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4 March 2019
Leader of Queens-Based Non-Profit Organization Pleads Guilty for Her Role in Visa Fraud SchemeRead the Press Release
Earlier today in federal court in Brooklyn, Stella Boyadjian, the operator of a non-profit organization called Big Apple Music Awards Foundation Inc. (BAMA), based in Rego Park, New York, pleaded guilty to conspiracy to bring aliens unlawfully into the United States, visa fraud, and aggravated identity theft. The guilty plea was entered before United States Magistrate Judge Sanket J. Bulsara.
Richard P. Donoghue, United States Attorney for the Eastern District of New York, Brian A. Benczkowski, Assistant Attorney General of the Justice Department’s Criminal Division, and Christian J. Schurman, Principal Deputy Assistant Secretary for Diplomatic Security and Director for Diplomatic Security Service, announced the guilty plea.
Between January 2013 and December 2014, Boyadjian and others (the conspirators) engaged in a widespread visa fraud scheme to bring foreign nationals illegally into the United States by fraudulently claiming to the United States Citizenship and Immigration Services (USCIS) that they were members of traditional Armenian performance groups and thus qualified for P-3 visas as “culturally unique” artists or entertainers.
The conspirators solicited foreign nationals and, in exchange for fees up to $10,000, prepared and filed fraudulent P-3 visa applications. In furtherance of the scheme, the conspirators purchased fraudulent documentation to support the applications, including fake dance certificates and staged photo sessions where the foreign nationals wore Armenian dance costumes to make it appear as though they were traditional Armenian musicians, singers and performers. Once successfully in the United States, some recipients of the fraudulently obtained P-3 visas paid additional fees to the conspirators to obtain extensions of their stays in the United States.
When sentenced, Boyadjian faces a maximum of 10 years’ imprisonment for visa fraud, and an additional mandatory consecutive sentence of two years’ imprisonment for aggravated identity theft.
This case is a joint investigation by the Diplomatic Security Service’s Criminal Fraud Investigations and Overseas Criminal Investigations Divisions, with assistance from the U.S. Citizenship and Immigration Services Fraud Detection and National Security Directorate.
The government’s case is being prosecuted by Assistant United States Attorney David Gopstein and Trial Attorney Sasha N. Rutizer of the Criminal Division’s Human Rights and Special Prosecutions Section.
The Defendant:
STELLA BOYADJIAN
Age: 48
Rego Park, New YorkE.D.N.Y. Docket No. 18-CR-57 (MKB)
Leader and Member 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 Maximillian Sams, 31, of Elmira, who was convicted of conspiracy to possess with intent to distribute, and to distribute, 100 grams or more of a fentanyl analogue, was sentenced to serve 210 months in federal prison by Chief U.S. District Judge Frank P. Geraci, Jr. In addition, Chad Smith, 27, of Horseheads, NY, who was convicted of conspiracy to possess with intent to distribute, and distribute, U-47700, was sentenced to serve 22 months in prison.
Assistant U.S. Attorney Brett A. Harvey, who handled the case, stated that Sams, along with co-conspirator Robert Ian Thatcher, ran 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, Thatcher and Sams imported bulk quantities of furanyl fentanyl and U-47700 from overseas suppliers China. They ordered the furanyl fentanyl and U-47700 on what is known as “the dark web,” and used different people and addresses in New York and Pennsylvania to receive the shipments. Sams and Thatcher 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 and U-47700. The pills were made to look like legitimate 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, but survived after being treated by first responders with Narcan.
Sams and Thatcher 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 the defendant 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, Sams and Thatcher would distribute them in large quantities to other co-conspirators – including Anthony Prettyman, Jesus Rivera, 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. 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. Seven defendants have been sentenced: Thatcher was sentenced to serve 23 years 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; Anthony J. Prettyman was sentenced to serve 125 months in federal prison; Dwayne Banks was sentenced to 108 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.
The sentencing is 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 Christopher J. Moss; 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.
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Las Vegas Man Sentenced to Nearly Five Years in Prison for Distribution of FentanylRead the Press Release
LAS VEGAS, Nev. – A 30-year-old man was sentenced today to 57 months in federal prison after he pleaded guilty to selling Fentanyl, a dangerous synthetic opioid with the street name “China White,” in North Las Vegas, announced U.S. Attorney Nicholas A. Trutanich for the District of Nevada.
Angel Garcia Flores, of Las Vegas, pleaded guilty to conspiracy to distribute Fentanyl and was sentenced by U.S. District Judge James C. Mahan. In addition to the prison term, Flores was sentenced to three years of supervised release following his release from prison.
As part of a drug conspiracy, on January 30, 2018, Flores and others agreed to sell approximately 4,550 grams, or 10 pounds, of Fentanyl for $200,000. The mid-day drug sale took place at a gas station in North Las Vegas while other customers were present. A co-conspirator gave Flores a firearm and was told to watch the other person’s back during the drug transaction.
Co-conspirator Archie Elmer-Lokela Gorai pleaded guilty and was sentenced to 57 months in prison.
The case was investigated by the FBI, ATF, and Nevada Gaming Control Board. Assistant U.S. Attorney Brandon Jaroch prosecuted the case.
Fentanyl poses a high risk of death not only to users, but to law enforcement since the drug may be ingested, inhaled, or absorbed through the skin. A few milligrams, which is equivalent to a few grains of table salt may be deadly. The powerful synthetic opioid is 80 to 100 times stronger than morphine and is added to heroin to increase its potency. Many users believe that they are purchasing heroin and actually don’t know that they are purchasing Fentanyl – which often results in overdose deaths.
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Lancaster County Man Pleads Guilty to Burglary of A Pharmacy and Firearm OffensesRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that on March 4, 2019, Henry Morales, age 24, of Lancaster, Pennsylvania, pleaded guilty before United States Magistrate Judge Susan E. Schwab to conspiracy and burglary of a pharmacy, conspiracy and possession of stolen firearms, and possession of firearms as a convicted felon.
According to United States Attorney David J. Freed, on January 16, 2018, Morales and his three codefendants broke into the Medicine Shop in Lebanon and stole cough syrup and Viagra. Approximately thirty minutes later, the defendants then broke into the Horseshoe Pike Gunshop in Palmyra by throwing a cinder block through a glass window and stole twelve firearms and an antique firearm.
The investigation was conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Lebanon and Palmyra Police Departments. Assistant United States Attorney Scott R. Ford is prosecuting the case.
This case is part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement 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 enforcement and the local community to develop effective, locally-based strategies to reduce crime.
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 for these offenses is 55 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.
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Kings County Woman Sentenced to 10 Years in Prison for Distributing MethamphetamineRead the Press Release
FRESNO, Calif. — Nancy Lopez Perez, 44, of Lemoore, was sentenced today to 10 years in prison for distributing methamphetamine, U.S. Attorney McGregor W. Scott announced.
According to court documents, Perez obtained and delivered methamphetamine and two assault rifles during an undercover transaction on the side of the road in rural Fresno County. Three additional firearms were seized from Perez’s residence during a follow-up search. As a convicted felon, Perez was prohibited from possessing firearms.
This case was the product of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation by the Federal Bureau of Investigation, Bureau of Alcohol, Tobacco, Firearms, and Explosives, and the Kings County Narcotic Task Force. The OCDETF program was established in 1982 to conduct comprehensive, multilevel attacks on major drug trafficking and money laundering organizations. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking and money laundering organizations and those primarily responsible for the nation’s drug supply. Assistant U.S. Attorney Karen A. Escobar prosecuted the case.
KCK Man Sentenced for Distributing Child PornographyRead the Press Release
KANSAS CITY, KAN. – A Kansas City, Kan., man who told investigators he had been viewing child pornography online for decades was sentenced today to 10 years in federal prison, U.S. Attorney Stephan McAllister said.
David Lehman, 51, Kansas City, Kan., pleaded guilty to one count of receiving and distributing child pornography. In his plea, Lehman admitted that an investigator used a peer-to-peer file-sharing program to download child pornography from Lehman’s computer. The National Center for Missing and Exploited Children identified more than 6,000 images and 83 videos containing images of victims who investigators previously had identified.
In his plea agreement, Lehman agreed to pay $2,000 in restitution to each of nine identified victims.
McAllister commended the FBI and Assistant U.S. Attorney Kim Flannigan for their work on the case.
Jackson Man Sentenced to Almost Five Years in Prison Under Project EJECT for Carjacking a Woman and ChildRead the Press Release
Jackson, Miss. – Derrion Stewart, 20, of Jackson, was sentenced Friday by Chief U.S. District Judge Daniel P. Jordan III to serve 57 months in federal prison, followed by a three years of supervised release, for carjacking, announced U.S. Attorney Mike Hurst and Christopher Freeze, Special Agent in Charge of the Federal Bureau of Investigation in Mississippi. Stewart was also ordered to pay $5,000 in restitution to the victim.
On June 27, 2017, Byram Police officers responded to a carjacking at the Little Blessings Childcare Center. Upon arrival, the victim told officers that she and her nine year old son had been carjacked of her vehicle as she prepared to leave work. Onstar was able to locate and disable the vehicle at a gas station in Jackson. Through the investigation, law enforcement officers discovered a cell phone in the vehicle that belonged to one of the carjackers. Analysis of the phone showed that it belonged to Derrion Stewart.
On September 9, 2017, Stewart was indicted for carjacking. On October 17, 2018, he pled guilty to the charge.
This case was investigated by the Federal Bureau of Investigation and the Byram Police Department. It was prosecuted by Assistant United States Attorney Chris Wansley.
This case is part of Project EJECT, an initiative by the U.S. Attorney’s Office for the Southern District of Mississippi under the U.S. Department of Justice’s Project Safe Neighborhoods (PSN). EJECT is a holistic, multi-disciplinary approach to fighting and reducing violent crime through prosecution, prevention, re-entry and awareness. EJECT stands for "Empower Justice Expel Crime Together." PSN is bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Former Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
Huntington Woman Sentenced for Federal Heroin CrimeRead the Press Release
HUNTINGTON, W.Va. – A Huntington woman caught selling heroin in April of last year was sentenced today to 21 months in federal prison, announced United States Attorney Mike Stuart. Shirley Lacieann Burlile, 27, previously pled guilty to distributing heroin in federal court in Huntington. Stuart commended the investigative efforts of the FBI Drug Task Force and the Cabell County Sheriff’s Department.
“Huntington has been deluged with heroin,” said United States Attorney Mike Stuart. “But in a concentrated effort with law enforcement, we have prosecuted every trafficker we could identify, and we’re seeing progress as a result of our efforts.”
On April 4, 2018, a confidential informant contacted Burlile and another individual to arrange a purchase of heroin. During the telephone call, the informant was directed to come to Burlile’s residence located at 4260 U.S. Route 60, Apartment 7 in Huntington. Shortly after, Burlile and the other individual met with the informant inside the residence and Burlile distributed heroin to the informant.
During the plea hearing, Burlile admitted that, from at least November 2017 to April 2018, she conspired with others to distribute heroin in the Huntington area. Burlile also admitted to conducting another heroin deal on April 11, 2018, in Huntington. Burlile admitted that she was responsible for the distribution of up to 100 grams of heroin during her participation in the conspiracy.
Assistant United States Attorney Joseph F. Adams handled the prosecution. The sentence was imposed by United States District Judge Robert C. Chambers.
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Gretna Man Charged with StalkingRead the Press Release
NEW ORLEANS, LOUISIANA – United States Attorney Peter G. Strasser announced that ALFRED HUMBLES, age 48, was charged Thursday, February 28, 2019 in a one-count indictment with Stalking, in violation of Title 18, United States Code, Section 2261A(2)(B).
