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Thursday 18 April 2019
Burlington Woman Indicted for Mailing a Threatening CommunicationRead the Press Release
Bangor, Maine: United States Attorney Halsey B. Frank announced that Suzanne Muscara, 37, of Burlington, Maine, was indicted yesterday for mailing a threatening communication to Senator Susan Collins.
According to court records, the charge arose from an investigation into a suspicious letter processed by the U.S. Postal Service mail sorting facility in Hampden, Maine, in October 2018. The letter was leaking a fine white powder and it contained a threat. The white powder was tested and found not to contain toxic substances.
If convicted, the defendant faces up to 10 years in prison and a $250,000 fine.
The investigation is being conducted by the FBI, the U.S. Postal Inspection Service, the Office of Maine State Fire Marshal, and the Maine State Police.
An indictment is merely an accusation, and a defendant is presumed innocent unless proven guilty in a court of law beyond a reasonable doubt.
Burlington Man Pleads Guilty to Possessing Child PornographyRead the Press Release
BOSTON – A former civilian employee of the Hanscom Air Force Base pleaded guilty yesterday in federal court in Boston in connection with possessing thousands of files depicting child pornography, including a manual titled “How to Practice Child Love.”
William Gates, 41, of Burlington, pleaded guilty to one count of possession of child pornography. U.S. District Court Judge Leo T. Sorokin scheduled sentencing for July 17, 2019. In September 2018, Gates was arrested and subsequently released on conditions.
In November 2017, law enforcement in Boston received information from authorities in Australia about an investigation involving an online personal photo site, known for hosting child pornography. Australian investigators observed a user of the site posting photographs of, and comments regarding, an approximately six-year-old boy on a school bus, who the user identified as a child on a field trip that the user was chaperoning. Australian and U.S. authorities were able to trace the account activity to IP addresses assigned to Gates’s home in Burlington and to Hanscom Air Force Base, where Gates was a civilian employee at the time.
During an interview with law enforcement in early December 2017, Gates admitted that he used his iPhone to take some of the photographs while chaperoning a field trip to the zoo with his son’s elementary school. After Gates provided written consent, law enforcement conducted a preliminary exam of two of the defendant’s digital devices and allegedly located approximately 51 images of child pornography. A month later, on Jan. 8, 2018, agents executed a search warrant at Gates’s home, where they found more than 900 child pornography files. Gates was subsequently indicted by a Middlesex grand jury for possession of child pornography.
During the week of Aug. 27, 2018, further forensic analysis of one of Gates’ laptops revealed an encrypted volume, where approximately 5,000 images and 440 videos of child pornography were hidden, as well as a document titled, “How to Practice Child Love,” which purports to serve as a guide to teach adults how to have sex with children.
The charging statute provides for 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 fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling and Peter C. Fitzhugh, Special Agent in Charge of Homeland Security Investigations in Boston, made the announcement today. Valuable assistance was provided by the Burlington Police Department. Assistant U.S. Attorney Anne Paruti, Lelling’s Project Safe Childhood Coordinator and a member of the Major Crimes Unit, is prosecuting the case.
The case is brought as part of Project Safe Childhood. In 2006, the Department of Justice created Project Safe Childhood, a nationwide initiative designed to protect children from exploitation and abuse. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov/.
Buffalo Man Pleads Guilty to Possession of Butyryl FentanylRead 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 Myles Scales, 27, of Buffalo, NY, pleaded guilty before Chief U.S. District Judge Frank P. Geraci, Jr. to possession with intent to distribute butyryl fentanyl. The charge carries a maximum penalty of 20 years in prison, and a $1,000,000 fine.
Assistant U.S. Attorney Seth T. Molisani, who is handling the case, stated that on November 14, 2017, at approximately 6:04 p.m., two Buffalo Police Officers observed a blue 2013 Dodge Avenger parked in the vicinity of 1310 Broadway for a few minutes and then observed it leave. Approximately 20 minutes later, the officers observed the same vehicle parked again near 1310 Broadway, where it remained for a few minutes before departing again.
The officers followed the vehicle to the intersection of Broadway and Miller Avenue, at which time the defendant jumped out of the front passenger door of the vehicle and shuffled through traffic to the sidewalk. The officers got out of their vehicle and approached Scales who placed his right hand into the pocket of his hoodie. Concerned that the defendant was reaching for a weapon, one the officers took the defendant’s hand and pulled it from the pocket. Scales was clutching a large plastic bundle. The bundle was actually a plastic bag containing nine bundles which contained 81 white and blue-checkered glassine envelopes of suspected controlled substances. Scales was arrested at the scene. Subsequent testing determined that the substance was butyryl fentanyl.The plea is the result of an investigation by the Buffalo Police Department, under the direction of Commissioner Byron Lockwood, and the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division.
Sentencing is scheduled for August 15, 2019, at 10:00 a.m. before Judge Geraci.
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Buffalo Man Pleads Guilty to Narcotics ConspiracyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y.-U.S. Attorney James P. Kennedy, Jr. announced today that Rogelio Mueses, 26, of Buffalo, NY, pleaded guilty before Chief U.S. District Judge Frank P. Geraci, Jr. to conspiracy to possess with intent to distribute heroin, butyryl fentanyl, 4-fluoroisobutyryl fentanyl, and fentanyl. The charge carries a maximum of 20 years in prison and a $1,000,000 fine.
Assistant U.S. Attorney Brendan T. Cullinane, who is handling the case, stated that between January and May of 2018, the defendant conspired with another individual to distribute controlled substances. In particular, on six different dates, they sold controlled substances to an individual working with the Drug Enforcement Administration. Subsequent testing confirmed the presence of heroin, butyryl fentanyl, and 4-fluoroisobutyryl fentanyl, all of which are Schedule I controlled substances, and fentanyl, a Schedule II controlled substance.
Sentencing is scheduled before Judge Geraci for July 18, 2019, at 9:30 a.m.
Buffalo Man Pleads Guilty to Multple Counts of Sex TraffickingRead 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 Oliver Kimmons, 51, of Lockport, NY, pleaded guilty to five counts of sex trafficking before U.S. District Judge Lawrence J. Vilardo. The charges carry a mandatory minimum penalty of 15 years in prison, a maximum of life, and a $250,000 fine.
Assistant U.S. Attorneys Meghan A. Tokash, Douglas A.C. Penrose, and Joel L. Violanti, who are handling the case, stated that over the course of three years, the defendant solicited young, and coerced opiate-addicted women to have sex with paying customers in exchange for drugs. Kimmons drove the victims to Western New York farms, dairies, and Indian reservations where they engaged in sex acts with paying customers. The defendant collected the money from customers and then “paid” his victims in heroin. Kimmons also had sex with the victims in exchange for drugs.
The plea is the result of an investigation by the Niagara County Sherriff’s Office and the Niagara County Drug Task Force, under the direction of Sheriff James Voutour; the Erie County Sherriff’s Office, under the direction of Sheriff Timothy Howard; the Lockport Police Department, under the direction of Interim Chief Steven Preisch; the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division; and Homeland Security Investigations, under the direction of Special Agent-in Charge Kevin Kelly.
Sentencing is scheduled for August 26, 2019, at 9:30 a.m. before Judge Vilardo.
Bridgeport Man Sentenced to Additional Prison Time for Violating Supervise ReleaseRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that MICHAEL DRZAL, 29, of Bridgeport, was sentenced today by U.S. District Judge Stefan R. Underhill in Bridgeport to six months of imprisonment, followed by 10 years of supervised release, for violating the conditions of his supervised release.
According to court documents and statements made in court, on June 29, 2012, Judge Underhill sentenced Drzal to 18 months of imprisonment and 10 years of supervised release for receipt and distribution of child pornography. The investigation revealed that Drzal used a publicly available internet file-sharing program to receive and distribute child pornography. In June 2011, a search of Drzal’s computer, hard drives and e-mail account revealed 1,738 image files and 685 videos of child pornography.
Drzal was released from federal prison in December 2013.
On July 22, 2018, Milford Police arrested Drzal at the Connecticut Post Mall in Milford after he was caught using a mirror to look over the top of a bathroom stall while a young boy was in the adjacent stall. Mall security video showed that he was in the bathroom for approximately four hours.
On February 28, 2019, Drzal pleaded guilty in state court to one count of risk of injury to a minor. He is awaiting sentencing on the state charges.
The case was prosecuted by Assistant U.S. Attorney Neeraj Patel.
Bowie County Felon Sentenced for Federal Firearms ViolationsRead the Press Release
TEXARKANA, Texas – A 79-year-old Hooks, Texas, man has been sentenced to federal prison for firearms violations in the Eastern District of Texas, announced U.S. Attorney Joseph D. Brown today.
Robert D. Whittington, III, pleaded guilty on Oct. 4, 2018, to being a felon in possession of a firearm and felon in possession of ammunition and was sentenced to 18 months in federal prison today by U.S. District Judge Robert W. Schroeder, III.
According to information presented in court, on Mar. 7, 2018, federal agents executed a search warrant at Whittington’s residence on Avenue D in Hooks, Texas. During the search, officers discovered 119 firearms and over 19,000 rounds of ammunition. Whittington was convicted of terrorizing on Jan. 3, 2011 in Bossier Parish, LA, and as a convicted felon is prohibited from owning or possessing firearms or ammunition. Whittington was indicted by a federal grand jury in the Eastern District of Texas on May 16, 2018.
This case was prosecuted as part of the Project Safe Neighborhoods Initiative. Project Safe Neighborhoods is aimed at reducing gun and gang violence, deterring illegal possession of guns, ammunition and body armor, and improving the safety of residents in the Eastern District of Texas. Participants in the initiative include community members and organizations as well as federal, state and local law enforcement agencies.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Bossier Parish Sheriff’s Office and prosecuted by Assistant U.S. Attorney Jim Noble.
Boothville Man Pleads Guilty in Cocaine-Trafficking ConspiracyRead the Press Release
U.S. Attorney Peter G. Strasser announced that defendant JERRELL ENCALADE, age 35, of Boothville, LA, pleaded guilty today to one count of conspiring to traffic cocaine hydrochloride and cocaine base (“crack”), in violation of Title 21, United States Code, Section 841(a)(1), 841(b)(1)(B), and 846. ENCALADE is facing a mandatory minimum sentence of 5 years in prison, a maximum sentence of 40 years in prison, a possible fine up to $5,000,000, and a period of supervised release of at least four years.
U.S. District Judge Martin L.C. Feldman is scheduled to sentence ENCALADE on July 10, 2019.
U.S. Attorney Strasser praised the work of the Plaquemines Parish Sheriff’s Office (PPSO), Drug Enforcement Administration (DEA), Alcohol, Tobacco and Firearms (ATF), New Orleans Police Department (NOPD), Kenner Police Department (KPD), Customs and Border Protection (CBP), and Houston Police Department (HPD) in their investigation of this case. Assistant United States Attorney Brandon S. Long is in charge of the prosecution.
Bend Police Department Featured in Justice Department Report on Improving Safety and Wellness of Law EnforcementRead the Press Release
WASHINGTON – On April 17, 2019, the Department of Justice released two complementary reports focusing on the mental health and safety of the nation’s federal, state, local and tribal police officers. The Bend Police Department in Bend, Oregon was featured in the report as one of eleven law enforcement agencies demonstrating a range of innovative approaches to safeguarding the mental health of both sworn and nonsworn employees.
The reports, Law Enforcement Mental Health and Wellness Act: Report to Congress and Law Enforcement Mental Health and Wellness Programs: Eleven Case Studies, were published by the Office of Community Oriented Policing Services (COPS Office) as required by the Law Enforcement Mental Health and Wellness Act (LEMHWA) of 2017.
The LEMHWA passed both chambers unanimously and without amendment and was signed by the President shortly thereafter. These actions show that its purpose and intended effects are uncontroversial among policymakers – law enforcement agencies need and deserve support in their ongoing efforts to protect the mental health and well-being of their employees. Congress took the important step in improving the delivery of and access to mental health and wellness services that will help our nation’s more than 800,000 federal, state, local, and tribal law enforcement officers.
“Serving as a law enforcement officer requires courage, strength, and dedication,” Attorney General William P. Barr said. “The demands of this work, day in and day out, can take a toll on the health and well-being of our officers, but the Department of Justice is committed to doing our part to help. I want to thank the men and women of our COPS office for their hard work to support our officers every day, and specifically for these thoughtful and insightful reports, which detail both the challenges facing our officers and some specific ways we can give them the support that they deserve.”
“We are incredibly proud of everyone at the Bend Police Department for the innovative steps taken to protect the mental health of all employees. Not only does this protect officer and staff wellbeing, but it also bolsters public safety. I am grateful to Chief of Police Jim Porter for his leadership and commitment to supporting the men and women under his command.” said Billy J. Williams, U.S. Attorney for the District of Oregon. “I hope that Bend PD’s example will mark the beginning of a new era in policing where protecting the mental health of officers and staff is universally viewed as an essential element of effective law enforcement.”
“A damaging national narrative has emerged in which law enforcement officers – whether federal, state, local, or tribal – are seen not as protectors of communities but as oppressors,” said COPS Office Director Phil Keith. “In this environment, where an inherently stressful job is made more so by a constant undercurrent of distrust and negative public opinion, the risks to officer wellness are exacerbated. This report is an important measure and reflection in our ongoing commitment to protect those who protect us.”
Under the Law Enforcement Mental Health and Wellness Act, the COPS Office was required to submit reports to Congress that addressed:
- Recommendations to Congress on effectiveness of crisis lines for law enforcement officers, efficacy of annual mental health checks for law enforcement officers, expansion of peer mentoring programs, and ensuring privacy considerations for these types of programs;
- Mental health practices and services in the U.S. Departments of Defense (DoD) and Veterans Affairs (VA) that could be adopted by federal, state, local, or tribal law enforcement agencies; and
- Case studies of programs designed primarily to address officer psychological health and well-being.
The first report, Law Enforcement Mental Health and Wellness Act: Report to Congress, includes 22 recommendations to Congress ranging from supporting programs to embed mental health professionals in law enforcement agencies to supporting the development of model policies and implementation guidance for law enforcement agencies to make substantial efforts to reduce suicide.
The case studies report, Law Enforcement Mental Health and Wellness Programs: Eleven Case Studies, is designed to provide an overview of multiple successful and promising law enforcement mental health and wellness strategies with the joint aims of informing Congress, state and local government officials, and the law enforcement field. The report includes 11 case studies from a diverse group of sites across the United States.
The Department of Justice is pleased to respond to the LEMHWA as officer safety, health, and wellness is a longstanding priority of the agency. The reports released today address some of the most pressing issues currently facing our law enforcement community.
The COPS Office has a near 25-year history of supporting the efforts of state, local and tribal law enforcement, including the management of the National Blue Alert Network. The agency awards grants to hire community policing officers, develop and test innovative policing strategies, and provide training and technical assistance to community members, local government leaders, and all levels of law enforcement. Since 1994, the COPS Office has invested more than $14 billion to help advance community policing.
Attorney Sentenced for His Role in Mortgage Fraud SchemeRead 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 Laurence Savedoff, Esq., 44, of New City, NY, who was convicted of misprision of a felony, was sentenced to serve four months in prison by Chief U.S. District Court Judge Frank P. Geraci, Jr.
