Latest Records
Newest first across public DOJ and U.S. Attorney press releases.
21 March 2019
California Resident Sentenced to Prison for Stealing over $1.6 Million of Taxpayer MoneyRead the Press Release
Jacqueline Ramos, aka Jackie Acosta, of Salinas, California, was sentenced to 60 months in prison on conspiracy and bank fraud charges, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and United States Attorney David L. Anderson.
According to court filings, Ramos conspired with her co-defendants to file false income tax returns seeking refunds from the Internal Revenue Service (IRS). These returns reported fake wages and fraudulently claimed dependents, education expenses, and tax credits. Ramos and her co-conspirators directed the fraudulently obtained refunds into bank accounts they controlled. United States District Court Judge Lucy H. Koh determined that the returns sought more than $1.6 million in refunds from the IRS.
On July 13, 2017, a federal grand jury indicted Ramos, 49, and four of her co-conspirators, charging them with conspiring to submit false claims against the United States. Ramos and her husband, Antonio Ahumada Rivas, were also each charged with two counts of bank fraud. On Oct. 17, 2018, Ramos entered a guilty plea to the conspiracy count and two counts of bank fraud. On Nov. 14, 2018, co-defendant, Norma Morfin Mandujano was sentenced to 30 months in prison for conspiracy. Co-defendants Antonio Ahumada Rivas and Ana Bajo have sentencing dates of March 27th and April 10th respectively.
In addition to the 60-month sentence, Judge Koh ordered Ramos to pay $1,641,610 restitution to the United States. Judge Koh also ordered forfeiture in the amount of $736,592 and ordered Ramos to serve three years of supervised release. The defendant will begin serving the sentence on May 29, 2019.
Principal Deputy Assistant Attorney General Zuckerman and United States Attorney Anderson commended IRS-Criminal Investigation special agents, who investigated the case, and Assistant United States Attorney Michael Pitman and Trial Attorney Christopher Magnani, who are prosecuting the case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
California Man Sentenced to 50 Months for Fraudulent Bank AccountsRead the Press Release
BIRMINGHAM – A federal judge on Tuesday sentenced a California man for stealing identities and using them to open accounts at the Birmingham-based BBVA Compass Bank, as well as using them for access device fraud against residents of Hickory, North Carolina, announced U.S. Attorney Jay E, Town and FBI Special Agent in Charge Johnnie Sharp, Jr.
In two cases, U.S. District Judge Madeline H. Haikala sentenced EDUARDO FERNANDO VILLANUEVA ARANGUENA, 32, of Reseda, Calif., to a combined sentence of 50 months in prison for aggravated identity theft and access device fraud. Aranguena also was ordered to pay $89,447.31 in restitution to the victims of his crimes.
“Stealing someone’s identity takes more than just their money,” Town said. “It robs them of their privacy and sense of security. Identity thieves take note: we will find you and send you on a lengthy and involuntary tour of the federal prison system.”“A stolen identity is a powerful cloak of anonymity for criminals and terrorists and a danger to national security and private citizens alike,” Sharp said. “I particularly want to express my thanks and appreciation to the agents, both here in Alabama and North Carolina, who worked to bring Aranguena to justice.”
According to a plea agreement filed in the case from the Western District of North Carolina, Aranguena obtained access to the online accounts of more than 10 individuals. Those individuals resided in the Hickory, North Carolina area. While in California, Aranguena reset account passwords, added email addresses to the accounts and changed call-forwarding options. Aranguena used the information obtained from these compromised accounts to then compromise numerous individuals’ email accounts, where he obtained personally identifiable information. Using this information, Aranguena opened an account or accounts in those individuals’ names. Aranguena used the fraudulently established accounts to transfer money, set up electronic bill pay, as well as to make purchases, apply for credit cards, and make hotel reservations.
Aranguena pled guilty in October 2018. Aranguena had been charged in the U.S. District Court for the Northern District of Alabama in March 2018. He was subsequently charged by the U.S. Attorney’s Office for the Western District of North Carolina in August 2018. This case was ultimately transferred to the Northern District of Alabama after the defendant indicated his intention to plead guilty to the charges.
FBI’s Birmingham and Charlotte Field Offices investigated the case, which Assistant U.S. Attorney Jonathan Keim prosecuted. The U.S. Attorney’s Offices for the Central District of California and the Western District of North Carolina assisted in the investigation.
Follow us: Twitter- @USAttyTown
California Man Sentenced to 50 Months for Fraudulent Bank AccountsRead the Press Release
BIRMINGHAM – A federal judge on Tuesday sentenced a California man for stealing identities and using them to open accounts at the Birmingham-based BBVA Compass Bank, as well as using them for access device fraud against residents of Hickory, North Carolina, announced U.S. Attorney Jay E, Town and FBI Special Agent in Charge Johnnie Sharp, Jr.
In two cases, U.S. District Judge Madeline H. Haikala sentenced EDUARDO FERNANDO VILLANUEVA ARANGUENA, 32, of Reseda, Calif., to a combined sentence of 50 months in prison for aggravated identity theft and access device fraud. Aranguena also was ordered to pay $89,447.31 in restitution to the victims of his crimes.
“Stealing someone’s identity takes more than just their money,” Town said. “It robs them of their privacy and sense of security. Identity thieves take note: we will find you and send you on a lengthy and involuntary tour of the federal prison system.”
“A stolen identity is a powerful cloak of anonymity for criminals and terrorists and a danger to national security and private citizens alike,” Sharp said. “I particularly want to express my thanks and appreciation to the agents, both here in Alabama and North Carolina, who worked to bring Aranguena to justice.”
According to a plea agreement filed in the case from the Western District of North Carolina, Aranguena obtained access to the online accounts of more than 10 individuals. Those individuals resided in the Hickory, North Carolina area. While in California, Aranguena reset account passwords, added email addresses to the accounts and changed call-forwarding options. Aranguena used the information obtained from these compromised accounts to then compromise numerous individuals’ email accounts, where he obtained personally identifiable information. Using this information, Aranguena opened an account or accounts in those individuals’ names. Aranguena used the fraudulently established accounts to transfer money, set up electronic bill pay, as well as to make purchases, apply for credit cards, and make hotel reservations.
Aranguena pled guilty in October 2018. Aranguena had been charged in the U.S. District Court for the Northern District of Alabama in March 2018. He was subsequently charged by the U.S. Attorney’s Office for the Western District of North Carolina in August 2018. This case was ultimately transferred to the Northern District of Alabama after the defendant indicated his intention to plead guilty to the charges.
FBI’s Birmingham and Charlotte Field Offices investigated the case, which Assistant U.S. Attorney Jonathan Keim prosecuted. The U.S. Attorney’s Offices for the Central District of California and the Western District of North Carolina assisted in the investigation.
###
Follow us: Twitter- @USAttyTown
California Man Sentenced to 5 Years in Prison for Distributing MethRead the Press Release
PITTSBURGH, PA. - A California resident has been sentenced in federal court to five years (60 months) in prison followed by four years of supervised release on his conviction of distributing methamphetamine in violation of federal drug trafficking laws, United States Attorney Scott W. Brady announced today.
Senior United States District Judge Donetta W. Ambrose imposed the sentence on Richard Sperry, 54, of Newberry Springs, California
According to information presented to the court, Sperry distributed 5 grams or more of methamphetamine on two occasions - February 4-7, 2017, and April 7-10, 2017.
Assistant United States Attorney Cindy K. Chung prosecuted this case on behalf of the government.
United States Attorney Brady commended the Drug Enforcement Administration, the Pennsylvania Office of the Attorney General, and the United States Postal Inspection Service for the investigation leading to the successful prosecution of Sperry.
Butte man sentenced for meth, firearms found in truckRead the Press Release
MISSOULA—A Butte man who admitted to having methamphetamine and firearms in his pickup truck after a police officer found him asleep and slumped over the steering wheel while the vehicle was running was sentenced to prison on Wednesday, U.S. Attorney Kurt Alme said.
Chief U.S. District Judge Dana Christensen sentenced Joseph Patrick Walsh, 40, to 72 months and one day in prison, to run concurrent to a state sentence, and to five years of supervised release.
Walsh pleaded guilty in October to possession with intent to distribute meth and to possession of firearms in furtherance of a drug trafficking crime.
Walsh was indicted after a Manhattan Police Department officer on Feb. 11, 2018 conducted a welfare check on a suspicious pickup truck that was parked in Manhattan. The officer found the truck running with Walsh slumped over the steering wheel, asleep, the prosecution said.
The officer woke up Walsh, who said he hadn’t been drinking but was a recovering alcoholic and drug addict. Walsh acknowledged there was marijuana and meth in the center console. He opened the console and handed the officer two 9mm semi-automatic pistols and a glove, which contained 53.2 grams of pure meth. Fifty three grams of meth is the equivalent of about 424 doses.
Assistant U.S. Attorney Timothy Racicot prosecuted the case, which was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Manhattan Police Department.
The case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
XXX
Buffalo Man Sentenced to over 15 Years in Prison on Gun ChargeRead 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 Tracy Bankston, 52, of Buffalo, NY, who was convicted of possessing a firearm as a convicted felon with three prior violent felony or serious drug offense convictions, was sentenced to serve 188 months in prison by Chief U.S. District Judge Frank P. Geraci, Jr. The defendant will also forfeit the firearms, ammunition, and $12,500 that were seized during the investigation.
Assistant U.S. Attorney Charles J. Volkert, Jr., who handled the case, stated that on December 16, 2016, Erie County Sheriff’s Deputies executed a search warrant at 53 Benzinger Street in Buffalo. Inside Bankston’s bedroom, police recovered over 28 grams of crack cocaine, two ounces of marijuana, scales, baggies, a Smith and Wesson .357 caliber revolver, and a TEC-9 9mm pistol with an extended clip as well as nearly 100 rounds of .357 and 9mm ammunition. Also seized in the raid was $12,050 in cash recovered from a safe.
The defendant was previously convicted on three serious offenses including a felony drug offense in 2006, an Attempted Robbery conviction in 1996, and another Attempted Robbery conviction in 1988.
Today’s sentencing is the culmination of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of John B. Devito, Special Agent-in- Charge, New York Field Division; the Erie County Sheriff’s Department, under the direction of Sheriff Timothy Howard; the Buffalo Police Department, under the direction of Commissioner Byron Lockwood; and the West Seneca Police Department, under the direction of Chief Daniel Denz.
Brothers Charged with Dealing MethRead the Press Release
PITTSBURGH - Two residents of Pittsburgh, Pennsylvania, have been indicted by a federal grand jury on charges of violating various federal narcotics laws, United States Attorney Scott W. Brady announced today.
The two-count Indictment, returned on March 20, named brothers Cassidy Barton, 35, and Forrest Barton, 30, as codefendants.
According to the Indictment, Cassidy Barton and Forrest Barton conspired to possess and distribute 500 grams or more of a mixture and substance containing a detectable amount of methamphetamine. The Indictment also charges Cassidy Barton with possessing with the intent to distribute 500 grams or more of a mixture and substance containing a detectable amount of methamphetamine.
The law provides for a maximum total sentence of not less than 10 years and up to life, a fine of $20,000,000, or both for Cassidy Barton and not less than 10 years in and up to life in prison, a fine of $10,000,000, or both for Forrest Barton. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Michael L. Ivory is prosecuting this case on behalf of the government.
The United States Postal Inspection Service, the City of Pittsburgh Police and the Greensburg Police Department conducted the investigation leading to the Indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Beaver Falls Man Admits Taking $600 during Robbery of New Brighton Huntington BankRead the Press Release
PITTSBURGH - A resident of Beaver Falls, Pennsylvania, pleaded guilty in federal court to a charge of bank robbery, United States Attorney Scott W. Brady announced today.
Ernest Dewayne Taylor, 50, pleaded guilty to one count before United States District Judge Joy Flowers Conti.
In connection with the guilty plea, the court was advised that on August 17, 2018, Taylor robbed the Huntington Bank located at 921 3rd Avenue, New Brighton, Pennsylvania. As a result of the robbery, Taylor obtained $600.00 in U.S. currency.
Judge Conti scheduled sentencing for July 17, 2019 at 3:30 p.m. The law provides for a total sentence of not more than 20 years in prison, a fine of not more than $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Robert C. Schupansky is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation and the New Brighton Area Police Department conducted the investigation that led to the prosecution of Ernest Dewayne Taylor.
Baltimore Man Indicted on Federal Charges for Five Bank Robberies, Five Armed Robberies of Liquor Stores, and Related Firearms ChargesRead the Press Release
Baltimore, Maryland – A federal grand jury has indicted Anthony Eugene Wiggins, age 40, of Baltimore, Maryland, for a string of robberies, including five bank robberies and five armed robberies at liquor stores, allegedly committed between September 24, 2018 and November 15, 2018, as well as an attempted robbery on November 15, 2018. The indictment was returned on March 20, 2019. Wiggins’ initial appearance in U.S. District Court in Baltimore has not yet been scheduled and he is currently detained on related state charges.
The indictment was announced by United States Attorney for the District of Maryland Robert K. Hur; Acting Special Agent in Charge Jennifer L. Moore of the Federal Bureau of Investigation, Baltimore Field Office; Commissioner Michael Harrison of the Baltimore Police Department; Chief Terrence B. Sheridan of the Baltimore County Police Department; and Chief Charles Moore of the Bel Air Police Department.
The 16-count indictment alleges that between September 24 and October 18, 2018, Wiggins committed robberies at five separate Maryland banks, including two banks in Baltimore, and one each in White Marsh, Bel Air, and Arbutus.
Further, the indictment alleges that between November 2 and November 15, 2018, Wiggins committed five armed robberies at four liquor stores in Dundalk, Middle River, and Baltimore, Maryland. According to the indictment, Wiggins discharged a firearm in two of those robberies, specifically, a robbery in Dundalk on November 2, 2018 and a robbery in Baltimore on November 13, 2018, and brandished a firearm in the other three robberies. Finally, the indictment alleges that Wiggins attempted to rob a fifth liquor store, located in Dundalk, on November 15, 2018.
If convicted, Wiggins faces a maximum sentence of 20 year in prison on each of five counts of bank robbery and for each of six counts of interference or attempted interference with commerce by violence; and a maximum of life in prison for each of three counts of brandishing a firearm during a crime of violence and for each of two counts of discharging a firearm during a crime of violence.
An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Project Safe Neighborhoods (PSN) is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
United States Attorney Robert K. Hur commended the FBI, the Baltimore Police Department, the Baltimore County Police Department, and the Bel Air Police Department for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorneys Paul A. Riley and Mary W. Setzer, who are prosecuting the case.
# # #
Australian National Sentenced to Prison Term for Exporting Electronics to IranRead the Press Release
An Australian man was sentenced today to 24 months in prison on four counts of violations of the International Emergency Economic Powers Act, which criminalizes knowing transactions with Iranian entities without a license from the U.S. Department of Treasury.
