the Bank. Marte and another robber each brandished a firearm and the third robber brandished a wood saw. During the robbery, Marte fired two shots but did not hit anyone. He accessed the vault, filled a laundry bag with approximately $303,500 in cash, and fled the Bank with the other robbers. Following the robbery, BLANCO and Marte took a trip together to Aruba using proceeds from the robbery.
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Judge Seibel sentenced BLANCO to a mandatory minimum sentence of 10 years in prison for aiding and abetting the discharge of a firearm in furtherance of the robbery, in addition to one day of imprisonment for the bank robbery conspiracy and the bank robbery. The latter sentence will be served consecutively to the 10-year prison term. In addition, Judge Seibel imposed restitution in the amount of $303,500.
Mr. Berman praised the outstanding investigative work of the FBI’s Westchester County Safe Streets Task Force, which comprises agents and detectives of the FBI, United States Probation, the City of Yonkers Police Department, the City of Peekskill Police Department, the City of Mount Vernon Police Department, the New York City Police Department, the Westchester County Police, the Greenburgh Police Department, New York State Police and the Westchester County District Attorney’s Office.
The prosecution is being handled by the Office’s White Plains Division. Assistant U.S. Attorneys Sam Adelsberg, Jamie Bagliebter, Margery Feinzig, Douglas Zolkind, and James McMahon are in charge of the prosecution.
Florida Man Accused of Human Trafficking Enters Guilty PleaRead the Press Release
United States Attorney Richard W. Moore of the Southern District of Alabama announces that United States District Court Terry F. Moorer accepted the guilty plea of Tee-Henry Wulu Currens, 22, on May 23, 2019, to the violation of 18 United States Code 2421-Transporting Any Individual in Interstate Commerce Intending to that Individual Engage in Prostitution.
In January 2019, Currens first met the female victim (FV) while she was working as a prostitute in Jacksonville, Florida, initially becoming her client. Soon after, Currens volunteered to work as his victim’s driver and provide her with security. The FV told investigators that Currens became abusive, controlling, and forced her to meet with clients, and Currens would subsequently keep all the money from the trafficking event. The FV stated that Currens would force her to have sex with clients and that he would physically beat her if she refused to be trafficked.
On or about March 1, 2019, Currens drove the FV from Panama City, Florida to the Mobile, Alabama area for the purpose of trafficking her during Mardi Gras celebrations.
On March 02, 2019, the Robertsdale Police Department received a 911 call from the FV, who had managed to get away from Currens during a stop at a local gas station. The FV reported that she had been kidnapped by Currens out of Florida and brought to Alabama to engage in prostitution. Upon their arrival, Robertsdale Police noted the FV was visually upset and had bruising on her head, face, and legs consistent with assault.
Currens made post Miranda statements to law enforcement where he admitted to the FV’s account of how the two had met. Currens also admitted that the two were from Florida and travelling to Mobile for the purpose of having the FV engage in prostitution. He stated they had argued while in Florida, where the FV had asked that he leave, but Currens refused.The Robertsdale Police Department, Department of Homeland Security, Mobile Field Office investigated this case. “Human trafficking is a form of modern-day slavery, and the threats and abuse inflicted on these particular victims only adds to the heinous nature of the crime,” said Special Agent in Charge of Homeland Security Investigations Atlanta Nick S. Annan. “HSI is committed to working with our law enforcement partners to find and prosecute criminal traffickers while ensuring the victims of this terrible crime are rescued and get the care they need.” Assistant United States Attorney Christopher Baugh prosecuted the case for the United States Attorney’s Office for the Southern District of Alabama.
Five More Individuals Indicted by Federal Grand Jury for Suspected Felony Lane Gang-Type Criminal Activity in Baton Rouge and Across LouisianaRead the Press Release
United States Attorney Brandon J. Fremin announced today the recent unsealing of a federal grand jury indictment charging five defendants with conspiracy to commit bank fraud, bank fraud, and conspiracy to commit access device fraud. The indictment is the latest set of charges in a lengthy federal investigation that has spanned numerous jurisdictions across several states and has resulted in charges against ten (10) different individuals for participating in a fraudulent scheme targeting victims in the Middle District of Louisiana.
According to the indictment, which was filed under seal in December 2018 and recently unsealed by the court, the defendants allegedly engaged in an extensive criminal scheme to break into unattended vehicles, steal the victims’ licenses, checkbooks, and credit and debit cards, and then use the stolen items to conduct fraudulent financial transactions at the victims’ banks. The defendants charged in this indictment began targeting victims in Louisiana in August of 2016 and continued to engage in criminal conduct in Louisiana (among other states) through February of 2017. The latest indictment includes charges against the following individuals:
- Michael D. Gibbs, a/k/a “BG,” age 26, of Ft. Lauderdale, Florida, is charged with conspiracy to commit bank fraud, bank fraud, and conspiracy to commit access device fraud.
- Brandon J. Gassett, a/k/a “Boot Daddy” and “Twan,” age 28, of Ft. Lauderdale, Florida, is charged with conspiracy to commit bank fraud, bank fraud, and conspiracy to commit access device fraud.
- Raymond B. Mathews, a/k/a “Boot” and “Bo,” age 33, of Ft. Lauderdale, Florida, is charged with conspiracy to commit bank fraud and bank fraud.
- Geoffrey D. Green, a/k/a “Deep” and “D,” age 35, Lauderhill, Florida, is charged with conspiracy to commit bank fraud, bank fraud, and conspiracy to commit access device fraud.
- Frank Jackson, age 25, of Lauderdale Lakes, Florida, is charged with conspiracy to commit bank fraud and bank fraud.
Five additional individuals have already been convicted and sentenced to federal prison for their roles in this criminal scheme. Erin Brown, age 23, of Newport, Tennessee, Natasha Hammett, age 29, of Opa-Locka, Florida, and Tina Eggleston, age 48, originally from San Fernando, California, have each been convicted of conspiracy to commit bank fraud. Johnny Jones, age 32, of Fort Lauderhill, Florida, and Allen Clark, age 30, of Margate, Florida, have each been convicted of conspiracy to commit bank fraud and possession of unauthorized access devices.
U.S. Attorney Brandon J. Fremin stated, “Unfortunately, criminals these days know no borders. This indictment illustrates that criminals are willing to travel far and wide to defraud innocent victims. This indictment and prior related bills of information against a total of ten members of a group who were working together to victimize citizens here in our community sends a very clear message – we are not open for your type of business. We will continue to work with federal, state, and local law enforcement, throughout the country, to find organized criminals like these and bring them to justice in order to protect our citizens. I want to thank our prosecutors, and all of the numerous law enforcement agencies and officers around the country, who have worked tirelessly to bring these fraudsters to justice.”
Eric J. Rommal, FBI New Orleans Field Office Special Agent in Charge, stated, “The FBI New Orleans Field Office will vigorously investigate all forms of financial crimes regardless of the subjects' background, financial status or relation to the victims.”
This matter is being investigated by the Federal Bureau of Investigation, the Jefferson Parish Sheriff’s Office, the Baton Rouge Police Department, the East Baton Rouge Parish Sheriff’s Office, Ascension Parish Sheriff’s Office, Walker Police Department, Lafayette Police Department, Covington Police Department, Oxford (Mississippi) Police Department, Florida Highway Patrol and Asheville (North Carolina) Police Department. The investigation has received substantial assistance from the 19th JDC District Attorney’s Office in East Baton Rouge, Louisiana, the Johnson County, Wyoming Prosecuting Attorney’s Office, and the Third Judicial Circuit of Florida State Attorney’s Office. This matter is being prosecuted by Assistant United States Attorneys Alan Stevens and Chris Dippel, who both serve as Deputy Criminal Chiefs, and former AUSA Cal Leipold.
NOTE: An indictment is an accusation by a grand jury. The defendants are presumed innocent until and unless adjudicated guilty at trial or through a guilty plea.
Fayette County Woman Pleads Guilty to Federal Drug ChargeRead the Press Release
CHARLESTON, W.Va. – A Fayette County woman who sold heroin and fentanyl to an informant and possessed heroin, fentanyl, and methamphetamine pled guilty to a federal drug charge, announced United States Attorney Mike Stuart. Jessica Lynn Hall, 29, of Fayetteville, entered a guilty plea to possession with intent to distribute 50 grams or more of methamphetamine and quantities of heroin and fentanyl. Stuart commended the investigative efforts of the Central West Virginia Drug Task Force (CWVDTF).
“Meth. Heroin. Fentanyl and guns. All powerful and deadly,” said United States Attorney Mike Stuart. “Great work by the Central West Virginia Drug Task Force in putting an end to Hall’s drug dealing.”
In January 2019, Hall sold heroin and fentanyl to an informant on three occasions at her Deepwater Mountain Road residence in Fayetteville. On January 15, 2019, members of the CWVDTF executed a search warrant at the residence and seized 446 grams of methamphetamine, 89.59 grams of heroin, 90.82 grams of fentanyl, and three handguns. Hall’s boyfriend, Jason Treadway, 38, was also charged with distribution of heroin and possession with intent to distribute methamphetamine, heroin, and fentanyl. His trial is scheduled for July 22, 2019. Hall faces 5 to 40 years in federal prison when she is sentenced on September 11, 2019.
Assistant United States Attorney Joshua C. Hanks is handling the prosecution. United States District Judge Irene C. Berger presided over the plea hearing.
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Fall River Woman Sentenced for Smuggling Drugs into MCI-Cedar JunctionRead the Press Release
BOSTON – The mother of an MCI-Cedar Junction inmate was sentenced today in federal court in Boston in connection with smuggling drugs into the facility.
Margaret Guillemette, 59, of Fall River was sentenced by U.S. District Court Judge Indira Talwani to time served (five days), two years of supervised release and 200 hours of community service. In March 2019, Guillemette pleaded guilty to one count of conspiracy to distribute Suboxone and Alprazolam. In September 2018, she was charged along with Chad Connors, 42, and William Guillemette, 39, both inmates at Massachusetts Correctional Institute – Cedar Junction (MCI-CJ) in South Walpole, and Lisa Guillemette, 42, also of Fall River.
Chad Connors and William Guillemette were inmates housed at MCI-CJ’s Departmental Disciplinary Unit (DDU). It is alleged that Connors was involved in a romantic relationship with Christine Ramos, a nurse assigned to the DDU. At Connors’ request, Ramos agreed to smuggle contraband, including controlled substances, into MCI-CJ. In order to do this, Ramos opened two P.O. Boxes through a third party. Connors allegedly sent letters and money to Ramos at these P.O. Boxes and, at William Guillemette’s direction, his mother, Margaret, and his wife, Lisa, obtained and sent Suboxone and Alprazolam to the P.O. Boxes. Ramos subsequently smuggled the drugs into the DDU and delivered them to Connors. William Guillemette and, allegedly, Connors distributed the drugs to other inmates, who sent checks to Margaret and Lisa Guillemette as payment for the drugs. Suboxone and Alprazolam are Schedule III and Schedule IV controlled substances, respectively.
William Guillemette and Lisa Guillemette previously pleaded guilty and are awaiting sentencing. Ramos was sentenced in April 2019 to two years of probation after pleading guilty to one count of conspiracy to distribute Suboxone and Alprazolam. Connors has pleaded not guilty and his case is pending.
The charge of conspiracy to distribute Suboxone and Alprazolam provides for a sentence of no greater than 10 years in prison, three years of supervised release, a fine of $500,000 and forfeiture. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines.
United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Commissioner Carol Mici of the Massachusetts Department of Correction; and Joseph W. Cronin, Inspector in Charge of the U.S. Postal Inspection Service’s Boston Division made the announcement today.
The details contained in the charging documents are allegations. The remaining defendant is presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Experienced Prosecutor Arrives in DurangoRead the Press Release
DURANGO – U.S. Attorney Jason Dunn today announced that experienced prosecutor R. Josh Player has joined the Durango Branch Office of the United States Attorney’s Office for the District of Colorado. Assistant United States Attorney (AUSA) Player comes to Durango after serving as a Deputy District Attorney in the Salt Lake County District Attorney’s Office. During that time, AUSA Player also served as a Special Tribal Prosecutor for the Ute Tribe on the Uintah-Ouray Reservation, Confederated Tribes of the Goshute Nation, and Ely Band of Shoshone for certain matters. This experience provides AUSA Player with an important background that will help him address issues that arise in the Durango Branch Office, which prosecutes criminal cases from the Ute Mountain Ute or the Southern Ute Indian Tribes. AUSA Player joins existing AUSA Jeff Graves, Paralegal Amy Connor and Contract Legal Assistant Loana Serrano in the Durango Office. The Durango Office is a branch office for the District of Colorado, which has another office in Grand Junction and headquarters in Denver.
Eight San Fernando Valley Residents Arrested in Check-Kiting Scheme that Allegedly Defrauded Banks out of nearly $1.5 MillionRead the Press Release
LOS ANGELES – Federal authorities this morning arrested eight people named in a federal grand jury indictment that alleges check-kiting schemes that used hundreds of altered Armenian passports to fraudulently open bank accounts and steal nearly $1.5 million from Bank of America and Wells Fargo. A ninth defendant in this case is currently being sought by authorities.
The investigation led by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations found that the defendants obtained genuine Armenian passports issued to other people, altered the passports to include the photos of the defendants, and used the fraudulent documents to obtain other identity documents and to open bank accounts at the victim banks.
