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Tuesday 9 April 2019
Two Men Plead Guilty to Charges in Shooting of Man in Southeast WashingtonRead the Press Release
WASHINGTON – Harry Pressley, 28, of Washington, D.C., and Jaquan Warren, 29, of New York, N.Y., pled guilty today to charges stemming from the shooting of a man they lured via Facebook and text messages to a location in Southeast Washington, announced U.S. Attorney Jessie K. Liu and Peter Newsham, Chief of the Metropolitan Police Department (MPD).
Both defendants pled guilty to charges of aggravated assault while armed and obstruction of justice. Pressley also pled guilty to a firearms charge in a separate case. The pleas, which are subject to the Court’s approval, call for Pressley to be sentenced to an agreed-upon range of 10 to 15 years in prison and for Warren to be sentenced to an agreed-upon term of eight years in prison, with two years of that time to be suspended. The Honorable Danya A. Dayson scheduled sentencing for June 21, 2019. Pressley and Warren remain in custody.
According to the government’s evidence, Pressley and Warren lured the victim to Southeast Washington by posing as a woman on Facebook. Warren borrowed the woman’s phone, which is how they accessed her Facebook account. Starting on Nov. 22, 2016, the two communicated with the victim over Facebook and text messages, using flirtatious language and suggesting the possibility of a late-night sexual encounter. At about 4 a.m. on Nov. 23, 2016, the defendants texted the victim that he should come to the 2600 block of Southern Avenue SE, noting how, “It’ll be worth your time I promise I wouldn’t be texting this late to play babe.”
At about 4:35 a.m., as the victim exited a park near the intersection of 23rd Street and Savannah Terrace Street SE, he noticed a man dressed in all black emerge from a van. The man – who wore a mask that exposed his eyes and nose – extended his arm and shot at the victim from five to 10 feet away. The victim was hit once in the stomach and once in the upper left arm. He survived the attack and later identified Pressley, a childhood friend, as the shooter. The victim suffered serious injuries to his kidney, small intestines, colon, rib case, and left arm.
Warren returned the cellphone hours after the shooting. Two days later, on Nov. 25, 2016, the woman agreed to accompany Warren and Pressley on a short trip to South Carolina. During the trip, Warren asked the woman to take the wheel and she agreed. As she approached the driver’s side, Pressley fired two gunshots into her arm and two in the back. Pressley and Warren then drove off, leaving the woman for dead in the middle of a deserted road in Florence County, S.C., at 3 a.m. A man who happened to be driving by noticed her and called 911. The woman survived the attack.
Pressley was arrested on Nov. 29, 2016, in the District of Columbia. Warren was eventually arrested on May 5, 2017, in New York City. At the time of his arrest, Warren provided a fake ID and alias. Pressley, meanwhile, tried to concoct a false alibi while incarcerated.
Pressley and Warren had faced attempted murder charges in South Carolina, which are to be dismissed as part of the plea agreement in this case.
In the second case, Pressley pled guilty to a firearms offense stemming from his arrest on Sept. 9, 2015, in Southeast Washington by officers who caught him with the weapon.
The shooting case was investigated by the Metropolitan Police Department. Assistance was provided by the Florence County, S.C. Sheriff’s Office, the U.S. Marshals Service, the Delaware State Police, and the Capital Area Regional Fugitive Task Force. The case is being prosecuted by Assistant U.S. Attorney Ahmed Baset, with assistance from Florence County, S.C. Assistant Solicitor General Ryan White and Victim/Witness Advocate Jennifer Clark and Intern Andrew Delaplane, both of the U.S. Attorney’s Office.
Three Vermonters Indicted for Conspiring to Barter Firearm for DrugsRead the Press Release
The Office of the United States Attorney for the District of Vermont announced that a federal grand jury’s indictment was unsealed yesterday that charged Jennifer Griffin, Kenneth Stone, and Gregory Miller with conspiring to use an Armscor of the Philippines, model M1911-A1F .45 caliber semi-automatic pistol during and in relation to a drug trafficking crime, in violation of 18 U.S.C. § 924(o). Griffin and Miller were arrested yesterday. Stone is currently in the custody of the Vermont Department of Corrections for other matters. Griffin and Miller appeared before United States Magistrate Judge John M. Conroy, and were ordered temporarily detained pending a detention hearing later this week.
According to court records, the investigation stemmed from the July 6, 2018 shooting of New York Police Department Detective Miguel Soto, who suffered a gunshot wound in the line of duty from an Armscor of the Philippines, model M1911-A1FS .45 caliber semi-automatic pistol. Agents with the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) quickly learned that the firearm had been purchased in Rutland, Vermont less than a year before the shooting. The ATF investigation in Rutland revealed that the firearm had been stolen from a friend of defendant Griffin’s (Henry Duval). Through various interviews, ATF agents developed probable cause to search the contents of defendant Griffin’s Facebook account, in which they located messages between Griffin and co-defendant Kenneth Stone discussing trading a firearm for narcotics, and a photograph of Duval’s stolen Armscor of the Philippines, model M1911-A1FS .45 caliber semi-automatic pistol which Griffin had sent to Stone. A search of defendant Stone’s Facebook account revealed messages with defendant Miller, in which the two discussed trading the firearm for narcotics.
If convicted, all three defendants face a maximum of twenty years of imprisonment, and a $250,000 fine. The actual sentence however, would be determined by the Court with guidance from the advisory Federal Sentencing Guidelines. The United States Attorney emphasizes that the charge in the complaint is merely an accusation, and that the defendant is presumed innocent unless and until he is proven guilty.
United States Attorney Christina E. Nolan commended the investigative efforts of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF). She stated: “this case highlights the worst that can happen when firearms are injected into the narcotics trade and placed in criminal hands. Combatting such crime will remain a central focus of the U.S. Attorney’s Office, and we will continue to partner closely with ATF to combat violent crime in all its forms. Thanks to the ATF for its diligence and outstanding work in tracing the origins of the firearm that wounded a law enforcement officer in the line of duty. Vermonters involved in illegally acquiring guns for drug dealers and other dangerous criminals must understand that they will be held accountable. Far too often these guns are later recovered in crime scenes.”
Special Agent In Charge John B. Devito of the Bureau of Alcohol, Tobacco, Firearms, and Explosives, New York Field Division, stated: “Preventing the illegal use and trafficking of firearms is a central focus of ATF's strategy to combat violent crime and protect our communities. The three individuals charged today are alleged to have conspired to trade an illegal firearm for narcotics. Illegal firearms often find themselves in the hands of bad actors producing bad results as they did in this case with the shooting of a New York City Police Department Detective. Thanks to the diligent work of the investigators and detectives of the ATF/NYPD Joint Firearms Task Force these individuals were brought to justice preventing another potential violent crime and or death. I would like to thank the United States Attorney's Office for their guidance and work prosecuting this case.”
The United States is represented in this matter by Assistant U.S. Attorney Jonathan Ophardt. Defendant Griffin is represented by the Office of the Federal Public Defender. Defendant Miller is represented by Richard Goldsborough, Esq. Defendant Stone has not yet appeared on this matter.
Three Individuals Plead Guilty to Extortion Plot Involving Brooklyn PizzeriaRead the Press Release
Earlier today, at the federal courthouse in Brooklyn, Douglas Singer, Leroy Wilson and Marianne Wood each pleaded guilty to a Hobbs Act extortion conspiracy in connection with their extortion of the former owner of a pizzeria in Sheepshead Bay, Brooklyn. Today’s plea took place before United States Magistrate Judge Steven M. Gold.
Richard P. Donoghue, United States Attorney for the Eastern District of New York, and William F. Sweeney, Jr., Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the plea.
“The defendants carefully scripted an intimidation plot, even using an actor as muscle, all in an effort to extort the victim into giving them $198,000,” stated United States Attorney Donoghue. “Protecting business owners from shake downs will always be a priority of this Office and our law enforcement partners.”
“A group of people doing their best to act like a group of mobsters, shaking down a pizzeria owner, will now face a steep price for what they described as ‘kinda fun.’ Business owners who are trying to make an honest living, shouldn’t have to fear someone with no legal power over them, extorting and threatening their livelihoods,” stated FBI Assistant Director-in-Charge Sweeney.
As described in court documents and proceedings, in early 2018 the victim sold Singer a pizzeria business located in a building the victim owned on Coney Island Avenue for $60,000, a $15,600 security deposit and monthly rent payments of $5,200. In November 2018, Singer, Wilson and Wood met the owner at the restaurant. Wood explained that she was Singer’s business partner and worked for an organization handling Singer’s business relating to the pizzeria. She told the owner that he owed the organization $198,000, calculating the figure by adding the sales price of the pizzeria to the security deposit, and to costs for equipment and renovations, and purported operating losses incurred by Singer, and demanded payment that day. Wood then produced photographs of the victim, his spouse and children and explained that it would be in the best interest of everyone for the owner to pay up. Wilson, an actor who had been recruited to play the role of a bodyguard, leaned forward toward the owner during the threatening conversation, revealing a pistol holstered on his hip. After the meeting concluded, the victim reported the threats to law enforcement. The pistol was later determined to be a theatrical prop.
Prior to the November 2018 meeting at the pizzeria, messages between the defendants show that they scripted the planned extortion. Singer wrote to Wilson, “Is it possible for you to wear a dark suit but no tie? Maybe a white shirt? And dark sunglasses?” Singer also wrote to Wilson via Facebook Messenger: “I was wondering if you might be interested in a kind of acting gig. I need a couple of guys to escort my associate [Wood] while she delivers a demand to my landlord... You will simply have to stand in the background and appear to be muscle.” Later, Singer and Wood shared the following exchanges:
Singer: We are confirmed for 11:30 AM at the pizzeria with [the victim].
Wood: Yay
Singer: Let the games begin!
Wood: Oh yeah baby!!
On December 14, 2018, FBI special agents executed a search warrant at Wilson’s residence and recovered a black theatrical prop pistol and a leather jacket that Wilson was seen wearing on surveillance footage during the meeting at the pizzeria.
When sentenced, the defendants each face up to 20 years in prison.
The government’s case is being handled by the Office’s Organized Crime and Gangs Section. Assistant United States Attorney Andrey Spektor is in charge of the prosecution.
The Defendants:
DOUGLAS SINGER
Age: 54
Brooklyn, New York
LEROY WILSON
Age: 47
Haskell, New Jersey
MARIANNE WOOD
Age: 61
Madison, ConnecticutE.D.N.Y. Docket No. 19-CR-147 (LDH)
Three Greenville Men Sentenced to Federal Prison for Armed RobberyRead the Press Release
Greenville, South Carolina---- United States Attorney Sherri A. Lydon announced today that Mark Betancourt, age 35, Joseph Sansosti, age 26, and Juan Betancourt, age 26, all of Greenville, South Carolina, were sentenced in federal court after pleading guilty to Hobbs Act Robbery, Conspiracy to Commit Hobbs Act Robbery, and Brandishing a Firearm in Furtherance of Hobbs Act Robbery. Senior United States District Judge Henry M. Herlong, Jr., of Greenville, sentenced Mark Betancourt to 180 months in federal prison, Sansosti to 135 months in federal prison, and Juan Betancourt to 48 months in federal prison. There is no parole in the federal system. Each man was also sentenced to five years of supervised release and ordered to forfeit $37,283.00.
Evidence presented to the court established that in May 2015, Mark Betancourt recruited his brother, Juan Betancourt, who was nearly ten years Mark’s junior, to assist him in robbing a business in Greenville, South Carolina. On May 23, 2015, Sansosti arranged to meet with Mark and Juan Betancourt. Mark Betancourt was the mastermind of the operation and drove the two younger men to the business. Sansosti and Juan Betancourt entered the store, where Sansosti placed one of the employees in a choke hold and held a gun to her head. Sansosti then dragged the employee over to the register, where the robbers took the money.
The case was investigated by the Greenville County Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It was prosecuted as part of the joint federal, state, and local Project CeaseFire initiative, which aggressively prosecutes firearm cases. Project CeaseFire is South Carolina’s implementation of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime. Assistant United States Attorney Jamie Lea Schoen of the Charleston office prosecuted the case.
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Standard Chartered Bank Admits to Illegally Processing Transactions in Violation of Iranian Sanctions and Agrees to Pay More Than $1 BillionRead the Press Release
Standard Chartered Bank (SCB), a global financial institution headquartered in London, England, has agreed to forfeiture of $240 million, a fine of $480 million, and to the amendment and extension of its deferred prosecution agreement (DPA) with the Justice Department for an additional two years for conspiring to violate the International Emergency Economic Powers Act (IEEPA). This criminal conspiracy, lasting from 2007 through 2011, resulted in SCB processing approximately 9,500 financial transactions worth approximately $240 million through U.S. financial institutions for the benefit of Iranian entities.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney Jessie K. Liu of the District of Columbia, Assistant Director in Charge William F. Sweeney, Jr. of the FBI’s New York Field Office, Chief Don Fort of the IRS Criminal Investigation (CI), and District Attorney Cyrus R. Vance Jr. of New York County made the announcement.
The New York County District Attorney’s Office (DANY) is also announcing today that SCB has agreed to amend its DPA with DANY and extend for two additional years, and to pay an additional financial penalty of $292,210,160. Under the amended DPA with DANY, SCB has admitted that it violated New York State law by, among other things, falsifying the records of New York financial institutions. SCB has also entered into separate settlement agreements with the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC), the Board of Governors of the Federal Reserve System (the Federal Reserve), the New York State Department of Financial Services (DFS), and the United Kingdom’s Financial Conduct Authority (FCA) under which SCB shall pay additional penalties totaling more than $477 million. The Justice Department has agreed to credit a portion of these related payments and, after crediting, will collect $52,210,160 of the fine, in addition to SCB’s $240 million forfeiture.
In connection with the conspiracy, a former employee of SCB’s branch in Dubai, United Arab Emirates (UAE), referred to as Person A, pleaded guilty in the District of Columbia for conspiring to defraud the United States and to violate IEEPA. A two-count criminal indictment was unsealed today in federal court in the District of Columbia charging Mahmoud Reza Elyassi, an Iranian national, 49, and former customer of SCB Dubai, with participating in the conspiracy.
“Today’s resolution sends a clear message to financial institutions and their employees: if you circumvent U.S. sanctions against rogue states like Iran—or assist those who do—you will pay a steep price,” said Assistant Attorney General Benczkowski. “When a global bank processes transactions through the U.S. financial system, its compliance program must be up to the task of detecting and preventing sanctions violations—and when it is not, banks have an obligation to identify, report, and remediate any shortcomings. The Justice Department is committed to protecting our U.S. financial system and will continue to hold financial institutions and individuals to account when they violate U.S. sanctions laws.”
