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Monday 17 December 2018
Jackson County Drug User Pleads Guilty to Possession of FirearmRead the Press Release
Gulfport, Miss – Carl Levon Haynes, 26, of Pascagoula, Mississippi, entered a guilty plea today before U.S. District Judge Sul Ozerden to possession of a firearm by an unlawful user of controlled substances, and to making a false statement on an ATF form to purchase a firearm, announced U.S. Attorney Mike Hurst and Special Agent in Charge Dana Nichols with the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Haynes will be sentenced by Judge Ozerden on March 18, 2019, at 9:00 a.m. He faces a maximum penalty of 10 years in prison on the possession charge and 5 years in prison for the false statement. He further faces a fine of $250,000 along with 3 years of supervised release.
In May 2018, Jackson County Sheriff’s Department and ATF were conducting undercover purchases of drugs and guns. On May 23, Haynes sold a shotgun that had been stolen from a Pascagoula police car. Haynes admitted to regular use of marijuana and the purchase of a handgun in 2017 at which time he answered "No" to a question about whether he used marijuana or other illegal substances.
The Jackson County Sheriff’s Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. It is being prosecuted by Assistant United States Attorney Annette Williams.
Inmates Sentenced for Weapon OffensesRead the Press Release
BLUEFIELD, W.Va. – United States Attorney Mike Stuart announced today that two men were sentenced for weapon offenses committed while they were inmates at the Federal Correctional Institution at McDowell.
“Two more inmates extend their prison stay,” said United States Attorney Mike Stuart. “The staff of the Bureau of Prisons must stay vigilant at all times.”
Tyler Romine, 27, was sentenced to 24 months in prison. He pled guilty in July, admitting that on April 18, 2018, he possessed a weapon consisting of two combination locks attached to a belt, and that he used the weapon to strike another inmate.
Ricardo Delgado-Vazquez, 37, was sentenced to 15 months in prison. He also pled guilty in July, and admitted that on April 20, 2018, he possessed a sharpened piece of metal, commonly called a “shank.” Prison officials found the weapon in the sleeve of his jacket.
The sentences will run consecutively to the sentences the inmates were serving.
The Federal Bureau of Prisons investigated these cases. Assistant United States Attorney John File handled the prosecutions. Senior United States District Judge David A. Faber imposed the sentences.
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Individual Found Guilty of Hobbs Act Robbery That Resulted in MurderRead the Press Release
SAN JUAN, Puerto Rico – Today, after an eight-day jury trial, a jury found Cristian Serrano-Delgado guilty of Hobbs Act robbery and murder, announced U.S. Attorney Rosa Emilia Rodríguez-Vélez for the District of Puerto Rico. The FBI and the Puerto Rico Police Department (PRPD) were in charge of the investigation.
During trial, the government showed that on September 11, 2017, Cristian Serrano-Delgado, along with other two individuals, approached Herol Café, also known as “La Tumba” in Ponce, PR, and announced a robbery to four men sitting outside the establishment. The co-defendants brandished a knife and a gun and they took money and jewelry from the four individuals and from the business, while Serrano-Delgado waited outside by his BMW.
An off-duty Police of Puerto Rico officer, Roberto Medina Mariani, who was inside the establishment, discharged his firearm at one of the defendants who returned fire and mortally wounded him. After the shootout, Serrano-Delgado drove his co-defendants away from the scene.
The other defendants were Jonathan Valentin-Santiago and Rubén Miró-Cruz. Valentin-Santiago pleaded guilty on November 8, 2018, and his sentencing is scheduled for February 6, 2019. Miró-Cruz pleaded guilty on October 16, 2018, and his sentencing is scheduled for January 15, 2019.
“I hope that this conviction will help the victim’s family find some closure,” said Rosa Emilia Rodríguez-Vélez, U.S. Attorney for the District of Puerto Rico. “We will continue to work diligently to prosecute violent criminals to the fullest extent of the law. Senseless acts of violence which threaten our communities and innocent victims will not be tolerated.”
The defendant faces a minimum of ten years up to life imprisonment. The defendant will be sentenced on March 18, 2019, before the Honorable District Judge Francisco Besosa. Assistant U.S. Attorney Alexander Alum and Special Assistant U.S. Attorney Omar Barroso were in charge of the prosecution of this case.
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Individual Arrested for Threatening the Secretary of Public Safety of Puerto RicoRead the Press Release
SAN JUAN, Puerto Rico– A federal grand jury in the District of Puerto Rico returned an indictment against Ricardo González-Rodríguez, charging him for threatening to injure the Secretary of Public Safety Héctor Pesquera via Facebook, in violation of Title 18, United States Code, Section 844(e), announced United States Attorney Rosa Emilia Rodríguez-Vélez. The FBI is in charge of the investigation.
According to the information contained in the indictment, the threat was posted on Facebook, on May 2, 2018. The post contained the following text: “Ai (sic) que matarlo ahora mismo.” Translated to the English language, the post states: “He must be killed right now.” On December 14, 2018, FBI agents arrested the defendant without incident.
“Federal authorities will continue to prosecute those who use social media to threaten, promote violence, or incite violent acts,” said Rosa Emilia Rodríguez-Vélez, U.S. Attorney for the District of Puerto Rico.
“The FBI defends and protects the rights of all people to speak freely. But this does not include sending messages that threaten or encourage violence, which is a serious crime,” said Douglas A. Leff, Special Agent in Charge of the FBI, San Juan Division.
Assistant United States Attorney Alexander Alum is in charge of the prosecution of the case. If convicted, González-Rodríguez faces a maximum term of imprisonment of 10 years, a term of supervised release of up to three years, and a fine of up to $250,000.
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Huntington Man on Parole Pleads Guilty to Federal Drug ChargeRead the Press Release
HUNTINGTON, W.Va. – A Huntington man pled guilty today to a federal drug charge, announced United States Attorney Mike Stuart. Oshae Hamilton, 25, entered a guilty plea to an information charging him with possession with the intent to distribute heroin. The Huntington Police Department conducted the investigation.
“I commend the strategic efforts of the Huntington Police Department and West Virginia Parole Services,” said United States Attorney Mike Stuart. “There is no doubt the work of this partnership will stop a number of crimes before they happen.”
Hamilton admitted that on June 27, 2018, West Virginia Parole Services and members of the Huntington Police Department located approximately 60 grams of heroin in his residence. He admitted to officers that he intended to sell the heroin.
Hamilton faces up to twenty years in federal prison when he is sentenced on March 25, 2019.
The plea hearing was held before United States District Judge Robert C. Chambers. Assistant United States Attorney Stephanie S. Taylor handled the prosecution.
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Guilty Plea: Worker at Children’s Facility Distributed Child PornRead the Press Release
KANSAS CITY, KAN. – A staff member at a facility for children and adults with developmental disabilities pleaded guilty Monday to federal child pornography charges, U.S. Attorney Stephen McAllister said.
William Bresee, 31, Fontana, Kan., pleaded guilty to three counts of distributing child pornography and one count of possessing child pornography. At sentencing, the prosecutor told the court Bresee admitted that federal agents downloaded child pornography from his computer using an online file sharing program. Bresee was a staff member at Lakemary Center in Paola, Kan., working an overnight shift when investigators tracked child pornography to an IP address at the center.
Sentencing is set for March 4. He faces a penalty of not less than five years and not more than 20 years in federal prison and a fine up to $250,000 on the distribution charges, and not more than 10 years and a fine up to $250,000 on the possession count.
McAllister commended Homeland Security Investigations (HSI) and Assistant U.S. Attorney Kim Flannigan for their work on the case.
Fresno Residents Sentenced to Prison for Unlawfully Possessing FirearmsRead the Press Release
FRESNO, Calif. — Devone Johnson, 32, of Fresno, was sentenced today by U.S. District Judge Dale A. Drozd to three years in prison for unlawful possession of a firearm, U.S. Attorney McGregor W. Scott announced. Co-defendant Anthony Thomas, 26, also of Fresno, was sentenced last week to two years and nine months in prison for unlawful possession of a firearm.
According to court documents, on October 9, 2016, Johnson and Thomas possessed an Uzi Model A, 9 mm rifle. On October 30, 2016, Johnson told an associate he had a .45-caliber handgun for sale. When he was arrested at a Fresno residence on November 3, 2016, Johnson was found with three additional firearms and ammunition, including a shotgun and two handguns. Both Thomas and Johnson were prohibited from possessing firearms because of their prior felony convictions.
This case was the product of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Federal Bureau of Investigation, the Fresno Police Department, MAGEC, the California Department of Corrections and Rehabilitation, the Fresno County District Attorney’s Office, the California Department of Justice, and the California Highway Patrol (CHP) Special Operations Unit (SOU). The CHP SOU is a collaborative investigative effort between the California Department of Justice and the CHP that provides statewide enforcement for combating violent career criminals, gangs, and organized crime groups, along with intrastate drug traffickers. The Fresno County Sheriff’s Office, the Clovis Police Department, and Fresno County Probation also assisted in the investigation. Assistant U.S. Attorneys Kimberly A. Sanchez and Christopher D. Baker prosecuted the case.
Project Safe Neighborhoods (PSN) is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Fresno Gamecock Breeder Sentenced to 2 Years in PrisonRead the Press Release
FRESNO, Calif. — Thomas Lee Crow, 49, of Fresno, was sentenced today for aiding and abetting an unlawful animal fighting venture involving a large cockfighting enterprise to two years in prison and a 10-year ban on possessing or owning any animals, U.S. Attorney McGregor W. Scott announced.
After hearing from an animal cruelty expert from the Humane Society, U.S. District Judge Lawrence J. O’Neill stated: “This is nothing short of a case of animal torture. His animals were treated without compassion.” Crow was fined $5,500 in addition to agreeing to the forfeiture of $22,800. Fresno County Sheriff’s Office will receive $6,278 of the forfeited funds to pay for the cost of disposal of the fighting roosters.
Crow’s sentence follows his guilty plea earlier this year. According to court documents, law enforcement officers searched Crow’s rural Fresno residential property last year after he was found at a large cockfighting event in Kerman. Cockfighting is illegal under federal law and in all 50 states. At the cockfight, Fresno County Sheriff’s deputies and detectives recovered 129 fighting roosters, including 28 dead and nine injured roosters. Crow was in possession of $22,800 in cash, along with a scoresheet that tracked the winnings for 144 gamecocks expected to fight that evening. They also found cockfighting equipment, such as knives used for cockfighting called slashers, sheaths, mounting boots, and scales. During the search of Crow’s residence, officers found an additional 200 fighting roosters and items associated with cockfighting, including 293 slashers; injectable stimulants, such as “Pure Aggression,” and scoresheets used for cockfighting derbies. The officers also found personalized leg bands in Crow’s name for sponsoring his birds in cockfighting events.
This case was the product of an investigation by the U.S. Department of Agriculture Office of Inspector General, Fresno County Sheriff’s Office, the Humane Society of the United States, and the Central California SPCA. Assistant U.S. Attorney Karen A. Escobar prosecuted the case.
Former West Virginia Cabinet Secretary Sentenced to Federal Prison for Embezzling Fire Department FundsRead the Press Release
HUNTINGTON, W.Va. – A Hurricane man and former West Virginia Cabinet Secretary was sentenced today to 37 months in federal prison for embezzling $178,790 from the Teays Valley Volunteer Fire Department, as well as a related tax crime, announced United States Attorney Mike Stuart. Clifford Keith Gwinn, 64, formerly the Cabinet Secretary of the West Virginia Department of Veterans Assistance, previously pled guilty in June 2018 to theft from a program receiving federal funds and failure to report and pay over payroll taxes. As part of Gwinn’s sentence, he was also ordered to pay restitution to the Fire Department, and it’s insurer, in the amount of $178,790 and to the Internal Revenue Service in the amount of $68,281. Stuart commended the investigative efforts of the Federal Bureau of Investigation, the Internal Revenue Service Criminal Investigation Division, the Office of Inspector General for the U.S. Department of Homeland Security, and the West Virginia Commission on Special Investigations.
“Unimaginable that anyone, much less a former leader in state government, would steal from a Fire Department that is dependent upon funding to provide vital public safety services,” said United States Attorney Mike Stuart. “We will aggressively prosecute and seek restitution for victim organizations in cases like this one.”