The 36-count indictment unsealed today alleges that the defendants used the bank accounts, which were opened in the names that appeared on the altered passports, to write bad checks to other fraudulently obtained bank accounts. The defendants allegedly exploited bank rules that allowed them to transfer money from one account to another, and then to immediately withdraw funds at ATMs in Las Vegas casinos and other locations before the checks bounced.
The indictment alleges that the defendants used 331 fraudulently altered Armenian passports to steal, or attempt to steal, $1,556,336 from Bank of America. They actually obtained approximately $1.12 million.
Three of the defendants were also charged with perpetrating a similar fraud scheme against Wells Fargo that resulted in a loss of approximately $370,000.
The defendants arrested this morning are:
- Ara Malkhasyan, 48, of Winnetka;
- Smbat Khechumyan, 38, of North Hollywood;
- Sveta Khechumyan, 45, of Winnetka, who is Smbat’s sister and the wife of Malkhasyan;
- Harutyun Petrosyants, 30, of Van Nuys;
- Artur Harutyunyan, 34, of Encino;
- Khachatur Chobanyan, 38 of Van Nuys;
- Jivan Hakhnazaryan, 49, of Van Nuys; and
- Arman Grigoryan, 37, of North Hollywood.
The ninth defendant in this case – Artak Okhoyan, 29, of Burbank – has agreed through his attorney to surrender to federal authorities tomorrow.
The defendants arrested today are expected to be arraigned on the indictment this afternoon in United States District Court in downtown Los Angeles.
The indictment charges all of the defendants with conspiracy to commit bank fraud, a charge that carries a statutory maximum penalty of 30 years in federal prison. Additionally, all of the defendants are charged in at least one substantive count of bank fraud and aggravated identity theft.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.
During this investigation, Homeland Security Investigations received substantial assistance from the Los Angeles Police Department, the Los Angeles County Sheriff’s Department, and the Federal Bureau of Investigation.
This matter is being prosecuted by Assistant United States Attorneys Katherine A. Rykken of the Major Frauds Section, and Lucy B. Jennings and Kevin Butler of the General Crimes Section.
East Brookfield Man Indicted for Illegally Operating an Aircraft, Making False Statements and Attempted Witness TamperingRead the Press Release
BOSTON – A federal grand jury has indicted an East Brookfield man in connection with unlawfully operating an aircraft, making false statements to federal investigators, and attempting to tamper with a witness.
Antonio Santonastaso, 59, was indicted on one count of serving as an airman without an airman certificate, two counts of making false statements to federal agents and one count of attempted witness tampering. Santonastaso was arrested and charged by complaint earlier this month.
According to court documents, the Federal Aviation Administration (FAA) revoked Santonastaso’s license to pilot an aircraft in 2000, after he participated in the theft of a helicopter from Norwood Memorial Airport. Despite being aware of that revocation, Santonastaso operated a Robinson R-22 helicopter – taking off and landing from his backyard – more than 50 times between April 28, 2018 and Nov. 11, 2018. FAA inspectors reviewed the path Santonastaso used when taking off and landing from his backyard, and concluded that it was extremely hazardous.
When questioned by the FAA and federal agents, Santonastaso repeatedly made false statements regarding his eligibility to pilot the helicopter. Among other things, Santonastaso falsely claimed to have not learned that the FAA had revoked his license, and made false statements regarding his applications for a medical certificate, which is required in order to operate an aircraft.
The indictment further alleges that Santonastaso attempted to corruptly persuade an individual with the intent to hinder, delay, and prevent that individual from reporting to law enforcement Santonastaso’s illegal helicopter flights.
The charging statutes provide for a sentence of no greater than 20 years in prison, up to three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling and Douglas Shoemaker, Special Agent in Charge of the U.S. Department of Transportation, Office of the Inspector General, made the announcement. Assistant U.S. Attorney Evan Panich of Lelling’s Office is prosecuting the case.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
D’Iberville Man Pleads Guilty to Gun ChargesRead the Press Release
Gulfport, Miss – Anh Viet Quach, 42, of D’Iberville, Mississippi, pled guilty yesterday before U.S. District Judge Louis Guirola Jr. to possession of a firearm in furtherance of a drug trafficking crime, announced U.S. Attorney Mike Hurst and Acting Special Agent in Charge Luis M. Quesada with the Federal Bureau of Investigation.
In May, 2016, The Mississippi Bureau of Narcotics, working with the FBI Safe Streets Task Force, obtained information that an individual in D’Iberville was selling large quantities of high grade marijuana. Following surveillance, agents approached Quach and obtained a search warrant for his home. They found approximately 42 pounds of high grade marijuana, $7,200 in cash, a currency counter and a Berretta 9mm handgun. Quach admitted receiving 420 pounds of marijuana by mail from California, which he sold for $2800 per pound. Quach has prior felony gang related convictions from California.
Quach will be sentenced by Judge Guirola on August 22, 2019 at 1:30 p.m., and faces a maximum penalty of life in prison and a $250,000 fine.
The Mississippi Bureau of Narcotics and the Federal Bureau of Investigation investigated the case. The case is prosecuted by Assistant United States Attorney Annette Williams.
Drug Trafficker from Central Louisiana Convicted at Trial by JuryRead the Press Release
ALEXANDRIA, La. – United States Attorney David C. Joseph announced today that a federal jury convicted George Earl White Jr., 36, of Alexandria, for his role in distributing illegal narcotics in Rapides Parish.
After a three-day trial, presided over by United States District Judge Dee D. Drell, White was found guilty of one count of conspiracy to possess with intent to distribute methamphetamine, heroin and cocaine. Testimony presented during his trial showed that White conspired with Derrick Anthony Felton, 40, of Alexandria, Reginald Felton Jr., 27, of Colfax, Louisiana, and Darian Dewayne Napoleon, 35, of Colfax, to sell methamphetamine, heroin and cocaine in the central Louisiana area. Law enforcement agents found that Derrick Felton would travel to California to obtain large quantities of methamphetamine and then ship the methamphetamine back to Louisiana.
During the course of the investigation, Louisiana State Police seized approximately 33 kilograms of methamphetamine, 1 kilogram of heroin, 1 kilogram of powdered cocaine and 4 pints of promethazine cough syrup. Law enforcement agents learned that Derrick Felton intended to distribute the drugs to White and the other members of the conspiracy in order for them to then sell to users.
“The evidence was strong in this case and pointed the jury to a guilty verdict,” said U.S. Attorney David C. Joseph. “This defendant and his co-conspirators were spreading dangerous drugs throughout Central Louisiana. I hope this conviction sends the clear message that we will not tolerate those who seek profit in the misery and death caused by the drug trade. My office will continue to work with our law enforcement partners to disrupt criminal organizations that threaten our communities. I want to thank the prosecutors in my office for a job well done and the FBI Safe Streets Task Force and Louisiana State police for their hard work investigating this case.”
White’s co-conspirators all pleaded guilty to the distribution charge. Darian Napoleon pleaded guilty on February 25, 2019, Reginald Felton pleaded guilty on February 26, 2019, and Derrick Felton pleaded guilty on March 8, 2019. The defendants face 10 years in prison, five years of supervised release and a $10 million fine. The court set White’s sentencing date for September 5, 2019. Derick Felton is scheduled to be sentenced on June 21, 2019. Reginald Felton and Darian Napoleon’s sentencing dates are not set.
The FBI Safe Streets Task Force and Louisiana State Police investigated the case. Assistant U.S. Attorneys Jamilla A. Bynog and Brandon B. Brown prosecuted the case.
Drug Conspiracy Leader Is Sentenced to over 10 YearsRead the Press Release
CHARLOTTE, N.C. – Chief U.S. District Judge Frank D. Whitney sentenced today David Flores, 35, of Dallas, Texas, to 121 months in prison and five years of supervised release on drug conspiracy charges, announced Andrew Murray, U.S. Attorney for the Western District of North Carolina.
Robert J. Murphy, Special Agent in Charge of the Atlanta Field Division of the Drug Enforcement Administration (DEA), which oversees the Charlotte District Office, joins U.S. Attorney Murray in making today’s announcement.
According to court documents and today’s sentencing hearing, Flores was part of a drug conspiracy that trafficked cocaine from Texas to North Carolina. In October 2017, DEA agents seized 23 kilograms of cocaine near Nashville, Tennessee, from a vehicle en route to North Carolina. According to court documents, the driver and passenger of the vehicle had been contracted by Flores to transport the cocaine from Texas to members of the drug conspiracy located in Lincolnton, N.C. Two other members of the conspiracy served as cocaine distributors, operating out of a residence in Maiden, N.C.
Flores, a Mexican national, pleaded guilty in 2018 to conspiracy to distribute and to possess with intent to distribute cocaine. He is currently in federal custody and will be transported to the custody of the Federal Bureau of Prisons upon designation of a federal facility. All federal sentences are served without the possibility of parole. Flores’s co-conspirators were previously sentenced as follows:
- Saul Martinez-Ochoa – 10 years in prison and five years of supervised release.
- Alexander Garoutte – 80 months in prison and three years of supervised release.
- Ruben Silva-Malicote – 46 months in prison and two years of supervised release.
The DEA, Tennessee State Police, and the Lincoln County Sheriff’s Office were part of the investigation of the case. Assistant U.S. Attorney William Bozin was in charge of the prosecution.
This case is the result of the Organized Crime Drug Enforcement Task Force (OCDETF). OCDETF is a joint federal, state and local cooperative approach to combat drug trafficking and is the nation’s primary tool for disrupting and dismantling major drug trafficking organizations, targeting national and regional drug trafficking organizations and coordinating the necessary law enforcement entities and resources to disrupt or dismantle the targeted criminal organization and seize their assets.
Dominican National Indicted for Distributing FentanylRead the Press Release
BOSTON – A Dominican national was charged today in federal court in Boston with distributing fentanyl.
Rosario Lara, 36, a Dominican national residing in Lawrence, was indicted on one count of distributing cocaine and more than 400 grams of fentanyl. Lara was arrested and charged by complaint on April 19, 2019.
According to the charging documents, Lara sold more than a half-kilogram of fentanyl to a confidential informant in Lawrence on Feb. 21, 2019. Lara was arrested that day on state charges.
Lara faces a mandatory minimum sentence of 10 years and up to 40 years in prison, a minimum of 10 years and up to a lifetime of supervised release and a fine of $10 million. Lara will be subject to deportation upon completion of his sentence. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, made the announcement today. Valuable assistance was provided by the Middlesex District Attorney’s Office, Massachusetts State Police and Lawrence Police Department. Assistant U.S. Attorney Bill Abely, Deputy Chief of Lelling’s Major Crimes Unit, is prosecuting the case.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Darknet Fentanyl Dealer Indicted in Nationwide Undercover Operation Targeting Darknet Vendors Who were Selling to Thousands of U.S. ResidentsRead the Press Release
Yesterday, the U.S. Attorney for the Northern District of Texas announced the indictment of a darknet drug dealer who has been indicted for leveraging Bitcoin’s apparent anonymity to sell fentanyl online. The charges against him are the result of the first nationwide undercover operation targeting darknet vendors that the Justice Department announced in June 2018.
Sean Shaughnessy, 51, of the Dallas Fort Worth, Texas area, was charged by federal grand jury with conspiracy to possess with intent to distribute controlled substances, distribution of a controlled substance, distribution of a controlled substance analogue and eight counts of money laundering.
According to the indictment, which was unsealed on May 24 following the defendant’s initial appearance, Mr. Shaughnessy allegedly sold fentanyl and fentanyl analogues over the dark web, an unindexed portion of the internet accessible only via specialized software that allows users to conduct transactions with relative anonymity. His buyers purchased the fentanyl and fentanyl analogues, which was shipped to their addresses, using cryptocurrencies like Bitcoin, the indictment alleges. One user, who allegedly purchased a fentanyl analogue from Mr. Shaughnessy, overdosed on the substance and died. Mr. Shaughnessy allegedly transferred his Bitcoin proceeds to other cryptocurrency wallets in exchange for regular fiat currency, which was shipped to his home in Dallas. Unbeknownst to Mr. Shaughnessy, he sent more than $120,000 bitcoin to wallet addresses controlled by federal agents. Yesterday, he was ordered to remain in federal custody. The charges in the indictment are merely allegations, and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
The investigation into Sean Shaughnessy was part of Operation Dark Gold, a year-long, coordinated national operation that used the first nationwide undercover action to target vendors of illicit goods on the darknet. Special agents of the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI) New York Field Office posed as a money launderer on darknet market sites, exchanging U.S. currency for virtual currency. Through this operation, HSI New York was able to identify numerous vendors of illicit goods, leading to the opening of more than 90 active cases around the country, including the investigation into Mr. Shaughnessy in the Northern District of Texas.
The Money Laundering and Asset Recovery Section (MLARS) of the Department of Justice’s Criminal Division, coordinated with law enforcement and federal prosecutors from more than 50 U.S. Attorney’s Offices to investigate 65 targets identified by the undercover operation, which led to the arrest and impending prosecution of more than 30 darknet vendors.
