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Monday 10 December 2018
Bank Teller in Leavenworth Pleads Guilty to EmbezzlementRead the Press Release
KANSAS CITY, KAN. – A former bank teller pleaded guilty Monday to embezzling from a savings and loan where she worked, U.S. Attorney Stephen McAllister said.
Theresa Williams, 49, Leavenworth, Kan., pleaded guilty to one count of theft by a bank employee. In her plea, she admitted she embezzled $13,000 from Mutual Savings Association in Leavenworth. To cover up the crime, she made false entries in bank reports.
Sentencing is set for Feb. 25. She faces a sentence of up to 30 years in federal prison and a fine up to $1 million.
McAllister commended the FBI and Assistant U.S. Attorney Jabari Wamble for their work on the case.
Baltimore County Man who Enticed Children to Send him Sexually Explicit Videos of Themselves Sentenced to 27 Years in Federal Prison for Producing Child PornographyRead the Press Release
Greenbelt, Maryland – U.S. District Judge Deborah K. Chasanow sentenced Keith Edward Taylor, age 33, of Kingsville, Maryland, today to 27 years in prison, followed by lifetime supervised release, for production of child pornography. There is no parole in the federal system. Upon his release from prison, Taylor will be required to register as a sex offender in the places where he resides, where he is an employee, and where he is a student, under the Sex Offender Registration and Notification Act (SORNA).
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur; Acting Special Agent in Charge Cardell T. Morant of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Chief Terrence B. Sheridan of the Baltimore County Police Department; and Colonel William M. Pallozzi, Superintendent of the Maryland State Police.
According to Taylor’s plea agreement, in 2017, Taylor used an instant-messaging software application to communicate with minors throughout the United States and internationally. Specifically, Taylor admitted that he engaged in sexually explicit conversations with at least five minor male victims, ranging from 12 to 15 years old, and residing in various states, including Texas, Massachusetts, Iowa, Michigan, and Colorado. During the course of his conversations with the boys, Taylor typically portrayed himself as a woman. Taylor repeatedly requested that the boys send sexually explicit photos and videos of themselves engaging in sexually explicit conduct. Taylor sent some of the boys sexually explicit photos of women, falsely claiming that they were photos of himself.
Taylor also used the messaging app to distribute and trade child pornography with adults. For example, during December 2017, Taylor traded child pornography with a user who sent Taylor a pornographic photo of a child that the user claimed was his own nine-year-old stepchild. Taylor repeatedly requested sexually explicit video of the child and discussed the other user engaging in sex acts with the child. Taylor also maintained digital collections of child pornography in multiple cloud storage accounts and electronic devices.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about Internet safety education, please visit www.justice.gov/psc and click on the “Resources” tab on the left of the page.
United States Attorney Robert K. Hur commended HSI-Baltimore, the Baltimore County Police Department, and the Maryland State Police for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorney Matthew J. Maddox, who prosecuted the federal case.
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Sunday 9 December 2018
Dunbar Man Receives a Mandatory 10 Year Sentence for Methamphetamine DistributionRead the Press Release
CHARLESTON, W.Va. – A Dunbar man received a mandatory 10 year prison sentence for methamphetamine distribution, announced United States Attorney Mike Stuart. Schauwne Martin, 36, previously pled guilty to possession of more than 50 grams of methamphetamine with the intent to distribute. Martin further agreed to the destruction of the firearms that were associated with his criminal activity. Stuart commended the Drug Enforcement Administration (DEA) Task Force for their investigation.
“Big time meth dealer,” said United States Attorney Mike Stuart. “Gets a big time sentence.”
Martin admitted that on February 28, 2017, law enforcement found a loaded .380 caliber, semiautomatic handgun, approximately 94 grams of methamphetamine, and digital scales in his kitchen in Dunbar, West Virginia. Martin also admitted to DEA agents that he possessed another handgun, and that he had sold methamphetamine to informants on seven other occasions. Martin admitted that he kept the firearms for protection of his drug trafficking business. DEA lab testing confirmed the purity of the methamphetamine as well as the weight of 94 grams, exceeding the 50 gram weight that triggers the mandatory ten year statutory penalty.