Gwinn admitted that as Vice President and fiscal officer of the Fire Department, he was in charge of the financial affairs of the Fire Department and exercised significant control over the Fire Department’s finances. He admitted that his duties included reporting income and expenditures to the Fire Department, preparing and submitting taxes for the Fire Department, and assisting with applications and reimbursements for federal grants, among other duties. He further admitted that he, without authorization from the Fire Department, opened a Fire Department bank account where only he had signature authority, transferred funds into that account without the knowledge or authorization from the Fire Department, ensured certain health care insurance company reimbursements were deposited into that account, and wrote himself checks and checks to cash out of that account, which he then typically cashed. He admitted that he further instructed the Fire Department’s Treasurer to write him checks from other Fire Department bank accounts and further misrepresented the amount of bank account balances to the Fire Department officers and board members. He also admitted that he structured withdrawals out of the Fire Department’s accounts in a series of transactions below $10,000, to prevent the banks from filing Currency Transaction Reports. While he admitted that he systematically deposited cash into Fire Department bank accounts, his overall withdrawals and payments received significantly overwhelmed the amount of any deposits. He also admitted that he had no authorization to write himself checks or receive and cash checks from the Fire Department, and was not entitled to any compensation.
During the period from 2013 through 2016 that Gwinn embezzled $178,790 in Fire Department funds, the Teays Valley Volunteer Fire Department received grants from the Federal Emergency Management Agency (FEMA), an agency of the United States Department of Homeland Security. These grants allowed the Fire Department to pay firefighters and to purchase and maintain equipment.
Furthermore, Gwinn admitted that that while he was Vice President and fiscal officer for the Fire Department, the Fire Department withheld taxes from its employees’ paychecks, including federal income taxes, Medicare, and social security taxes, together known as payroll taxes. He admitted that he knew that he had the corporate responsibility to collect, truthfully account for, and pay over the Fire Department’s payroll taxes. Gwinn admitted that from October 31, 2015 through April 30, 2017, while Gwinn was a responsible person for payroll taxes, Fire Department failed to account for and pay over approximately $61,421.31 in payroll taxes.
Gwinn further admitted that when he filed his personal income tax returns with the IRS, those returns were false because they failed to account for the funds he had embezzled from the Fire Department. Assistant United States Attorney Meredith George Thomas handled the prosecution. United States District Judge Robert C. Chambers imposed the sentence.
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Former Taft Inmate Found Guilty of Threatening to Assault a Federal JudgeRead the Press Release
FRESNO, Calif. — After a four-day trial, a federal jury found Craig Martin Shults, 48, of New York, guilty on Friday of retaliating against a federal official by threat, U.S. Attorney McGregor W. Scott announced.
According to evidence presented at trial, in 2016 at a federal prison in Taft, California, Shults, then an inmate, made threats to assault a federal judge with the intent to retaliate against the judge for presiding over a prior criminal case involving Shults. He made the threatening communications in retaliation for, among other reasons, being remanded to custody following a bond violation hearing, and being sentenced to a substantially longer prison sentence than Shults requested following Shults’ prior conviction.
This case is the product of an investigation by the Federal Bureau of Investigation with assistance from the U.S. Marshals Service. Assistant U.S. Attorneys Angela L. Scott and Henry Z. Carbajal III are prosecuting the case.
Shults is scheduled to be sentenced by U.S. District Judge Lawrence J. O'Neill on March 11, 2019. Shults faces a maximum statutory penalty of six years in prison and a $250,000 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Former Porter County Officer Sentenced for Wire FraudRead the Press Release
HAMMOND – Lawrence W. LaFlower, 43 years old, of Valparaiso, Indiana, was sentenced before U.S. District Court Judge Philip P. Simon on his plea of guilty to wire fraud, announced U.S. Attorney Kirsch.
US Attorney Kirsch said, "Mr. LaFlower’s immediate guilty plea and sentence reflect the zero tolerance this District has for public officials who abuse their positions for personal financial gain. My Office, with our law enforcement partners, will continue to pursue those who corrupt their office for self-serving motives."
LaFlower was sentenced to 15 months in prison and 2 years of supervised release. The Court also ordered a money judgment forfeiture in the amount of $187,698.52.
According to court documents, between April 2013 and April 2018, LaFlower used his position as the treasurer of the Fraternal Order of Police Ewalt Jahnz Lodge #165’s to embezzle over $180,000 from its investment and bank accounts. The FOP is a fraternal organization in Porter County, Indiana, whose mission is to improve working conditions for law enforcement officers and serve the public by raising money for scholarships and other programs.
This case was investigated by the FBI and Indiana State Police and was prosecuted by Assistant United States Attorney Abizer Zanzi.
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Former New York Bank Branch Manager Pleads Guilty to Multimillion-Dollar Bank Fraud SchemeRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced today that MOSHE BENENFELD, a/k/a “Michael Benenfeld,” pleaded guilty to bank fraud in connection with hundreds of unauthorized transactions that BENENFELD conducted in bank customer accounts while employed by two different New York-area banks. BENENFELD’s bank fraud scheme resulted in losses totaling more than $5 million. BENENFELD pleaded guilty before U.S. District Judge Loretta A. Preska. Sentencing is scheduled for April 17, 2019.
Manhattan U.S. Attorney Geoffrey Berman said: “Moshe Benenfeld, a branch manager for two separate New York banks, admitted today to abusing his position of trust by stealing from the banks’ customers. Benenfeld used his position of access to withdraw and transfer funds from victims’ accounts by falsely authorizing transactions and forging signatures. Today, he has admitted to his crime, which victimized more than 20 individuals and totaled more than five million dollars.”
According to the allegations in the Complaint and the Indictment, to which BENENFELD pleaded guilty:
From 2000 to 2016, BENENFELD was the branch manager at a branch of a New York-area bank (“Bank-1”). Beginning in or about 2004 and continuing into 2016, while employed at Bank-1, BENENFELD conducted hundreds of unauthorized transactions involving the accounts of over 20 bank customers, including the accounts of BENENFELD’s relatives. BENENFELD made unauthorized draws on, and payments to, the customers’ lines of credit; made unauthorized withdrawals from, and deposits to, the customers’ deposit accounts; and used the customers’ deposit accounts as collateral for other customers’ lines of credit without authorization. To effect the unauthorized transactions, BENENFELD, among other things, forged the signatures of bank customers and used a document previously signed by a bank customer to create paperwork that falsely purported to authorize a different transaction. In or about April 2016, after having discovered BENENFELD’s conduct, Bank-1 terminated BENENFELD’s employment. In or about June 2016, BENENFELD was hired by another New York-area bank (“Bank-2”). At Bank-2, BENENFELD continued to conduct unauthorized transactions involving customer accounts. As a result of the unauthorized transactions conducted by BENENFELD, Bank-1 sustained losses of over $5 million.
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BENENFELD, 49, of Brooklyn, New York, pleaded guilty to one count of bank fraud, which carries a maximum sentence of 30 years in prison. The maximum potential sentence is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Mr. Berman praised the investigative work of the U.S. Postal Inspection Service’s New York Division.
The case is being prosecuted by the Office’s Complex Frauds and Cybercrime Unit. Assistant United States Attorney Dina McLeod is in charge of the prosecution.
Former Bank President Sentenced to Prison and Ordered to Pay $137 MillionRead the Press Release
OKLAHOMA CITY – JOHN ARNOLD SHELLEY, 68, of Oklahoma City, has been sentenced to four years in federal prison for making a false statement to the Federal Deposit Insurance Corporation, announced Robert J. Troester of the U.S. Attorney’s Office. He has also been ordered to pay over $137 million in restitution.
Shelley was the President, Chief Executive Officer, Chairman of the Board, and a loan officer at The Bank of Union ("BOU") in El Reno, Oklahoma, from the late 1990s until his resignation on November 30, 2013. In January 2014, state banking regulators closed BOU because of the bank’s loan losses, and the FDIC was appointed as receiver.
On December 13, 2016, a federal grand jury returned a 23-count indictment against Shelley in connection with the failure of the Bank of Union. The counts included bank fraud, money laundering, making false statements to a bank, misapplication of bank funds, false bank entries, wire fraud, and making false statements to the FDIC. According to the indictment, Shelley defrauded BOU in several ways: (1) by issuing loans with insufficient collateral and falsifying financial statements for several high-dollar bank borrowers; (2) by originating nominee loans to circumvent the bank’s legal lending limit; (3) by concealing the bank’s true financial condition from the Board of Directors; (4) by soliciting a fraudulent investment; and (5) by falsely representing the bank’s true status to the FDIC.
According to the indictment, Shelley conspired with certain BOU borrowers from approximately 2009 through November 2013 to defraud BOU by issuing them millions of dollars in BOU loan proceeds secured by collateral that they did not have. Although these borrowers had already accumulated significant debt that they could not repay, Shelley continued to issue them new loans and capitalized accrued interest. At monthly BOU Board meetings, he failed to disclose the true status of these delinquent loan accounts; instead, he advised the Board that the borrowers were continuing to pay down their loans. Shelley also allegedly issued new loans to these borrowers in order to keep them off of BOU’s monthly overdraft reports.
Further, the indictment charged that Shelley executed a scheme to defraud a partial owner and investor in BOU in 2012. According to the indictment, Shelley persuaded the investor to wire $40 million by falsely representing that BOU was growing rapidly and performing well. The indictment alleged that, although Shelley knew that the bank was on the brink of failure and needed an immediate capital infusion to ensure its solvency, he advised the partial owner that his money would not be at risk.
Finally, Shelley was charged with falsely representing the bank’s loan status to the FDIC. Between September 2012 and September 2013, Shelley continued to renew certain unpaid borrower loans by capitalizing unpaid interest. Pursuant to an October 2013 FDIC safety and soundness examination, he allegedly falsely represented that he had not renewed or extended any loans without full collection of the interest due between September 2012 and September 2013.
On September 18, 2017, Shelley pleaded guilty to making a false statement to the FDIC on July 30, 2013, when he falsely represented in writing that the bank had total equity capital of $36,290,000, when he knew the bank’s equity capital was significantly less. This offense carries a penalty of up to 30 years in prison and a fine of up to $1,000,000.
On December 14, 2018, after two days of testimony about Shelley’s conduct, U.S. District Judge Timothy D. DeGiusti sentenced Shelley to four years in prison. He found that Shelley’s crime involved more than $85 million in losses for purposes of federal sentencing law. He imposed a sentence well below the advisory imprisonment range applicable under the U.S. Sentencing Guidelines because of Shelley’s health, personal history, and other factors. After release from prison, Shelley will serve two years on supervised release.
The sentence requires Shelley to pay $137,384,291 in restitution. The partial owner who wired money for the bank’s benefit in late 2012 is due $40 million of the restitution amount. Shelley owes the remaining $97,384,291 to the FDIC, which lost money when it assumed the bank’s liabilities in January 2014.
This case is the result of an investigation by the Federal Deposit Insurance Corporation–Office of Inspector General and the Federal Bureau of Investigation’s Oklahoma City Division. It was prosecuted by Assistant U.S. Attorneys Julia E. Barry, William E. Farrior, and Scott E. Williams.
Reference is made to public filings for further information.
Former Bank of America Employee Pleads Guilty for His Role in Drug Conspiracy Linked to A Mexican Drug CartelRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y.-U.S. Attorney James P. Kennedy, Jr. announced today that Presiliano Garcia, 33, pleaded guilty before U.S. District Judge Elizabeth A. Wolford to misprision of a felony. The charges carries a maximum penalty of three years in prison and a $250,000 fine.
Assistant U.S. Attorney Michael J. Adler, who is handling the case, stated between 2012 and March, 2016, the defendant, a personal banker at Bank of America, opened approximately 36 bank accounts that were utilized by co-defendants Jose Manuel Lua-Guizar, Gerardo Ballardo, Enrique Munoz, Max Riestra, Bryant Hudson, and others, to structure deposits to funnel money from places around the United States, including Buffalo, to accounts based in California. A total of $8,359,223, composed of approximately 1,092 cash-in deposits, mostly structured between $8,000 and $9,990 and made in 15 different states, were funneled into these accounts opened by Garcia.
Approximately 205 suspect customers were identified by Bank of America as potentially linked to the defendant. Many of the suspect customers had similar naming conventions or even the same name with slight variations in spelling, last name orientation, date of birth, social security number, or domicile. Garcia knew that a structuring felony was being committed by these individuals but did not file any suspicious activity reports relating to these transactions or notify federal law enforcement of the structuring activity in order to conceal the activities of the co-defendants.
Garcia is one of seven defendants allegedly involved in an illegal narcotics operation stretching from Sinaloa, Mexico to Western New York. Law enforcement officers began investigating a sophisticated drug trafficking organization with ties to a Mexican drug cartel operating out of Los Angeles, California area in 2014. The organization shipped drug packages to various states including New York, New Jersey, Illinois, and Colorado.
To date, five of the seven defendants have been convicted in this case. Defendants Max Riestra and Gerardo Ballardo are scheduled to go to trial on January 22, 2019. The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
Today’s plea is the culmination of an investigation on the part of the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Raymond P. Donovan, New York Field Division; Homeland Security Investigations, under the direction of Special Agent in Charge Kevin Kelly; and the Internal Revenue Service, Criminal Investigation Division, under the direction of James D. Robnett, Special Agent- in-Charge, New York Field Office. Additional assistance was provided by ICE-HSI in Los Angeles, California and Bank of America.