Assistant U.S. Attorneys Elizabeth R. Moellering and Kathleen A. Lynch, who handled the case, stated that between 2008 and 2009, the defendant represented The Funding Source (“TFS”), a mortgage bank, as the settlement attorney. The defendant’s law office was used to execute the closings for the eight real estate transactions for properties located in Bronx, NY, which involved efforts by five other individuals fraudulently to obtain mortgages that were insured by FHA on behalf of unqualified borrowers. For all eight transactions, the defendant caused the signing of the HUD-1 settlement statement and FHA Addendum to the HUD-1 knowing that the information therein was false.
Although he did not know the full extent of the scheme, the defendant became aware that others were using him to help defraud financial institutions. The defendant failed to notify authorities, including federal authorities, of these other individuals’ use of fraud to obtain funds from TFS. Furthermore, the defendant took affirmative steps to conceal the fraud by signing the HUD-1 Settlement Statement and FHA Addendum, or by having his paralegal sign them. Those documents were later forwarded by TFS, which he knew would be sent to financial institutions, including M&T Bank located in the Western District of New York. One duty of the defendant in his role as settlement attorney was to certify that the disbursements written on the HUD-1 accurately reflected the disbursements in the transactions. The HUD-1 and other financial documents were sent to financial institutions to show that the borrowers met FHA’s requirement of providing a 3-3.5% down payment. The defendant was aware that the borrowers in all eight transactions did not provide that down payment. Nevertheless, the defendant, or his paralegal at this direction, certified on the HUD-1 and in the FHA Addendum that the disbursements listed therein were accurate. As a result of the aforementioned facts, financial institutions, including M&T Bank, purchased the fraudulently originated loans from TFS.
The total amount of the mortgage loans for these eight transactions was $4,800,007.
The sentencing is the culmination of an investigation by the United States Postal Inspection Service under the direction of Joseph W. Cronin, Inspector in Charge, Boston Division, the United States Department of Housing and Urban Development, Office of the Inspector General, under the direction of Special Agent in Charge Brad Geary; and the Federal Bureau of Investigation, under the direction of Special Agent in Charge Gary Loeffert. Additionally, the New York State Department of Financial Services assisted with the investigation.
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Armed Illegal Alien Pleads Guilty to Firearm PossessionRead the Press Release
RICHMOND, Va. – An illegal alien residing in Richmond pleaded guilty today to possessing a firearm illegally in the United States.
“Perez-Agustin is in the United States illegally and was caught carrying a firearm,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “This criminal activity reflects a blatant disregard for our nation’s laws and represents a threat to public safety. The Department of Justice is committed to prioritizing criminal immigration enforcement, and this case reflects that continuing commitment.”
According to court documents, Manuel Dejesus Perez-Agustin, 39, had previously illegally entered the United States, been removed at taxpayer expense in January 2011, and then illegally reentered the United States again.
“This individual has no regard for our nation’s laws,” said Lyle A. Boelens, Acting Field Office Director for U.S. Immigration and Customs Enforcement’s (ICE) Enforcement and Removal Operations (ERO) Washington, D.C. “Not only did he re-enter the country after deportation, he was arrested in possession of a firearm, making him a threat to public safety. We will continue to work with the U.S. Attorney’s Office to keep our communities safe through enforcement of our nation’s immigration laws.”
In this instance, Perez-Agustin was charged with illegal reentry into the United Sates after removal and also illegal possession of a firearm.
Perez-Agustin pleaded guilty to possessing a firearm while being illegally in the United States and faces a maximum penalty of 10 years in prison when sentenced on July 31. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
This case is part of Project Safe Neighborhoods (PSN), which 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.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Lyle A. Boelens, Acting Field Office Director for U.S. Immigration and Customs Enforcement’s (ICE) Enforcement and Removal Operations (ERO) Washington, D.C., made the announcement after U.S. District Judge M. Hannah Lauck accepted the plea. Assistant U.S. Attorney S. David Schiller is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:19-cr-26.
April Grand JuryRead the Press Release
United States Attorney Joe Kelly announced the federal Grand Jury for the District of Nebraska has returned 22 indictments charging 26 defendants. Indictments are charging documents that contain one or more individual counts that are merely accusations, and every defendant is presumed innocent unless and until proven guilty.
* Jose Angel Aguilera Campos, age 64, is charged with illegal reentry after deportation on or about April 11, 2019, following an aggravated felony conviction. The maximum possible penalty if convicted is 20 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment.
* Phillip M. Brown, age 40, of Grand Island, Nebraska, is charged in a two-count Indictment. Count I charges the defendant with felon in possession of a firearm on or about December 13 and December 14, 2018. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment. Count II charges the defendant with possession of a stolen firearm on or about December 13 and December 14, 2018. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment.
* Jeremiah Joseph Burkhart, age 38, of Lincoln, and Anna J. Chernyy, age 23, of Lincoln, are charged in a three-count Indictment. Count I charges the defendants with conspiracy to distribute and possess with intent to distribute 500 grams or more of methamphetamine from January 30, 2019 and continuing through April 2, 2019. The maximum possible penalty if convicted is NLT 10 years’ imprisonment, NMT $10,000,000 fine, NTL 5-year term of supervised release, and a $100 special assessment. Count II charges Chernyy with felon in possession of a firearm on or about April 2, 2019. The maximum possible penalty if convicted is 5 years’ consecutive imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment. Count III charges Burkhart with felon in possession of a firearm on or about March 13, 2019. The maximum possible penalty if convicted is 5 years’ consecutive imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment.
* Marco Cahuec Ortiz, age 44, is charged with illegal reentry after deportation from on or about April 16, 2019. The maximum possible penalty if convicted is 2 years’ imprisonment, a $250,000 fine, a 1-year term of supervised release, and a $100 special assessment.
* Melissa Carmona Valenzuela, age 24, of Houston, Texas, and Jose Munoz Perdomo, age 23, of Bronx, New York, are charged in a six-count Indictment. Count I charges both defendants with conspiracy to commit Wire Fraud beginning on or about February 14, 2019, and continuing to on or about February 27, 2019. The Indictment alleges the defendants defrauded Verizon Wireless to obtain money and property by means of materially false and fraudulent pretenses. The maximum possible penalty if convicted of Count I is 20 years’ imprisonment for each count, a $250,000 fine for each count, a 3-year term of supervised release for each count, and a $100 special assessment for each count. Counts II & III charge Valenzuela with Wire Fraud on or about February 27, 2019. The Indictment alleges Valenzuela defrauded Verizon Wireless to obtain money and property by means of materially false and fraudulent pretenses. The maximum possible penalty if convicted of Counts II & III is 20 years’ imprisonment for each count, a $250,000 fine for each count, a 3-year term of supervised release for each count, and a $100 special assessment for each count. Count IV charges Valenzuela with Producing, Using, or Trafficking in a Counterfeit Access Device from on or about February 14, 2019 to on or about February 27, 2019. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment. Counts V & VI charge Valenzuela with Using or Trafficking in an Unauthorized Access Device from on or about February 14, 2019 to on or about February 27, 2019. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment.
* Roberto Chaires-Granados, age 66, is charged with illegal reentry after deportation from on or about March 18, 2019. The maximum possible penalty if convicted is 2 years’ imprisonment, a $250,000 fine, a 1-year term of supervised release, and a $100 special assessment.
* Renee L. Coats, age 56, of Hastings, Nebraska, is charged in a three-count Indictment. In Counts I–III the defendant is charged with Theft of US Mail by Postal Employee on or about September 20, 2018 continuing through October 18, 2018. The maximum possible penalty if convicted is 5 years’ imprisonment on each count, a $250,000 fine on each count, a 3-year term of supervised release on each count, and a $100 special assessment per count.
* Timothy Columbare, age 37, of Mansfield, Massachusetts, is charged with interference with Southwest Airlines flight crew members and attendants on or about March 19, 2019. The maximum possible penalty if convicted is 20 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment.
* Dragen Flores Cortes, age 25, is charged with illegal reentry after deportation from on or about April 9, 2019. The maximum possible penalty if convicted is 2 years’ imprisonment, a $250,000 fine, a 1-year term of supervised release, and a $100 special assessment.
* Mathew S. Goad, age 33, of North Platte, Nebraska, and Cory D. Preitauer, age 28, of North Platte, Nebraska, are charged in a five-count Indictment. Count I charges the defendants with conspiracy to produce child pornography beginning on or about June, 2018 and continuing until on or about September, 2018. The maximum possible penalty if convicted is 30 years’ imprisonment, a $250,000 fine, Life term of supervised release, a $100 special assessment. Count II charges the defendants with production of child pornography beginning on or about June, 2018 and continuing until on or about September, 2018. The maximum possible penalty if convicted is 30 years’ imprisonment, a $250,000 fine, Life term of supervised release, a $100 special assessment. Count III charges Preitauer with production of child pornography-parent or guardian beginning on or about June, 2018 and continuing until on or about September, 2018. The maximum possible penalty if convicted is 30 years’ imprisonment, a $250,000 fine, Life term of supervised release, a $100 special assessment. Count IV charges Goad with distribution of child pornography beginning on or about June, 2018 and continuing until on or about September, 2018. The maximum possible penalty if convicted is 20 years’ imprisonment, a $250,000 fine, Life term of supervised release, a $100 special assessment. Count V charges Goad with possession of child pornography beginning on or about March 29, 2019. The maximum possible penalty if convicted is 20 years’ imprisonment, a $250,000 fine, Life term of supervised release, a $100 special assessment.
* Rigoberto Lopez Salvador, age 27, is charged with illegal reentry after deportation from on or about April 3, 2019. The maximum possible penalty if convicted is 2 years’ imprisonment, a $250,000 fine, a 1-year term of supervised release, and a $100 special assessment.
* Tony Merksick, age 41, is charged in a two-count Indictment. Counts I & II of the Indictment charge Merksick with filing a false tax return from on or about April 13, 2013 and March 24, 2014. The maximum possible penalty if convicted is 3 years’ imprisonment, a $100,000 fine, a 1-year term of supervised release, and a $100 special assessment.
* Rick Karnes, age 56, of O’Neill, Nebraska, and O’Neill Ventures, LLC, of O’Neill, Nebraska, are charged with conspiracy to harbor illegal aliens from on or about April 20, 2014 through on or about April 16, 2019. The maximum possible penalty if convicted for Karnes is 10 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment. The maximum possible penalty if convicted for O’Neill Ventures, LLC is a $500,000 fine, a $100 special assessment, and forfeiture of proceeds of any criminal activity.
* Victor Phillips, age 30, of Chicago, Illinois, is charged with possession with intent to distribute 500 grams or more of cocaine on February 28, 2019. The maximum possible penalty if convicted is 40 years’ imprisonment, $5,000,000 fine, 4-year term of supervised release, and a $100 special assessment.
* Alan Manuel Rubio Cazarez, age 52, of South Sioux City, Nebraska, is charged in a two-count Indictment. Count I charges the defendant with receipt of visual depictions of minors on or about November 14, 2018 and December 17, 2018. The maximum possible penalty if convicted is 20 years’ imprisonment, a $250,000 fine, Life term of supervised release, and a $100 special assessment, $5,000 additional SA. Count II charges the defendant with possession of visual depictions of minors on or about December 18, 2018. The maximum possible penalty if convicted is 20 years’ imprisonment, a $250,000 fine, Life term of supervised release, and a $100 special assessment, $5,000 additional SA.
* Arturo Alvaro Sanchez Lopez, age 49, is charged with illegal reentry after deportation following a felony conviction on or about April 3, 2019. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment.
* Miguel Serrano Dominguez, age 37, is charged with illegal reentry after deportation from on or about March 28, 2019. The maximum possible penalty if convicted is 2 years’ imprisonment, a $250,000 fine, a 1-year term of supervised release, and a $100 special assessment.
* Douglas Sibley, age 35, is charged with possession with intent to distribute 400 grams or more of fentanyl on March 5, 2019. The maximum possible penalty if convicted is Life imprisonment, $10,000,000 fine, 5-year term of supervised release, and a $100 special assessment.
* Robin A. Smith, age 39, of Wilcox, Nebraska, is charged with Theft of US Mail by Postal Employee on or about May 16, 2018. The maximum possible penalty if convicted is 5 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment.
* Michael Stine, age 32, of Omaha, is charged in a two-count Indictment. Count I charges the defendant with felon in possession of a firearm on or about February 22, 2019. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment. Count II charges the defendant with possession of unregistered firearm on or about February 22, 2019. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment.
* Santos Tino Garcia, age 46, is charged with illegal reentry after deportation from on or about April 4, 2019. The maximum possible penalty if convicted is 2 years’ imprisonment, a $250,000 fine, a 1-year term of supervised release, and a $100 special assessment.
* Claudio Vallejo-Francisco, age 36, is charged with illegal reentry after deportation following a felony conviction on or about April 16, 2019. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment.
* Williams Vega-Victoriano, age 25, is charged with illegal alien in possession of a firearm on or about March 17, 2019. The maximum possible penalty if convicted is 10 years’ imprisonment, a $250,000 fine, a 3-year term of supervised release, and a $100 special assessment.
Altoona Man Sentenced to 6+ Years in Prison for Distribution of Child PornographyRead the Press Release
JOHNSTOWN, Pa. – A resident of Altoona, Pa. has been sentenced in federal court in Johnstown to 80 months in prison and ten years’ supervised release on his conviction of distribution of child pornography, United States Attorney Scott W. Brady announced today.
United States District Judge Kim R. Gibson imposed the sentence on Kenneth Scott Boyd, 35.
According to information presented to the court, on June 2, 2016, Boyd distributed material depicting the sexual exploitation of a minor. The computer graphic files were shipped or transported in interstate or foreign commerce.
Assistant United States Attorney Stephanie L. Haines prosecuted this case on behalf of the government.
Mr. Brady commended the Laurel Highlands Resident Agency of the Federal Bureau of Investigation and the Altoona Police Department for the investigation that led to the successful prosecution of Boyd.
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 better 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.
Altoona Man Pleads Guilty to Possession of Child PornographyRead the Press Release
JOHNSTOWN, Pa. - A resident of Altoona, Pa., pleaded guilty in federal court in Johnstown to a charge of possession of child pornography, United States Attorney Scott W. Brady announced today.
John F. Boslet, 53, pleaded guilty to the indictment before United States District Judge Kim R. Gibson.
In connection with the guilty plea, on Aug. 8, 2013, Boslet knowingly possessed images as computer graphic files containing child pornography, which had been shipped and transported in interstate or foreign commerce by means of a computer.
Judge Gibson scheduled sentencing for August 12, 2019, at 10:00 a.m. The law provides for a maximum total sentence of 10 years in prison, a fine of $250,000, 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.
Assistant U.S. Attorney Stephanie L. Haines is prosecuting this case on behalf of the government.
The Department of Homeland Security Investigations conducted the investigation that led to the prosecution of Boslet.
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.
Akron man sentenced to more than 10 years in prison for having a firearm while trafficking a mix of fentanyl and cocaineRead the Press Release
An Akron man was sentenced to more than 10 years in prison for having a firearm while trafficking a mix of fentanyl and cocaine.
Lamar Harris, 34, was sentenced to 130 months in prison. Harris was sentenced to 70 months in prison for possession with intent to distribute controlled substances and 60 months for possession of a firearm in relation to drug trafficking. The sentences are to be served consecutively.
Harris pleaded guilty earlier this year. He was found with more than 16 grams of a mixture of fentanyl and cocaine on January 31, 2018, as well as a loaded .45-caliber pistol, according to court documents.