Assistant United States Attorney Erik S. Goes and former Assistant United States Attorney Eric Bacaj were responsible for the prosecution. United States District Judge Joseph R. Goodwin imposed the sentence on December 6, 2018.
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Friday 7 December 2018
Woman Pleads Guilty to 30 Counts of Wire FraudRead the Press Release
SAN JUAN, Puerto Rico– Defendant Madeline Miró-Aponte pleaded guilty before United States Magistrate Judge Camille Vélez-Rivé to 30 counts of wire fraud involving in excess of one million dollars ($1,000,000), announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico. Miró-Aponte was charged today via an Information.
From approximately June 2011 through March 2017, Miró-Aponte provided accounting services to a company organized in Puerto Rico that was engaged in the manufacture, purchase, sale, and distribution of alcoholic products (“Company A”). Miró-Aponte devised a scheme to defraud the company by means of materially false and fraudulent pretenses and representations that affected financial institutions.
As a part of the scheme, Miró-Aponte utilized credit from financial institutions, including Citi, Chase, Discover, Comenity, and Synchrony, to make purchases from merchants operating in Puerto Rico and the mainland United States. The merchants included Marriott, Southwest, American Eagle Outfitters, Sears, TJ-Max, Loft, Old Navy, Walmart, Sam’s Club, Macy’s, Nordstrom, Amazon, JCPenney, Victoria’s Secret, Brooks Brothers, Best Buy, and Costco.
Miró-Aponte knowingly used Company A’s bank account information to process payments for her personal purchases, without the authorization or knowledge of Company A. These payments were transmitted by means of wire communication in interstate commerce. Miró-Aponte then falsified the accounts and records of Company A and other documents to avoid detection of the scheme.
From approximately June 2011 through March 2017, Miró-Aponte illegally processed payments totaling approximately one million thirty-five thousand dollars ($1,035,000) for her personal benefit using funds from Company A’s bank deposits.
As a part of the guilty plea, Miró-Aponte agreed to forfeit all property derived from the offense and to restitution in the amount of no less than $1,035,114 (minus any repayments already made to Company A).
“Today’s conviction should serve as a reminder of our commitment to hold individuals accountable for their involvement in fraud schemes,” said U.S. Attorney Rosa Emilia Rodríguez-Vélez. “The US Attorney’s Office will continue to work with our law enforcement partners in bringing those commit financial crimes for personal gain to justice.”
The case was investigated by the Federal Bureau of Investigation and is being prosecuted by Assistant U.S. Attorney Seth Erbe. The defendant is facing a maximum statutory penalty of up to thirty (30) years of imprisonment.
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Woman Charged with Transportation of Individuals in Interstate Commerce for ProstitutionRead the Press Release
NEW ORLEANS – United States Attorney Peter G. Strasser announced that ANH DUONG, age 72, was charged Friday, November 30, 2018 in a one-count Bill of Information with transportation of individuals in interstate commerce for prostitution, in violation of Title 18, United States Code, Section 2421(a).
According to court documents, on or before January 2018, DUONG knowingly transported and caused to be transported individuals in interstate commerce from Texas and Mississippi to the Eastern District of Louisiana to engage in prostitution in violation of the laws of Louisiana.
If convicted, DUONG faces a maximum term of imprisonment of 10 years, a fine of $250,000, 3 years of supervised release, and a $100 special assessment fee.
U.S. Attorney Strasser reiterated that a Bill of Information is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
U.S. Attorney Strasser praised the work of the Federal Bureau of Investigation and Homeland Security Investigations in investigating this matter. Assistant United States Attorneys Julia K. Evans and Brian M. Klebba are in charge of the prosecution.
Woman Admits Defrauding Medicaid a Second Time, This Time from PrisonRead the Press Release
In 2015, Alexis C. Norman pleaded guilty to healthcare fraud. But while awaiting sentencing, she concocted another healthcare fraud scheme.
Yesterday afternoon, Ms. Norman, 47, pleaded guilty once again, this time admitting one count of conspiracy to commit healthcare fraud and four counts of healthcare fraud – three committed before she was sentenced in the prior case and one committed while she was behind bars, announced U.S. Attorney for the Northern District of Texas Erin Nealy Cox.