“SCB and the individuals whose charges were unsealed today undermined the integrity of our financial system and harmed our national security by deliberately providing Iranians with coveted access to the U.S. economy,” said U.S. Attorney Liu. “The financial penalty announced today leaves no doubt that repeat corporate offenders with deficient compliance programs will pay a steep price. When bank employees and customers conspire to violate U.S. sanctions and subvert our national security, we will bring them to justice no matter where they reside or operate.”
“U.S. sanctions laws exist to protect our national security and the integrity of our financial systems,” said FBI Assistant Director in Charge Sweeney. “Global banks that facilitate transactions through our financial institutions have to play by these rules, plain and simple. Allowing hostile nations access to our economy is dangerous business. The deferred prosecution agreement and charges announced today make it abundantly clear that any alleged violation of IEEPA, whether on behalf of an individual or entity, will not be taken lightly.”
“The financial penalty announced today should dissuade other financial institutions around the world from thinking they can circumvent U.S. sanctions by moving money around the world through various institutions and in various forms,” said IRS-CI Chief Fort. “Following complex money trails is what we do—so too is holding those accountable who try to avoid following the law.”
“Our office’s unique jurisdiction and expert personnel have again enabled us to deliver hundreds of millions in ill-gotten gains to the People of New York while contributing to America’s longstanding effort to promote democratic values around the world,” said Manhattan District Attorney Vance. “We are honored and privileged to collaborate in this shared endeavor with the supremely talented public servants of the U.S. Departments of Justice and Treasury, the New York Department of Financial Services, and the Federal Reserve Bank of New York.”
A two-count felony criminal information was filed today in the District of Columbia charging SCB with illegally conspiring to violate IEEPA. The first count alleges SCB’s participation in a criminal conspiracy from 2001 through 2007; the United States first charged SCB with this illegal conduct on Dec. 10, 2012, and under the terms of a DPA entered the same day, the government agreed to defer prosecution and SCB agreed to pay a financial penalty of $227 million. The second count alleges SCB’s participation in a criminal conspiracy to violate IEEPA from 2007 through 2011. This latter conspiracy resulted in SCB intentionally processing U.S. dollar transactions through the U.S. financial system for the benefit of Iranian individuals and entities worth approximately $240 million. In the amended DPA, SCB admitted and accepted responsibility for its criminal conduct, agreed to extend the term of the agreement for an additional two years and, among other things, agreed to additional cooperation, compliance and disclosure obligations.
As part of the amended DPA announced today, SCB admitted that, from 2007 through 2011, two former employees of its branch in Dubai, willfully conspired to help Iran-connected customers conduct U.S. dollar transactions through the U.S. financial system for the benefit of Iranian individuals and entities. One of these Iran-connected customers was Elyassi, an Iranian national who operated business accounts with SCB’s Dubai branch while residing in Iran. SCB’s former employees helped Elyassi manage these accounts, concealed their Iranian connections, and facilitated foreign currency transactions in U.S. dollars. SCB’s former employees knew that Elyassi’s business organizations operated from Iran and conducted U.S. dollar transactions for the benefit of Iranian interests, and helped Elyassi disguise his Iranian connections to avoid suspicion.
According to the indictment unsealed today, Elyassi and his co-conspirators registered numerous supposed general trading companies in the UAE, and used those companies as fronts for a money exchange business located in Iran. Between November 2007 and August 2011, Elyassi used a business account at SCB’s Dubai branch to cause U.S. dollar transactions to be sent and received through the U.S. financial system for the benefit of individuals and entities ordinarily resident in Iran in violation of U.S. economic sanctions. The charges in the indictment as to Elyassi are merely allegations, and Elyassi is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
SCB admitted to processing approximately 9,500 U.S. dollar transactions through the United States totaling approximately $240 million on behalf of Elyassi’s companies between 2007 and 2011. More than half of these U.S. dollar transactions were the result of deficiencies in SCB’s compliance program which allowed customers to request U.S. dollar transactions from within sanctioned countries, including Iran.
Since mid-2013, SCB has engaged in significant remediation, including the comprehensive enhancement of its U.S. economic sanctions compliance program and significant improvements to its financial crime compliance program. Once presented with evidence of potential post-2007 sanctions violations, SCB provided substantial cooperation in the government’s investigation, including by producing significant evidence of criminal wrongdoing perpetrated by its employees and customers.
This matter was investigated by the FBI’s New York Field Office and the IRS-CI’s Washington D.C. Field Division. The cases are being prosecuted by the Criminal Division’s Money Laundering and Asset Recovery Section’s Bank Integrity Unit and the U.S. Attorney’s Office for the District of Columbia. Trial Attorney Jennifer Wine of the Bank Integrity Unit and Assistant U.S. Attorneys Michael Friedman and Peter Lallas of the District of Columbia are handling the matters.
The Bank Integrity Unit investigates and prosecutes complex, multi-district, and international criminal cases involving financial institutions. The Unit’s prosecutions focus on banks and other financial institutions, including their officers, managers, and employees, whose actions threaten the integrity of the individual institution or the wider financial system.
The New York County District Attorney’s Office conducted its own investigation in conjunction with the Justice Department, including Assistant District Attorneys Jose Fanjul and Kevin Wilson serving as Special Assistant U.S. Attorneys in the District of Columbia. The Justice Department expressed its gratitude to OFAC, the Federal Reserve, DFS, and the FCA. The Justice Department’s Office of International Affairs provided assistance.
Standard Chartered Bank Admits to Illegally Processing Transactions in Violation of Iranian Sanctions and Agrees to Pay More Than $1 BillionRead the Press Release
WASHINGTON – Standard Chartered Bank (SCB), a global financial institution headquartered in London, England, has agreed to forfeiture of $240 million, a fine of $480 million, and to the amendment and extension of its deferred prosecution agreement (DPA) with the Justice Department for an additional two years for conspiring to violate the International Emergency Economic Powers Act (IEEPA). This criminal conspiracy, lasting from 2007 through 2011, resulted in SCB processing approximately 9,500 financial transactions worth approximately $240 million through U.S. financial institutions for the benefit of Iranian entities.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney Jessie K. Liu of the District of Columbia, Assistant Director in Charge William F. Sweeney, Jr. of the FBI’s New York Field Office, Chief Don Fort of the IRS Criminal Investigation (CI), and District Attorney Cyrus R. Vance Jr. of New York County made the announcement.
The New York County District Attorney’s Office (DANY) is also announcing today that SCB has agreed to amend its DPA with DANY and extend for two additional years, and to pay an additional financial penalty of $292,210,160. Under the amended DPA with DANY, SCB has admitted that it violated New York State law by, among other things, falsifying the records of New York financial institutions. SCB has also entered into separate settlement agreements with the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC), the Board of Governors of the Federal Reserve System (the Federal Reserve), the New York State Department of Financial Services (DFS), and the United Kingdom’s Financial Conduct Authority (FCA) under which SCB shall pay additional penalties totaling more than $477 million. The Justice Department has agreed to credit a portion of these related payments and, after crediting, will collect $52,210,160 of the fine, in addition to SCB’s $240 million forfeiture.
In connection with the conspiracy, a former employee of SCB’s branch in Dubai, United Arab Emirates (UAE), referred to as Person A, pleaded guilty in the District of Columbia for conspiring to defraud the United States and to violate IEEPA. A two-count criminal indictment was unsealed today in federal court in the District of Columbia charging Mahmoud Reza Elyassi, an Iranian national, 49, and former customer of SCB Dubai, with participating in the conspiracy.
“Today’s resolution sends a clear message to financial institutions and their employees: if you circumvent U.S. sanctions against rogue states like Iran—or assist those who do—you will pay a steep price,” said Assistant Attorney General Benczkowski. “When a global bank processes transactions through the U.S. financial system, its compliance program must be up to the task of detecting and preventing sanctions violations—and when it is not, banks have an obligation to identify, report, and remediate any shortcomings. The Justice Department is committed to protecting our U.S. financial system and will continue to hold financial institutions and individuals to account when they violate U.S. sanctions laws.”
“SCB and the individuals whose charges were unsealed today undermined the integrity of our financial system and harmed our national security by deliberately providing Iranians with coveted access to the U.S. economy,” said U.S. Attorney Liu. “The financial penalty announced today leaves no doubt that repeat corporate offenders with deficient compliance programs will pay a steep price. When bank employees and customers conspire to violate U.S. sanctions and subvert our national security, we will bring them to justice no matter where they reside or operate.”
“U.S. sanctions laws exist to protect our national security and the integrity of our financial systems,” said FBI Assistant Director in Charge Sweeney. “Global banks that facilitate transactions through our financial institutions have to play by these rules, plain and simple. Allowing hostile nations access to our economy is dangerous business. The deferred prosecution agreement and charges announced today make it abundantly clear that any alleged violation of IEEPA, whether on behalf of an individual or entity, will not be taken lightly.”
“The financial penalty announced today should dissuade other financial institutions around the world from thinking they can circumvent U.S. sanctions by moving money around the world through various institutions and in various forms,” said IRS-CI Chief Fort. “Following complex money trails is what we do—so too is holding those accountable who try to avoid following the law.”
“Our office’s unique jurisdiction and expert personnel have again enabled us to deliver hundreds of millions in ill-gotten gains to the People of New York while contributing to America’s longstanding effort to promote democratic values around the world,” said Manhattan District Attorney Vance. “We are honored and privileged to collaborate in this shared endeavor with the supremely talented public servants of the U.S. Departments of Justice and Treasury, the New York Department of Financial Services, and the Federal Reserve Bank of New York.”
A two-count felony criminal information was filed today in the District of Columbia charging SCB with illegally conspiring to violate IEEPA. The first count alleges SCB’s participation in a criminal conspiracy from 2001 through 2007; the United States first charged SCB with this illegal conduct on Dec. 10, 2012, and under the terms of a DPA entered the same day, the government agreed to defer prosecution and SCB agreed to pay a financial penalty of $227 million. The second count alleges SCB’s participation in a criminal conspiracy to violate IEEPA from 2007 through 2011. This latter conspiracy resulted in SCB intentionally processing U.S. dollar transactions through the U.S. financial system for the benefit of Iranian individuals and entities worth approximately $240 million. In the amended DPA, SCB admitted and accepted responsibility for its criminal conduct, agreed to extend the term of the agreement for an additional two years and, among other things, agreed to additional cooperation, compliance and disclosure obligations.
As part of the amended DPA announced today, SCB admitted that, from 2007 through 2011, two former employees of its branch in Dubai, willfully conspired to help Iran-connected customers conduct U.S. dollar transactions through the U.S. financial system for the benefit of Iranian individuals and entities. One of these Iran-connected customers was Elyassi, an Iranian national who operated business accounts with SCB’s Dubai branch while residing in Iran. SCB’s former employees helped Elyassi manage these accounts, concealed their Iranian connections, and facilitated foreign currency transactions in U.S. dollars. SCB’s former employees knew that Elyassi’s business organizations operated from Iran and conducted U.S. dollar transactions for the benefit of Iranian interests, and helped Elyassi disguise his Iranian connections to avoid suspicion.
According to the indictment unsealed today, Elyassi and his co-conspirators registered numerous supposed general trading companies in the UAE, and used those companies as fronts for a money exchange business located in Iran. Between November 2007 and August 2011, Elyassi used a business account at SCB’s Dubai branch to cause U.S. dollar transactions to be sent and received through the U.S. financial system for the benefit of individuals and entities ordinarily resident in Iran in violation of U.S. economic sanctions. The charges in the indictment as to Elyassi are merely allegations, and Elyassi is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
SCB admitted to processing approximately 9,500 U.S. dollar transactions through the United States totaling approximately $240 million on behalf of Elyassi’s companies between 2007 and 2011. More than half of these U.S. dollar transactions were the result of deficiencies in SCB’s compliance program which allowed customers to request U.S. dollar transactions from within sanctioned countries, including Iran.
Since mid-2013, SCB has engaged in significant remediation, including the comprehensive enhancement of its U.S. economic sanctions compliance program and significant improvements to its financial crime compliance program. Once presented with evidence of potential post-2007 sanctions violations, SCB provided substantial cooperation in the government’s investigation, including by producing significant evidence of criminal wrongdoing perpetrated by its employees and customers.
This matter was investigated by the FBI’s New York Field Office and the IRS-CI’s Washington D.C. Field Division. The cases are being prosecuted by the Criminal Division’s Money Laundering and Asset Recovery Section’s Bank Integrity Unit and the U.S. Attorney’s Office for the District of Columbia. Trial Attorney Jennifer Wine of the Bank Integrity Unit and Assistant U.S. Attorneys Michael Friedman and Peter Lallas of the District of Columbia are handling the matters.
The Bank Integrity Unit investigates and prosecutes complex, multi-district, and international criminal cases involving financial institutions. The Unit’s prosecutions focus on banks and other financial institutions, including their officers, managers, and employees, whose actions threaten the integrity of the individual institution or the wider financial system.
The New York County District Attorney’s Office conducted its own investigation in conjunction with the Justice Department, including Assistant District Attorneys Jose Fanjul and Kevin Wilson serving as Special Assistant U.S. Attorneys in the District of Columbia. The Justice Department expressed its gratitude to OFAC, the Federal Reserve, DFS, and the FCA. The Justice Department’s Office of International Affairs provided assistance.
St. Louis Woman Pleads Guilty to Threatening to Attack Planned Parenthood Facility and StaffRead the Press Release
ST. LOUIS – The Department of Justice today announced that defendant Maria Terry, 47, pleaded guilty to violating the Freedom of Access to Clinic Entrances (FACE) Act and transmitting a threatening communication over the internet for posting on Twitter threatening to “blow up” Planned Parenthood facilities and injure Planned Parenthood staff. U.S. Attorney Jeffrey B. Jensen for the Eastern District of Missouri, and Special Agent in Charge Richard Quinn of the FBI St. Louis Division made the announcement.
“Today’s guilty plea is an important one,” said U.S. Attorney Jeff Jensen. “The Department of Justice takes violations of the Freedom of Access to Clinic Entrances Act extremely seriously. This office will continue to prosecute violations of the Act, as was the case here, to ensure that every person’s rights are protected and preserved under the law.”