One year after 70 search warrants were executed in May 2018, numerous opioid and narcotics distributors have been charged and convicted around the country. Those include:
- Brian Gutierrez-Villasenor, 27, of San Francisco, California, was sentenced recently to serve 120 months in prison for possessing with the intent to distribute methamphetamine and transporting funds to promote unlawful activity. Gutierrez-Villasenor was charged by the U.S. Attorney’s Office for the Northern District of California. According to his guilty plea, between 2014 and May of 2018, Gutierrez-Villasenor distributed cocaine and methamphetamine for a darknet vendor site called “JetSetLife.” In addition to the prison term, Gutierrez-Villasenor was ordered to pay a $40,000 fine and to serve an additional five-year term of supervised release to begin after his prison term. Gutierrez-Villasenor has been in custody since his arrest on May 17, 2018, and is serving his prison sentence.
- John Edward Monette, 50, of Sioux Falls, South Dakota, was sentenced to serve five years in prison, followed by three years of supervised release. Monette was convicted of conspiracy to distribute a controlled substance on Nov. 15, 2018. On April 25, 2018, a federal search warrant was executed on Monette’s residence as part of Operation Dark Gold. Law enforcement officers seized approximately 838 grams of MDMA, numerous ecstasy pills, approximately 69 grams of cocaine, drug packaging, scales, shipping materials, computers, cell phones and a rifle. Also seized were 3.3882104 bitcoin (approximate value $32,464.38) from a Mycelium wallet on Monette’s cell phone. Monette had been buying MDMA and other controlled substances from sellers in Europe and elsewhere via the dark web. He used Bitcoin to pay his suppliers, and received the drugs via mail. He also used the mail to deliver drugs to his customers.
- Ryan Farace, 34, of Reisterstown, Maryland, and Robert Swain, 34, of Freeland, Maryland, were charged by the U.S Attorney’s Office for the District of Maryland. Farace was sentenced to serve 57 months in prison, followed by three years of supervised release, for drug distribution and money laundering conspiracies. The charges arose from a scheme to manufacture and distribute Alprazolam, or “Xanax,” through sales on the darknet in exchange for Bitcoin. Farace and his co-conspirator, Robert Swain, laundered the drug proceeds through financial transactions designed to conceal the source and ownership of the illegal funds. Farace was ordered to forfeit a money judgment equal to $5,665,000 and 4,000 bitcoin (currently worth approximately $3.2 million). Farace was also ordered to forfeit assets seized by law enforcement during the execution of search warrants in 2018, at locations associated with the conspiracies, including approximately $1.5 million in cash, 1.100 bitcoin and approximately $2.5 million in computer equipment. Robert Swain previously pleaded guilty to the money laundering conspiracy and faces a maximum statutory sentence of 20 years in prison at his sentencing on June 18.
- Tyler Lee Ward, 35, of Moody, Alabama, and Henry Long Nguyen, 33, of Birmingham, Alabama, pleaded guilty in the Northern District of Alabama to three counts including conspiracy to manufacture, distribute, and possess with intent to distribute Alprazolam; maintaining a drug-involved premises; and conspiracy to commit money laundering. Ward was sentenced to serve 24 months in prison and Nguyen was sentenced to serve 30 months in prison. Both Ward and Nguyen were ordered to forfeit numerous assets, including more than $200,000 in cryptocurrency. Joseph William Davis 26, of Madison, Alabama, pleaded guilty to conspiracy to distribute Alprazolam and was sentenced to serve 126 months in prison.
- Sam Bent, 32, of St. Johnsbury, Vermont (and formerly of East Burke, Vermont), and his cousin, Djeneba Bent, 26, also of St. Johnsbury (and formerly East Burke) were both charged by the U.S. Attorney’s Office for the District of Vermont. They both pleaded guilty to conspiracy to distribute controlled substances. Sam Bent also pleaded guilty to three counts of money laundering and agreed to a forfeiture money judgment. As part of his plea agreement, Sam Bent admitted that he set up accounts on dark web marketplaces, established online identities, accepted Bitcoin in exchange for sales over the dark web, and mailed controlled substances from several different post offices in Northeastern Vermont and Northwestern New Hampshire in an effort to avoid detection. Their sentencings are currently scheduled for July 2019.
- Kyle Lindemann, 31, of Birmingham, Michigan, was charged by the U.S. Attorney’s Office for the Eastern District of Michigan, and pleaded guilty to one count of possession with intent to distribute MDMA. As part of his plea, Lindemann admitted that he had managed a vendor account on the darknet marketplace known as “Dream Market,” on which he sold Alprazolam (Xanax), Adderall, Ecstasy (MDMA), and GHB. Lindemann also agreed to the forfeiture of 4.430550289998 Monero and 39.17488 MilliBitcoin that were seized during Operation Dark Gold, in May 2018.
The investigations are pending.
- Brian Gutierrez-Villasenor, 27, of San Francisco, California, was sentenced recently to serve 120 months in prison for possessing with the intent to distribute methamphetamine and transporting funds to promote unlawful activity. Gutierrez-Villasenor was charged by the U.S. Attorney’s Office for the Northern District of California. According to his guilty plea, between 2014 and May of 2018, Gutierrez-Villasenor distributed cocaine and methamphetamine for a darknet vendor site called “JetSetLife.” In addition to the prison term, Gutierrez-Villasenor was ordered to pay a $40,000 fine and to serve an additional five-year term of supervised release to begin after his prison term. Gutierrez-Villasenor has been in custody since his arrest on May 17, 2018, and is serving his prison sentence.
Dallas Men Charged with Hate Crimes, Kidnapping, and Conspiracy after Targeting Gay Men for Violent CrimesRead the Press Release
WASHINGTON – Daniel Jenkins, 20, and Daryl Henry, 22, were charged by a federal grand jury in a superseding indictment unsealed yesterday with conspiracy to commit hate crimes, kidnapping, and carjacking, announced Assistant Attorney General Eric Dreiband of the Department of Justice’s Civil Rights Division, U.S. Attorney Erin Nealy Cox for the Northern District of Texas, and FBI Special Agent-in-Charge Matthew DeSarno of the Dallas Division. Mr. Jenkins and Mr. Henry were also charged with hate crimes and kidnapping. Additionally, Mr. Jenkins was charged with carjacking and brandishing a firearm during crimes of violence.
According to the 15 count indictment—which supersedes a previously filed indictment—members of the conspiracy used Grindr, a dating app for LGBT people, to create fake profiles and pose as gay men interested in “dates” to lure gay men to an apartment complex in Dallas, Texas, in order to commit violent crimes against them, including kidnapping, assault, robbery, and carjacking. Members of the conspiracy forced the victims at gunpoint to relinquish their possessions, including their wallets, money, car keys, cars, drivers’ licenses and identification cards, credit and debit cards, and cellular telephones.
According to the indictment, the conspirators used Grindr to lure nine victims to an apartment complex in Dallas from Dec. 6, 2017, through Dec. 11, 2017. On Dec. 11, 2017, the conspirators held five victims against their will in an apartment at the complex. Four of the victims were physically assaulted, three were sexually assaulted, and some victims were called gay slurs. A conspirator also urinated and wiped human feces on at least one victim. The indictment further alleges that Jenkins and Henry caused bodily injury to four victims because of their actual and perceived sexual orientation. The indictment charges both Jenkins and Henry with kidnapping these four victims and Jenkins with kidnapping two additional victims, carjacking two victims, and using a firearm in connection with the carjackings.
An indictment is merely an accusation, and the defendants are presumed innocent unless and until proven guilty. If convicted, both defendants face a maximum statutory penalty of life in prison for the hate crime and kidnapping charges, five years for the conspiracy charge, and a fine of up to $250,000 with respect to each charge. Jenkins also faces up to 15 years for the carjacking charges and a mandatory minimum of at least seven years in prison, plus a $250,000 fine for each firearms charge.
The FBI’s Dallas Field Office conducted the federal investigation with the assistance and cooperation of the Dallas Police Department. Assistant U.S. Attorney Nicole Dana of the Northern District of Texas and Trial Attorneys Rose E. Gibson and Kathryn E. Gilbert of the Department of Justice’s Civil Rights Division are prosecuting the case.
Crime Reduction Initiative to Focus on the City of StatesvilleRead the Press Release
CHARLOTTE, N.C. – U.S. Attorney Andrew Murray announced today that the U.S. Attorney’s Office is partnering with the U.S. Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF) and the Statesville Police Department to implement a crime reduction strategy in the City of Statesville, that focuses enforcement efforts on the area’s most violent offenders. In addition to increased federal prosecutions, the strategy calls for partnering with local prevention and reentry programs to increase community safety.
“Project Safe Neighborhoods (PSN) is the centerpiece of the Justice Department’s strategy to reduce violent crime,” said U.S. Attorney Murray. “PSN’s multi-faceted approach enables us to work with ATF and the Statesville Police Department to assess the needs of the community and implement a crime reduction strategy that is truly impactful. PSN calls for identifying and removing repeat and violent criminals off the streets through federal prosecution to bring immediate relief to the community. Going beyond that, we will work with Statesville PD and community stakeholders to collaborate on a holistic approach to reduce violent crime.”
“ATF appreciates the great working relationship with the U.S. Attorney’s Office and the Statesville Police Department. We are committed to removing repeat and violent offenders from the streets of Statesville to keep the community safe. This collaborative effort displays what the law enforcement community can accomplish when we work together. It also displays ATF’s firm commitment to the Department of Justice’s Project Safe Neighborhoods initiative,” said Ben Gibbons, ATF’s Acting Special Agent in Charge.
“The Statesville Police Department is committed to increasing the quality of life for all citizens in our community. In continuing with maintaining our dedication to the City of Statesville, we must address the violent criminals impacting our children and harming our residents. Our partnership is a beneficial and necessary relationship to address the crime complaints within our jurisdiction,” said Chief David W. Addison of the Statesville Police Department.
Enforcement Actions
On May 23, 2019, a federal grand jury sitting in Charlotte returned the following three federal indictments:
Matthew Charles Wesley, 32, and Melita Desiree Nesbit, 36, both of Statesville, are charged with conspiracy to distribute and to possess with intent to distribute methamphetamine and aiding and abetting, and possession of a firearm in furtherance of a drug trafficking crime. Wesley is also charged with one count of possession of a firearm by a felon. Both Wesley and Nesbit were arrested today. ATF and Statesville PD investigated the case. The prosecution is handled by Assistant United States Attorney Lambert Guinn.
Keyon Shaqual Miller, 29, of Statesville, is charged with two counts of distribution and possession with intent to distribute crack cocaine. He is also charged with three counts of possession of a firearm by a felon, for illegally possessing one SKS rifle and three semi-automatic pistols. Miller was arrested by law enforcement today. The investigation was led by ATF, the North Carolina State Bureau of Investigation, the Statesville Police Department, and the Iredell County Sheriff’s Office. Assistant United States Attorney Christopher Hess is in charge of the prosecution.
Anthony Jerod Ravenell, 27, of Statesville, is charged with three counts of possession of a firearm by a felon, for illegally possessing five firearms on three different occasions, including three revolvers and two pistols. Ravenell is currently in state custody and will be transferred to federal custody to appear in court on the federal charges. ATF and Statesville PD investigated the case. The prosecution is handled by Assistant United States Attorney Lambert Guinn.
The charges contained in the indictments are allegations. The defendants are presumed innocent unless and until they have been proven guilty beyond a reasonable doubt in a court of law.
Devin Robert Lee Tate, 33, of Statesville, was sentenced today to 46 months in prison for a firearms offense. According to today’s sentencing hearing, over the course of a traffic stop law enforcement determined that Tate possessed a loaded firearm. Tate attempted to flee from the scene but was apprehended a short time later. Court records show that Tate has a prior conviction and is therefore prohibited from possessing firearms and/or ammunition. In addition to the prison term imposed, Tate was also ordered to serve two years under court supervision after he is released from prison. ATF and the Iredell County Sheriff’s Office investigated the case. Assistant United States Attorney Robert Gleason handled the prosecution.
These cases were brought as part of Project Safe Neighborhoods (PSN), the U.S. Justice Department’s program to reduce violent crime. The PSN approach emphasizes coordination between state and federal prosecutors and all levels of law enforcement to address gun crime, especially felons illegally possessing firearms and ammunition and violent and drug crimes that involve the use of firearms.
For more information about PSN, please visit: https://www.justice.gov/usao-wdnc/project-safe-neighborhoods-psn.
Connecticut Man Pleads Guilty to Conspiracy to Transport Stolen GoodsRead the Press Release
CONCORD - James Falk, 38, of Preston, Connecticut, pleaded guilty in federal court to participating in a conspiracy to transport stolen goods, United States Attorney Scott W. Murray announced today.
According to court documents and statements made in court, between approximately April of 2018 and approximately December of 2018, Falk conspired with other persons to steal high-value items from large retail stores throughout New England and send the items to a person associated with an online marketplace for eventual sales to online customers.
To carry out the conspiracy, Falk and another individual entered large retail stores, chose high-value items (such as thermostats, alarm systems, electronics, hardware, and tools), and left the stores without paying for all of the items. To steal goods inside the stores, Falk and another individual hid stolen goods in larger boxes and containers. In addition, Falk and another individual used containers that caused radio frequency interference in an attempt to defeat the stores’ security alarm sensors. Falk and another individual shipped stolen goods to an address in Maplewood, New Jersey, for eventual sale to online consumers. Falk and another individual later received payments for the stolen items.