According to court documents, Ms. Norman approached co-conspirator Karen Jones in February 2015 with a business idea she hoped could help pay legal fees from her previous case. Ms. Jones agreed to help Ms. Norman by listing herself as the administrator of Janus Children Services, Inc., opening a bank account in Janus’ name, and leasing office space for Janus in Tyler, Texas.
The company never occupied the office space, never hired any employees, and never provided any services.
Together, Ms. Norman and Ms. Jones used stolen identities of licensed counselors and Medicaid recipients to submit more than $810,000 in fraudulent claims to Medicaid, and were paid more than $427,000.
After Medicaid paid Janus for the false claims, Ms. Norman directed Jones to withdraw cash from the Janus bank account, always in amounts less than $9,500. Roughly once a month from April 2015 to February 2016, the pair would meet at a restaurant. When they finished their meal, Ms. Jones – who carried the cash in a gift bag – would leave the package on a chair for Ms. Norman.
Following Ms. Norman’s incarceration in April 2016, Ms. Jones agreed to help Ms. Norman submit additional fraudulent claims through a second company, Therapeutic Outreach Services Inc.
Ms. Jones helped Ms. Norman lease office space for Therapeutic in Waco, Texas, and visited Ms. Norman in prison on multiple occasions to gather billing instructions and identifying information of counselors and Medicaid clients. Ms. Norman concealed the information on a piece of paper hidden in her shoe, which she retrieved during Ms. Jones’ visits.
Like Janus, Therapeutic never operated out of the Waco location, had no employees, and provided no services.
Ms. Norman faces a maximum statutory penalty of 80 years in federal prison, mandatory restitution, and a $250,000 fine for each of the five counts. She is scheduled to be sentenced by U.S. District Judge Jane Boyle on March 29.
Ms. Jones, who has also pleaded guilty, faces a maximum statutory penalty of five years in federal prison, mandatory restitution, and a $250,000 fine. She is scheduled to be sentenced on January 14, 2019, by U.S. District Court Judge David C. Godbey.
The U.S. Department of Health and Human Services – Office of Inspector General and the Texas Attorney General’s Medicaid Fraud Control Unit conducted the investigation. Assistant U.S. Attorney Douglas Brasher and DOJ Trial Attorney Christina Liu are prosecuting the case.
Willmar Man Sentenced for Illegal Cache of Machine Guns, Pipe Bombs, SilencersRead the Press Release
United States Attorney Erica H. MacDonald today announced the sentencing of CHAD LEE MONSON, 46, for illegally possessing machine guns, pipe bombs, and silencers. MONSON, who pleaded guilty on August 16, 2018, was sentenced today in U.S. District Court in Minneapolis, Minnesota, by Judge Joan N. Ericksen to 36 months in prison.
According to the defendant’s guilty plea and documents filed in court, on January 30, 2018, law enforcement officers executed a search warrant at MONSON’S residence in Willmar, Minnesota. Inside the residence, officers found personal use amounts of illegal narcotic drugs, as well as sixteen firearms, and a large quantity of ammunition. On February 21, 2018, law enforcement officers executed two additional search warrants at a commercial utility building near MONSON’S residence. There, officers found ten machine guns, two of them with obliterated serial numbers, three pipe bombs, and three unregistered silencers. As part of his guilty plea, MONSON was required to forfeit to the United States 12 firearms, three pipe bombs, and three silencers.
United States Attorney Erica MacDonald thanked the Bureau of Alcohol, Tobacco, Firearms and Explosives, the CEE-VI Gang and Drug Task Force, and the Kandiyohi County Attorney’s Office who investigated this case, and Assistant United States Attorney John Docherty who prosecuted the case.
Defendant Information:
CHAD LEE MONSON, 46
Willmar, Minn.