Sentencing is scheduled for April 3, 2019, before Judge Wolford.
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Florida Man Pleads Guilty in $28 Million Solar Farm Ponzi SchemeRead the Press Release
NASHVILLE, Tenn.- December 17, 2018 – Christopher B. Warren, 50, of Anthony, Florida pleaded guilty Friday to one count of mail fraud and one count of securities fraud for operating a $28 million Ponzi scheme, announced U.S. Attorney Don Cochran for the Middle District of Tennessee.
Warren was the founder and chief investment officer of Clean Energy Advisors (CEA), a company registered in Wyoming with offices in Nashville, Florida, and other locations.
Warren admitted Friday in U.S. District Court, that CEA recruited sixty investors for its private investment funds: Utility Solar IV and Utility Income Fund. To attract investors, Warren claimed that CEA owned working solar farms throughout the state of North Carolina. Warren further claimed that Duke Power agreed to purchase the energy produced by CEA’s farms and that he would use the revenue to pay dividends to investors. To hide the fraud, Warren created phone audited financial statements and made regular Ponzi payments to select investors. As the scheme was uncovered, Warren told investors he would repay the principal investments pending the imminent sale of the company to a foreign purchaser. Warren admitted that no sale ever occurred or would materialize. To date, at least $15 million is still owed to investors.
Warren faces a maximum sentence of 20 years in prison, a maximum fine of $5,000,000 and three years of supervised release, when he is sentenced on March 8, 2019.
This case was investigated by the Federal Bureau of Investigation. Assistant U.S. Attorney Stephanie N. Toussaint is prosecuting the case.
Florida Department of Corrections Officer Charged with Conspiring to Commit Civil Rights Violations and Making False StatementsRead the Press Release
The Justice Department today announced that a federal grand jury in Miami indicted Florida Department of Corrections officer, Terrance Reynolds, 28, for conspiring with former sergeant Brendan Butler to physically assault and intimidate youthful offenders for conduct perceived by the officers as disruptive or disrespectful. The announcement was made by U.S. Attorney Ariana Fajardo Orshan of the Southern District of Florida, Assistant Attorney General Eric Dreiband of the Justice Department’s Civil Rights Division, Special Agent in Charge George L. Piro of the FBI’s Miami Field Office, and Lester Fernandez, Inspector General - Florida Department of Correction (FDC).
According to the indictment, on March 27, 2017, Reynolds and Butler instructed three inmates to exit their housing unit and took them into a mop closet. Each of these inmates had been classified as youthful offenders requiring that they be separated from the general population for their own protection. Once inside the mop closet, it is alleged that Reynolds and Butler assaulted one of the inmates with a stick and their fists, causing him bodily injury, while the other two inmates stood nearby. The indictment states that the following day, Reynolds and Butler assaulted one of the other inmates to punish him for talking about the previous day’s assault and for being disrespectful. Both of these assaults caused bodily injury to the victims. Reynolds is also charged with making false statements to the FBI about his whereabouts on the dates of the assaults.
Inmates are classified as youthful offenders by a court or the Department of Corrections if they meet certain criteria and are 24 years old or younger.
Brendan Butler pleaded guilty on May 18 to conspiracy to commit civil rights violations. He was sentenced to 24 months in prison on Aug. 23. Reynolds faces five counts in the indictment with a statutory maximum sentence of 40 years in prison.
An indictment is merely an allegation and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
This case is being investigated by the FBI Miami Area Corruption Task Force and the FDC’s Office of the Inspector General. It is being prosecuted by Assistant U.S. Attorney Robert Senior of the Southern District of Florida and Trial Attorney Samantha Trepel of the Civil Rights Division.
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.
Florida Department of Corrections Officer Charged with Conspiring to Commit Civil Rights Violations and Making False StatementsRead the Press Release
The Justice Department today announced that a federal grand jury in Miami indicted Florida Department of Corrections officer, Terrance Reynolds, 28, for conspiring with former sergeant Brendan Butler to physically assault and intimidate youthful offenders for conduct perceived by the officers as disruptive or disrespectful. The announcement was made by Assistant Attorney General Eric Dreiband of the Justice Department’s Civil Rights Division, U.S. Attorney Ariana Fajardo Orshan of the Southern District of Florida, Special Agent in Charge George L. Piro of the FBI’s Miami Field Office, and Lester Fernandez, Inspector General - Florida Department of Correction (FDC).
According to the indictment, on March 27, 2017, Reynolds and Butler instructed three inmates to exit their housing unit and took them into a mop closet. Each of these inmates had been classified as youthful offenders requiring that they be separated from the general population for their own protection. Once inside the mop closet, it is alleged that Reynolds and Butler assaulted one of the inmates with a stick and their fists, causing him bodily injury, while the other two inmates stood nearby. The indictment states that the following day, Reynolds and Butler assaulted one of the other inmates to punish him for talking about the previous day’s assault and for being disrespectful. Both of these assaults caused bodily injury to the victims. Reynolds is also charged with making false statements to the FBI about his whereabouts on the dates of the assaults.
Inmates are classified as youthful offenders by a court or the Department of Corrections if they meet certain criteria and are 24 years old or younger.
Brendan Butler pleaded guilty on May 18 to conspiracy to commit civil rights violations. He was sentenced to 24 months in prison on Aug. 23. Reynolds faces five counts in the indictment with a statutory maximum sentence of 40 years in prison.
An indictment is merely an allegation and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
This case is being investigated by the FBI Miami Area Corruption Task Force and the FDC’s Office of the Inspector General. It is being prosecuted by Assistant U.S. Attorney Robert Senior of the Southern District of Florida and Trial Attorney Samantha Trepel of the Civil Rights Division.
Five Defendants Plead Guilty in Connection with Cocaine and Heroin Ring in BuffaloRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y.-U.S. Attorney James P. Kennedy, Jr. announced today that five defendants pleaded guilty before U.S. District Judge Elizabeth A. Wolford in connection with a cocaine and heroin trafficking ring on the West Side of Buffalo. Entering guilty pleas:
• Defendants Gonzalo Velazquez Cabrera and Orlando Lanzo-Manso both pleaded guilty to discharge of a firearm in furtherance of drug trafficking. Cabrera also pleaded guilty to conspiracy to possess with intent to distribute 500 grams or more of cocaine. The charges carry a mandatory minimum penalty of 10 years in prison, a maximum of life, and a $250,000 fine.
• Raul Ortiz and Josue Diaz Rodriguez pleaded guilty to possession with intent to distribute heroin, which carries a maximum penalty of 20 years in prison and a $1,000,000 fine.
• Eunhe Choi pleaded guilty to possession of marijuana, which carries a maximum penalty of one year in prison and a $100,000 fine.Assistant U.S. Attorney Seth T. Molisani, who is handling the case, stated that between March 2015 and December 2015, defendant Gonzalo Velazquez Cabrera was the leader and conspired with Orlando Lanzo-Manso, Raul Ortiz, and Josue Diaz Rodriguez, to sell cocaine in Buffalo, mainly on the west side. Velazquez Cabrera purchased and distributed approximately 125 grams of cocaine every week, beginning in the summer of 2015 and continuing until December of 2015. The defendant obtained, stored, and distributed cocaine at his residence on West Delavan Avenue in Buffalo. The defendant supplied co-defendants Lanzo-Manso, Diaz Rodriguez, and Raul Ortiz with cocaine so they could conduct street-level narcotics sales. The defendant also personally engaged in the daily sale of varying quantities of cocaine both at his residence and on the streets.
In August of 2015, Velazquez Cabrera became embroiled in a feud with a rival drug dealer who also operated on the west side of Buffalo. Following verbal arguments that centered on the defendant’s encroachment into the drug dealing territory of his rival, Velazquez Cabrera escalated the conflict to violence. On August 27, 2015, the defendant, accompanied in his vehicle by co-defendant Lanzo-Manso, pulled up alongside a vehicle occupied by the rival drug dealer at which time Lanzo-Manso fired the gun at the rival drug dealer. The rival drug dealer fired back. Velazquez Cabrera and the rival drug dealer sped off in their vehicles. In a text message exchange that followed between the defendant and the rival drug dealer, Velazquez Cabrera declared the rival drug dealer was a dead man.
Defendant Choi was the girlfriend of Velazquez Cabrera and resided with him on West Delavan Avenue in Buffalo. Choi knew that Velazquez Cabrera was engaged in trafficking narcotics. She also possessed marijuana.
Today’s plea is the culmination of an investigation by the Federal Bureau of Investigation, Safe Streets Task Force, under the direction of Special Agent-in-Charge Gary Loeffert.
Josue Diaz Rodriguez is scheduled to be sentenced on March 29, 2019; Eunhe Choi on April 4, 2019, Orlando Lanzo-Manso and Raul Ortiz on April 5, 2019, and sentencing for Gonzalo Velazquez Cabrera will be scheduled at a later date.
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First GBK Gang Member Pleads Guilty to Conspiring to Distribute Crack CocaineRead the Press Release
PITTSBURGH - A resident of Pittsburgh, PA, pleaded guilty in federal court to a charge of conspiracy to distribute a quantity of crack cocaine, United States Attorney Scott W. Brady announced today.
Bryan Smith, age 24, 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 in 2017, the Federal Bureau of Investigation and the Drug Enforcement Administration initiated a wiretap investigation, primarily targeting the GBK street gang and drug trafficking in and around the Mountainview and Crafton Heights apartment complexes, known as the Greenway Projects, located in the West End of the City of Pittsburgh. The wiretap investigation revealed that from in and around November 2017 through in and around June 2018, Bryan Smith and his co-conspirators distributed crack cocaine in and around the area of the Greenway Projects. Smith is the first GBK gang member to plead guilty in Operation Gang Green.
Judge Schwab scheduled sentencing for May 28, 2019 at 9 a.m. The law provides for a total sentence of 30 years in prison, a fine of $2,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history of the defendant.
Pending sentencing, the court continued the defendant’s detention.
Assistant United States Attorneys Tonya Sulia Goodman and Rachael Dizard are prosecuting this case on behalf of the government.
The Federal Bureau of Investigation and the Drug Enforcement Administration jointly led the multi-agency investigation, which also included the Pittsburgh Bureau of Police, Allegheny County Sheriff’s Office, Pennsylvania State Police, Robinson Township Police Department, Stowe Township Police Department, Pennsylvania Attorney General’s Office, Wilkinsburg Borough Police Department, and the McKees Rocks Police Department, that led to the prosecution of Bryan Smith.
The investigation was funded by the federal Organized Crime Drug Enforcement Task Force Program (OCDETF). The OCDETF program supplies critical federal funding and coordination that allows federal and state agencies to work together to successfully identify, investigate, and prosecute major interstate and international drug trafficking organizations and other criminal enterprises.
Felon Sentenced to 40 Months for Possessing FirearmRead the Press Release
MADISON, WIS. – Scott C. Blader, United States Attorney for the Western District of Wisconsin, announced that Demarko D. Richmond, 21, Madison, Wisconsin, was sentenced today by U.S. District Judge William M. Conley to 40 months in federal prison for possessing a firearm as a convicted felon. Richmond pleaded guilty to this charge on September 7, 2018. His prison term will be followed by a three-year period of supervised release.
On July 23, 2018, the Dane County Narcotics Task Force and the Madison Police Department were attempting to locate individuals believed to be involved in recent shootings in the area. Officers observed Richmond exiting an apartment building with a person of interest. When officers approached, Richmond and his friend fled from the officers. Richmond was eventually arrested and was found to have possessed and discarded a stolen, loaded firearm, with a high capacity magazine.
Richmond is prohibited from possessing firearms because of a 2017 felony conviction for fleeing/eluding an officer. In choosing a 40-month sentence, Judge Conley noted that Richmond is an angry individual, with a history of domestic violence.
This case has been brought as part of Project Safe Neighborhoods (PSN), the U.S. Justice Department’s program to reduce violent crime. The PSN approach involves collaboration by federal, state and local law enforcement agencies, prosecutors and communities to prevent and deter gun violence.
The charge against Richmond was the result of an investigation conducted by the Dane County Narcotics Task Force and the Madison Police Department, Violent Crime Unit. The prosecution of the case has been handled by Assistant U.S. Attorney Rita M. Rumbelow.
Federal Grand Jury IndictmentsRead the Press Release
Columbia, South Carolina----United States Attorney Sherri A. Lydon announced today that Federal Grand Juries have returned Indictments against the following:
Charleston Area Men Face Federal Charges for Armored Car Robbery. Rashad Dingle of North Charleston, South Carolina, and Robert Lee Brown, II, of West Ashley, South Carolina, were charged in a 5-count indictment arising out of the April 10, 2018, robbery of an armored car driver. Among other charges, the indictment alleges a robbery affecting interstate commerce and possession of a firearm in furtherance of a crime of violence. Dingle is also charged with being a felon in possession of ammunition. Both men face a maximum penalty of up to life in federal prison. The case was investigated by the Federal Bureau of Investigation and Dorchester County Sheriff's Office and is assigned to Assistant United States Attorney Chris Schoen of the Charleston office for prosecution.