Falk was arrested by the New Hampshire State Police on September 13, 2018, in Keene, New Hampshire, in possession of stolen goods worth more than $5000. In total, the victim stores lost approximately $54,000 as a result of the scheme.
Falk is scheduled to be sentenced on September 13, 2019.
“Interstate theft and fraud are serious crimes,” said U.S. Attorney Murray. “We will remain vigilant in our efforts to protect businesses and consumers in the Granite State from such wrongdoing. I want to thank the law enforcement officers whose work put an end to this criminal scheme.”
This matter was investigated by the New Hampshire State Police and the United States Department of Commerce. The case is being prosecuted by Assistant U.S. Attorney John Davis.
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Clay County Woman Sentenced for FEMA FraudRead the Press Release
CHARLESTON, W.Va. – A Clay County woman was sentenced for embezzling federal FEMA disaster benefits, announced United States Attorney Mike Stuart. Pamela Taylor, 57, was sentenced to 10 months in prison, 2 months of home confinement, and a $10,000 fine for making multiple false statements to FEMA and causing the agency to provide her with over $18,000 in fraudulent, undeserved benefits. Taylor has already paid $18,149.04 in restitution. Stuart commended the investigative efforts of the United States Department of Homeland Security – Office of Inspector General (DHS-OIG) and the West Virginia Commission on Special Investigations.
“There’s no such thing as a little bit of FEMA fraud. Taylor’s fraudulent scheme took FEMA dollars away from those who needed it the most,” said United States Attorney Mike Stuart. “Federal disaster benefits are critical to rebuilding infrastructure, homes and lives – not for lining the pockets of individuals who suffered no loss. As I stated earlier this month, you can rest assured that my office is working with appropriate federal agencies to investigate the issues of disaster relief, and the use of federal funds related to the historic 2016 floods. Any party that abused their position of authority, violated the public trust, or misused taxpayer dollars will be held accountable.”
“Defrauding federal programs is always an egregious act. Disaster relief fraud is even more serious because of the limited nature of the funds intended to assist Americans in their time of greatest need,” said Special Agent in Charge Mark Tasky of DHS-OIG. “DHS-OIG is pleased to have worked this investigation jointly with the West Virginia Commission on Special Investigations and the United States Attorney’s Office for the Southern District of West Virginia to show the good people of West Virginia that justice has been served upon Taylor, who knowingly and willfully disregarded federal laws to personally enrich herself at a time when many people affected by this disaster were just trying to survive.”
Taylor admitted that she falsely registered for Federal Emergency Management Agency (FEMA) disaster benefits after the June 2016 flood in Clay County, West Virginia. Taylor claimed that her primary residence was damaged by the flood and that she was staying in a rental unit after the flood. In fact, her primary residence was undamaged, and she still resided there. Due to her false statements, she received more than $18,000 in FEMA benefits to which she was not entitled.
United States District Court Judge the Honorable Irene C. Berger presided over the sentencing hearing. Former Assistant United States Attorney Meredith George Thomas and Assistant United States Attorneys Philip Wright and Stefan Hasselblad handled the prosecution.
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City of Chicago Alderman Indicted on Federal Racketeering and Bribery Charges in Connection with Alleged Corruption SchemesRead the Press Release
CHICAGO — A federal grand jury today indicted City of Chicago Alderman EDWARD M. BURKE on racketeering and bribery charges for allegedly abusing his position to solicit and extort private legal work and other benefits from companies and individuals with business before the city.
The 19-count indictment accuses Burke of corruptly soliciting work for his private law firm from companies involved in redevelopment projects at the Old Main Post Office in downtown Chicago and a fast food restaurant in Burke’s ward on the Southwest Side. It also alleges that he corruptly attempted to assist a business owner with a development on the Northwest Side shortly after the business owner told Burke that he would engage Burke’s law firm. The firm, Klafter & Burke, specialized in seeking property tax reductions for corporate clients.
The charges also allege that Burke threatened to oppose a Chicago museum’s admission fee increase because the museum failed to respond to Burke’s inquiry about an internship at the museum for a child of Burke’s friend.
The indictment was returned today in U.S. District Court in Chicago. It charges Burke, 75, of Chicago, with one count of racketeering, two counts of federal program bribery, two counts of attempted extortion, one count of conspiracy to commit extortion, and eight counts of using interstate commerce to facilitate an unlawful activity.
The indictment also charges two other individuals: PETER J. ANDREWS, an employee in Burke’s 14th Ward office; and CHARLES CUI, a Chicago real estate developer. Andrews is accused of conspiring with Burke to extort the operator of the fast food restaurant, while Cui allegedly steered private legal work to Burke in an effort to influence and reward the alderman in connection with permitting and tax increment financing for the Northwest Side development. Andrews, 69, of Chicago, is charged with one count of attempted extortion, one count of conspiracy to commit extortion, two counts of using interstate commerce to facilitate an unlawful activity, and one count of making a false statement to the FBI. Cui, 48, of Lake Forest, is charged with one count of federal program bribery, three counts of using interstate commerce to facilitate an unlawful activity, and one count of making a false statement to the FBI.
Arraignments for Burke and Andrews are scheduled for June 4, 2019, at 10:00 a.m., before U.S. Magistrate Judge Jeffrey Cole. Arraignment for Cui has not yet been scheduled.
The indictment was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; and Jeffrey S. Sallet, Special Agent-in-Charge of the Chicago office of the FBI. The City of Chicago Inspector General’s Office and the Amtrak Office of Inspector General provided valuable assistance. The government is represented by Assistant U.S. Attorneys Amarjeet Bhachu, Diane MacArthur, Matthew Kutcher, Sarah Streicker and Timothy Chapman.
The public is reminded that an indictment is not evidence of guilt. The defendants are presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.
Racketeering, attempted extortion, and conspiracy to commit extortion are each punishable by up to 20 years in prison. Federal program bribery is punishable by up to ten years. Using interstate commerce to promote unlawful activity and making a false statement to the FBI are each punishable by up to five years. If convicted, the Court must impose reasonable sentences under federal sentencing statutes and the advisory U.S. Sentencing Guidelines.
Cedar Rapids Man Sentenced to Probation for Using a Phone to Facilitate a Heroin DealRead the Press Release
A man who used a cell phone to facilitate a drug deal was sentenced on May 28, 2019, to three years’ probation.
Myles Schwitzer, age 38, from Cedar Rapids, Iowa, received the prison term after a December 21, 2018 guilty plea to one count of using a communications facility to commit a felony drug crime.
At the guilty plea, Schwitzer admitted he utilized a cellular telephone to help commit the felony crimes of possession of heroin and attempted possession of heroin.
Schwitzer was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Schwitzer was sentenced to 3 years’ probation and fined $2,500.
The case was investigated by the Drug Enforcement Administration (DEA) Task Force consisting of the DEA; the Linn County Sheriff's Office; the Cedar Rapids Police Department; the Marion Police Department; and the Iowa Division of Narcotics Enforcement, and prosecuted by Special Assistant United States Attorney Patrick Greenwood and Assistant United States Attorney Dan Chatham.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 18-CR-00107-CJW-MAR.
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Cedar Rapids Man Sentenced to Nearly Two Years in Federal Prison for Escape from a Halfway HouseRead the Press Release
A Cedar Rapids man who escaped from federal custody at the Gerald R. Hinzman Center in Cedar Rapids, Iowa, in 2018 was sentenced today to serve 22 months in federal prison.
Alan Ault, age 45, from Cedar Rapids, Iowa, received the prison term after a January 29, 2019 guilty plea to one count of escape from federal custody and a May 30, 2019 admission that he also violated the terms of his supervised release from a 2004 federal drug and firearm conviction by escaping from custody and committing other violations of his supervised release.
At the guilty plea and during the supervised release revocation hearing, Ault admitted he escaped from the Gerald R. Hinzman Center on March 27, 2018, where he was completing the last months of a twenty-year federal drug sentence. Ault was originally sentenced on January 13, 2005, and was moved to the Gerald R. Hinzman Center in Federal Bureau of Prisons custody in September of 2017. The Northern Iowa Fugitive Task Force arrested Ault in Cedar Rapids on August 27, 2018.
Ault was sentenced in Cedar Rapids by United States District Court Judge Linda R. Reade. Ault was sentenced to serve 14 months’ imprisonment for his supervised release violation and an additional, consecutive term of 8 months’ imprisonment for the new escape charge. He must also serve a 3-year term of supervised release after the prison term. There is no parole in the federal system. Ault is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Patrick J. Reinert and investigated by the United States Marshal’s Service and the Northern Iowa Fugitive Task Force. Court file information at https://ecf.iand.uscourts.gov/. The case file numbers are 18-CR-00111 and 04-CR-0045.
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Brockton Man Convicted of Possession of Child PornographyRead the Press Release
BOSTON – A Brockton man was convicted today in federal court in Boston of possession of child pornography.
Alex Levin, 52, was convicted following a four-day jury trial of one count of possession of child pornography. U.S. District Court Judge William G. Young scheduled sentencing for Sept. 11, 2019.
In August 2015, a search warrant was executed at Levin’s Norwood residence following a nation-wide investigation into the use of the Dark Web for the trade of child pornography. As a result of the search, agents located videos and images depicting the rape and abuse of young children on Levin’s computer.
Levin faces a sentence of no greater than 20 years in prison, a minimum of five years and up to a lifetime of supervised release, and a $250,000 fine. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, made the announcement today. Valuable assistance was provided by the Boston Police Department. Assistant U.S. Attorney Anne Paruti, Lelling’s Project Safe Childhood Coordinator and a member of the Major Crimes Unit, prosecuted the case.
The case is brought as part of Project Safe Childhood. In 2006, the Department of Justice created Project Safe Childhood, a nationwide initiative designed to protect children from exploitation and abuse. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov/.
Bridgeport Man Charged with Trafficking Cocaine through the U.S. MailRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, Joseph W. Cronin, Inspector in Charge of the Boston Division of the U.S. Postal Inspection Service, and Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration for New England, today announced that a federal grand jury in New Haven returned a three-count indictment yesterday charging MIGUEL ANGEL MENDEZ-URENA, 34, of Bridgeport, with cocaine trafficking offenses.
As alleged in court documents and statements made in court, Mendez-Urena coordinated the shipment of cocaine through the U.S. Mail from Puerto Rico to various locations in Bridgeport, and the shipment of drug proceeds to individuals in Puerto Rico.
On May 15, 2019, Mendez-Urena was arrested on a federal criminal complaint after he accepted delivery of a parcel containing approximately 500 grams of cocaine that had been mailed from Puerto Rico.
The indictment charges Mendez-Urena with one count of conspiracy to distribute, and to possess with intent to distribute, five kilograms or more of cocaine, which carries a mandatory minimum term of imprisonment of 10 years and a maximum term of imprisonment of life; one count of possession with intent to distribute cocaine, which carries a maximum term of imprisonment of 20 years, and one count of using the U.S. Mail to distribute the proceeds of unlawful activity, which carries a maximum term of imprisonment of five years.
Mendez-Urena has been detained since his arrest.
U.S. Attorney Durham stressed that an indictment is not evidence of guilt. Charges are only allegations, and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This matter is being investigated by the U.S. Postal Inspection Service and the Drug Enforcement Administration. The case is being prosecuted by Assistant U.S. Attorney Rahul Kale.
Batavia Man Pleads Guilty to Being A Felon in PossessionRead 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 Charles Williams, 40, of Batavia, NY, pleaded guilty before U.S. District Judge Richard J. Arcara to being a felon in possession of a firearm. The charge carries a maximum penalty of 10 years in prison.
Assistant U.S. Attorney Patricia Astorga, who handled the case, stated that late in the evening on July 19, 2017, Genesee County Sheriffs Drug Task Force Officers observed the defendant operating a vehicle. An investigator initiated a traffic stop after confirming that Williams had an active warrant for his arrest. The defendant exited the vehicle and was arrested without incident.
During an inventory search of the vehicle, officers found a black nylon bag on the front passenger seat, which contained a handgun loaded with ammunition, as well as two small plastic bags containing suspected cocaine concealed in a cigarette box. Laboratory analysis determined that William’s DNA matched DNA found on the firearm. On July 20, 2010, the defendant was convicted of Criminal Possession of a Controlled Substance in the 5th Degree, in New York State Court, and was sentenced to serve two-and-a-half years in prison. As a result, Williams is legally prohibited from possessing a firearm.
The plea is the result of an investigation by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge John B. Devito, New York Field Division.
Sentencing is scheduled for August 29, 2019, at 12:30 p.m. before Judge Arcara.
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Barnhart Woman Pleads Guilty to Production of Child Pornography ChargesRead the Press Release
St. Louis, MO – Heather McDorman, 30, of Barnhart, pled guilty to seven counts of Production and Attempted Production of Child Pornography/Sexual Exploitation of a Child. McDorman appeared before United States District Judge Rodney W. Sippel and set sentencing for August 30, 2019.
According to court documents, between February 1, 2018 and March 12, 2018, McDorman, at the direction of her boyfriend and co-defendant Zachary Hamby, attempted to take pornographic photographs of children in restrooms at South County Mall, Walmart, other area malls, park bathrooms and a church bathroom. McDorman, at the direction of co-defendant Hamby, also sexually abused a child and photographed and livestreamed some of the abuse so that Hamby could view it. Such depictions were produced using an IPhone and then mailed, shipped or transported in interstate and foreign commerce.