This case was investigated by the Drug Enforcement Administration, the Summit County Sheriff’s Office and the Medina County Drug Task Force. It was prosecuted by Assistant U.S. Attorney Patrick P. Burke.
35-Year Sentence for Habitual Sex Offender who Produced Child PornographyRead the Press Release
DAYTON – James Rapier, 42, of Rossburg, Ohio, was sentenced in U.S. District Court today to 35 years in prison for coercing teenage girls to send him sexually explicit pictures of themselves.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Steve Francis, Special Agent in Charge, U.S. Homeland Security Investigations (HSI) and Darke County Sheriff Toby L. Spencer announced the sentence imposed by U.S. District Judge Thomas M. Rose.
Rapier pleaded guilty in January to coercing a 13-year old female in February 2018 and a 15-year old female in December 2017 to send him sexually explicit photos of themselves. At the times Rapier committed the acts, he was under a requirement to register as a sex offender. In 2000, he was convicted of one count of Gross Sexual Imposition and two counts of Corruption of a Minor in Darke County. In 2005, he was classified as a habitual sex offender when he was convicted of Pandering Obscenity Involving a Minor in Darke County.
U.S. Attorney Glassman commended the investigation of this case by HSI and the Darke County Sheriff’s Office, as well as Assistant United States Attorney SaMee Harden, who is representing the United States in this case.
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12 Charged in Federal Document and Benefit Fraud SweepRead the Press Release
BOSTON – Twelve individuals were charged in federal court in Boston as a result of a federal sweep targeting offenders of document and benefit fraud. The defendants have allegedly used the identities of U.S. Citizens from Puerto Rico as their own. Ten of the 12 individuals charged today are unlawfully present in the United States, and six have criminal records in the names of the victims whose identities they have stolen.
The investigation was conducted by Homeland Security Investigation’s Document and Benefit Fraud Task Force (DBFTF), a specialized field investigative group comprised of personnel from various local, state, and federal agencies with expertise in detecting, deterring, and disrupting organizations and individuals involved in various types of document, identity, and benefit fraud schemes.
The DBFTF is currently investigating suspected aliens who are believed to have obtained stolen identities of United States citizens born in Puerto Rico. Many of the individuals used the identities to obtain public benefits, which they would not otherwise be eligible to receive, including Massachusetts Registry of Motor Vehicles identity documents, Social Security numbers, and Medicaid, and to engage in suspicious financial transactions, including transferring funds.
With the exception of one defendant, the following individuals have each been charged with aggravated identity theft and false representation of a Social Security number:
- David Alexander Arias Arias, 31, a Dominican national currently serving a 41-month sentence in federal prison in Pennsylvania. In 2017, Arias Arias was caught on a court-authorized wiretap dealing fentanyl under his stolen identity; he was subsequently charged in federal court in New Hampshire. At the time of his arrest, Arias Arias was known to reside in Lawrence.
- Jose Miguel Baez, 43, a Dominican national residing in Lawrence. Baez has received more than $8400 in unemployment benefits in his victim’s name.
- Rafael Emilio Cruz Ciprian, 26, a Dominican national residing in Lawrence. Cruz Ciprian was arrested in Lowell on Aug. 4, 2018, on various charges, including giving false name/information to an officer and distribution of a Class A substance. During the arrest, Cruz Ciprian provided law enforcement with the identity of the victim whose identity was stolen.
- Alejandro Yoel Diaz Diaz, 28, a Dominican national residing in Lawrence. Diaz Diaz has been arrested twice for drug dealing; on both occasions he provided his victim’s identity to law enforcement as his own.
- Lilian Fana Martinez, 28, a Dominican national residing in Methuen, who, during multiple arrests, has presented the victim’s stolen identity to law enforcement as her own.
- Mirtha Magdalenny Lara Lara, 31, a Dominican national living in Lawrence with lawful permanent residence status.
- Elluz Yelitza Penalo Aguasvivas, 30, a Venezuelan national residing in Lawrence.
- Ismael Robles Tejeda, 29, a Dominican national residing in Lawrence.
- Francisco Antonio Sanchez Bernabe, 48, a Dominican national residing in Methuen. Sanchez Bernabe has been arrested/and or charged three times in Massachusetts: in May 2015, for possession and distribution of heroin; in April 2017, for possession to distribute a Class A substance; and in August 2017, for failure to stop for a police officer. During each of these arrests, Sanchez Bernabe provided the victim’s identity to the police as his own.
- Damarys Sanchez Sanchez, 44, a Dominican national residing in Lawrence, was charged only with misuse of a Social Security number.
- Santo Pascual Soto Diaz, 38, a Dominican national residing in Lawrence.
- Freddy Tejada-Diaz, a/k/a Freddy Tejada Zapata; a/k/a Freddy Tejadadia; a/k/a Fredy Zapata; a/k/a Fredy Antonio Zapata-Soto, 52, a Dominican national residing in Lawrence. Tejada-Diaz was ordered deported in 1996 by a judge in New York, though Tejada-Diaz failed to appear on the court date the judge ordered him removed. Tejada-Diaz never left; instead, he assumed a new identity and was eventually arrested for shoplifting in New Hampshire under his victim’s name.
“This case is part of our ongoing effort to target federal crime in the Lawrence area,” said U.S. Attorney Andrew E. Lelling, “and we will keep up the pressure for as long as necessary. The 12 men and women charged allegedly stole and used the identities of U.S. citizens to live illegally in the United States, receive government benefits in the names of their victims, and even commit crimes in the names of those victims. This is a rampant problem, and my office is committed to helping those whose identities have been compromised to regain control over their lives.”
“The identity theft committed in these cases is a disrespect to our immigration laws,” said Peter C. Fitzhugh, Special Agent in Charge, U.S. Immigration and Customs Enforcement, Homeland Security Investigations in Boston. “Today’s arrests are the culmination of months of intensive investigative interagency work by our Document and Benefit Fraud Task Force and partner agencies. We appreciate the U.S. Attorney’s commitment to prosecuting those arrested today. We are confident that facts in these cases will show that those who allegedly participated in these criminally fraudulent actions have committed not only identity theft crimes but also associated benefit fraud and financial crimes.”
“My Office and our partners take document benefit fraud very seriously,” said Scott Antolik, Special Agent in Charge of the Social Security Administration, Office of Inspector General, Office of Investigations, Boston Field Division. “Those who misuse Social Security numbers affect the integrity of the entire Social Security system.”
“Document and identity fraud are serious crimes with far reaching and significant consequences for the individual victims, and which carry the potential for a broader threat to public safety and homeland security,” said Colonel Kerry Gilpin, Superintendent of the Massachusetts State Police. “We were pleased to be able to work with our law enforcement partners on this important operation.”
In July 2018, a DBFTF led investigation resulted in the arrests of 25 individuals on charges of identity theft and Social Security fraud.
The charge of aggravated identity theft carries a mandatory two-year sentence that must run consecutively to any other sentence imposed, up to one year of supervised release, and a fine of up to $250,000. False representation of a Social Security number provides for a sentence of no greater than five years in prison, three years 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; HSI SAC Fitzhugh; SSA OIG SAC Antolik; and Colonel Gilpin made the announcement today. Valuable assistance was provided by the U.S. Department of Health and Human Services, Office of the Inspector General; the U.S. Department of Housing and Urban Development, Office of Inspector General, Northeast Regional Office; the U.S. Department of Labor, Office of Inspector General, Office of Investigations; the U.S. Department of State, Diplomatic Security Service, Boston Field Office; the U.S. Postal Inspection Service; and the Lawrence, Methuen, and Boston Police Departments. Assistant U.S. Attorneys Sandra Bower, Lindsey Weinstein, and David Tobin of Lelling’s Criminal Division are prosecuting the cases.
The details contained in the charging documents are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Wednesday 17 April 2019
Wilmington Man Who Supplied Cocaine to Bloods Street Gang Sentenced to 6 1/2 Years in Federal PrisonRead the Press Release
RALEIGH - The United States Attorney for the Eastern District of North Carolina, Robert J. Higdon, Jr., announced that United States District Judge James C. Dever III, sentenced Rufus Lamar Parker, 28, of Wilmington to 78 months’ imprisonment, followed by 3 years of supervised release.
On July 9, 2018, PARKER pled guilty to six counts of distributing powder cocaine. He pled guilty to an additional count charging conspiracy to distribute and possess with intent to distribute cocaine on November 30, 2018.
PARKER was the fifth of six co-defendants to be sentenced in this case. Four co-defendants have previously received sentences ranging from 60 to 240 months:
- On May 23, 2018, Eugene Telphia Grady, Jr., was sentenced to 60 months’ imprisonment and 6 years of supervised release, following his guilty plea to a charge of conspiring to distribute crack cocaine.
- On October 3, 2018, James Flowers was sentenced to 120 months’ imprisonment and 5 years of supervised release, following a guilty plea to conspiring to manufacture, distribute and possess cocaine and 28 grams of more of crack cocaine; manufacture, distribution, and possession with intent to distribute 28 grams or more of crack cocaine; and use and carrying a firearm in furtherance of a drug trafficking crime.
- On October 3, 2018, Sylvester Lorenzo Hooper, Jr., was sentenced to 204 months’ imprisonment and 8 years of supervised release, following his guilty plea to conspiring to distribute 28 grams or more of crack cocaine; possession of a firearm by a convicted felon; and distribution of a quantity of crack cocaine.
- On February 20, 2019, Victor Dorm was sentenced to 240 months’ imprisonment and 5 years of supervised release following his guilty plea to conspiracy to distribute cocaine and 28 grams or more of crack cocaine; distribution of heroin; manufacture, distribution, and possession with intent to distribute 28 grams or more of cocaine base; use and carry a firearm in furtherance of a drug trafficking crime; and possession of a firearm by a convicted felon.
The remaining co-defendant, Joseph Anthony Vaught, is awaiting sentencing, which is currently set for April 29, 2019. He entered a guilty plea on January 22, 2019, to charges of conspiring to distribute and possess with intent to distribute 500 grams or more of cocaine and possessing a firearm in furtherance of a drug trafficking crime.
These convictions are the result of a long-term undercover operation conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and Officers of the Wilmington Police Department. Beginning in December 2016 and continuing until the federal indictment in August of 2017, ATF used a confidential informant, undercover agents, and a wired undercover apartment to investigate gang and drug activity in the Wilmington, North Carolina area. Victor Dorm, a principal target of the investigation, was a leader of a subset of the Bloods street gang. Officers learned during the course of the investigation that Parker, a close associate of Dorm, supplied Dorm and other Bloods gang members with powder cocaine. The gang then cooked the powder cocaine into crack cocaine, which they sold in the Wilmington area.
During the course of the investigation, law enforcement was able to conduct a large numbers of controlled purchases of contraband from each of the six co-defendants, as well as from five additional men who have pled guilty in separate federal cases. The confidential informant and undercover agents conducted roughly three-dozen transactions, purchasing cocaine, crack cocaine, heroin, counterfeit currency, and multiple firearms. PARKER made seven of the sales, dating from March to July of 2017. In each transaction, PARKER supplied one-, two-, or three-ounce quantities of cocaine to a confidential informant, with a street value of approximately $1,500 per ounce. On August 29, 2017, officers executed a search warrant at PARKER’s residence, recovering an additional 117 grams of powder cocaine, as well as $31,020 in cash.
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. Since 2017 the United States Department of Justice has reinvigorated the PSN program and has targeted 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.
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.
The investigation of this case was conducted by the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF), the Wilmington Police Department, the New Hanover County Sheriff’s Office, and the Brunswick County Sheriff’s Office. Assistant United States Attorneys Jake D. Pugh represented the government.
Whitesburg Couple Sentenced to 30 months for Social Security Fraud and Medicaid FraudRead the Press Release
LEXINGTON, Ky. - A Whitesburg, Kentucky couple have been sentenced to 30 months in federal prison, for defrauding the Social Security and Medicaid programs.
Yesterday, Chief U.S. District Judge Caldwell sentenced married couple Harry Taylor, 63, and Betty Taylor, 64, for conspiracy to commit mail and wire fraud, theft of government funds, and falsifying and concealing a material fact in connection with health care benefits.
The Defendants were both found guilty at trial, in September of 2018.
The evidence at trial established that, over a period of several years, the Defendants repeatedly misled the Social Security Administration about their financial resources, in order to receive more than $40,000 in direct payments for Supplemental Security Income Disability (“SSI”) benefits, which they were not entitled to receive. Their improper qualification for SSI benefits also led to the unlawful receipt of Medicaid benefits, of more than $150,000, during the same period. The Defendants were also found to have engaged in obstruction of justice, by falsifying documents and evidence introduced at the trial.
“This case represents an example of the consequences of defrauding important government programs,” said Robert M. Duncan Jr., United States Attorney for the Eastern District of Kentucky. “This theft of benefits frustrated the purpose of these programs and depleted the limited resources available to assist proper beneficiaries of assistance. It has now resulted in prison sentences. Due to the quality work of SSA-OIG, these defendants will now be held accountable.”
“The Social Security Office of the Inspector General is committed to protecting Supplemental Security Income payments and related benefits, and to pursuing individuals who exploit government programs that exist for those who truly need them,” said Wayne R. Warren, Acting Special Agent-in-Charge of the SSA OIG Atlanta Field Division. “We thank the U.S. Attorney’s Office for prosecuting this case, and we will continue to work with our law enforcement partners to investigate cases of government benefit fraud.”
Under federal law, the Defendants must serve 85 percent of their prison sentences and will be under the supervision of the U.S. Probation Office for three years.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; James Robert Brown, Jr., Special Agent in Charge of the FBI; Wayne R. Warren, Acting Special Agent in Charge, Atlanta Field Division of the Social Security Administration, Office of Inspector General, and Andy Beshear, Attorney General of Kentucky, jointly made the announcement.
The investigation was conducted by the FBI, the SSA-OIG, and the Kentucky Office of the Attorney General. The United States was represented by Assistant U.S. Attorneys Erin Roth and Ken Taylor.
Urbana Man Sentenced to 13 Years for Making and Sharing Child PornRead the Press Release
DAYTON – Adam J. Moffitt, 31, of Urbana, Ohio, was sentenced in U.S. District Court to 156 months in prison for creating and distributing pictures of the sexual abuse of a female infant. He was also sentenced to remain under court supervision for the rest of his life.
Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, and Steve Francis, Special Agent in Charge, Homeland Security Investigations (HSI), announced the sentence handed down yesterday by U.S. District Judge Walter H Rice.
According to court documents, between October and November 2016, Moffitt logged onto a website and posted in chatrooms dedicated to the discussion and dissemination of child pornography and abuse. On at least three occasions, Moffitt posted internet links that, when clicked, led to images of child pornography. Two of those links led to images Moffitt had created of the sexual abuse of a prepubescent female.
While executing a search warrant at Moffitt’s house in November 2016, investigators found more than 600 images of child pornography on his computer. Moffitt pleaded guilty in June 2018 to distributing child pornography.
“The fact that an undercover officer in New Zealand, who was patrolling the internet, found the images Moffitt posted underscores the global danger of child exploitation,” U.S. Attorney Glassman said. “Distributing such disturbing images all but ensures that the child will continue to be victimized long after this case is concluded.”
"HSI will continue to aggressively target predators who share child pornography online; sharing furthers the motivation of those who are producing this repulsive material,” said Francis. “As today's sentence clearly demonstrates, these are serious crimes with serious consequences."
U.S. Attorney Glassman commended the cooperative investigation by HSI, as well as Assistant United States Attorney Dominick S. Gerace, who is representing the United States in this case.