David Russell Levick, 57, of Cherrybrook NSW, Australia, pled guilty to the charges on Feb. 1, 2019, in the U.S. District Court for the District of Columbia. He was sentenced by the Honorable James E. Boasberg. In addition to the prison term, Levick must pay a forfeiture amount of $199,227, which represents the total value of the goods involved in the illegal transactions. Following completion of his prison term, Levick will be subject to deportation proceedings.
The announcement was made by Assistant Attorney General for National Security John C. Demers; U.S. Attorney Jessie K. Liu of the District of Columbia; Acting Special Agent in Charge William Higgins of the Commerce Department’s Office of Export Enforcement Boston Field Office; Assistant Director in Charge Nancy McNamara of the FBI’s Washington Field Office; Special Agent in charge Peter C. Fitzhugh of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI), Boston and Special Agent in Charge Leigh-Alistair Barzey of the Defense Criminal Investigative Service (DCIS), Northeast Field Office.
According to the plea documents, Levick was the general manager of ICM Components, Inc., located in Thornleigh Australia. He solicited purchase orders and business for the goods from a representative of a trading company in Iran. This person in Iran, referenced in court documents as “Iranian A,” also operated and controlled companies in Malaysia that acted as intermediaries for the Iranian trading company.
Levick then placed orders with U.S. companies on behalf of “Iranian A” for the goods, which were aircraft parts and other items that “Iranian A” could not have directly purchased from the United States without the permission of the U.S. government.
The defendant admitted to procuring or attempting to procure the following items for transshipment to Iran, each of which required a license from the Treasury Department prior to any export to Iran:
- Precision Pressure Transducers. These are sensor devices that have a wide variety of applications in the avionics industry, among others, and can be used for altitude measurements, laboratory testing, measuring instrumentations and recording barometric pressure.
- Emergency Floatation System Kits. These kits contained a landing gear, float bags, composite cylinder and a complete electrical installation kit. Such float kits were designed for use on Bell 206 helicopters to assist the helicopter when landing in either water or soft desert terrain.
- Shock Mounted Light Assemblies. These items are packages of lights and mounting equipment designed for high vibration use and which can be used on helicopters and other fixed wing aircraft.
When necessary, Levick used a broker in Tarpon Springs, Florida, through whom orders could be placed for the parts to further conceal the fact that the parts were intended for transshipment to “Iranian A” in Iran. Levick intentionally concealed the ultimate end-use and end-users of the parts from manufacturers, distributors, shippers, and freight forwarders located in the United States and elsewhere. In addition, Levick and others structured their payments between each other for the parts to avoid trade restrictions imposed on Iranian financial institutions by other countries. Levick and ICM wired money to companies located in the United States as payment for the parts.
The activities took place in 2007 and 2008. Levick was indicted in February 2012. At the request of the United States, Australia arrested him for the purposes of extradition, and Australia extradited him to the United States in December 2018. He has remained in custody here.
The investigation was conducted by agents from the FBI’s Washington Field Office, the Department of Commerce’s Bureau of Industry Security and the Boston Office of the Immigration and Customs Enforcement. Assistance was provided by the Justice Department’s Office of International Affairs. The case was prosecuted by Assistant U.S. Attorneys Thomas A. Gillice and Brenda Johnson, and investigated by Assistant U.S. Attorneys Denise Cheung and John Borchert, all of the U.S. Attorney’s Office for the District of Columbia, as well as former Assistant U.S. Attorney Ann Petalas of the U.S. Attorney’s Office for the District of Columbia and Trial Attorney Will Mackie of the National Security Division’s Counterintelligence and Export Control Section.
Australian National Sentenced to Prison Term for Exporting Electronics to IranRead the Press Release
WASHINGTON –An Australian man was sentenced today to 24 months in prison on four counts of violations of the International Emergency Economic Powers Act, which criminalizes knowing transactions with Iranian entities without a license from the U.S. Department of Treasury.
David Russell Levick, 57, of Cherrybrook NSW, Australia, pled guilty to the charges on Feb. 1, 2019, in the U.S. District Court for the District of Columbia. He was sentenced by the Honorable James E. Boasberg. In addition to the prison term, Levick must pay a forfeiture amount of $199,227, which represents the total value of the goods involved in the illegal transactions. Following completion of his prison term, Levick will be subject to deportation proceedings.
The announcement was made by Assistant Attorney General for National Security John C. Demers; U.S. Attorney Jessie K. Liu for the District of Columbia; William Higgins, Acting Special Agent in Charge of the Commerce Department’s Office of Export Enforcement Boston Field Office; Nancy McNamara, Assistant Director in Charge of the FBI’s Washington Field Office; Peter C. Fitzhugh, Special Agent In Charge, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI), Boston, and Leigh-Alistair Barzey, Special Agent in Charge of the Defense Criminal Investigative Service (DCIS), Northeast Field Office.
According to the plea documents, Levick was the general manager of ICM Components, Inc., located in Thornleigh Australia. He solicited purchase orders and business for the goods from a representative of a trading company in Iran. This person in Iran, referenced in court documents as “Iranian A,” also operated and controlled companies in Malaysia that acted as intermediaries for the Iranian trading company.
Levick then placed orders with U.S. companies on behalf of “Iranian A” for the goods, which were aircraft parts and other items that “Iranian A” could not have directly purchased from the United States without the permission of the U.S. government.
The defendant admitted to procuring or attempting to procure the following items for transshipment to Iran, each of which required a license from the Treasury Department prior to any export to Iran:
-Precision Pressure Transducers. These are sensor devices that have a wide variety of applications in the avionics industry, among others, and can be used for altitude measurements, laboratory testing, measuring instrumentations and recording barometric pressure.
-Emergency Floatation System Kits. These kits contained a landing gear, float bags, composite cylinder and a complete electrical installation kit. Such float kits were designed for use on Bell 206 helicopters to assist the helicopter when landing in either water or soft desert terrain.
-Shock Mounted Light Assemblies. These items are packages of lights and mounting equipment designed for high vibration use and which can be used on helicopters and other fixed wing aircraft.
When necessary, Levick used a broker in Tarpon Springs, Florida, through whom orders could be placed for the parts to further conceal the fact that the parts were intended for transshipment to “Iranian A” in Iran. Levick intentionally concealed the ultimate end-use and end-users of the parts from manufacturers, distributors, shippers, and freight forwarders located in the United States and elsewhere. In addition, Levick and others structured their payments between each other for the parts to avoid trade restrictions imposed on Iranian financial institutions by other countries. Levick and ICM wired money to companies located in the United States as payment for the parts.The activities took place in 2007 and 2008. Levick was indicted in February 2012. At the request of the United States, Australia arrested him for the purposes of extradition, and Australia extradited him to the United States in December 2018. He has remained in custody here.
The investigation was conducted by agents from the FBI’s Washington Field Office, the Department of Commerce’s Bureau of Industry Security, and the Boston Office of the Immigration and Customs Enforcement. Assistance was provided by the Defense Criminal Investigative Service and the Justice Department’s Office of International Affairs. The case was prosecuted by Assistant U.S. Attorneys Thomas A. Gillice and Brenda Johnson, and investigated by Assistant U.S. Attorneys Denise Cheung and John Borchert, all of the U.S. Attorney’s Office for the District of Columbia, as well as former Assistant U.S. Attorney Ann Petalas of the U.S. Attorney’s Office for the District of Columbia and Trial Attorney Will Mackie of the National Security Division’s Counterintelligence and Export Control Section.
Armed Career Criminal Sentenced to More Than 12 Years in Prison for Federal Firearm OffenseRead the Press Release
Ocala, Florida – Senior United States District Judge James D. Whittemore today sentenced Willie Iva Jennings (36, Reddick) to 12 years and 7 months in federal prison for possession of a firearm affecting commerce by a previously convicted felon. Jennings previously had entered a guilty plea to the offense on October 22, 2018.
According to the plea agreement, on July 15, 2018, law enforcement discovered Jennings behind the wheel of a recently stolen automobile. While taking Jennings into custody, investigators located a loaded semi-automatic firearm in his pocket and Jennings admitted that the firearm belonged to him.
Jennings’s criminal history contains multiple drug sales and robbery convictions, as well as resisting a police officer with violence. As such, he is prohibited from possessing a firearm or ammunition under federal law. As a result of his extensive prior criminal history, Jennings qualified for enhanced sentencing as an Armed Career Criminal.
This case was jointly investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Ocala Police Department, and the Marion County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Robert E. Bodnar, Jr.
This is another case prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide, crime reduction strategy aimed at decreasing violent crime in communities. It involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts. In the Middle District of Florida, U.S. Attorney Maria Chapa Lopez coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.
Anchorage Felon Sentenced to Eight Years in Federal Prison for Illegal Possession of FirearmRead the Press Release
Anchorage, Alaska – U.S. Attorney Bryan Schroder announced that Shane Corey Muse, 29, of Anchorage, was sentenced yesterday by Chief U.S. District Judge Timothy M. Burgess to serve eight years in federal prison, followed by three years of supervised release. In August 2018, Muse pleaded guilty to a one-count indictment charging him with being felon in possession of a firearm.
According to court documents, in June 2018, Muse was on release pending felony trial for multiple state charges. These charges included an October 2017 incident in which Muse allegedly rammed a police vehicle with a stolen Escalade and a later alleged attempt to cash a stolen $5,000 check. In addition, in June 2018, Muse was on pretrial release for theft and weapons charges resulting from March 2018, when he allegedly drove another stolen vehicle aggressively toward police, who found a loaded stolen gun in the vehicle Muse and a passenger occupied.
Precisely because Muse was on state pretrial release, on June 9, 2018, Alaska Pretrial Enforcement Division (PED) officers arrived at Muse’s residence and found that he was not in compliance with his conditions of release. The PED officers attempted to arrest Muse but he resisted, causing the officers to call for APD backup. During the struggle to arrest and restrain Muse, Muse repeatedly moved his hands to his waistline and attempted to reach into his front pocket, causing the PED officers to fear that Muse might have a gun in his pocket.
When Muse was finally subdued, a PED officer removed a loaded and stolen Smith & Wesson 9mm handgun from the same pocket toward which Muse had previously been reaching. Muse has four Second Degree robbery convictions in the state of Hawaii and was therefore prohibited from possessing a firearm.
At the sentencing hearing, Judge Burgess noted that the most important sentencing factor in this case was protecting the public from potential further crimes by Muse. Judge Burgess expressed grave concern that Muse was “going for his pocket in which he ha[d] a loaded gun,” and that he put both the officers and himself at risk. Summing up, the district court judge noted: “It doesn’t get any more dangerous than that.”
In sentencing Muse, the court also took into account his criminal history, which entailed robberies at ages 18 and 19, and resulted in additional pending state charges. Muse’s history, the court noted, suggests “an escalation and continuation of a path of criminality that [Muse] is up to his eyeballs in.”
The Alaska Pretrial Enforcement Division, Anchorage Police Department (APD), and the Federal Bureau of Investigation (FBI) conducted the investigation leading to the successful prosecution of this case. This case was prosecuted by Assistant U.S. Attorney Kimberly Sayers-Fay.
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.
Amherst Man Sentenced for Wire Fraud and Money Laundering in Scheme That Bilked Three Victims Out of More Than $800,000Read 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 Raymond Clark, 42, of East Amherst, NY, who was convicted of wire fraud and money laundering, was sentenced to serve 27 months in prison by Chief U.S. District Judge Frank P. Geraci.
Assistant U.S. Attorney Elizabeth R. Moellering, who handled the case, stated that Clark induced three victims to send him $870,000 for supposed investments, including investments in hedge funds and publicly traded companies. Instead of investing the monies as promised, the defendant kept the money and spent it on personal expenses to fund his lavish lifestyle including payments to his country club and expensive vacations. As part of the plea agreement, Clark will pay full restitution to the victims.
Today’s sentencing is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Gary Loeffert, and the Internal Revenue Service, Criminal Investigation Division, under the direction of Jonathan D. Larsen, Acting Special Agent-in-Charge, New York Field Office.
# # # #
Amherst Man Sentenced for Filing False Tax ReturnsRead 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 Maxim Levin, 41, of Amherst, NY, who was convicted of filing a false tax return, was sentenced to serve 21 months in prison by Chief U.S. District Judge Frank P. Geraci, Jr. The defendant was also ordered to pay restitution totaling $161,606.
Assistant U.S. Attorney Wei Xiang, who handled the case, stated that from 2012 to 2015, the defendant operated Glebova Realty Group LLC, which purchased, renovated and sold real estate throughout the Buffalo, NY area. During those years, Levin filed federal income tax returns but failed accurately to report the gross receipts that he earned from his real estate business to the Internal Revenue Service and failed to pay taxes on such income. Specifically, Levin caused over $3,100,000 of gross receipts, derived from his real estate business, to be excluded from his income tax returns, resulting in a tax loss of $161,606.
Today’s sentencing is the result of an investigation by the Internal Revenue Service, Criminal Investigation Division, under the direction of Jonathan D. Larsen, Acting Special Agent-in-Charge, New York Field Office, and the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Gary Loeffert.
# # # #
Abbeville man sentenced to 14 months in prison for lying on firearm purchasing form at pawnshopRead the Press Release
ALEXANDRIA, La. – United States Attorney David C. Joseph announced that Gene Williams III, 22, of Abbeville, Louisiana, was sentenced Monday by U.S. District Judge Dee. D. Drell to 14 months in prison for lying on a firearms application. Williams was also sentenced to three years of supervised release to follow imprisonment.
Williams lied on an ATF Form 4473 on February 26, 2018 in order to purchase a Taurus, Model 740, Slim .40-caliber semi-automatic pistol at a pawnshop in Abbeville, Louisiana. Williams stated on the form that he had no felony charges pending against him when, in fact, at the time he had been charged in the 15th Judicial District Court of Louisiana with a variety of felony offenses, including drug possession, weapon possession, aggravated assault, and racketeering. Williams pleaded guilty in federal court on December 13, 2018 for the false statement he made on the ATF Form 4473.
This case was brought as part of Project Safe Neighborhoods (PSN). Project Safe Neighborhoods is the centerpiece of the Department of Justice’s violent crime reduction efforts. Project Safe Neighborhoods 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 ATF conducted the investigation. Assistant U.S. Attorney Dominic Rossetti prosecuted the case.
20 March 2019
Yulee Man Pleads Guilty to Federal Firearms OffenseRead the Press Release
Jacksonville, Florida – Shawn Andrew Wilson (44, Yulee), a/k/a “Red Dog,” has pleaded guilty to possessing a firearm after having been convicted of a felony offense. Wilson faces a maximum penalty of 10 years in federal prison. A sentencing date has not yet been set.