"The FBI takes all threats seriously, whether a threat is made in person or through the internet," said Special Agent in Charge Richard Quinn of the FBI St. Louis Division. "As demonstrated in this case, the threat does not have to be carried out to violate the FACE Act."
According to the plea agreement, on Nov. 7, 2018, Terry posted a public message, or “tweet,” on Twitter directed at Planned Parenthood Action Fund threatening to blow up the facilities. The tweet was viewable to the public on Twitter and was directed at the user account “@PPact,” which is an account operated by the Planned Parenthood Action Fund. Terry admitted in court documents that by publishing the tweet, she was intending to make a threat and knew that it would be viewed as a threat. Additionally, Terry admitted that she intended to intimidate or interfere with persons seeking access to, or providing, reproductive health services through Planned Parenthood.
Terry faces a maximum statutory penalty of one year in prison and/or a fine of up to $100,000 for violating the Freedom of Access to Clinic Entrances Act and a maximum statutory penalty of five years in prison and/or a fine of up to $250,000 for transmitting a threatening communication over the internet.
Trial Attorney Emily Savner of the Civil Rights Division, Criminal Section, prosecuted the case along with the U.S. Attorney’s Office. The FBI’s St. Louis Field Office conducted the federal investigation.
Sparks Resident Sentenced to over 12 Years in Prison for Coercion and Enticement of A ChildRead the Press Release
RENO, Nev. – A Sparks, Nevada, man who posed online as a teenage boy to coerce a teenage girl to send nude photos of herself to him was sentenced Monday to 12 and a half years in federal prison, announced U.S. Attorney Nicholas A. Trutanich for the District of Nevada.
Steven Streit, 59, pleaded guilty to coercion and enticement of a minor. In addition to imprisonment, U.S. District Judge Larry R. Hicks sentenced him to a lifetime of supervised release. Under the Sex Offender Registration and Notification Act, he is required to register as a sex offender.
According to court documents, in October and November 2017, the National Center for Missing and Exploited Children received a cybertip advising that suspected child pornography was uploaded to an online file-sharing account. Law enforcement opened an investigation and learned the account belonged to Streit. During the execution of a search warrant at Streit’s apartment, electronic devices and other items belonging to Streit were located and forensically analyzed. During the forensic analysis of the four devices, law enforcement found a total of 560 images and 92 video files of child pornography and chats Streit had with a 12-year-old girl in Florida. In the chats, Streit portrayed himself as a 15-year-old boy and enticed the girl to send sexually explicit videos of herself to him. He saved these video files for himself for later viewing. During an interview with law enforcement, Streit admitted to utilizing a file-sharing network to download and trade child pornography with others, and to having the deceptive online relationship with the 12-year-old girl.
The case was investigated by the FBI and Washoe County Sheriff’s Office. Assistant U.S. Attorney James Keller prosecuted the case.
To report an incident involving the possession, distribution, receipt, or production of child pornography, contact the National Center for Missing & Exploited Children by phone at 1-800-843-5678 or online at www.cybertipline.com.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. 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 exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
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Simpsonville Felon Found in Possession of over a Kilogram of Methamphetamine Sentenced to 20 Years in Federal PrisonRead the Press Release
Greenville, South Carolina ---- United States Attorney Sherri A. Lydon announced today that Larry Anthony Ladson, Jr., 29 years old, of Simpsonville, South Carolina, who was convicted by a federal jury of possessing 500 grams or more of methamphetamine with the intent to distribute in October 2018, was sentenced to 20 years in federal prison. There is no parole in the federal system.
The evidence presented at trial showed that in March 2018, Ladson was found hiding in a bathtub when officers with the Fountain Inn Police Department were performing a protective sweep of a residence located in Simpsonville. Law enforcement originally arrived on scene after receiving a report of a domestic incident involving a firearm. After initially detaining three other individuals who were connected with the location, officers were clearing the residence when they discovered Ladson fully clothed in the bathtub with the lights off at approximately 2:45 p.m. In the adjacent bedroom, law enforcement found Ladson’s driver’s license along with other identifying documents, in addition to a digital scale and clear plastic baggies used for drug packaging in plain view. Upon obtaining a search warrant, a further search of the bedroom revealed over 1,000 grams of methamphetamine packaged in 19 separate bags, which were concealed in a backpack and hidden under layers of Ladson’s clothes in his closet. The majority of the bags contained approximately 56 grams of the clear, crystal substance and were packaged for distribution in two-ounce quantities.
At the time of the incident, Ladson already had a warrant out for his arrest from a federal firearms violation occurring in October 2017. Ladson was subsequently indicted by a federal grand jury on the methamphetamine charge and has been in continuous custody since his March 2018 arrest. Prior to the incident, Ladson had numerous state convictions, to include: possession with intent to distribute methamphetamine (2014); possession with intent to distribute cocaine base (2014); two convictions for possession with intent to distribute marijuana (2014); burglary in the second degree, violent (2013); criminal domestic violence of a high and aggravated nature (2013); and assault and battery in the first degree (2013).
The charges against Ladson were the result of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Fountain Inn Police Department. This case was prosecuted as part of the joint federal, state, and local Project CeaseFire initiative. Project CeaseFire is part of Project Safe Neighborhoods (PSN), a crime reduction strategy originally launched in 2001 that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. Turning the tide of rising violent crime in America is a top priority for the Department of Justice, which has reinstituted PSN and directed all U.S. Attorney’s Offices to develop a district crime reduction strategy. Assistant United States Attorney Justin Holloway of the Florence office prosecuted the case.
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Seven People Charged in New Jersey Massive Health Care Fraud Scheme Involving Telemedicine and Durable Medical Equipment (DME)Read the Press Release
Hundreds of Thousands of Elderly and/or Disabled Patients Nationwide and Abroad Lured into Criminal Scheme to Bilk Medicare
NEWARK, N.J. – One of the largest health care fraud schemes investigated by the FBI and the U.S. Department of Health and Human Services Office of the Inspector General (HHS-OIG) and prosecuted by the Department of Justice resulted in charges against 24 defendants – seven of whom were charged in the District of New Jersey – including the CEOs, COOs and others associated with five telemedicine companies, the owners of dozens of durable medical equipment (DME) companies and three licensed medical professionals, for their alleged participation in health care fraud schemes involving more than $1.2 billion in loss, as well as the execution of over 80 search warrants in 17 federal districts. In addition, the Center for Medicare Services, Center for Program Integrity (CMS/CPI) announced today that it took adverse administrative action against 130 DME companies that had submitted over $1.7 billion in claims and were paid over $900 million.
U.S. Attorney Craig Carpenito of the District of New Jersey, Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney Sherri A. Lydon of the District of South Carolina, U.S. Attorney Maria Chapa Lopez of the Middle District of Florida, Assistant Director Robert Johnson of the FBI’s Criminal Investigative Division, Deputy Inspector General for Investigations Gary Cantrell of the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG), Chief Don Fort of the IRS Criminal Investigation (CI) and Deputy Administrator and Director of CPI Alec Alexander of the CMS/CPI made the announcement.
Today’s enforcement actions were led and coordinated by the Health Care Fraud Unit of the Criminal Division’s Fraud Section in conjunction with its Medicare Fraud Strike Force (MFSF), as well as the U.S. Attorney’s Offices for the Districts of New Jersey, South Carolina and the Middle District of Florida. The MFSF is a partnership among the Criminal Division, U.S. Attorney’s Offices, the FBI and HHS-OIG. In addition, IRS - Criminal Investigation and other federal law enforcement agencies participated in the operation.
The charges announced today target an alleged scheme involving the payment of illegal kickbacks and bribes by DME companies in exchange for the referral of Medicare beneficiaries by medical professionals working with fraudulent telemedicine companies for back, shoulder, wrist and knee braces that are medically unnecessary. Certain of the defendants allegedly controlled an international telemarketing network that lured over hundreds of thousands of elderly and/or disabled patients into a criminal scheme that crossed borders, involving call centers in the Philippines and throughout Latin America. The defendants allegedly paid doctors to prescribe DME either without any patient interaction or with only a brief telephonic conversation with patients they had never met or seen. The proceeds of the fraudulent scheme were allegedly laundered through international shell corporations and used to purchase exotic automobiles, yachts and luxury real estate in the United States and abroad.
According to allegations in court documents, some of the defendants obtained patients for the scheme by using an international call center that advertised to Medicare beneficiaries and “up-sold” the beneficiaries to get them to accept numerous “free or low-cost” DME braces, regardless of medical necessity. The international call center allegedly paid illegal kickbacks and bribes to telemedicine companies to obtain DME orders for these Medicare beneficiaries. The telemedicine companies then allegedly paid physicians to write medically unnecessary DME orders. Finally, the international call center sold the DME orders that it obtained from the telemedicine companies to DME companies, which fraudulently billed Medicare. Collectively, the CEOs, COOs, executives, business owners and medical professionals involved in the conspiracy are accused of causing over $1 billion in loss.
“The indictments we are unsealing today charge the defendants with running a complex, multilayered scheme to defraud our Medicare system and avoid detection by government regulators,” said U.S. Attorney Craig Carpenito. “The defendants took advantage of unwitting patients who were simply trying to get relief from their health concerns. Instead, the defendants preyed upon their weakened state and pushed millions of dollars’ worth of unnecessary medical devices, which Medicare paid for, and then set up an elaborate system for laundering their ill-gotten proceeds. We are proud to join our law enforcement partners in New Jersey and around the country to put a stop to this unscrupulous criminal activity.”
“These defendants — who range from corporate executives to medical professionals — allegedly participated in an expansive and sophisticated fraud to exploit telemedicine technology meant for patients otherwise unable to access health care,” said Assistant Attorney General Benczkowski. “This Department of Justice will not tolerate medical professionals and executives who look to line their pockets by cheating our health care programs. I commend the Criminal Division prosecutors and our partners from U.S. Attorney’s Offices and law enforcement agencies across the country for their unrelenting efforts to stop this alleged fraud before more money was stolen from American taxpayers.”
“Today, one of the largest health care fraud schemes in U.S. history came to an end thanks to close collaboration and coordination between the FBI and partners including HHS-OIG and IRS-CI,” said FBI Assistant Director Robert Johnson. “Health care fraud causes billions of dollars in losses, it deprives real patients of the critical health care services they need, and it can endanger the lives of real patients so individuals like those arrested today can profit from their criminal activity. Through today’s coordinated national effort, we put an end to this egregious and costly health care fraud scheme, and the public can rest assured the FBI will continue to make health care fraud investigations a top priority.”
“Our law enforcement officers are focused on preventing and uprooting health care fraud schemes like those alleged today,” said HHS-OIG Deputy Inspector General for Investigations Gary Cantrell. “These schemes divert money from taxpayer-funded federal health care programs into the hands of criminals. Working closely with our law enforcement partners, our agency will continue to investigate and disrupt attempts to undermine Medicare and target beneficiaries.”
“The breadth of this nationwide conspiracy should be frightening to all who rely on some form of healthcare,” said IRS-CI Chief Don Fort. “The conspiracy described in this indictment was not perpetrated by one individual. Rather, it details broad corruption, massive amounts of greed, and systemic flaws in our healthcare system that were exploited by the defendants. We all suffer when schemes like this go undiscovered and I’m proud of the work our agents did in working with our partners to uncover this complex scheme.”
“The Centers for Medicare & Medicaid Services (CMS) Center for Program Integrity (CPI) is proud to work very closely everyday with our law enforcement partners to stop exploitation of vulnerable patients and misuse of taxpayer dollars,” said Deputy Administrator and CPI Director Alec Alexander. “In this case CMS has taken swift administrative action and has suspended payments to 130 distinct providers thereby likely preventing billions of additional dollars in losses. CMS remains committed to protecting the millions of beneficiaries we are honored to serve and to preventing fraud of all sorts in the Medicare and Medicaid programs.”
The Fraud Section leads the Medicare Fraud Strike Force. Since its inception in March 2007, the Medicare Fraud Strike Force, which maintains 14 strike forces operating in 23 districts, has charged nearly 4,000 defendants who have collectively billed the Medicare program for more than $14 billion.
In the District of New Jersey, Strike Force Attorneys brought charges against Creaghan Harry, 51, of Highland Beach, Florida; Lester Stockett, 51, of Deefield Beach, Florida; and Elliot Loewenstern, 56, of Boca Raton, Florida; the owner, CEO and VP of marketing, respectively, of purported call centers and telemedicine companies, for their alleged participation in a $454 million illegal health care kickback and international money laundering scheme related to the solicitation of illegal kickbacks and bribes in exchange for the referral of DME orders to DME providers. In addition, Joseph DeCoroso, M.D., 62, of Toms River, New Jersey, was charged in a $13 million conspiracy to commit health care fraud and separate charges of health care fraud for writing medically unnecessary orders for DME, in many instances without ever speaking to the patients, while working for two telemedicine companies. The cases are being prosecuted by Fraud Section Acting Assistant Chief Jacob Foster and Trial Attorney Darren Halverson.
In addition to the Strike Force Prosecutions, the U.S. Attorney’s Office for the District of New Jersey brought charges against Neal Williamsky 59, of Marlboro, New Jersey, and Nadia Levit, 39, of Englishtown, New Jersey, owners of approximately 25 DME companies, for their alleged participation in a $150 million scheme related to the payment of kickbacks and bribes in exchange for medically unnecessary DME orders. Albert Davydov, 26, of Rego Park, New York, was also charged for his alleged participation in a $35 million scheme related to the payment of kickbacks and bribes in exchange for medically unnecessary DME orders. The cases are being prosecuted by Erica Liu, Chief of the Opioids Unit, and Assistant U.S. Attorneys Brian Urbano and Stephen Ferketic of the District of New Jersey.
The charges against the defendants are merely allegations, and they are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Any doctors or medical professionals who have been involved with alleged fraudulent telemedicine and DME marketing schemes – including Video Doctor USA, AffordADoc, Web Doctors Plus, Integrated Support Plus and First Care MD – should call to report this conduct to the FBI hotline at 1-800-CALL-FBI.
Rocky Mount Man Sentenced for Heroin DistributionRead the Press Release
GREENVILLE – United States Attorney Robert J. Higdon, Jr. announced that today in federal court, Senior United States District Judge Malcolm J. Howard sentenced ANTHONY DEFORREST TYREE, 35, of Rocky Mount, North Carolina to 24 months imprisonment, followed by 6 years of supervised release.