Seabrook Island Man Indicted in $2M Fraud. Todd Vannatta, 42, of Seabrook Island, South Carolina, was charged in a 10-count superseding indictment. The indictment charges nine counts of wire fraud, with each count punishable by up to 20 years in federal prison. Count Ten charges False Statement and is punishable by up to five years in federal prison. The indictment alleges that Vannatta used several businesses to steal approximately $2,000,000.00 from multiple investors. The charges are the result of an investigation conducted by the Federal Bureau of Investigations. Assistant United States Attorneys Nathan Williams and Rhett DeHart of the Charleston office are prosecuting the case.
Illegal Aliens Indicted for Illegal Re-Entry. Marcelo Diaz-Cordero, 34; Melchor Gonzalez-Gutierrez, 33; Juan Carlos Hernandez-Renteria, 34; Jorge Ramos-Luna, 31; and Sofronio Cruz-Aragon, 35, are each charged in separate Indictments with illegal re-entry to the United States. Each faces a maximum penalty of up to 20 years in federal prison, depending on his record. The cases were investigated by agents of the ICE-Enforcement and Removal Operations and are being prosecuted by Assistant United States Attorney Max Cauthen of the Greenville Office.
Three Spartanburg Residents Indicted on Conspiracy to Rip Off Housing Programs Designed to Help the Poor and Underprivileged. Tommy E. Quick, 69; Isaac T. Quick, 29; and John E. Bagwell, Jr., 78, all of Spartanburg, South Carolina, were charged in a one-count Indictment with conspiracy. The defendants face a maximum penalty of up to five years in federal prison. The case was investigated by agents of the Federal Housing Finance Agency, Office of the Inspector General, and is assigned to Assistant United States Attorney William J. Watkins, Jr., of the Greenville office for prosecution.
Operators of Balanced Solutions Indicted for Scamming Patients Involving Scar Cream. Kristopher M. Oakes, 46, of Greenville, South Carolina; Christy L. Oakes, 47, of Greenville, South Carolina; Gerald S. Lemarr, 72, of Dandridge, Tennessee; Melissa G. Barbour, 57, of Travelers Rest, South Carolina; Erskine C. Carpenter, 21, of Taylors, South Carolina; Austin B. Cathcart, 28, of Greenville, South Carolina; and Deborah R. Cathcart, 58, of Greer, South Carolina, were charged in a one-count Indictment with attempt and conspiracy. The defendants face a maximum penalty of 20 years in federal prison. The case was investigated by agents of the Federal Bureau of Investigation and is assigned to Assistant United States Attorney William J. Watkins, Jr., of the Greenville office for prosecution.
Enoree Resident Indicted for Child Pornography Possession and Sexually Explicit Conduct. Jeremey A. Bennett, 27, of Enoree, South Carolina, was charged in a two-count Indictment with possession of child pornography and sexual exploitation of children. Bennett faces of maximum penalty of 30 years in federal prison. The case was investigated by U.S. Immigration and Customs Enforcement (ICE) Homeland Security Investigations (HSI) agents and is assigned to Assistant United States Attorney William J. Watkins, Jr., of the Greenville office for prosecution.
This case is being brought as part of Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorney’s Offices, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as identify and rescue victims. For more information, please visit www.projectsafechildhood.gov.
Simpsonville Resident Indicted on Embezzlement from Social Security Administration. Melissa Thames, 48, of Simpsonville, South Carolina, was charged in a one-count indictment with embezzlement. The maximum penalty Thames could receive is 10 years in federal prison. The case was investigated by agents of the Social Security Administration, Office of the Inspector General and is assigned to Assistant United States Attorney William J. Watkins, Jr., of the Greenville office for prosecution.
The United States Attorney stated that all charges in these indictments are merely accusations and that all defendants are presumed innocent until and unless proven guilty.
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Dunbar Man with Two Prior Domestic Violence Convictions Pleads Guilty to Federal Firearms ChargeRead the Press Release
CHARLESTON, W.Va. -- A Dunbar, West Virginia man pled guilty to a federal firearms charge, announced United States Attorney Mike Stuart. Brian M. Oliver, 22, entered a guilty plea today to being a prohibited person in possession of a firearm. Mr. Oliver faces up to 10 years in prison when he is sentenced on March 13, 2019. Stuart praised the work of the Dunbar Police Department and the Bureau of Alcohol, Tobacco, and Firearms Enforcement (ATF).
“Persons with domestic violence convictions are prohibited from possessing firearms,” said United States Attorney Mike Stuart. “Why? Because they have proven to be violent. We are laser focused on removing violent offenders from our communities, and prosecuting prohibited persons in possession of guns is a key part of our crime reduction strategy.”
On April 29, 2018, officers with the Dunbar Police Department stopped a truck for an infraction. Oliver was a passenger in the truck. During the course of the traffic stop, Oliver admitted that he had a firearm on his person. Dunbar officers subsequently patted down Oliver and recovered an Iver Johnson .22 caliber pistol in his front pants pocket. Record checks revealed Oliver had been convicted of the misdemeanor offense of Domestic Battery in Kanawha County Magistrate Court in January 2017, and also of Second Offense Domestic Battery in March 2017. These domestic violence convictions resulted in Oliver being prohibited from carrying a firearm. Oliver admitted to the police officers that he possessed the firearm and was not supposed to do so. The ATF traced the gun, revealing that it had traveled in interstate commerce.
Assistant United States Attorney Erik S. Goes is handling the prosecution. The hearing was held before United States District Judge Joseph R. Goodwin.
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.
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District Man Sentenced to Seven-Year Prison Term for 2003 Sexual Assault of Woman in Southwest WashingtonRead the Press Release
WASHINGTON – James Richardson, 38, of Washington, D.C., was sentenced today to seven years in prison for sexually assaulting a 22-year-old woman in September 2003, announced U.S. Attorney Jessie K. Liu and Peter Newsham, Chief of the Metropolitan Police Department (MPD).
Richardson pled guilty in October 2018, in the Superior Court of the District of Columbia, to one count of attempted first-degree sexual abuse. The plea, which was contingent upon the Court’s approval, called for an agreed-upon seven-year prison term. Richardson also will be required to register as a sex offender for life and serve a 10-year term of supervised release. The Honorable Milton C. Lee accepted the plea and sentenced Richardson accordingly.
According to the government’s evidence, on Sept. 21, 2003, at approximately 8:20 p.m., Richardson engaged the victim in conversation, offered to walk her home, and then walked her down the 4600 block of Blue Plains Drive SW. He then pulled her into a wooded area, brandished a knife, and raped her at knifepoint. The victim screamed for help and tried to run, but was unsuccessful. When the assault was over, Richardson threatened to kill the victim if she reported the assault. He again offered to walk the victim home, but she told him to leave her alone and ran back to her residence.
The victim made an immediate report to police, and was transported to an area hospital, where she received a Sexual Assault Nurse Examination.
Richardson was developed as a suspect in this offense by MPD’s Cold Case Sexual Assault Unit in September 2018. On Sept. 18, 2018, a D.C. Superior Court judge signed a complaint and warrant authorizing Richardson’s arrest. The warrant was executed on Sept. 19, 2018, two days before the statute of limitations would have run on this case. Richardson has been in custody ever since.
When detectives discovered this case in September 2018, the investigation revealed that Richardson had been convicted of two prior sexual assaults, one that occurred in 2000 in Baltimore, and one that occurred in 2003 in the District of Columbia.
In announcing the sentence, U.S. Attorney Liu and Chief Newsham commended the work of the detectives of the Metropolitan Police Department’s Cold Case Sexual Assault Unit and officers from the Seventh District, as well as the Deputy Marshals from the U.S. Marshals Service. They also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Victim/Witness Advocate Tracey Hawkins, and Paralegal Specialist Tameka Garcia.
Finally, they expressed appreciation for the work of Assistant U.S. Attorneys Amy Zubrensky and Jennifer Loeb, who investigated and prosecuted the case.
Detroit Man Pleads Guilty to Distribution of FentanylRead the Press Release
HUNTINGTON, W.Va. -- A Detroit, Michigan man pled guilty today to a federal drug charge, announced United States Attorney Mike Stuart. Joshua McCarver, 20, entered a guilty plea today to knowingly and intentionally distributing fentanyl in federal court in Huntington.
“Our partnership with the Huntington Police Department is critical to our efforts in Operation Synthetic Opioid Surge (S.O.S.),” said United States Attorney Mike Stuart. “We anticipate prosecuting a significant number of fentanyl dealers over the next several months. Perhaps these out-of-state fentanyl dealers will take notice and curtail their travel into West Virginia.”
On February 19, 2018, officers with the Huntington Police Department’s Special Emphasis Unit utilized a confidential informant to arrange a controlled buy of heroin from McCarver. McCarver arrived at the buy location in the West End of Huntington and provided the confidential informant with a substance he represented to be heroin in exchange for $70. Testing by the West Virginia State Police Lab confirmed the substance to actually be fentanyl.
McCarver faces up to 20 years when he is sentenced on March 25, 2019.
Assistant United States Attorney Monica D. Coleman is handling the prosecution. The plea hearing was held before United States District Judge Robert C. Chambers.
Fentanyl is a powerful, synthetic narcotic that works on the brain like other opioids, such as morphine or heroin, but is 50 to 100 times more potent, and can easily cause an overdose. In 2016, the latest year for which numbers are available, fentanyl surpassed heroin as the deadliest drug in the United States, taking more than 18,000, according to the National Center for Health Statistics, part of the U.S. Centers for Disease Control and Prevention.
This case is being prosecuted as part of Operation Synthetic Opioid Surge (S.O.S.), an enforcement surge that seeks to reduce the supply of deadly synthetic opioids in high impact areas.
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Columbia Man Pleads Guilty to Federal Drug and Firearm ChargesRead the Press Release
Columbia, South Carolina ---- United States Attorney Sherri A. Lydon announced today that Reggie Denard Goodwin, age 47, of Columbia, South Carolina, pled guilty in federal court to possession with intent to distribute cocaine and crack cocaine and to being a felon in possession of a firearm and ammunition.
Evidence presented in court established that on March 13, 2018, deputies with the Richland County Sheriff’s Department stopped Goodwin’s vehicle after observing a traffic violation. When deputies approached the vehicle, they observed Goodwin, a female, and a small child in the vehicle. Deputies smelled marijuana and asked Goodwin, the driver, to exit the vehicle. Goodwin actively resisted arrest, struck the officer’s arm, and tried to flee.
A loaded .380 caliber handgun, which was later determined to be stolen, was found in Goodwin’s pocket. Inside the car, deputies located a digital scale and baggies of cocaine, crack cocaine, and marijuana. After waiving his rights, Goodwin admitted that he tried to run because he had drugs and a gun. Goodwin was arrested on state charges and released on state bond.
While out on state bond from the March 2018 drug and gun offenses, Goodwin was involved in a high-speed chase on June 1, 2018, after Richland County Sheriff’s Department deputies attempted to stop his truck for a traffic violation. The chase ensued through highly-populated areas of Columbia, including Devine Street and Garners Ferry Road. During the chase, a deputy observed Goodwin throwing baggies out of his truck. Goodwin lost control and wrecked his truck as he crossed into on-coming traffic over a raised median at the on-ramp to I-77. Goodwin exited the truck with a handgun in his hands, which he tossed into the brush when he attempted to flee. Goodwin resisted arrest and struggled with deputies, breaking one deputy’s eyeglasses. Deputies were able to locate the loaded .38 caliber firearm in the brush where Goodwin tossed it. Goodwin was arrested on state charges and released on state bond. Thereafter, a federal complaint and arrest warrant were issued. Goodwin was arrested on federal drug and gun charges and remains in custody.
Goodwin is prohibited under federal law from possessing firearms and ammunition based upon prior state convictions for possession of cocaine and possession of crack cocaine (1990); burglary 2nd degree (1990); grand larceny (1991); receiving stolen goods (1994); forgery (1996); burglary 2nd degree/strong arm robbery, possession of crack cocaine, and grand larceny (1996); burglary 2nd degree and grand larceny (1996); possession with intent to distribute marijuana (2006); and possession of crack cocaine (2006).
Goodwin faces a maximum penalty of 30 years in federal prison, a fine of $2,000,000, and 6 years of court-ordered supervision on the drug charge. On the firearm charge, Goodwin faces a maximum of 10 years imprisonment, a fine of $250,000, and 3 years of court-ordered supervision.