McDorman faces a maximum penalty of 30 years and/or fines up to $250,000. In determining the actual sentences, a judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
The case was investigated by St. Louis County Police Department and the Federal Bureau of Investigation. Assistant U.S. Attorney Colleen Lang is handling the case for the U.S. Attorney’s Office.
Bank Manager Pleads Guilty to Fraud and Identity TheftRead the Press Release
RALEIGH – United States Attorney Robert J. Higdon, Jr. announced that today in federal court TONY MCELVEEN, SR., pled guilty to Bank Fraud and Aggravated Identity Theft before the Honorable Terrence W. Boyle.
According to the investigation, MCELVEEN used his position as BB&T branch manager, in Rowland, North Carolina, to steal the personal identifiers of two elderly customers to fraudulently obtain loans and credit cards in their names. The loan proceeds and credit cards were used for his personal benefit to pay for, among other things, rental cars, a home security system and hotel rooms in Myrtle Beach, South Carolina. In addition, MCELVEEN closed a $50,000 certificate of deposit owned by one of the elderly victims, without her knowledge, and used most of the proceeds to make a large payment toward his delinquent residential mortgage.
MCELVEEN attempted to conceal his criminal activity through the use of his position as pastor for the Greater Faith World Outreach Church, in Florence, South Carolina. MCELVEEN deposited some of the fraudulently obtained proceeds into the Church’s operating account and used his signatory authority on that account to withdraw funds for his personal benefit. Additionally, he opened a BB&T account in the Church’s name through which he similarly laundered fraud proceeds. MCELVEEN even made it appear that one of the initial loan withdrawals for $28,500 was a charitable donation made by one of the elderly victims to the Church’s building fund.
“This defendant’s crime is simply despicable. Whether you see it as taking advantage of vulnerable, elderly individuals, whether it’s his effort to disguise his criminal activity by using his position as a bank officer, or whether he abused his role as a trusted pastor, Mr. McElveen’s actions are beyond horrible,” stated Mr. Higdon. “And we look forward to seeking justice for two victims when he appears for sentencing.”
The Department of Justice’s Elder Justice Initiative is to support and coordinate the Department’s enforcement and programmatic efforts to combat elder abuse, neglect financial fraud and scams that target our nations’ seniors. For more information about the Department of Justice’s efforts to prevent and combat elder abuse, please visit the Elder Justice Website at: elderjustice.gov.
MCELVEEN faces a maximum of 30 years’ imprisonment and a $1,000,000 fine for Bank Fraud and a mandatory two-year term of imprisonment, consecutive to the Bank Fraud sentence, for Aggravated Identity Theft, when he is sentenced before Chief Judge Boyle tentatively set for the August 19, 2019 term of court. MCELVEEN will also be required to make restitution to BB&T and American Express for their losses.
Investigation of this case was conducted by the United States Secret Service. Assistant United States Attorney Susan Menzer represented the government.
Baltimore Felon Sentenced to More Than 16 Years in Federal Prison for Illegal Possession of Firearm and AmmunitionRead the Press Release
Baltimore, Maryland – U.S. District Judge Deborah K. Chasanow sentenced Erick Rahumid Hobbs, a/k/a Eric Muhammad, age 39, of Baltimore, Maryland, today to 198 months in federal prison, followed by five years of supervised release, for illegally possessing a firearm and ammunition. Hobbs was previously convicted of a felony and was therefore prohibited from possessing firearms or ammunition. A federal jury convicted Hobbs on March 6, 2019, after a three-day trial.
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Rob Cekada of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Baltimore Field Division; and Chief Terrence B. Sheridan of the Baltimore County Police Department.
“Erick Hobbs knew that he was prohibited from possessing firearms or ammunition. Far too many people are making the bad choice to carry and use guns,” said U.S. Attorney Robert K. Hur. “Hopefully criminals who are not deterred from carrying guns by the threat of prison can be deterred by the reality of years spent in a federal prison far from home, where there is no parole—ever.”
According to the evidence presented at his trial, between October 2017 and January 2018, Hobbs was dating a woman and gave the woman’s daughter a television as a gift. After the woman broke off their relationship, Hobbs demanded that the woman return the television, even though Hobbs had given it as a gift to her daughter.
The evidence proved that on February 3, 2018, Hobbs broke a rear kitchen window to gain access to the woman’s home. When the woman and her daughter came downstairs to investigate the noise, Hobbs ordered them at gunpoint to open the front door, and he threatened to kill the woman, her daughter, her family, and the police. The woman unlocked the front door. Hobbs, still armed with the gun, forced his way into the residence, then left with the television. The woman called the police to report the incident.
On February 4, 2018, law enforcement located Hobbs in his vehicle and attempted to stop it. Hobbs fled and rear-ended a van nearby. Hobbs got out of his vehicle and was arrested. Officers recovered a loaded 9 mm pistol from the ground by the driver’s side door of Hobbs’ vehicle, where Hobbs was standing at the time of his arrest.
Later that day, Hobbs was captured on recorded jail calls talking to his son and roommate. During one of those calls, Hobbs provided his son with the victim’s address and directed his son to give the address to Hobbs’ roommate who is “gonna take care of it from there.” Hobbs’ son promptly went to Hobbs’ residence and provided his phone to Hobbs’ roommate so he could talk to Hobbs. On a recorded jail call, Hobbs spelled out the victim’s first and last name for his roommate and directed his roommate to get the victim’s address from his son. On the same recorded jail call, Hobbs told his roommate that he needed someone to talk with the victim and suggested Facebook as means to contact her. The roommate agreed and subsequently sent the victim communications via Facebook. The victim notified the Baltimore County Police Department of the Facebook communications and was relocated due to concerns for her safety.
On February 5, 2018, law enforcement obtained a warrant to search Hobbs’ residence and seized 65 rounds of 9 mm ammunition—the same type of ammunition inside of the firearm—from Hobbs’ bedroom dresser, and a paper with the victim’s address written on it from the roommate’s bedroom.
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. Project Safe Neighborhoods (PSN) is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
United States Attorney Robert K. Hur commended the ATF and the Baltimore County Police Department for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorneys Samika N. Boyd and Christine Goo, who prosecuted the case.
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Baltimore Armed Career Criminal Sentenced to 16 Years in Federal Prison for Illegal Possession of a FirearmRead the Press Release
Baltimore, Maryland – U.S. District Judge Catherine C. Blake sentenced Kirk Gross, age 32, of Baltimore, Maryland, today to 16 years in federal prison, followed by five years of supervised release for being a felon in possession of a firearm.
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Rob Cekada of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Baltimore Field Division; and Commissioner Michael Harrison of the Baltimore Police Department.
“Kirk Gross is an armed career criminal with a history of committing violent gun crimes in Baltimore,” said U.S. Attorney Robert K. Hur. “Now he will spend 16 years in federal prison, where there is no parole—ever. We will continue to work with our law enforcement partners to remove violent gun-toting criminals from our communities. The message to armed criminals is, put down the guns and save a life—maybe even your own.”
According to his guilty plea, in the late morning on June 12, 2018, detectives from the Baltimore City Police Department (“BPD”) Eastern District Action Team (“DAT”) received information that an individual named “Kirk Gross” was carrying a firearm in the area of Pittman Place and Barclay Street in East Baltimore. The DAT Detectives responded in two separate vehicles.
Driving north on Barclay Street, the detectives observed an individual wearing all black with a companion walking north on the west side of the street. This individual, later identified as Kirk Gross, was wearing tight-fitting clothes that enabled the officers to see the contours of a firearm—specifically the barrel and handle—pressed into the pants.
As soon as two detectives exited the vehicle, Gross fled west on McAllister Street, with detectives pursuing him. The detectives shouted for Gross to stop as he unsuccessfully tried to remove and discard the firearm. As the pursuit continued, unbeknownst to everyone involved, a Metropolitan Transit Authority Officer was on the street conducting an unrelated investigation. Hearing the shouts of the officers and observing Gross flee from them while holding his waistband, that officer ran southeast across E. North Avenue and tackled Gross to the ground.
Body-worn camera footage captured most of the chase and all of the arrest. Upon apprehending Gross, the detectives searched him and retrieved a 9 mm semiautomatic pistol from Gross’ pants. Officers also recovered a total of approximately 2.28 grams of cocaine in a Ziploc bag with multiple baggies as well as $40.00 in cash.
Gross knew that as a result of his previous felony convictions, including three armed robberies, one using a machine gun, and a shooting, he was prohibited from possessing a firearm.
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. Project Safe Neighborhoods (PSN) is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
United States Attorney Robert K. Hur commended the ATF and the Baltimore Police Department for their work in the investigation, and thanked the Metropolitan Transit Authority Police for its assistance. Mr. Hur thanked Assistant U.S. Attorney Lindsey N. McCulley, who prosecuted the case.
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Aurora Man Sentenced to 18 Years in Federal Prison for Production of Child PornographyRead the Press Release
DENVER – Ryan Charles McCraw, age 39, of Aurora, Colorado, was sentenced today by U.S. District Court Judge Christine M. Arguello to serve 216 months (18 years) in federal prison, followed by 15 years on supervised release for the production of child pornography, announced U.S. Attorney Jason Dunn and FBI Denver Division Special Agent in Charge Dean Phillips. McCraw appeared at the sentencing hearing in custody, and was remanded at its conclusion.
McCraw was indicted by a federal grand jury in Denver on October 26, 2017. He first appeared in U.S. District Court in Denver on December 4, 2017, to be advised of his rights and the charges pending against him. According to the stipulated facts contained in the plea agreement and statements made at the sentencing hearing, McCraw met underage boys living in the Denver metro area through online chat services. McCraw engaged in sexually explicit conversations with the boys over the course of months, asking them to send him sexually explicit images online. He enticed the boys to meet with him, picking them up in his car if they were too young to drive. He took them to his residence and engaged in sex acts with them. McCraw filmed the sex acts and took still images of the boys. He continued this course of conduct for over a year with multiple victims. McCraw boasted online that he had “trained” 12 other boys.
“The victims of child pornography production must be made to carry the harm they cause with them,” said U.S. Attorney Jason Dunn. “Mr. McCraw will now be spending a long time in federal prison to account for that harm. We particularly want to thank the investigators who helped bring this man to justice.”
“This sentence sends a strong message to those who sexually exploit our children that law enforcement will aggressively investigate their harmful and disturbing actions,” said FBI Denver Special Agent in Charge Dean Phillips. “Our commitment to the well-being of our children will forever remain a primary objective of the FBI.”
The FBI, Longmont Police Department and Aurora Police Department investigated this matter. The 20th Judicial District assisted with this matter. The defendant was prosecuted by Assistant U.S. Attorney Valeria Spencer.
American Living in Switzerland Charged with Wire Fraud and Causing Rare Antique Automobile to be Transported in Foreign CommerceRead the Press Release
Matthew D. Krueger, United States Attorney for the Eastern District of Wisconsin, announced that yesterday a federal grand jury returned a five-count Indictment against Christopher C. Gardner (age: 63), an American citizen living in Mont-Sur-Rolle, Switzerland, charging Gardner with wire fraud and causing a stolen motor vehicle to be transported in foreign commerce.
According to the indictment, on March 4, 2001, Christopher Gardner burglarized a garage in Milwaukee, Wisconsin, and stole a 1938 Talbot Lago T150C-SS Teardrop Coupe—one of only approximately 16 such automobiles ever made. Gardner is alleged to have stored the auto until July 2005.
The indictment alleges that in October 2005, Gardner forged documents indicating that the auto had been recovered and that Gardner was in lawful possession of it.
The indictment further alleges that Gardner exported the stolen auto to Switzerland in 2006; had it restored in France between 2007 and 2015; and offered it for sale to a potential buyer in Illinois in 2015.
According to the indictment, in August 2015, the Illinois buyer—in reliance on Gardner’s allegedly false statements and forged documents—purchased the auto through an LLC for a total of $7.6 million, including $6.8 million to be paid directly to Gardner. Gardner is alleged to have caused the auto to be transported in foreign commerce from Switzerland to Chicago, Illinois, in December 2015.
The maximum term of imprisonment for the each of the wire fraud charges is 20 years. The charge of transportation of a motor vehicle in foreign commerce carries a maximum term of imprisonment of 10 years. Each charge also carries a maximum fine of $250,000 and calls for forfeiture of the proceeds of the crime.
The following agencies participated in the investigation: the Milwaukee Office of the Federal Bureau of Investigation, the Milwaukee Police Department, Homeland Security Investigations, and the French National Police.
“We commend the FBI and each of the law enforcement agencies whose teamwork and persistence allowed these important charges to be brought,” said U.S. Attorney Krueger. “Only through solid partnerships can crimes that span borders be effectively prosecuted.”
Special Agent in Charge Robert E. Hughes, of the FBI Milwaukee Field Office, extended his thanks to the law enforcement partners involved in this investigation, and stated: “This indictment demonstrates the importance of both domestic and international law enforcement cooperation. The FBI continually builds, maintains, and capitalizes on such partnerships, so that whether an investigation leads us across the city, or across the ocean, we have the resources necessary for success.”
This criminal case is being prosecuted by Assistant United States Attorney Scott J. Campbell.