TYREE was named in a five-count Indictment filed on May 8, 2018 charging him with distribution of a quantity of heroin, and aiding and abetting; three counts of distribution of a quantity of heroin; and possession with intent to distribute a quantity of heroin. On January 7, 2019, TYREE pled guilty to the distribution of a quantity of heroin.
According to the investigation, the Nash County Sheriff’s Office utilized a confidential informant to make several buys of heroin from TYREE in Rocky Mount. On March 28, 2018, TYREE possessed 28 individual bags of a mixture of heroin and fentanyl.
At the time of the offense, TYREE was on supervised release resulting from a 2017 federal conviction for conspiracy to distribute and possess with the intent to distribute a quantity of heroin. After TYREE admitted to the criminal activity, his term of supervised release was revoked and he was sentenced to an additional 12 months’ imprisonment to be served at the conclusion of his sentence for distribution of heroin.
This case is part of the United States Attorney’s Office’s Take Back North Carolina Initiative. 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.
Investigation of this case was conducted by the Nash County Sheriff’s Office, North Carolina State Bureau of Investigation, and United States Probation Office. Assistant United States Attorney Dena King represented the government.
Rochester Man Pleads Guilty to Possession of Child PornographyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Eric Birkedahl, 32, of Rochester, NY, pleaded guilty to possession of child pornography before Chief U.S. District Judge Frank P. Geraci, Jr. The charge carries a maximum penalty of 20 years in prison and a $250,000 fine.
Assistant U.S. Attorney Kyle Rossi, who is handling the case, stated that Birkedahl was located by undercover FBI Agents while trading child pornography online. During the execution of a search warrant at his residence, the defendant was found to be in possession of approximately 3,613 images and 3,726 videos of child pornography on his desktop computer.
The plea is the result of an investigation by the Rochester Office of the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Gary Loeffert.
Sentencing is scheduled for July 12, 2019, at 11:30 a.m. before Judge Geraci.
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Robber of Jewelry and Gemstones Extradited from Colombia to the United States Pleads Guilty to ConspiracyRead the Press Release
A Colombian national arrested in Colombia and extradited to Pittsburgh, Pennsylvania pleaded guilty today to conspiracy to commit Hobbs Act robbery for his role in the robbery of an employee of a New York business that sold jewelry and gemstones.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney Scott W. Brady for the Western District of Pennsylvania, Special Agent in Charge Robert Allan Jones of the FBI’s Pittsburgh Field Division and Chief T. Robert Amann for the Northern Regional Police Department in Wexford, Pennsylvania made the announcement.
Oscar Javier Rodriguez Roa, 35, of Bogota, Columbia, pleaded guilty before U.S. Senior District Judge Donetta W. Ambrose the Western District of Pennsylvania to conspiracy to commit Hobbs Act Robbery in connection with the robbery of an employee of a New York business that sold jewelry and gemstones. Rodriguez Roa will be sentenced on Aug. 12, 2019.
Rodriguez Roa admitted that, on or about May 8, 2013, he is a national and citizen of Colombia who previously resided in Atlanta, Georgia and Harris County, Texas. He was a member of a South American theft ring that targeted traveling jewelry salespersons in the United States and elsewhere.
On or about May 5, 2013, Rodriguez Roa and several accomplices drove from Lawrenceville, Georgia to Western Pennsylvania in a rented, grey-colored Nissan Maxima.
On May 8, 2013, in Wexford, Pennsylvania, Rodriguez Roa and three accomplices approached a traveling jewelry salesman from New York City as the salesman exited his car in the parking lot of a Wexford jewelry store. Rodriguez Roa smashed the rear driver’s side window of the salesman’s car with a garden tool, reached inside the car, and stole a black shoulder bag containing approximately $500,000 worth of gemstones and jewelry. One accomplice punctured the rear driver’s side tire of the salesman’s car, a second accomplice kept an eye on the salesman, and the third accomplice drove the Nissan Maxima getaway car. Prior to the robbery, the accomplices obscured the Maxima’s license plate using a vanity plate.
Witnesses to the robbery followed the Nissan Maxima to a church parking lot. After realizing they had been followed, Rodriguez Roa and his accomplices drove to a nearby muffler shop where they abandoned the Nissan Maxima and fled on foot to a nearby CVS pharmacy.
CVS pharmacy video surveillance, obtained by law enforcement, showed Oscar Javier Rodriguez Roa and one accomplice entering the store while the two remaining accomplices waited outside. Rodriguez Roa was seen talking on a cell phone as he entered the store, while Rodriguez Roa’s accomplice was seen carrying the black shoulder bag containing the gemstones and jewelry.
Forensic analysis revealed Rodriguez Roa’s fingerprints on the front passenger door of the Nissan Maxima and on a video game console found in the trunk of the car.
Records from U.S. Customs and Border Protection showed that Rodriguez Roa, who is not a citizen of the United States, fled the United States on May 16, 2013, by boarding a flight in Houston, Texas destined for Bogota, Columbia.
The investigation of this case was led by the FBI’s Pittsburgh Field Division, with the assistance of the Northern Regional Police Department.
Trial Attorney Leshia Lee-Dixon of the Criminal Division’s Organized Crime and Gang Section in the Justice Department and Assistant U.S. Attorney Charles A. Eberle of the U.S. Attorney’s Office for the Western District of Pennsylvania prosecuted the case. The Justice Department’s Office of International Affairs provided significant support with the defendant’s extradition.
Recent tax prosecutions serve as a reminder to accurately file and pay taxes as the April 15 deadline approachesRead the Press Release
The U.S. Attorney’s Office reminds all Hoosiers that the deadline for filing federal income tax returns is Monday, April 15, 2019. Although the filing season is nearing the end, the U.S. Attorney’s Office and the Internal Revenue Service’s Criminal Investigation Division work year round to protect the integrity of our nation’s tax system by investigating and prosecuting individuals who violate the tax laws.
“All citizens are charged with filing honest and accurate tax returns. Those who break the law by committing tax fraud or assist in the filing of dishonest returns on behalf of others are subject to federal prosecution, which may include federal prison sentences,” said Minkler.
“Taxpayers thinking about participating in fraudulent tax schemes, such as failing to report all forms of income or falsifying deductions should take a good look at the serious and detrimental consequences of taking the next step,” stated Special Agent in Charge Gabe Grchan of the IRS Criminal Investigation Division. “Those who might consider preparing false and fraudulent tax returns should be aware of the extremely negative consequences that could result in prison time, large tax bills, including substantial fines, interest and penalties.”
As the tax filing season winds down next week, the following court actions serve as a reminder to taxpayers, to think before filing a false or fraudulent tax return and to be wary of any schemes that falsify your income or deductions.
NORMAN FLICK, of Indianapolis, and GEORGE RUTH have been indicted for conspiracy to defraud the IRS by submitting false claims related to federal tax refunds. The indictment alleges that FLICK and RUTH submitted federal tax returns to the IRS in attempts to obtain $3.7 of fraudulent tax refunds. FLICK and RUTH face up to 10 years’ imprisonment.
JOHN L. WILLIAMS recently pleaded guilty to multiple charges including tax evasion. WILLIAMS concealed $5.6 million of income from the IRS and willfully evaded the payment of $1.9 million in federal income taxes. WILLIAMS is awaiting sentencing.
STANLEY ESTIMPHILE was convicted and sentenced to 24 months’ imprisonment for assisting in making false tax returns. ESTIMPHILE included false Schedules C and false American Opportunity Credit claims on his clients’ federal tax returns without their knowledge in Washington, Indiana. ESTIMPHILE was ordered to pay $250,000 in restitution to the IRS.
TAIWO ONUMUTI was convicted and sentenced to 204 months’ imprisonment and ordered to pay over $4.8 million in restitution for his involvement in making false federal tax refund claims against the IRS using stolen taxpayer identities.
An indictment is only a charge and not evidence of guilt. All defendants are presumed innocent until proven otherwise in federal court.
Rayville man pleads guilty to mail fraud scheme, attempting to steal nearly $400,000Read the Press Release
MONROE, La. – United States Attorney David C. Joseph announced that Ronald W. Reeves, 68, of Rayville, Louisiana, pleaded guilty Friday before U.S. District Judge Terry Doughty to two counts of mail fraud for his role in a scheme to steal nearly $400,000.
According to the guilty plea, Reeves conspired with others from April 2014 to April 2017 to fraudulently divert mail from the intended recipients to himself in order to obtain checks, credit cards and identifying information of the victims. Through this process, Reeves obtained multiple checks as well as 292 credit cards, debit cards and prepaid debit cards. Additionally, Reeves maintained multiple bank accounts that he and others used to deposit money that belonged to the victims. These funds included checks made payable to other people and fraudulently obtained tax refund deposit checks from the U.S. Treasury, totaling more than $247,888. Reeves and others attempted to steal a total of $397,409 during the course of the scheme.
Reeves faces up to 20 years in prison, three years of supervised release and a $250,000 fine for each count. The court set the sentencing date for August 7, 2019.
The IRS and U.S. Postal Inspection Service conducted the investigation. Assistant U.S. Attorneys Brian C. Flanagan and Seth D. Reeg are prosecuting the case.
Raceland Man Convicted of Firearm Offense by Federal JuryRead the Press Release
Note: The defendant Samuel Ray Luck was later acquitted in a subsequent bench trial, after his request for a new trial was granted.
NEW ORLEANS, LOUISIANA – U.S. Attorney Peter G. Strasser announced that SAMUEL RAY LUCK, age 41, a resident of Raceland, Louisiana, was convicted yesterday by a Federal Jury for possessing a firearm after having been convicted of a misdemeanor crime of domestic violence.
According to evidence presented at trial, LUCK possessed a firearm on June 13, 2018 after having previously been convicted in McLean County, Kentucky for a violation of Kentucky Revised Statue (KRS) 508.030, Assault in the Fourth Degree, a misdemeanor crime of domestic abuse violence.
LUCK faces a maximum term of imprisonment of ten (10) years, a fine of $250,000.00, and three (3) years of supervised release following any term of imprisonment.
“The conviction of Mr. Luck highlights the collaborative efforts of federal, state, and local law enforcement in keeping our citizens safe, which is a top priority,” stated U.S. Attorney for the Eastern District of Louisiana Peter G. Strasser. “The focus on investigating and prosecuting violent offenders in the possession of firearms remains to be our frontline tactic in combating violent crime.”
“Firearms in the hands of criminals is a recipe for disaster,” said ATF New Orleans Field Division Special Agent in Charge Dana Nichols. “ATF is committed to preventing and reducing firearms related crime in our communities. Samuel Ray Luck’s conviction and pending sentence should serve as a reminder to individuals who have a conviction for domestic violence or felony convictions, you can not possess firearms.”
This case was brought as part of Project Safe Neighborhoods (PSN). PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program 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.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Lafourche Parish Sheriff’s Office. Assistant United States Attorneys Kathryn McHugh and John Murphy are prosecuting the case.
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Plano Man Guilty of Child Pornography ViolationsRead the Press Release
PLANO, Texas – A 27-year-old Plano man has been found guilty of child pornography violations in the Eastern District of Texas, announced U.S. Attorney Joseph D. Brown today.
Hayden Ricks was found guilty of possession of child pornography on Apr. 8, 2019 following a bench trial before U.S. District Judge Marcia A. Crone.
On Sep. 13, 2018, Ricks reported to his Collin County Community Supervision and Correction Department Officer. Ricks was subject to supervision due to a 2013 conviction for possession of child pornography in Collin County, for which he received deferred adjudication. On that date, Ricks's supervising officer asked to see his cell phone. Reviewing the device, the supervising officer saw a number of images of suspected child pornography.
The officer contacted the Collin County Sheriff's Office, Child Exploitation Unit, who met up with Ricks and an FBI Special Agent at the Collin County courthouse. In a consensual, recorded interview, Ricks ultimately admitted that he had accessed particular websites that included individuals engaged in sexual acts, including images of child pornography. The officers and agent then located child pornography images on Ricks's cell phone. They also located more than 1,000 pages of internet history that corroborated Ricks's statements about the locations where he obtained child pornography.
Under federal statutes, Ricks faces a minimum of 10 years and up to 20 years in federal prison at sentencing. The maximum statutory sentence prescribed by Congress is provided here for information purposes, as the sentencing will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the U.S. Probation Office.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
This case was investigated by the Federal Bureau of Investigation and the Collin County Sheriff’s Office with assistance by the Collin County District Attorney’s Office.
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Pittsburgh Felon Facing Additional Charges in Series of Armed Robberies at Gas Station Convenience Stores and Retail StoresRead the Press Release
PITTSBURGH, Pa – A resident of Pittsburgh, Pennsylvania, has been indicted by a federal grand jury in Pittsburgh on charges of violating federal robbery laws, using a firearm during a crime of violence, and possession of a firearm by a convicted felon, United States Attorney Scott W. Brady announced today.
The 16-count Superseding Indictment named George Wilson, III, 37, as the sole defendant. Wilson was first named in an 11-count indictment returned on June 2, 2015. The additional charges allege Wilson used a firearm in the commission of all of the robberies.
According to the Superseding Indictment, Wilson committed a series of armed robberies of businesses throughout the Pittsburgh area from November 2014 through December 2014. During that time, Wilson committed armed robberies of three retain chain stores called "The Exchange" (which sell new and used audio and visual media) and during one of these robberies, Wilson discharged a firearm. Wilson also committed armed robberies of two "Sunoco" and one "Exxon" convenience stores. Due to a prior conviction for a felony offense, Wilson is prohibited by federal law from possessing a firearm.
The law provides for a maximum total sentence of not less than 35 years and up to life in prison, a fine of $250,000.00 at each count, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history of the defendant.
Assistant United States Attorneys Troy Rivetti and Heidi M. Grogan are prosecuting this case on behalf of the government.
The Federal Bureau of Investigation, the Pittsburgh Bureau of Police, the Monroeville Police Department, the Ross Township Police Department, the Penn Hills Police Department and the Wilkins Township Police Department conducted the investigation leading to the Superseding Indictment in this case.
A superseding indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
This case is being prosecuted as part of Project Safe Neighborhoods (PSN), 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.
Philadelphia Tax Return Preparers Indicted and Charged with Tax Fraud ConspiracyRead the Press Release
PHILADELPHIA – United States Attorney William M. McSwain announced that tax fraud conspiracy charges were filed against five former tax preparers, Florence Clark, 64, Israel Ortiz-Pena, 39, Alexander Salas, 39, Priscilla Rufino, a/k/a Priscilla Diaz, 37, and Mary Correa, 46, all residents of Philadelphia, who were owners and employees of a tax service business with numerous offices located in Philadelphia.