According to the indictment, from November 2018 – January 28, 2019, HUMBLES sent harassing and intimidating texts and emails to a former girlfriend. On November 29, 2018, the former girlfriend sent an email to HUMBLES indicating to him that the relationship was over, to stop having contact with her, that law enforcement had been notified and that she felt that her life was being threatened. On December 11, 2018, HUMBLES sent black roses to her place of employment. Approximately 25 texts and emails are quoted in the indictment. Among them, on January 9, 2019, HUMBLES emailed the victim and stated “I can’t think of one reason why you should be walking around breathing.” On January 15, 2019, HUMBLES emailed the victim and stated “I’m tired of playing…..pick one, either your face gets pistol whipped, house burns...” On January 23, 2019, HUMBLES emailed the victim and stated “…you don’t know what I’m capable of and you’re not untouchable.” On January 25, 2019, HUMBLES emailed the victim and stated “when my pistol is in your mouth…”
If convicted, HUMBLES faces a maximum term of imprisonment of five (5) years, a fine of $250,000, three years of supervised release, and a $100 special assessment fee.
U.S. Attorney Strasser reiterated that an indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
U.S. Attorney Strasser praised the work of the Federal Bureau of Investigation and the Plaquemines Parish Sheriff’s Office. Assistant United States Attorney Jon Maestri is in charge of the prosecution.
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Greenville Business Owners Convicted by Federal Jury of Mail and Wire Fraud ConspiracyRead the Press Release
Greenville, South Carolina ---- United States Attorney Sherri A. Lydon announced today that Jonathan E. Field, age 41, and Shena J. Field, age 40, both of Mauldin, South Carolina, were found guilty of a conspiracy to commit mail and wire fraud. A federal jury returned guilty verdicts late Friday evening after two hours of deliberation. United States District Judge Donald C. Coggins of Spartanburg received the verdict and will sentence the Fields after receiving and reviewing a Presentence Investigation Report prepared by the United States Probation Office.
Evidence presented at trial showed that the Fields owned and operated the business Reboot LLC, which purports to be a used electronics store. Reboot, however, was an organized fencing operation where shoplifters, many of whom suffered from drug addiction, unloaded their new-in-the-box stolen items for a fraction of the items’ retail value. The Fields posted the stolen items for sale on EBay and sold the items to honest purchasers who were uninformed as to the status of the items.
The evidence showed that the Fields welcomed the shoplifters’ business by not requiring production of sales receipts and implementing a no-questions-asked policy at Reboot. Store records entered into evidence showed that some shoplifters went to Reboot almost every day, and sometimes multiple times per day, to bring stolen goods. The Fields and store employees would also meet the shoplifters after hours at gas stations and other spots to receive the stolen goods. If Reboot oversold an item on EBay, the Fields would instruct selected shoplifters to obtain the item for Reboot so as to avoid bad feedback on the EBay website.
Law enforcement estimates that during the conspiracy period the Fields received hundreds of thousands of dollars in stolen merchandise. Thirteen co-conspirators have pleaded guilty and admitted their involvement in the Reboot criminal enterprise.
The maximum sentence the Fields face is 20 years in federal prison, a fine of $250,000, and three years of court-ordered supervision.
This case was investigated by the Greenville County Sheriff’s Office and the United States Secret Service. Assistant United States Attorneys Andrew B. Moorman, Sr., and Bill Watkins of the Greenville office handled the case.
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Greece Man Sentenced on Heroin ChargeRead 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 Jeffrey West, 42, of Greece, NY, who was convicted of possession with intent to distribute heroin, was sentenced to serve 188 months in prison by U.S. District Judge Frank P. Geraci, Jr.
Assistant U.S. Attorney Cassie Kocher, who handled the case, stated that on April 19, 2018, members of the Monroe County Heroin Task Force executed a search warrant at the defendant’s home. During the search, officers located a quantity of heroin packaged for sale and a loaded .22 caliber handgun and ammunition.
The sentencing is the result of an investigation by the Monroe County Heroin Task Force, under the direction of Monroe County Sheriff Todd Baxter, and the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Special Agent-in-Charge John B. Devito, New York Field Division.
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Gaithersburg Sex Offender Indicted on Federal Charges for Possession and Distribution of Child PornographyRead the Press Release
Greenbelt, Maryland – A federal grand jury has indicted Bruce Ralph Sturtz, age 73, of Gaithersburg, Maryland, for possession and distribution of child pornography. The indictment was returned on February 25, 2019 and unsealed today upon Sturtz’s arrest.
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; and Colonel William M. Pallozzi, Superintendent of the Maryland State Police.
According to the indictment, on March 23, 2017, Sturtz allegedly distributed child pornography over the Internet. The indictment also alleges that Sturtz possessed child pornography on October 25, 2017, including an image involving a prepubescent minor. Finally, the indictment includes a special allegation that Sturtz has a prior conviction involving the sexual abuse of a minor, specifically, that on October 6, 2000, Sturtz was convicted of a third-degree sexual offense in the Circuit Court for Montgomery County.
If convicted, Sturtz faces a mandatory minimum sentence of 10 years in prison and up to 20 years in prison for possession of child pornography, and a minimum mandatory minimum sentence of 15 years in prison and up to 40 years in prison for distribution of child pornography. Sturtz had his initial appearance today in U.S. District Court in Greenbelt, and was ordered to be detained pending a detention hearing scheduled for Tuesday, March 5, 2019 at 2:00 p.m. before U.S. Magistrate Judge Timothy Sullivan.
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 was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about Internet safety education, please visit www.justice.gov/psc and click on the "Resources" tab on the left of the page.
United States Attorney Robert K. Hur commended the FBI, and the Maryland State Police Internet Crimes Against Children Task Force for their work in this investigation. Mr. Hur thanked Assistant U.S. Attorneys Leah B. Grossi and Joseph R. Baldwin, who are prosecuting the federal case.
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Fulton Sex Offender Sentenced to 15 Years for Transporting 13-Year-Old Victim to Missouri for SexRead the Press Release
JEFFERSON CITY, Mo. – A prior sex offender in Fulton, Mo., was sentenced in federal court today after his mother and grandmother transported a 13-year-old child victim from Alabama to engage in illegal sexual activity with him.
Michael James Collins, 22, was sentenced by U.S. District Judge Stephen R. Bough to 15 years in federal prison without parole. The court also sentenced Collins to 25 years of supervised release following incarceration.
Collins pleaded guilty on Nov. 26, 2018, to transporting a minor under the age of 14 across state lines with the intent to engage in illegal sexual activity and to committing the felony offense while he was under the requirement to register as a sex offender. Collins, who was a resident at the Community Supervision Center in Fulton, was on probation at the time of the offense for a prior felony conviction for sexual misconduct involving a child.
The Callaway County, Mo., Sheriff’s Department received information on Dec. 10, 2017, that a 13-year-old girl from Alabama was missing from her home. A cell phone ping placed the child victim at a residence in Fulton, where she was located and removed.
Collins admitted that he paid his grandmother $400 to go to Alabama to pick up the child victim, whom he met on a dating website in July 2017. Collins’s mother was with his grandmother when the child victim was picked up in Alabama and transported to Missouri. Collins’s grandmother and mother also transported the child victim between the Fulton residence and Collins’s residence at the Community Supervision Center when they were taking Collins back and forth to work. Collins admitted to engaging in sexual activity with the child victim while being transported by his grandmother and mother in their minivan to his place of employment.
Collins and the child victim communicated with each other from July to December 2017 via cell phone, Facebook Messenger and other apps, which was a violation of Collins’s probation. Collins accessed the internet using his cell phone as well as his mother’s cell phone. Collins and the child victim talked about having sex, had telephone sex and engaged in sexual role-playing that is commonly known as “sexting.” Collins’s mother and the child victim also communicated regularly using Facebook Messenger.
This case was prosecuted by Assistant U.S. Attorney Ashley S. Turner. It was investigated by the Callaway County, Mo., Sheriff’s Department, the Fulton, Mo., Police Department, the FBI, the Callaway County, Mo., Prosecutor’s Office and the Callaway County Children’s Division.
Project Safe Childhood
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."Former Navy Sailor Sentenced to Prison for Illegally Trafficking FirearmsRead the Press Release
NORFOLK, Va. – A former U.S. Navy sailor was sentenced today to two and a half years in prison for trafficking at least 60 firearms, including several firearms that ended up in the hands of prohibited persons.
“Pino used his military discount to illegally traffick at least 60 firearms,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “This case is a prime example of our conscious effort to aggressively pursue this criminal conduct which puts illegally straw purchased firearms into the hands of prohibited persons. Together with our law enforcement partners we remain committed to our mission of public safety and will continue to aggressively pursue those who choose to endanger the safety of the communities we serve.”
According to court documents, Julio Fernando Pino, 26, used his military discount to purchase and resell firearms at a profit without a federal license to do so. From November 2015 to January 2017, Pino purchased at least 60 firearms and resold at least 23 firearms at a profit, despite being told by ATF agents multiple times to stop selling these firearms. Several of the firearms fell into the hands of prohibited persons, such as felon gang members and juveniles, and were later linked to violent crimes.
This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Ashan M. Benedict, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives’ (ATF) Washington Field Division, made the announcement after sentencing by Senior U.S. District Judge Robert G. Doumar. Assistant U.S. Attorney William B. Jackson prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:17-cr-70.
Former Madison Resident Pleads Guilty to Tax EvasionRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, and Kristina O’Connell, Special Agent in Charge of IRS Criminal Investigation in New England, announced that THERESA FOREMAN, 57, of St. Cloud, Florida, formerly of Madison, Connecticut, waived her right to be indicted and pleaded guilty today before U.S. District Judge Victor A. Bolden in Bridgeport to one count of tax evasion.
According to court documents and statements made in court, Foreman operated Equinox Home Care, LLC, a home healthcare staffing agency based in Stratford, Connecticut. Beginning as early as 2012, Foreman took money out of the company by depositing or cashing, and causing to be deposited or cashed, checks written to individuals who did not actually work for Equinox Home Care. Between May 2012 and December 2013, approximately $413,000 in payroll checks to these “ghost employees” were deposited into accounts controlled by Foreman’s brother. During the same period, approximately $465,000 was withdrawn from the accounts in cash, cash back from deposits, or checks payable to Foreman. Foreman also had employees cash company checks and return the funds to her, and she cashed or caused to be cashed mileage reimbursement checks made out to other individuals and used the funds for her own benefit.
The investigation also revealed that between August 2014 and November 2015, Foreman made or caused to be made 101 cash deposits totaling $580,580 to a bank account in a family member’s name.
Foreman failed to report the amounts that she received through this scheme on her federal tax returns for 2012, 2013, and 2014. Foreman also owed tax for the 2010 and 2011 tax years and, on a statement submitted to the IRS, provided false information about her income and assets. In pleading guilty, Foreman agreed that her conduct for the 2010 through 2014 tax years has resulted in a loss of $712,445.71 to the Internal Revenue Service.
When she is sentenced, Foreman faces a maximum term of imprisonment of five years, a fine and an order of restitution. A sentencing date is not scheduled.
Foreman is a released on a $10,000 bond pending sentencing.
This matter is being investigated by the Internal Revenue Service – Criminal Investigation Division. The case is being prosecuted by Assistant U.S. Attorneys Peter S. Jongbloed and Jennifer R. Laraia.
Former Erie Resident Pleads Guilty in Project Safe Childhood CaseRead the Press Release
ERIE, Pa. - A former resident of Erie, Pennsylvania, pleaded guilty in federal court to a charge of violating federal laws relating to the sexual exploitation of children, United States Attorney Scott W. Brady announced today.
Terry Chase White, 51, pleaded guilty to one count before United States District Judge David S. Cercone.
In connection with the guilty plea, the court was advised that White received computer images and movies depicting prepubescent minors engaging in sexually explicit conduct.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Judge Cercone scheduled sentencing for July 15, 2019 at 12:45 p.m. The law provides for a total sentence of 20 years in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Christian A. Trabold is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation and the Pennsylvania State Police conducted the investigation that led to the prosecution of White.