An indictment is only a charge and not evidence of guilt. The defendant is presumed innocent and is entitled to a fair trial at which the government must prove guilt beyond a reasonable doubt.
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29 May 2019
Waterbury Man Guilty of Fraud and Money Laundering Offenses Related to $1.5 Million Fraud SchemeRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, Brian C. Turner, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation, and Joseph W. Cronin, Inspector in Charge of the Boston Division of the U.S. Postal Inspection Service, today announced that LEON C. VACCARELLI, 42, of Waterbury, has been found guilty of numerous fraud and money laundering offenses stemming from an investment scheme that defrauded individuals of approximately $1.5 million. A trial before U.S. District Judge Janet Bond Arterton began on May 13 in New Haven, and the jury returned guilty verdicts on all counts of a 21-count superseding indictment this morning.
According to court documents and the evidence presented during the trial, Vaccarelli was a registered representative of The Investment Center (“TIC”), a brokerage company, and was an investment adviser associated with IC Advisory Services, Inc. (“IC Advisory”). He also was the owner and only member of LWLVACC, LLC, and conducted business through an entity named Lux Financial Services (“Lux Financial”). Using these various entities, Vaccarelli operated a financial advisory and brokerage service through which he offered investment advice and sold investments and securities to individuals and families in the Waterbury area.
Between approximately 2011 and 2017, Vaccarelli defrauded approximately 15 victim investors of approximately $1.5 million by falsely representing that he would invest his clients’ money in IRA rollover accounts, money market accounts, certificates of deposit (“CDs”), or other types of interest-earning investments. However, instead of investing customers’ funds as he had represented, Vaccarelli deposited customer funds into his own personal account and business bank accounts, commingled those funds with his own money, and used the funds to pay both business and personal expenses, including tuition and mortgage payments. In some instances, he also used customer funds to make bogus “interest payments” to other victim-investors.
Vaccarelli’s victims include an elderly woman who Vaccarelli coerced into transferring approximately $300,000 in funds from a safe investment portfolio into a bank account that Vaccarelli controlled. Vaccarelli subsequently spent the money on personal expenses and to pay off another investor who threatened to sue him. Vaccarelli also stole nearly $500,000 from a trust, which was established in 1991 to care for a woman with diminished capacity. Other victims include a retired schoolteacher, a retired construction worker, and medical professionals.
On May 2, 2018, a grand jury returned an indictment charging Vaccarelli with three counts of mail fraud, six counts of wire fraud and three counts of money laundering. On March 5, 2019, a superseding indictment against Vaccarelli added three counts of wire fraud and six counts of securities fraud.
Mail fraud, wire fraud and securities fraud carry a maximum term of imprisonment of 20 years on each count. Money laundering carries a maximum term of imprisonment of 10 years on each count.
Judge Arterton scheduled sentencing for August 22, 2019. Vaccarelli is released on a $100,000 bond pending sentencing.
This matter has been investigated by the Federal Bureau of Investigation and U.S. Postal Inspection Service. The case is being prosecuted by Assistant U.S. Attorneys Michael S. McGarry and Jennifer R. Laraia.
Washington Man Charged with Sexual Exploitation of A ChildRead the Press Release
BOSTON – A Washington man was charged today in federal court in Boston with sexual exploitation of children.
Jabarie Phillips, a/k/a Jabarie Lindsey, 41, of Seattle, Wash., was charged with one count of sexual exploitation of children. Phillips is currently in state custody on related charges. He will appear in federal court in Boston at a later date.
It is alleged that in April 2019, Phillips and a 14-year-old girl began communicating via Facebook. Phillips, knowing the girl’s age, repeatedly asked her to take sexually explicit videos and photos of herself for him to view. During their communications, the minor told Phillips she had issues with her family, to which Phillips allegedly responded: “If you run away let me know we can take this show on the road I need a partner in crime.” The minor subsequently met Phillips at Logan Airport, where they then traveled to South Station to catch a bus to Seattle, Wash.
Phillips was arrested in Minneapolis, Minn., on May 3, 2019, on two warrants – one out of Washington State for probation violation (he had recently been released from prison after serving a sentence for a 2008 conviction for manslaughter) and one out of Massachusetts for kidnapping.
The charge of sexual exploitation of children provides for a mandatory minimum sentence of 15 years and up to 30 years in prison, a minimum of five years and up to a lifetime of supervised release, and a fine of $250,000. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Bristol County District Attorney Thomas Quinn; and Fall River Police Chief Albert F. Dupere made the announcement today. Assistant U.S. Attorney Lori Holik, Chief of Lelling’s Major Crimes Unit, is prosecuting the case.
The case is brought as part of Project Safe Childhood. In 2006, the Department of Justice created Project Safe Childhood, a nationwide initiative designed to protect children from exploitation and abuse. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov/.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Washington D.C. Commercial Sex Customer Sentenced to 10 Years in Federal Prison for Sex Trafficking of a MinorRead the Press Release
Baltimore, Maryland – U.S. District Judge Catherine C. Blake today sentenced Leon R. Harrison, age 56, of Washington D.C., to 10 years in federal prison, followed by lifetime supervised release for sex trafficking of a minor, for having sex with a 15-year-old girl in exchange for money. Judge Blake also ordered that, upon his release from prison, Harrison must register as a sex offender in the places where he resides, where he is an employee, and where he is a student, under the Sex Offender Registration and Notification Act (SORNA).
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur; Acting Special Agent in Charge Cardell T. Morant of ICE Homeland Security Investigations (HSI); Chief Tim Altomare of the Anne Arundel County Police Department; and Anne Arundel County State’s Attorney Anne Colt Leitess.
“Children cannot consent to have sex for money, and any adult, like this defendant, who encourages or profits from sexual exploitation of children faces a lengthy term in federal prison,” said U.S. Attorney Robert K. Hur.
According Harrison’s plea agreement, between August 9, 2016 and February 7, 2018, Harrison used his Facebook account to send messages to hundreds of other Facebook users, offering them money in exchange for sending him sexually explicit pictures, watching him masturbate, or meeting with him in person to engage in commercial sex. Several Facebook users told Harrison that they were under 18 years old, and as young as 12 years old. Harrison continued to make the requests even after they stated that they were minors.
Harrison admitted that he met Girl 1 online and began engaging in commercial sex with Girl 1 beginning in 2016 or 2017, when she would have been 13 or 14 years old.
On October 9, 2017, Harrison and Girl 1 reconnected on Facebook, after a period of not communicating with each other. Between October 9, 2017, and February 7, 2018, Harrison and Girl 1 exchanged hundreds of messages over Facebook. At that time, Girl 1 was at a 15-year-old tenth-grade student in Maryland. In the messages, Harrison repeatedly offered to pay Girl 1 in exchange for having sex with him. In twelve instances, Harrison offered her between $40 and $60 for sex.
On February 6, 2018, Girl 1’s mother discovered the Facebook messages and contacted the police. That day, an undercover police detective began operating Girl 1’s Facebook account.
On February 7, 2018, Harrison continued communicating with Girl 1’s Facebook account. Harrison stated that he would meet with Girl 1 that evening, and that he would bring money and condoms. Harrison stated he would pay Girl 1 $50 to have sex with him and made arrangements to meet with Girl 1 at a restaurant in Odenton, Maryland. Harrison agreed that he would get Girl 1 home before 1:00 a.m. because it was a “school night.” Harrison described the sex acts he wished to engage in with Girl 1 and what he wanted her to wear when they met. Harrison also asked to engage in sexual contact with Girl 1 without a condom.
When he arrived at the restaurant, Harrison had condoms, $50 in cash, and two 50ml bottles of flavored vodka in his pants pockets. Harrison was arrested in the parking lot. Following his arrest, Harrison was interviewed by law enforcement officers and admitted that he is HIV-positive, and that he does not disclose that fact to his sexual partners.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about Internet safety education, please visit www.justice.gov/psc and click on the "Resources" tab on the left of the page.
United States Attorney Robert K. Hur commended HSI, the Anne Arundel County Police, and the Anne Arundel State’s Attorney’s Office for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorney Zachary A. Myers, who prosecuted the case.
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United States Attorney’s Office to Host Re-entry Services Fair in Jackson Under Project EJECTRead the Press Release
Jackson, Miss. – United States Attorney Mike Hurst announced today that the United States Attorney’s Office for the Southern District of Mississippi will host a Reentry Services Fair in Jackson under Project EJECT in order to provide vital services, information, and assistance to previously incarcerated individuals who are re-entering society.
The Reentry Services Fair will be held on Wednesday, June 12, 2019, from 1:00 p.m. to 4:00 p.m. at the Eudora Welty Library, 300 N. State Street, in Jackson.
"In order to fix any issue, you have to have the right tools. Through this Reentry Services Fair, we are empowering individuals with the tools to help them reenter society successfully and become productive, law-abiding members of their communities. Reentry is an integral part of Project EJECT and a vital component to reducing violent crime. I want to personally thank these agencies, non-profits, and volunteers for coming together and helping folks get back on their feet. By working together, we can make our neighborhoods safe and secure for everyone," said U.S. Attorney Hurst.
The goal of the fair is to help previously incarcerated individuals overcome obstacles often faced by those who are trying to re-enter society. Participating agencies will set up booths at the Fair to provide resources in a variety of areas such as assistance with obtaining personal identification documents, housing information, educational assistance, legal information, and guidance for seeking and obtaining employment.
Agencies participating in the Re-entry Services Fair include the U.S. Department of Veterans Affairs, Social Security Administration, Mississippi Department of Public Safety, Mississippi Department of Corrections, U.S. Probation Office, Mississippi Community College Board, Governor’s Job Fair Network of Mississippi, and Mississippi Department of Vital Statistics.
This event is part of Project EJECT, an initiative by the U.S. Attorney’s Office for the Southern District of Mississippi under the U.S. Department of Justice’s Project Safe Neighborhoods (PSN). EJECT is a holistic, multi-disciplinary approach to fighting and reducing violent crime through prosecution, prevention, reentry and awareness. EJECT stands for "Empower Justice Expel Crime Together." PSN is bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Former Attorney General Jeff Sessions 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.
Two Men Indicted for False Invoice Scheme Against Birmingham Water Works BoardRead the Press Release
BIRMINGHAM – A federal grand jury today indicted two men on charges of wire fraud and conspiracy to commit wire fraud, announced U.S. Attorney Jay E. Town and Federal Bureau of Investigation Special Agent in Charge Johnnie Sharp Jr.
A 21-count indictment filed in U.S. District Court charges JERRY JONES, 55, of Maylene, and TERRY WILLIAMS, 54, of Mt. Vernon, with conspiring between December 2014 and January 2016 to create false invoices and submitting them for payment to the Birmingham Water Works Board (BWWB) for work purportedly performed on the Shades Mountain Filter Plant project.
“These defendants demonstrated a callous disregard for the citizens of Birmingham by stealing money meant to improve the Birmingham Water Works Board’s operations,” Town said. “Their breach of the special trust given to them makes their thievery even more intolerable. We appreciate the investigative work of the FBI, and our partnership with the Alabama Attorney General’s Office, in this investigation.”
According to the indictment, Jerry Jones was an Arcadis Vice-President and the Principal-in-Charge for Arcadis on the Shades Mountain Filter Plant project. Arcadis U.S., Inc., was an engineering and consulting firm with offices located throughout the United States, including Birmingham, Alabama. Arcadis entered into contracts with the BWWB to perform work on several projects, including design and bid phase services on a project involving improvements to the Shades Mountain Filter Plant.
Terry Williams owned a company in Mobile, Alabama, called Global Systems International, LLC (GSI). Arcadis entered into sub-contracts with GSI for work on certain BWWB projects for Arcadis. Terry Williams hired an individual to perform that work. Arcadis paid GSI by direct deposit into GSI’s bank account based on invoices submitted to Arcadis.
Each month, Arcadis submitted a report and invoice to the BWWB by email that summarized work by Arcadis and its sub-contractors on the BWWB projects. Arcadis included on the invoices amounts owed by Arcadis to sub-contractors. Per the terms of its contract with Arcadis, the BWWB was required to pay Arcadis a 10 percent premium over and above the amount charged by Arcadis’ sub-contractors.
As part of the conspiracy, Jones and Williams created nine GSI invoices falsely stating that during certain periods of time GSI employees had performed work for a certain number of hours on the Shades Mountain Filter Plant project. Jones sent emails to Arcadis employees to facilitate processing and payment of the false GSI invoices. Jones would then submit invoices to the BWWB that included the amounts reflected on the false GSI invoices, plus the 10 percent premium payment.
According to the indictment, BWWB paid Arcadis a total amount of $255,300.10, of that amount GSI received $232,091.00.
As part of the conspiracy, Williams shared the proceeds of the false invoice scheme with Jones.
The maximum penalty for the conspiracy charge is five years in prison and a $250,000 fine. The maximum penalty for wire fraud is 20 years in prison and a $250,000 fine.
FBI investigated the case, which Assistant United States Attorneys George Martin and Catherine Long are prosecuting.
Three Men Appear in Federal Court for Immigration CrimesRead the Press Release
BECKLEY, W.Va. – United States Attorney Mike Stuart announced today that three men appeared in federal court before United States District Judge Irene Berger in Beckley.