According to the plea agreement, on January 27, 2018, a 911-caller reported to the police that Wilson was at a trailer home in Yulee, Florida, and had fired what sounded like a pistol. Responding police officers arrested Wilson, and, with the consent of a resident of the home, entered and recovered a loaded pistol in a bedroom. Following his arrest, Wilson explained to an officer that he had shot a gun from the doorway of the home, but that he was not trying to hit the 911-caller. Wilson has at least three prior felony convictions, and as such, is prohibited from possessing firearms or ammunition under federal law.
This case was investigated by the Nassau County Sheriff’s Office, the FBI, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. It is being prosecuted by Assistant United States Attorney Michael J. Coolican.
This is another case prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide, crime reduction strategy aimed at decreasing violent crime in communities. It involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts. In the Middle District of Florida, U.S. Attorney Maria Chapa Lopez coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.
Witness to Shooting Who Lied to Grand Jury Sentenced to Two Years’ Federal PrisonRead the Press Release
A woman who lied to a federal grand jury about a shooting in Waterloo was sentenced today to two years in federal prison.
Karla Myles, age 51, from Waterloo, Iowa, received the prison term after an August 8, 2018, guilty plea to false declarations before the grand jury.
Evidence during the case established that Myles was present at a residence in Waterloo when Eric Sallis shot a juvenile. Myles was subpoenaed to appear before a federal grand jury to testify about the shooting. Sallis, a felon, was under investigation for illegally possessing the firearm used in the shooting. During grand jury, Myles lied and claimed to have no knowledge about the shooting.
Myles was sentenced in Cedar Rapids by United States District Court Judge John A. Jarvey. Myles was sentenced to 24 months’ imprisonment. She must also serve a two-year term of supervised release after the prison term. There is no parole in the federal system.
At the sentencing Judge Jarvey noted that Myles told “blatant lies under oath” and that such conduct “strikes at the integrity of the grand jury to investigate and ferret out crime.”
Myles is being held in the United States Marshal’s custody until she can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Lisa C. Williams and investigated by a Federal Task Force composed of the Waterloo Police Department, Federal Bureau of Investigation, and Bureau of Alcohol Tobacco and Firearms assisted by the Black Hawk County Sheriff’s Office and Cedar Falls Police Department.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 18-CR-2020.
Follow us on Twitter @USAO_NDIA.
Washington Man Sentenced to 15 years for Distribution of Methamphetamine and Possession of Firearms by a Convicted FelonRead the Press Release
BISMARCK – United States Attorney Christopher C. Myers announced that on March 18, 2019, Chief Judge Daniel L. Hovland, United States District Court, sentenced David Saul Salazar, age 49, Packwood, WA, on charges of Conspiracy to Distribute and Possess with Intent to Distribute Methamphetamine and Possession of Firearms by a Convicted Felon. Judge Hovland sentenced Salazar to serve 15 years in federal prison, to be followed by five years supervised release.
This investigation was initiated when Berthold Police Chief stopped a vehicle traveling from Washington State to Minot, ND, and located approximately ten pounds of methamphetamine and multiple firearms. Salazar was a passenger in the vehicle along with Gregorio Capetillo and Luis Parra Magana. Additional investigation by the Ward County Narcotics Task Force, DEA, HSI, and ATF revealed prior multi-pound methamphetamine trips by the same organization. Salazar was an admitted member of the Surenos gang, which is affiliated with the Mexican Mafia. Judge Hovland previously sentenced Parra Magana and Capetillo to 41 months and 10 years respectively.
This case was investigated by the Berthold Police Department, Ward County Narcotics Task Force, Drug Enforcement Administration, Homeland Security Investigations, and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Assistant United States Attorney Jeremy A. Ensrud prosecuted the case.
####
United States Settles Suit Against Three Responsible Parties for the Release of Mercury in the Village of Rye BrookRead the Press Release
Robert S. Khuzami, Attorney for the United States, acting under authority conferred by 28 U.S.C. § 515, and Peter D. Lopez, Regional Administrator of the U.S. Environmental Protection Agency (“EPA”), announced today that the United States has filed and simultaneously entered into a consent decree settling a civil lawsuit against COLUMBIA GAS TRANSMISSION LLC (“Columbia”), HENRY SCHEIN, INC. (“Schein”), and UNION CARBIDE CORPORATION (“UCC”) (collectively, the “Defendants”). The lawsuit, brought pursuant to the Comprehensive Environmental Response, Compensation, and Liability Act (“CERCLA”) – commonly known as the Superfund statute – seeks to collect clean-up costs that EPA has incurred since April 2004 in connection with its clean-up of mercury at the Port Refinery Superfund Site (the “Site”) in the Village of Rye Brook in Westchester County, New York. The consent decree, which will be lodged with the District Court for a period of at least 30 days before it is submitted for the Court’s approval, provides for a combined payment of $179,647 by the Defendants.
Attorney for the United States Robert Khuzami said: “Polluters must pay for the costs they have imposed on the community. Each of these defendants arranged for the treatment or disposal of toxic mercury and contributed to significant contamination in a residential community. Each is now paying a share of the costs.”
Regional Administrator Peter D. Lopez said: “It is crucial for companies to take all necessary steps to limit people’s potential exposure to mercury. Exposure to mercury can harm the heart, kidneys, lungs, immune system and have other health impacts. EPA completed a successful cleanup in Rye Brook, held the parties accountable and continues to remain vigilant to ensure that the public is protected from unsafe releases of mercury.”
As alleged in the complaint filed today in White Plains federal court, each of these defendants arranged for the sale and transport of used or scrap mercury, or mercury-containing products, directly or indirectly to Port Refinery, Inc. (“Port Refinery”). Port Refinery operated a mercury refining business out of a residence in Rye Brook, New York. Port Refinery’s treatment and processing of the scrap mercury sent by the Defendants and other parties led to extensive releases of mercury, a hazardous substance, requiring two separate clean-up actions (“removals”) by EPA. In connection with the second removal, which began in 2004, EPA has incurred costs at the site for a variety of investigative and clean-up activities, including, among other things, excavating and disposing of more than 9,300 tons of mercury-contaminated soil from the Site.
In the consent decree filed today, the Defendants admit and accept responsibility for the following:
- EPA has determined that from the 1970s through the early 1990s, Port Refinery engaged in, among other things, the business of mercury reclaiming, refining, and processing.
- Port Refinery operated in the Village of Rye Brook, Westchester County, New York, out of a two-story garage bordered by private residences on its south, east, and west sides.
- EPA has determined that Port Refinery took virtually no environmental precautions or safety measures during its mercury refinement process.
- EPA has determined that Port Refinery released a significant amount of mercury into the environment, contaminating the Site.
- EPA has determined that the Defendants’ mercury was comingled at the Site and contributed to the mercury released into the environment at the Site.
Pursuant to the consent decree, the Defendants will pay a total of $179,647 in costs incurred by EPA, consisting of $120,198 to be paid by UCC, $54,845 to be paid by Columbia, and $4,604 to be paid by Schein.
* * *
Today’s lawsuit is the United States’ fourth lawsuit against responsible parties to recover clean-up costs for the second removal at the Port Refinery site. Prior to today’s settlement, the United States had recovered $647,582 from other responsible parties. The United States is continuing to pursue its claims against additional potentially responsible parties.
The consent decree will be lodged with the District Court for a period of at least 30 days before it is submitted for the Court’s approval, to provide public notice and to afford members of the public the opportunity to comment on the consent decree.
This case is being handled by the Office’s Environmental Protection Unit. Assistant U.S. Attorneys Anthony J. Sun and Natasha W. Teleanu are in charge of the case.
U.S. Attorney Settles Suit Against Meat Market for Violations of the Poultry Products Inspection ActRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, and Carmen Rottenberg, Administrator of the U.S. Department of Agriculture’s (“USDA”) Food Safety and Inspection Service (“FSIS”), announced today the entry of a Consent Decree against defendants GEORGE MEAT MARKET, INC. (“GEORGE MEAT MARKET”), KWOK SIN NG, president of GEORGE MEAT MARKET, and ALICE YAN FUNG NG, vice president of GEORGE MEAT MARKET (collectively, “the defendants”), along with settling parties BEN MEAT MARKET, INC. (“BEN MEAT MARKET”), and its incorporator, BENSON NG, for violations of the federal Poultry Products Inspection Act and related regulations at their Manhattan meat market.
U.S. Attorney Geoffrey S. Berman stated: “If it walks like a duck and quacks like a duck, it has to be USDA-inspected like a duck. By disregarding regulations designed to ensure that food remains wholesome and unadulterated on its way to being consumed, the owners and operators of George Meat Market and Ben Meat Market put people at risk. Today’s consent decree ensures that they will comply with the law and consumers can have confidence in the safety of the food they buy.”
USDA Food Safety and Inspection Service Administrator Carmen Rottenberg said: “The defendants repeatedly violated food safety laws and put consumers at risk for foodborne illnesses. The United States enjoys the safest food supply in the world and we will hold the individuals accountable for their actions.”
According to the Complaint filed in Manhattan federal court:
The Poultry Products Inspection Act (PPIA) protects the public health by imposing a set of inspections, labeling, and packaging requirements for poultry. These inspection, labeling, and packaging requirements allow consumers to have confidence in the safety of their poultry products and permit public health officials to trace problems to their source.
Since 2009, the defendants repeatedly violated federal law by selling uninspected and misbranded roast ducks from their facility at 288 Grand Street, New York, New York – then operating under the name GEORGE MEAT MARKET – to wholesalers and retailers in New York City. Although USDA inspectors repeatedly found the defendants in violation, issuing multiple notices of warning and a notice of alleged violation between 2009 and 2017, the defendants continued to violate the law.
In July 2018, the U.S. Attorney’s Office notified the defendants of the government’s intent to file suit to enjoin them from continuing to violate the PPIA. In response, the defendants claimed that GEORGE MEAT MARKET would cease operations at the end of that month. However, a USDA inspector visited the market at the end of July 2018 and found no indication that the market was closing. The U.S. Attorney’s Office then filed this suit.
In the Consent Decree entered today, the defendants and settling parties admit, acknowledge, and accept responsibility for the following:
- Defendants GEORGE MEAT MARKET, KWOK SIN NG, and ALICE YAN FUNG NG have repeatedly sold non-federally inspected and misbranded whole roast duck and other poultry products to retailers for resale, in violation of federal law.
- GEORGE MEAT MARKET, KWOK SIN NG, and ALICE YAN FUNG NG have also failed to keep records that fully and correctly disclose all business transactions respecting such poultry products.
- By letter dated July 16, 2018, the United States notified the defendants of its intent to file suit under the PPIA.
- On July 24, 2018, BENSON NG incorporated BEN MEAT MARKET, a New York corporation with the same address as GEORGE MEAT MARKET, 288 Grand Street, New York, New York.
- In August 2018, the defendants purported to transfer business operations to Ben Meat Market.
- Defendants KWOK SIN NG and ALICE YAN FUNG NG, and settling party BENSON NG, continued to operate the business under the name BEN MEAT MARKET from August 2018 through the entry of this Consent Decree.
Pursuant to the Consent Decree, GEORGE MEAT MARKET, KWOK SIN NG, ALICE YAN FUNG NG, BEN MEAT MARKET, and BENSON NG are enjoined from (1) selling or transporting any poultry products required to be inspected and passed by USDA’s Food Safety and Inspection Service that have not been inspected and passed by USDA inspectors; (2) preparing or processing poultry and poultry products in unsanitary conditions; (3) not keeping records that fully disclose transactions involving poultry products; and (4) engaging in any other conduct that would violate the PPIA and related regulations. The settling parties have also agreed to complete mandatory training in relevant federal law and regulations and agreed to certain conditions on transferring ownership of the meat market. The settling parties are subject to additional actions, including civil monetary penalties, termination of exempt status, contempt sanctions, and other relief, if they violate the provisions of the Consent Decree.
Mr. Berman thanked the USDA for its assistance leading to the Complaint.
This case is being handled by the Office’s Environmental Protection Unit, as part of its Food Safety Initiative. Assistant United States Attorney Samuel Dolinger is in charge of the case.
U.S. Attorney Announces Fraud and Money Laundering Charges Against AccountantRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, J. Russell George, U.S. Treasury Inspector General for Tax Administration, Office of Investigations (“TIGTA”), and Brian M. Hickey, Director, New York State Department of Taxation and Finance, Office of Internal Affairs (“NYSDTF”), announced today the arrest of defendant SALVATORE ARENA, who is charged with defrauding clients who trusted him to prepare and pay their taxes, and with misappropriating at least $600,000 of those clients’ funds for his own use.
U.S. Attorney Geoffrey S. Berman said: “The ability of our government to maintain functions and provide necessary services relies heavily on tax revenue from ordinary Americans. Self-reporting of taxes relies on the honesty of both taxpayers and tax professionals alike. When individuals attempt to pervert the system for their own benefit – as we allege Salvatore Arena has done – law enforcement will be there to bring them to justice.”
TIGTA Treasury Inspector General J. Russell George said: “TIGTA investigates allegations of wrongdoing by tax preparers that impedes tax administration and victimizes their clients. Today’s arrest sends a clear message that TIGTA will work with its law enforcement partners to aggressively investigate and prosecute perpetrators that exploit the tax system to victimize others.”
NYSDTF Director Brian M. Hickey said: “When tax preparers blatantly betray the trust of their clients for personal gain it casts a shadow over an entire industry and can deprive communities of revenue for vital services. We will continue to work with our partners in law enforcement to pursue unscrupulous preparers and hold them accountable for their crimes.”
As alleged in the Complaint unsealed today in Manhattan federal court[1]:
During the relevant time period, defendant SALVATORE ARENA purported to offer tax services, including the preparation and payment of taxes, to clients of an accounting firm in Manhattan. As alleged in the Complaint, instead of making payments on behalf of those clients, as ARENA represented he would, he diverted client funds for his own use. As alleged, ARENA executed this fraudulent scheme in two primary ways – first, by diverting pre-payments of taxes to his own tax account and later claiming illegitimate refunds; and second, by misappropriating tax payments clients had wired into a bank account controlled by ARENA.
ARENA defrauded multiple victims of at least $600,000 during the period from January 2014 through March 2019.
* * *
ARENA, 46, of Queens, New York, is charged with one count each of mail fraud, money laundering, and wire fraud, each of which carries a maximum sentence of 20 years in prison, and one count of aggravated identity theft, which carries a mandatory sentence of two years in prison. The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Mr. Berman praised the outstanding investigative work of Special Agents from the U.S. Attorney’s Office for the Southern District of New York, Special Agents from TIGTA, and Criminal Investigators from the NYSDTF.
The prosecution of this case is being handled by the Office’s General Crimes Unit. Assistant United States Attorney Jarrod L. Schaeffer is in charge of the prosecution.
The charges contained in the Complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth below constitute only allegations, and every fact described should be treated as an allegation.