Convicted:
- Possession of a machine gun, 1 count
- Possession of an unregistered destructive device (pipe bomb), 1 count
- Possession of an unregistered silencer, 1 count
Sentenced:
- 36 months
- 3 years supervised release
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Wife of Former U.S. Customs and Border Protection Officer in El Paso Sentenced to Federal PrisonRead the Press Release
In El Paso, a former U.S. Customs and Border Protection officer’s wife, who fled the country prior to sentencing on federal drug trafficking and bribery charges in 2010, was sentenced to 132 months in federal prison, announced U.S. Attorney John F. Bash; Special Agent in Charge Emmerson Buie, Jr., of the Federal Bureau of Investigation (FBI), El Paso Division; Special Agent in Charge Kyle Williamson of the Drug Enforcement Administration (DEA), El Paso Division; and, Special Agent in Charge Javy Pedroza of the Department of Homeland Security Office of Inspector General (DHS OIG) in El Paso.
During sentencing yesterday, Senior U.S. District Judge David Briones also ordered 41-year-old Ana Marie Hernandez to pay a $100,000 money judgment.
On June 21, 2010, the legal permanent resident in the U.S. pleaded guilty to one count of conspiracy to import a controlled substance and one count of aiding and abetting the bribery of a public official. By pleading guilty, Hernandez admitted that between June 2005 and October 2005, she conspired with others, including her husband, former DHS Customs and Border Protection officer Daniel Ledezma, to allow hundreds of kilograms of cocaine into the U.S. without inspection through the Paso de Norte Port of Entry. For their actions, Hernandez and Ledezma received more than $100,000 in U.S. Currency.
An arrest warrant was issued for Hernandez when she failed to appear for sentencing on January 24, 2011.
On October 3, 2018, Hernandez was extradited from Mexico to El Paso. She has since remained in federal custody.
“This sentencing is a result of the ongoing partnership and collaboration between the FBI, DEA and our international partners to bring to justice an individual who corrupted U.S. law enforcement officials in order to import drugs into the U.S. The FBI and its partners will relentlessly pursue and prosecute individuals that poison the communities of El Paso,” stated FBI Special Agent in Charge Buie.
“The sentencing of Ms. Hernandez concludes years of federal authorities’ efforts to bring her to justice. This case serves as an example of the corrupting influence of drug trafficking organizations and the diligence of DEA and its law enforcement partners to investigate, pursue and prosecute those who seek to profit through bribery and drug smuggling,” said DEA Special Agent in Charge Williamson.
On January 20, 2011, Ledezma was sentenced to 110 months in federal prison followed by three years of supervised release after pleading guilty to the same charges in June 2010.
The DEA, FBI, and DHS OIG investigated this case. The Justice Department’s Office of International Affairs and the U.S. Marshals Service provided significant assistance in the extradition. The case was prosecuted by Assistant U.S. Attorneys of the Western District of Texas.
VA Nurse Admits to Fraudulently Obtaining and Tampering with Opioid PrescriptionsRead the Press Release
PROVIDENCE – A Providence VA Medical Center nurse pled guilty in federal court today to charges that he fraudulently obtained and tampered with morphine and other opioid prescriptions at the VA Medical Center.
Appearing before U.S. District Court Chief Judge William E. Smith, Jared Scott, 35, of West Warwick, admitted that on several occasions in October and November 2017, he accessed vials of liquid opioids designated for patient use. Scott admitted to removing the vials from a locked storage cart for his own personal use, and leaving behind vials filled with saline.
Scott pled guilty as charged in an indictment returned on June 28, 2018, with tampering with a consumer product and acquiring a controlled substance by deception and subterfuge.
Scott’s guilty plea is announced by United States Attorney Stephen G. Dambruch, Special Agent in Charge of the Department of Veterans Affairs Office of Inspector General Sean J. Smith, and Jeffrey J. Ebersole, Resident Agent in Charge of the United States Food and Drug Administration Office of Criminal Investigations.
Scott is scheduled to be sentenced on April 5, 2019. Tampering with a consumer product is punishable by statutory penalties of up to 10 years in federal prison, 3 years supervised release, and a fine of $250,000. Obtaining a controlled substance by misrepresentation, fraud, deception and subterfuge is punishable by statutory penalties of up to 4 years in federal prison, 1 year supervised release, and a fine of $250,000.
The case is being prosecuted by Assistant U.S. Attorney Terrence P. Donnelly.