“Seven. Seven prior removals between them. Seven is not a lucky number in this case,” said United States Attorney Mike Stuart. “We are a welcoming nation to legal immigrants but no one likes a line skipper – not in traffic, not at Disney World, and not the immigration line. If you break the laws on coming to the United States, you cannot stay. We continue to work closely with ICE and our state and local partners to identify and remove those in the United States illegally.”
Luis Figueroa-Zuniga, 44, a Honduran national, and Samuel Hernandez-Hernandez, 31, a Mexican national, received sentences of “credit for time served.” They both were immediately remanded to the custody of the Department of Homeland Security for removal proceedings. They previously entered guilty pleas to the felony offenses of Reentry of a Removed Alien on March 28, 2019, and have been in federal custody throughout the proceedings. The investigations were conducted by the U.S. Immigration and Customs Enforcement (ICE).
On February 1, 2019, Figueroa-Zuniga was found in Ronceverte, Greenbrier County, West Virginia. Federal agents with Immigrations and Customs Enforcement (ICE) had received a tip that he was working illegally at a restaurant. ICE agents investigated and located Figueroa-Zuniga leaving his residence to travel to the restaurant. ICE agents requested identification from him. Figueroa-Zuniga immediately admitted that he was not in the United States legally and had no identification documents permitting him legal status. ICE agents took Figueroa-Zuniga into federal custody. Fingerprinting matched Figueroa-Zuniga to a prior removal from the United States in 2005. Figueroa-Zuniga was found by immigration judges to be in the United States illegally and was deported to Honduras. He had not obtained permission to legally enter the United States and had not sought legal status or citizenship. Figueroa-Zuniga further admitted to ICE agents that he was a Honduran citizen.
On January 22, 2019, Hernandez-Hernandez was found in Beaver, Raleigh County, West Virginia. Federal agents with ICE had received information that Hernandez-Hernandez was incarcerated in the prison facility and was not a United States citizen. Agents confirmed this information and they lodged a detainer against him. ICE agents further confirmed Hernandez-Hernandez was not in the country legally by speaking with him telephonically. Hernandez-Hernandez immediately admitted that he was not in the United States legally and had no identification documents permitting him legal status. Fingerprinting matched Hernandez-Hernandez to two prior removals from the United States in 2015 and 2016. Hernandez-Hernandez was found by immigration judges to be in the United States illegally and was deported to Mexico. He had not obtained permission to legally enter the United States and had not sought legal status or citizenship. Hernandez-Hernandez further admitted to ICE agents that he was a Mexican citizen.
Juan Carlos Reyes-Molina, 23, a Honduran man, entered a guilty plea to the felony offense of Reentry of a Removed Alien. He faces up to two years of incarceration when he is sentenced on September 12, 2019.
On March 9, 2019, a West Virginia State Police Trooper saw a car that was stopped at Mile Marker 52 on the West Virginia Turnpike outside of Beckley, Raleigh County, West Virginia. Three men were standing outside a car with its emergency blinkers on. When the Trooper pulled in, the men ran to the car and began to drive away. The Trooper asked the driver what was happening and for a driver’s license. The driver could not communicate with the Trooper due to a language barrier and did not have a driver’s license. The Trooper contacted a translator service provided by ICE to assist. The driver and two other individuals spoke with ICE agents telephonically and all three were found to be in the United States illegally. All three men were taken into custody and fingerprinted. Reyes, one of the three men, was found to be a prior reentry case. Specifically, his prints matched four prior removals from Arizona and California in 2017 and 2018. Reyes admitted to ICE agents that he was in the United States illegally and had not obtained permission to legally enter the United States. He had not otherwise sought legal status or citizenship. Reyes further admitted to ICE agents that he was a Honduran citizen.
The investigation was conducted by the U.S. Immigration and Customs Enforcement (ICE) and the West Virginia State Police. Assistant United States Attorney Erik S. Goes is responsible for the prosecutions.
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Therapy Clinic Operator Convicted of Health Care Fraud for Role in Occupational Therapy Fraud SchemeRead the Press Release
A federal jury found a Brea, California, woman guilty yesterday of fraud charges for her role in a $6 million Medicare fraud scheme involving billing for occupational therapy services that were not medically necessary and not actually provided.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney Nicola T. Hanna of the Central District of California, Special Agent in Charge Christian J. Schrank of the U.S. Department of Health and Human Services Office of Inspector General’s (HHS-OIG) Los Angeles Region and Assistant Director in Charge Paul D. Delacourt of the FBI’s Los Angeles Division made the announcement.
After a five-day trial, Grace Hong, 53, was convicted of one count of conspiracy to commit health care fraud and three counts of health care fraud. Sentencing has been scheduled for July 29, 2019 at 8:00 a.m. before U.S. District Judge George H. Wu of the Central District of California, who presided over the trial.
According to evidence presented at trial, from 2009 to 2012, Grace Hong and her husband, Simon Hong, 57, operated a therapy clinic in Walnut, California, known as JH Physical Therapy, Inc. As part of the scheme, Grace Hong and her co-conspirators provided uncovered services like acupuncture and massage to Medicare beneficiaries. Even though the beneficiaries did not receive actual occupational therapy, Grace Hong and her co-conspirators billed Medicare for physical and occupational therapy services that had not been provided, and then funneled most of the Medicare reimbursements to companies owned by Simon Hong. Grace Hong also directed co-conspirator therapists in falsifying medical records to make it appear as if the services billed had been provided, the evidence showed.
Through this scheme, Grace Hong and her co-conspirators billed Medicare from October 2009 until December 2012 approximately $6,014,281 in false claims, and received approximately $3,981,014, the evidence showed.
Grace Hong was charged along with Simon Hong and Keith Canlapan, 40, of West Covina, California, in an indictment returned on June 16, 2016. Charges against Henry Penaranda, 39, formerly of Pasadena, California, were added in a superseding indictment returned on July 11, 2017. Simon Hong pleaded guilty to one count of conspiracy to commit health care fraud on Dec. 15, 2016, and was sentenced on March 6, 2017, to 63 months in prison. Canlapan pleaded guilty on Oct. 24, 2016, to one count of health care fraud conspiracy and is awaiting sentencing. Penaranda is a fugitive. In a related case, Roderick Concepcion, 44, of Anaheim, California, pleaded guilty to health care fraud on April 4, 2016, and is awaiting sentencing.
This case was investigated by HHS-OIG and the FBI. Assistant Chief Niall M. O’Donnell and Trial Attorney Emily Culbertson of the Criminal Division’s Fraud Section are prosecuting the case.
The Medicare Fraud Strike Force is part of a joint initiative between the Department of Justice and HHS to focus their efforts to prevent and deter fraud and enforce current anti-fraud laws around the country. Since its inception in March 2007, the Medicare Fraud Strike Force, which maintains 14 strike forces operating in 23 districts, has charged nearly 4,000 defendants who have collectively billed the Medicare program for more than $14 billion. In addition, the HHS Centers for Medicare & Medicaid Services, working in conjunction with HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.
Taylor County Man Sentenced to Prison for Firearm OffenseRead the Press Release
COUNCIL BLUFFS, Iowa - United States Attorney Marc Krickbaum announced on May 29, 2019, Leonard David Capp, III, age 61, was sentenced by United States District Court Chief Judge John A Jarvey for prohibited person in possession of a firearm. Capp was sentenced to 46 months in prison, to be followed by a term of supervised release of two years.
According to court documents, on August 13, 2018, the Taylor County Sheriff’s Office received a call regarding shots fired at Capp’s residence. Witnesses told deputies Capp fired a shot into the ground at his son’s feet. Neither Capp nor his son were at the residence when deputies arrived. Knowing Capp was a prior convicted felon and not permitted to have firearms, deputies obtained a search warrant for his residence. Deputies executed the search warrant on August 22, 2018, and located two loaded firearms in Capp’s home, as well as additional ammunition. At the time of his arrest, Capp was in possession of a small amount of marijuana and methamphetamine.
This case was investigated by Taylor County Sheriff’s Department, Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Iowa Department of Narcotics Enforcement. The case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa as 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.
South Los Angeles Man Sentenced to over 10 Years in Federal Prison for Receipt of Child PornographyRead the Press Release
LOS ANGELES – A federal judge has sentenced a South Los Angeles man to more than 10 years in federal prison for receiving child pornography he obtained over a peer-to-peer computer network.
Fernando Vasquez Garcia, 31, was sentenced on May 24 to 121 months in prison, which will be followed by a lifetime period of supervised release. In addition to the prison term, United States District Judge André Birotte Jr. ordered Garcia to pay $1,000 in restitution to one victim and a $5,000 special assessment pursuant to the Justice for Victims of Trafficking Act.
Garcia pleaded guilty on February 22 to one count of receiving child pornography. When he pleaded guilty, Garcia admitted obtaining videos and still images from a peer-to-peer network that depicted, among other things, a 10-year-old being forced to have sex and children under the age of 2 being used for sex acts.
When he was juvenile, Garcia had an adjudication for committing a lewd act on a child, according to court documents. Prosecutors argued that the juvenile offense, combined with the child pornography offense, demonstrated a “well-documented and lifelong sexual interest in, and obsession with, children.”
The Federal Bureau of Investigation conducted the investigation into Garcia.
This case was prosecuted by Assistant United States Attorney Kathy Yu of the International Narcotics, Money Laundering, and Racketeering Section.
South Carolina Doctor Will Pay $92,506.30 for Allegedly Engaging in an Illegal Kickback SchemeRead the Press Release
A South Carolina doctor has agreed to pay the government $92,506.30 for allegedly accepting illegal kickback payments from OK Compounding, L.L.C., announced U.S. Attorney Trent Shores.
The U.S. Attorney’s Office entered into a settlement agreement with Jerry Back, 62, a medical doctor, in an effort to recoup the costs to the U.S. government resulting from the illegal kickbacks.
This is the eighth kickback settlement since January in the Northern District of Oklahoma. The civil settlements arose from an investigation into numerous health care providers writing prescriptions for pain creams compounded and sold by OK Compounding.
“It is no secret that my office remains focused on protecting the integrity of our federal health care system by holding accountable unscrupulous doctors who have allegedly cheated insurance programs,” said U.S. Attorney Shores. “We will use all tools at our disposal, including civil and criminal remedies, to halt illegal and corrupt practices by medical professionals.”
"This settlement highlights the commitment of the Defense Criminal Investigative Service (DCIS) and its law enforcement partners to protect the integrity of the Department of Defense health care program known as TRICARE," said DCIS Special Agent in Charge Michael C. Mentavlos. "DCIS will aggressively investigate those health care providers that attempt to defraud the DoD, in order to preserve American taxpayer dollars intended to care for our warfighters, their family members, and our military retirees."
Beginning in 2013, Dr. Back prescribed these pain creams for his patients, facilitating the sale and distribution of the creams. As compensation for his services, OK Compounding paid Dr. Back what was characterized by the parties as “medical director fees” based upon an hourly rate. However, the payments Dr. Back received from the company were, in actuality, “kickbacks.” Because Dr. Back’s patients were insured with TRICARE, a Department of Defense federal health care program for veterans, the kickbacks were in violation of the False Claims Act. It is illegal to pay or receive “kickbacks” in conjunction with federal health care insurance.
Prohibitions against kickbacks are crucial to insure that financial motives do not undermine the medical judgment of physicians and other health care providers. The civil False Claims Act is an important tool used to protect the integrity of taxpayer-funded health care programs.
The settlement resolves allegations that Dr. Back had an illegal financial relationship with OK Compounding, concerning pain creams from February through May of 2013.
Affirmative Civil Enforcement (ACE) refers to filing civil lawsuits on behalf of the United States. The purpose of these civil actions is to recover government money lost to fraud or other misconduct or to impose penalties for violations of Federal health, safety, civil rights or environmental laws.
To report fraud and abuse against the Federal government in the Northern District of Oklahoma, please contact the U.S. Attorney’s Office at 918-382-2700 and speak to a member of the ACE Unit.
Information for fraud against TRICARE can be reported at https://health.mil/Military-Health-Topics/Access-Cost-Quality-and-Safety/Quality-And-Safety-of-Healthcare/Program-Integrity/Fraud-and-Abuse-Report-Submission-Form.
This matter was handled by Assistant U.S. Attorney Marianne Hardcastle, and is the product of a collaborative investigation by the Defense Criminal Investigative Service, Department of Labor – Office of Inspector General (OIG), IRS – Criminal Investigation Division, U.S. Postal Service – OIG, FBI, Department of Veterans Affairs - OIG and the Department of Health and Human Services - OIG.
The claims resolved by the settlement are allegations only; there has been no determination of liability.
Self-Described “One Stop Shop” for Drugs and Guns Sentenced to More Than 11 Years in PrisonRead the Press Release
CHICAGO — A southwest suburban man who described himself as a “one stop shop” for narcotics and firearms has been sentenced to eleven and a half years in federal prison.
ANTOINE JACKSON, 42, of Tinley Park, sold heroin, three guns and ammunition to an individual in the summer of 2017. The sales netted Jackson a total of $6,565 in cash. Unbeknownst to Jackson, the buyer was an informant working on behalf of law enforcement. Jackson also sold heroin to the informant on later occasions, earning an additional $4,500.