Each defendant is charged with conspiracy to knowingly defraud the United States by preparing and filing with the IRS false tax returns that fraudulently claimed tax refunds to which the individuals were not entitled, in violation of Title 18, United States Code, Section 371. Salas was also charged with under-reporting his own income and, as the result, filing a false income tax return, in violation of Title 26, United States Code, Section 7206(1). If convicted of the charges, Clark, Ortiz-Pena, Rufino, and Correa could face up to five years in prison. Salas could face up to eight years in prison.
The charging documents filed today allege that the defendants fabricated business income for their clients, which fraudulently inflated the Earned Income Tax Credit each client could claim and thereby increased each client’s refund. In addition, the defendants allegedly increased the preparation fees that they collected, in the form of kickbacks from the tax refunds, by fabricating business income for the clients.
“As alleged in the indictment, these defendants – tax return preparers – committed fraud and stole from the United States government,” said U.S. Attorney McSwain. “They also stole from the pockets of all taxpayers who do the right thing every April and pay their fair share of taxes.”
“Knowingly falsifying documents filed with the IRS is a crime,” said Guy Ficco, IRS Criminal Investigation Special Agent in Charge. “Dishonest tax return preparers, like those charged in this conspiracy, use a variety of methods to cheat the government. This is a reminder to take care when choosing a tax return preparer; as you, the taxpayer, are ultimately responsible for the accuracy of the information on your tax return.”
The case was investigated by the Internal Revenue Service and is being prosecuted by Assistant United States Attorney Anita Eve.
Pharmacy Owner and Pharmacist Charged in a Scheme to Bill Insurance for Medications Not DispensedRead the Press Release
An indictment was unsealed today charging Mohamad Ali Makki, R.Ph. and Wansa Nabi Makki with multiple health care fraud offenses, U.S. Attorney Matthew Schneider announced today. At the same time, related criminal complaints were unsealed charging Mamoud Makki and Hossam Tanana (husband of Wansa Makki) of laundering some of the proceeds of the health care fraud scheme.
Schneider was joined in the announcement by Special Agent in Charge Timothy R. Slater of the FBI’s Detroit Division and Special Agent in Charge Lamont Pugh III of the U.S. Department of Health and Human Services Office of Inspector General’s (HHS-OIG) Chicago Regional Office.
Charged in the indictment and criminal complaints are:
Wansa Nabih Makki, 41, of Dearborn
Mohamad Ali Makki, R.Ph., 43, of Dearborn Heights
Mahmoud Makki., 36, of Dearborn
Hossam Tanana, 53 of Dearborn
According to the indictment, between January 2010 and January 2018, Wansa Makki owned and oversaw the operations of two local pharmacies, LifeCare Pharmacy in Livonia and LifeCare of Michigan in Farmington Hills. Mohamad Makki was the pharmacist-in-charge at both pharmacies. Both pharmacies were “closed door” pharmacies, meaning that they were not open to the public and only filled prescriptions for individuals associated with various care facilities. The indictment alleges that during the course of the conspiracy, Wansa Makki and Mohamad Makki billed Medicare, Medicaid and Blue Cross Blue Shield of Michigan for approximately $9.2 million dollars for medications that were never dispensed. The fraud scheme was detected by Medicare, in part, because of a huge deficit between each pharmacy’s recorded inventories and the claims that each submitted for insurance reimbursement. As part of the scheme to defraud, the defendants billed insurance companies for allegedly submitting claims for delivering over 500 medications to people who had died prior to the claimed date of delivery.
According to the indictment and related criminal complaints, proceeds of the fraud scheme were laundered by overpaying consulting and delivery companies operated by close relatives of Wansa and Mohamad Makki. For instance, according to the complaints, Hossam Tanana was previously convicted for diverting controlled substances such as oxycodone, hydrocodone (Vicodin) and alprazolam (Xanax) while being licensed as a pharmacist. Two days after being released from federal custody in April of 2012, Tanana incorporated a pharmacy consulting company. Between the date of incorporation and December of 2013, Tanana’s consulting company received over $400,000 from the LifeCare Pharmacy. LifeCare Pharmacy also paid over one million dollars to a delivery service opened by Wansa Makki’s brother, Mahmoud Makki, in a 14-month period beginning in December of 2013.
An indictment is only a charge and is not evidence of guilt. Each defendant is entitled to a fair trial in which it will be the government's burden to prove guilt beyond a reasonable doubt.
If convicted of a health care fraud charge, the defendants face a maximum sentence of imprisonment of ten years, and a maximum fine of $250,000. In addition to any sentence imposed for health care fraud, the defendants face a mandatory and consecutive two-year sentence if convicted of aggravated identity theft.
The case was investigated by Special Agents of the HHS and FBI, with cooperation and assistance from the Michigan Department of Health and Human Services - Office of Inspector General.
The case is being prosecuted by Assistant U.S. Attorneys John Engstrom, Philip Ross and Shankar Ramamurthy.
Petersburg Inmate Sentenced for Possessing Contraband in PrisonRead the Press Release
RICHMOND, Va. – A Maryland man was sentenced today to 18 months in federal prison for possessing Suboxone, a Schedule III controlled substance, while in federal prison
According to court documents, on July 5, 2018, James Pixley, 29, of Leonardtown, received 35 Suboxone strips, which are available only by prescription, from an individual who was with him in the visiting area of the prison. Shortly after he took possession of the Suboxone, prison officials questioned the visitor who admitted to having brought the Suboxone to Pixley at his request.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, David W. Archey, Special Agent in Charge of the FBI’s Richmond Field Office, and John I. Dixon III, Chief of Petersburg Police, made the announcement after sentencing by Senior U.S. District Judge Henry E. Hudson. Assistant U.S. Attorney Angela Mastandrea-Miller prosecuted 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-011.
Pair Indicted on Visa Fraud ChargeRead the Press Release
Charlottesville, VIRGINIA – A federal grand jury has charged a pair of Culpeper residents for staging an armed robbery to become eligible to apply for, and obtain, a U-Visa, United States Attorney Thomas T. Cullen announced today.
On March 27, 2019, a federal grand jury sitting in U.S. District Court in Charlottesville charged Sarai Veronica Solorzano Figueroa, 35, a citizen of Honduras living in Culpeper, Va., and Enna Perez Santos, 33, a citizen of El Salvador also living in Culpeper, with one count each of conspiracy to commit visa fraud. The indictment was unsealed yesterday following the initial appearances of both defendants.
“This alleged visa-fraud scheme, in addition to violating federal immigration laws, put law-enforcement officers and the surrounding community at risk,” U.S. Attorney Cullen stated today. “The Department of Justice remains committed to working with our federal, state, and local partners to prosecute fraudulent immigration and preserve the rule of law.”
“You should not expect to use lies and deceit to exploit the system,” said Special Agent in Charge Raymond Villanueva of U.S. Immigration and Customs Enforcement Homeland Security Investigations. “This kind of fraud to obtain a designated visa reserved for the victims of criminals is exceptionally perverse, and I commend the HSI special agents, our local partners, and the U.S. Attorney for the extensive work involved to bring this case to court.”
According to the indictment, in or about September 2018, Figueroa and Santos devised a scheme to stage an armed robbery and kidnapping at their place of employment, a convenience store in Culpeper, knowing that being the victim of a crime would make them eligible for a U-Visa.
At approximately 10:00 p.m. on September 30, 2018, Figueroa’s son, wearing a padded costume and a mask, approached Santos with a fake gun while she was taking out the trash at the convenience store. He instructed Santos back into store at gunpoint. Once inside, he ordered Figueroa, his mother, to give him money, which was fake money the coconspirators had previously made specifically for the staged robbery. Figueroa’s son then walked them out to their car, where they intended to stage a kidnapping.
All of these actions were filmed by the convenience store’s security cameras. As the coconspirators were leaving with the costumed robber, law enforcement stopped the defendants.
Upon being interviewed by law enforcement, Santos relayed how she and Figueroa were victims of an armed robbery, kidnapped, and discussed the fear she felt during the robbery. This narrative was part of the conspiracy the two defendants planned to tell police, which would then form the basis of their U-Visa petition.
The investigation of the case was conducted by U.S. Immigration and Customs Enforcement Homeland Security Investigations and the Culpeper Police Department. Special Assistant United States Attorney Kate Rumsey will prosecute the case for the United States.
A Grand Jury Indictment is only a charge and not evidence of guilt. The defendants are entitled to a fair trial with the burden on the government to prove guilt beyond a reasonable doubt.
Owner of Guadalupe County Telemedicine Companies Arrested in National Health Care Fraud TakedownRead the Press Release
This morning, federal authorities arrested 54–year-old Christopher O’Hara, of Kingsbury, TX, without incident in connection with Health Care Fraud, bribery and kickback scheme, announced U.S. Attorney John Bash, FBI Special Agent in Charge Christopher Combs, San Antonio Division, and U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG) Special Agent in Charge C.J. Porter, Dallas Field Office.
On Wednesday, a federal grand jury in San Antonio returned an indictment charging the owner and operator of 1stCare MD and ProfitsCentric with one count of conspiracy to pay and receive HealthCare Kickbacks.
The indictment alleges that from 2016 to 2019, O’Hara defrauded HHS in its administration and oversight of Medicare. The indictment alleges that O’Hara conspired with others by paying and receiving kickbacks and bribes in exchange for doctors’ orders for durable medical equipment (DME) for Medicare beneficiaries. The indictment further alleges that O’Hara, 1stCare MD and ProfitsCentric, through their network of doctors, were responsible for generating thousands of doctors’ orders for DME absent of a pre-existing doctor-patient relationship, absent of a physical examination and, based solely on a short telephonic conversation. O’Hara’s actions resulted in the submission of approximately $40 million in fraudulent Medicare claims for DME.
This afternoon, a federal magistrate judge released O’Hara on a $150,000 bond. O’Hara faces up to five years in federal prison upon conviction.
Special agents with the FBI and HHS-OIG, together with investigators from the Texas Attorney General’s Office Medicaid Fraud Control Unit, investigated this case. DOJ trial attorney Kevin Lowell and Assistant U.S. Attorneys Sean O’Connell and Eric Yuen are prosecuting this case on behalf of the government.
O’Hara’s arrest and federal indictment is part of a nationwide law enforcement action which targeted 24 defendants involved in extensive health care fraud schemes that focus on telemedicine and DME marketing. These schemes allegedly resulted in losses amounting to more than $1.2 billion.
An indictment is merely a charge and should not be considered as evidence of guilt. The defendant is presumed innocent until proven guilty in a court of law.
Orangeburg Felon Sentenced to Maximum on Federal Gun ChargeRead the Press Release
Columbia, South Carolina --- United States Attorney Sherri A. Lydon announced today that Eugene Jonathan James, age 21, of Orangeburg, South Carolina, was sentenced to 10 years in federal prison after pleading guilty to being a felon in possession of a firearm.
Evidence presented to the court showed that at approximately 12:36 a.m. on May 27, 2017, officers with the Cayce Department of Public Safety were running radar on Knox Abbott Drive when they observed a car traveling 15-20 mph over the speed limit. After activating their blue lights and siren in an attempt to conduct a traffic stop, a chase ensued across the Blossom Street Bridge into Columbia. At one point, the driver of the car appeared to stop, but when officers approached, the car sped off again. Ultimately, the car stopped near the Riverwalk and the sole occupant/driver, later identified as James, fled on foot, disregarding officers’ commands for him to stop. James fled into the woodline off the Riverwalk and assumed a crouched position. He appeared to the officers to be lying in wait for them. After threatening to use his taser to get James to comply, one officer heard gunshots and felt pain. That officer, who was wearing a bulletproof vest, was shot in the chest and leg, and the other officer was shot in his leg. Officers returned fire and called for backup assistance.
Responding officers located James in the woodline with a .40 caliber Smith and Wesson lying at his feet. James had also been shot. Further investigation revealed that the car driven by James had been stolen during a carjacking in Orangeburg on May 14, 2017. The serial number of the firearm had been burned in an attempt to obliterate it; however, law enforcement was able to restore the serial number and determined that the gun had been stolen during the theft of a Jeep in Orangeburg on May 15, 2017. A ballistics examination of the firearm matched it to the fired bullet recovered from one of the officers’ bulletproof vests and to a May 16, 2017, shooting incident in Orangeburg.
Federal law prohibits James from possessing firearms and ammunition based upon an April 2017 Orangeburg conviction for burglary 3rd degree for which he received a probationary sentence. At the time of the instant offense, James was on state probation and out on state bond for unrelated Richland County state armed robbery and weapon charges stemming from a March 2017 incident.
During the sentencing hearing, the court heard from one of the officers who was shot and from his wife. His wife said, “As a law enforcement officer’s spouse, we know the risks our loved ones take when they strap on their body armor and kiss us on the way out of the door. We know that may be the last kiss. We pray for their safety and their safe return home. As a spouse, we dread phone calls in the middle of the night and knocks on the door – especially when our loved ones are working. My nightmare became reality, with one simple phone call.”
United States District Judge Michelle Childs sentenced James to the statutory maximum of 120 months in federal prison, to be followed by a 3-year term of court-ordered supervision. There is no parole in the federal system.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the Cayce Department of Public Safety, the Columbia Police Department, and the South Carolina Law Enforcement Division (SLED).
This case was prosecuted as part of the joint federal, state, and local Project CeaseFire initiative, which aggressively prosecutes firearm cases. Project CeaseFire is South Carolina’s implementation of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime. Assistant United States Attorney Stacey D. Haynes of the Columbia office prosecuted the case.
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Orange County Woman Sentenced to 4½ Years in Federal Prison for Unemployment Insurance FraudRead the Press Release
LOS ANGELES – A woman was sentenced today to 54 months in federal prison for defrauding the state’s unemployment insurance program out of more than one-half million dollars by using stolen identities to submit dozens of bogus claims for “employees” who supposedly worked at sham companies.
Rolanda Ashley, 49, of Anaheim, was sentenced by United States District Judge John A. Kronstadt, who also ordered her to pay $547,904 in restitution to her victims. Ashley pleaded guilty in October 2018 to one felony count of mail fraud.
According to her plea agreement, from October 2010 to November 2013, Ashley participated in a scheme to defraud the Employment Development Department (EDD), the state agency that administers the federal unemployment insurance program in California.