Two More Members of Deadly Elmira Opioid Trafficking Organization Sentenced to PrisonRead 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 Jesus Rivera, 26, of Elmira, NY, who was convicted of conspiracy to possess with intent to distribute, and to distribute, 10 grams or more of a fentanyl analogue, was sentenced to serve 108 months in federal prison by Chief U.S. District Judge Frank P. Geraci, Jr. In addition, Judge Geraci sentenced Scott K. Fairbanks, 29, of Randolph, NY, who was convicted of conspiracy to possess with intent to distribute, and to distribute, 100 grams or more of a fentanyl analogue, to serve 90 months in federal prison.
Assistant U.S. Attorney Brett A. Harvey, who handled the case, stated that Rivera and Fairbanks were mid-level distributors in a large-scale opioid manufacturing and trafficking organization in the Southern Tier of New York and northern Pennsylvania between 2015 and May 2017. As part of the conspiracy, the leaders of the organization, Robert Ian Thatcher and Maximillian Sams, imported bulk quantities of furanyl fentanyl, acetyl fentanyl, and U-47700 from overseas suppliers in China. They ordered the drugs on what is known as “the dark web,” and used different people and addresses in New York and Pennsylvania to receive the shipments. Rivera arranged for some of his friends and associates to receive packages of controlled substances from overseas on behalf of Thatcher and Sams. Thatcher and Sams purchased equipment and materials – including pill presses/mechanical tableting machines, microcrystalline cellulose, lactose magnesium stearate, and powdered food coloring – which they used to manufacture tens of thousands blue pills containing furanyl fentanyl, acetyl fentanyl and U-47700. The pills were made to look like legitimate 15 milligram and 30 milligram Percocet pills.
At least two individuals – a 21 year old female, and a 25 year-old male – died after ingesting the blue pills containing furanyl fentanyl and U-47700. In addition, at least one individual overdosed on more than one occasion after using the blue pills manufactured and distributed by the organization, but survived after being treated by first responders with Narcan.
Thatcher and Sams used residences at 604 South Lehigh Avenue in Sayre, Pennsylvania, and 665 Sawdey Road in Catlin, NY, to manufacture and process the pills for distribution. During the execution of a search warrant at the Sayre location on May 16, 2017, law enforcement agents recovered, among other things, 244 blue pills containing furanyl fentanyl, four long guns and ammunition. In addition, during the execution of a search warrant at the Catlin location on May 18, 2017, law enforcement agents recovered, among other things, materials used by Thatcher and Sams to manufacture the pills for distribution. During the conspiracy, Thatcher also possessed several firearms at the Pennsylvania location and his residence in Elmira.
After manufacturing the pills, Thatcher and Sams would distribute them in large quantities to other co-conspirators – including Jesus Rivera, Anthony Prettyman, Terrance Washington, and Dwayne Banks, a/k/a Fizzle, a/k/a Fizz – who would then distribute the pills to various street-level customers in the Elmira area. Fairbanks obtained his supply of pills from Washington, and would further distribute the pills to street-level customers. Sams also supplied pills to an individual in the Charlotte, North Carolina area. As part of the conspiracy, Sams used co-conspirator Anthony Prettyman to transport 5,330 blue pills containing furanyl fentanyl from Elmira to North Carolina in October 2016. On October 25, 2016, in North Carolina, deputies with the Iredell County (NC) Sheriff’s Office conducted a traffic stop of the vehicle in which Prettyman was traveling. During a subsequent search, the deputies recovered and seized a paint can with a false bottom containing the 5,330 blue pills from inside Prettyman’s vehicle.
In early 2017, Thatcher arranged for a package of furanyl fentanyl, that he ordered over the dark web, to be sent to co-conspirator Carlito Rios, Jr. On March 13, 2017, Customs and Border Protection officers at the John F. Kennedy International Airport Mail Branch in Queens, NY, examined a United States Postal Service package addressed to co-conspirator Rios at 1015 Oak Street in Elmira. The sender was listed as an entity in China. Upon inspection, the package was found to contain approximately 249 grams of furanyl fentanyl. Sams and Thatcher intended to use the seized furanyl fentanyl to manufacture and distribute additional quantities of the blue pills.
To date, 16 members and associates of the opioid manufacturing and trafficking operation have been convicted of federal narcotics offenses, and with today’s sentencing a total of 13 defendants have been sentenced: Thatcher was sentenced to serve 23 years in federal prison; Sams was sentenced to 210 months in federal prison; Prettyman was sentenced to 125 months in federal prison; Banks was sentenced to 108 months in federal prison; Thatcher’s girlfriend, Amber Bates, who was convicted of money laundering conspiracy, was sentenced to five years probation to include six months of home detention; Robert J. Elford was sentenced to 121 months in federal prison; Edward Barrett was sentenced to 90 months in federal prison; Dusty Pemberton was sentenced to 70 months in federal prison; Deven Hill was sentenced to 37 months in federal prison; Chad Smith was sentenced to 22 months in federal prison; and Isaiah McLaurin, who was convicted of witness tampering after threatening an individual working with the Drug Enforcement Administration on Facebook, was sentenced to serve 57 months in federal prison.
Today’s sentencings are the result of an investigation by the Drug Enforcement Administration, Rochester Resident Office and Scranton PA Resident Office, under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division; the New York State Police, Community Narcotics Enforcement Team Southern Tier, under the direction of Major Mary Clark and Lieutenant Kevin P. Sucher; the Elmira Police Department, under the direction of Chief Joseph Kane; Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly; the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Special Agent-in-Charge John B. Devito, New York Field Division; the Pennsylvania State Police, under the direction of Acting Commissioner Lieutenant Colonel Robert Evanchick; the Chemung County Sheriff’s Office, under the direction of Acting Sheriff William A. Schrom; the Iredell, NC County Sheriff’s Office, under the direction of Darren E. Campbell, and Customs and Border Protection Air and Marine Unit, under the direction of Director Brian Manaher. Additional assistance was provided by the Northeast Regional Laboratory.
# # # #
Two Kilos of Fentanyl Seized, Providence Man DetainedRead the Press Release
PROVIDENCE – A Providence man has been ordered detained in federal custody after a DEA Organized Crime Drug Enforcement Task Force investigation resulted in the seizure of more than two kilograms of fentanyl and approximately 400 grams of heroin.
Josimar Delacruz-Reyes, 31, was arrested Monday evening in Providence shortly after he allegedly delivered two kilograms of fentanyl and approximately 400 grams of heroin. The delivery was electronically monitored by members of the DEA Organized Crime Drug Enforcement Task Force.
Delacruz-Reyes is charged by way of a federal criminal complaint with possession with intent to distribute 400 grams or more of fentanyl and possession with intent to distribute 100 grams or more of heroin, announced United States Attorney Aaron L. Weisman and Special Agent in Charge of the Drug Enforcement Administration’s New England Field Division Brian D. Boyle.
According to information presented to the Court during Delacruz-Reyes’ initial appearance before U.S. District Court Magistrate Judge Patricia A. Sullivan on Tuesday, it is alleged that during mid and late February, DEA Task Force officers electronically monitored Delacruz-Reyes multiple times as he allegedly made deliveries totaling more than 100 grams of fentanyl.
On Monday, DEA Task Force members electronically monitored Delacruz-Reyes as he allegedly delivered two kilograms of fentanyl and approximately 400 grams of heroin for an agreed upon price of $115,000. Delacruz-Reyes was arrested shortly after the alleged delivery, when he traveled to a nearby coffee shop where he was allegedly expecting to receive a cash payment for the drugs.
Shortly after the arrest of Delacruz-Reyes, a court-authorized search of his Providence residence resulted in the seizure of approximately a kilogram and a half of a white powdery substance which is undergoing testing at a Drug Enforcement Administration lab to determine its composition, approximately $2,000 in cash, and assorted items used in the preparation, packaging and distribution of fentanyl and heroin.
A federal criminal complaint is merely an allegation 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.
The case is being prosecuted by Assistant U.S. Attorney Paul F. Daly, Jr.
The matter was investigated by the Boston-based DEA Organized Crime Drug Enforcement Task Force, with substantial assistance from law enforcement agents and officers assigned to the Rhode Island Drug Enforcement Administration Task Force and the Providence Police Department Narcotics and Organized Crime Bureau.
The Rhode Island DEA Drug Task Force is comprised of law enforcement personnel from the DEA, Rhode Island State Police, and East Providence, Central Falls, Coventry, Cranston, Newport, North Kingstown, Pawtucket, Providence, South Kingstown, Warwick, West Warwick and Woonsocket Police Departments.
###
Two Charged Following Arrest in Merrillville, IndianaRead the Press Release
HAMMOND- Reilly Jackson, Jr, 23, of Griffith, Indiana was charged in a criminal complaint with conspiracy to commit robbery affecting commerce following his arrest on March 18, 2019, in Merrillville, Indiana, announced U.S. Attorney Kirsch. In addition, Delvin Perkins, 23, of South Holland, Illinois was charged in a criminal complaint with being a felon in possession of a firearm following his arrest on the same day.
U.S. Attorney Kirsch said, “Prosecuting and reducing violent crime are top priorities of my office. This case demonstrates how effective proactive police work can be to reducing violent crime. I commend the FBI and other law enforcement agencies involved in this case.”
The criminal complaint against Jackson alleges that, on March 18, 2019, in Merrillville, Indiana, an investigation led law enforcement to make a traffic stop on a vehicle he was driving after law enforcement, in addition to other information received, observed the vehicle following a Brinks armored truck as it made multiple stops to collect money from banks and businesses. Additional investigation led Jackson to be charged with conspiracy to commit robbery affecting commerce of the armored Brinks truck.
The criminal complaint against Perkins alleges that, as a passenger in the vehicle driven by Jackson, he possessed two firearms recovered from the vehicle. With a prior felony conviction, Perkins was charged in a criminal complaint with being a felon in possession of firearms.
The United States Attorney’s Office emphasizes that a criminal complaint is merely an allegation and that all persons are presumed innocent until, and unless proven guilty in court.
If convicted, any specific sentence to be imposed will be determined by the judge after a consideration of federal sentencing statutes and the Federal Sentencing Guidelines.
These cases are being investigated by the Federal Bureau of Investigation. These cases are being prosecuted by Assistant United States Attorney Thomas M. McGrath.
###
Texas Man Indicted on Charges of Kidnapping Two Children and Other OffensesRead the Press Release
A federal grand jury returned a superseding indictment today charging a Texas man with two counts of kidnapping a minor, one count of coercion and enticement of a minor into illegal sexual activity and one count of cyberstalking.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney Erin Nealy Cox of the Northern District of Texas and Acting Special Agent in Charge Michael Schneider of the FBI’s Dallas Field Office made the announcement.
According to the indictment, on Dec. 24, 2018, Rene Gloria, 57, of Muleshoe, Texas allegedly kidnapped two minors to whom he was not related. In addition, Gloria allegedly used a cellular phone to attempt to coerce and entice a third minor victim into illegal sexual activity. He also allegedly used a cellular phone to cause substantial emotional distress to an adult victim.
The case is being investigated by the FBI with the assistance of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the Muleshoe Police Department, the Bailey County Sheriff’s Office, the Plainview Police Department and the Hale County Sheriff’s Office. Trial Attorney Kyle P. Reynolds of the Criminal Division’s Child Exploitation and Obscenity Section (CEOS) and Assistant U.S. Attorney Russell Lorfing of the Northern District of Texas are prosecuting the case.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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 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.
Stateless National of the Palestinian Authority Charged with Visa FraudRead the Press Release
BOSTON – A stateless national was charged today in federal court in Boston with fraudulent procurement of a U.S. visa and making false statements regarding acts of violence he committed against the Israeli Defense Force (IDF) along the Gaza-Israel border.
Waad Alzerei, 19, a stateless national of the Palestinian Authority, was charged with visa fraud and making materially false statements. He is currently in ICE custody and will appear U.S. District Court in Boston this afternoon.
According to the charging documents, on Feb. 27, 2019, Alzerei arrived at Boston’s Logan International Airport on flight from Paris, France, which originated in Cairo, Egypt. Shortly thereafter, two Customs and Border Patrol (CBP) officers interviewed Alzerei to determine whether he met the admissibility requirements to enter the United States. Alzerei identified himself as a Palestinian citizen and presented a tourist visa.
He claimed that he was coming to the United States in order to receive medical treatment, but was unable to produce any medical documentation to verify the claim and, instead, presented medical paperwork from 2018. The CBP officers determined that Alzerei had traveled to the United States in 2017 for a six-month stay. Alzerei, who had his leg amputated above the knee, was fitted for and provided with a prosthetic leg at the time.
During a subsequent interview, Alzerei allegedly told CBP officers that he lost his leg on Oct. 23, 2015, when he was shot by a stray bullet from the IDF while picking olives in a field near the Gaza-Israel border. Alzerei stated that, at the time he was shot, there were no protests going on and he was not involved in any type of riot, rally, or demonstration. The CBP officers asked Alzerei if he had ever been “involved in any border riots, rallies, or demonstrations” in his life, and Alzerei responded, “No.”
The CBP officers then conducted a search of Alzerei’s cell phone and found numerous images and videos demonstrating that Alzerei had a possible affiliation with members of Popular Front for the Liberation of Palestine (PFLP) and Hamas, both of which have been designated by the U.S. Government as Foreign Terrorist Organizations (FTOs) since 1997. CBP officers allegedly found photographs that were taken of Alzerei hurling large rocks at the IDF on Oct. 23, 2015, the day he was shot in the leg near the Gaza-Israel border.
After reviewing the images and videos on Alzerei’s phone, CBP officers conducted another interview with Alzerei, where he admitted that the images depicted him on Oct. 23, 2015—hours before he was shot—slinging rocks at Israeli troops near the Gaza-Israel border. Alzerei allegedly said that he lied on his visa application and to the U.S. Consulate about the circumstances surrounding his injured leg in order to obtain a tourist visa. Alzerei told the CBP officers that he lied because he did not want to get arrested by the Israelis, and also because he knew he would not get a U.S. visa if he told the truth about his activities on Oct. 23, 2015.
The charge of visa fraud provides for a sentence of no greater than 10 years in prison, three years of supervised release, and a fine of $250,000. The charge of making false statements provides for a sentence of no greater than five years in prison, three years of supervised release, and a fine of $250,000. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew Lelling; William Ferrara, Director of Field Operations, U.S. Customs and Border Protection; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Peter C. Fitzhugh, Special Agent in Charge of Homeland Security Investigations, Boston Field Office made the announcement today. The investigation was conducted by the FBI Boston’s Joint Terrorism Task Force with assistance from U.S. Customs and Border Protection. Assistant U.S. Attorneys B. Stephanie Siegmann and Jason Casey of Lelling’s National Security Unit are prosecuting the case.