Senior United States District Judge Joseph F. Anderson, Jr., of Columbia accepted the guilty plea and will impose sentence after he has received and reviewed the presentence report, which will be prepared by the United States Probation Office. Assistant United States Attorney Stacey D. Haynes of the Columbia office is prosecuting the case.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) and the Richland County Sheriff’s Department. It was prosecuted as part of the joint federal, state, and local Project CeaseFire initiative, which aggressively prosecutes firearm cases. Project CeaseFire is South Carolina’s implementation of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
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Colonia, New Jersey, Man Charged with Distributing Images of Child Sexual AbuseRead the Press Release
NEWARK, N.J. – A Colonia, New Jersey, man was arrested in his home today on charges that he distributed images of child sexual abuse, U.S. Attorney Craig Carpenito announced.
James A. Gabany, 36, is charged by complaint with one count of distributing child pornography. He made his initial appearance today before U.S. Magistrate Court Judge Steven C. Mannion in Newark federal court. He was released to a third-party custodian with home detention and electronic monitoring.
According to documents filed in this case and statements made in court:
Gabany used peer-to-peer file sharing on his computer to distribute files containing images and videos of child sexual abuse, including images of prepubescent children.
The charge of distributing child pornography carries a mandatory minimum sentence of five years in prison, a maximum potential penalty of 20 years in prison, and a $250,000 fine.
U.S. Attorney Craig Carpenito credited special agents of Department of Homeland Security, Homeland Security Investigations, under the direction of Special Agent in Charge Brian Michael, with the investigation leading to today’s charges and arrest.
The government is represented by Assistant U.S. Attorney Sophie Reiter of the U.S. Attorney’s Office Criminal Division in Newark.
The charge and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Chicago Man Sentenced to Six and a Half Years for Illegally Selling More Than a Dozen FirearmsRead the Press Release
CHICAGO — A convicted felon from Chicago has been sentenced to six and a half years in federal prison for illegally selling more than a dozen handguns and rifles.
JYMIL CAMPBELL, 31, sold ten handguns, three rifles, and four large-capacity magazines during a nine-month period that ended with his arrest in the summer of 2016. The sales netted Campbell a total of $8,700 in cash. Unbeknownst to Campbell, the two buyers were confidential informants working on behalf of law enforcement. They provided the guns to law enforcement after each sale.
Campbell pleaded guilty earlier this year to one count of willfully dealing firearms without a license and one count of illegal possession of a firearm by a convicted felon. U.S. District Judge Robert W. Gettleman imposed the 78-month sentence on Dec. 12, 2018, in federal court in Chicago.
The sentence was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; and Celinez Nunez, Special Agent-in-Charge of the Chicago Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives.
“No illegal sales of any firearms – especially in this time and place – should be accepted, let alone 13,” Assistant U.S. Attorney Devlin N. Su argued in the government’s sentencing memorandum. “Chicagoans are extremely fortunate that the buyers of the weapons turned out to be working for law enforcement, because any willingness to inject guns onto the streets fuels the violence.”
Campbell acknowledged in a plea agreement that he could not legally possess or deal firearms because he had previously been convicted of two felonies – home invasion and armed robbery – and he lacked a federal firearms license.
Most of the gun sales occurred in Campbell’s residence in the North Lawndale neighborhood of Chicago. According to the plea agreement, one of the buyers put Campbell on notice that the firearms would be used in illegal gun violence. Campbell nonetheless made the sale. Campbell also admitted telling the buyer that although Campbell had personally fired one of the rifles, the firearm was essentially “brand new” and had not yet been “shot shot, like in a war.”
Broward County Resident Convicted by Trial Jury of Participating in a Two Million Dollar Securities Fraud Conspiracy Scheme that Targeted the ElderlyRead the Press Release
On December 13, 2018, a Broward County resident was convicted by a federal jury of one count of conspiracy to commit mail and wire fraud and four counts of mail fraud, in connection with a scheme to fraudulently raise $2 million from over a dozen elderly victims throughout the United States.
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 Pamela Epting, Interim Commissioner, Florida Office of Financial Regulation (OFR), made the announcement.
Thomas Michael White, 60, of Parkland, Florida, was convicted by a federal jury after a two week trial before U.S. District Judge Beth Bloom in Miami (Case No. 18-60174-CR-Bloom). White faces a maximum statutory sentence of twenty years in prison for the mail and wire fraud conspiracy count, twenty years in prison for each mail fraud count, and a fine up to $250,000 or double the proceeds as to each count of conviction. White is scheduled to be sentenced by Judge Bloom on February 26, 2019.
According to the court record, including evidence introduced at trial, White was President and CEO of First Call Ventures, LLC, the parent company of First Call Movers & Transport of Florida, LLC, a moving company that also brokered customer moves for other companies. From November 2011 through mid-2014, White ran the Broward-based moving business’ call center that booked moves throughout the Southeast. He also oversaw a "phone room" out of his corporate offices to raise money from investors. During telephone calls, White and his co-conspirators used false statements, manipulation, and high-pressure tactics to target elderly investors (victims) and their retirement money. The victims included retired teachers, farmers, small business owners, and homemakers, from across the United States. When his targets did not have available funds to invest, White tricked them into converting their Individual Retirement Account ("IRA") money and transferring the funds to his corporate bank account. White promised his investors that their money was safe and secure, would be returned after a year, and yield high-value interest payments to be paid on a monthly basis. White and his co-conspirators provided written and oral "Investor Reports" that falsely conveyed security and profitability of the First Call Ventures moving business. As a result, White and his conspirators were given a total of more than $2 million from over a dozen senior citizens.
In truth and fact, White and his partners used the investors’ money for themselves, including millions in cash and bank check payments. Bank records also demonstrated that over the course of the fraud scheme, White withdrew over $130,000 in investor proceeds at the Seminole Coconut Creek casino. White and his partners siphoned all profits and victim money to their own personal accounts, declared a $1.8 million "loss," and shuttered the business. As a result of the fraudulent scheme, some of the senior citizens are now living on food stamps, lost their homes, or were forced to take on odd jobs for income.
Four other individuals tied to this case and a related indictment previously pled guilty. White's co-defendants, John Kevin Reech, 56, of Delray Beach, Florida, and Joseph Mario Genzone, 53, of Boca Raton, Florida, previously pled guilty. Genzone and Reech were also recently charged by Information for operating a separate offering fraud (Case No. 18-80193-CR-Bloom). Reech pled guilty in both matters and was sentenced to a concurrent term of 51 months in prison. Genzone also pled guilty and is scheduled to be sentenced by Judge Bloom on December 21, 2018, in both cases. Daniel Joseph Touizer, 44, of Aventura, Florida was sentenced to 68 month in prison for leading a similar fraud scheme linked to White and Reech’s criminal conduct (Case No. 17-60286-CR-Bloom). Saul Daniel Suster, 66, of Sunny Isles Beach, Florida, a phone room worker of Touizer's, was sentenced to 30 months in prison.
U.S. Attorney Fajardo Orshan commended the investigative efforts of the FBI and Florida Office of Financial Regulation in this matter. This case is being prosecuted by Assistant U.S. Attorney Roger Cruz.
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.
Broward County Resident Charged with Distributing Information Pertaining to Explosives OnlineRead the Press Release
A Broward County resident was arrested and charged with distributing information pertaining to explosives over the internet.
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.
Tayyab Tahir Ismail, 33, of Pembroke Pines, Florida, was charged by criminal complaint with distributing information pertaining to explosives, destructive devices, and weapons of mass destruction, in violation of Title 18, United States Code, Section 842(p)(2) (Case No. 18-mj-06588). He had his initial appearance in front of U.S. Magistrate Judge Barry S. Seltzer this morning. A detention hearing is scheduled before U.S. Magistrate Judge Seltzer, in Fort Lauderdale, on Wednesday, December 26, 2018 at 10:00 a.m.
According to allegations contained within the criminal complaint, on or about July 15, 2018, through on or about September 17, 2018, Ismail posted and distributed online documents including, but not limited to, documents containing step-by-step instructions on how to construct a bomb and other explosives, with the intent that the information be used for and in furtherance of an activity that constitutes a Federal crime of violence.
If convicted, Ismail faces a maximum statutory sentence of twenty years in prison on each count of unlawfully distributing information. In addition, Ismail faces up to three years of supervised release and up to a $250,000 fine on each count of conviction.
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’s Miami Field Office and South Florida’s Joint Terrorism Task Force (JTTF) in this matter. The case is being jointly prosecuted by Assistant U.S. Attorney Karen E. Gilbert of the Southern District of Florida and Trial Attorney Troy Edwards of the National Security Division’s Counterterrorism Section.
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.
Bookkeeper Sentenced in Manhattan Federal Court to 2 Years in Prison for Embezzling over $3.3 Million from Literary Agency and Its ClientsRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced today that DARIN WEBB was sentenced in Manhattan federal court to two years in prison for defrauding Donadio & Olson, a Manhattan-based literary agency (the “Agency”), and its clients of over $3.3 million. WEBB provided bookkeeping services for the Agency and carried out his scheme by making unauthorized transfers from the Agency’s bank accounts, and then making changes to the Agency’s accounting system to evade detection. WEBB pled guilty on July 25, 2018, to one count of wire fraud before U.S. District Judge Edgardo Ramos, who also imposed today’s sentence.
U.S. Attorney Geoffrey S. Berman said: “Darin Webb, a bookkeeper for a literary agency, admitted to embezzling more than $3.3 million from the agency, and then changing their accounting system to evade detection. Webb’s theft was eventually uncovered, and he is now sentenced to two years in federal prison.”
According to allegations contained in the Information filed against Webb and statements made in related court filings and proceedings:
From 2001 through March 2018, WEBB was engaged as a bookkeeper for the Agency. From January 2011 through March 2018, WEBB used his position as the Agency’s bookkeeper to transfer more than $3.3 million of funds, belonging to the Agency and its clients, from the Agency’s bank accounts to bank accounts that WEBB controlled. In order to evade detection of his criminal conduct and carry out his scheme, WEBB made changes to the Agency’s accounting records to disguise the nature of the transfers.
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In addition to his prison term, WEBB, 48, of Manhattan, New York, was sentenced to three years of supervised release, a forfeiture money judgment in the amount of $3,300,000, and restitution in an amount to be determined.
Mr. Berman praised the work of the FBI.
This case is being handled by the Office’s Securities and Commodities Fraud Task Force. Assistant U.S. Attorney Christine I. Magdo is in charge of the prosecution.
Ballston Spa Man Sentenced to 120 Months for Child Pornography OffensesRead the Press Release
ALBANY, NEW YORK – Jason Novoa, age 38, of Ballston Spa, New York, was sentenced today to 120 months in prison for receipt and possession of child pornography.
The announcement was made by United States Attorney Grant C. Jaquith and James N. Hendricks, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI).
Senior United States District Judge Gary L. Sharpe also sentenced Novoa to 20 years of supervised release, to begin following his term of imprisonment. Novoa was also ordered to pay $5,000 in restitution to one of the victims portrayed in the child pornography he possessed. He will be required to register as a sex offender upon his release from prison.
Novoa pled guilty on July 17, 2018. Novoa admitted that, over a period of at least 5 years, he used a laptop computer equipped with peer-to-peer file-sharing software to search for and download videos and images depicting child pornography. Novoa further admitted that between June 9 and June 13, 2017, he made available for download over 800 images of child pornography. Novoa additionally possessed approximately 30 video files and 310 image files depicting child pornography on June 29, 2017, when the laptop was seized by investigators.
This case was investigated by the FBI and the New York State Police, and was prosecuted by Assistant U.S. Attorney Emmet O’Hanlon.
This case was prosecuted as part of Project Safe Childhood. Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS). Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc
Arkansas Man Admits Coercing a Minor to Engage in Illegally Sexual ActivityRead the Press Release
PITTSBURGH, PA- A former resident of Van Buren, Arkansas, pleaded guilty in federal court to a charge of coercion and enticement of a minor to engage in illegal sexual activity, United States Attorney Scott W. Brady announced today.
Alastair Lee Stewart, 27, pleaded guilty to one count before Chief United States District Judge Mark R. Hornak.
In connection with the guilty plea, the court was advised that from November 15, 2016 to March 27, 2017, Stewart engaged in internet conversations with a 12 year-old female over a chatting application called "Live Me," and later communicated with the victim over Skype, Snapchat, and text message. Stewart then traveled from Van Buren, Arkansas to Pennsylvania and arranged to meet the victim at her grandfather’s residence, where he sexually assaulted her in a motor home on the property on March 24 and March 25, 2017. Stewart fled the area on March 26, 2017.
Chief Judge Hornak scheduled sentencing for April 26, 2019. The law provides for a total sentence of not less than 10 years and up to life 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. Stewart remains incarcerated pending the sentencing hearing.
Assistant United States Attorneys Jessica L. Smolar and Christy C. Wiegand are prosecuting this case on behalf of the government.