As part of the scheme, Ashley and a co-conspirator registered fictitious companies with EDD, submitted false wage information for individuals who purportedly worked for these sham companies, and then she fraudulently applied for and obtained unemployment insurance benefits in these individuals’ names. At least 10 victims had their Social Security numbers and dates of birth used without their permission to further the scheme. When registering the business addresses of fake companies with EDD, Ashley listed addresses that she controlled or to which she had access. As a result of Ashley’s fraudulent submissions, EDD directed a bank to mail debit cards to addresses that she listed for the fake claimants.
In total, Ashley submitted approximately 40 fraudulent claims seeking more than $550,000 in unemployment insurance benefits.
This case was investigated by the United States Department of Labor - Office of Inspector General, and the California Employment Development Department.
This matter is being prosecuted by Assistant United States Attorneys Kerry L. Quinn and Poonam G. Kumar of the Major Frauds Section.
Ohio County residents indicted on methamphetamine chargesRead the Press Release
WHEELING, WEST VIRGINIA – Chad Markle and Tiffany Markle, both of Wheeling, West Virginia, will be arraigned this week on drug charges, United States Attorney Bill Powell announced.
The Markles were indicted by a federal grand jury sitting in Wheeling on April 2, 2019 on methamphetamine distribution charges.
Chad, age 31, was indicted on one count of “Conspiracy to Distribute and to Possess with the Intent to Distribute Methamphetamine” and one count of “Aiding and Abetting the Distribution of Methamphetamine.” Tiffany, age 33, was indicted on one count of “Conspiracy to Distribute and to Possess with the Intent to Distribute Methamphetamine,” one count of “Aiding and Abetting the Distribution of Methamphetamine,” and two counts of “Distribution of Methamphetamine.”
Both are accused of distributing methamphetamine in Marshall and Ohio Counties from July 2018 to February 2019. The government is also seeking the forfeiture of the Markles’ residence at 36 Fernwood Avenue in Wheeling.
Chad Markle faces up to 20 years incarceration and a fine of up to $1,000,000 for each of his counts. Tiffany Markle also faces up to 20 years incarceration and a fine of up to $1,000,000 for each of her counts. 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 Robert H. McWilliams, Jr., is prosecuting the cases on behalf of the government. The Marshall County Drug & Violent Crime Task Force, a HIDTA-funded initiative, investigated.
U.S. Magistrate Judge James P. Mazzone presided.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
Niagara Falls Man Sentenced for Selling HeroinRead 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 Michael Mitchell, 38, of Niagara Falls, NY, who was convicted of conspiracy to possess with intent to distribute 100 grams or more of heroin, was sentenced to serve 78 months in prison by U.S. District Judge Lawrence J. Vilardo.
Assistant U.S. Attorney Meghan Tokash, who handled the case, stated that between June 2013 and September 2015, the defendant conspired with others sell heroin, fentanyl, and cocaine. Specifically, Mitchell received heroin, cocaine, and crack cocaine base from co-defendant Troy Gillon for distribution to other dealers in the Lockport and Niagara Falls area.
Mitchell was charged along with 16 others who were members of a transnational drug trafficking organization, led by Herman E. Aguirre, that utilized contacts and a source of supply whose territory included Mexico, Arizona, California, and elsewhere. The source of supply was the Sinaloa Cartel, led by Joaquín “El Chapo” Guzmán and Ismael “El Mayo” Zambada. was the leader of the organization. Other dispositions in the case include the following:
• Martha Aguirre was convicted following a jury trial and is awaiting sentencing;
• Juan Alfaro was convicted following a jury trial and is awaiting sentencing;
• Herman E. Aguirre was convicted following a jury trial and is awaiting sentencing;
• Troy R. Gillon was convicted following a jury trial and is awaiting sentencing;
• Jose Ruben Gil, a/k/a Unc, a/k/a Ruben Gil Campos, a/k/a Mayor of Mexico, was convicted and is awaiting sentencing;
• Sonia Hernandez, was convicted and is awaiting sentencing;
• Margaret Banuelos, a/k/a Lisa, was convicted and is awaiting sentencing;
• Darryl J. Williams, a/k/a D, was convicted and is awaiting sentencing;
• Trent Adair Hamilton, was convicted and is awaiting sentencing;
• Demetrius Yarborough, a/k/a Tu, was convicted and is awaiting sentencing;
• Rashawn Crule, a/k/a Black, a/k/a Shawn, was convicted and is awaiting sentencing;
• Maulana Lucas, a/k/a Big Daddy, a/k/a Shabazz, was convicted and is awaiting sentencing;
• Shirley Grigsby, was convicted and is awaiting sentencing;
• Ralik Hamilton; was convicted and is awaiting sentencing;
• Dion Cheatham, was convicted and is awaiting sentencing; and
• Joseph Thompson, a/k/a Jo-Jo, a/k/a Skools, a/k/a Skoolboy, convicted and sentenced.During the course of the investigation, law enforcement officers seized over $5,000,000 worth of illegal narcotics, including 52.5 kilograms of cocaine; 17.5 kilograms of heroin; and 8.5 kilograms of fentanyl. Using standard dosage amounts, the seized drugs potentially represented over 1,500,000 “hits” of cocaine, and 2,700,000 “hits” of heroin and considering that two milligrams of fentanyl can be a lethal dose, enough fentanyl potentially to kill over four million people.
The sentencing is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division; the Lockport Police Department, under the direction of Acting Chief Steven Preisch; and the Niagara County Drug Task Force, under the direction of Sheriff James Voutour.
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New Orleans Man Pleads Guilty to Violating Federal Gun Control ActRead the Press Release
NEW ORLEANS – U.S. Attorney Peter G. Strasser announced that CHARLES BROWN, age 30, of New Orleans, pled guilty Thursday, April 4, 2019 to felon in possession of a firearm.
According to court documents, BROWN had another individual purchase a firearm for him from the Jefferson Gun Outlet on or about July 27, 2018. That same day, BROWN was stopped in a vehicle while he was in possession of that firearm. BROWN was prohibited from possessing firearms because of a felony conviction.
BROWN faces a maximum term of imprisonment of ten years, a fine of $250,000, three years of supervised release after imprisonment, and a $100 special assessment. U.S. District Court Judge Ashe set sentencing for July 11, 2019.
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 Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Jefferson Parish Sheriff’s Office in investigating this matter. The case is being prosecuted by Assistant United States Attorney Maria M. Carboni.
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New Orleans Man Charged with Embezzlement of Union FundsRead the Press Release
NEW ORLEANS, LOUISIANA – MARK DOUGLAS, age 71, a resident of New Orleans, Louisiana, was charged in a one-count bill of information for embezzlement of union funds, announced U.S. Attorney Peter G. Strasser.
According to court documents, between November 11, 2011 and January 17, 2015, DOUGLAS acted as President of the United Food and Commercial Workers Local 1101. DOUGLAS was responsible for the local’s grievances with the Domino Sugar Company and running the day to day operations of the union.
Union officers were permitted to file “lost time” claims to be reimbursed for conducting union business. Lost time is generally taken for arbitrations, attorney visits, accountant visits, or negotiations with Domino Sugar Company. During his time as President, DOUGLAS filed fraudulent “lost time” claims with the union, totaling approximately $7,078.35.
If convicted, DOUGLAS faces 5 years of imprisonment and a $10,000 fine.
U.S. Attorney Strasser reiterated that the bill of information is merely a charge, and that the guilt of the defendant must be proven beyond a reasonable doubt.
U.S. Attorney Strasser praised the work of the U.S Department of Labor, Office of Labor-Management Standards, in investigating this matter. The prosecution of this case is being handled by Assistant U. S. Attorney G. Dall Kammer, Supervisor, General Crimes.
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New Haven Man Sentenced to Prison for Stealing Bitcoins in Dark Web Phishing SchemeRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that MICHAEL RICHO, 37, of New Haven and formerly of Wallingford, was sentenced today by U.S. District Judge Vanessa L. Bryant in Hartford to 12 months and one day of imprisonment, followed by three years of supervised release, for fraud and money laundering offenses in connection with a scheme to steal bitcoins in an online phishing scheme. Judge Bryant also ordered Richo to pay a $10,000 fine and to forfeit various computers and electronic devices, an assortment of precious coins and metals that he bought with the proceeds of his offense, and $352,500 in cash.
According to the court documents and statements made in court, Richo engaged in an online phishing scheme to steal bitcoins from individuals on the dark web. Bitcoins are a form of electronic currency, and online marketplaces on the dark web typically accept them as a payment method. Richo carried out the scheme by posting fake links to online marketplaces on dark web forums. The links directed individuals to fake login pages that looked like the real login pages for the various online marketplaces. When an individual attempted to log in, Richo stole his or her username and password. Once he had an individual’s username and password, Richo monitored the individual’s bitcoin balance at the real marketplace. If the individual later deposited bitcoins with the real marketplace, Richo withdrew the bitcoins before the individual could spend them and caused the stolen bitcoins to be deposited into his own bitcoin wallet. He then sold the stolen bitcoins to others in exchange for U.S. currency, which was deposited into bank accounts that he controlled or was provided to him through Green Dot Cards, Western Union transfers, and MoneyGram transfers.
In total, Richo obtained more than $365,000 through his scheme. He also had more than 10,000 stolen usernames and passwords saved on his computer.
Richo was arrested on a federal criminal complaint on October 5, 2016. On June 27, 2017, he pleaded guilty to one count of access device fraud and one count of money laundering.
This matter was investigated by the Federal Bureau of Investigation. The case was prosecuted by Assistant U.S. Attorney Neeraj N. Patel.
Monticello Man Ordered to Pay $280,480 in RestitutionRead the Press Release
HAMMOND – Jimmie Powers, 67 years old, of Monticello, Indiana, was sentenced, on April 2, 2019, by District Court Judge Philip P. Simon on his plea of guilty to health care fraud, announced U.S. Attorney Kirsch.
Powers was sentenced to 18 months in prison and ordered to pay $280,480.93 in restitution.
According to court documents, Powers billed Indiana Medicaid for inflated mileage when transporting Medicaid beneficiaries to and from medical appointments.
This case was investigated by the U.S. Department of Health and Human Services, Office of Inspector General in coordination with the Indiana Medicaid Fraud Control Unit and handled by Assistant United States Attorney Diane L. Berkowitz.
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Mobile Man Federally Indicted for Cyber Intrusion and Theft of Trade Secrets from Pensacola CompanyRead the Press Release
PENSACOLA, FLORIDA – Timothy J. Smith, 42, of Mobile, Alabama, was arraigned today in the U.S. District Court in Pensacola after a federal grand jury returned an indictment, unsealed today, charging him with computer fraud, theft of trade secrets, and interstate threatening communications. Lawrence Keefe, United States Attorney for the Northern District of Florida, announced the indictment.
U.S. Attorney Keefe said: “The U.S. Attorney’s Office takes very seriously cyber intrusions of all kinds, ranging from protecting our national security to the secrets of private industries. In our increasingly online society, cyber security is vital to all of us as we conduct Internet transactions and conversations so that we can be confident our identities and personal information are protected.”
The indictment alleges that Smith was a software engineer in Mobile, Alabama. StrikeLines, LLC, the alleged victim in the indictment, is a Pensacola based company that uses commercial side scan sonar equipment to locate fishing reefs in the Gulf of Mexico and sells coordinates using an interactive map on their website.
Between April and November 2018, Smith allegedly obtained information valued at more than $5,000 from a protected computer without authorization, stole sonar coordinates of reefs in the Gulf of Mexico, and transmitted a threat to injure the property and reputation of StrikeLines.
The maximum penalties are 5 years in prison for computer fraud, 10 years in prison for theft of trade secrets, and 2 years in prison for interstate threatening communications. The trial is scheduled for May 13, 2019, at 8:30 a.m. at the United States Courthouse in Pensacola.
This case resulted from an investigation by the Florida Department of Law Enforcement, the Federal Bureau of Investigation, and the Escambia County Sheriff’s Office. Senior Litigation Counsel David L. Goldberg is prosecuting the case as he is the Computer Hacking and Intellectual Property Coordinator and National Security Cyber Specialist for the Northern District of Florida.
An indictment is merely an allegation by a grand jury that a defendant has committed a violation of federal criminal law and is not evidence of guilt. All defendants are presumed innocent and entitled to a fair trial, during which it will be the government’s burden to prove guilt beyond a reasonable doubt at trial.
The United States Attorney’s Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
Mississippi man and Harrison County man admit to roles in a methamphetamine distribution operationRead the Press Release
CLARKSBURG, WEST VIRGINIA – Kedric Pearson, of Waynesboro, Mississippi, and Taylor Espinoza, of Bridgeport, West Virginia, have admitted to their involvement in a methamphetamine distribution conspiracy, United States Attorney Bill Powell announced.
Pearson, age 34, pled guilty to one count of “Conspiracy to Distribute Methamphetamine.” Pearson admitted to working with others to distribute methamphetamine in Harrison County and elsewhere from the fall of 2017 to September 2018.
Espinoza, age 21, pled guilty to one count of “Possession with Intent to Distribute Methamphetamine.” Espinoza admitted to having methamphetamine in August 2018 in Harrison County.
Pearson and Espinoza each face up to 20 years incarceration and a fine of up to $1,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Zelda E. Wesley is prosecuting the cases on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Greater Harrison Drug & Violent Crimes Task Force, a HIDTA-funded initiative, investigated.
The investigation was funded in part by the federal Organized Crime Drug Enforcement Task Force Program (OCDETF). The OCDETF program supplies critical federal funding and coordination that allows federal and state agencies to work together to successfully identify, investigate, and prosecute major interstate and international drug trafficking organizations and other criminal enterprises.
U.S. Magistrate Judge Michael John Aloi presided.
Mississippi U.S. Attorneys Warn Taxpayers to Avoid Unscrupulous Tax Return PreparersRead the Press Release
As “Tax Day,” April 15th, approaches, U.S. Attorneys Mike Hurst and Chad Lamar of the Southern and Northern Districts of Mississippi, respectively, remind taxpayers to beware of unscrupulous tax return preparers.
“Every year, some Mississippians are victimized by dishonest individuals looking to make a quick buck by defrauding our tax system. We are committed to bringing these underhanded return preparers to justice. If you suspect tax fraud, contact our offices or your local IRS office. By being vigilant and working together, we can hold these tax fraudsters and cheats accountable,” said U.S. Attorney Hurst.