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United States Government and Cooperating U.S. Gold Refinery Enter an Agreement After Money Laundering InvestigationRead the Press Release
Miami-based, gold refinery Republic Metals Corporation (“RMC”) executed a non-prosecution agreement with the United States Attorney’s Office for the Southern District of Florida (the “Office”) after cooperating in an investigation focusing on money laundering and violations of the Bank Secrecy Act in the gold importation and refining industry. Under the terms of the agreement, RMC agreed to continue cooperating in the ongoing investigation, as well as to make improvements in its anti-money laundering and compliance programs.
Ariana Fajardo Orshan, United States Attorney, U.S. Attorney’s Office for the Southern District of Florida, George L. Piro, Special Agent in Charge, Federal Bureau of Investigations (FBI), Miami Field Office, Anthony Salisbury, Special Agent in Charge, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (ICE-HSI), Miami Field Office, Carlos L. Mitchem, Regional Director, Drug Enforcement Administration (DEA-Peru), Southern Cone Region, and Adolphus P. Wright, Special Agent in Charge, Drug Enforcement Administration (DEA-Miami), Homestead Field Office, made the announcement.
RMC is the second U.S. gold refinery that has been implicated in the Office’s investigation into the gold importation and refining industry. Previously, Elemetal LLC, doing business as “Elemetal” and “NTR Metals,” pled guilty to a single-count information for failure to maintain an adequate anti-money laundering program under the Bank Secrecy Act (BSA). (U.S. v. Elemetal LLC, Case No. 18-cr-20173). The investigation into the gold importation and refining industry remains ongoing.
U.S. Attorney Ariana Fajardo Orshan stated, “We commend Republic Metals Corporation for cooperating in this investigation and agreeing to strengthen their anti-money laundering and compliance program after deficiencies had been discovered. This Office’s investigation into the gold importation and refining industry will continue and the resolution with Republic Metals Corporation, as well as the guilty plea of NTR, should place others on notice that there are benefits to cooperating and there are grave consequences for those who engage in money laundering or fail in their legal requirement to prevent it.”
These cases are the result of the ongoing efforts by the Organized Crime Drug Enforcement Task Force (OCDETF) “Operation Arch Stanton”, a partnership between federal, state and local law enforcement agencies. The OCDETF mission is to identify, investigate, and prosecute high level members of drug trafficking enterprises, bringing together the combined expertise and unique abilities of federal, state and local law enforcement.
U.S. Attorney Fajardo Orshan commended the investigative efforts of FBI, ICE-HSI, IRS-CI, and DEA-Peru and DEA-Homestead. This case is being prosecuted by International Narcotics and Money Laundering Section Assistant U.S. Attorneys Walter M. Norkin and Brian Shack. Southern District of Florida Assistant U.S. Attorney Adrienne Rosen is handling the asset forfeiture aspects of this matter.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov.
U.S. Attorney’s Office Resolves Mineral Trespass Investigation Against Colorado Oil and Gas CompanyRead the Press Release
DENVER – SRC Energy, Inc., a Colorado-based oil and gas company, has agreed to pay $723,236 to resolve mineral trespass allegations regarding two oil and gas wells unlawfully drilled in Weld County, Colorado.
The United States contends that in 2014 and 2015, SRC drilled oil and gas wells into railroad right-of-way C668, and later removed federal minerals through those wells. The minerals beneath the railroad right-of-way were reserved to the United States. SRC failed to lease those minerals or seek permission from the Bureau of Land Management prior to drilling the wells. Because federal investigators believed this trespass was willful, the United States demanded the full value of 100% of the federal minerals extracted during the trespass period, without any offset for drilling or production costs.
“Protecting the public includes protecting our federal lands and federal mineral interests. Oil and gas companies must be careful not to take federal resources without permission. If they do, we will aggressively seek redress on behalf of the United States,” said U.S. Attorney Jason Dunn.
Ron Gonzales, Special Agent in Charge of the U.S. Department of Interior, Office of Inspector General's Energy Investigations Unit, stated, “Our office is committed to work collaboratively and diligently with DOJ and our federal partners at the Department of Interior to ensure that revenues generated from public resources are accounted for on behalf of the American taxpayers.”
This case was handled by Assistant U.S. Attorney Andrea Wang.
Two Sentenced for String of Lumberton Area RobberiesRead the Press Release
RALEIGH – Robert J. Higdon, Jr., the United States Attorney for the Eastern District of North Carolina, announces that Chief United States District Judge Terrence W. Boyle sentenced TYRA MAKAVA WATSON, 19, of Lumberton to 144 months’ imprisonment, followed by 5 years of supervised released, and BOBBY PRESTON MCNAIR, 26, of Lumberton to 184 months’ imprisonment, followed by 5 years of supervised released.
On January 16, 2019, WATSON pled guilty to five counts of Hobbs Act robbery and brandishing a firearm during a crime of violence. On December 12, 2018, MCNAIR, pled guilty to four counts of Hobbs Act robbery and brandishing a firearm during a crime of violence.
On October 30, 2017, WATSON and MCNAIR, robbed the Minuteman Gas Station in St. Pauls, NC, followed by the robbery of the Family Dollar store on Norment Road in Lumberton. On November 2, 2017, the two then robbed the Family Dollar store on Roberts Avenue in Lumberton, and on November 4, 2017, they robbed the Family Dollar store on East 5th Street in Lumberton. Lastly, WATSON robbed the Dollar General store on Canton Road in Lumberton. On each occasion, either WATSON or MCNAIR, brandished a firearm and took money from the business.
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. Since 2017 the United States Department of Justice has reinvigorated the PSN program and has targeted violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
This case is also part of 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 violence crime rate, drug trafficking, and crimes against law enforcement.
The investigation of this case was conducted by the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) and the Lumberton Police Department.
Assistant United States Attorney Robert J. Dodson prosecuted the case for the government.
Two Guatemalan Men Sentenced in Multiple Alien Smuggling Death CaseRead the Press Release
LAREDO, Texas – Two Guatemalan men have been ordered to federal prison after their involvement in an alien-smuggling event which resulted in the deaths of two Ecuadoran men, announced U.S. Attorney Ryan Patrick. Melvin L. Barahona-Godoy, 23, and Yoryi Alexis Perez, 29, both of Guatemala, pleaded guilty April 30, 2018.
Today, U.S. District Judge Keith P. Ellison sentenced Barahona-Godoy to 57 months of imprisonment, while Perez was ordered to serve a 78-month-term. Not U.S. citizens, they are expected to face deportation proceedings following completion of their sentences.
On Oct. 21, 2017, federal authorities encountered nine undocumented aliens at a residence in Laredo, one of whom was Barahona-Godoy. After conducting multiple interviews, law enforcement determined Barahona-Godoy and Perez guided the group of aliens across the Rio Grande river from Mexico into the United States the month prior. Perez was subsequently apprehended in 2018.
During that smuggling event, two persons drowned while attempting to cross the river. Both men were from Ecuador.
Both have been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
Immigration and Customs Enforcement’s Homeland Security Investigations conducted the investigation with the assistance of Border Patrol. Assistant U.S. Attorney Christopher dos Santos prosecuted the case.
Two Cortland County Residents Arrested on Child Exploitation ChargesRead the Press Release
SYRACUSE, NEW YORK – Lawrence C. Berry, age 25, and Brittany E. Berry, age 24, of Cortland, New York, were charged today with conspiring to sexually exploit a child.
The announcement was made by United States Attorney Grant C. Jaquith and James N. Hendricks, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation.
A federal criminal complaint charges that in or about August and September 2018, the defendants conspired together to sexually exploit a child who was born in 2015 for the purpose of producing visual depictions of that abuse. The charges in the complaint are merely accusations. The defendants are presumed innocent unless and until proven guilty.
If convicted of the charge alleged in the complaint, each defendant faces a mandatory minimum prison sentence of 15 years, a maximum sentence of 30 years, a fin of up to $250,000, and a term of post-imprisonment supervised release of at least 5 years and up to life. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.
The defendants appeared today before United States Magistrate Judge Andrew T. Baxter, who ordered that they be detained pending further proceedings.
This case is being investigated by the FBI and the City of Cortland Police Department. It is being prosecuted by Assistant United States Attorney Michael D. Gadarian as part of Project Safe Childhood. Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS). Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Two Additional Kingsmen Motorcycle Club Members Sentenced for RICO ConspiracyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Timothy Haley, Sr., 63, of Dunellon, FL, and Joseph Michael Long, 40, of Maryvale, TN, who were convicted of RICO conspiracy, were sentenced by U.S. District Judge Elizabeth A. Wolford. Haley was sentenced to three years supervised release to include eight months home detention, and Long was sentenced to serve 27 months in prison.
Assistant U.S. Attorneys Joseph M. Tripi and Brendan T. Cullinane, who handled the case, stated that the defendants admitted to being a member of the Kingsmen Motorcycle Club (KMC), a criminal organization which engaged in such crimes as distribution of controlled substances, maintaining premises for use and distribution of controlled substances, possession, use and sale of firearms, sales of untaxed cigarettes, and promoting prostitution. The KMC sought to preserve and protect their power, territory, and reputation through intimidation, violence, threats of violence, assaults, attempted murder and murders, and was involved in placing victims, potential victims, potential witnesses, and others in fear of the enterprise, its members, and associates, through violence and threats of violence.
Defendant Long, who was at various times a KMC Lake County (Florida) Chapter President, KMC Volusia County, Florida Chapter President, Tennessee Moonshine Chapter President, and regular full-patch KMC member, further admitted that, on November 30, 2016, he testified falsely and evasively about material facts before a federal Grand Jury. Specifically, Long testified falsely and evasively regarding the nature and extent of his communications with KMC National President David Pirk, KMC Florida/Tennessee Regional President Timothy Enix, and KMC Nomad Andre Jenkins; his knowledge of the circumstances in which KMC member Jimmy Ray Fritts provided a motorcycle to Jenkins to use to travel to New York in September 2014; and his knowledge about what transpired when Jenkins traveled to New York and his return to Tennessee. On September 6, 2014, Jenkins murdered Kingsmen Motorcycle Club members Paul Maue and Daniel Szymanski at the KMC Clubhouse on 322 Oliver Street in North Tonawanda, NY. Long also admitted that he made false statements to the FBI investigating the murders.
Today’s sentencings are the culmination of an investigation led by the Federal Bureau of Investigation’s Safe Streets Task Force, under the direction of Special Agent-in-Charge Gary Loeffert. Assisting in the investigation were the following: the FBI Knoxville, TN, and Jacksonville, FL Field Offices; Homeland Security Investigations; the Erie County Sheriff’s Office; the Buffalo Police Department; the Bureau of Alcohol, Tobacco, Firearms and Explosives; the New York State Police; the Olean Police Department; the Lancaster Police Department; the Amherst Police Department; the City of North Tonawanda Police Department; the Niagara County’s Sheriff’s Office; the Niagara Frontier Transportation Authority Police; the Cattaraugus County Sheriff’s Department; and the Hamburg Police Department.
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Trip Set Investigation – Weapons and Drugs OperationRead the Press Release
United States Attorney Joe Kelly announced today that members of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Omaha Police Department, and the United States Marshals Service conducted an early morning operation in Omaha, armed with arrest warrants for six individuals on federal and state charges for firearms and narcotics violations. During this investigation the ATF and the Omaha Police Department seized 41 firearms, ten of which were stolen. In addition to the stolen firearms, approximately 31 ounces of marijuana were seized.
This investigation focused on the TRIP SET gang that relied on violent crime and narcotics sales to make money for the gang. Their crimes included armed robberies, home invasions, burglaries and credit card fraud. Between June and October 2018, this gang was responsible for six felony assaults. This group became prevalent in the Omaha area over the past three years and has approximately 154 documented gang members and associates in Omaha. Omaha Police also confirmed additional TRIP SET gang members in Iowa, Minnesota, Texas, Tennessee, Washington, South Dakota, and Utah.
“This operation involving the Omaha Police Department, ATF, and the U.S. Marshals Service removed some very dangerous individuals from our community,” said U.S. Attorney Kelly, “We are very pleased with the determination, coordination and cooperation among these agencies, as well as the Douglas County Attorney’s Office, in this very successful investigation.”
“In partnership with the Omaha Police Department, ATF will continue to identify and bring to justice, those who use or illicitly supply firearms to be used in violence.” said Acting ATF Special Agent in Charge Fred Winston.
"The operation is impactful to public safety as it addressed active gang members procuring firearms illegally. I want to thank our federal partners and all the Omaha investigators that worked tirelessly for the public on this." said Omaha Police Chief Todd Schmaderer.
In addition to today’s arrest warrants, six other individuals were already in custody and charged federally prior to the operation. Attached are the names and charges of individuals arrested in this investigation. One individual remains at large. Attached is the list of those in custody.
TRIP SET INVESTIGATION
Targets and their indicted offenses
1. Jal CHUAR
Count 1: Distribution Marijuana (21 USC 841)
Count 2: Possession of Firearm During Drug Trafficking Offense (18 USC 924(c))
Count 3: Felon in Possession of a Firearm (18 USC 922(g)(1))
2. Kuiny GACH
Count 1: Distribution Marijuana (21 USC 841)
Count 2: Possession of Firearm During Drug Trafficking Offense (18 USC 924(c))
Count 3: Distribution Marijuana (21 USC 841)
Count 4: Possession of Firearm During Drug Trafficking Offense (18 USC 924(c))
3. Ammanuel JIEL
Count 1: Distribution Marijuana (21 USC 841)
Count 2: Possession of Firearm During Drug Trafficking Offense (18 USC 924(c))
Count 3: Distribution Marijuana (21 USC 841)
Count 4: Possession of Firearm During Drug Trafficking Offense (18 USC 924(c))
4. Emmanuel JOHN
Count 1: Felon in Possession of a Firearm (18 USC 922(g)(1))
Count 2: Felon in Possession of a Firearm (18 USC 922(g)(1))
Count 3: Felon in Possession of a Firearm (18 USC 922(g)(1))
Count 4: Felon in Possession of a Firearm (18 USC 922(g)(1))
5. Kandaru JOHN
Count 1: Felon in Possession of a Firearm (18 USC 922(g)(1))
Count 2: Felon in Possession of a Firearm (18 USC 922(g)(1))
6. Gatroul PUOL
Count 1: Conspiracy – Distribute and Possess with Intent to Distribute Marijuana (21 USC 846)
Count 2: Distribution Marijuana (21 USC 841)
Count 3: Distribution Marijuana (21 USC 841)
Count 4: Possession of Firearm During Drug Trafficking Offense (18 USC 924(c))
Count 5: Distribution Marijuana (21 USC 841)
Count 6: Possession of Firearm During Drug Trafficking Offense (18 USC 924(c))
Count 7: Distribution Marijuana (21 USC 841)
7. Giel RIAK
Count 1: Distribution Marijuana (21 USC 841)
Count 2: Possession of Firearm During Drug Trafficking Offense (18 USC 924(c))
Count 3: Distribution Marijuana (21 USC 841)
Count 4: Possession of Firearm During Drug Trafficking Offense (18 USC 924(c))
8. Reuben ROWE
Count 1: Distribution Marijuana (21 USC 841)
Count 2: Possession of Firearm During Drug Trafficking Offense (18 USC 924(c))
9. Dajuan SHARRON
Count 1: Robbery of Personal Property of the United States (18 USC 2112)
10. Kan TAP
Count 1: Felon in Possession of a Firearm (18 USC 922(g)(1))
Count 2: Distribution Methamphetamine (21 USC 841)
Count 3: Possession of Firearm During Drug Trafficking Offense (18 USC 924(c))
Count 4: Felon in Possession of a Firearm (18 USC 922(g)(1))
Count 5: Felon in Possession of a Firearm (18 USC 922(g)(1))
11. Loing YAR
Count 1: Distribution Methamphetamine (21 USC 841)
Three Men Charged in an Elaborate ATM Skimming SchemeRead the Press Release
An indictment was returned by a Grand Jury charging three Romanian nationals with conducting an elaborate ATM skimming scheme throughout several Michigan cities, announced United States Attorney Matthew Schneider.