Former Cisco Systems Employee ArrestedRead the Press Release
SAN FRANCISCO – Prithviraj R. Bhikha, a former employee of Cisco Systems, Inc. (Cisco), was charged in a criminal complaint with wire fraud, announced United States Attorney David L. Anderson and Federal Bureau of Investigation Special Agent in Charge John F. Bennett. The criminal complaint was unsealed today following Bhikha’s arrest on Friday, March 1, 2019, at the San Francisco International Airport.
According to an affidavit filed by a special agent of the Federal Bureau of Investigation, Bhikha, 50, of San Francisco, was employed until mid-2017 by Cisco as a director in its global supply unit in San Jose, Calif. That unit was in charge of working with suppliers and vendors to obtain parts for Cisco products. In or about 2013, Bhikha is alleged to have begun advocating within Cisco for the approval of a new project, of which he would be in charge, the goal of which was for Cisco to retain third-party vendors to negotiate savings with manufacturers on small parts used in Cisco products. The complaint affidavit alleges that Bhikha devised, participated in, and executed a scheme to defraud Cisco by establishing overseas business entities, then directing and approving Cisco contracts to these entities pursuant to the aforementioned project, and failing to disclose his ownership interest in the overseas entities. The affidavit alleges that Cisco wired approximately $6.5 million to one of these entities and approximately $2.8 million to another. The affidavit also alleges more than $8.5 million was wired from bank accounts associated with these two overseas entities to U.S. bank accounts either controlled jointly by Bhikha and his wife or by his wife alone.
The complaint affidavit also alleges that, when Cisco employees became suspicious regarding one of Bhikha’s overseas entities in 2016, Bhikha and another Cisco employee worked together to create documentation to send to Cisco employees regarding that company. The other Cisco employee is also alleged to have asked a third party to pose as the CEO of the overseas entity in a meeting with Cisco employees in July 2016. Bhikha is charged with one count of wire fraud, in violation of 18 U.S.C. § 1343.
Bhikha made his initial appearance this morning in federal court before U.S. Magistrate Judge Joseph C. Spero. Magistrate Judge Spero released Bhikha on a $3,000,000 bond and scheduled his next court appearance for March 18, 2019, for preliminary hearing or arraignment.
A criminal complaint merely alleges that crimes have been committed, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt. If convicted on the charge in the criminal complaint, the defendant would face a maximum sentence of 20 years’ imprisonment, and a fine of $250,000, plus restitution if appropriate. However, any sentence following conviction would be imposed by the court after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Assistant U.S. Attorney Kyle Waldinger is prosecuting the case with the assistance of Rosario Calderon and Bridget Kilkenny. The prosecution is the result of an investigation by the Federal Bureau of Investigation.
Former Callaway County Collector Sentenced for Stealing Nearly $300,000Read the Press Release
JEFFERSON CITY, Mo. – The former Callaway County Collector was sentenced in federal court today for embezzling nearly $300,000 from Callaway County taxpayers.
Pamela J. Oestreich, 60, of Fulton, Mo., was sentenced by U.S. District Judge Stephen R. Bough to two years and six months in federal prison without parole. Oestreich was immediately taken into custody at the conclusion of today’s sentencing hearing to begin serving her sentence.
The court also ordered Oestreich to pay $379,588 in restitution to the county, which includes approximately $280,000 in direct damages and $99,588 in indirect damages (such as audit expenses) resulting from her theft. In a memorandum to the court, the government recommends that, if Oestreich is unable to pay the full restitution within 30 days, the court should order her to turn over her half-interest in the sale of her home (which she owns outright with her husband), to pay 25 percent of her monthly pension benefits from the County Employees’ Retirement Fund, and to liquidate one of cars she owns with her husband as well as her part-interest in a residence she owns with her siblings.
On Sept. 24, 2018, Oestreich pleaded guilty to stealing from an organization that receives federal funds.
Oestreich, who was elected as the Callaway County Collector in November 2002, admitted that she disbursed taxpayer funds for her personal use on 103 occasions beginning in September 2015. Oestreich deposited taxpayer funds directly into her personal bank account. Oestreich also moved taxpayer funds between Callaway County bank accounts to conceal her theft of cash deposits made by taxpayers at the Callaway County Courthouse. The total amount embezzled by Oestreich from Callaway County taxpayers was $299,387.
Oestreich resigned from her office on March 15, 2018, when confronted by the Callaway County Sheriff and FBI agents.
During the course of her theft of public money, Oestreich made payments totaling $19,430 from her personal bank account into Callaway County Collector accounts to hide her theft, which reduced the amount of restitution ordered by the court.
This case was prosecuted by Supervisory Assistant U.S. Attorney Michael S. Oliver. It was investigated by the Callaway County, Mo., Sheriff’s Office and the FBI.
Former Allen County Sheriff pleads guilty to extortion and soliciting bribesRead the Press Release
The former Allen County Sheriff pleaded guilty to for asking for and taking bribes from people arrested in prostitution stings, suspected gamblers and others.
Samuel A. Crish, 56, is scheduled to be sentenced later this year. He pleaded guilty to multiple counts of extortion and soliciting bribes.
“The conduct Mr. Crish admitted to is as offensive as it is audacious,” U.S. Attorney Justin E. Herdman said. “Demanding bribes from gamblers and johns arrested in prostitution stings reads like something out of a bad movie. This defendant let down the people of Allen County and the men and women who served with him at the Sheriff’s Office. He does not represent the vast majority of law enforcement, and he will now be held accountable for his crimes.”
“Mr. Crish tarnished his badge when he chose to use his official capacity to influence criminal investigations and to protect self-interests,” said FBI Special Agent in Charge Eric Smith. “As a law enforcement officer and county sheriff sworn to uphold the law, his conduct was abhorrent. We are pleased that Mr. Crish has now accepted responsibility for his actions.”
Court documents detail Crish extorting or soliciting tens of thousands of dollars from several people between 2012 and 2016.
According to court documents:
Crish joined the Allen County Sheriff’s Office in 1991, where he held numerous positions, including commander of the office’s Investigative Division and the West Central Ohio Crime Task Force (WCOCTF). He was elected sheriff in 2008, 2012 and 2016.
In June 2012, Crish approached a person identified in the charges as Person 1 and asked Person 1 for $8,000, falsely stating he needed the money to cover medical bills. Person 1 gave Crish the money in cash in an alley behind the sheriff’s office in July 2012.
Two months later, Person 1 applied for the position of nurse at the Allen County Jail, which Crish oversaw. Based on conversations with Crish, Person 1 understood the job was theirs. Crish stated in October 2012 he would try to hire Person 1 as nurse. In the same conversation, he stated he needed $42,000 to pay his debts and asked if Person 1 could help.
Person 1 took out a home equity line of credit and, on Oct. 12, 2012, gave Crish a check for $42,000 in the alley behind the sheriff’s office. Crish agreed to repay the money in monthly increments of $480. On Dec. 15, 2012, Person 1 was hired by the Allen County Sheriff’s Office to work as the nurse at the county jail.
Person 3 operated a used car business and was arrested by members of the sheriff’s office and WCOCTF on Aug. 19, 2015 during a prostitution sting. He was charged with solicitation in Lima Municipal Court.
Crish visited Person 3’s business several times in August and September 2015, at one point asking Person 3 for a $7,000 loan. Person 3 gave Crish a check for $7,000 on Sept. 25, 2015.
Crish met with prosecutors and law enforcement officials about Person 3’s case on Nov. 24, 2015, and demanded the Lima City Attorney’s Office drop the charges. The solicitation case was dismissed on Feb. 18, 2016. Eight days later, Crish texted Person 3 to meet, where they discussed the dismissal of Person 3’s case.
Person 4 operated a used car business in Elida, Ohio. Crish asked Person 4 in September 2015 to work as an informant. He also asked Person 4 to loan him $10,000.
Person 4 gave Crish $10,000 in cash on Nov. 3, 2015. The next day, Person 4 was arrested at a motel in Lima as part of a prostitution sting operation. Following his arrest, Person 4 asked to speak to Crish. All of the other men arrested were charged.
Crish visited Person 4’s business on Nov. 5, 2015, and told him not to worry about the arrest because he was working for Crish.
Crish visited Person 4’s business again on Nov. 17, 2015, and asked for $500. Person 4 insisted Crish would have to pay back the $500, unlike the previous $10,000. Crish called Person 4 in May 2016 and told him he was “fine” referring to the charges for the prostitution arrest.
Person 5 owned a grocery store in Allen County. Crish stopped by Person 5’s business in October 2015 to ask for a loan. Crish inferred during the visit that an agency was coming to investigate Person 5’s business for suspected illegal gambling operations, but that Crish could stop the investigation if Person 5 provided Crish with a loan.
Person 5 gave Crish a $2,000 loan in October 2015, which Crish repaid without interest.
This case was investigated by the FBI and the Ohio Bureau of Criminal Investigation. It is being prosecuted by Assistant U.S. Attorney Gene Crawford.
Five Defendants Charged with Murder in Aid of Racketeering and Other CrimesRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, Angel M. Melendez, the Special Agent-in-Charge of the New York Field Office of the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (“HSI”), and James P. O’Neill, the Commissioner of the New York City Police Department (“NYPD”), announced the unsealing of superseding federal indictments charging RICHARD DRAYTON, a/k/a “Rad,” FRANKIE REYES, a/k/a “Biscuit,” ALFREDO RODRIGUEZ, a/k/a “Fetti,” TEVIN MABLE, a/k/a “Tot,” and JORGE IRIZARRY, a/k/a “Gito,” with gang-related crimes, including the March 13, 2015, murder of Johnathan Martinez, 18, in the Bronx, New York.
U.S. Attorney Geoffrey Berman said: “As alleged, the defendants were members of a violent gang who killed a young man from their neighborhood in a pointless, gang-related dispute. We thank HSI and the NYPD for their outstanding work investigating this terrible murder. We will continue our efforts with our law enforcement partners to prevent such senseless acts of violence.”
HSI Special Agent in Charge Angel M. Melendez said: “As alleged, the individuals charged are members of the Crips gang who gunned down an 18-year-old man in the Bronx to bolster their street credibility. For this alleged violent crime, if convicted, they could face life sentences that would put an end to their racketeering and murderous ways. HSI remains committed to working alongside NYPD’s Bronx Violent Crime Squad.”
NYPD Commissioner James P. O’Neill said: “The ability of investigators to bring about justice for this young man and provide a sense of closure to his loved ones is paramount. The identification and arrest of these defendants was a team effort that would not have been possible without the close partnership that exists between the NYPD and our law-enforcement partners. I thank and commend the NYPD investigators, the Southern District of New York, and Homeland Security Investigations for their relentless work in this case.”
According to the Indictment[1]:
DRAYTON, REYES, RODRIGUEZ, MABLE, and IRIZARRY were members of the “Wild Card” set of the Crips gang. The defendants sold drugs and used guns to further the aims of the Wild Cards. On March 13, 2015, the defendants took part in the shooting murder of Johnathan Martinez in order to maintain and increase their reputation in the Wild Cards.
* * *
IRIZARRY, 25, of the Bronx, New York, was arrested on March 2, 2019, near Ocala, Florida. He was presented in federal court in the Middle District of Florida earlier today, and will be transported to the Southern District of New York to face charges. MABLE, 26, of the Bronx, New York, was arrested on February 28, 2019, near Kinston, North Carolina. He was presented in federal court in the Eastern District of North Carolina, and will also be transported to the Southern District of New York to face charges. DRAYTON, 43, of the Bronx, New York, was arrested in the Bronx on Friday, February 22, 2019, and presented in this District before United States Magistrate Judge Ona Wang the same day. REYES, 24, and RODRIGUEZ, 27, both of the Bronx, New York, were already in federal custody on other charges. This case is assigned to United States District Judge Loretta A. Preska.
Charts containing the names, charges, and maximum penalties for the defendants are set forth below. The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.
Mr. Berman praised the outstanding investigative work of the NYPD’s Bronx Violent Crime Squad and HSI’s Violent Gang Unit.