Jackson pleaded guilty last year to one count of dealing firearms without a license, one count of distribution of a controlled substance, and one count of using and carrying a firearm during a drug trafficking crime. U.S. District Judge Ronald A. Guzman on May 23, 2019, imposed a 138-month prison sentence.
The sentence was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; and Timothy Jones, Special Agent-in-Charge of the Chicago Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms & Explosives. Substantial assistance was provided by the Chicago Police Department, Matteson Police Department, Tinley Park Police Department, and Will County Metropolitan Area Narcotics Squad.
“In a city that has seen shootings and homicides in astronomical numbers, illegal dealing of firearms should not be tolerated,” Assistant U.S. Attorney Tobara S. Richardson argued in the government’s sentencing memorandum. “The collateral effect of drug trafficking is to flood the streets with these substances that breed addiction and violence and that undermine the safety of communities.”
Jackson admitted in a plea agreement that he sold heroin and guns to the informant in three transactions in June 2017. Two deals occurred at Jackson’s residence in Tinley Park, while a third transaction was held in a Tinley Park forest preserve. During the deal in the forest preserve, Jackson showed the informant a gun that was tucked in Jackson’s waistband.
The guns sold by Jackson included an AK-47 rifle and two handguns, with extended magazines for each of them. While arranging one of the deals with the informant, Jackson referred to himself as a “one stop shop” for firearms and narcotics.
Jackson also admitted in his plea agreement that he sold the informant heroin in December 2017 and March 2018. Those sales netted Jackson $4,500. The March 2018 deal occurred in a restaurant parking lot in Oak Forest.
Holding gun traffickers and drug dealers accountable through federal prosecution is a centerpiece of Project Safe Neighborhoods – the Department of Justice’s violent crime reduction strategy. In the Northern District of Illinois, U.S. Attorney Lausch and federal law enforcement agencies have deployed the PSN program to attack a broad range of violent crime issues facing the district, including by prosecuting individuals who illegally traffic firearms or who carry firearms in connection with drug trafficking offenses.
Saint Louis Man Sentenced for Distributing DrugsRead the Press Release
St. Louis, MO – Cyrano Jones, Jr., 48, of St. Louis, was sentenced to 84 months in prison for possessing with the intent to distribute cocaine base (crack). He appeared before U.S. District Judge Ronnie White today.
According to court documents, Drug Enforcement Administration investigators identified Jones as a source of supply of cocaine base (crack) within the City of Saint Louis. Jones utilized the residence at 8980 Edna Street, St. Louis, Missouri, to store and sell crack cocaine. During the course of the investigation, Jones was identified as being responsible for the distribution of between 28 to 112 grams of cocaine base; 10 to 20 grams of heroin; one to 50 grams of cocaine; and less than one kilogram of marijuana. Jones also possessed two firearms in connection with his drug trafficking, one of which was stolen.
This case was investigated the Drug Enforcement Administration. Assistant U.S. Attorney Erin Granger handled the case for the U.S. Attorney’s Office.
Raleigh Man Receives More Than 21 Years for His Role in Drug Trafficking OrganizationRead the Press Release
NEW BERN — The United States Attorney for the Eastern District of North Carolina, Robert J. Higdon, Jr., announced that today, United States District Judge Louise W. Flanagan sentenced JARMAINE ANDERSON, 30, of Raleigh to 262 months’ imprisonment, followed by 6 years of supervised release. On August 27, 2018 ANDERSON pled guilty to conspiracy to distribute 280 grams or more of crack cocaine, distribution of 28 grams or more of crack cocaine, two counts of distribution of a quantity of crack cocaine and possession of a firearm by a convicted felon.
On February 7, 2019, United States District Judge Louise W. Flanagan previously sentenced ANDERSON’s co-conspirators, BOB BIONGO, 32, of Raleigh, and WILLIAM DANIELS, 39, also of Raleigh, for their respective roles in the conspiracy to distribute crack cocaine. BIONGO received 180 months’ imprisonment followed by 10 years of supervised release, and DANIELS received 211 months’ imprisonment followed by 4 years of supervised release
Beginning in December 2016, the Federal Bureau of Investigation’s (FBI) Safe Streets Task Force (Raleigh) and the Raleigh Police Department’s Career Criminal Unit conducted a long-term investigation into ANDERSON’s drug trafficking activities. Between December 28, 2016 and June 14, 2017, law enforcement purchased more than 10 ounces of crack cocaine from ANDERSON. During these controlled purchases, ANDERSON sold drugs in locations including: the bathroom of a Raleigh restaurant in the middle of the day; across the street from St. Augustine University; and, within a tenth of a mile of Mary Phillips High School in Raleigh.
In addition, during the investigation, law enforcement made a controlled purchase of a stolen 9mm handgun from ANDERSON near Carnage Middle School in Raleigh on February 7, 2017.
The investigation revealed that ANDERSON had several sources of supply including BOB BIONGO and WILLIAM DANIELS. On June 15, 2017, the FBI Safe Streets Task Force and the Raleigh Police Department Career Criminal Unit served a search warrant on BIONGO’s residence on North Hills Drive, Raleigh. Law enforcement found more than a kilogram of crack cocaine and a cocaine press. BIONGO fled from the police during the process of the search, but was apprehended after a short foot chase. On January 23, 2018, DANIELS was arrested in Louisburg, North Carolina after he fled Raleigh to avoid a federal arrest. During the investigation, law enforcement discovered that DANIELS flushed a quantity of crack cocaine down the toilet before he was arrested.
This prosecution is part of an extensive investigation by the United States Attorney’s Office’s Organized Crime Drug Enforcement Task Force (OCDETF) entitled Damu Demolition, targeting gangs and crack cocaine distribution in southeast North Carolina. OCDETF is a joint federal, state, and local cooperative approach to combat drug trafficking and is the nation’s primary tool for disrupting and dismantling major drug trafficking organizations, targeting national and regional level drug trafficking organizations, and coordinating the necessary law enforcement entities and resources to disrupt or dismantle the targeted criminal organization and seize their assets.
That effort has been implemented through the Take Back North Carolina Initiative of The United States Attorney’s Office for the Eastern District of North Carolina. This initiative emphasizes the regional assignment of federal prosecutors to work with law enforcement and District Attorney’s Offices on a sustained basis in those communities to reduce the violent crime rate, drug trafficking, and crimes against law enforcement.
This investigation was conducted by the Federal Bureau of Investigation’s Safe Streets Task Force (Raleigh) and the Raleigh Police Department Career Criminal Unit. Assistant United States Attorney Timothy M. Severo handled the prosecution of this case for the government.
Project Safe Neighborhoods Missoula County one-year results show violent crime downRead the Press Release
MISSOULA—In the 12 months that Project Safe Neighborhoods, a federal initiative, has been at work in Missoula County, violent crime has fallen significantly as law enforcement has dismantled drug trafficking rings, seized methamphetamine and firearms, and prosecuted nearly 70 federal and state offenders, top federal, state and local prosecutors announced today.
Since PSN launched in May 2018, murder, robberies and aggravated assaults in Missoula County, as reported by the Missoula County Sheriff’s Office and Missoula Police Department, decreased by 18.1 percent. At least 60 fewer people were the victim of violent crimes than in the previous 12 months.
U.S. Attorney Kurt Alme, Montana Department of Justice’s Communications Director John Barnes and Missoula County Attorney Kirsten Pabst discussed the PSN results during a news conference at the U.S. Attorney’s Office in Missoula.
PSN is a reinvigorated U.S. Department of Justice initiative that targets the most violent criminals in high-crime areas and works with federal, state and local law enforcement and community partners to reduce crime. PSN Missoula County has focused on arresting and prosecuting armed robbers, meth traffickers and felons with firearms.
“PSN in Missoula County is paying off. Violent crime has dropped sharply.” Attorney Alme said. “The numbers show that the hard work by all of our federal, state and local law enforcement, prosecutors and probation and parole officers is making a real difference in the community. To further drive down the violent crime rate, we need to continue getting the most dangerous offenders off the street and we need to reduce the demand for meth,” he said.
“Federal, state, and local cooperation through Project Safe Neighborhoods has reduced Missoula’s violent crime rate,” Montana Attorney General Tim Fox said, in a statement from Helena. “Through targeted enforcement we have saved lives, taken significant quantities of meth off of the streets, seized deadly weapons from criminals, and brought many of the worst offenders to justice. I am grateful to all of the law enforcement agencies and personnel participating in these efforts and I look forward to continuing this collaborative work in the future.”
Before PSN, the City of Missoula’s violent crime rate had increased 49 percent from 2011 to 2017. Methamphetamine was identified as a primary cause of the increase in violent crime.
In the 12 months PSN has been in effect, Missoula’s murders, robberies and aggravated assaults have fallen 18.1 percent to 271 crimes, continuing a decline of 4.9 percent, or 331 crimes, reported for the prior 12 months. Until then, violent crime had been generally increasing.
Since May 1, 2018, the U.S. Attorney’s office has charged 43 defendants with federal meth trafficking, armed robbery and firearms offenses.
In addition, 20.5 pounds of meth, representing 74,292 doses and having an estimated $656,000 street value, have been seized in the federal cases. Law enforcement officers also have seized 44 firearms, including three semi-automatic assault-style rifles. The U.S. Marshals Service Violent Offender Task force has served 330 federal and state warrants on violent offenders in Missoula County.
Since last May, Missoula County has charged 26 persons with state meth or heroin possession, assault with a weapon, burglary, deliberate homicide and strangulation crimes.
“PSN’s greatest accomplishment is that it has bridged a historical gap, bringing all of the key players to the same table to work together, sharing information with the goals of identifying Missoula’s most dangerous offenders, focusing our resources on those who present the greatest risk and eliminating red tape and duplicative efforts,” said County Attorney Pabst. “The Missoula County Attorney’s Office is pleased to be part of this effort to make our neighborhoods safer,” Pabst said.
In addition to continuing its enforcement strategy to further cut the violent crime rate, PSN will work to reduce the demand for meth. In Yellowstone County, where PSN also has been in initiated, a coalition of nonprofit and government organizations, called Yellowstone Substance Abuse Connect, is developing a community plan to reduce the demand for meth through prevention and treatment. Once completed later this year, the plan will be available for other Montana communities, like Missoula, to use and tailor for their needs.
PSN Missoula County’s partners include the U.S. Attorney’s Office; Missoula County Attorney’s Office; Montana Department of Justice’s Prosecution Services Division, Highway Patrol and the Division of Criminal Investigation; the Montana Department of Correction’s Adult Probation and Parole Division; the Missoula Police Department; the Missoula County Sheriff’s Office; Alcohol, Tobacco, Firearms and Explosives; Drug Enforcement Administration; FBI, Homeland Security Investigations and the U.S. Marshal’s Service.
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Portland Woman Pleads Guilty to Using a False Identification Document and Social Security NumberRead the Press Release
Portland, Maine: United States Attorney Halsey B. Frank announced that Elba Cruz, 46, of Portland, Maine, pled guilty today in U.S. District Court to using of a false identification document and Social Security number.
According to court records, Cruz provided a counterfeit lawful permanent resident card and Social Security card in support of an employment application to the Hilton Garden Inn, in Portland. Investigation revealed that the Social Security number and alien registration number were not assigned to her.
Cruz faces up to five years in prison, three years of supervised release and a $250,000 fine on both charges. She will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office.
The investigation was conducted by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, and the Social Security Administration, Office of the Inspector General.
Pittsburgh Man Pleads Guilty to Possession of Fentanyl AnalogueRead the Press Release
PITTSBURGH - One resident of Pittsburgh, Pennsylvania, pleaded guilty in federal court to a charge of possession with intent to distribute 10 grams or more of an analogue of fentanyl, United States Attorney Scott W. Brady announced today.
Trevon Woodson, age 22, pleaded guilty to one count before Senior United States District Court Judge David S. Cercone.
In connection with the guilty plea, the court was advised that Lynell Guyton is the main target of the investigation. From May 2017 until August 2017, he utilized various individuals to package drugs for him. Guyton purchased large quantities of fentanyl analogues from overseas purveyors to sell locally.
According to information provided to the court, Trevon and his twin brother Drevon are Guyton’s cousins who also packaged narcotics for him. On July 10, 2017, the Woodsons and their friend were subjected to a traffic stop in the City of Pittsburgh. Trevon Woodson was sitting in the back seat, kicking at a blue plastic shopping bag at his feet. After searching the vehicle, officers found the shopping bag that was at Trevon Woodson’s feet, and discovered that it contained 16 bricks plus two stamp bags, marked "Louis Vuitton" in black ink. That was one of the three stamps distributed by Guyton. The substances tested positive for over 10 grams of cyclopropyl fentanyl.
Lynell Guyton and Drevon Woodson are under indictment with pre-trial motions pending.
Judge Cercone scheduled sentencing for October 1, 2019. The law provides for a maximum total sentence of not less than five years and up 40 years in prison, a fine of $5,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant. Pending sentencing, the court ordered Woodson to remain detained.
Assistant United States Attorney and Shanicka L. Kennedy are prosecuting this case on behalf of the government.
The U.S. Immigration and Customs Enforcement’s (ICE)/Homeland Security Investigations (HSI), assisted by the United States Postal Inspection Service, the Pennsylvania State Police and the Pittsburgh Bureau of Police, including the Pittsburgh Police SWAT Team, conducted the investigation leading to the Indictment in this case.