The matter was investigated by the Department of Veterans Affairs Office of Inspector General and the United States Food and Drug Administration Office of Criminal Investigations.
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University of New Hampshire Employee Pleads Guilty to Interstate Transportation of Stolen MoneyRead the Press Release
CONCORD, N.H. - Hailong Zhang, 46, of Nottingham pleaded guilty to interstate transportation of stolen money, announced United States Attorney Scott W. Murray.
According to court documents and statements made in court, Zhang was a Research Project Manager at the University of New Hampshire’s College of Life Sciences. Zhang was authorized to use a credit card provided by UNH to pay for expenses covered by grants that were provided to the College of Life Sciences by the U.S. Department of Health and Human Services, National Institutes of Health (“NIH”). On 31 separate occasions from December 2013 to January 2018, Zhang used the credit card to purchase gift cards totaling more than $82,000 from Amazon.com, which he kept or used to buy merchandise for his personal benefit, including clothing, video games, and a snow blower. To conceal each such use of the credit card, Zhang submitted a fictitious receipt and a fraudulent written justification for the expense to UNH. The bogus documents caused the University System of New Hampshire to make payments on the credit card and obtain reimbursement for the unauthorized expenses from the NIH.
“Mr. Zhang’s conduct is particularly disturbing because the money he stole should have been used to advance important scientific research projects,” said U.S. Attorney Murray. “Government research funds are not intended to be used to supplement personal income. Anyone who engages in this type of selfish criminal behavior will be prosecuted.”
“I am grateful for the daily due diligence of the University of New Hampshire and University System employees who alerted the police to this criminal activity.” said UNH Police Chief Paul H. Dean. “The complex joint investigation was a success due to the strong collaboration of federal and campus law enforcement and I believe it sends a clear message to anyone contemplating similar criminal activity in the research community.”
“Mr. Zhang has now accepted responsibility for misusing taxpayer money that was entrusted to him to pay for expenses covered by federal research grants. Not only did he mishandle those funds for his own personal gain, but he betrayed the trust of his colleagues at the University,” said Harold H. Shaw, Special Agent in Charge of the FBI Boston Division. “The FBI will continue to work with our law enforcement partners to identify others like Mr. Zhang who fraudulently misuse government money for their own self-enrichment.”
“Taxpayer funds at NIH support critical research that can ultimately save lives,” said Phillip M. Coyne, Special Agent in Charge for the Office of Inspector General at the U.S. Department of Health and Human Services. “Zhang siphoned off these life-giving dollars and will now pay the price.”
Zhang will be sentenced on March 29, 2019 .
The case was investigated by the UNH Police Department, the Federal Bureau of Investigation, and the U.S. Department of Health and Human Service, Office of Inspector General, with assistance from Nottingham Police Department. The case is being prosecuted by Assistant United States Attorney Robert M. Kinsella.
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Two More Health Care Executives Plead Guilty in Connection with Medicaid Behavioral Health FraudRead the Press Release
RALEIGH – United States Attorney Robert J. Higdon, Jr. announced that today in federal court, LISA CAROL RAYMOND, 55, of Greenville, North Carolina, and ROBERT PAUL MAGLICIC, JR., 36, of Miami, Florida, pleaded guilty before Chief United States District Judge Terrence W. Boyle, to the charge of Conspiracy to Commit Health Care fraud, in violation of Title 18, United States Code, Section 1349.
Based upon the Criminal Information and facts offered at the plea hearing today, MAGLICIC and RAYMOND participated in a scheme to defraud the South Carolina Medicaid program through a provider known as Southern Support Services. Southern Support Services was owned by Shepard Lee Spruill, who was previously prosecuted for health care fraud for defrauding the North Carolina Medicaid Program and sentenced in July of 2018 to serve 96 months in federal prison. Although the scheme in the present case concerned a fraud upon the South Carolina Medicaid program, the participants committed portions of the scheme from Greenville, North Carolina, using the stolen names and identifiers of North Carolinian employees.
United States Attorney Higdon stated, “ False billings to the Medicaid program steal money from the most vulnerable in our society – squandering precious taxpayer dollars for personal gain. The Department of Justice remains committed to holding health care executives accountable when they abuse the trust of the Medicare and Medicaid program.”