The prosecution of this case is being handled by the Office’s Violent and Organize Crime Unit. Assistant United States Attorneys Hagan Scotten, Gina Castellano, and Adam Hobson are in charge of the prosecution.
The charges contained in the Indictment are merely accusations, and the defendants are presumed innocent unless proved guilty.
COUNT
DEFENDANT(S)
MAX. TERM OF IMPRISONMENT
Count One: Conspiracy to Commit Racketeering
(18 U.S.C. § 1962(d))
Richard Drayton
Frankie Reyes
Alfredo Rodriguez
Tevin Mable
Jorge Irizarry
Life Imprisonment
Count Two: Murder in Aid of Racketeering
(18 U.S.C. § 1959(a)(1))
Richard Drayton
Frankie Reyes
Alfredo Rodriguez
Tevin Mable
Jorge Irizarry
Mandatory Minimum Sentence of Death or Life Imprisonment
Count Three: Use of a Firearm to Commit Murder (18 U.S.C. § 924(j)(1))
Richard Drayton
Frankie Reyes
Alfredo Rodriguez
Tevin Mable
Jorge Irizarry
Death or Life Imprisonment; Mandatory Minimum Sentence of 5 Years
Count Four: Use and Discharge of Firearms in Furtherance of Racketeering Conspiracy (18 U.S.C. § 924(c)(1)(A)(iii))
Richard Drayton
Frankie Reyes
Alfredo Rodriguez
Jorge Irizarry
Life Imprisonment; Mandatory Minimum Sentence of 10 Years
Count Five: Conspiracy to Distribute Narcotics (21 U.S.C. §§ 846 and 841(b)(1)(A))
Richard Drayton
Frankie Reyes
Jorge Irizarry
Tevin Mable
Life Imprisonment; Mandatory Minimum Sentence of 10 Years
Count Six: Use and Discharge of Firearms in Furtherance of Narcotics Conspiracy (18 U.S.C. § 924(c)(1)(A)(iii))
Richard Drayton
Frankie Reyes
Jorge Irizarry
Tevin Mable
Life Imprisonment; Mandatory Minimum Sentence of 10 Years
[1] As the introductory phrase signifies, the entirety of the text of the Indictment and the descriptions of the Indictment constitute only allegations, and every fact described should be treated as an allegation.
Federal Grand Jury Indicts Opelika Woman for Wire FraudRead the Press Release
BIRMINGHAM – A federal grand jury indicted a Opelika woman on multiple counts of wire fraud announced U.S. Attorney Jay E. Town and FBI Special Agent in Charge Johnnie Sharp.
Andrea Payne, 63, is charged in a ten-count indictment filed in U.S. District Court with stealing money from the Talladega County Association of Volunteer Fire Departments. Payne previously served as the Treasurer of the Talladega County Association of Volunteer Fire Departments. Between 2012 and 2018, the Association received quarterly checks from the Talladega County Commission as distributions from the two-cent sales tax revenue. The purpose of the distributions was to provide financial assistance to fifteen volunteer fire departments throughout Talladega County. As the Treasurer, Payne was responsible for receiving the funds from the Talladega County Commission and distributing the funds equally among the fifteen volunteer fire departments within Talladega County. Payne was not authorized to receive any compensation for her role as the elected Treasurer and was not authorized to use the funds for personal use. Payne embezzled funds from the Association by using the funds to pay for her personal credit card. The defendant’s scheme resulted in Payne stealing over $640,000 from the Association.
“The defendant is facing federal charges due to the outstanding work of the Talladega County Sheriff’s Office and the FBI,” Assistant U.S. Attorney Robin Beardsley Mark said. “The defendant’s actions in stealing money from local volunteer fire departments threatens the safety and security of residents of Talladega County. The money should have been used to aid in training volunteer firemen, to provide equipment and supplies, and to assist with disaster or emergency services.”
The maximum penalty for each count of wire fraud is 20 years in prison and a $250,000 fine.
The FBI investigated the case, along with the Talladega County Sheriff’s Office, which Assistant U.S. Attorney Robin Beardsley Mark is prosecuting.
An indictment contains only charges. A defendant is presumed innocent unless and until proven guilty.
###
Fayetteville Man Sentenced for Drug Distribution and Firearm OffensesRead the Press Release
RALEIGH – United States Attorney Robert J. Higdon, Jr. announced that today in federal court, United States District Judge James C. Dever III sentenced DEMETRIE EVERETT, 24, of Fayetteville, North Carolina, to 72 months imprisonment, followed by five years of supervised release.
EVERETT was named in an Indictment filed on June 13, 2018, charging him with conspiracy to distribute and possess with intent to distribute heroin and fentanyl, distribution of fentanyl, distribution of heroin, and possession of a firearm in furtherance of a drug trafficking crime. On October 18, 2018, EVERETT pled guilty to conspiracy to distribute and possess with intent to distribute heroin and fentanyl, distribution of heroin, and possession of a firearm in furtherance of a drug trafficking crime.
According to the investigation, EVERETT distributed controlled substances which led to an immediate opioid overdose in April 2018. Following this overdose, and during the course of the investigation, law enforcement conducted two purchases of narcotics from EVERETT including heroin and fentanyl. A subsequent search warrant executed at EVERETT’s residence revealed additional controlled substances, as well as a firearm.
This case was implemented through the Take Back North Carolina Initiative of the United States Attorney’s Office for the Eastern District of North Carolina. This initiative emphasizes the regional assignment of federal prosecutors to work with law enforcement and District Attorney’s Offices in those communities on a sustained basis to reduce the violent crime rate, drug trafficking, and crimes against law enforcement.
Investigation of this case was conducted by the Fayetteville Police Department and Bureau of Alcohol, Tobacco, Firearms, and Explosives. Assistant United States Attorney Lucy Partain represented the government.
FEMA Applicant Sentenced to 15 Months for FraudRead the Press Release
Orlando, Florida – U.S. District Judge Gregory A. Presnell today sentenced Sandreania Davis (46, Orlando) to one year and three months in federal prison for filing a materially false statement in an application to the Federal Emergency Management Agency (FEMA) for disaster relief benefits.
A federal jury convicted Davis on December 18, 2018.
According to the evidence presented at trial, in September 2017, Davis attempted to obtain FEMA benefits following Hurricane Irma. She did so by falsely claiming that she resided in a particular apartment in Orlando. In addition, Davis broke into the apartment to make it appear that she lived there for purposes of a FEMA inspection.
This case was investigated by the U.S. Department of Homeland Security – Office of the Inspector General. It was prosecuted by Assistant United States Attorney Emily C. L. Chang.
Erie Man Sentenced to Nearly 7 Years in Federal Prison for Violating Laws Relating to the Sexual Exploitation of ChildrenRead the Press Release
ERIE, Pa. - A resident of Erie, Pennsylvania, has been sentenced in federal court to six years and ten months in prison and ordered to make restitution in the amount of $1,000 on his conviction of violating federal laws relating to the sexual exploitation of children, United States Attorney Scott W. Brady announced today.
United States District Judge David S. Cercone imposed the sentence on Nathan Richard Kosmatine, 31.
According to information presented to the court, Kosmatine distributed, received and possessed computer images and movies depicting prepubescent minors, including infants and toddlers, engaging in sexually explicit conduct.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Assistant United States Attorney Christian A. Trabold prosecuted this case on behalf of the government.
United States Attorney Brady commended the Federal Bureau of Investigation and the Pennsylvania State Police for the investigation leading to the successful prosecution of Kosmatine.
Ellwood City Man Admits He Trafficked CocaineRead the Press Release
PITTSBURGH - A resident of Ellwood City, Pennsylvania pleaded guilty in federal court to a charge of distribution and possession with intent to distribute cocaine, United States Attorney Scott W. Brady announced today.
Jeffrey Vitale, 29, of Ellwood City pleaded guilty to one count before Senior United States District Judge Arthur J. Schwab.
In connection with the guilty plea, the court was advised that on or about February 16, 2018, Vitale distributed and possessed with intent to distribute a quantity of cocaine, a Schedule II controlled substance.
Judge Schwab scheduled sentencing for June 17, 2019 at 10:00 a.m. The law provides for a total sentence of not more than 20 years in prison, a fine not to exceed $1,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Brendan T. Conway is prosecuting this case on behalf of the government.
A federally administered Organized Crime and Drug Enforcement Task Force (OCDETF) conducted the investigation leading to the prosecution of Vitale. The task force is headed by the Drug Enforcement Administration and is comprised of members drawn from the Internal Revenue Service – Criminal Investigation, the United States Postal Inspection Service, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Lawrence County Drug Task Force, Pennsylvania Office of Attorney General, Borough of Baldwin Police Department, McKees Rocks Police Department, Munhall Police Department, Allegheny County Sheriff’s Office, Pittsburgh Bureau of Police, and the Pennsylvania State Police. The OCDETF program supplies critical federal funding and coordination that allows federal and state agencies to work together to successfully identify, investigate, and prosecute major interstate and international drug trafficking organizations and other criminal enterprises.
Duquesne Felon Illegally Possessed a Pistol and AmmunitionRead the Press Release
PITTSBURGH – An Allegheny County resident pleaded guilty in federal court to violating federal firearms laws, United States Attorney Scott W. Brady announced today.
Dontez Peoples, 27, Duquesne, Pennsylvania pleaded guilty to one count before United States District Judge Nora Barry Fischer.
In connection with the guilty plea, the court was advised that on or about May 2, 2018, Peoples possessed a loaded 9mm caliber Glock pistol and ammunition. It is unlawful for Peoples, who has previously been convicted of a crime punishable by a term of imprisonment exceeding one year, to possess a firearm or ammunition.
Judge Fischer scheduled sentencing for July 25, 2019 at 11:30 a.m. The law provides for a total sentence of 10 years in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Brendan T. Conway is prosecuting this case on behalf of the government.
The Bureau of Alcohol, Tobacco, Firearms and Explosives, the Munhall Police Department, and the Allegheny County Police Department conducted the investigation leading to the prosecution of Peoples.. This case was brought as part of Project Safe Neighborhoods (PSN). 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.
Convicted Felon Sentenced to Prison for Firearms ConspiracyRead the Press Release
NORFOLK, Va. – A Franklin man was sentenced today to more than seven years in prison for his role in a conspiracy to straw-purchase firearms.
According to court documents, Khary Deshun Smith, 25, and several co-defendants were members of a conspiracy that straw-purchased at least seven firearms from federally licensed firearms dealers in Franklin.
Smith, who was prohibited from possessing firearms due to earlier federal felony convictions, illegally purchased a firearm with the assistance of his co-defendant, Larry Parrish, who straw-purchased the firearm from a federally licensed gun store. In another instance, Smith stole a firearm from his girlfriend, loaded it with an extended magazine, and used it in a firefight with enemy gang members. When law enforcement executed the arrest warrant issued in this case, they discovered a third firearm tucked under a chair cushion in Smith’s living room within arms’ reach of minors.
This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Ashan M. Benedict, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives’ (ATF) Washington Field Division; Michael K. Lamonea, Assistant Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Norfolk; and Robert Porti, Deputy Chief of the City of Franklin Police Department, made the announcement after sentencing by Senior U.S. District Judge Robert G. Doumar. Assistant U.S. Attorney William B. Jackson prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:18-cr-150-2.
Columbia Man Charged with Arson at Planned Parenthood ClinicRead the Press Release
JEFFERSON CITY, Mo. – A Columbia, Mo., man was charged in federal court today with the arson at the Columbia Health Center (operated by Planned Parenthood Great Plains) on Feb. 10, 2019.
Wesley Brian Kaster, 42, was charged in a criminal complaint filed in the U.S. District Court in Jefferson City, Mo., with one count of maliciously damaging a building, owned by an organization the receives federal financial assistance, by means of fire or an explosive. Kaster, who was arrested on Saturday, March 2, 2019, remains in federal custody pending a detention hearing on Thursday, March 7, 2019.