The Federal Bureau of Investigation (FBI) and Pennsylvania State Police conducted the investigation leading to the Indictment in this case.
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.
Acting Attorney General Matthew Whitaker Applauds Significant Reduction in Violent Crime in Southern Illinois Achieved Through Project Safe NeighborhoodsRead the Press Release
America’s Highest Per Capita Murder Rate Down 42 Percent
EAST ST. LOUIS, IL – One year ago, the U.S. Attorney’s Office joined with its federal, state, and local law enforcement partners to implement Project Safe Neighborhoods (PSN) in East St. Louis, Illinois. The centerpiece of the Department of Justice’s violent crime strategy, PSN is a nationwide initiative that brings together federal, state, and local law enforcement officials, along with community leaders, to identify the most pressing violent crime problems and to develop comprehensive solutions to address them.
According to numerous reports, since 2015, East St. Louis has had among the top per capita murder rates in the country. According to an analysis by the city of East St. Louis, from Dec. 4, 2016 to Dec. 4, 2017 there were 36 homicides in East St. Louis. Exactly one year after the implementation of PSN on Dec. 4, 2017, that number was reduced to 21 homicides. That represents a 42 percent decrease in homicides.
"PSN is about empowering people in their communities," said Acting Attorney General Matthew Whitaker. "Rather than having Washington, D.C. dictate a uniform approach, PSN directs our U.S. Attorneys to work with their communities to develop a customized crime reduction plan to target the most violent criminals in the most violent areas, and to prevent and deter violent crimes before they happen. That is what we have done in East St. Louis—and it is working. In this city, where murder and violent crime rates are some of the highest in the country, crime is going down and public confidence is going up. I want to thank U.S. Attorney Weinhoeft, all of our prosecutors and federal officers and especially our state, local, and community partners. Their hard work is achieving incredible results that we want to replicate across America."
The United States Attorney for the Southern District of Illinois, Steven D. Weinhoeft, joined St. Clair County State’s Attorney Brendan Kelly, Illinois State Police Director Leo Schmitz,
East St. Louis Police Chief Jerry Simon, and United States Marshal Brad Maxwell, along with representatives from the Federal Bureau of Investigation (FBI), Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), and the Drug Enforcement Administration (DEA), in announcing the development.
US Attorney Weinhoeft said, "One year ago, the city of East St. Louis experienced the highest per capita murder rate in America, for the third straight year. Today, on the one-year anniversary of the local implementation of the Project Safe Neighborhoods strategy, I’m happy to report that the homicide rate has been cut by 42 percent. There is still much to do. But, today, we can be very proud of the progress that has been made."
PSN is built on three foundational principles. First, it is community based. The initiative recognizes that different communities have different dynamics. As such, each US Attorney is tasked with tailoring a strategy that makes sense for that particular district. Second, PSN is a targeted program that uses law enforcement and community resources to identify the most violent offenders for criminal enforcement. This second principle recognizes that the majority of violent crimes are perpetrated by a small number of persistent violent offenders. Third, the program is comprehensive. It seeks to sustain relationships between local, state, and federal law enforcement, together with community groups, and with a focus on prevention and reentry strategies to disrupt the cycle of violence.
The US Attorney’s primary local PSN strategy has focused on leading bi-weekly case reviews at the East St. Louis police department with the law enforcement personnel who directly investigate violent crime cases. At those meetings, state, local, and federal law enforcement officials review every shooting incident and prioritize resources to focus on cases against the most persistent, repeat, violent offenders. State and federal prosecutors participate in the case reviews to help guide the investigations.
The Illinois State Police has supported law enforcement efforts for decades in the East St. Louis and Metro East areas. Over the past year, however, they have significantly increased their commitment by supporting the PSN initiative. The Illinois State Police has committed additional manpower to conduct proactive patrols, and they send crime scene investigators to process any scene involving a gun crime, whether or not the crime results in a fatality. This is a significant commitment considering East St. Louis receives roughly 1,300 calls each year for shots fired.
St. Clair County State’s Attorney Brendan Kelly said, "This is the kind of effort, with all the key agencies, consistently involved, that must be sustained over the long term if we are going to continue to move in the right direction. Law enforcement helps set the table for economic development by other parts of the community."
East St. Louis Police Chief Jerry Simon said, "I appreciate the support of the US Attorney’s Office and the St. Clair County State’s Attorney’s Office, as well as the support of each of the law
enforcement agencies. This work is directly responsible for the decrease in the overall crime rate and for the significant reduction in the homicide rate. I look forward to continuing these relationships in the future."
US Attorney Weinhoeft said, "The challenges we face are great, but our resolve to meet those challenges is greater. One neighborhood at a time, and one shooter at a time, we are making the community safer. Today, that impact is most dramatically demonstrated by the 42% reduction in the homicide rate."
911 Call for Domestic Violence Results in 57 Months Federal Prison Sentence for Sumter ManRead the Press Release
Columbia, South Carolina---- United States Attorney Sherri A. Lydon announced today that Lorenzo Keith Goins, age 27, of Sumter, South Carolina, was sentenced in federal court for being a felon in possession of a firearm and ammunition. Senior United States District Judge Margaret B. Seymour, of Charleston, sentenced Goodwater to 57 months in federal prison, to be followed by 3 years of court-ordered supervision. There is no parole in the federal system.
Evidence presented during Goins’ guilty plea and sentencing hearing established that on October 20, 2017, the victim’s 19-year-old son called 911 and stated that Goins was threatening his mother with a handgun. Officers with the Sumter Police Department responded and encountered Goins, who was in possession of a .45 caliber Springfield Armory handgun and over 20 rounds of .45-caliber ammunition. Witnesses to the incident advised the officers that Goins grabbed the female victim by the throat and threw her up against her car. The victim’s 19-year-old son then attempted to engage Goins. Goins then displayed the firearm in his waistband and told the son, “You lucky I don’t pull it out on you.”
During the sentencing hearing, the transporting officer’s in-car video was played for the Judge. Goins was captured on the video becoming visibly irate with the transporting officer, making numerous threats to hurt the officer and his colleagues. Federal law prohibits Goins from possessing a firearm or ammunition based on his criminal record, which includes convictions for grand larceny, possession of crack cocaine, possession of marijuana, and receiving stolen goods. After his arrest, Goins made contact with the victim several times over the phone, attempting to get her to withdraw her statements to law enforcement about the assault.
The Court sentenced Goins to 57 months in federal prison, followed by 3 years supervised release with a special condition that he receive anger management treatment. This sentence was at the top of the advisory sentencing guideline range and was enhanced for his possession and use of the firearm during and in relation to the domestic violence incident.
The case was investigated by the Sumter Police Department and agents of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). Assistant United States Attorney JD Rowell of the Columbia office prosecuted the case.
This case was prosecuted as part of the joint federal, state, and local Project CeaseFire initiative, which aggressively prosecutes firearm cases. Project CeaseFire is South Carolina’s implementation of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
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Friday 14 December 2018
Wise County Man Pleads Guilty to Lying About DisabilityRead the Press Release
Abingdon, VIRGINIA – A Wise County man, who claimed to be to be too disabled to work and as a result received over $92,000 in disability benefits from the Railroad Retirement Board, pleaded guilty yesterday in U.S. District Court in Abingdon to making a false statement, United States Attorney Thomas T. Cullen announced.
Jeffrey L. Bates, 59, pleaded guilty yesterday to one count of making a false statement. At sentencing, Bates faces a maximum statutory sentence of up to five years in prison. The defendant has also agreed to pay $92,081 in restitution to the Railroad Retirement Board. Bates will be sentenced April 16, 2019.
“Protecting government-sponsored benefits programs from fraud and abuse is among our top priorities,” U.S. Attorney Cullen stated today. “False statements in connection with these programs, like the ones the defendant admitted to making in this case, are violations of federal law and will result in criminal prosecution.”
According to evidence presented at yesterday’s guilty plea hearing by Special Assistant United States Attorney Kathleen Carnell, Bates had been receiving disability benefits from the Railroad Retirement Board since 2001. In 2015, the Railroad Retirement Board received a hotline complaint stating that Bates was self-employed in the lawn care business. The defendant filled out a form, as required by the Railroad Retirement Board, in 2016, wherein he falsely stated his self-employment status and the earnings he received.
The investigation of the case was conducted by the USRRB- OIG. Special Assistant United States Attorney Kathleen Carnell is prosecuting the case for the United States.
Willimantic Teen Charged with Firearms OffensesRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, and Kelly D. Brady, Special Agent in Charge, ATF Boston Field Division, and Willimantic Police Chief Roberto Rosado today announced that a federal grand jury in Hartford returned a superseding indictment yesterday charging MOHAMMADREZA KAMALI, also known as “Reza,” 18, of Willimantic, with several firearms offenses.
As alleged in court documents and statements made in court, the investigation into Kamali began after law enforcement learned that Kamali was offering to sell firearms to individuals in Connecticut. On November 2, 2018, Kamali was arrested on a federal criminal complaint after he sold four AR-15 style firearms, which he had built himself after ordering parts on the internet, to an undercover ATF special agent.
On November 14, 2018, a grand jury returned an indictment charging Kamali with one count of dealing in firearms without a license, an offense that carries a maximum term of imprisonment of five years. The three-count superseding indictment returned today adds one count of possession of a firearm made in violation of the National Firearms Act, and one count of possession of an unregistered firearm. Both of these charges, which carry a maximum term of imprisonment of 10 years on each count, relate to Kamali’s alleged sale of a short-barreled rifle to the undercover ATF agent.
Kamali has been released on a $50,000 bond since November 29, 2018.
U.S. Attorney Durham stressed that an indictment is not evidence of guilt. Charges are only allegations, and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This matter is being investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and Willimantic Police Department. The case is being prosecuted by Assistant U.S. Attorney Lauren Clark.
Wilkinsburg Felon Charged with Illegally Possessing HandgunRead the Press Release
PITTSBURGH, PA – An Allegheny County resident has been indicted by a federal grand jury in Pittsburgh on a charge of violating the federal firearms laws, United States Attorney Scott W. Brady announced today.
The one-count Indictment named, returned on Dec. 12, Monte Barry, 20, of Wilkinsburg, Pa.
According to the Indictment, on or about October 3, 2018, Barry, being a convicted felon, did knowingly and unlawfully possess a 9mm caliber Taurus handgun. It is unlawful for Barry, who has previously been convicted of a crime punishable by a term of imprisonment exceeding one year, to possess a firearm.
The law provides for a maximum total sentence of 10 years in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history of the defendant.
Assistant United States Attorney Adam N. Hallowell is prosecuting this case on behalf of the government.
This case was brought as part of Project Safe Neighborhoods (PSN). PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Washington man sentenced for meth distributionRead the Press Release
GREAT FALLS – A Washington man who admitted distributing pound quantities of methamphetamine primarily in the Great Falls area was sentenced on Dec. 12 to 90 months in federal prison and five years of supervised release, U.S. Attorney Kurt Alme said.
Cody David Paine, 35, of Kettle Falls, Wash., pleaded guilty previously to possession with intent to distribute meth.
U.S. District Judge Brian M. Morris presided.
An FBI investigation that began in February 2017 identified Paine as dealing large quantities of meth in Great Falls. Paine would travel with others in 2016 to Washington to pick up pounds of meth for distribution in various locations in Montana, including Missoula and Great Falls.
In May 2018, agents arrested an individual on a warrant in Missoula and learned that the individual had obtained about seven pounds of meth and a pound of heroin over three months in 2018 from Paine. Also in May, FBI agents arrested Paine in Missoula. Paine told agents that he had a large customer base for meth in Montana and that he had distributed multiple pounds of meth. One pound of meth is the equivalent of about 3,624 individual doses.
Assistant U.S. Attorney Jessica Betley prosecuted the case, which was investigated by the FBI.
The case is part of Project Safe Neighborhoods, 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.
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United States Sues Freight Companies for Systematic Overcharging of ShipmentsRead the Press Release
The United States has filed a complaint in the Western District of New York against YRC Freight Inc., (YRC); Roadway Express Inc. (Roadway); and Yellow Transportation Inc. (Yellow), alleging that these companies systematically overcharged the government for freight carrier services and made false statements to the government that hid their misconduct, the Justice Department announced today.
The United States filed this lawsuit in U.S. District Court in Buffalo, New York. The United States alleges that, for more than seven years, the defendants defrauded the Department of Defense by millions of dollars for shipments that were actually lighter, and thus cheaper, than the weights for which the defendants charged the government. The United States further alleges that the defendants knowingly made or used false statements concealing their overcharging practices to the Department of Defense.
“Those who do business with the government must do so fairly and honestly,” said Assistant Attorney General Jody Hunt of the Department of Justice’s Civil Division. “Knowingly overcharging the government is an affront to American taxpayers, and the Department of Justice will seek to ensure that those who engage in such misconduct are held accountable.”