The details contained in the charging document are allegations. The defendant is presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Spokane Dentist Pleads Guilty to Distributing OpioidsRead the Press Release
Spokane – Joseph H. Harrington, United States Attorney for the Eastern District of Washington, announced today that Dr. James Stein-Sheridan Shelby, age 50, of Spokane, Washington, pled guilty to conspiring with Timothy James Felch, age 36, of Spokane, Washington, to distribute opioid pain medications, hydrocodone and tramadol, without a legitimate medical purpose and outside the usual course of professional practice. Dr. Shelby also pleaded guilty to three separate counts of distributing hydrocodone without a legitimate medical purpose and outside the usual course of professional practice. Dr. Shelby faces maximum terms of imprisonment of twenty years on each charge. United States District Judge Rosanna Malouf Peterson accepted Shelby’s guilty pleas and scheduled a sentencing hearing for May 15, 2019, at 9:45 a.m. in Spokane, Washington. Shelby’s co-defendant, Felch, entered a plea of guilty to the conspiracy charge in October 2018, and his sentencing hearing is on April 24, 2019, at 11:00 a.m.
According to court documents and information disclosed during the court proceedings, the U.S. Drug Enforcement Administration (DEA), Tactical Diversion Squad, and U.S. Department of Health & Human Services (HHS), Office of the Inspector General (OIG), initiated a criminal investigation of Dr. Shelby, a dentist, after receiving information that he was distributing hydrocodone and tramadol, without a legitimate medical purpose and outside the usual course of professional practice to an individual identified as M.B. In April 2018, DEA and HHS OIG executed a warrant to search Shelby’s clinic, Indian Trail Dental Care. When interviewed by federal agents, Shelby immediately indicated he knew DEA agents were at his clinic because of his prescribing to M.B. Shelby stated he initially performed extensive dental work on M.B. and prescribed her hydrocodone when she complained of pain in the lower left side of her jaw with a lump. Shelby stated that he eventually became involved in an inappropriate relationship with M.B. and she became addicted to hydrocodone. Shelby also stated that it had been several years since M.B. had been a regular patient and he was ultimately responsible for the prescriptions. In furtherance of the conspiracy, Shelby issued numerous prescriptions in Felch’s name and in the names of others as a mechanism to provide M.B. with additional amounts of hydrocodone and tramadol.
United States Attorney Harrington said, “Today’s guilty plea should serve as a warning to all medical professionals that if you prescribe opioids without a legitimate medical purpose and outside the usual course of professional practice, you risk federal prosecution. I commend the DEA and HHS-OIG agents who investigated this case.”
This investigation was conducted by the United States Drug Enforcement Administration and the United States Department of Health & Human Services, Office of the Inspector General. This case is being prosecuted by George J.C. Jacobs, III, Assistant United States Attorney for the Eastern District of Washington.
Sovereign Citizen's Failure to Surrender, Courtroom Antics Lead to Increased Prison SentenceRead the Press Release
The sovereign citizen playbook has backfired once again. Evelyn Johnson, 57, from East St. Louis, Illinois, operated an area tax preparation service that guaranteed a refund. In January 2018, she was sentenced to 18 months in federal prison on 29 counts of aiding in the preparation of false federal income tax returns. In February, she failed to surrender to the U.S. Marshals Service to begin serving her prison sentence. She was then charged with a new crime for failing to surrender for service of a sentence while on release.
In her defense, Johnson claimed she was not a U.S. citizen subject to the laws of the United States, that she was not the defendant, and that she was not "Evelyn Johnson." She also contested the jurisdiction of the United States District Court.
Johnson took her case to trial, and the jury found her guilty of failing to surrender. Earlier today, she was sentenced on that conviction to an additional 30-month term of imprisonment, which must run consecutively to her original 18-month sentence. At the sentencing hearing, the district court found that Johnson had engaged in repeated acts of obstructive, contumacious conduct and had committed perjury when she testified at trial, both of which were considered aggravating factors.
The investigation was conducted by IRS Criminal Investigations, United States Probation, and the U.S. Marshals Service. The case was prosecuted by Assistant United States Attorney Norman R. Smith.
Snyder County Man Charged with Conspiracy to Distribute over 100,000 Prescription Pain Pills Using Priority MailRead the Press Release
WILLIAMSPORT- The United States Attorney’s Office for the Middle District of Pennsylvania announced that Clyde Eugene Snyder, age 71, of Mt. Pleasant Mills, Pennsylvania, was charged by criminal Information on March 18, 2019, with conspiracy to distribute over 100,000 Schedule IV prescription pain pills using the United States mail.
According to United States Attorney David J. Freed, the criminal information alleges that from April 2015 through April 11, 2017, Snyder and co-conspirators used the United States mail to distribute in excess of 100,000 Tramadol and Carisoprodol pain medication tablets to sellers and users of those controlled substances throughout the United States. The criminal information further alleges that Snyder received multiple international parcels from Germany containing Tramadol and Carisoprodol tablets, and he used his residence in Mt. Pleasant Mills, Pennsylvania to receive, store, and repackage the controlled tablets. It’s further alleged that after repackaging the drugs, Snyder mailed the tablets in United States Postal Service Priority Mail parcels to conspirators at locations throughout the United States, including Maryland, Ohio, Kansas, Nebraska, Florida, Texas, Colorado, Washington, and Alaska. Snyder and the conspirators communicated concerning shipments of Tramadol and Carisoprodol tablets using social media, including Facebook.
The Information charges Snyder with one count of conspiracy to distribute tablets containing the pain medications, Tramadol and Carisoprodol, listed under Schedule IV of the federal Controlled Substances Act.
The case was investigated by the U.S. Postal Inspection Service, Homeland Security Investigations, and the Pennsylvania State Police. Assistant U.S. Attorney George J. Rocktashel is prosecuting the case.
This case was brought as part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
The maximum penalty under federal law for this offense is five (5) years of imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
# # #
Seven Indicted for Distributing Drugs in Ulster CountyRead the Press Release
ALBANY, NEW YORK – Four Ellenville, New York, residents were arrested this morning for selling large amounts of crack cocaine in the Ellenville area as charged in an indictment returned last week by a federal grand jury. Three additional defendants charged in the indictment were arrested in December 2018 and January 2019. In coordination with today’s federal arrests, the Ulster County District Attorney’s Office is prosecuting an additional 15 people who were arrested for selling drugs in Ellenville.
The arrests were announced by United States Attorney Grant C. Jaquith; Angel M. Melendez, Special Agent in Charge of Homeland Security Investigations (HSI), New York; Ulster County Sheriff Juan Figueroa, whose office leads the Ulster Regional Gang Enforcement Narcotics Team (URGENT); Ulster County District Attorney Holley Carnright; New York State Police Acting Superintendent Keith M. Corlett; and Village of Ellenville Police Chief Philip Mattracion.
United States Attorney Grant C. Jaquith stated: “Our efforts to protect our communities from drug dealers who peddle poison rely on teamwork. Thanks to federal, state, and local law enforcement cooperation, a group that sold deadly drugs in the Ellenville area will now be held accountable in the courts.”
“Naveo and his crew monopolized the drug game in the town of Ellenville and sold deadly fentanyl-laced drugs, showing little regard for the life of users,” said Angel M. Melendez, Special Agent in Charge of HSI New York. “Relying on his criminal reputation, he intimidated any would-be competitors to remain the only game in town. Today’s arrests rid Ellenville of the organization that polluted their communities with dangerous drugs, and reflects HSI’s commitment to work closely with the URGENT partners.”
Ulster County Sheriff Juan Figueroa stated: “Interagency cooperation and shared resources between local, state and federal authorities are keys to keeping criminals at bay. Our communities need to be safe, today is a reminder of the combined effort of law enforcement to keep the peace.”
The federal defendants, all Ellenville residents, are charged with conspiracy to possess with the intent to distribute and to distribute controlled substances, including crack cocaine and heroin mixed with fentanyl, and they face the following penalties:
Defendant
Age
Minimum
Maximum
Antonio Naveo, aka “Gratto,” aka “Green Eyes,”
38
10 years
Life
Margaret Vandyke
56
10 years
Life
Iqwan Mandiville, aka “Qwan”
26
5 years
40 years
Luis Curet
33
5 years
40 years
Jennifer McCombs, aka “Jennifer Marks”
49
5 years
40 years
Randy Mandiville, aka “B-Murda”
30
None
20 years
Edwin Jorge
46
None
20 years
Naveo is also charged with unlawful possession of a Mossberg shotgun as a previously convicted felon.
A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.
The charges in the indictment are merely accusations. The defendants are presumed innocent unless and until proven guilty.
The federal and state cases are being investigated by HSI; the Ulster County Sheriff’s Office in conjunction with URGENT, an inter-agency taskforce targeting drug dealers and gang members in Ulster County; the New York State Police; the Village of Ellenville Police; and the Ulster County District Attorney’s Office, with assistance provided by the New York State Office of Disability and Temporary Assistance. The federal case is being prosecuted by Assistant U.S. Attorney Emmet J. O’Hanlon.
Salinas Resident Sentenced to Five Years in Prison for Tax SchemeRead the Press Release
SAN JOSE – Jacqueline Ramos, also known as Jackie Acosta, was sentenced today to 60 months in prison, and ordered to pay $1,641,610 in restitution, for her role in a tax fraud conspiracy, announced United States Attorney David L. Anderson, and Internal Revenue Service, Criminal Investigation (IRS-CI), Special Agent in Charge Kareem Carter. The sentence was handed down by the Honorable Lucy H. Koh, U.S. District Judge.
According to court filings, Ramos, 49, of Salinas, Calif., conspired with her codefendants to obtain the personal identifying information of others, and to use that information to file hundreds of fraudulent income tax returns with the IRS during 2011 and 2012. The returns reported fake wages and fraudulently claimed dependents, education expenses, and tax credits. Judge Koh determined that the returns sought more than $1.6 million in refunds from the IRS. Ramos and her coconspirators directed the IRS to send some of the fraudulently obtained refunds to bank accounts they controlled.
On July 13, 2017, a federal grand jury indicted Ramos, charging her with one count of conspiracy to submit false claims, in violation of 18 U.S.C. § 286, and two counts of bank fraud, in violation of 18 U.S.C. § 1344(2). She pleaded guilty to all three counts on October 17, 2018.
In addition to the prison term, Judge Koh also ordered Ramos to pay $1,641,610 in restitution to the United States. Judge Koh also ordered forfeiture in the amount of $736,592, and ordered Ramos to serve three years of supervised release. The defendant will begin serving the sentence on May 29, 2019.
Ramos’s codefendants Norma Morfin Manduhano, Ana Bajo, and Antonio Ahumada Rivas have pleaded guilty to their respective roles in the scheme. On November 14, 2018, Judge Koh sentenced Mandujano to 30 months in prison. Judge Koh has scheduled sentencing hearings for Ahumada Rivas and Bajo for March 27, 2019 and April 10, 2019, respectively.
Assistant United States Attorney Michael G. Pitman and Trial Attorney Christopher Magnani are prosecuting the case. The prosecution is the result of an investigation by IRS-CI.
Ringleader of Central Valley Drug Trafficking Organization Sentenced to 20 Years in PrisonRead the Press Release
SAN FRANCISCO – Carlos Olivares Hernandez was sentenced today to 20 years in prison for his involvement in a methamphetamine and cocaine trafficking conspiracy, announced United States Attorney David L. Anderson and Drug Enforcement Administration Special Agent in Charge Chris Nielsen. The sentence was handed down by the Honorable James Donato, U.S. District Judge.
Olivares Hernandez, 52, a citizen of Mexico and formerly of Turlock, Calif., pleaded guilty on May 24, 2018, to participating in a conspiracy to traffic methamphetamine and cocaine. According to the plea agreement, Olivares Hernandez admitted he obtained bulk quantities of cocaine and methamphetamine; managed the storage and distribution of cocaine and methamphetamine; and managed the collection, storage, and transportation of bulk cash proceeds of drug sales. Olivares Hernandez also admitted that he was the organizer or leader of the conspiracy, which involved five or more participants.
At sentencing, Judge Donato characterized Olivarez Hernandez as a “merchant of death and destruction” who had committed “heinous crimes.” Judge Donato further described the “enormous” quantities of drugs distributed by Olivares Hernandez’s drug trafficking conspiracy and stated that Olivares Hernandez’s drug trafficking was responsible for “destroying communities.”
Olivares Hernandez admitted that on numerous occasions in August, September, and October 2015, he spoke with his drug customers, drug and money stash house operators, and drug and money couriers to coordinate cocaine and methamphetamine sales, the arrival of cocaine and methamphetamine supplies, and the collection of cash proceeds of drug sales. On September 5, 2015, for example, law enforcement intercepted a shipment of approximately 22 pounds of methamphetamine intended for Olivares Hernandez’s drug distribution network. On October 11 and 12, 2015, Olivares Hernandez coordinated with his co-conspirators the collection and transportation of nearly $400,000 in cash.
On October 13, 2015, law enforcement authorities executed search warrants at multiple locations in connection with this case. At one of Olivares Hernandez’s stash houses in Delhi, Calif., authorities seized approximately 25 pounds of cocaine, one-half pound of methamphetamine, and $157,230 in cash. The same day, authorities seized approximately $201,790 in drug proceeds from Olivares Hernandez’s home, as well as approximately 31 pounds of cocaine, 2.9 pounds of methamphetamine, and $367,040 in cash from another of Olivares Hernandez’s stash houses in Ballico, Calif.
As part of this investigation, authorities also executed search warrants at the homes of Olivares Hernandez’s drug customers. From one customer, co-defendant Manuel Chavez, authorities seized approximately 3.5 pounds of methamphetamine, 9 pounds of cocaine, 11 pounds of heroin, $43,500 in cash, and multiple firearms. From another co-defendant, Ismael Mendoza Rodriguez, authorities seized more than 10 pounds of methamphetamine, $34,455 in cash, and multiple firearms.
On November 19, 2015, a federal grand jury indicted Olivares Hernandez and twelve co-defendants for various crimes related to the drug trafficking scheme. The grand jury charged Olivares Hernandez with conspiracy to distribute and possess with intent to distribute controlled substances, in violation of 21 U.S.C. §§ 846 and 841(a)(1), and with money laundering. Gonzalez Chavez pleaded guilty to conspiracy to distribute and possess with intent to distribute methamphetamine and cocaine.
In addition to the 20-year prison term, Judge Donato sentenced Olivares Hernandez to a 10-year term of supervised release. Olivares Hernandez has been in custody since his arrest on October 13, 2015.
Olivares Hernandez is the 13th and final defendant sentenced as part of the conspiracy to distribute and possess with intent to distribute controlled substances in this case. All of Olivares Hernandez’s co-defendants have pleaded guilty. During the course of this investigation, law enforcement seized more than 40 pounds of methamphetamine, more than 65 pounds of cocaine, more than 11 pounds of heroin, more than $1,200,000 in cash drug proceeds, and approximately twelve firearms.