According to an affidavit filed in support of today’s federal criminal complaint, surveillance video from Planned Parenthood and from neighboring businesses recorded Kaster in the early morning hours of Feb. 10, 2019. He parked his Toyota Sienna minivan (missing the right front passenger-side hubcap) nearby at about 2:30 a.m. and carried a seemingly heavy white bucket to the north exterior door of the Planned Parenthood building. Kaster broke the front door, the affidavit says, placed the bucket inside the building, and threw a Molotov cocktail-type device inside the building. Kaster remained standing on the sidewalk outside the door, watching the inside of the building. Kaster then allegedly entered the building through the broken door. No explosion or fire was visible at this time.
At approximately 2:52 a.m., the affidavit says, two unidentified pedestrians approached and Kaster fled east across Providence Road. Kaster walked to where his vehicle was parked and drove away. At this time, there was no discernable smoke or active fire at the Planned Parenthood building.
Kaster returned at about 4 a.m., according to the affidavit. Surveillance video recorded Kaster walking to the Planned Parenthood door with what the affidavit describes as “an undiscernible item in his left hand.” At 4:03 a.m., smoke is visible billowing from the broken glass door of the Planned Parenthood building. Kaster fled north along the west side of Providence Road, and west along 4th Avenue, out of view.
The Columbia Fire Department received the fire alarm at the Planned Parenthood building at approximately 4:05 a.m. Firefighters observed that the north exterior door of the building, which was constructed of glass inside a frame, had been shattered and an accelerant fueled the fire that was set inside. The fire was fully extinguished by a fire sprinkler system before firefighters arrived, and only moderate fire damage was observed to the room and its contents. Among the evidence collected at the scene by investigators were two five-gallon buckets that had contained gasoline, one inside of the other, found lying on the floor just inside the broken doorway. Investigators also recovered the remains of a Molotov cocktail.
Investigators identified 55 Toyota Sienna minivans registered by Columbia residents, one of which was registered by Kaster. Investigators also received records from Lowe’s for a list of all recent purchases of five-gallon buckets from area stores in 2019, which included a purchase by Kaster. Surveillance videos related to that purchase, according to the affidavit, clearly captured Kaster’s face and physical features.
Investigators contacted Kaster’s employer, a light manufacturing business in Jefferson City, where he works as a floor supervisor in the welding shop. According to the affidavit, Kaster had acquired a pair of Ansell HyFlex gloves, which are cut and abrasion resistant, which were the same make, model, color and size gloves recovered from the Planned Parenthood building.
Investigators searched social media accounts connected to Kaster. On Oct. 25, 2015, a picture was posted to the Facebook page of Kaster’s wife depicting a handgun and the words, “Guns Don’t Kill People, Planned Parenthood Kills People.”
Multiple federal search warrants were executed on Saturday, March 2, 2019. Investigators searched Kaster’s minivan a few minutes after he left his workplace that morning and took Kaster to obtain hair specimens. Investigators searched Kaster’s residence, the affidavit says, where numerous items of evidence were collected that definitively tied Kaster to the crime scene at Planned Parenthood. Based on these facts, Kaster was arrested at 11:07 a.m.
The charge contained in this complaint is simply an accusation, and not evidence of guilt. Evidence supporting the charge must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Supervisory Assistant U.S. Attorney Michael S. Oliver. It was investigated by the FBI.
City of Fort Lauderdale Department of Parks and Recreation Employee Sentenced to Fifteen Month in PrisonRead the Press Release
On March 1, 2019, two individuals, including a City of Fort Lauderdale Parks and Recreation Department employee, were sentenced by U.S. District Judge Beth Bloom in Miami.
Ariana Fajardo Orshan, United States Attorney for the Southern District of Florida, George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, and Rick Maglione, Chief, Fort Lauderdale Police Department (FLPD), made the announcement.
Phillip Richard Peterson, 42, of Coral Springs, Florida, pled guilty on December 19, 2018, to five counts of theft from a program receiving federal funds and conspiracy to commit wire fraud, in violation of Title 18, United States Code, Sections 666, 1343 and 1349. Each theft count covers a single year, beginning in 2013 and running through 2017. Peterson was sentenced to 15 months’ imprisonment on each count, to be served concurrently, and three years of supervised release after the termination of his prison term. Peterson was also ordered to pay $119,982.69 in restitution to the City of Fort Lauderdale. Gino Joseph Ferraro, age 49, of Fort Lauderdale, Florida, also pled guilty on December 19, 2018, to one count of conspiracy to commit wire fraud. He was sentenced to five years of probation, a $2,000 fine, and ordered to complete 200 hours of community service. Ferraro was also ordered to pay $24,337 in restitution to the City of Fort Lauderdale.
According to the court record, including the defendants’ admissions as part of their pleas, Peterson had been issued a credit card by the City of Fort Lauderdale in connection with his employment to allow him to make job related purchases, on behalf of the Department of Parks and Recreation. Peterson admitted he would purchase items using his City of Fort Lauderdale credit card, and then sell the items to a local pawn store. Each year, between 2013 and 2017, Peterson sold more than $5,000 worth of merchandise in this manner.
Peterson and Ferraro were both sentenced on one count of conspiracy to commit wire fraud. Both Peterson and Ferraro unjustly enriched themselves by charging the City of Fort Lauderdale Parks and Recreation Department for volleyball court repairs and other items that were not completed or provided. Ferraro admitted that Peterson had paid him using his City issued credit card, and he would give Peterson approximately half of the amount that had been charged.
U.S. Attorney Fajardo Orshan commended the investigative efforts of the FBI and FLPD in this matter. This case was prosecuted by Assistant U.S. Attorney Cynthia R. Wood.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov.
California Woman Sentenced to 2 Years in Federal Prison After Making Bomb Threat to Myrtle Beach International AirportRead the Press Release
Florence, South Carolina ---- United States Attorney Sherri A. Lydon announced today that Michelle Bryant, age 47, of Mission Viejo, California, was sentenced in federal court after pleading guilty to three counts of Intentionally Conveying False and Misleading Information. The information concerned several false claims of explosive devices placed at the Myrtle Beach International Airport (MBIA). Chief United States District Judge R. Bryan Harwell of Florence sentenced Bryant to 24 months in federal prison, to be followed by 3 years of court-ordered supervision. There is no parole in the federal system.
Bryant was also ordered to pay the Horry County Airport Authority $12,822.40 in restitution to reimburse the MBIA for their purchase of a full-time bomb detection dog and a trained handler. Law enforcement acquired these assets to deal with this case and to protect future visitors to MBIA.
Evidence presented to the court established that from March through August 2017, Bryant placed five telephonic bomb threats to the MBIA. Investigators obtained records from an international telecommunications company and interviewed a multitude of individuals to narrow the field of potential suspects. In February 2018, the FBI identified Bryant as a potential suspect and interviewed her at her residence in California. Once confronted, she admitted to placing the series of telephone calls, each one falsely claiming a different attack was about to occur. She told investigators the motive for the hoaxes was revenge for a failed relationship with an individual who had ties to the airport.
The case was investigated by the Federal Bureau of Investigation with the assistance of the Myrtle Beach Police Department, the Horry County Police Department, and the Los Angeles County Sheriff’s Office. Special Assistant United States Attorney and Chief Deputy Solicitor Scott Hixson of the 15th Circuit Solicitor’s Office prosecuted the case.
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California Man Sentenced for Meth ConspiracyRead the Press Release
JEFFERSON CITY, Mo. – A Compton, Calif., man was sentenced in federal court today for his role in a conspiracy to distribute methamphetamine through the mail.
Shadeed Seifullah Muhammad, 42, was sentenced by U.S. District Judge Stephen R. Bough to 11 years and three months in federal prison without parole.
On Sept. 10, 2018, Muhammad pleaded guilty to participating in a conspiracy to distribute methamphetamine from April 4, 2016, to April 4, 2017.
On March 9, 2016, Muhammad mailed a U.S. Priority Mail package from the state of California to an address in Jefferson City, Mo. The package, which had been tracked by Muhammad and co-conspirator Javiar Rosser, 32, of Jefferson City, was seized by law enforcement and sent to the U.S. Postal Inspection Service Laboratory; it was determined that the substance contained approximately 894 grams of pure methamphetamine.
Muhammad mailed a U.S. Priority Mail Package from the state of California on April 4, 2016, to a residence in Columbia, Mo. The package was intended for Rosser. James Alexander Larkins, 39, of Columbia, accepted delivery of the package, and Robert Istill McNair, 32, of Jefferson City, transported the package and was en route to Jefferson City when officers made a traffic stop. The package was seized and sent to the U.S. Postal Inspection Service Laboratory; it was determined that the substance contained approximately 810 grams of pure methamphetamine.
On March 30, 2017, Muhammad mailed another package from a post office in the state of California that was addressed to a residence at Lincoln University in Jefferson City. It was also intended for Rosser. The package was accepted by an unknowing Lincoln student at the request of fellow student Bria Royale Lanier-Richie, 24, of Jefferson City. Lanier-Richie intended to give the package to Rosser. The package was seized by law enforcement and was also sent to the U.S. Postal Inspection Service Laboratory; it was determined that the substance contained approximately 856 grams of pure methamphetamine.
Co-conspirators McNair, Rosser, Lanier-Richie and Larkins have pleaded guilty to their roles in the drug-trafficking conspiracy and await sentencing.
This case is being prosecuted by Assistant U.S. Attorney Lawrence E. Miller. It was investigated by the Drug Enforcement Administration, the FBI and the U.S. Postal Inspection Service.Bloomfield Man Sentenced to Federal Prison for Possessing Loaded Handgun in HartfordRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that ISIAH SHIPMAN, 29, of Bloomfield, was sentenced today by U.S. District Judge Janet C. Hall in New Haven to 20 months of imprisonment, followed by three years of supervised release, for illegally possessing a loaded handgun.
According to court documents and statements made in court, on April 14, 2018, Shipman ran from Hartford Police officers who had responded to a report of a street fight in the area of Essex Street and Maple Avenue. After officers apprehended Shipman, a search of his person revealed a loaded Smith and Wesson .40 caliber handgun. The firearm had been reported stolen in Hartford in August 2016.
Shipman’s criminal history includes state felony convictions for reckless endangerment, narcotics and assault offenses. It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.
On December 10, 2018, Shipman pleaded guilty to one count of possession of a firearm and ammunition by a convicted felon.
Shipman, who is released on a $100,000 bond, was ordered to report to prison on May 12, 2019.
This case was investigated by the Hartford Police Department and the Federal Bureau of Investigation’s Northern Connecticut Violent Crimes Task Force. The case was prosecuted by Assistant U.S. Attorney Michael J. Gustafson.
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 neighborhoods safer for everyone.
Bill of Information Filed Against Tax Preparer for Fraudulent Tax ReturnsRead the Press Release
NEW ORLEANS, LOUISIANA – DANA ALVAREZ, age 49, a resident of Holden, Louisiana, was charged Friday, March 1, 2019 in a one count bill of information for conspiracy to defraud the United States with regard to tax returns announced U.S. Attorney Peter G. Strasser.
According to court documents, ALVAREZ worked for Crown Tax Service, LLC, located in Kenner, Louisiana. ALVAREZ and others conspired to defraud the United States by fraudulently minimizing tax liability and fraudulently inflating tax refunds claimed on the tax returns of Crown Tax Service’s clients, and for personal enrichment.
If convicted, the defendant faces 5 years of imprisonment as to Count 1, and a possible $250,000 fine.
U.S. Attorney Strasser praised the work of the Internal Revenue Service, Criminal Investigations Division for its work in investigating this case. U.S. Attorney Strasser reiterated that the bill of information is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
The case is being prosecuted by Trial Attorney Lauren Castaldi, Department of Justice Tax Division, and Assistant U.S. Attorney G. Dall Kammer, Supervisor, General Crimes.
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Bellevue Man Admits Possessing Child PornographyRead the Press Release
PITTSBURGH, PA - An Allegheny County resident pleaded guilty in federal court to possession of material depicting the sexual exploitation of a minor, United States Attorney Scott W. Brady announced today.