“I certainly echo the words of my colleague. We, as citizens of the United States, have a legal obligation to timely pay our federal and state taxes and to timely file our tax returns. Those who choose to evade those responsibilities, or take advantage of our citizens who are trying to comply with their legal tax filing obligations, will be met with severe penalties, including prosecution.” said U.S. Attorney Lamar.
While most tax return preparers are professional and honest, some prepare returns with false information in order to improperly boost a taxpayer’s refund, to reduce their liability, or to increase business and preparation fees. Under the law, taxpayers are responsible for what is reported on their returns. When the Internal Revenue Service (“IRS”) uncovers the falsehoods, the taxpayer can face penalties and interest and, if circumstances warrant, criminal prosecution.
The U.S. Attorneys issued the following tips to those who are selecting a tax return preparer:
- Be wary of tax return preparers who claim they can obtain larger refunds than others can.
- Avoid tax return preparers who base their fees on a percentage of the refund or who offer to deposit all or part of your refund into their financial accounts.
- Ensure you use a preparer with a preparer tax identification number (“PTIN”). Paid tax return preparers must have a PTIN to prepare all or substantially all of a tax return.
- Use a reputable tax professional, who enters their PTIN on your tax return, signs the tax return, and provides you a copy of the return (as required).
- Consider whether the individual or firm will be around for months or years after filing the return to answer questions about the preparation of the tax return.
- Never sign a blank tax form.
- Check the person’s credentials. Only attorneys, CPAs, and enrolled agents can represent taxpayers before the IRS in all matters, including audits, collections, and appeals.
The U.S. Department of Justice applies both civil and criminal tools at its disposal to shut down illegal tax return preparation activity. Taxpayers should always remain wary of tax return preparers who claim they can obtain larger refunds than others or engage in other unscrupulous practices. Every year, the Justice Department’s Tax Division, in collaboration with the U.S. Attorney’s Offices, files civil actions seeking court orders to shut down tax return preparers who allegedly prepared false tax returns, and to punish dishonest tax return preparers for their fraudulent activities. When the evidence supports criminal enforcement action, the U.S. Attorney’s Offices will pursue criminal prosecutions of tax return preparers.
The IRS has some additional information on its website about selecting a return preparer and has launched a free directory of federal tax preparers and a list of tips for choosing a tax preparer.
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Mississippi U.S. Attorneys Warn Taxpayers to Avoid Unscrupulous Tax Return PreparersRead the Press Release
As "Tax Day," April 15th, approaches, U.S. Attorneys Mike Hurst and Chad Lamar of the Southern and Northern Districts of Mississippi, respectively, remind taxpayers to beware of unscrupulous tax return preparers.
"Every year, some Mississippians are victimized by dishonest individuals looking to make a quick buck by defrauding our tax system. We are committed to bringing these underhanded return preparers to justice. If you suspect tax fraud, contact our offices or your local IRS office. By being vigilant and working together, we can hold these tax fraudsters and cheats accountable," said U.S. Attorney Hurst.
"I certainly echo the words of my colleague. We, as citizens of the United States, have a legal obligation to timely pay our federal and state taxes and to timely file our tax returns. Those who choose to evade those responsibilities, or take advantage of our citizens who are trying to comply with their legal tax filing obligations, will be met with severe penalties, including prosecution." said U.S. Attorney Lamar.
While most tax return preparers are professional and honest, some prepare returns with false information in order to improperly boost a taxpayer’s refund, to reduce their liability, or to increase business and preparation fees. Under the law, taxpayers are responsible for what is reported on their returns. When the Internal Revenue Service ("IRS") uncovers the falsehoods, the taxpayer can face penalties and interest and, if circumstances warrant, criminal prosecution.
The U.S. Attorneys issued the following tips to those who are selecting a tax return preparer:
• Be wary of tax return preparers who claim they can obtain larger refunds than others can.
• Avoid tax return preparers who base their fees on a percentage of the refund or who offer to deposit all or part of your refund into their financial accounts.
• Ensure you use a preparer with a preparer tax identification number ("PTIN"). Paid tax return preparers must have a PTIN to prepare all or substantially all of a tax return.
• Use a reputable tax professional, who enters their PTIN on your tax return, signs the tax return, and provides you a copy of the return (as required).
• Consider whether the individual or firm will be around for months or years after filing the return to answer questions about the preparation of the tax return.
• Never sign a blank tax form.
• Check the person’s credentials. Only attorneys, CPAs, and enrolled agents can represent taxpayers before the IRS in all matters, including audits, collections, and appeals.
The U.S. Department of Justice applies both civil and criminal tools at its disposal to shut down illegal tax return preparation activity. Taxpayers should always remain wary of tax return preparers who claim they can obtain larger refunds than others or engage in other unscrupulous practices. Every year, the Justice Department’s Tax Division, in collaboration with the U.S. Attorney’s Offices, files civil actions seeking court orders to shut down tax return preparers who allegedly prepared false tax returns, and to punish dishonest tax return preparers for their fraudulent activities. When the evidence supports criminal enforcement action, the U.S. Attorney’s Offices will pursue criminal prosecutions of tax return preparers.
The IRS has some additional information on its website about selecting a return preparer and has launched a free directory of federal tax preparers and a list of tips for choosing a tax preparer.
Mexican Police Officer Indicted for Importing MethRead the Press Release
LAREDO, Texas – A federal grand jury has just returned an indictment charging a 41-year-old Mexican citizen with conspiracy to import methamphetamine and importation of methamphetamine, announced U.S. Attorney Ryan K. Patrick.
Gabriel Garrido Isaias was originally charged by criminal complaint March 15, 2019, and was later remanded to custody. Today, a Laredo grand jury returned the two-count indictment charging him with conspiracy to import and importing methamphetamine into the United States. He is set for his arraignment before U.S. Magistrate Judge Sam Sheldon on April 18, 2019.
According to court documents, Isaias approached the Lincoln-Juarez Bridge #2 on March 14, 2019, driving a Ford F-150. He was sent to secondary examination after which an x-ray examination allegedly revealed anomalies in all four tires. A search of the tires resulted in the discovery of 38.36 kilograms of methamphetamine, according to the allegations.
Further investigation revealed the defendant to be a resident of Nuevo Laredo, Mexico, and is currently a Mexican police officer.
If convicted, he faces a minimum of 10 years and up to life in prison and a possible $10 million maximum fine.
Immigration and Customs Enforcement’s Homeland Security Investigations conducted the investigation with the assistance of Customs and Border Protection. Assistant U.S. Attorney April Ayers-Perez is prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law.Mexican Man Sentenced to Prison for Illegally Reentering the United States After Prior DeportationRead the Press Release
A man who illegally returned to the United States after being deported was sentenced today to almost three months in federal prison.
Hilario Vicente-Vargas, age 29, a citizen of Mexico illegally present in the United States and residing in Cedar Rapids, Iowa, received the prison term after a February 14, 2019, guilty plea to one count of illegal reentry into the United States.
At the guilty plea, Vicente-Vargas admitted he had previously been deported from the United States in March 2017 and illegally reentered the United States without the permission of the United States government. Vicente-Vargas was found by immigration agents in November 2018 after he was charged in Linn County, Iowa, with operating a motor vehicle while intoxicated (OWI). Vicente-Vargas was arrested for OWI on February 12, 2017, and on November 5, 2018. Vicente-Vargas was convicted of OWI in both cases on December 31, 2018.
Vicente-Vargas was sentenced in Cedar Rapids by United States District Court Judge C. J. Williams. Vicente-Vargas was sentenced to 86 days’ imprisonment. He must also serve a one-year term of supervised release after the prison term. There is no parole in the federal system. Vicente-Vargas is being held in the United States Marshal’s custody until he can be turned over to immigration officials.
The case was prosecuted by Assistant United States Attorney Daniel C. Tvedt and investigated by Department of Homeland Security, Immigration and Customs Enforcement, Enforcement and Removal Operations.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 19-CR-01. Follow us on Twitter @USAO_NDIA.
Mexican Man Pleads Guilty to Illegal Use of a Social Security Number and Submitting False Information in an Attempt to Secure a U.S. PassportRead the Press Release
NEW ORLEANS, LOUISIANA – FRANCISCO JAVIER NUNEZ-ALEMAN, age 32, a citizen of Mexico pled guilty to a two-count indictment Wednesday, April 3, 2019 for illegal use of a Social Security Number in violation of Title 42, United States Code, Section 408(a)(7)(B) and using a false social security number in attempting to secure a U.S. Passport, a violation of Title 18, United States Code, Section 1542. He is set for sentencing on July 10, 2019.
NUNEZ-ALEMAN faces a maximum term of imprisonment of not more than ten (10) years, a fine of $250,000.00, and a mandatory special assessment of $100.00 on the false passport application and five (5) years imprisonment on the illegal use of a social security number. Additionally, NUNEZ-ALEMAN is subject to a period of supervised release after imprisonment of up to three years on both counts.
Papers filed in open court revealed that NUNEZ-ALEMAN applied for a U.S. Passport at the Bourg, La Post Office and affixed his actual signature thereto. However, the State Department determined that the Social Security number he used in the application belonged to another individual. He had also purchased a Puerto Rican birth certificate for fraudulent use. Additionally, NUNEZ-ALEMAN used the fraudulently obtained social security number in applying for a job at a Houma, La employer.
U.S. Attorney Peter G. Strasser praised the work of the United States Department of Homeland Security and the U.S. State Department Diplomatic Security Service in investigating this matter. Assistant U.S. Attorney Carter K.D. Guice, Jr. is in charge of the prosecution.
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Men from Ashtabula and Cleveland indicted on firearms chargesRead the Press Release
Two men were indicted on firearms charges.
Christopher J. Alston, 33, of Ashtabula, was charged with being felon in possession of a firearm and ammunition. Alston on January 24 possessed a loaded pistol after being previously convicted of robbery and trafficking in drugs, according to the indictment.
Joshua Walker, 32, of Cleveland, was charged with being a felon in possession of ammunition. Walker possessed shell casings from a 9 mm Luger on October 25, 2017, despite a previous conviction for conspiracy to possess with intent to distribute crack cocaine, according to the indictment.
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases, the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
These cases were investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives. They are being prosecuted by Assistant U.S. Attorney Jason M. Katz (Alston) and John Hanley (Walker).
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Mayor of Bacum, Mexico Sentenced for False Statement in Application and Use of a United States PassportRead the Press Release
TUCSON, Ariz. – On April 8, 2019, Rogelio Aboyte Limon, 47, of Bacum, Mexico, was sentenced by U.S. Senior District Judge Raner C. Collins to 15 months of imprisonment followed by three years of supervised release. Aboyte Limon had previously pleaded guilty to false statement in application and use of a passport.
On Dec. 27, 2018, Aboyte Limon was arrested using a fraudulently obtained United States passport in an attempt to enter the United States through the DeConcini Port of Entry in Nogales, Ariz. Aboyte Limon originally obtained the passport in 2005, renewed it in 2015, and used it on multiple occasions. The false statements in the renewal application included using another person’s identity, claiming United States citizenship, omitting other names he had previously used, and failing to disclose his conviction for a federal felony drug offense. Aboyte Limon is a citizen of Mexico and was the mayor of Bacum, Mexico at the time of his arrest.
The investigation in this case was conducted by the Department of State-Diplomatic Security Service, the Department of Homeland Security-Customs and Border Protection, and the Department of Homeland Security-U.S. Citizenship and Immigration Services. The prosecution was handled by Heather Siegele, Assistant U.S. Attorney, District of Arizona, Tucson.
CASE NUMBER: CR-19-00193-RCC-EJM
RELEASE NUMBER: 2019-047_Aboyte Limon
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For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.
Massachusetts and Louisiana Men Charged in Business Email Compromise SchemeRead the Press Release
BOSTON – A Medfield man and Louisiana man were charged today in federal court in Boston in connection with an international business email compromise scheme that defrauded companies of almost $900,000.
Paul M. Iwuanyanwu, 39, of Medfield, and Larry Brown Jr., 37, of Lafayette, La., were indicted for wire fraud and conspiracy to commit wire fraud. Iwuanyanwu was also charged with one count of money laundering.
Iwuanyanwu and Brown allegedly worked with others to breach the email systems of companies and install unauthorized computer programs that diverted company emails to accounts controlled by Iwuanyanwu and Brown’s co-conspirators. As a result, all emails sent by or to the companies were first routed through the email accounts where co-conspirators could view the messages. Co-conspirators also had the ability to send and respond to emails as if they were representatives of the companies.
It is alleged that Iwuanyanwu, Brown, and others, used this unauthorized access to companies’ email accounts to cause the companies to redirect almost $900,000 in payments intended for legitimate business operations to bank accounts controlled by Iwuanyanwu and Brown.
The charge of wire fraud and conspiracy to commit wire fraud provides for a sentence of no greater than 20 years in prison, three years of supervised release, and a fine of $250,000, or twice the gross gain or loss. The charge of money laundering charge provides for a sentence of no greater than 10 years in prison, three years of supervised release, and a fine of $250,000, or twice the value of the criminally derived property. 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 the Homeland Security Investigations in Boston made the announcement today. Assistant U.S. Attorneys Sara Miron Bloom, of Lelling’s Securities & Financial Fraud Unit, and Carol Head, of Lelling’s Asset Recovery Unit, are prosecuting the case.
The details contained in the indictment are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Manchester, Vermont Man Charged with Distribution of Heroin, Fentanyl, and Crack Cocaine in the Manchester, Vermont AreaRead the Press Release
The Office of the United States Attorney for the District of Vermont stated that Torrie Smith, 29, who resided in both Manchester, Vermont and Hartford Connecticut, was arrested on federal drug trafficking charges contained in a two-count Indictment. The charges allege that Smith possessed, with intent to distribute, heroin, fentanyl, cocaine, and crack cocaine.
According to court records, the two-count indictment is based on two drug seizures from cars in which Smith was either driving or a passenger. The first count involves a seizure of drugs by the Manchester Police Department on January 25, 2019. According to court records, Smith was a passenger in a car in which the Manchester Police Department later found, pursuant to a state search warrant, approximately 100 grams of cocaine powder, 45 grams of cocaine base, eight grams of heroin and about 44 milligrams of fentanyl. The second count relates to a seizure on November 27, 2018, in Sunderland, Vermont. The Vermont State Police stopped a car in which Smith was driving and later found, pursuant to a state search warrant, approximately 40 grams of cocaine powder, ten grams of crack, and ten bundles of heroin.Smith was arraigned on April 4, 2019 in U.S. District Court in Burlington and pled not guilty to the charges. Upon the government’s motion for detention, Magistrate Judge John M. Conroy ordered that Smith be detained in the custody of the U.S. Marshals Service pending trial.