Defendant
Age/
Residence
Charges
Status
Jesus Guadalupe Rojas
32/
Turlock
Distribution of methamphetamine, 21 U.S.C. §§ 841(a)(1)
Sentenced on June 14, 2017, to 24 months in prison and 3 years supervised release.
Jose Armando Mendoza Linares
42/
Turlock
Conspiracy to distribute and possess with intent to distribute methamphetamine, 21 U.S.C. §§ 846 & 841(a)(1)
Sentenced on October 25, 2017, to 60 months in prison and 5 years supervised release.
Gabriel Estrada
41/
Compton
Conspiracy to distribute and possess with intent to distribute cocaine, 21 U.S.C. §§ 846 & 841(a)(1)
Sentenced on December 13, 2017, to 70 months in prison and 3 years supervised release
Vanessa Valdez
31/ Chula Vista
Conspiracy to distribute and possess with intent to distribute methamphetamine and cocaine, 21 U.S.C. §§ 846 & 841(a)(1)
Sentenced on December 13, 2017, to 22 months in prison and 3 years supervised release.
Elias Dominguez
46/
Patterson
Conspiracy to distribute and possess with intent to distribute methamphetamine, 21 U.S.C. §§ 846 & 841(a)(1)
Sentenced on January 24, 2018, to 55 months in prison and 5 years supervised release.
Carlos Martinez
26/
Hayward
Conspiracy to distribute and possess with intent to distribute cocaine, 21 U.S.C. §§ 846 & 841(a)(1)
Sentenced on February 21, 2018, to 30 months in prison and 3 years supervised release.
Ismael Mendoza Rodriguez
37/
Turlock
Conspiracy to distribute and possess with intent to distribute methamphetamine and cocaine, 21 U.S.C. §§ 846 & 841(a)(1)
Possession of a firearm in furtherance of drug trafficking, 18 U.S.C. § 924(c)
Sentenced on February 21, 2018, to 200 months in prison and 5 years supervised release.
Michael Sherman
48/
Lathrop
Conspiracy to distribute and possess with intent to distribute cocaine, 21 U.S.C. §§ 846 & 841(a)(1)
Sentenced on February 28, 2018, to 32 months in prison and 3 years supervised release.
Ruben Franco Lopez
48/
Turlock
Conspiracy to distribute and possess with intent to distribute cocaine, 21 U.S.C. §§ 846 & 841(a)(1)
Sentenced on March 7, 2018, to 37 months in prison and 3 years supervised release.
Manuel Lara Andrade
64/
Delhi
Conspiracy to distribute and possess with intent to distribute methamphetamine and cocaine, 21 U.S.C. §§ 846 & 841(a)(1)
Sentenced on March 14, 2018, to 140 months in prison and 5 years supervised release.
Daniel Jimenez
48/
Ballico
Conspiracy to distribute and possess with intent to distribute methamphetamine and cocaine, 21 U.S.C. §§ 846 & 841(a)(1)
Sentenced on November 7, 2018, to 128 months in prison and 5 years supervised release.
Manuel Gonzalez Chavez
42/
Stockton
Conspiracy to distribute and possess with intent to distribute methamphetamine, heroin, and cocaine, 21 U.S.C. §§ 846 & 841(a)(1)
Possession of a firearm in furtherance of drug trafficking, 18 U.S.C. § 924(c)
Sentenced on December 12, 2018, to 312 months in prison and 3 years of supervised release.
Carlos Olivares Hernandez
52/
Turlock
Conspiracy to distribute and possess with intent to distribute methamphetamine and cocaine, 21 U.S.C. §§ 846 & 841(a)(1)
Sentenced on March 20, 2019, to 20 years in prison and 10 years of supervised release.
Assistant U.S. Attorneys Christiaan Highsmith, Sheila Armbrust, Katie Burroughs Medearis, and Gregg Lowder are prosecuting the case with the assistance of Linda Love, and Lance Libatique. The prosecution is the result of an investigation by the DEA, the Concord Police Department, and IRS Criminal Investigations. The investigation was conducted and funded by the Organized Crime Drug Enforcement Task Force, a multi-agency task force that coordinates long-term narcotics trafficking investigations.
Rhode Island Man Charged with Credit Card Fraud and Identity Theft OffensesRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, and Joseph W. Cronin, Inspector in Charge of the Boston Division of the U.S. Postal Inspection Service, announced that a federal grand jury in New Haven returned an indictment today charging HENRY FELLELA, JR., 61, of Johnston, Rhode Island, with credit card fraud and identity theft offenses.
As alleged in court documents, in March 2018, Fellela was released from federal prison following a 48-month sentence imposed in the U.S. District Court in Rhode Island for credit card fraud, aggravated identity theft and other offenses. Between September 2018 and March 2019, while he was on federal supervised release, Fellela stole credit cards from Connecticut residents and used the cards to make thousands of dollars in fraudulent purchases at various retail stores throughout Connecticut.
Fellela has been detained since his arrest on a criminal complaint on March 8, 2019.
The indictment charges Fellela with one count of access device fraud. If convicted of this charge, because of his prior conviction for the same offense, he faces a maximum term of imprisonment of 20 years. The indictment also charges Fellela with one count of aggravated identity theft, an offense that carries a mandatory term of imprisonment of two years.
Fellela also faces additional penalties if he is found to have violated the conditions of his supervised release.
U.S. Attorney Durham stressed that an indictment is not evidence of guilt. Charges are only allegations, and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This matter is being investigated by the U.S. Postal Inspection Service. The case is being prosecuted by Assistant U.S. Attorneys Margaret Maigret and Sarala Nagala.
RGV Man Sentenced for Medicare Fraud SchemeRead the Press Release
McALLEN, Texas ‐ A former account representative for a toxicology testing company has been ordered to prison in connection with a scheme to defraud Medicare, announced U.S. Attorney Ryan K. Patrick.
Ivar Cantu, 47, of Palmview, pleaded guilty Dec. 19, 2017, to conspiring to commit health care fraud.
Today, U.S. District Judge Alvarez imposed a 56-month sentence for Cantu, to be immediately followed by three years of supervised release.
Cantu fraudulently set up an account between a medical clinic where a co-conspirator was employed as a laboratory technician and the toxicology testing company for whom Cantu was an account representative. During the latter half of 2015, Cantu and his co-conspirators misappropriated patient identities and urine specimens from the medical clinic. They then sent them to the toxicology testing company without consent of the patient or doctor in order to receive commissions and collection fees from the testing company. In order to carry out the scheme, Cantu and his co-conspirators forged patient signatures, falsified medical records and created fictitious documents.
As a result of the scheme, Medicare was billed $836,788 between May 2015 and December 2015.
Cantu was permitted to remain on bond and voluntarily surrender to a U.S. Bureau of Prisons facility to be determined in the near future.
The FBI, Department of Health and Human Services‐Office of Inspector General and Texas Health and Human Services Commission conducted the investigation. Assistant U.S. Attorney Andrew Swartz is prosecuting the case.
Plymouth Man Sentenced to Three Months of Probation for Drug TraffickingRead the Press Release
SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Chad Eckrote, age 26, of Plymouth, Pennsylvania, received a probationary sentence of three years on March 19, 2019, by United States District Judge Malachy E. Mannion, for conspiring to distribute heroin, crack cocaine, and fentanyl.
According to United States Attorney David J. Freed, Dubaskas pleaded guilty to conspiring to distribute controlled substances in Pennsylvania, from the summer of 2015 to the summer of 2016. Eckrote admitted to working as a drug dealer and in the conspiracy, to transporting drugs from New York to Pennsylvania for redistribution, and to trafficking in excess of 22.4 grams of crack cocaine, fentanyl, and in excess of 80 grams of heroin, the latter of which is the equivalent of 3,200 potentially fatal doses of heroin.
Eckrote was charged in June 2017 with 14 other individuals. All of his co-defendants have pleaded guilty, with 10 others having already been sentenced:
- Kassandra Martin of Wilkes-Barre, Pennsylvania, was sentenced to 60 months of imprisonment;
- Joshua Lenchick of Luzerne, Pennsylvania, was sentenced to 60 months of imprisonment;
- Kristyna Shotwell of Plymouth, Pennsylvania, was sentenced to 12 months and one day of imprisonment;
- Tanay Jones of Bronx, New York, was sentenced to a time served sentence of 19 days of imprisonment;
- William Waring of Bronx, New York, was sentenced to 60 months of imprisonment;
- John Maybank of Bronx, New York, was sentenced to 53 months of imprisonment;
- Siobhan Daniels, of Wilkes-Barre, Pennsylvania, was sentenced to 30 months of imprisonment;
- Luis Nevarez, of Bronx, New York, was sentenced to 60 months of imprisonment;
- Adonis Smith, of New London, Connecticut, was sentenced to 60 months of imprisonment; and
- Cara Dubaskas, of Plymouth, Pennsylvania, was sentenced to a time served sentence of 7 months.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Luzerne County Drug Task Force, and the Kingston Police Department. Assistant U.S. Attorney Phillip J. Caraballo prosecuted the case.
This case was brought as part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
This case also was brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin. Led by the United States Attorney’s Office, the Heroin Initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.
# # #
Paterson, New Jersey, Police Officer Charged with Conspiracy to Violate Civil Rights and Other OffensesRead the Press Release
NEWARK, N.J. – A federal grand jury indicted a City of Paterson, New Jersey, police officer for conspiring to violate individuals’ civil rights by stopping and searching people in their vehicles and on the street and stealing their cash, U.S. Attorney Craig Carpenito announced.
Eudy Ramos, 28, of Paterson, was charged in a nine-count indictment with conspiring to violate, and violating, the civil rights of individuals in Paterson, and with filing multiple false reports to conceal his criminal conduct. Ramos was previously charged by criminal complaint in April 2018. He will be arraigned in federal court on a date to be determined.
According to documents filed in this and a related case and statements made in court:
Eudy Ramos, Jonathan Bustios, and Matthew Torres were police officers with the Paterson Police Department (PPD). From at least 2016 to April 2018, they and other police officers, identified in the indictment as PPD Officer 1 and PPD Officer 2, allegedly targeted, stopped, and searched vehicles and the occupants of those vehicles and illegally seized cash from them. They also illegally stopped and searched individuals in buildings or on the streets of Paterson and seized their cash. They split the cash among themselves and submitted false reports to the PPD, omitting their illegal conduct or lying about it.
Among the methods employed to carry out the conspiracy, Ramos and the other officers used text messages to communicate about their criminal conduct. For instance, on Feb. 24, 2018 Ramos sent a text message to Bustios and Torres asking if they were in the mood for “weekend mangoes,” using the code word “mango” to refer to the illegal seizure of cash. On Feb. 25, 2018, Ramos sent a text message to Bustios, telling Bustios that Ramos was “tryna get someone in a car,” referring to Ramos’ plan to illegally steal cash from the occupants of vehicles in Paterson. On Dec. 7, 2017, Bustios sent a text message to Ramos, “83 auburn back door is open,” and Ramos responded, “On my way.” The address 83 Auburn Street was one of several locations that Ramos and others targeted for illegal cash seizures.
Some instances of Ramos’ and his conspirators illegal conduct include:
On Feb.1, 2017, Ramos and another PPD officer stopped and searched a vehicle, detained and handcuffed the occupants, and stole approximately $10,000 from one of the passengers. Ramos and his conspirator split the money between themselves and omitted any mention of the $10,000 in the PPD incident report and prisoner property report.
On Dec. 1, 2017, Ramos and Bustios stopped and searched an individual on a street corner in Paterson and stole approximately $1,000 from the individual. After the theft, a video of a portion of the encounter was posted to Twitter.
On Dec. 7, 2017, Torres and Ramos conducted a vehicle stop in Paterson. Torres and Ramos searched the vehicle, the driver, and the passenger, who had $3,100 and marijuana. Ramos told the passenger that instead of charging the passenger with distribution of marijuana they could take $500 from the passenger and have the passenger sign a piece of paper. Ramos then purportedly placed a call to his superior and told the passenger that the superior officer said it had to be $800. Ramos took out a piece of paper, wrote on it, and told the passenger to sign it. The passenger did not know what was written on the paper. Afterwards, Torres and Ramos released the driver and passenger. Torres and Ramos shared the stolen cash proceeds. Ramos and Torres did not report the stop and search of the vehicle and its occupants, or the cash seizure, to the Paterson Police Department.
The conspiracy count carries a maximum penalty of 10 years in prison and the substantive Counts 2 to 6 each carry a maximum penalty of one year in prison. The false records counts each carry a maximum penalty of 20 years in prison. The maximum fine for the felony counts is $250,000, and the maximum fine for the misdemeanor Counts 2 to 6 is $100,000.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Special Agent in Charge Gregory W. Ehrie in Newark, with the investigation leading to today’s indictment. He also thanked the Passaic County Prosecutor’s Office, under the direction of Passaic County Prosecutor Camelia M. Valdes, the Paterson Police Department, under the direction of Paterson Police Director Jerry Speziale and Police Chief Troy Oswald, and the Paterson Police Department Office of Internal Affairs, for their assistance in the investigation.
The government is represented by Assistant U.S. Attorney Rahul Agarwal, Deputy Chief of the Criminal Division.
Defense counsel: Miles Feinstein Esq., Clifton, New Jersey
Ottawa Man Pleads Guilty to Seeking Child for SexRead the Press Release
TOPEKA, KAN. – An Ottawa man pleaded guilty Tuesday to a federal charge that he drove to Missouri to meet what he believed was a mother who was willing to sell her 10-year-old daughter for sex, U.S. Attorney Stephen McAllister said.
Michael David Mitchell, 64, Ottawa, Kan., pleaded guilty to one count of interstate travel to engage in unlawful sexual conduct. The investigation began when investigators received information that Mitchell was looking for a woman with a minor child who he could make his sex slaves. Mitchell communicated with an undercover investigator posing as a broker who could find Mitchell what he wanted. In his plea, Mitchell admitted that in June 2017 he drove from Ottawa, Kan., to Independence, Mo., to meet a woman he had been told was willing to make the deal. He brought money with him to pay a $5,000 finder’s fee.
Sentencing is set for April 24. He faces up to 30 years in federal prison and a fine up to $250,000. McAllister commended the FBI and Assistant U.S. Attorney Christine Kenney for their work on the case.
North Las Vegas Man Convicted of Receipt and Distribution of Child PornographyRead the Press Release
LAS VEGAS, Nev. – A North Las Vegas resident who was indicted with a federal child pornography charge was found guilty yesterday, announced U.S. Attorney Nicholas A. Trutanich for the District of Nevada.