During times material to the case, MAGLICIC was Spruill’s Regional Director of Operations at, among other providers, Carolina Support Services and Southern Support Services. RAYMOND was the Corporate Office Manager for Carolina Support Services and Southern Support Services.
The evidence showed that between October of 2013 and November of 2014, Southern Support Services had fraudulently billed the South Carolina Medicaid program for more than $595,000 in fictitious behavioral health services. When approached by a Medicaid auditor in 2014 concerning the billings, MAGLICIC and RAYMOND helped fabricate records to support the prior billings. Thereafter, between December of 2014 and April of 2015, the Medicaid program paid Southern Support Services an additional $1.4 Million for behavioral health services that did not, in fact, occur.
In March of 2015, the South Carolina Medicaid program conducted another audit of Southern Support Services, this time requesting records to support billings for 160 different patients. Instead of admitting that the services were fraudulent, MAGLICIC oversaw the fabrication of all of the records requested. To carry out the scheme, MAGLICIC and RAYMOND used employee names and identifiers from Spruill’s North Carolina provider, Carolina Support Services, to create fake employee profiles for Southern Support Services. Medical records were then fabricated to justify all of the prior billings to Medicaid, making it appear that various individuals were in South Carolina assisting patients when, in fact, the individuals never worked at Southern Support Services. RAYMOND fraudulently affixed the fictitious employee signatures onto the fake records, and MAGLICIC delivered them to the MEDICAID auditors.
In total, the scheme resulted in losses to the Medicaid program totaling more than $2 Million during the period of time when MAGLICIC and RAYMOND were involved.
At sentencing, MAGLICIC and RAYMOND will face up to 10 years in prison for their participation in the health care fraud at Southern Support Services. Both defendant’s also face fines, supervised release, and mandatory restitution.
The investigation of this case was conducted by the United States Department of Health and Human Services Office of the Inspector General, the North Carolina Attorney General’s Office Medicaid Investigations Division, and the Internal Revenue Service Criminal Investigation. Assistant United States Attorney William M. Gilmore, of the United States Attorney’s Office, represented the United States. Special Assistant United State Attorney, Daniel Spillman, of the North Carolina Attorney General’s Office Medicaid Investigations Division, also represented the United States.
Two Illegal Aliens Plead Guilty to Unlawful Reentry After RemovalRead the Press Release
Hattiesburg, Miss. – Juan Gaspar-Adan, age 24, a citizen of Mexico, and Bartolo Lopez-Garcia, age 25, a citizen of Guatemala, pled guilty yesterday before U.S. District Judge Keith Starrett, to the crime of unlawful reentry by an alien after removal, announced U.S. Attorney Mike Hurst and Mr. Trey Lund, Acting Field Office Director of Immigration and Customs Enforcement, Enforcement and Removal Operations in New Orleans.
Gaspar-Adan and Lopez-Garcia are both scheduled to be sentenced by Judge Starrett on January 11, 2019 in Hattiesburg. They each face a maximum penalty of two years in prison followed by one year of supervised release and a maximum $250,000 fine. They also face being removed from the United States following the completion of any prison sentence.
Lopez-Garcia, who had previously been removed from the United States in 2012, was arrested by Hattiesburg Police on September 25, 2018, for driving under the influence (DUI), and was convicted of DUI in the Hattiesburg Municipal Court. On September 8, 2018, Gaspar-Adan, who had also previously been removed from the United States in 2014, was arrested by the University of Southern Mississippi Police Department, also for DUI.
U.S. Attorney Hurst praised the cooperation exhibited by the Department of Homeland Security, Immigration & Customs Enforcement, Enforcement & Removal Operations; the University of Southern Mississippi Police Department; the City of Hattiesburg Police Department and the Forrest County Sheriff’s Department. Assistant U.S. Attorney Stan Harris is the prosecutor for both cases.