The Indictment is an accusation only and the defendant is presumed innocent unless proven guilty. If Smith is convicted, he faces a maximum sentence of 40 years with a mandatory minimum sentence of five years imprisonment as well as a fine of up to $5,000,000. If Smith is convicted, his actual sentence will be advised by the Federal Sentencing Guidelines.
This case was investigated by the Vermont Drug Task Force, the FBI, the Vermont State Police (Shaftsbury Barracks), the Manchester Police Department, and the Chester Police Department. The government is represented by Assistant U.S. Attorney Joe Perella. Smith is represented by the Office of the Federal Public Defender in Burlington.
Madison, Indiana man sentenced for possessing unregistered explosive devices and firearmRead the Press Release
New Albany – United States Attorney Josh J. Minkler announced today that a Madison, Indiana man was sentenced March 22, 2019, following his guilty plea to two counts of possession of unregistered destructive devices and one count of being a felon in possession of a firearm. David Theiring, 40, was sentenced to 87 months’ imprisonment by U.S. District Court Judge Tanya Walton Pratt.
“As citizens of this state and this country, we will not tolerate terrorism foreign or domestic of any kind. Those individuals who choose to threaten innocent lives will face the consequences of their actions,” said Minkler.
On Sunday, March 6, 2016, at approximately 1:00 a.m., an improvised explosive device in the form of a pipe bomb was detonated outside the Madison, Indiana Police Department. The event occurred on the sidewalk on the east side of Central Avenue, beside the parking area for the police department. Evidence consisted of pieces of an unknown length of a ¾” white PVC pipe, two end caps, and gray duct tape. No one was injured and no property was damaged, though the bomb was detonated close to police vehicles.
On Wednesday, March 16, 2016, at approximately 2:50 a.m., an improvised explosive device in the form of a pipe bomb was detonated outside the residence of a Jefferson County Indiana Judge in Madison, Indiana. No one was injured and no damage was observed.
David Theiring was identified as a suspect. Law enforcement officers executed a search warrant on Theiring’s residence and he was found to be in possession of two firearms as well as numerous items utilized to manufacture a destructive device.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, Louisville, Kentucky, Indiana State Police, Madison City Police Department, Jefferson County Sheriff’s Office and Jefferson County Prosecutor’s Office.
“ATF strives to be ‘no better partner’ to law enforcement agencies, especially when investigating the criminal use of explosives and bombings,” stated ATF Special Agent in Charge Stuart Lowrey of the Louisville Field Division. “The sharing of resources and collaborative efforts with the Jefferson County Indiana Sheriff’s Department and Madison Indiana Police brought about the swift arrest and incarceration of a dangerous felon. This sentence reflects ATF’s ongoing commitment to reduce violent crime in our communities.”
According to Assistant United States Attorney Lauren M. Wheatley, who is prosecuting the case for the government, Theiring must be serve 3 years of supervised release following her sentence.
In October 2017, United States Attorney Josh J. Minkler announced a Strategic Plan designed to shape and strengthen the District’s response to its most significant public safety challenges. This prosecution demonstrates the Office’s firm commitment to prosecuting individuals engaged in domestic terrorism and violent crime using firearms. See United States Attorney’s Office, Southern District of Indiana Strategic Plan 1.2 and 2.3
Local Insurance Agent Sentenced to 60 Months for FraudRead the Press Release
Memphis, TN – A local man has been sentenced to 60 months in federal prison for fraud. U.S. Attorney D. Michael Dunavant announced the sentence today.
Following a four-day jury trial in federal court in August 2018, Manzur Mazumder, 50, was convicted on two counts of wire fraud. Manzur Mazumder, an insurance agent, started a hedge fund business, which defrauded several individuals of their retirement savings. Between 2014 and 2017, Mazumder obtained a total of $360,000 from "M.T.," a resident in Hawaii, "J.T.," a resident of Missouri and "A.J.," a resident of Memphis.
According to information presented in court, Mazumder used a large portion of the investor’s fund to pay for personal expenses, including living and travel expenses, a down payment on a condominium, loan payments, debit card charges and overdrafts in several bank accounts. Mazumder day-traded the rest of the investors’ funds in options contracts, resulting in large losses. He returned nominal sums to the victims.
U.S. Attorney D. Michael Dunavant said, "Fraudulent schemes that steal hard-earned retirement savings from innocent victims represent the very worst betrayals of trust in our financial markets, and such dishonesty will be exposed. We are pleased that justice has been achieved on behalf of the victims, and we commend the FBI for their outstanding investigation in this disturbing case. Wherever fraud occurs in the Western District of Tennessee, this office will be prepared to hold offenders accountable."
On April 9, 2019, U.S. District Court Judge John T. Fowlkes, Jr., sentenced Mazumder to 60 months imprisonment. He was also ordered to pay $341,960 restitution to the victims.
The case was investigated by the FBI.
Assistant U.S. Attorneys Dean DeCandia and David Pritchard prosecuted this case on behalf of the government.
Lewiston Pharmacy Tech Sentenced for Conspiracy to Distribute Controlled SubstancesRead the Press Release
COEUR D’ALENE – Marcella Moore, 44, of Lewiston, Idaho was sentenced to federal prison earlier today for conspiracy to distribute controlled substances, announced U.S. Attorney Bart M. Davis. Chief U.S. District Judge David C. Nye sentenced Moore to 54 months in prison followed by three years supervised release. Judge Nye also ordered Moore to pay over $30,000 in restitution to Owl Pharmacy.
According to court records, Moore was employed as a pharmacy technician at Owl Pharmacy in Lewiston. In August 2017, Moore began stealing prescription controlled substances while working at the pharmacy. Moore stole almost 60,000 pills over the next eleven months until she was arrested. These pills included over 45,000 pills of hydrocodone, 1,880 pills of oxycodone and 1,600 pills of Lorazepam. Moore then distributed many of the pills to others who then sold them in the area.
“Medical professionals hold a position of trust over the prescription drugs that they handle and dispense,” said Davis. “When those professionals violate that trust by illegally diverting prescription drugs into our communities, federal, state, local and tribal law enforcement stand ready to bring them to justice.”
DEA Special Agent in Charge Keith Weis said, “Opioid abuse is devastating our communities and we must respond aggressively against those that are profiting from fueling the crisis.”
The pharmacy worked closely with the Bureau of Indian Affairs Drug Division, Drug Enforcement Administration, Federal Bureau of Investigation, Lewiston Police Department and others to catch Moore and stop her criminal conduct.
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Leader of Pagans Motorcycle Gang in Florida Sentenced to Eleven Years in Prison for Role in Methamphetamine Distribution ConspiracyRead the Press Release
Orlando, Florida – U.S. District Judge Roy B. Dalton, Jr. today sentenced Brian Burt, a/k/a “Sledge,” (47, Port Orange) to 11 years in federal prison for conspiring to possess with the intent to distribute methamphetamine.
Burt pleaded guilty on January 16, 2019.
According to court documents, in April 2017, the FBI, and later the DEA, began an investigation into the drug trafficking organizations (DTO) that had supplied motorcycle clubs, including the Pagans Motorcycle Club, operating in the Middle District of Florida with distribution amounts of methamphetamine. At the time, Burt was a member of the Pagans’ Mother Chapter, a group of 13 that directed the Pagans’ criminal activities throughout the United States and conspired with different DTOs to distribute methamphetamine in and around Daytona Beach.
To date, 19 individuals have been found guilty as a result of this joint investigation.
“This case exemplifies the cooperation among federal, state, and local law enforcement agencies to dismantle dangerous criminal organizations that threaten the safety of our communities," said Rachel L. Rojas, Special Agent in Charge of the FBI Jacksonville Division. "The FBI will continue to target the leadership of these organizations and bring them to justice for the harm caused by their criminal actions.”
This case was investigated by the Federal Bureau of Investigation, the Drug Enforcement Administration, the Volusia Bureau of Investigation, the Volusia County Sheriff’s Office, and the Daytona Beach Police Department. It is being prosecuted by Assistant United States Attorney Sean P. Shecter.
Lawrence Man Pleads Guilty to Fentanyl ConspiracyRead the Press Release
BOSTON – A Lawrence man pleaded guilty yesterday in federal court in Springfield in connection with his role in a large-scale drug conspiracy that trafficked dozens of kilos of heroin and fentanyl into Springfield from Bronx, N.Y., and the Dominican Republic.
Francisco Sandoval, 65, pleaded guilty to one count of conspiring to distribute and possess with intent to distribute fentanyl. U.S. District Court Judge Mark G. Mastroianni scheduled sentencing for July 9, 2019.
On July 13, 2016, Sandoval received two kilograms of fentanyl from the alleged leader of a Springfield drug trafficking organization, Alberto Marte. Marte had direct contact with heroin suppliers in the Dominican Republic, and on a monthly basis, members of his organization transported between eight and 20 kilograms of heroin, worth a street value of approximately $1.6 million and $4 million, respectively to the Springfield area.
Marte was arrested and charged in September 2016. He is currently in custody awaiting trial.
The charge of conspiracy to distribute fentanyl provides for a sentence of no greater than 20 years in prison, a minimum of three years of supervised release, and a fine of up to $1 million. 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; Hampden County District Attorney Anthony D. Gulluni; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Division; Peter C. Fitzhugh, Special Agent in Charge of Homeland Security Investigations in Boston; Colonel Kerry Gilpin, Superintendent of the Massachusetts State Police; Springfield Police Commissioner Cheryl Clapprood; Chicopee Police Chief William Jebb; Holyoke Police Chief Manny Febo; and West Springfield Police Chief Ronald Campurciani made the announcement today. Assistant U.S. Attorney Neil Desroches of Lelling’s Springfield Branch Office is prosecuting the case.
The details contained in the charging documents are allegations. The remaining defendants are presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Lawrence Keefe Will Take the Oath of Office as United States Attorney for the Northern District of FloridaRead the Press Release
TALLAHASSEE, FLORIDA – U.S. Attorney Lawrence Keefe will take the oath of office, joined by federal, state, and local law enforcement agency heads; Congress members; Judiciary members; Florida cabinet members; city and county government members; distinguished guests; and family. The Honorable Mark E. Walker, Chief United States District Judge, will preside over the ceremony. For more information about U.S. Attorney Keefe’s appointment, click here.
Event: Investiture Ceremony
Date: Friday, April 12, 2019
Event Start Time: 3:00 p.m. EDT
(Please arrive at the courthouse no later than 2:30 p.m. to allow time to go through security.)Location:
United States Courthouse, Fifth Floor
111 North Adams Street
Tallahassee, Florida 32301OPEN PRESS, NO CAMERAS. As space is limited, guests and media may be seated in the overflow courtroom.
NOTE: Media must RSVP and present government-issued photo I.D. and valid media credentials. Please RSVP to Amy Alexander at [email protected] by Thursday, April 11 at noon if you plan to attend. Please RSVP with the e-mail addresses of the person(s) attending the event, so that we may reach them directly if details change.
U.S. Attorney Keefe will be briefly available for photographs and video following the ceremony in the U.S. Attorney’s suite on the 4th floor. Please limit questions to those related to the investiture. Please indicate in your RSVP if you will participate in this media availability.
Four-hour metered parking is available on Call Street, Adams Street, and Park Avenue. Press should allow time to go through an initial security screen on the ground level of the courthouse (floor 2). Then they will proceed to a press check-in on the 5th floor before entering the courtroom. There will be no questions at the conclusion of the event.
The United States Attorney's Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access available public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
Laveen Woman Sentenced to Five Years in Federal Prison for Selling MethamphetamineRead the Press Release
PHOENIX – On April 8, 2019, Maria Dawn Goldtooth, 44, of Laveen, Ariz. was sentenced by U.S. District Judge Steven P. Logan to 60 months in prison, followed by a term of three years of supervised release. Goldtooth had previously pleaded guilty to possession with intent to distribute less than 50 grams of a mixture or substance containing methamphetamine.
On two separate occasions in September 2017, Goldtooth sold methamphetamine to an undercover officer from her home located on the Gila River Indian Community. An additional quantity of methamphetamine was seized from Goldtooth’s home during a search in June 2018.
The investigation in this case was conducted by the Gila River Police Department and the Bureau of Indian Affairs. The prosecution was handled by Christina J. Reid-Moore, Assistant U.S. Attorney, District of Arizona, Phoenix.
CASE NUMBER: CR-2018-00730-PHX-SPL
RELEASE NUMBER: 2019-048_Goldtooth
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For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.
Last Defendant in Arson and Insurance Fraud Scheme Sentenced to 17 Years in PrisonRead the Press Release
BLUEFIELD, W.Va. –The last of four defendants from a Southern West Virginia family involved in an arson and insurance fraud scheme was sentenced in United States District Court announced United States Attorney Michael Stuart. James “Punkin” Lester, 47, was sentenced to 17 years in prison following his August 2018 conviction on 23 separate felonies related to the scheme. He was also ordered to pay restitution in the amount of $505, 618.57 and ordered to forfeit an additional $120,000.
“17 years. Arson and insurance fraud are serious crimes for which every citizen pays the price,” said United States Attorney Mike Stuart. “Arson is not only a property crime but it risks lives as well. It is gratifying when defendants like Lester are held accountable, not only by a sentence of incarceration, but by an order of restitution as well.”
Between April of 2012 and January of 2016, Lester, along with his father, Windel Lester, his brother, Greg Lester, his former step-mother, Georgetta Kenney, and others, participated in various ways in three separate but interrelated schemes involving arson, mail and wire fraud, and money laundering. Their overall purpose was to enrich themselves by fraudulently obtaining insurance proceeds on houses they intentionally burned. The houses were insured for amounts greatly exceeding their value and the value of any contents. The houses were located at Matoaka in Mercer County, Huntington in Cabell County, and Ikes Fork in Wyoming County.
Windel Lester was convicted of 17 separate felonies. His sentencing hearing was originally set along with James Lester’s. However, Windel Lester died prior to his sentencing hearing. Others involved included Dudley Bledsoe, Ricky Gleason, and James Browning, all of whom pled guilty and are serving prison sentences.
Senior United States District Judge David A. Faber presided over the trial and the sentencing hearing. Agents with the West Virginia Insurance Commission, the United States Postal Inspection Service, and the West Virginia State Police conducted the investigation. Assistant United States Attorneys Philip H. Wright and R. Gregory McVey handled the prosecution.
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