This indictment charges CIPRIAN VIOREL VARTOLOMEI, 38 (aka: Eric Rene Fuss, Dumitru Movradin, and Costica Andriesei), CATALIN PUSCASU, 36 (aka: Bjorn Ove Sigbjornsen and Jean Francois Margelli), and ION FLORIN OPROIU, 45 (aka: Dominik Gerza) with two counts of access device fraud (Oprious is charged with only one count) and one count of aggravated identity theft.
According to the indictment, the above defendants obtained fraudulent foreign passports and driver’s licenses to obtain lodging, establish fraudulent bank accounts, wire money, and establish fraudulent accounts with private or commercial interstate shipping carriers. Their scheme included the manufacture of counterfeit access device making equipment, commonly referred to as “skimming” devices. These devices were installed inside ATM machines to capture victims’ bank account numbers. In addition, the defendants installed small hidden cameras along with the skimmer to capture victims PIN numbers. The perpetrators would later recover the skimming devices and hidden cameras and use the captured data to create fraudulent or altered access devices which they used, in conjunction with the victims’ PINs, to steal money from bank accounts through ATM machines.
According to the indictment, the compromised information pertains to members of a few credit unions in several Michigan cities, including Jackson, Hillsdale, Milan, Vandercook, and Battle Creek. Over $90,000 in cash was recovered from the defendants upon their arrest and from an apartment they had rented. Also recovered were numerous equipment and tools used in manufacturing skimming devices and hundreds of fraudulent credit/debit/gift cards.
All three defendants are currently in custody on immigration violations and will be brought to Federal Court in the Eastern District of Michigan for arraignment on the indictment in the next few days.
The case was investigated by the Southeast Michigan Financial Crimes Task Force including members of the United States Secret Service, Homeland Security, West Bloomfield and Royal Oak Police Departments and other agencies.
The case is being prosecuted by Assistant U.S. Attorney Abed Hammoud with the United States Attorney’s Office for the Eastern District of Michigan in Detroit.
An indictment is only a charge and is not evidence of guilt. Every defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Three Aliens Indicted on Illegal Reentry ChargesRead the Press Release
RALEIGH – Robert J. Higdon, Jr., United States Attorney for the Eastern District of North Carolina, announces that a federal grand jury in Raleigh has returned indictments charging LESTER ALEXANDER FLORES-PAZ, age 34, of Guatemala, VICENTE GONZALEZ-PITEROS, age 32, of Mexico, and ALDO NOE RAMOS-ANDINO, age 32, of Honduras, with Illegal Reentry of a Deported Alien.
If convicted of illegal reentry of a deported alien, FLORES-PAZ, previously deported two times and found in Harnett County, GONZALEZ-PITEROS, previously deported and found in Gates County, and RAMOS-ANDINO, previously deported and found in Sampson County, would each face maximum penalties of two years’ imprisonment, a $250,000 fine, and a term of supervised release following any term of imprisonment.
The charges and allegations contained in the indictments are merely accusations. The defendants are presumed innocent unless and until proven guilty in a court of law.
The cases are being investigated by ICE’s Enforcement and Removal Operations and Homeland Security Investigations.
The Drug Enforcement Administration and U.S. Attorney’s Office Announce DEA’s 17th National Prescription Take–Back Day with Events on St. Croix and St. Thomas for Saturday, April 27thRead the Press Release
Drug Enforcement Administration (DEA) Special Agent in Charge, A.J. Collazo and U.S. Attorney Gretchen C.F. Shappert announced an upcoming prescription take-back event, scheduled for April 27th on St. Croix and St. Thomas. The National Prescription Drug Take-Back Day addresses a serious public safety and public health issue which impacts communities throughout the United States. Now in its ninth year, National Prescription Drug Take Back Day events continue to remove ever-higher amounts of opioids and other medicines from the nation’s homes, where they could be stolen and abused by family members and visitors, including children and teens. The DEA’s Take-Back Day events provide an opportunity for Americans to prevent drug addiction and overdose deaths. Take-Back Day also provides for an effective way to dispose of prescription drugs without harm to the environment.
According to the 2016 National Survey on Drug Use and Health, 6.2 million Americans have misused controlled prescription drugs. The study shows that a majority of abused prescription drugs were obtained from family and friends, often from the home medicine cabinet. The DEA’s Take-Back Day events provide an opportunity for Americans to prevent drug addiction and overdose deaths. Take-Back Day also provides for an effective way to dispose of prescription drugs without harm to the environment.
Helping people to dispose of potentially harmful prescription drugs is just one way DEA is working to reduce the addiction and overdose deaths plaguing this country due to opioid medications. “We are proud to join efforts with the U.S. Attorney’s Office for DEA’s National Prescription Drug Take Back Day”, said SAC Collazo. “We are certain that this 17th edition of the National Take Back Day will be a success in the Virgin Islands, as was the previous event on October 27, 2018.” The October 2018 DEA Take-Back Day in the USVI collected a record amount of prescription drugs and DEA is hoping for similar results with the April 27th Take-Back Day.
“Studies show that unused and left-over prescription drugs are oftentimes misused and abused by children and other family members”, said U.S. Attorney Shappert. “Removing these items from the home takes away the possibility of accidental use and possible abuse. The DEA Take-Back Program also ensures that prescription drugs are disposed of responsibly, and that they do not harm the environment.”
Persons wishing to dispose of unused prescription drugs on St. Croix can take those prescriptions to the Gallows Bay, Kingshill, and Frederiksted Post Offices between the hours of 10:00 a.m. and 2:00 p.m. on Saturday, April 27th. For disposal of unused prescriptions on St. Thomas, persons may take them to the Frenchtown and Sugar Estates Post Offices, also on Saturday, April 27th, between the hours of 10:00 a.m. and 2:00 p.m.
For more information on National Take-Back Day, please contact 1-800-882-9539, 571-362-4700 or visit https://takebackday.dea.gov/ or https://www.deadiversion.usdoj.gov.
St. Louis Man Sentenced on Racketeering and Prostitution ChargesRead the Press Release
St. Louis, MO – La’ron Clower, 29, of St. Louis, was sentenced to 48 months in prison for his involvement in racketeering and prostitution charges. He appeared in federal court today before U.S. District Court Judge Ronnie White.
According to court documents, between July 2016 and November 2016, Clower recruited 15-year-old DK and 22-year-old BC for purposes of prostitution. Clower prostituted them via advertisements placed on Backpage.com. This activity included renting hotel rooms and communicating with victims and clients via the Internet and cellular phones. Clower would transport DK and BC from St. Louis County, Missouri to a truck stop in Illinois so that DK and BC could engage in commercial sex acts.
Clower pled guilty in January 2019 to one count of Interstate Travel or Transportation with Intent to Promote Prostitution.
This case was investigated by the Federal Bureau of Investigation, the St. Louis County Police Department, the St. Charles County Police Department, the Bridgeton Police department and the Kirkwood Police Department. Assistant United States Attorney Howard Marcus prosecuted the case for the U.S. Attorney’s Office.
South Bay Resident Sentenced to 70 Months in Prison for Illegally Trafficking Guns and DrugsRead the Press Release
SAN JOSE – Diego Alejandro Aguilar was sentenced today to 70 months in prison for possessing with the intent to distribute methamphetamine and selling firearms without a license, announced United States Attorney David L. Anderson and Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) Special Agent in Charge Rayfield Roundtree. The sentence was handed down by the Honorable Lucy H. Koh, U.S. District Judge.
Aguilar, 25, of Seaside, Calif., pleaded guilty to the charges on December 12, 2018. According to his plea agreement, Aguilar admitted that between February 2018 and May 2018, he knowingly sold methamphetamine and engaged in the business of selling firearms in Seaside. The plea agreement describes seven occasions on which Aguilar sold methamphetamine. For example, on February 22, 2018, Aguilar sold approximately 108.5 grams of methamphetamine for $1,200 and on May 2, 2018, Aguilar sold approximately 82.3 grams of methamphetamine for $1,000. During the same period, Aguilar also sold ammunition and two firearms—a .357 Ruger revolver and a Springfield Armory XD-9 9mm pistol. In sum, Aguilar admitted he sold more than 535 grams of methamphetamine and received more than $7,500 for the guns and drugs.
On June 21, 2018, a federal grand jury indicted Aguilar, charging him with seven counts of possession with intent to distribute methamphetamine, in violation of 21 U.S.C. § 841(a)(1), and one count of selling firearms without a license, in violation of 18 U.S.C. § 922(a)(1)(A). Aguilar pleaded guilty to one count of each crime. The remaining counts were dismissed.
In addition to the prison term, Judge Koh also sentenced Aguilar to serve three years of supervised release that will begin after his prison term has been served. Judge Koh ordered Aguilar to surrender by June 12, 2019, to begin serving his prison term.
Assistant U.S. Attorney Jeff Nedrow is prosecuting the case with the assistance of Susan Kreider. The prosecution is the result of an investigation by the ATF.
Sex Trafficker Sentenced in Manhattan Federal Court to 30 Years in Prison for Victimizing Minor Girls and Adult Women for Nearly 20 YearsRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced that GREVY GERARD PIERRE-LOUIS, a/k/a “Cadillac Slim,” a/k/a “Caddy,” was sentenced to 30 years in prison for conspiracy to commit sex trafficking and conspiracy to transport minors interstate for the purpose of prostitution. PIERRE-LOUIS pled guilty on September 6, 2018 before Chief U.S. District Judge Colleen McMahon, who imposed today’s sentence.
Manhattan U.S. Attorney Geoffrey S. Berman said: “Grevy Gerard Pierre-Louis spent almost 20 years engaged in depraved and extraordinarily violent sex trafficking of minor girls and adult women. As a result, he will now spend the next 30 years in prison. Our hope is that the brave survivors of the defendant’s heinous crimes will find a measure of justice in today’s sentence.”
Chief Judge Colleen McMahon called today’s sentence “just punishment for the ruination of all of those lives.”
According to the Indictment, Superseding Information, publicly-filed documents, and statements made in court:
Starting in 1998 and continuing through 2016, PIERRE-LOUIS compelled his victims to engage in prostitution through extreme violence, psychological and verbal abuse, coercion, and threats of violence to them and their family members. PIERRE-LOUIS victimized at least nine girls and women in numerous states, all for his own profit.
PIERRE-LOUIS employed a variety of criminal methods to compel his victims to engage in prostitution. He used physical violence, sexual assault, threats of physical violence, threats of deportation, emotional and psychological abuse, and threats against family members. For example, in addition to severe beatings and rapes, at various points he had his victims branded with tattoos; he hung one victim out a window; and he caused victims to kneel on dry rice so as to inflict severe pain. The defendant kept all of the proceeds of his victims’ trafficking.
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In addition to the prison term, PIERRE-LOUIS, 47, of Queens, New York, was sentenced to 10 years of supervised release and ordered to pay restitution to his victims.
Mr. Berman praised the outstanding investigative work of the FBI. Mr. Berman also thanked the New York City Police Department, the U.S. Attorney’s Office for the Southern District of Florida, the Miami Field Office of the FBI, the United States Secret Service, the City of Miami Police Department, the Miami Beach Police Department, and the Miramar Police Department for their cooperation throughout the investigation.
The prosecution is being handled by the Office’s Violent and Organized Crime Unit. Assistant U.S. Attorneys Amanda Kramer and Jessica K. Fender are in charge of the prosecution.
Salvadoran National Indicted for Illegally Reentering the United StatesRead the Press Release
TYLER, Texas – A 33-year-old Salvadoran citizen has been indicted for immigration violations in the Eastern District of Texas, announced U.S. Attorney Joseph D. Brown today.
Jose Eduardo Melara-Carcamo was named in an indictment returned by a federal grand jury on Apr. 17, 2019 charging him with illegal reentry of a deported alien.
According to documents filed in court, on Mar. 20, 2019, Melara was arrested for public intoxication in Henderson County, Texas. A deportation officer with the Mobile Criminal Alien Team (ICE/ERO/MCAT) interviewed Melara and determined that he was an alien from El Salvador and allegedly was unlawfully present in the United States. In 2018, the same deportation officer had processed Melara for removal. A records check confirmed that Melara had been previously removed to El Salvador in 2007, 2013, and 2018, and after each removal, reentered the United States without consent.
If convicted, Melara faces up to 2 years in federal prison and deportation.
This case is being investigated by U.S. Immigrations and Customs Enforcement’s (ICE) Enforcement and Removal Operations (ERO) and the Athens Police Department and prosecuted by Assistant U.S. Attorney Allen Hurst.
It is important to note that an indictment should not be considered as evidence of guilt and that all persons charged with a crime are presumed innocent until proven guilty beyond a reasonable doubt.
Restaurant and Owner Sentenced for Harboring and Employing Illegal AliensRead the Press Release
NEW ORLEANS, LOUISIANA – United States Attorney Peter G. Strasser announced that THAI THAI, LLC. d/b/a Sticky Rice Thai Cuisine and SOMPHON CHIWABANDIT, age 47, a native of Thailand, were sentenced today after previously pleading guilty to harboring and unlawfully employing illegal aliens, in violation of Title 8, United States Code, Section 1324(a)(1)(A)(iii) and Title 8, United States Code, Section 1324a(a)(1)(A).
United States District Court Judge Ivan L.R. Lemelle sentenced THAI THAI, LLC. d/b/a Sticky Rice Thai Cuisine to a 1 year term of probation, a $400 special assessment fee and also ordered the forfeiture of $24,640. CHIWABANDIT was sentenced to time served (4 months) and a $100 special assessment fee. CHIWABANDIT will be surrendered to the custody of Immigration and Customs Enforcement for removal proceedings.
According to court records, Special Agents of Homeland Security Investigations conducted surveillance on the restaurant as well as on a home owned, and an apartment rented by CHIWABANDIT. The defendant admitted in court that he provided housing, transportation, and employment to two illegal aliens. The defendant also acknowledged that he had been in the United States illegally for the past seven years, by overstaying a business visitor visa.
CHIWABANDIT also admitted to failing to list the illegal aliens on a Form I-9, which is used to verify employment eligibility for a business’s employees. By law, employers are required to maintain Form I-9s for all employees.
U.S. Attorney Strasser praised the work of Homeland Security Investigations, the St. Tammany Parish Sheriff’s Office and the Covington Police Department in investigating this matter. Assistant United States Attorney Jon Maestri is in charge of the prosecution.
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Pennsylvania Man Sentenced for Stealing Credit Cards at the Plaza Frontenac CinemaRead the Press Release
St. Louis, MO – Alfred L. Ford, Jr., 30, of Norristown, Pennsylvania, was sentenced to 54 months in prison for conspiracy to commit access device fraud, access device fraud and aggravated identity theft. Ford appeared before U.S. District Court Judge Ronnie White who ordered him to pay $24,639.32 in restitution.