Christopher Morrison, 26, of Bellevue, Pennsylvania, pleaded guilty to one count before United States District Judge Arthur J. Schwab.
In connection with the guilty plea, the court was advised that on June 20, 2018, Morrison possessed images depicting the sexual exploitation of minors, some of whom were under the age of 12 years.
Judge Schwab scheduled sentencing for July 1, 2019, at 9 a.m. The law provides for a maximum sentence of 20 years in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant. Morrison remains on bond pending sentencing.
Assistant United States Attorney Christy C. Wiegand is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation and the Adams Township Police Department conducted the investigation that led to the prosecution of Morrison.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
An information is an accusation. A defendant is presumed innocent unless and until proven guilty.
Armed Career Criminal Found Guilty of Possessing A FirearmRead the Press Release
Jacksonville, Florida – A federal jury has found Jamaal Abu Talib Hameen (58, Jacksonvile) guilty of being a felon in possession of a firearm. Hameen, who qualifies as an Armed Career Criminal, faces a mandatory minimum sentence of 15 years, and up to life, in federal prison. His sentencing hearing is scheduled for June 3, 2019.
Hameen was indicted on July 18, 2018.
According to testimony presented at trial, on February 7, 2018, Hameen was found to be in possession of a loaded .380 caliber pistol when Jacksonville Sheriff’s Officers arrested him for trespassing at a local motel. As a previously convicted felon, Hameen is prohibited from possessing a firearm or ammunition under federal law.
This case was investigated by the Jacksonville Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. It is being prosecuted by Assistant United States Attorneys David B. Mesrobian and Frank Talbot.
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.
3 March 2019
Wilmington Woman Imprisoned for Preparing False Tax ReturnsRead the Press Release
WILMINGTON, Del. – A Wilmington woman was sentenced today to one year and a day in prison followed by one year of supervised release for preparing false tax returns.
According to court documents, Rose M. Lyons, age 53, prepared at least 95 false tax returns for herself and 41 clients. For some 32 of those clients, Lyons diverted a portion of their tax refund into her own private bank account. When her clients asked for copies of their tax documents, Lyons doctored those documents in order to conceal the fact that she diverted funds.
U.S. Attorney Weiss stated, “Criminal conduct that deceives the Internal Revenue Service is conduct that also deceives all American taxpayers. Today’s sentence should serve as a deterrent to would-be tax cheats that defrauding the public will not be tolerated.”
Tax return preparers have a duty to their clients to prepare tax returns that comply with the law and are accurate,” said IRS Criminal Investigation Special Agent in Charge Guy Ficco. “Rose Lyons ignored this duty, and instead chose to defraud the government, the tax-paying public, and her own clients. It is our hope that this sentence sends a strong message that tampering with the integrity of our nation's tax system will result in jail time."
David C. Weiss, U.S. Attorney for the District of Delaware, made the announcement after sentencing by U.S. District Judge Richard G. Andrews. Assistant U.S. Attorney Graham L. Robinson prosecuted the case.
Rhode Island Man Charged with the Kidnapping of Jassy CorreiaRead the Press Release
BOSTON – Louis Coleman III has been charged today in federal court in Boston with the kidnapping of Jassy Correia, who had been missing since Feb. 24, 2019.
Coleman, 32, of Providence, R.I., has been charged with one count of kidnapping, resulting in death. Coleman was arrested on Thursday, Feb. 28, 2019, in Delaware and will appear in federal court in Delaware on Monday, March 4 at a time to be determined. He will be transferred to Massachusetts at a later date.
According to the charging document, after learning of the disappearance of Correia, law enforcement reviewed surveillance tape from outside of the Venu nightclub, the last place Correia had been seen by her friends, which showed Correia leaving the area and entering a vehicle with a man later identified as Coleman. Surveillance footage from Coleman’s Providence, R.I., apartment building showed Coleman, at about 4:15 a.m. on Sunday, Feb. 24, 2019, parking and exiting the vehicle, and then returning a short time later carrying a blanket. He then walked from the car to the front of the building carrying a body with long hair and clothing consistent with the description of Ms. Correia. Once he entered the building, surveillance video showed Coleman dropping the victim on the floor and dragging her towards the elevator, and subsequently towards his apartment unit. The victim was not moving and her body was limp.
It is alleged that on Feb. 26, 2019, surveillance video from the defendant’s apartment building showed Coleman enter the apartment building with Walmart shopping bags. Law enforcement subsequently obtained video surveillance and a receipt from a Walmart in Providence, R.I., that revealed Coleman had purchased three Tyvek suits, duct tape, two candles, electrical tape, one mask, surgical gloves, two pairs of safety goggles, an odor respirator and CLN release bleach bath.
At approximately 9:58 p.m. on Feb. 27, 2019, Coleman is seen on video surveillance entering the apartment building with what appeared to be a new, large suitcase. At 1:15 a.m., on Feb. 28, 2019, Coleman is seen in the video wheeling the suitcase away from his apartment unit towards the elevator, eventually out of the building and into the parking lot where his vehicle was. Coleman appeared to have difficulty lifting the suitcase into the trunk of his car.
Additional surveillance video showed Coleman on several occasions exiting his apartment building with other items, including trash bags, cardboard boxes, a bottle of bleach, a laptop case, a computer tower and a small duffle bag.
Later in the day on Feb. 28, 2019, a search warrant was executed at Coleman’s apartment, where two packages of hooded coveralls and two respirator masks were recovered. A sofa with four large cushions, one of which was missing a cover, was also observed. In a dumpster outside of the apartment complex, white trash bags, a bag containing plastic sheets, men’s jeans with bleach stains and a belt, a white nylon hooded coverall, an empty box of baking soda, clear safety goggles, a respirator mask, duct tape packaging, rubbing alcohol, Walmart bags, used plastic gloves, an empty package from a car air freshener, three empty packages of purifying charcoal and a sponge were recovered.
On the afternoon of Feb. 28, 2019, Coleman’s vehicle was stopped by Delaware authorities on I-95 South near Wilmington, Delaware. Officers ordered Coleman out of the vehicle and asked him if anyone else was in the vehicle with him. It is alleged that Coleman stated words to the effect: “She’s in the trunk.”
Officers discovered the victim’s body in the trunk of Coleman’s vehicle, wrapped in a sofa cushion cover, which was inside of a black trash bag, inside of a large suitcase that matches the suitcase Coleman was observed bringing into his apartment on Feb. 27, 2019. The victim had significant bruising, a bloodied face, was bound with gray duct tape, and was covered in what is believed to be baking soda.
A duffle bag, a pair of new long-handled loppers, plastic garbage bags, clothing, a red plastic gas container, a green butane lighter, black gloves, charcoal air purifiers, air fresheners, tinted safety glasses, plastic Walmart bags, work towels, cloth work-gloves, a new set of DeWalt pliers, a laptop, a computer hard-drive/tower, and disinfectant wipes were also recovered in Coleman’s vehicle.
It is further alleged that photographs of the defendant’s vehicle depict a windshield that is cracked in two locations on the passenger side and a white substance, believed to be baking soda, in the trunk of the vehicle.
Coleman was taken into custody and transported to a Delaware State Police barracks. There, it was noted that Coleman had a large bandage on the right side of his face. When asked about it, he allegedly replied, “It’s from the girl.”
The charge of kidnapping resulting in death provides for a sentence of death or life in prison. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Boston Police Commissioner William G. Gross; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; John Gibbons, U.S. Marshal for the District of Massachusetts; Suffolk County District Attorney Rachael Rollins; Colonel Nathaniel McQueen Jr., Delaware State Police; and Colonel Hugh T. Clements Jr., Chief of Police, Providence Police Department, made the announcement today. The U.S. Attorney’s Office would also like to acknowledge the cooperation and assistance of Rhode Island Attorney General Peter F. Neronha; United States Attorney David C. Weiss, District of Delaware; and the Massachusetts State Police. Assistant U.S. Attorneys Kenneth G. Shine and Robert Richardson of Lelling’s Major Crimes Unit are prosecuting the case.
The details contained in the charging documents are allegations. The defendant is presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
1 March 2019
Youngstown man charged with drug and firearms crimesRead the Press Release
A federal grand jury returned a five-count indictment charging a Youngstown man with drug and firearms crimes.
Chad A. Little, 34, was charged with maintaining a drug-involved premises, possession with intent to distribute crack cocaine, heroin and fentanyl, possession of a firearm in furtherance of drug trafficking and being felon in possession of a firearm and ammunition.
The Youngstown Police Department executed a search warrant on Little’s residence on East Philadelphia Street on November 7, 2018. They found heroin, crack cocain, fentanyl and a gun in various locations inside and outside of the house, according to the indictment.
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique
to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offenses and the characteristics of the violations. In all cases, the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
The investigation preceding the indictment was conducted by members of the Drug Enforcement Administration, the Youngstown Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. The case is being prosecuted by Assistant U.S. Attorney David M. Toepfer.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Wisconsin Man Sentenced for Threatening Jewish Community CenterRead the Press Release
Chadwick Grubbs, 33, was sentenced yesterday by United States District Judge Pamela Pepper to 36 months in prison for charges related to threatening letters he wrote on three separate dates in May 2018 to the Harry and Rose Samson Family Jewish Community Center (JCC) in Whitefish Bay, Wisconsin. Assistant Attorney General Eric Dreiband for the Civil Rights Division, U.S. Attorney Matthew D. Krueger for the Eastern District of Wisconsin, and Acting Special Agent in Charge Michelle Sutphin of the FBI’s Milwaukee Division made the announcement.
“All people have the right to practice their religious beliefs without fear of threats or violence,” said Assistant Attorney General Eric Dreiband. “Mr. Grubbs’ anti-Semitic actions have no place in our society today and the Department of Justice will continue to prosecute anyone who threatens to harm a community because of their faith.”
“The Department of Justice’s commitment to civil rights includes protecting faith communities from threats of violence,” said United States Attorney Matthew D. Krueger for the Eastern District of Wisconsin. “This prosecution should send a clear message that hate crimes like Mr. Grubb’s vile threats will not be tolerated.”
“It is every American’s right to exercise the religion of their choice. The FBI will vigorously pursue those who target faith based communities with threats of violence and intimidation, violators will face justice,” said Acting Special Agent in Charge Michelle Sutphin of the FBI’s Milwaukee Division.
Grubbs pleaded guilty in November 2018 to two counts of mailing threatening communications and one count of threatening to injure and destroy property by fire and an explosive. Information presented during the plea hearing established that Grubbs sent three letters to the JCC in which he threatened to use firearms to cause “maximum carnage” and explosives to destroy the JCC. Grubbs used numbers and symbols associated with white supremacist ideology in the letters.
The FBI led the investigation. Assistant United States Attorney Gregory Haanstad of the U.S. Attorney’s Office for the Eastern District of Wisconsin and Trial Attorney Kathryn Gilbert of the Justice Department’s Civil Rights Division prosecuted this case.
For more information about the Department of Justice’s work to combat and prevent hate crimes, visit www.justice.gov/hatecrimes: a one-stop portal with links to hate crimes resources for law enforcement, media, researchers, victims, advocacy groups, and other organizations and individuals.
Wilmington Drug Trafficker Brian Wilson Sentenced to 21 Years in Federal PrisonRead the Press Release
WILMINGTON, Del. – A Wilmington drug trafficker was sentenced on Tuesday, February 26, 2019, to 21 years in prison for conspiring to distribute cocaine and heroin in Delaware. According to court documents, Brian Wilson, 39, was the leader of an extensive network of illegal drug dealers operating in and around the City of Wilmington.
Wilson’s conviction is the result of a long-term New Castle County High Intensity Drug Trafficking Area (“HIDTA”) investigation spearheaded by the FBI Delaware Violent Crime Safe Streets Taskforce. Investigators seized four firearms, over five kilograms of cocaine, and roughly 150 grams of heroin as part of the case. At sentencing, United States District Court Chief Judge Leonard P. Stark recognized that Wilson’s criminal conspiracy included acts of violence and witness intimidation. Wilson’s sentence was enhanced because he intimidated witnesses through third parties.