Specifically, the United States’ lawsuit alleges that the defendants reweighed thousands of shipments and suppressed the results whenever they indicated that a shipment was actually lighter than its original estimated weight. Thus, instead of charging the Department of Defense for shipments based on the correct weight, the defendants knowingly billed the government (and their other customers) based on weights that they knew to be inflated. The defendants also allegedly made false statements to induce the Department of Defense to use them as freight carriers and further knowingly made or used false statements to improperly avoid their obligations to correct inflated invoices and return overpayments.
“When a federal agency, such as the Department of Defense, enters into a service contract with a private corporation or company, the expectation is that the agreement will be administered in good faith,” stated U.S. Attorney James P. Kennedy Jr. for the Western District of New York. “In this case, YRC did not legally fulfill its agreed upon obligations to the Defense Department, choosing instead to line its pockets with tax payer’s dollars. Such actions are fraudulent and illegal. This case should serve as a warning to any organization that enters into a contract with the federal government—if you try to rip us off, be prepared to pay a heavy price.”
“This complaint is the result of a successful investigation to identify those who seek to profit by defrauding the Defense Department," stated Leigh-Alistair Barzey, Special Agent-in-Charge, Defense Criminal Investigative Service (DCIS), Northeast Field Office. "DCIS will continue to investigate procurement fraud allegations, along with its law enforcement partners, in order to protect U.S. military members and the American tax payer."
The original lawsuit in this case was filed by James Hannum under the qui tam, or whistleblower, provisions of the False Claims Act. Under the act, private citizens can bring suit on behalf of the United States for false claims and share in any recovery. The act permits the government to intervene in such lawsuits, as it has done here. Those who violate the act are subject to treble damages and civil penalties.
This matter was investigated by the Civil Division’s Commercial Litigation Branch, the U.S. Attorney’s Office for the Western District of New York, the Defense Criminal Investigative Service, and the United States Army Criminal Investigation Division Command.
The case is captioned United States ex rel. Hannum v. YRC Freight, Inc.; Roadway Express, Inc.; and Yellow Transportation, Inc., Civil Action No. 08-0811(A) (W.D.N.Y.).
The claims asserted in the United States’ complaint are allegations only and there has been no determination of liability.
United States Sues Freight Companies for Systematic Overcharging of ShipmentsRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. – The United States has filed a complaint in the Western District of New York against YRC Freight Inc., (YRC); Roadway Express Inc. (Roadway); and Yellow Transportation Inc. (Yellow), alleging that these companies systematically overcharged the government for freight carrier services and made false statements to the government that hid their misconduct, the Justice Department announced today.
The United States filed this lawsuit in U.S. District Court in Buffalo, New York. The United States alleges that, for more than seven years, the defendants defrauded the Department of Defense by millions of dollars for shipments that were actually lighter, and thus cheaper, than the weights for which the defendants charged the government. The United States further alleges that the defendants knowingly made or used false statements concealing their overcharging practices to the Department of Defense.
“When a federal agency, such as the Department of Defense, enters into a service contract with a private corporation or company, the expectation is that the agreement will be administered in good faith,” stated U.S. Attorney James P. Kennedy Jr. for the Western District of New York. “In this case, YRC did not legally fulfill it’s agreed upon obligations to the Defense Department, choosing instead to line its pockets with taxpayer’s dollars. Such actions are fraudulent and illegal. This case should serve as a warning to any organization that enters into a contract with the federal government—if you try to rip us off, be prepared to pay a heavy price.”
“Those who do business with the government must do so fairly and honestly,” said Assistant Attorney General Jody Hunt of the Department of Justice’s Civil Division. “Knowingly overcharging the government is an affront to American taxpayers, and the Department of Justice will seek to ensure that those who engage in such misconduct are held accountable.”
“This complaint is the result of a successful investigation to identify those who seek to profit by defrauding the Defense Department," stated Leigh-Alistair Barzey, Special Agent-in-Charge, Defense Criminal Investigative Service (DCIS), Northeast Field Office. "DCIS will continue to investigate procurement fraud allegations, along with its law enforcement partners, in order to protect U.S. military members and the American tax payer."
Specifically, the United States’ lawsuit alleges that the defendants reweighed thousands of shipments and suppressed the results whenever they indicated that a shipment was actually lighter than its original estimated weight. Thus, instead of charging the Department of Defense for shipments based on the correct weight, the defendants knowingly billed the government (and their other customers) based on weights that they knew to be inflated. The defendants also allegedly made false statements to induce the Department of Defense to use them as freight carriers and further knowingly made or used false statements to improperly avoid their obligations to correct inflated invoices and return overpayments.
The original lawsuit in this case was filed by James Hannum under the qui tam, or whistleblower, provisions of the False Claims Act. Under the act, private citizens can bring suit on behalf of the United States for false claims and share in any recovery. The act permits the government to intervene in such lawsuits, as it has done here. Those who violate the act are subject to treble damages and civil penalties.
This matter was investigated by the Civil Division’s Commercial Litigation Branch, the U.S. Attorney’s Office for the Western District of New York, the Defense Criminal Investigative Service, and the United States Army Criminal Investigation Division Command.
The case is captioned United States ex rel. Hannum v. YRC Freight, Inc.; Roadway Express, Inc.; and Yellow Transportation, Inc., Civil Action No. 08-0811(A) (W.D.N.Y.).
The claims asserted in the United States’ complaint are allegations only and there has been no determination of liability.
# # # #Twenty-Two Individuals Indicted for Bank Fraud and Aggravated Identity TheftRead the Press Release
SAN JUAN, P.R. - On December 13, 2018, a federal Grand Jury returned a 37-count indictment charging 22 individuals with conspiracy to commit bank fraud, 18 substantive counts of bank fraud, and 16 counts of aggravated identity theft, announced Rosa Emilia Rodríguez-Vélez, U.S. Attorney for the District of Puerto Rico. During the course of the scheme, the defendants illegally obtained $560,640.43 from the Bureau of the Lottery of Puerto Rico (the “PR Lottery), a division of the Puerto Rico Treasury Department. The United States Secret Service was in charge of the investigation.
According to the indictment, defendant [1] Natalie Enid González-Rodríguez produced or procured fraudulent checks using the names and addresses of unsuspecting business concerns operating in Puerto Rico as apparent issuers of the checks (the “Fake Employers”) specifying the routing and account number for the PR Lottery’s bank account. The false checks were issued payable to one of the following defendants as employees or contractors: [2] Vanessa Pérez; [3] María Magdalena Silva, a.k.a. “María Magdalena Robaina/María Silva/María Robaina;” [4] Miguel Ángel Robaina, a.k.a. “Miguel Robaina;” [5] Destini Angelica Hanze, a.k.a. “Destini Hanze;” [6] Ángel Miguel Berríos-García, a.k.a. “Ángel M. Berrios-García/Ángel Berríos;” [7] Melissa Parilla-Belardo, a.k.a. “Melissa Parrilla;” [8] Luis Alberto Maldonado III, a.k.a. “Luis A. Maldonado/Luis Alberto Maldonado;” [9] Johanna Luciano-Velázquez, a.k.a. “Johanna Luciano;” [10] Martin Martínez-López, a.k.a. “Martin Martínez;” [11] Eric Alberto Delgado-Carmona, a.k.a. “Eric Delgado/Eric Delgado Carmona;” [12] Pedro Iván Cortés-Castañón, a.k.a. “Pedro Cortés/Pedro Iván Cortés;” [13] Allan R. Mercado-Serrano, a.k.a. “Allan Mercado;” [14] Julieanies Mercado-Laboy, a.k.a. “Julieanies Mercado;” [15] Marc Anthony Ramos-Medina, a.k.a. “Marc Anthony Ramos;” [16] Gustavo A. Cruz-Rosado, a.k.a. “Gustavo Cruz;” [17] Joshua A. Molina-Morales, a.k.a. “Joshua Molina;” [18] Natyshia Enid Soto-González, a.k.a. “Natyshia Enid Soto/Natyshia Soto;” [19] Edmilio Rosario-Ramírez, a.k.a. “Edmilio Rosario/Ángel Ruiz Rodríguez/El Millo;” [20] Angelo Rodríguez-Cortés, a.k.a. “Angelo Rodríguez;” [21] Antonio L. Pacheco-Ayala, a.k.a. “Antonio Pacheco;” and [22] Yalitza Quiñones-Figueroa, a.k.a. “Yaritza Quiñones.”
The indictment alleges that the co-conspirators would take the false checks to multiple discount stores to negotiate them in exchange for cash or to use them to buy consumer products and return the proceeds of the scheme to Natalie Enid González-Rodríguez, who would then give them a portion of those proceeds. By executing the scheme and cashing the false checks at the discount stores, supermarkets and department stores, the co-conspirators obtained and procured funds belonging to the PR Lottery by means of false or fraudulent pretenses, representations, or promises.
Defendant González-Rodríguez is facing 16 counts of aggravated identity theft. Between on or about October 2, 2015 through the date of this indictment, aided and abetted by the defendants listed in each count, and others known and unknown to the Grand Jury, did knowingly transfer, possess, and use, without lawful authority, a means of identification of another real person as detailed in each count during and in relation to the bank fraud.
“Defendant González-Rodríguez perpetrated this fraudulent scheme over many years, and involved many people who are defendants today for a fragment of the proceeds she generated. These charges once again demonstrate the U.S. Attorney’s Office resolve to investigate and prosecute those who perpetrate financial schemes to defraud unsuspected victims,” said U.S. Attorney Rosa Emilia Rodríguez-Vélez.
U.S. Secret Service Resident Agent in Charge Carlos Colón stated: “This case highlights the Secret Service’s investigative skills and our commitment to collaborate with our law enforcement partners in detecting and dismantling criminal organizations. These crimes have a detrimental impact to our nation’s critical financial infrastructure. Financial fraud is one of the largest challenges facing American citizens and businesses today. The United Secret Service will continue to collaborate with its law enforcement partners to target and arrest who commit this type of fraud.”
If convicted, the defendants face a maximum possible sentence of incarceration of 30 years for bank fraud, and a consecutive two-year mandatory minimum sentence for aggravated identity theft. The investigation was conducted by the United States Secret Service and the case is being prosecuted by AUSA Dennise N. Longo-Quiñones.
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Tickfaw Man Charged with Drug Trafficking and Firearms OffensesRead the Press Release
NEW ORLEANS – U.S. Attorney Peter G. Strasser announced that ZETRICK JONES, age 34, of Tickfaw, Louisiana, was indicted yesterday by a federal grand jury on one count of conspiring to distribute heroin and methamphetamine in violation of 21 U.S.C. § 841(a)(1), (b)(1)(C), and 846; one count of possessing with the intent to distribute a quantity of heroin in violation of 21 U.S.C. § 841(a)(1) and (b)(1)(C), one count of possessing with the intent to distribute a quantity of methamphetamine in violation of 21 U.S.C. § 841(a)(1) and (b)(1)(C), one count of possessing a firearm in furtherance of a drug trafficking offense in violation of 18 U.S.C. § 924(c)(1)(A), and one count of being a previously convicted felon in possession of a firearm in violation of 18 U.S.C. § 922(g)(1).
If convicted of any of the narcotics offenses, JONES faces a term of imprisonment of 0-20 years, a fine of up to $1 million, and at least three years of supervised release following any term of imprisonment. If convicted of possessing a firearm in furtherance of drug trafficking, JONES faces a term of imprisonment of five years to run consecutive to any other sentence, a fine of up to $250,000, and up to five years of supervised release. If convicted of being a previously convicted felon in possession of a firearm, JONES faces a term of imprisonment of up to 10 years, a fine of up to $250,000, and up to three years of supervised release.
U.S. Attorney Strasser reiterated that the indictment is merely an allegation and that the guilt of the defendant must be proven beyond a reasonable doubt.
This case is being investigated by the Drug Enforcement Administration, Tangipahoa Parish Sheriff’s Office, and Hammond Police Department. Assistant United States Attorney Jeffrey Sandman is in charge of the prosecution.
Three Colombian Nationals Sentenced for Conspiring to Import More Than 1,000 Kilograms of Cocaine into the United States Through La Familia Michoacana Cartel in MexicoRead the Press Release
Tampa, Florida – U.S. District Judge Susan C. Bucklew has sentenced three Colombian nationals for their roles in conspiring to import cocaine into the United States. Mauricio Ortega-Coneo was sentenced to 21 years and 10 months in federal prison, Jorge Luis Puello-Pantoja was sentenced to 19 years and 7 months’ imprisonment, and William Padilla-Garcia was sentenced to a term of 9 years in federal prison.