According to court records, between May 27, 2017, and continuing until at least January 27, 2018, Ford and others stole and obtained without authorization credit and debit cards of individual patrons at the Landmark Plaza Frontenac Cinema in St. Louis, Missouri. Ford and his co-conspirators then used the stolen credit and debit cards, without permission of the true account holders, to make purchases at various Walmart stores within the Eastern District of Missouri. The total loss amount from the conspiracy to commit access device fraud is $36,514.57.
Ford pled guilty in January of 2019 and co-defendant Zakia Johnson is awaiting trial.
This case was investigated by the U.S. Secret Service. Assistant United States Attorney Kyle T. Bateman is handling the case for the U.S. Attorney's Office.
Operator of Global Cybercrime Marketplace Sentenced to 90 Months’ ImprisonmentRead the Press Release
Earlier today, in federal court in Brooklyn, Djevair Ametovski, a Macedonian citizen, was sentenced by United States District Judge Eric N. Vitaliano to 90 months’ imprisonment after previously pleading guilty to access device fraud and aggravated identity theft. Those crimes related to Ametovski’s operation of “Codeshop,” a website he created for the sole purpose of selling stolen credit and debit card data, bank account credentials and personal identification information. Judge Vitaliano also ordered the defendant to forfeit $250,000 and to pay restitution in an amount to be determined by the Court at a later date. Ametovski was arrested in Ljubljana, Slovenia, in January 2014, and was extradited to the United States in May 2016.
Richard P. Donoghue, United States Attorney for the Eastern District of New York, and David E. Beach, Special Agent-in-Charge, United States Secret Service, New York Field Office (USSS), announced the sentence.
“Ametovski and his co-conspirators were merchants of crime, stealing victims’ information and selling that information to other criminals,” stated United States Attorney Donoghue. “This Office and our law enforcement partners will tirelessly pursue cybercriminals who seek to profit at others’ expense.” Mr. Donoghue thanked the Slovenian Ministry of the Interior and Ministry of Justice, the United States Marshals Service, the U.S. Department of State Regional Security Officers in Slovenia and the Netherlands, and the Justice Department’s Office of International Affairs, for their assistance with the investigation and prosecution of the defendant.
“The sentencing of this transnational cybercriminal emphasizes the commitment of the Secret Service to disrupt and dismantle global criminal networks,” stated USSS Special Agent-in-Charge Beach. “The Secret Service will continue to work closely with our network of law enforcement partners to dismantle criminal enterprises seeking to victimize innocent people, regardless of geographic distance or borders.”
Ametovski and his co-conspirators operated Codeshop between August 2010 and January 2014, victimizing hundreds of thousands of individuals around the world by hacking into the computer databases of financial institutions and other businesses and through “phishing” scams designed to induce accountholders to unwittingly surrender private identification information. They packaged this stolen data for sale and posted it on the Codeshop website, a fully indexed and searchable website that allowed users to search by bank identification number, financial institution, country, state and card brand to find the data they wanted. The stolen data could then be used to make online purchases and to encode plastic cards to withdraw cash at ATMs. Ametovski used a network of online money exchangers and anonymous digital currencies, including Bitcoin, to reap revenues from the Codeshop website and to conceal all participants’ identities, including his own. Over the course of the scheme, Ametovski obtained and sold stolen credit and debit card data for more than 1.3 million cards.
The government’s case is being handled by the Office’s National Security & Cybercrime Section. Assistant United States Attorneys Saritha Komatireddy and David K. Kessler are in charge of the prosecution.
The Defendant:
DJEVAIR AMETOVSKI (also known as “xhevo,” “codeshop,” “sindrom” and “sindromx”)
Age: 32E.D.N.Y. Docket No. 16-CR-409 (ENV)
Ocean County Attorney Convicted of Failing to Pay over Payroll Taxes and Making False Statements on Loan ApplicationRead the Press Release
TRENTON, N.J. – A federal jury today convicted George Gilmore, a partner at an Ocean County law firm, of two counts of failing to pay over to the IRS payroll taxes withheld from the firm's employees and one count of making false statements on a bank loan application submitted to Ocean First Bank N.A., First Assistant U.S. Attorney Rachael A. Honig announced.
Gilmore, 69, of Toms River, New Jersey, was acquitted of two counts of filing false tax returns for calendar years 2013 and 2014; the jury could not reach a unanimous verdict on one count of income tax evasion for calendar years 2013, 2014, and 2015. The verdicts were returned following a trial that began April 1, 2019, before U.S. District Judge Anne E. Thompson in Trenton federal court.
According to documents filed in this case and the evidence at trial:
Gilmore worked as an equity partner and shareholder at Gilmore & Monahan P.A., a law firm in Toms River, where he exercised primary control over the firm’s financial affairs. Because he exercised significant control over the law firm’s financial affairs, Gilmore was responsible for withholding payroll taxes from the gross salary and wages of the law firm’s employees to cover individual income, Social Security and Medicare tax obligations. For the tax quarters ending March 31, 2016, and June 30, 2016, the law firm withheld tax payments from its employees’ checks, but Gilmore failed to pay over in full the payroll taxes due to the IRS.
Gilmore also submitted a loan application to Ocean First Bank containing false statements. On Nov. 21, 2014, Gilmore reviewed, signed, and submitted to Ocean First Bank a Uniform Residential Loan Application (URLA) to obtain refinancing of a mortgage loan for $1.5 million with a “cash out” provision that provided Gilmore would obtain cash from the loan. On Jan. 22, 2015, Gilmore submitted another URLA updating the initial application. Gilmore failed to disclose his outstanding 2013 tax liabilities and personal loans that he had obtained from others on the URLAs. Gilmore received $572,000 from the cash out portion of the loan.
The two counts of failing to collect, account for, and pay over payroll taxes each carry a maximum penalty of five years in prison, and a $250,000 fine, or twice the gross gain or loss from the offense. The count of loan application fraud carries a maximum penalty of 30 years in prison and a $1 million fine. Sentencing is scheduled for July 23, 2019.
First Assistant U.S. Attorney Honig credited special agents of IRS-Criminal Investigation, under the direction of Special Agent in Charge John R. Tafur, special agents with U.S. Attorney’s Office under the direction of Supervisory Special Agent Thomas Mahoney, and special agents of the FBI Red Bank Resident Agency, under the direction of Special Agent in Charge Gregory W. Ehrie in Newark, for the investigation leading to today’s verdicts.
The government is represented by Deputy U.S. Attorney Matthew J. Skahill; Assistant U.S. Attorney Jihee G. Suh of the U.S. Attorney’s Office Special Prosecutions Division; and Trial Attorney Thomas F. Koelbl of the U.S. Department of Justice - Tax Division.
Defense counsel: Kevin H. Marino Esq., Chatham, New Jersey
O.C. Man Arrested on Federal Charges Stemming from $72 Million Scheme to Smuggle Counterfeit Cell Phone Parts from ChinaRead the Press Release
SANTA ANA, California – A Laguna Hills man has been arrested on federal charges alleging he oversaw a scheme that smuggled counterfeit Apple and Samsung cell phone components from China that were sold in the United States, generating tens of millions of dollars in revenue.
Chan Hung Le, 44, was arrested Tuesday afternoon pursuant to a criminal complaint that charges him with conspiracy to defraud the United States, conspiracy to traffic in counterfeit goods, conspiracy to illegally import merchandise, conspiracy to commit mail fraud and wire fraud, and aggravated identity theft. Le is expected to make his initial court appearance this afternoon in United States District Court in Santa Ana.
According to the affidavit in support of the complaint, Le and his wife own EZ Elektronix, a company now based in Irvine that imported counterfeit electronics products – screens and other cell phone parts – from China into the United States. Starting in June 2010, Le and several co-conspirators, including his relatives and employees, smuggled counterfeit goods and employed various tactics to avoid scrutiny from authorities in the United States, Hong Kong and China, the affidavit states.
The complaint alleges that Le attempted to conceal the scheme by using multiple business names and addresses, as well as “virtual offices” and post office boxes, in at least three U.S. states. Once the counterfeit products arrived, Le and his co-conspirators allegedly distributed the parts to the public through various online stores that falsely claimed the parts were genuine.
In October 2011 and February 2012, law enforcement executed search warrants at EZ Elektronix’s office and seized approximately 7,200 counterfeit iPhone parts and 11,700 other counterfeit cell phone parts that had a retail value of more than $1.7 million, the affidavit states. In response to the search warrants, Le allegedly changed his importation practices by having the counterfeit goods sent to mail drops he set up in Texas and Oklahoma under the names of two fictitious companies and one of his employees. After the bogus parts were sent to the mail drops, they were shipped to Southern California under a new business name, “Pac-Depot Inc.,” while legitimate merchandise was shipped directly to EZ Elektronix, the affidavit states. Using these methods, Le ensured that the shipments containing counterfeit goods would be inspected at a different port of entry in the United States and would not be associated with him or his company, court papers state.
In 2016, one of Le’s suppliers, Hongwei “Nick” Du, pleaded guilty in United States District Court in San Diego to conspiring to traffic in counterfeit goods and related money laundering charges. In his plea agreement, Du admitted to selling Le at least $18,744,354 worth of cellular telephone and electronic components for resale from China into the United States and that about half of the goods was counterfeit merchandise bearing the trademarks of Apple, Samsung, Nokia and other companies.
Between January 2012 and December 2018, EZ Elektronix paid more than $72 million to three companies who conspired with Le to traffic counterfeit goods from Hong Kong and China into the United States, according to the affidavit.
A search conducted Tuesday afternoon in conjunction with Le’s arrest led to the discovery of many cell phone components that appeared to be counterfeit.
A complaint contains allegations that a defendant has committed a crime. Every defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
If convicted of all charges, Le faces a statutory maximum sentence of 45 years in federal prison on the conspiracy charges, plus a mandatory two-year consecutive sentence for the aggravated identity theft charge.
This case was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, U.S. Customs and Border Protection, and the Westminster Police Department.
This matter is being prosecuted by Assistant United States Attorney Cameron Schroeder of the Cyber and Intellectual Property Crimes Section.
North Anson Man Sentenced to 27 Months for Violating Supervised Release ConditionsRead the Press Release
Bangor, Maine: United States Attorney Halsey B. Frank announced that Gregory Violette, 64, was sentenced yesterday in U.S. District Court by Judge George Z. Singal to 27 months in prison for violating the terms of his supervised release. The defendant pleaded guilty to the violations yesterday.
According to court records, following his federal fraud and money laundering convictions in 2002, the defendant was ordered to pay over $400,000 in restitution and placed on supervised release that prohibited him from, among other things, obtaining new credit without his probation officer’s permission or violating federal law, and that required him to, among other things, work in a lawful occupation and report any financial gains and apply them to restitution. In fact, the defendant, sought a $150,000 mortgage without permission, failed to report thousands of dollars of assets and a $10,000 lawsuit settlement and violated state securities laws.
At sentencing, Judge Singal described the defendant’s “long series of deliberate falsehoods” and “catch me if you can” fraud schemes as “the most egregious case of deliberate violation of court orders” and “callousness to the rules of our society” that he had encountered in almost 20 years as a federal judge.
The investigation was conducted by the U.S. Probation Office and the Office of Securities, Maine Department of Professional and Financial Regulation.
Nine Middle Tennessee Medical Professionals Charges in Appalachian Regional Prescription Opioid Strike Force InvestigationRead the Press Release
NASHVILLE, Tenn. – April 17, 2019 – Federal indictments were unsealed today charging nine Middle Tennessee medical professionals, including four doctors, four nurse practitioners and a pharmacist, with various charges alleging their participation in illegally prescribing and dispensing opioids and other dangerous narcotics and health care fraud schemes, announced U.S. Attorney Don Cochran for the Middle District of Tennessee.
Earlier this morning, federal agents across the region began arresting those named in the indictments.
U.S. Attorney Cochran joined Assistant Attorney General Brian Benczkowski of the Justice Department’s Criminal Division and nine other U.S. Attorneys in Cincinnati this morning to announce the results of the investigations conducted by the Appalachian Regional Prescription Opioid Strike Force (ARPO), a joint law enforcement effort that brings together the resources and expertise of the Health Care Fraud Unit in the Criminal Division’s Fraud Section, the U.S. Attorney’s Offices for ten federal districts in six states, as well as law enforcement partners at the Health & Human Services Office of the Inspector General (HHS-OIG), U.S. Drug Enforcement Administration (DEA) and the FBI.
“The indictments announced today are the culmination of many months of meticulous investigation and another example of our commitment to hold those accountable who perpetuate the opioid crisis in our nation,” said U.S. Attorney Don Cochran. “I commend our law enforcement partners and prosecutors for their extraordinary efforts in bringing these cases. Our work is not done and we will continue our enforcement efforts without regard for who a person is or what position they may hold.”
The enforcement actions announced today include charges against 60 defendants in six states, including Alabama, Kentucky, Ohio, Tennessee, Virginia and West Virginia, and included 54 medical professionals. Those charged in the Middle District of Tennessee include:
Dr. Darrell R. Rinehart, 63, of Indianapolis, Indiana, formerly of Columbia, Tennessee, was indicted on 19 counts of prescribing a Schedule II controlled substance outside the usual course of professional practice and without a legitimate medical purpose, between December 4, 2014 and January 21, 2016. According to the indictment, four patients died who were actively being seen by Dr. Rinehart. The indictment also alleges that on November 27, 2018, the Tennessee Board of Medical Examiners suspended Rinehart’s medical license until May 31, 2019, at which time his license will expire and he will be prohibited from renewing it or applying for a new license.
Dr. Bowdoin G. Smith, 64, of Carthage, Tennessee, was indicted on two counts of prescribing a Schedule II controlled substance outside the usual course of professional practice and without a legitimate medical purpose, in January and February 2019. The indictment alleges that in October 2012, Smith entered a consent order with the State of Tennessee Department of Health, Board of Osteopathic Examination based on stipulated facts that Smith, among other things, prescribed controlled substances “not in the course of professional practice, or not in good faith to relieve pain and suffering, or not to cure an ailment, physical infirmity or disease,” and Smith’s treatment “routinely included prescribing narcotics and other medications and controlled substances in amounts and/or for durations not medically necessary, advisable, or justified for a diagnosed condition.” Smith’s medical license was placed on probation for a period of not less than three years, beginning on October 11, 2012. According to the indictment, On November 4, 2015, the Board lifted the probation and Smith again began illegally prescribing highly addictive opioids, continuing through February 2019.
Dr. Lawrence J. Valdez, 50, of Hendersonville, Tennessee, was indicted on 18 counts of prescribing a Schedule II controlled substance outside the usual course of professional practice and without a legitimate medical purpose, between June 2016 and March 2017.
Dr. Timothy Abbott, 62, of Nashville, a Podiatrist, was indicted on seven counts of prescribing a Schedule II controlled substance outside the usual course of professional practice and without a legitimate medical purpose, between January 2015 and January 2019.
Heather Marks, 36, of Murfreesboro, Tennessee, a Nurse Practitioner, was indicted on four counts of prescribing a Schedule II controlled substance outside the usual course of professional practice and without a legitimate medical purpose, between December 2016 and February 2018.