Evidence presented at Wilson’s trial and at sentencing showed that Wilson directed co-defendant Thomas Brooks and others to sell heroin and cocaine on a daily basis. Evidence also demonstrated that Wilson conspired with others, such as Kenneth Flowers, to stash his drugs at secret locations. As a result, at sentencing the Court found that Wilson shared responsibility for a drug stash house robbery on November 3, 2016, during which three people broke into Thomas Brooks’ residence, gunfire was exchanged, and one person was shot. Wilmington Police Department responded and located a handgun, approximately 123 grams of cocaine and approximately 14 grams of heroin in the home.
Flowers was sentenced last month to 32 months in prison for storing 4.6 kilograms of cocaine in his home for Wilson. Brooks was sentenced to 15 years imprisonment last year.
U.S. Attorney Weiss stated, “This sentence demonstrates that leaders of drug trafficking organizations will be held accountable for the damage they do to our community. We will continue to work with our federal partners and the Wilmington Police Department to identify, investigate, arrest, and convict criminals like Brian Wilson.
“I applaud the efforts of the Wilmington Police Department’s Drug, Organized Crime and Vice Division and the Criminal Investigations Division in working with our local law enforcement partners as well as with the FBI, ATF and US Marshals Service,” said Wilmington Police Chief Robert J. Tracy. “The result of this investigation is a prime example of how our collaborations bring criminals to justice and address issues that can impact the quality of life of our residents.”
David C. Weiss, U.S. Attorney for the District of Delaware, made the announcement after sentencing by Chief U.S. District Court Judge Leonard P. Stark. Special Assistant U.S. Attorney Christopher L. de Barrena-Sarobe and Assistant United States Attorney Alexander S. Mackler prosecuted the case. The FBI Delaware Violent Crime Safe Streets Taskforce is a part of the New Castle County HIDTA, comprised of the Delaware State Police, Delaware Department of Probation and Parole, New Castle County Police Department, University of Delaware Police Department, and Wilmington Police Department. The FBI was assisted in this case by Wilmington Police Department and the Delaware Attorney General’s Office.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District of Delaware for the District of Delaware or on PACER by searching for Case No. 1:16-cr-00093.
West Palm Beach Investment Advisor Ordered to Pay over $1 Million in Restitution for Fraud SchemeRead the Press Release
On February 26, 2019, a West Palm Beach, Florida, investment advisor was ordered to pay over $1 million in restitution for his involvement in a pension trust fraud scheme.
Ariana Fajardo Orshan, U.S. Attorney for the Southern District of Florida, George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, and Isabel Colon, Regional Director, United States Department of Labor, Employee Benefits Security Administration (DOL-EBSA), made the announcement.
William H. Minor, of West Palm, pleaded guilty in September 2018 to one count of mail fraud (Case No. 18-80152-Cr-Middlebrooks). On November 29, 2018, he was sentenced to 41 months in prison, three years of supervised release. On February 26, 2019, U.S. District Judge entered an Order, requiring Minor to pay $1,636,604 in restitution.
According to the court record, Minor was the operator of Multi Financial Insurance Corp., a provider of investment advice and administrative services for pension plans. Starting in 1991 and continuing until June 2016, Minor transferred approximately $2 million from the Rehabilitation Center for Children & Adults Inc. Pension Trust to accounts he controlled.
The Rehabilitation Center for Children & Adults Inc., a Palm Beach nonprofit rehabilitation center that provides outpatient physical, occupational, and speech therapy to children and adults, sponsored the plan. Minor served as a volunteer member of the center’s board of governors.
In October 1991, Minor moved plan assets to Transamerica Life Insurance and Annuity Co., for which he registered as an insurance agent. Minor falsely represented to the rehabilitation center and plan trustees that Multi Financial would work in partnership with Transamerica Life to administer the plan, even though Transamerica had no partnership with Minor, and did not provide any administrative or record keeping services for the plan. As a result, Minor was able to exercise control of the plan.
Minor used that authority to direct one plan trustee to endorse benefit checks from Transamerica to Multi Financial, with the understanding that Minor would then issue payments to specified plan participants. In other instances, Minor forged the trustee’s name on the checks. Later in the scheme, Minor opened a bank account in the name of “Trustee for the Rehabilitation.” Since the checks were payable to the Trustee for the Rehabilitation, Minor could directly deposit the checks into this account without the endorsement of the plan trustee.
Minor made at least 63 fraudulent requests to Transamerica for lump sum benefits checks for participants not entitled to plan benefits. Transamerica honored the requests and issued 63 checks payable to the Trustee for the Rehabilitation. Minor deposited the first 15 checks into the Multi Financial account and the remaining 48 checks into the Trustee for the Rehabilitation account. In total, he fraudulently transferred approximately $2 million from the plan’s Transamerica account to his own accounts, using the plan’s assets to benefit himself.
U.S. Attorney Fajardo Orshan commended the investigative efforts of the FBI and DOL-EBSA in this matter. This case was prosecuted by Assistant U.S. Attorney Adrienne Rabinowitz.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov.
Wisconsin Man Sentenced for Threatening Jewish Community CenterRead the Press Release
United States Attorney Matthew D. Krueger has announced Chadwick Grubbs, 33 was sentenced today by United States District Judge Pamela Pepper to 36 months in prison for charges related to threatening letters he wrote on three separate dates in May 2018 to the Harry and Rose Samson Family Jewish Community Center (JCC) in Whitefish Bay, Wisconsin. Assistant Attorney General Eric Dreiband for the Civil Rights Division, U.S. Attorney Matthew D. Krueger for the Eastern District of Wisconsin, and Acting Special Agent in Charge Michelle Sutphin of the FBI’s Milwaukee Division made the announcement.
“All people have the right to practice their religious beliefs without fear of threats or violence,” said Assistant Attorney General Eric Dreiband. “Mr. Grubbs’ anti-Semitic actions have no place in our society today and the Department of Justice will continue to prosecute anyone who threatens to harm a community because of their faith.”
“The Department of Justice’s commitment to civil rights includes protecting faith communities from threats of violence,” said United States Attorney Matthew D. Krueger for the Eastern District of Wisconsin. “This prosecution should send a clear message that hate crimes like Mr. Grubb’s vile threats will not be tolerated.”
“It is every American’s right to exercise the religion of their choice. The FBI will vigorously pursue those who target faith based communities with threats of violence and intimidation, violators will face justice,” said Acting Special Agent in Charge Michelle Sutphin of the FBI’s Milwaukee Division.
Grubbs pleaded guilty in November 2018 to two counts of mailing threatening communications and one count of threatening to injure and destroy property by fire and an explosive. Information presented during the plea hearing established that Grubbs sent three letters to the JCC in which he threatened to use firearms to cause “maximum carnage” and explosives to destroy the JCC. Grubbs used numbers and symbols associated with white supremacist ideology in the letters.
The FBI led the investigation. Assistant United States Attorney Gregory Haanstad of the U.S. Attorney’s Office for the Eastern District of Wisconsin and Trial Attorney Kathryn Gilbert of the Justice Department’s Civil Rights Division prosecuted this case.
For more information about the Department of Justice’s work to combat and prevent hate crimes, visit www.justice.gov/hatecrimes: a one-stop portal with links to hate crimes resources for law enforcement, media, researchers, victims, advocacy groups, and other organizations and individuals.
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Valley, Alabama Woman Sentenced to 46 Months in Prison for Stealing over $700,000 from Her Employer and Failing to Report Income on Her Tax ReturnsRead the Press Release
Montgomery, Alabama- A Valley, Alabama woman was sentenced today to 46 months in prison for embezzling from her employer and filing false tax returns, announced U.S. Attorney Louis V. Franklin, Sr., and Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division. There is no parole in the federal system.
According to court documents, from February 2007 through May 2014, Alita Baker Edeker, 49, embezzled $700,000 of her employer’s funds by diverting payments from clients of the company to debit and credit cards she controlled. Edeker made false entries in the company’s books and records in order to conceal her embezzlement. After embezzling the funds, Edeker willfully filed false tax returns for tax years 2011, 2012, and 2013 that did not report the money.
In addition to the term of imprisonment imposed, Edeker was ordered to serve three years of supervised release and to pay restitution in the amounts of $819,497.29 to her employer and $101,604 to the Internal Revenue Service (IRS).
United States Attorney Franklin and Principal Deputy Assistant Attorney General Zuckerman commended special agents of IRS-Criminal Investigation and the Auburn Police Division, who investigated the case, and Assistant United States Attorney Ben Baxley and Trial Attorney Grace Albinson of the Tax Division, who prosecuted the case.
U.S. Attorney’s Office Reaches $260,000 Civil Settlement with HNTB, Inc.Read the Press Release
PHILADELPHIA - United States Attorney William M. McSwain announced today that the United States reached a $260,000 civil settlement with HNTB, Inc. concerning HNTB's alleged improper billing under a contract to provide catenary services (i.e., overhead electrical wires) with Amtrak.
HNTB provided services as part of the New Jersey High Speed Rail Improvement Program under Amtrak Architectural & Engineering Services Contract. The Contract required that HNTB bill actual labor and overhead rates for the employees working on this project. The United States contends that it has certain civil claims against HNTB arising from HNTB's billing under the Contract during the period December 5, 2012 through July 28, 2017. This conduct included HNTB overbilling Amtrak by not adjusting its overhead rates in subsequent contract years to match actual overhead rates. Instead, HNTB continued to bill overhead at a maximum rate listed in the Contract.
“Our Office is dedicated to helping Amtrak and our other federal partners maintain the integrity of their contracts,” said U. S. Attorney McSwain. “The excellent work of the Amtrak Office of Inspector General laid the groundwork for a fair and speedy resolution of this matter and reinforces the duty of contractors to ensure compliance with the terms of their federal contracts.”
“We remain committed to investigating any case where there are credible indicators of a contractor overbilling Amtrak,” said Tom Howard, Amtrak Inspector General. “This settlement is indicative of that commitment and was the result of hard work by dedicated staff coupled with seamless collaboration with the U.S. Attorney's Office.”
Amtrak's Office of Inspector General initiated an investigation after discovering discrepancies in HNTB's billing during a review of select Amtrak contracts. Assistant United States Attorney Colin Cherico and Auditor Dawn Wiggins supported the OIG's investigation and handled the settlement for the United States Attorney's Office for the Eastern District of Pennsylvania.
The claims settled by this settlement agreement are allegations only and there has been no determination of liability.
U.S. Attorney Broadcasts Call-To-Action, Asking Citizens to Report Criminal Activity to 1-800-CALL-FBIRead the Press Release
MACON— A new call to action in the fight to decrease violent crime in Middle and South Georgia was issued today with the release of a new Public Service Announcement (PSA) by the United States Attorney’s Office for the Middle District of Georgia. In the PSA, U.S. Attorney Charles “Charlie” Peeler, discusses the impact of Project Safe Neighborhoods (PSN), an evidence-based program proven to be effective at reducing violent crime by bringing law enforcement and community stakeholders together to tackle the problem. Mr. Peeler asks citizens to report criminal activity in their neighborhoods by calling 1-800-CALL-FBI. In recent years, violent crime rates have remained at or above the national average in some cities in the Middle District of Georgia. Violent crime statistics dropped in Albany and Columbus in 2018, indicating a measure of progress.
“This call to action is a critical next step in the fight to decrease violent crime in our communities,” said Charles “Charlie” Peeler, the U.S. Attorney for the Middle District of Georgia. “Law enforcement agencies often rely on tips from courageous citizens who are willing to step up and report dangerous activity. We deserve to raise our families in safe neighborhoods and live our lives without fear of harm. I promise that the United States Attorney’s Office, working with our dedicated law enforcement partners, will relentlessly pursue the most dangerous criminals menacing our society and put them behind bars.”