Two Former Police Officers Admit to Federal Corruption ChargesRead the Press Release
St. Louis, MO – Mark Taylor, 49, and Marlon Caldwell, 51, admitted to accepting bribes in exchange for un-redacted accident reports while police officers with the City of St. Louis, bringing to an end an investigation that led to charges against four former police officers, a local chiropractor and his wife.
According to court documents, between 2007 and 2016, Dr. Mitchell Davis owned and operated Davis Chiropractic Clinic, now known as City Health and Chiropractic. Located on Lindell Blvd in St. Louis, the clinic primarily provided services to accident victims. Galina Davis assisted Dr. Davis in identifying, soliciting, and scheduling potential accident victims.
According to SLMPD policy, the SLMPD will provide un-redacted accident reports only to persons involved in the accidents, the companies insuring them, or the lawyers representing them. Un-redacted accident reports contain detailed information, including addresses, telephone numbers, birthdates, and insurance information of the occupants of the vehicles. Dr. Davis and Galina Davis knew that the SLMPD would not disclose un-redacted police reports to them. To get around this policy, Galina Davis and Dr. Davis recruited, solicited, and paid individual SLMPD police officers to obtain un-redacted accident reports for them.
Using the information from the un-redacted reports, Galina Davis contacted accident victims, identified herself as Gail, Allison, Kelly, Laura, or Shannon, and offered the accident victims free services at Davis Chiropractic. Dr. Davis and Galina Davis focused on identifying accident victims from neighborhoods where there was a large concentration of low-income victims. They believed that low-income individuals would be more receptive to their solicitations and offers of free services.
Taylor and Caldwell both admitted to facilitating this exchange of cash for reports. Caldwell admitted to identifying other officers to continue the arrangement after his retirement. Caldwell pleaded guilty to conspiracy to accept bribes. Taylor admitted to a substantive count of bribery. They appeared before Judge Stephen N. Limbaugh, Jr. who accepted their pleas and set sentencing for March 6, 2019.
Caldwell faces up to five years imprisonment while Taylor faces up to ten years imprisonment. Both defendants also face fines or up to $250,000. The parties will recommended sentencing guidelines and terms of imprisonment well below those statutory maxima.
This case was investigated by the Federal Bureau of Investigation and the United States Department of Health and Human Services, Office of Inspector General. Assistant United States Attorneys Dorothy McMurtry and Reginald Harris are handling the case for the U.S. Attorney’s Office.
Three Pittsburgh Residents Plead Guilty to Conspiracy to Commit Health Care FraudRead the Press Release
PITTSBURGH, Pa. – Three residents of Pittsburgh, Pennsylvania, pleaded guilty in federal court this week to conspiracy to defraud the Pennsylvania Medicaid program, United States Attorney Scott W. Brady announced today.
Travis Moriarty, 37, Tiffhany Covington, 41, and Brenda Lowry Horton, 48, all of Pittsburgh, Pennsylvania, pleaded guilty to one count in separate hearings before United States District Judge Cathy Bissoon.
During their plea hearings, each defendant admitted that they were employees of one or more of four related entities operating in the home health care industry—Moriarty Consultants, Inc. (MCI), Activity Daily Living Services, Inc. (ADL), Coordination Care, Inc. (CCI), and Everyday People Staffing, Inc. (EPS). MCI, ADL, and CCI were approved under the Pennsylvania Medicaid program to offer certain services to qualifying Medicaid recipients ("consumers"), including personal assistance services (PAS), service coordination, and non-medical transportation, among other services. Between in and around January 2011 and in and around April 2017, MCI, ADL, and CCI, collectively, received more than $87,000,000 in Medicaid payments based on claims submitted for these services, with PAS payments accounting for more than $80,000,000 of the total amount.
During that time, the defendants admitted that they participated in a wide-ranging conspiracy to defraud the Pennsylvania Medicaid program for the purpose of obtaining millions of dollars in illegal Medicaid payments through the submission of fraudulent claims for services that were never provided to the consumers identified on the claims or for which there was insufficient or fabricated documentation to support the claims. The Court was further advised that the defendants conspired with, among others, Arlinda Moriarty, the owner of MCI, ADL, and EPS; Daynelle Dickens, the owner of CCI and Arlinda Moriarty’s sister; various office workers at the companies, including Julie Wilson, Tamika Adams, Tony Brown, Terra Dean, Larita Walls, Keith Scoggins, and Tia Collins; attendants at MCI, including Tionne Street, Autumn Brown, and Luis Columbie-Abrew; and Terry Adams, a consumer.