Brian Richey, 37, of Cookeville, Tennessee, Daniel Seeley, 58, of Batesville, Mississippi, and Jonathan White, 49, of Tullahoma, Tennessee, all Nurse Practitioners, were indicted on three counts of healthcare fraud and one count of conspiracy to commit healthcare fraud. According to the indictment, Richey, Seeley and White were employed by MedManagement Inc., which managed Pain MD located in Franklin, Tennessee. Pain MD operated pain and wellness clinics throughout Middle Tennessee, North Carolina and Virginia. Between 2010 and continuing through 2015, the indictment alleges that Richey, Seeley and White provided services to patients, namely “Tendon Origin Injections,” which were neither medically necessary nor anatomically possible and provided medically unnecessary durable medical equipment and then submitted fraudulent claims to Medicare, Medicaid and TRICARE. These services were provided to further the company’s business model by increasing revenues and to personally enrich Pain MD providers and executives. The indictment further alleges that Richey, Seely and White trained other providers on methods to increase productivity, including methods on how to control the patient and allow them to treat patients with such medically unnecessary injections and threatening to dismiss them as patients and stop writing prescriptions for narcotic pain medication if they did not comply. According to the indictment, Richey, Seeley, White and others submitted more than $3.5 million in false claims to Medicare, Medicaid and TRICARE.
Finally, John Polston, 58, of Tompkinsville, Kentucky, was indicted on 21 counts of dispensing Schedule II and Schedule IV controlled substances, outside the usual course of professional practice and without a legitimate medical purpose, between April 27, 2017 and December 6, 2017. The indictment alleges that Polston was the Pharmacist-in-Charge of Oakley Pharmacy, Inc. d/b/a Dale Hollow Pharmacy in Celina, Tennessee. On March 6, 2017, Polston entered into an agreement with the DEA that required compliance with federal, state and local laws pertaining to the dispensation of controlled substances. The indictment alleges that until approximately February 2019, Polston repeatedly and consistently dispensed controlled substances, including highly addictive opioids, that were not for a legitimate medical purpose or in the usual course of professional practice.
“The Drug Enforcement Administration and our law enforcement partners remain committed to targeting unscrupulous medical practitioners who choose profits over patients,” said D. Christopher Evans, Special Agent in Charge of DEA’s Louisville Field Division. “We will never stop fighting for those who have been rendered helpless by America’s on-going opioid crisis.”
“Opioid fraud schemes have hit the Appalachian region particularly hard, resulting in staggering numbers of addiction, overdoses and deaths of individuals to include Medicare and Medicaid beneficiaries,” said Special Agent in Charge Derrick J. Jackson of the Department of Health and Human Services Office of Inspector General. “Working hand-in-hand with our law enforcement partners, our agents will continue to address this devastating epidemic by thoroughly investigating corrupt providers who contribute to the ongoing opioid crisis and threaten the health and well-being of patients, as alleged in these cases.”
"The efforts and cooperation among federal, state, and local partners make it possible to bring to justice those who put their greed over the health and wellbeing of their patients," said Special Agent in Charge of the Memphis Division of the Federal Bureau of Investigation M. A. Myers. "The FBI will continue to combine our resources and share our expertise with our law enforcement partners to identify and target those who would hope to commit similar crimes."
“The health and well-being of Tennesseans is of the utmost of importance to the TBI and our law enforcement partners,” said Director David Rausch. “It’s through efforts like this that we are able to further work toward attacking the opioid crisis and the effects it has on our residents.”
Cases brought under section 841 of Title 21 of the United States Code for the illegal prescribing or dispensing of Schedule II drugs carry a statutory maximum penalty of 20 years in prison and a $1million fine on each count; for Schedule IV drugs – up to five years in prison and a $250,000 fine. Cases brought under section 1347 of Title 21 of the United States Code for health care fraud carry a maximum penalty of 10 years in prison and a $250,000 fine on each count.
For any patients impacted by the law enforcement operations, DOJ, DEA, HHS-OIG, HHS’ Substance Abuse and Mental Health Services Administration, CDC’s Opioid Rapid Response Team and all 5 State Departments of Health are deploying federal and state-level strategies to address patient harm and ensure continuity of care. Additional information regarding available treatment programs in Tennessee and where patients can turn for assistance is available by calling 1-855-CRISIS-1.
The cases announced today were brought as part of the ARPO Strike Force, the U.S. Attorney’s Offices for ten federal districts in six states, as well as law enforcement partners at the HHS-OIG, the DEA and the FBI. The southern hub of the ARPO Strike Force operates out of Nashville. In addition, the operation includes the participation of the Tennessee Bureau of Investigation and multiple State Medicaid Fraud Control Units. Assistant U.S. Attorneys Sarah Bogni and Sara Beth Myers of the Middle District of Tennessee and Trial Attorneys from the Fraud Section of the Department of Justice’s Criminal Division are prosecuting the cases.
Additional documents related to this announcement are available here:
https://www.justice.gov/opa/documents-and-resources-april-17-2019-press-conference
An indictment is merely an accusation. All defendants are presumed innocent until proven guilty in a court of law.
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New York Woman Sentenced to 27 Months in Prison for Investment Fraud SchemeRead the Press Release
NEWARK, N.J. – A New York woman was sentenced to 27 months in prison for running an investment scheme that defrauded victims of hundreds of thousands of dollars, U.S. Attorney Craig Carpenito announced.
Alisa Adler, 58, previously pleaded guilty before U.S. District Judge Claire C. Cecchi to an information charging her with two counts of wire fraud. Judge Cecchi imposed the sentence on April 16, 2019, in Newark federal court.
According to documents filed Information:
From January 2009 through August 2014, Adler took loans and investments from multiple victims and told them that their money would be used for certain specified investments through her company, ASG Real Estate Services Group Inc. To induce potential investors to give her money, Adler provided them with promotional materials and other documents, and told them that their money would be repaid within a certain amount of time. Adler did not use the majority of invested funds for the specific real estate investments she had presented to the victims. Instead, she used it to, among other things, repay prior investors and pay her own personal expenses.
In addition to the prison term, Judge Cecchi sentenced Adler to three years of supervised release and ordered her to pay restitution of $1,254,000.
U.S. Attorney Carpenito credited special agents with the FBI, under the direction of Special Agent in Charge Gregory W. Ehrie in Newark, with the investigation leading to the sentencing.
The government is represented by Executive Assistant U.S. Attorney Zach Intrater of the U.S. Attorney’s Office Criminal Division in Newark.
Defense counsel: Jacob Laufer Esq., New York
National Appalachian Regional Prescription Opioid Strike Force Takedown Includes Charges Against Eight Health Care Professionals in the Eastern District of TennesseeRead the Press Release
KNOXVILLE, Tenn. – Attorney General William P. Barr and Department of Health and Human Services (HHS) Secretary Alex M. Azar III, together with multiple law enforcement partners, today announced enforcement actions involving 60 charged defendants across 11 federal districts, including 31 doctors, 7 pharmacists, 8 nurse practitioners, and 7 other licensed medical professionals, for their alleged participation in the illegal prescribing and distributing of opioids and other dangerous narcotics and for health care fraud schemes. In addition, HHS announced today that since June 2018, it has excluded over 2,000 individuals from participation in Medicare, Medicaid, and all other Federal health care programs, which includes more than 650 providers excluded for conduct related to opioid diversion and abuse. Since July 2017, DEA has issued 31 immediate suspension orders, 129 orders to show cause, and received 1386 surrenders for cause nationwide for violations of the Controlled Substances Act.
“The opioid epidemic is the deadliest drug crisis in American history, and Appalachia has suffered the consequences more than perhaps any other region,” Attorney General William P. Barr said. “But the Department of Justice is doing its part to help end this crisis. One of the Department's most promising new initiatives is the Criminal Division's Appalachian Regional Prescription Opioid Strike Force, which began its work in December. Just four months later, this team of federal agents and 12 prosecutors has charged 60 defendants for alleged crimes related to millions of prescriptions. I am grateful to the Criminal Division, their U.S. Attorney partners, and to the members of the strike force for this outstanding work that holds the promise of saving many lives in Appalachian communities.”
In the Eastern District of Tennessee, a total of eight individuals, including five doctors, a nurse practitioner, a physician’s assistant, and an office manager were charged in four cases. Four doctors, a nurse practitioner and a physician’s assistant were charged with the unlawful distribution of opioids. Two doctors were charged with health care fraud violations. Three of these cases relate to alleged pill mill operations in the Eastern District of Tennessee.
Included in the charges announced today are the following indictments, which are on file with the U.S. District Court for the Eastern District of Tennessee:
On April 2, 2019, a federal grand jury returned an indictment against Dr. Charles Brooks, 61, of Maryville, Tennessee, charging him with one count of conspiracy to distribute Schedule III, IV and V drugs as well as one count of healthcare fraud for aiding and abetting a false statement related to health care matters.
This case was investigated by the FBI and HHS-OIG. Assistant U.S. Attorney Anne-Marie Svolto will represent the United States in court proceedings.
On April 16, 2019, a federal grand jury returned an indictment against Dr. Stephen Mynatt, 64, of Knoxville Tennessee, and Dr. David Newman, 58, of Maryville, Tennessee, charging them with conspiracy to distribute Schedule II controlled drugs. Mynatt was also charged with two counts of distribution of Schedule II drugs. Both Mynatt and Newman were affiliated with Tennessee Valley Pain Specialists.
This case was investigated by the FBI, HHS-OIG, DEA, and TBI. Assistant U.S. Attorney Anne-Marie Svolto, along with DOJ Trial Attorneys Drew Bradylyons and Louis Manzo, will represent the United States in court proceedings.
On April 16, 2019, a federal grand jury returned an indictment against Dr. Henry Babenco, 58, of Paducah, Kentucky; Sharon Naylor, 53, of Jacksboro, Tennessee; Alicia Taylor, 29, of Oneida, Tennessee; and Gregory Madron, 54, of Jacksboro, Tennessee, charging all of them with conspiracy to distribute Schedule II controlled drugs. Naylor and Babenco were also charged with money laundering. Babenco, Naylor, Taylor, and Madron were all associated with LaFollette Wellness Center.
This case was investigated by the DEA and IRS-Criminal Investigations. Assistant U.S. Attorney Anne-Marie Svolto, along with DOJ Trial Attorney Scott Armstrong, will represent the United States in court proceedings.
On April 16, 2019, a federal grand jury indicted Dr. Harrison Yang, 75, of Manchester, Tennessee, with healthcare fraud violations.
This case was investigated by the FBI, HHS-OIG, DEA, and TBI. Assistant U.S. Attorney Anne-Marie Svolto, along with DOJ Trial Attorneys Drew Bradylyons and Louis Manzo, will represent the United States in court proceedings.
“Unfortunately, the Appalachian Region, which includes the Eastern District of Tennessee, is experiencing a surge in drug abuse and overdose related deaths,” said U.S. Attorney J. Douglas Overbey. “Today is an example of how our office is working with our law enforcement partners in the Appalachian Regional Prescription Opioid Strike Force to identify and prosecute dishonest medical professionals and others engaged in health care fraud schemes involving illegal prescription, distribution, possession, and use of opioids.”
Troy Sowers, Special Agent in Charge, Federal Bureau of Investigation, Knoxville Division said, "Today's arrests clearly and tragically illustrate these so-called medical professionals were not legitimately assisting their patients - they were contributing to the opioid crisis epidemic that has destroyed families and taken so many lives. Not only were they engaging in criminal behavior, they were profiting from the addiction and pain of unsuspecting victims. Working alongside our partners, HHS, DEA, TBI, THP, and many other state and local agencies, we will continue to vigorously pursue anyone involved in trafficking opioids in this country while protecting the public's health and welfare.”
“The Drug Enforcement Administration and our law enforcement partners remain committed to targeting unscrupulous medical practitioners who choose profits over patients,” said D. Christopher Evans, Special Agent in Charge of DEA’s Louisville Field Division. “We will never stop fighting for those who have been rendered helpless by America’s on-going opioid crisis.”
“Opioid fraud schemes have hit the Appalachian region particularly hard, resulting in staggering numbers of addiction, overdoses and deaths of individuals to include Medicare and Medicaid beneficiaries,” said Special Agent in Charge Derrick J. Jackson of the Department of Health and Human Services Office of Inspector General. “Working hand-in-hand with our law enforcement partners, our agents will continue to address this devastating epidemic by thoroughly investigating corrupt providers who contribute to the ongoing opioid crisis and threaten the health and well-being of patients, as alleged in these cases.”
“The health and well-being of Tennesseans is of the utmost of importance to the TBI and our law enforcement partners. It’s through efforts like this that we are able to further work toward attacking the opioid crisis and the effects it has on our residents,” said David Rausch, Director, Tennessee Bureau of Investigation.
In addition to the cases announced today, Attorney General Barr and U.S. Attorney Thomas T. Cullen announced today that the ARPO Strike Force will expand into the Western District of Virginia, making it the tenth ARPO Strike Force district. ARPO is a joint law enforcement effort that brings together the resources and expertise of the Health Care Fraud Unit in the Criminal Division’s Fraud Section (HCF Unit), the U.S. Attorney’s Offices for ten federal districts in six states, as well as law enforcement partners at the FBI, HHS Office of the Inspector General (HHS-OIG) and U.S. Drug Enforcement Administration (DEA). In addition, the operation includes the participation of the Tennessee Bureau of Investigation and multiple State Medicaid Fraud Control Units. The mission of the ARPO Strike Force is to identify and investigate health care fraud schemes in the Appalachian region and surrounding areas, and to effectively and efficiently prosecute medical professionals and others involved in the illegal prescription and distribution of opioids.
The charges announced today involve individuals contributing to the opioid epidemic, with a particular focus on medical professionals involved in the unlawful distribution of opioids and other prescription narcotics, a priority for the Department. According to the CDC, approximately 115 Americans die every day of an opioid-related overdose.
The ARPO Strike Force is made up of prosecutors and data analysts with the HCF Unit, prosecutors with the ten U.S. Attorney’s Offices in the region, including the newly added Western District of Virginia, and special agents with the FBI, HHS-OIG and DEA. The ARPO Strike Force operates out of two hubs based in the Cincinnati, Ohio/Northern Kentucky and Nashville, Tennessee, areas, supporting the ten districts that make up the ARPO Strike Force region. In addition, the APRO Strike Force works closely with other state and federal law enforcement agencies, including the Tennessee Bureau of Investigation, State Medicaid Fraud Control Units.
The case against Babenco, Naylor, Taylor, and Madron was also a result of the Department of Justice’s Organized Crime and Drug Enforcement Task Force (OCDETF) program, the centerpiece of the Department of Justice’s drug supply reduction strategy. OCDETF was established in 1982 to conduct comprehensive, multi-level attacks on major drug trafficking and money laundering organizations. Today, OCDETF combines the resources and expertise of its member federal agencies in cooperation with state and local law enforcement. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking and money laundering organizations and those primarily responsible for the nation’s drug supply.
For any patients impacted by the law enforcement operations, DOJ, DEA, HHS-OIG, HHS’ Substance Abuse and Mental Health Services Administration, CDC’s Opioid Rapid Response Team and all five State Departments of Health are deploying federal and state-level strategies to address patient harm and insure continuity of care. Additional information regarding available treatment programs and where patients can turn for assistance is available in Tennessee as follows:
- For a referral to addiction treatment services, call the Tennessee REDLINE: 800-889-9789.
- In a mental health crisis, call the Statewide Crisis Line: 855-CRISIS-1 (855-274-7471).
- For help accessing substance abuse or mental health services call the Tennessee Department of Mental Health and Substance Abuse Services Helpline: 800-560-5767 or 615-532-6700. This line is staffed Monday-Friday, 8 a.m. - 4:30 p.m. CT.