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. The new PSA can be viewed and shared on the U.S. Attorney for the Middle District of Georgia’s Facebook Page @usaomdga.
Questions can be directed to Pamela Lightsey, Public Information Officer, United States Attorney’s Office, at (478) 621-2603 or Melissa Hodges, Public Affairs Director (Contractor), United States Attorney’s Office, at (478) 765-2362.
Two Sentenced to Prison for Marijuana ConspiracyRead the Press Release
Jackson, Miss. – Steven Davison, 32, from Houston, Texas, and Kendrick Applewhite, 44, of Bassfield, Mississippi, were sentenced today by Chief U.S. District Daniel P. Jordan III for their roles in a conspiracy to possess with the intent to distribute marijuana, announced U.S. Attorney Mike Hurst and Drug Enforcement Administration (DEA) Assistant Special Agent in Charge J. Derryle Smith.
Davison was sentenced to 100 months in federal prison, followed by 3 years of supervised release, and ordered to pay a fine of $1,500.00. Applewhite was sentenced to 21 months in federal prison, followed by 3 years of supervised release, and ordered to pay a fine of $1,500.00.
On March 24, 2013, DEA seized approximately 262 pounds of marijuana at the Pilot Travel Center located in Jackson, Mississippi, from Kendrick Applewhite and Steven Davison. During the course of the investigation, agents learned that Kevin Lawrence ordered the marijuana and coordinated the pickup of the marijuana with Applewhite and Davison. The three were indicted on December 13, 2017.
Davison and Applewhite pled guilty on September 20, 2018, to conspiracy to possess with intent to distribute marijuana.
On October 4, 2018, Lawrence was found guilty after a four-day trial of conspiring to possess with intent to distribute marijuana, possessing marijuana with intent to distribute, and using a communication facility to commit the offense. He will be sentenced at a later date to be determined by the Court.
This case was investigated by the DEA Jackson District Office, DEA Gulf Coast HIDTA and the Jackson Police Department. It was prosecuted by Assistant United States Attorneys Chris Wansley and John Meynardie.
Two Former St. Tammany Parish Sheriff’s Deputies Plead Guilty for their Roles in Kickback and Bribery Scheme Involving Contract for Privatization of Work Release Program in St. Tammany ParishRead the Press Release
NEW ORLEANS – U.S. Attorney Peter G. Strasser announced that DAVID HANSON, age 61, from Abita Springs, Louisiana, and CLIFFORD “SKIP” KEEN, age 50, from Covington, Louisiana, pleaded guilty Wednesday, February 27, 2019 before United States District Judge Ivan L.R. Lemelle to conspiracy to commit honest services wire fraud and soliciting a bribe, in violation of 18 U.S.C. '' 371, 1343, 1346, and 666(a)(1)(B), for their roles in the privatization of a work release program in Slidell, Louisiana that operated between 2013 and 2016.
According to court documents, HANSON and KEEN, each of whom worked most recently as Captains with the St. Tammany Parish Sheriff’s Office (STPSO) discussed with the then-Sheriff (“Public Official 1”) about becoming owners of a work release program in Slidell, Louisiana that Public Official 1 decided to privatize. The Sheriff of STPSO had authority, among other things, to enter into certain contracts binding STPSO, including professional service contracts, unilaterally. Because STPSO rules prohibited employees from “participating in a transaction in which he has a personal substantial economic interest of which he may be reasonably expected to know involving the governmental entity,” HANSON and KEEN would have had to resign from STPSO—thereby losing their salaries and future pension increases—if they wanted to assume ownership and control of the Slidell work release program. HANSON, KEEN, and Public Official 1 discussed ways to allow HANSON and KEEN to maintain their employment and still profit from the Slidell work release program. Ultimately, HANSON, KEEN, and Public Official 1 agreed to make KEEN’s adult son (Person 1) and HANSON’s adult daughter (Person 2) owners of the Slidell work release program.
HANSON, KEEN, and Public Official 1 agreed that they needed to find another individual actually to operate the Slidell work release program because Person 1 and Person 2 lacked sufficient education, training, experience, or funding. They decided on Person 3, to whom HANSON presented a series of conditions, including the following: Person 1 and Person 2 would each own forty-five (45) percent of the Slidell work release program and would each receive forty-five (45) percent of the profits, while Person 3 would own ten (10) percent, receive ten (10) percent of the profits, and receive a salary; and Person 3 would be responsible for the daily operations of the Slidell work release program. Person 3 was also responsible for providing the capital necessary to initiate the program. On about May 1, 2013, Person 1, Person 2, and Person 3 entered into an operating agreement that created St. Tammany Workforce Solutions, LLC, in which Person 1 and Person 2 each had a forty-five percent ownership interest and Person 3 had only a ten percent ownership interest.
On June 4, 2013, Public Official 1 entered into a cooperative endeavor agreement (“privatization agreement”) on behalf of STPSO with St. Tammany Workforce Solutions, LLC to operate the Slidell work release program. Although Person 1 and Person 2 acted effectively as passive members and did not participate substantially in the operation, oversight, or administration of the Slidell work release program, Person 3 was required to pay Person 1 and Person 2 salaries in addition to their ownership disbursements. Person 3 was also directed to pay Person 4, who was Public Official 1’s relative and an employee at STPSO, approximately $30,000 per year for a no-show job at the Slidell work release program.
During the time St. Tammany Workforce Solutions, LLC operated the Slidell work release program, Person 1 and Person 2 received not less than $1,195,000 from St. Tammany Workforce Solutions, LLC in the form of ownership disbursements, salary payments, and occasional lump sum miscellaneous payments. Person 1 received no fewer than 145 payments totaling over $550,000, and Person 2 received no fewer than 131 payments totaling over $600,000. Person 1 and Person 2 converted the majority of the money they received from St. Tammany Workforce Solutions, LLC to cash. At the request of KEEN and HANSON, Persons 1 and 2 then transferred a significant portion of the funds back to their fathers.
Additionally, HANSON, KEEN, and Public Official 1 understood that Public Official 1 would receive financial compensation from them in exchange for bestowing the right to operate the Slidell work release program on St. Tammany Workforce Solutions, LLC. HANSON and KEEN each gave Public Official 1 a portion of the payments they received from St. Tammany Workforce Solutions LLC, through Person 1 and Person 2, in cash payoffs in amounts greater than $1,000 on a recurring basis in exchange for Public Official 1 bestowing the right to operate the Slidell work release program on St. Tammany Workforce Solutions LLC. HANSON also arranged for Public Official 1’s son to receive a check in the amount of $4,000 because Public Official 1 gave the contract to operate the Slidell work release program to St. Tammany Workforce Solutions, LLC. HANSON, KEEN, Public Official 1, and others attempted to conceal the scheme by, among other things, not including in the privatization agreement the fact that Public Official 1 would receive financial compensation in exchange for bestowing the right to operate the Slidell work release program on St. Tammany Workforce Solutions LLC, communicating by cellular telephone, and providing most of the money to Public Official 1 in the form of cash.
HANSON and KEEN each face a maximum term of imprisonment of five years, a fine of up to $250,000.00, three years supervised release after imprisonment, and a mandatory $100 special assessment. Sentencing before Judge Lemelle has been scheduled for May 29, 2019.
U.S. Attorney Strasser praised the work of the Federal Bureau of Investigation and the Internal Revenue Service – Criminal Investigation Division and thanks the Metropolitan Crime Commission for its assistance. Assistant United States Attorneys Jordan Ginsberg, Supervisor of the Public Corruption Unit, and Elizabeth Privitera, Supervisor of the Violent Crime Unit, are in charge of the prosecution.
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Traveling Bandit Charged in South FloridaRead the Press Release
A man accused of robbing banks around the country has been charged and is being detained in South Florida.
Ariana Fajardo Orshan, U.S. Attorney for the Southern District of Florida and George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, made the announcement.
Jason Lee Robinson, 40, of Pikeville, Kentucky, has been charged by criminal complaint in the Southern District of Florida with bank robbery, in violation of Title 18, United States Code, 2113(a) (Case No. 19-mj-2082). He is currently being detained in South Florida. If convicted of a single count of bank robbery, Robinson faces a maximum statutory sentence of 20 years in prison.
According to the court record, allegations contained in the criminal complaint, Robinson robbed seven banks in states around the country. On December 28, 2018, Robinson robbed a Capital Bank in Aventura, Florida of approximately $1,900. On January 2, 2019, he robbed a SunTrust Bank in Asheville, North Carolina. On January 4, 2019, he robbed a Mountain Commerce Bank in Johnson City, Tennessee. On January 8, 2019, he robbed a U.S. Bank in Mount Juliet, Tennessee. On January 10, 2019, he robbed a Trustmark Bank in Prattville, Alabama. On January 14, 2019, he robbed a Fifth Third Bank in Mount Vernon, Illinois. On January 17, 2019, he robbed a Wells Fargo Bank in Price Branch, Utah.
The banks’ deposits were insured by the Federal Deposit Insurance Corporation.
A criminal complaint is merely an accusation. A defendant is presumed innocent unless and until proven guilty in a court of law.
U.S. Attorney Fajardo Orshan commended the investigative efforts of the FBI in this matter. She thanked the FBI’s Field Offices, in Charlotte, North Carolina; Knoxville, Tennessee; Memphis, Tennessee; Mobile, Alabama; Springfield, Illinois; Salt Lake City, Utah; Denver, Colorado and Louisville, Kentucky, for their assistance. This case is being prosecuted by Assistant U.S. Attorney Lisa H. Miller in the Southern District of Florida.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Syracuse Man Arrested for Threating to Kill Employees at the Syracuse Veterans Affairs HospitalRead the Press Release
SYRACUSE, NEW YORK – Mark W. Sweeney, age 60, of Syracuse, appeared today in U.S. District Court on charges that he threated to kill employees of the Syracuse Veterans Affairs Hospital, announced United States Attorney Grant C. Jaquith and Chief Thomas Martin, Department of Veterans Affairs Police, Syracuse.
The charge in the complaint filed against Sweeney carries a maximum sentence of 10 years in prison, a fine of up to $250,000, and a term of supervised release of up to 3 years. 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.
According to the Complaint, Sweeney called into a Veterans Crisis Line and made several threatening statements directed toward VA hospital staff, including that he intended to kill multiple people, and had a plan and the means to do so.
The charges in the complaint are merely accusations. The defendant is presumed innocent unless and until proven guilty.
This case is being investigated by the Veterans Affairs Police Department and is being prosecuted by Assistant U.S. Attorney Michael D. Gadarian.
South American Couple Sentenced to Prison for Fraud ConspiracyRead the Press Release
ALEXANDRIA, Va. – A South American couple were each sentenced today to nearly two years in prison for conspiracy to commit wire and bank fraud.
According to court documents, Rodrigo Pardo, 46, of Argentina, and Lorena Medina, 46, of Ecuador, defrauded homeowners in Northern Virginia and mortgage lenders by promising the homeowners to assist them in obtaining loan modifications. As part of the scheme, Pardo and Medina agreed to negotiate with the homeowners’ lenders for a reduced monthly payment. Pardo and Medina then instructed clients who were current on their mortgages to stop making payments to their lenders as they had in the past, and instead make payments into accounts controlled by Medina, Pardo, or COFS, a company they controlled. At the same time, Pardo and Medina represented to their clients’ mortgage lenders that COFS was authorized to negotiate loan modifications, but concealed from the mortgage lenders that they were receiving mortgage payments from the victims. As a result, Pardo and Medina received over $140,000 in payments from their victims, which they used for personal expenses.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Matthew J. DeSarno, Special Agent in Charge, Criminal Division, FBI Washington Field Office, and Robert Manchak, Acting Special Agent in Charge, Office of Inspector General for the Federal Housing Finance Agency, made the announcement after sentencing by Senior U.S. District Judge T.S. Ellis III. Assistant U.S. Attorney Kimberly R. Pedersen and Special Assistant U.S. Attorney Charlie Divine prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:18-cr-181.