Richard Lee Saterstad, 41, was convicted of receiving and distributing child pornography. United States District Judge Andrew P. Gordon presided over the two-day bench trial. The maximum statutory penalty is 20 years in prison, a $250,000 fine, and a life term of supervised release. If imposed by the Judge, Saterstad will also have to register as a sex offender.
Evidence presented during the trial revealed that from November 23, 2013 to March 6, 2014, Saterstad received and distributed sexually explicit videos and images containing children over the Ares file sharing program. After law enforcement executed a search warrant at his residence, law enforcement found 14 different electronic devices belonging to Saterstad contained thousands of photos and videos depicting child pornography. Saterstad is a prior convicted felon.
The case was investigated by the Internet Crimes Against Children (ICAC) Task Force. Assistant U.S. Attorneys Christopher Burton and Kevin Schiff are prosecuting the case.
If you have information regarding possible child sexual exploitation, you are urged to make a report to the National Center for Missing and Exploited Children at www.cybertipline.org.
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 and for information about internet safety education, please visit www.justice.gov/psc.
###
North Carolina Tax Return Preparer Indicted for Conspiracy and Filing False Tax ReturnsRead the Press Release
A Raleigh, North Carolina, resident was arrested yesterday after a federal grand jury sitting in Raleigh previously returned an indictment charging him with one count of conspiracy to defraud the United States and 14 counts of aiding and assisting in the preparation of a fraudulent tax return, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and United States Attorney Robert J. Higdon Jr. for the Eastern District of North Carolina.
According to the allegations in the indictment, Garvey Imhotep conspired with others to file false tax returns for the 2011 through 2015 tax years for clients of Tax Kings LLC, Two Brothers Tax Service, and Taxes Done Right. Imhotep was an alleged owner and operator of those three tax return preparation businesses. Imhotep and his co-conspirators allegedly filed tax returns that claimed false education credits, among other illegitimate items, in order to fraudulently generate clients’ tax refunds.
If convicted, Imhotep faces a maximum sentence of five years in prison for the conspiracy charge and three years in prison for each count of aiding and assisting in the preparation of a fraudulent tax return. He also faces substantial monetary penalties, supervised release and restitution.
Principal Deputy Assistant Attorney General Zuckerman and U.S. Attorney Higdon commended special agents of IRS-Criminal Investigation, who investigated the case, and Assistant United States Attorney Ethan Ontjes and Trial Attorney Lauren Castaldi of the Tax Division, who are prosecuting this case.
An indictment merely alleges that crimes have been committed. The defendant is presumed innocent until proven guilty beyond a reasonable doubt.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
North Carolina Man Pleads Guilty for His Role in International “Tech Support Scam”Read the Press Release
A Charlotte, North Carolina man pleaded guilty today to conspiracy to access a protected computer, for his role in an international “Tech Support Scam” that defrauded hundreds of victims, including seniors, of more than $3 million.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, First Assistant U.S. Attorney William Stetzer for the Western District of North Carolina and Special Agent in Charge John A. Strong of the FBI Charlotte Field Office, made the announcement.
Bishap Mittal, 24, pleaded guilty before U.S. Magistrate Judge David S. Cayer. Mittal has been released on bond. A sentencing date has not been set.
According to the information and plea agreement, Mittal was part of a conspiracy that carried out an international internet “Tech Support Scam,” by placing fake pop-up ads on victims’ computers to convince them they had a serious computer problem, and to induce them to pay for purported “technical support” services to resolve the issue. Mittal admitted in court today that he and “Individual 1” resided together in Charlotte. Individual 1 was the owner/manager of Capstone Technologies LLC (Capstone), a company headquartered in Charlotte that claimed to provide computer-related services to its customers. Capstone conducted business using several different aliases, including Authenza Solutions LLC, MS-Squad Technologies, MS-Squad.com, MS Infotech, United Technologies, and Reventus Technologies, (collectively, Capstone Technologies). Individual 1, Mittal, and others carried out the tech support scam using a call center located in India, set up to handle “tech support” calls with potential victims.
According to the information, pop-up ads were a central part of the conspiracy’s tech support scam. Individual 1 and other co-conspirators purchased blocks of malicious pop-up adware from publishers around the world. The fake pop-ups would suddenly appear on victims’ computers freezing their screens, prompting victims to contact Capstone Technologies at a number shown on the pop-up ad. When victims called the Indian-based tech support center for assistance, the co-conspirators used remote access tools to gain control of the victims’ computers. Once in control of the computers, the scammers identified various fictitious causes for the victims’ purported computer malfunction, including the presence of malware or computer viruses, and induced victims to pay for virus clean-up or other tech support services. The co-conspirators then charged victims between $200 and $2,400 to make computers operable again. According to the information, Mittal and his co-conspirators defrauded hundreds of victims throughout the United States, some of whom were elderly, of more than $3 million.
The FBI conducted the investigation. Trial Attorney Timothy Flowers of the Criminal Division’s Computer Crime and Intellectual Property Section and Assistant U.S. Attorney Taylor Phillips of the U.S. Attorney’s Office in Charlotte are prosecuting the case.
Earlier this month, the Justice Department announced the results of the largest-ever coordinated nationwide elder fraud sweep, involving more than 250 defendants from around the globe who victimized more than a million Americans, most of whom were elderly. As part of the sweep, the Department of Justice and its law enforcement partners announced a tech-support fraud takedown, designed to combat an increasingly common form of elder fraud in which criminals trick victims into giving remote access to their computers under the guise of providing technical support. In 2018, technical-support schemes generated over 142,000 consumer complaints to the FTC’s Consumer Sentinel Network. Consumers 60 and over filed more loss reports on tech-support scams from 2015 to 2018 than on any other fraud category reported to the Consumer Sentinel Network.
North Carolina Man Pleads Guilty for His Role in International “Tech Support Scam”Read the Press Release
CHARLOTTE, N.C. – A Charlotte, North Carolina man pleaded guilty today to conspiracy to access a protected computer, for his role in an international “Tech Support Scam” that defrauded hundreds of victims, including seniors, of more than $3 million.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, First Assistant U.S. Attorney William Stetzer for the Western District of North Carolina and Special Agent in Charge John A. Strong of the FBI Charlotte Field Office, made the announcement.
Bishap Mittal, 24, pleaded guilty before U.S. Magistrate Judge David S. Cayer. Mittal has been released on bond. A sentencing date has not been set.
According to the information and plea agreement, Mittal was part of a conspiracy that carried out an international internet “Tech Support Scam,” by placing fake pop-up ads on victims’ computers to convince them they had a serious computer problem, and to induce them to pay for purported “technical support” services to resolve the issue. Mittal admitted in court today that he and “Individual 1” resided together in Charlotte. Individual 1 was the owner/manager of Capstone Technologies LLC (Capstone), a company headquartered in Charlotte that claimed to provide computer-related services to its customers. Capstone conducted business using several different aliases, including Authenza Solutions LLC, MS-Squad Technologies, MS-Squad.com, MS Infotech, United Technologies, and Reventus Technologies, (collectively, Capstone Technologies). Individual 1, Mittal, and others carried out the tech support scam using a call center located in India, set up to handle “tech support” calls with potential victims.
According to the information, pop-up ads were a central part of the conspiracy’s tech support scam. Individual 1 and other co-conspirators purchased blocks of malicious pop-up adware from publishers around the world. The fake pop-ups would suddenly appear on victims’ computers freezing their screens, prompting victims to contact Capstone Technologies at a number shown on the pop-up ad. When victims called the Indian-based tech support center for assistance, the co-conspirators used remote access tools to gain control of the victims’ computers. Once in control of the computers, the scammers identified various fictitious causes for the victims’ purported computer malfunction, including the presence of malware or computer viruses, and induced victims to pay for virus clean-up or other tech support services. The co-conspirators then charged victims between $200 and $2,400 to make computers operable again. According to the information, Mittal and his co-conspirators defrauded hundreds of victims throughout the United States, some of whom were elderly, of more than $3 million.
The FBI conducted the investigation. Trial Attorney Timothy Flowers of the Criminal Division’s Computer Crime and Intellectual Property Section and Assistant U.S. Attorney Taylor Phillips of the U.S. Attorney’s Office in Charlotte are prosecuting the case.
In March 2019, U.S. Attorney Andrew Murray announced the Office’s Elder Justice Initiative, which aims to combat elder financial exploitation by expanding efforts to investigate and prosecute financial scams that target seniors; educate older adults on how to identify scams and avoid becoming victims of financial fraud; and promote greater coordination with law enforcement partners. For more information please visit: /usao-wdnc/elder-justice-initiative
Earlier this month, the Justice Department announced the results of the largest-ever coordinated nationwide elder fraud sweep, involving more than 250 defendants from around the globe who victimized more than a million Americans, most of whom were elderly. As part of the sweep, the Department of Justice and its law enforcement partners announced a tech-support fraud takedown, designed to combat an increasingly common form of elder fraud in which criminals trick victims into giving remote access to their computers under the guise of providing technical support. In 2018, technical-support schemes generated over 142,000 consumer complaints to the FTC’s Consumer Sentinel Network. Older adults filed more loss reports on tech-support scams from 2015 to 2018 than on any other fraud category reported to the Consumer Sentinel Network.
Newton Man Sentenced to 84 Months in Federal Prison for Felon in Possession of a FirearmRead the Press Release
DES MOINES, IA—On March 19, 2019, Bryan Curtis Odem, age 35, of Newton, Iowa, appeared before Chief United States District Court Judge James A. Jarvey, and was sentenced to 84 months in prison for the charge of felon in possession of a firearm, in violation of Title 18, United States Code, Section 922(g)(1). Odem was also ordered to serve 3 years of supervised release following his term of imprisonment.
Odem pled guilty to the charge in November of 2018.
On July 14, 2018, Odem possessed a Smith & Wesson 9 mm pistol and ammunition which he had obtained during an altercation. Odem struck an individual and left the scene with a firearm belonging to the victim. Twenty-four hours prior to the altercation, Odem had been released from the custody of the United States Bureau of Prisons where he had been serving time on his prior federal firearms conviction.
This matter was investigated by the Newton, Iowa, Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and the case was prosecuted by the United States Attorney's Office for the Southern District of Iowa.
Newton Man Pleads Guilty to Firearms and Ammunition ChargeRead the Press Release
BOSTON - A Newton man pleaded guilty yesterday in federal court in Boston to a federal firearms charge.
Juan Francisco David, 46, pleaded guilty to one count of being a felon in possession of firearms and ammunition. Senior U.S. District Court Judge Douglas P. Woodlock has not yet scheduled a date for sentencing.
On April 11, 2018, law enforcement executed a search warrant at David’s residence in Newton, and seized two firearms, a .9 mm Smith & Wesson pistol and a Smith & Wesson .380 caliber pistol, as well as 26 rounds of ammunition from David’s front bedroom. The unloaded .9 mm pistol was located in a case containing two magazines, and one magazine was loaded with eight rounds of .9 mm ammunition. The .380 semi-automatic pistol was found attached to the underside of a table in the same bedroom and contained one magazine, which was loaded with five rounds of assorted .380 caliber ammunition. After initially denying having any guns in the residence, David admitted to possessing the firearms and ammunition.
The firearms charge provides for a sentence of no greater than 10 years in prison, three years of supervised release, and a $250,000 fine. Sentences are imposed by a federal district court judge based on the United States Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Kelly Brady, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives; Newton Police Chief David MacDonald; and Weymouth Police Chief Richard C. Grimes made the announcement. Assistant U.S. Attorney Suzanne Sullivan Jacobus of Lelling’s Major Crimes Unit is prosecuting the case.
New York Woman Sentenced to Five Years in Prison for Role in Dominican Heroin Trafficking RingRead the Press Release
NEWARK, N.J. – A New York woman was sentenced today to 60 months in prison for her role in a Dominican drug trafficking ring responsible for distributing multi-kilogram quantities of heroin in New Jersey, U.S. Attorney Craig Carpenito announced.
Maria Peterson, a/k/a “Chabela” 48, previously pleaded guilty before U.S. District Judge Kevin McNulty to an information charging her with one count of conspiracy to distribute more than a kilogram of heroin and one substantive count of distributing more than a kilogram of heroin. Judge McNulty imposed the sentence today in Newark federal court.
According to the documents filed in this case and statements made in court:
During the course of an investigation into a drug trafficking organization operating in New Jersey, the Dominican Republic, Mexico, and elsewhere, law enforcement learned that Peterson and others served as local distributors for the organization in New Jersey and New York.
The narcotics, which were usually transported to New Jersey and New York via truck, were received and paid for by the defendants before they were distributed on the street. This drug trafficking organization has been linked to several multiple-kilogram seizures of heroin, including a seizure of approximately two kilograms of heroin in March 2015 in New York, a seizure of approximately four kilograms of heroin in November 2015 in New Jersey, and a seizure of approximately 10 kilograms of heroin in New Jersey in January 2017.
Peterson admitted that on March 25, 2015, she receiving a package of nearly two kilograms of heroin at her New York address, which she gave to a conspirator. She also admitted providing money to a conspirator in order to pay for some or all of the four-kilogram heroin shipment that was sent to New Jersey on Nov. 28, 2015.
In addition to the prison term, Judge McNulty sentenced Peterson to three years of supervised release.
This case was conducted under the auspices of the Organized Crime Drug Enforcement Task Force (OCDETF), a partnership between federal, state and local law enforcement agencies dedicated to identifying and dismantling the most serious drug trafficking, weapons trafficking and money laundering organizations.
U.S. Attorney Carpenito credited special agents and task force officers with the Drug enforcement Administration, under the direction of Special Agent in Charge Susan A. Gibson, and officers of the N.J. State Police, Trafficking North Unit, under the direction of Superintendent Col. Patrick Callahan, with the investigation.
The government is represented by Assistant U.S. Attorney Melissa Wangenheim of the U.S. Attorney’s Office Criminal Division in Newark.
Defense Counsel: Scott D. Finckenauer Esq., Fairview, New Jersey
New Orleans Man Sentenced for Possession of Stolen FirearmsRead the Press Release
NEW ORLEANS – U.S. Attorney Peter G. Strasser announced that STEVEN RE, age 41, was sentenced Tuesday, March 12, 2019 for possession of stolen firearms in violation of Title 18, United States Code, Sections 922(j) and 924(a)(2).
According to court documents, RE pawned a stolen 20-gauge Remington shotgun on or about September 8, 2017, in Hammond, Louisiana. On or about September 15, 2017, RE also pawned a stolen .22 caliber Marlin rifle, and attempted to pawn a stolen .410 gauge shotgun, in Harvey, Louisiana. RE admitted that he knew these firearms were stolen because he stole them during home burglaries.
United States District Court Judge Jay C. Zainey sentenced RE to serve a term of imprisonment of 108 months, to be followed by 3 years of supervised release. The court also imposed a $200.00 special assessment.
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 in investigating this matter. Assistant United States Attorneys Maria Carboni and Ryan McLaren and are in charge of the prosecution.