According to court documents, in April 2012, Ortega-Coneo and Puello-Pantoja were involved in meetings at a hotel in Bogota, Colombia, for the purpose of planning an 1,100 kilogram shipment of cocaine from Cartagena, Colombia to Honduras. The cocaine was then to be routed from Honduras to La Familia Michoacana Cartel in Mexico, for ultimate importation into the United States. Ortega-Coneo was an organizer of the conspiracy on behalf of Colombian traffickers; Puello-Pantoja was the Colombian representative of a drug trafficking organization in Honduras that was to receive the cocaine. On May 12, 2012, a vessel carrying the cocaine was intercepted approximately 157 nautical miles west of Cartagena. Padilla-Garcia was one of the crewmembers aboard the vessel. Due to the intervention of law enforcement, the cocaine never reached its destination. The defendants were arrested in Colombia in 2017 and extradited to the United States in early 2018.
This case was investigated by the Panama Express Strike Force, a standing Organized Crime Drug Enforcement Task Force (OCDETF) comprised of agents and analysts from the Drug Enforcement Administration, Federal Bureau of Investigation, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the U.S. Coast Guard Investigative Service, the Naval Criminal Investigative Service, and the U.S. Southern Command’s Joint Interagency Task Force. 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. The case is being prosecuted by Assistant United States Attorney Dan Baeza.
Stratford Man Who Illegally Purchased Firearm at Newington Gun Store Pleads GuiltyRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that TYMON PETERSON, 29, of Stratford, pleaded guilty today before U.S. District Judge Janet C. Hall in New Haven to one count of making a false statement during the purchase of a firearm.
According to court documents and statements made in court, in August and September 2017, Peterson and Jamal Weir texted one another about purchasing firearms. Peterson possessed a valid pistol permit and was able to purchase firearms legally, but Weir, as a convicted felon, is prohibited from possessing firearms. On September 22, 2017, Peterson and Weir travelled together to Hoffman’s Gun Center in Newington. At the store, Weir provided Peterson with cash to purchase at least one firearm on his behalf. On that date, Peterson filled out an ATF Form 4473 in which he falsely represented that he was the actual purchaser of a SCCY Model CPX-2, 9mm semi-automatic pistol, and that he was not acquiring the firearm for another person. Peterson gave the pistol to Weir after they exited the store.
Peterson was arrested on a federal criminal complaint on January 1, 2018.
Judge Hall scheduled sentencing for March 8, 2019, at which time Peterson faces a maximum term of imprisonment of 10 years.
Peterson is released on a $100,000 bond pending sentencing.
Weir, 29, of Bridgeport, has been detained since his arrest on September 17, 2018. On December 6, 2018, he pleaded guilty to one count of possession of a firearm by a convicted felon, an offense that carries a maximum term of imprisonment of 10 years. He is scheduled to be sentenced on March 1, 2019.
This investigation is being conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), with the assistance of the Connecticut State Police, the Newington Police Department and Hoffman’s Gun Center. The case is being prosecuted by Assistant U.S. Attorneys Anthony E. Kaplan and Margaret E. Maigret.
Steelton Woman Charged with Defrauding Senior Citizen Out of $86,500Read the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Sally Berry, age 62, of Steelton, Pennsylvania, was charged in a criminal information on December 13, 2018, with wire fraud for defrauding a 78 year-old man out of $86,500.
According to United States Attorney David J. Freed, the criminal information alleges that Berry defrauded the victim by falsely representing to him that Berry was going to receive a $750,000 settlement from the Western Union, fraud victim reimbursement fund and by persuading him to give her a series of eight loans between September 2017 and July 2018 totaling $97,500 to pay attorney fees and travel expenses incurred in connection with her settlement.
In January of 2017, Western Union entered into a Deferred Prosecution Agreement with the U.S. Department of Justice and the U.S. Attorneys’ Office for the Middle District of Pennsylvania wherein Western Union forfeited the sum of $586 million to the government. Under the terms of the Agreement the government made the $586 million available to reimburse victims of mass marketing, consumer fraud schemes who were fraudulently induced into sending Western Union money transfers between 2004 and 2017.
To process the claims submitted by the thousands of fraud victims, the Department of Justice retained the services of Gilardi and Company, LLC (Gilardi), to serve as the forfeiture fund’s petition for remission administrator.
On or about May 30, 2018, Berry submitted a claim to Gilardi for reimbursement of alleged fraud losses totaling $25,084. However, no other claim for any additional amount was submitted by Berry.
The Information alleges that beginning in September 2017, Berry repeatedly assured the victim she was going to receive $750,000 from the Western Union fund and that her claim had been approved by the Department of Justice. Berry allegedly asked the victim to lend her money so she could pay various legal fees and travel expenses incurred in connection with her claim.
On September 28, 2018, the victim provided Berry the first loan in the amount of $25,000. According to the Information, the victim financed the loan by borrowing $25,000 from a credit union.
The Information further alleges that in order to induce the victim into making additional loans, Berry gave the victim a Western Union Petition for Remission form bearing the handwritten note: “Proof of Western Union Settlement,” and another Western Union Remission document bearing the handwritten note: “Look at this – My claim was submitted and accepted 5/31 – Just a matter of time.”
Berry allegedly provided the victim assurance her loans would be repaid in the event she died by giving the victim a Nomination of Beneficiaries form from the Pennsylvania Public School Employees Retirement System. The document, signed by Berry, bore the handwritten note: “Mr. W. will receive the amount of $150,000.”
The Information also alleges Berry defrauded the victim by making six cash, lulling loan payments totaling $11,000 between September 2017 and May 2018.
According to the Information, in July 2018, Berry asked the victim for an additional $7,500 so she could ostensibly travel to Kentucky and Colorado to finalize her Western Union claim. Berry allegedly told the victim the $7,500 would allow her attorney to file additional paperwork so she could receive up to $900,000 from Western Union. Because by this time the victim had depleted all of his life savings, the victim borrowed $15,000 from a bank and gave Berry a check for $7,500.
Berry was arrested by U.S. Postal Inspectors in connection with the charges on November 15, 2018, and was subsequently ordered detained by Chief U.S. Magistrate Judge Martin C. Carlson. Following a preliminary hearing before Judge Carlson on November 27, 2018, Berry was held over on the charges pending further proceedings.
The case is being investigated by the U.S. Postal Inspection Harrisburg Office. Assistant United States Attorney Kim Douglas Daniel is prosecuting the case.
Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
The maximum penalty under federal law for this offense is 10 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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St. Francis Woman Indicted for Escape and Criminal Contempt ChargesRead the Press Release
United States Attorney Ron Parsons announced that a St. Francis, South Dakota, woman has been indicted by a federal grand jury for Escape from Custody and Criminal Contempt.
Omalewin Neck, age 25, was indicted on December 11, 2018. She appeared before U.S. Magistrate Judge Mark A. Moreno on December 13, 2018, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 5 years in federal prison and/or a $250,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
Neck plead guilty to Involuntary Manslaughter, on August 7, 2018. She was remanded to the custody of the U.S. Marshals pending sentencing for the Involuntary Manslaughter charge, which is set for January 4, 2018.
The Indictment alleges that on December 1, 2018, Neck failed to report to the Winner City Jail, following a furlough to attend a funeral, as ordered by the U.S. District Court for the District of South Dakota. The Indictment further alleges Neck willfully and unlawfully disobeyed an order of the U.S. District Court, by not following the terms of her furlough to attend a funeral.
The charges are merely accusations and Neck is presumed innocent until and unless proven guilty.
The investigation is being conducted by the U.S. Marshals Service. Assistant U.S. Attorney Kirk Albertson is prosecuting the case.
Neck was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Springfield Woman Sentenced to 20 Years for Meth ConspiracyRead the Press Release
SPRINGFIELD, Mo. – A Springfield, Mo., woman was sentenced in federal court today for her role in a conspiracy to distribute methamphetamine.
Carol A. Hardy, also known as Carol A. Johnson, 49, was sentenced by U.S. District Judge Stephen R. Bough to 20 years in federal prison without parole.
On July 17, 2018, Hardy pleaded guilty to participating in a conspiracy to distribute methamphetamine from March 30 to Oct. 18, 2017. Hardy was an upper-level distributor in a drug trafficking organization that distributed at least 4.5 kilograms of pure methamphetamine in the Springfield area. The methamphetamine was purchased from Kansas City, Mo., and Oklahoma City, Okla., and transported by vehicle to the Springfield area.
Law enforcement officers executed a search warrant at Hardy’s residence and found 1.766 kilograms of methamphetamine in a safe on the floor of a bedroom closet. Officers also found a notebook containing a drug ledger inside a purse on top of the bed.
This case is being prosecuted by Assistant U.S. Attorney Nhan D. Nguyen. It was investigated by the Drug Enforcement Administration, the Missouri State Highway Patrol and the Springfield, Mo., Police Department.
Springfield Tutor Sentenced to 30 Years for Sexual Abuse of 10-year-old StudentRead the Press Release
SPRINGFIELD, Mo. – A Springfield, Mo., man who worked as a private tutor was sentenced in federal court today for sexually assaulting a former 10-year-old student.
John Paul Sparapani, 30, of Springfield, was sentenced by U.S. District Judge Stephen R. Bough to 30 years in federal prison without parole, which is the maximum statutory penalty for this offense. The court also sentenced Sparapani to a lifetime of supervised release following incarceration.
On Feb. 21, 2018, Sparapani pleaded guilty to using a minor to produce child pornography. He admitted that he took pornographic photos of a student he was tutoring in a private room at a public library.
This investigation began when an officer with the Southwest Missouri Cyber Crimes Task Force identified Sparapani’s computer as sharing child pornography on a peer-to-peer file-sharing network on May 25, 2015. Officers executed a search warrant at Sparapani’s residence on Dec. 21, 2015, and seized two laptop computers, three hard drives and a cell phone, which contained multiple images and videos of child pornography.
On August 25, 2017, a 12-year-old minor female disclosed that Sparapani had sexually assaulted her when she was 10 and 11 years old and had taken photographs of the assault with his cell phone. The child victim disclosed that the sexual abuse occurred while she was being tutored by Sparapani in a private room at a public library.This case was prosecuted by Assistant U.S. Attorney Ami Harshad Miller. It was investigated by the FBI, Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI), and the Southwest Missouri Cyber Crimes Task Force and the Springfield, Mo., Police Department.
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."Springfield Man Sentenced to 30 Years for Producing, Distributing Child PornographyRead the Press Release
SPRINGFIELD, Mo. – A Springfield, Mo., man was sentenced in federal court today for producing and distributing child pornography.
Genard Alonzo Toney, 37, was sentenced by U.S. District Judge Stephen R. Bough to 30 years in federal prison without parole. The court also sentenced Toney to a lifetime of supervised release following incarceration.
On May 29, 2018, Toney pleaded guilty to one count of using a minor to produce child pornography and to one count of receiving and distributing child pornography.
According to court documents, Toney engaged in a pattern of soliciting images of child pornography through the internet. Toney pretended to be a female seeking female relationship on a dating website and would text message with women he met on the dating website. Toney used a cell phone application, which provided him with a fake, anonymous cell phone number, cloaking his own number from identification. Generally, one of the first things Toney would ask the person he was messaging with was whether they had any children. Toney would then ask them to send him a sexually explicit picture of the children.
Investigators examined devices seized from Toney and found 283 separate conversations, consisting of 13,676 messages Toney engaged in with the women he met on the dating website, and multiple images of child pornography.
At the time of this offense, Toney was on state probation after being convicted of three counts of distributing a controlled substance.
This case was prosecuted by Assistant U.S. Attorney Ami Harshad Miller. It was investigated by the Southwest Missouri Cyber Crimes Task Force, the Greene County, Mo., Sheriff’s Department, the Springfield, Mo., Police Department, and Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI).
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."Shreveport Man Sentenced to 78 Months in Prison for Methamphetamine DistributionRead the Press Release
SHREVEPORT, La. – United States Attorney David C. Joseph announced that a Shreveport man was sentenced last week to 78 months in prison for distributing methamphetamine.
Dante Jerrad Roberson, 30, of Shreveport, was sentenced by U.S. District Judge Elizabeth E. Foote on one count of possession with intent to distribute methamphetamine. He was also sentenced to five years of supervised release. According to the June 26, 2018 guilty plea, Caddo Parish Sheriff’s narcotics agents searched a house on September 15, 2017 located on Redbud Lane in Shreveport and found Roberson and two other individuals. During the search, agents found 13 bags of methamphetamine inside of a bag of charcoal, which was inside a grill in the backyard. Agents also found two digital scales, several bags of marijuana, and dosages of Xanax and MDMA. Roberson admitted to traveling to Dallas to obtain the methamphetamine and later hiding it in the barbecue pit. The total amount of methamphetamine found weighed 358.8 grams.
The DEA and Caddo Parish Sheriff’s Office conducted the investigation. Assistant U.S. Attorney J. Aaron Crawford prosecuted the case.