The Fraud Section leads the Medicare Fraud Strike Force, which is part of a joint initiative between the Department of Justice and HHS to focus their efforts to prevent and deter fraud and enforce current anti-fraud laws around the country. Since its inception in March 2007, the Medicare Fraud Strike Force, which maintains 14 strike forces operating in 23 districts, has charged nearly 4,000 defendants who have collectively billed the Medicare program for more than $14 billion. The Medicare Fraud Strike Force, including the ARPO Strike Force, has charged more than 200 individuals with opioid-related crimes.
If you, a family member, friend or loved one believe you may be a victim in any of these cases or in connection with any charged defendant, please visit the following website for additional information: https://www.justice.gov/criminal-vns/case/ARPO
Additional documents related to this announcement are available here: https://www.justice.gov/opa/documents-and-resources-april-17-2019-press-conference
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Monongalia County surgeon facing drug chargeRead the Press Release
ELKINS, WEST VIRGINIA – Dr. Chad Poage, of Morgantown, West Virginia, is facing a drug charge, United States Attorney Bill Powell announced.
Poage, age 35, is charged in a one-count information with “Obtaining Controlled Substances by Fraud.” Poage is accused of writing prescriptions using other physicians’ DEA registration numbers and initials without authorization, and filling those prescriptions at Morgantown area pharmacies. It is alleged that Poage was filling the prescriptions of acetaminophen-codeine for his own personal use.
Poage faces up to four years’ incarceration and a fine of up to $250,000.00. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Sarah E. Wagner and Department of Justice Trial Attorney Patrick Mott are prosecuting the case on behalf of the government. The Drug Enforcement Administration, the U.S. Department of Health and Human Services Office of Inspector General, and the West Virginia State Police investigated.
An information is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
Mobile County Husband and Wife Sentenced for Their Roles in a $255,134.54 Bank Fraud SchemeRead the Press Release
United States Attorney Richard W. Moore of the Southern District of Alabama announced that Shyria Powell, a 43 year old resident of Mobile, Alabama and her husband, William Powell, Jr., a 46 year old resident of Mobile, Alabama were sentenced to a mandatory two years in prison and one day in prison, respectively, and ordered to pay full restitution totaling $255,134.54.
On January 23, 2019, pursuant to separate plea agreements both Shyria Powell and William Powell entered guilty pleas. Shyria Powell pled guilty to aggravated identity theft and William Powell pled guilty to conspiring to commit bank fraud. They both admitted in open court that from on or about October 2, 2012 to on or about December 23, 2012, Shyria Powell was employed as a bookkeeper by American Sew and Vac. As the bookkeeper of the company, she had access to the business bank accounts and credit cards with Wells Fargo Bank. Shyria Powell drafted approximately 281 checks made payable to herself and others from the bank accounts and then forged the signature of the person authorized to issue such checks. Seven of those checks were made payable to her husband, William Powell, and totaled $4,350.00. William Powell received and cashed those seven checks and used the money for his personal use and enjoyment. At the time, William Powell received and cashed those checks, he knew he was not entitled to the money and that it was fraudulently obtained. This was William Powell’s only involvement in Shyria Powell’s fraudulent scheme.
Shyria Powell also fraudulently charged personal expenses on the company debit and credit cards that were in the name of the company and its owner, E. T. H. that amounted to more than $1,000. Through her unauthorized use of the bank account, the bank account debit and credit cards she caused a loss to Wells Fargo Bank and the owners of the company $255,134.54 (which includes the fraudulent checks to William Powell). Text messages between Shyria Powell and the victims show Shyria Powell confessing to the forging of the approximately 281 checks and the fraudulent use of the debit and credit cards.
Officers of the Mobile, Alabama police department and special agents of the United States Secret Service investigated the case and brought it to the U. S. Attorney's Office for prosecution. The prosecutor assigned to the case is Assistant United States Attorney, Gina S. Vann.
Men Charged in Ten Count Indictment with Obstruction of Justice and Violations of Federal Firearms and Narcotics LawsRead the Press Release
NEW ORLEANS, LOUISIANA – U.S. Attorney Peter G. Strasser announced that KENDALL BARNES, age 23, of New Orleans, and DERRICK GROVES, age 21, of New Orleans, were charged in a ten-count superseding indictment on April 11, 2019 by a federal grand jury.
The Indictment charges KENDALL BARNES and DERRICK GROVES with conspiracy to distribute and to possess with intent to distribute heroin. If convicted of these counts, KENDALL BARNES and DERRICK GROVES face a term of imprisonment of up to 30 years, a fine of up to $2 million, and at least six years of supervised release. The Indictment also charges KENDALL BARNES and DERRICK GROVES with conspiracy to possess firearms in furtherance of a drug trafficking crime. If convicted of this count, KENDALL BARNES and DERRICK GROVES face a term of imprisonment of up to 20 years, a fine of $250,000, and up to three years of supervised release.
The Indictment charges KENDALL BARNES, a convicted felon, with one count of felon in possession of a firearm. If convicted of this charge, KENDALL BARNES faces a term of imprisonment of up to 10 years, a fine of up to $250,000, and up to three years of supervised release.
The Indictment charges KENDALL BARNES with one count of possession of firearms in furtherance of a drug trafficking crime, and DERRICK GROVES with two counts of possession of firearms in furtherance of drug trafficking crimes. If convicted of these counts, KENDALL BARNES and DERRICK GROVES face a minimum term of imprisonment of 5 years up to a maximum of life, a fine of $250,000, and up to five years of supervised release, as to each count. The term of imprisonment on these counts must run consecutive to any other term of imprisonment.
Additionally, the Indictment charges KENDALL BARNES with obstruction of justice. If convicted of this count, KENDALL BARNES could face up to 10 years of imprisonment, a fine of $250,000, and up to three years of supervised release.
The indictment also charges DERRICK GROVES with one count of possession with intent to distribute heroin and fentanyl on October 12, 2018, and one count of possession with intent to distribute heroin on January 25, 2019. If convicted of these counts, DERRICK GROVES could face up to 20 years of imprisonment, a fine of $1,000,000, and at least three years of supervised release, as to each count.
U.S. Attorney Strasser reiterated than an Indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
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.
U.S. Attorney Strasser praised the work of the Federal Bureau of Investigation New Orleans Violent Crimes Task Force, the Drug Enforcement Administration, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, and the New Orleans Police Department in investigating this matter. Assistant United States Attorney Maria M. Carboni is in charge of the prosecution.
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Man Who Operated "Provisional Credit" Fraud Scheme Pleads GuiltyRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that KISHORE BABU AMMISETTI, 30, a citizen of India, waived his right to be indicted and pleaded guilty today before U.S. District Judge Victor A. Bolden in Bridgeport to one count of bank fraud stemming from a “provisional credit” scheme.
According to court documents and statements made in court, Ammisetti used Facebook Marketplace and other media to victimize individuals, primarily of Indian decent, who advertised items for sale or rooms for rent. Through this scheme, Ammisetti would contact a victim to express interest in purchasing an item or renting a room. He would then gather the victim’s bank account information and other personal information under the guise of making a deposit to the victim’s bank account. He also would offer to provide a “deposit” directly into the victim’s account via a Peer-to-Peer (P2P) transfer.
Ammisetti would then contact the victim’s bank and, posing as the victim, would claim to have made an ATM deposit that did not register on the victim’s bank account. While researching the “unregistered deposit,” the bank would credit the victim’s account with a provisional credit. Ammisetti would then contact the victim and claim that the provisional credit to the victim’s bank account was a mistaken transfer by Ammisetti to the victim’s account. Ammisetti would then request either a full or partial refund of that money, which the victim would provide via a P2P transfer. After the bank determined that there was no unregistered deposit to the victim’s account, the funds provided as a provisional credit would be removed from the account.
Ammisetti stole at least $860,000 from more than 400 victims through this scheme.
The investigation revealed that Ammisetti often operated this scheme while staying at casino hotels in Connecticut.
Ammisetti has been detained since his arrest on January 25, 2019.
Bank fraud carries a maximum term of imprisonment of 30 years. A sentencing date is not scheduled.
Ammisetti entered the U.S. in 2013 on a student visa, which was revoked in 2014.
This matter is being investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI), with the assistance of the Mohegan Tribal Police. The case is being prosecuted by Assistant U.S. Attorney Nancy V. Gifford.
Man Sentenced to Prison for Casino RobberyRead the Press Release
PHOENIX – On April 15, 2019, Ryan Pearson, 32, of Payson, Ariz., was sentenced by U.S. District Judge Susan M. Brnovich to five years in prison followed by three years of supervised release. Pearson had previously pleaded guilty to possession of a firearm during and in relation to a crime of violence.
Pearson admitted to using a firearm, along with co-defendant Armando Pablo Ochoa, to rob the Mazatal Casino, in Payson, Ariz., on the Tonto Apache Indian Reservation. Ochoa and Pearson entered the casino armed with handguns and demanded employees open a vault. When they did not receive immediate compliance, Ochoa and Pearson each fired a round from their weapons. Both Ochoa and Pearson were employees of the casino at the time.
The investigation in this case was conducted by the Federal Bureau of Investigation. The prosecution was handled by Anthony W. Church, Assistant U.S. Attorney, District of Arizona, Phoenix.
CASE NUMBER: CR 18-01169-002-PHX-SMB
RELEASE NUMBER: 2019-054_Pearson
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Major Drug Trafficker Sentenced to Federal Prison on Drug Trafficking and Gun ChargesRead the Press Release
United States Attorney Brandon J. Fremin announced that U.S. District Judge John W. deGravelles sentenced Oscar Arturo Machado-Galeana, age 36, of Baton Rouge, Louisiana, to 300 months in federal prison following his convictions after a nine-day jury trial in October 2018 for conspiracy to distribute methamphetamine, heroin, and marijuana; conspiracy to launder monetary instruments; distribution of methamphetamine; possession with intent to distribute methamphetamine and marijuana; and possession of a firearm in furtherance of a drug trafficking crime. The Court also sentenced MACHADO-GALEANA to 5 years of supervised release following his term of imprisonment and ordered that the firearm be forfeited. Co-defendant Roy Martin Herrara-Romero, who was convicted of possession with intent to distribute marijuana, was sentenced to 60 months on March 14, 2019.
As the evidence at trial demonstrated, MACHADO-GALEANA obtained pounds of methamphetamine as well as a quantity of heroin from a source operating in Lafayette, Louisiana, as well as pounds of marijuana from a source in northern California. MACHADO-GALEANA, with the assistance of Alexander P. Nava, distributed methamphetamine, heroin, and marijuana to various dealers in the Baton Rouge and Laplace, Louisiana areas. MACHADO-GALEANA used a nominee to purchase cashier’s checks and forward those to his marijuana supplier in California. In some instances, Nava and MACHADO-GALEANA carried firearms with them when delivering methamphetamine to dealers and picking up the payments for those controlled substances. On March 18, 2015, during the execution of a search warrant at a storage unit at 13822 Florida Blvd., Baton Rouge, LA, law enforcement officers seized approximately 18 pounds of high-grade methamphetamine. Law enforcement agents also executed a search warrant that day at Herrara-Romero’s nearby residence at 13822 Florida Blvd., Baton Rouge, Louisiana, where they found triple beam and digital scales, a. 45 caliber semi-automatic pistol, and an amount of marijuana. That same morning, officers executed a search warrant at MACHADO-GALEANA’s residence in Baton Rouge, Louisiana, where they seized a number of firearms, methamphetamine, and marijuana.
U.S. Attorney Fremin stated, “Evidence at trial demonstrated Mr. Machado had connections to a drug cartel in Sinaloa, Mexico. This conviction and sentence is yet another demonstration of our commitment to making our communities safer by combatting violent drug trafficking organizations. I am grateful to our prosecutors and to our federal, state, and local partners for their outstanding efforts and for removing this dangerous dealer, and his poisonous drugs from our streets. We will continue to work tirelessly to seek justice on behalf of the American people.”
“DEA will continue to attack the scourge of illegal drug distribution in Baton Rouge and beyond,” said DEA Acting Assistant Special Agent in Charge Michael Arnett. “The lengthy sentencing of this defendant should be taken as a message to those who want to sell drugs. We are going to catch you and put you in prison for a long time if you distribute this poison in our communities. ”
This operation is being handled by the U.S. Attorney’s Office, the U.S. Drug Enforcement Administration (DEA), the East Baton Rouge Parish Sheriff’s Office, the Internal Revenue Service-Criminal Investigations (IRS-CI), the U.S. Department of Homeland Security, the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the Baton Rouge Police Department, the West Baton Rouge Parish Sheriff’s Office, and the Ascension Parish Sheriff’s Office. This matter is being prosecuted by Assistant United States Attorneys Robert W. Piedrahita, Peter Smyczek and Elizabeth White.
The investigation is another effort by the Organized Crime Drug Enforcement Task Force (OCDETF) Program which was established in 1982 to mount a comprehensive attack against organized drug traffickers. Today, the OCDETF Program is the centerpiece of the United States Attorney General’s drug strategy to reduce the availability of drugs by disrupting and dismantling major drug trafficking organizations and money laundering organizations and related criminal enterprises. The OCDETF Program operates nationwide and combines the resources and unique expertise of numerous federal, state, and local agencies in a coordinated attack against major drug trafficking and money laundering organizations.
Madison Man Sentenced to 11 Years for Bank RobberiesRead the Press Release
MADISON, WIS. – Scott C. Blader, United States Attorney for the Western District of Wisconsin, announced that Kiefah A. Marbra, 19, Madison, Wisconsin, was sentenced to 11 years in federal prison yesterday by U.S. District Court Judge William Conley, for aiding and abetting eight bank robberies and for brandishing a firearm during one of the robberies. Marbra entered a guilty plea to these charges on January 15, 2019.
This case involves a series of nine bank robberies that were planned by Jonathan Thompson, who was also the getaway driver. The robberies took place at banks in Madison, Middleton, Sun Prairie, and Fitchburg and occurred between January 8 and February 22, 2018. Marbra, Robert Minette, and Thompson were indicted by a federal grand jury for these bank robberies on May 30, 2018. Minette was involved in the first two robberies and Marbra was involved in the latter eight of them.
Thompson chose the banks he wanted to rob and dropped off Marbra and Minette, who would enter the bank, brandish a gun, and demand money. After the robberies, Thompson would drive them back to his apartment where he would divide the proceeds.
In sentencing, Judge Conley noted the traumatic affect these crimes had on the victims and remarked that Marbra was, “led into this by his cynically manipulative uncle [Thompson].” While Judge Conley found there was little doubt that Marbra was groomed by Thompson to do these robberies and “if necessary to be the fall guy,” Judge Conley said that “he must pay the price for his crimes.”
On January 15, 2019, Robert Minette pleaded guilty to the two bank robberies that he participated in and one count of brandishing a firearm. Jonathan Thompson was convicted by a jury on January 30, 2019, of all nine bank robberies and one count of brandishing a firearm after a three-day trial.
On March 28, Judge Conley sentenced Minette to nine years in federal prison. Thompson is scheduled to be sentenced on April 24 and he faces a mandatory minimum penalty of seven years and a maximum penalty of life in prison.
The charges in this case are the result of an investigation by the Federal Bureau of Investigation; Madison, Middleton, Sun Prairie, and Fitchburg Police Departments; and Dane County Sheriff’s Office. The Dane County District Attorney’s Office also assisted in the case. The prosecution of the case was handled by Assistant U.S. Attorneys Corey Stephan and Daniel Graber.
This case has been 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.