* * *
New Orleans Man Pleads Guilty to Being a Felon in Possession of a FirearmRead the Press Release
NEW ORLEANS – U.S. Attorney Peter G. Strasser announced that DARIUS STOKES, age 30, of New Orleans, pleaded guilty yesterday to a one count federal indictment charging him with being a felon in possession of a firearm. Federal law prohibits individuals who have been convicted of certain crimes from possessing firearms after being convicted.
STOKES faces a maximum sentence of 10 years imprisonment, a fine of up to $250,000.00, a period of supervised release of 3 years, and a mandatory special assessment of $100.00. The Honorable Susie Morgan, United States District Court Judge of the Eastern District of Louisiana, will sentence STOKES on June 18, 2019.
STOKES’ case has been designated as a Project Safe Neighborhoods (PSN) case. 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 New Orleans Police Department in investigating this matter. Assistant United States Attorney Brittany L. Reed is in charge of the prosecution.
More Charges Announced in Ongoing Investigation into Bid Rigging and Fraud Targeting Defense Department Fuel Supply Contracts for U.S. Military Bases in South KoreaRead the Press Release
South Korea-based companies Hyundai Oilbank Co. Ltd. and S-Oil Corporation have agreed to plead guilty to criminal charges and pay a total of approximately $75 million in criminal fines for their involvement in a bid-rigging conspiracy that targeted contracts to supply fuel to United States Army, Navy, Marine Corps, and Air Force bases in South Korea, the Department of Justice announced today. Hyundai Oilbank and S-Oil have agreed to plead guilty to an antitrust charge contained in a superseding indictment that was unsealed today.
The superseding indictment also charges seven individual defendants — associates, managers, and executives of companies that conspired to rig bids for fuel supply contracts — for participating in this bid-rigging conspiracy and in a scheme to defraud the U.S. government.
In separate civil resolutions, Hyundai Oilbank and S-Oil have agreed to pay a total of approximately $52 million to the United States for civil antitrust and False Claims Act violations related to the bid-rigging conspiracy. These settlements reflect the important role of both Section 4A of the Clayton Act and the False Claims Act to ensure that the United States is fully compensated when it is the victim of anticompetitive conduct.
“These charges reflect the Antitrust Division’s commitment to prosecuting bid rigging and fraud — especially when those crimes directly target taxpayer dollars that fund the U.S. military’s critical work. We will not waver in our dedication to prosecuting corporations and individuals, wherever they are located, that seek to profit at the expense of American taxpayers,” said Assistant Attorney General Makan Delrahim of the Department of Justice’s Antitrust Division. “We will continue to use Section 4A of the Clayton Act to obtain civil settlements that protect the interests of American taxpayers.”
“As the superseding indictment shows, the United States will pursue and hold accountable not only corporate malefactors but also individuals who defraud the military,” said U.S. Attorney Benjamin C. Glassman for the Southern District of Ohio.
“Illegal bid-rigging schemes violate fundamental tenets of government contracting and lead to inflated charges and costs to the government,” said Assistant Attorney General Jody Hunt for the Department of Justice’s Civil Division. “The Department remains steadfast in its commitment to upholding the rule of law and protecting our nation’s military and the American taxpayer from conduct that undercuts competition.”
Pursuant to the Department’s Coordination policy, often labeled the Anti-Piling On policy, the Antitrust Division’s criminal and civil sections and the Civil Division’s Fraud Section worked together effectively to reach coordinated global settlements that were equitable and proportionate to the defendants’ conduct. Furthermore, both divisions successfully coordinated their efforts to avoid imposing fines, penalties, or damages that were unnecessarily duplicative of each other.
The Criminal Case:
Today, the Department of Justice unsealed a three-count superseding indictment from the U.S. District Court for the Southern District of Ohio that was returned in September 2018. According to the superseding indictment, the Defense Logistics Agency and the Army and Air Force Exchange Service are two U.S. Defense Department agencies that contract with South Korean companies to supply fuel to the numerous U.S. military bases throughout South Korea.
Count One charges Hyundai Oilbank, S-Oil, and the seven individual defendants with participating in a combination and conspiracy to suppress and eliminate competition during the bidding process for these fuel supply contracts. The individual defendants, all residents and citizens of South Korea, are Hee-Soo Kim, Tae Ho Cho, Jiwon Kang, Young-Ho Yoon, Byung Kuk Kim, Byungik Moon, and Eul-Jin Hyung.
Count Two charges Hyundai Oilbank, S-Oil, and the seven individual defendants with participating in a conspiracy to defraud the United States by impairing, obstructing, and defeating the lawful function of the procurement processes for the fuel supply contracts. As part of its plea agreement with Hyundai Oilbank and S-Oil, the Antitrust Division agreed to move to dismiss Count Two against Hyundai Oilbank and S-Oil upon sentencing.
Count Three charges Hee-Soo Kim with tampering with a witness by use of intimidation, threats, or corrupt persuasion, with the intent to hinder, delay, and prevent communication with a law enforcement officer of the United States.
Hyundai Oilbank and S-Oil have agreed to cooperate with the Justice Department’s ongoing criminal investigation. The plea agreements are subject to court approval.
The investigation began based on a tip to the Defense Logistics Agency Inspector General (IG) Hotline. The IG office developed the information, interviewed the complainant, and then referred the case to the Defense Criminal Investigative Service.
“We will vigilantly protect the integrity of our nation’s military procurement process and the enabling capabilities it brings to our warfighters across the globe,” said Deputy Director Paul K. Sternal of the Department of Defense, Defense Criminal Investigative Service (DCIS). “The criminal charges and fines announced today demonstrate the heavy consequences for those who subvert competition through collusion and price fixing. Joined by our investigative partners, DCIS stands ready to pursue those who threaten our nation’s military resources.”
“We are pleased with today’s guilty pleas from the defendants for their unconscionable involvement in this bid-rigging conspiracy that threatened to place our forces in jeopardy while fulfilling their missions,” said Frank Robey, the Director of the U.S. Army Criminal Investigation Command’s Major Procurement Fraud Unit. “As we have stated many times before, the highly trained special agents from our Major Procurement Fraud Unit, along with our federal law enforcement partners, will continue to aggressively investigate organizations that commit crimes against our Army, our Soldiers and our nation.”
“The Air Force Office of Special Investigations has an unwavering commitment to identify, exploit, and neutralize fraud impacting the integrity of the Air Force, Department of Defense and U.S. Government acquisition process,” said Director Timothy Ries, of the Air Force Office of Special Investigations, Office of Procurement Fraud. “These significant criminal and civil penalties are the result of the exceptional collaborative efforts of our organization and its law enforcement and Department of Justice partners to bring these corporations to justice for engaging in the decade-long bid-rigging conspiracy that targeted fuel supply contracts for U.S. Army, Navy, Marine Corps, and Air Force bases in South Korea.”
“Today’s announcement demonstrates the FBI’s persistence in investigating fraud against the United States wherever it occurs,” said FBI Executive Assistant Director Amy Hess. “These companies and individuals thought they could cheat the system and the American taxpayer, but the FBI, working with our partners, exposed their scheme. This case should be a lesson to all: the FBI will aggressively pursue those who attempt to defraud the United States and will bring them to justice.”
“Open competition remains a cornerstone of our free democratic society,” said Assistant Director in Charge Paul D. Delacourt of the FBI’s Los Angeles Field Office. “These criminal and civil charges demonstrate the FBI’s determination to investigate companies and individuals, foreign and domestic, who engage in bid rigging and other corruption schemes to defraud the U.S. Government. Working with our federal law enforcement partners, the FBI is committed to bringing to justice those who enrich themselves through illegal activity at the expense of the U.S. taxpayer.”
An indictment merely alleges that crimes have been committed, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt.
A criminal violation of Section 1 of the Sherman Act carries a maximum sentence of 10 years in federal prison and a criminal fine of $1 million for individuals and a maximum criminal fine of $100 million for corporations. The maximum fines may be increased to twice the gain derived from the crime or twice the loss suffered by the victims of the crime, if either of those amounts is greater than the statutory maximum fine.
A criminal violation of 18 U.S.C. § 371 carries a maximum sentence of 5 years in prison.
Today’s pleas are the fourth and fifth respectively resulting from an ongoing federal investigation into bid rigging, price fixing, and other anticompetitive conduct targeting U.S. Department of Defense fuel supply contracts in South Korea. The criminal case is being prosecuted by the Antitrust Division’s Washington Criminal I Section and the United States Attorney’s Office of the Southern District of Ohio, in conjunction with the DCIS, the Federal Bureau of Investigation, the Army CID, the Defense Logistics Agency Office of the Inspector General, and the Air Force Office of Special Investigations. Anyone with information in connection with this investigation is urged to call the Antitrust Division’s Citizen Complaint Center at 888-647-3258 or visit www.justice.gov/atr/contact/newcase.html.
The Civil Case:
The Department’s Antitrust Division today filed a civil antitrust complaint in the U.S. District Court for the Southern District of Ohio, and at the same time filed proposed settlements that, if approved by the court, would resolve the lawsuit against Hyundai Oilbank and S-Oil for their anticompetitive conduct targeting the U.S. military in South Korea.
As a result of this conduct, the United States Department of Defense paid substantially more for fuel supply services in South Korea than it would have had Hyundai Oilbank and S-Oil competed for the fuel supply contracts. Under Section 4A of the Clayton Act, the United States may obtain treble damages when it has been injured by an antitrust violation. The proposed settlement provides that Hyundai Oilbank pay $39.1 million and S-Oil pay $12.98 million to the United States to resolve the civil antitrust violations. In addition to the payments, Hyundai Oilbank and S-Oil have agreed to cooperate with the ongoing civil investigation of the conduct and to abide by antitrust compliance program requirements. The amount paid by each defendant exceeds the amount of the individual overcharge and reflects the value of defendants’ cooperation commitments and the cost savings realized by avoiding extended litigation.
The payments will also resolve civil claims that the United States has under the False Claims Act against Hyundai Oilbank and S-Oil for making false statements to the government in connection with their agreement not to compete. The Civil Division has entered into separate settlement agreements with the companies to resolve these claims.
Except where based on admissions by defendants in the criminal pleas, the claims resolved by the civil agreements are allegations only.
The civil settlements were handled by the Antitrust Division’s Transportation, Energy, and Agriculture Section, by the Civil Division, and by the Civil Fraud section of the United States Attorney’s Office in the Southern District of Ohio.
The United States’ civil investigation resulted from a whistleblower lawsuit filed under the qui tam provisions of the False Claims Act. Those provisions allow for private parties to sue on behalf of the United States and to share in any recovery.
The proposed civil antitrust settlement, along with the Antitrust Division’s competitive impact statement, will be published in The Federal Register, as required by the Antitrust Procedures and Penalties Act. Any person may submit written comments concerning the proposed settlement within 60 days of its publication to Kathleen O’Neill, Chief, Transportation, Energy, and Agriculture Section, Antitrust Division, U.S. Department of Justice, 450 Fifth Street, N.W., Suite 8000, Washington, D.C. 20530. At the conclusion of the 60-day comment period, the court may enter the civil antitrust settlement upon a finding that it serves the public interest.
Montana U.S. Attorney’s Office collects $15.3 million in civil and criminal actions for fiscal year 2018Read the Press Release
BILLINGS—Montana's U.S. Attorney Kurt Alme announced today that the District of Montana collected $15,351,505.81 in criminal and civil actions in Fiscal Year 2018. Of this amount, $7,510,702.15 was collected in criminal actions and $7,840,803.56 was collected in civil actions. In some cases, the U.S. Attorney’s Office worked in conjunction with ligating components of the U.S. Department of Justice.
“I want to thank the dedicated employees in the U.S. Attorney’s Office, and in particular, the Financial Litigation Unit, for their hard work in successfully recovering money for the benefit of crime victims and the U.S. Treasury,” said U.S. Attorney Alme. “It is critical that victims of crime are made whole, that criminals are divested of their illegal gains and that this office works hard to recover the just debts of our government,” he said.
“The men and women of the U.S. Attorneys’ offices across the country work diligently, day in and day out, to see that the citizens of our nation receive justice. The money that we are able to recover for victims and this country as a whole is a direct result of their hard work,” Director James A. Crowell, IV, Executive Office for U.S. Attorneys.
As a whole, the Justice Department collected nearly $15 billion in civil and criminal actions in the fiscal year ending Sept. 30, 2018. The $14,839,821,650 in collections in FY 2018 represents nearly seven times the appropriated $2.13 billion ($2,136,750,000) budget for the 94 U.S. Attorneys’ offices.
The U.S. Attorneys’ offices, along with the department’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to federal crime victims and to the U.S. The law requires defendants to pay restitution to victims of certain federal crimes who have suffered a physical injury or financial loss. While restitution is paid to the victim, criminal fines and felony assessments are paid to the department’s Crime Victims Fund, which distributes the funds collected to federal and state victim compensation and victim assistance programs.
The largest civil collections were from affirmative civil enforcement cases, in which the United States recovered government money lost to fraud or other misconduct or collected fines imposed on individuals and/or corporations for violations of federal health, safety, civil rights or environmental laws. In addition, civil debts were collected on behalf of several federal agencies, including the U.S. Department of Housing and Urban Development, the Department of Health and Human Services, the Internal Revenue Service, the Small Business Administration and the Department of Education.
Additionally, the U.S. Attorneys’ offices, working with partner agencies and divisions, collected $30,272,272 in asset forfeiture actions in FY 2018. Forfeited assets deposited into the Department of Justice Asset Forfeiture Fund are used to restore funds to crime victims and for a variety of law enforcement purposes. Forfeited assets include currency and bank accounts, real property and cars purchased with illegal proceeds or used to facilitate crimes, guns held by convicted felons, and computers used for child pornography.
XXX
McKees Rocks Man Sentenced for Role in Marriage ScamRead the Press Release
PITTSBURGH - A resident of Allegheny County, Pennsylvania, has been sentenced in federal court to one year of probation on his conviction of conspiracy to defraud the United States and to commit offenses against the United States, United States Attorney Scott W. Brady announced today.
Senior United States District Judge Donetta Ambrose imposed sentence on Norman Lee McCullough, 55, of McKees Rocks, PA.
In connection with sentencing, the court was advised that from June 2016 to May 4, 2017, McCullough conspired with two other individuals to defraud the Department of Homeland Security, Citizenship and Immigration Services. McCullough, a United States Citizen, received money and entered into a sham marriage with a Nigerian citizen so that the Nigerian citizen could obtain legal permanent residency in the United States. McCullough also submitted false statements and documents to the Department of Homeland Security, Citizenship and Immigration Services.
Assistant United States Attorney Mary McKeen Houghton prosecuted the case on behalf of the government.
United States Attorney Brady commended the Department of Homeland Security, Homeland Security Investigations (HSI), for conducting the investigation in this case.