As part of the conspiracy, the defendants admitted that co-conspirators fabricated timesheets to reflect the provision of in-home PAS care they provided to consumers but that, in fact, never occurred. In addition, at Arlinda Moriarty’s direction, certain co-conspirators stopped using their own names as the attendant on timesheets and instead used the names of "ghost" attendants, some of whom permitted their names to be used in exchange for a kickback of resulting fraudulent salary payments. The defendants also admitted that certain co-conspirators submitted false timesheets for PAS care they never provided during times when they were actually working at other jobs or living out of the area. In some cases, as the defendants acknowledged, Medicaid claims were submitted for PAS care that purportedly occurred while consumers were hospitalized, incarcerated, or deceased, and in other instances, co-conspirators paid kickbacks to consumers in exchange for the consumers’ agreement to participate in the submission of fraudulent timesheets in support of Medicaid claims.
The defendants also admitted that Arlinda Moriarty directed co-conspirators to bill the maximum allowable PAS and service coordination hours for consumers to maximize profits and to ensure that the state did not require MCI, ADL, and CCI to forfeit underutilized consumer hours. Many consumers had no knowledge that their personally identifiable information was being used to bill Medicaid for benefits that the consumers had not exhausted. Moreover, the Court was further advised during the plea hearings that, as part of the conspiracy, Arlinda Moriarty directed employees to fabricate documentation during the course of state audits.
The defendants each face a maximum total sentence of not more than 10 years in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendants.
Autumn Brown was charged by Criminal Information on October 18, 2018, and a plea hearing is scheduled for December 14, 2018.
On November 26, 2018, a federal grand jury indicted Arlinda Moriarty, Dickens, Wilson, Tamika Adams, Tony Brown, Terry Adams, Collins, Dean, Walls, Scoggins, Street, and Columbie- Abrew for their roles in the conspiracy. An indictment is an accusation. The defendants are presumed innocent unless and until proven guilty.
Assistant United States Attorneys Eric G. Olshan and Special Assistant United States Attorney Edward Song are prosecuting this case on behalf of the government. The Federal Bureau of Investigation, Pennsylvania Office of the Attorney General – Medicaid Fraud Control Unit, Internal Revenue Service – Criminal Investigation, U.S. Department of Health and Human Services – Office of Inspector General, and United States Postal Inspection Service conducted the investigation of the defendants.
Tennessee Man Sentenced for Being a Felon in Possession of a FirearmRead the Press Release
United States Attorney Joe Kelly announced that Michael Wayne Parsons, age 57, formerly of Arlington, Tennessee, was sentenced today to 84 months in prison followed by three years of supervised release following his conviction by a United States District Court jury of being a felon in possession of a firearm. Mr. Parsons is a sovereign citizen who does not believe he is subject to the laws of the United States. He claims citizenship only in the country of “Chilcotin” which he and his like-minded associates believe was established in British Columbia, Canada, in 2015.
In January of 2017, Mr. Parsons was awaiting trial in state court in Tennessee. His charges there were also for being a felon in possession of a firearm. He failed to appear for his trial and a warrant was issued for his arrest. Mr. Parsons piloted a single-engine airplane he owned flying north headed to Montana and, ultimately, to the country of “Chilcotin” in Canada. He landed for the night in Arapahoe, Nebraska. Agents located him by pinging his phone. He was arrested and a later search of his airplane located an LAR 15 assault rifle and several hundred rounds of ammunition. Parsons was sentenced by the Honorable John Gerrard, Chief United States District Court Judge, who ordered Mr. Parsons’s federal sentence to run consecutive to a three-year state prison term for failing to appear for trial in the State of Tennessee.
This case was investigated by the Federal Bureau of Investigation and the Furnas County Sheriff’s Office.
Tangipahoa Parish Men Plead Guilty to Drug Trafficking and Firearms OffensesRead the Press Release
NEW ORLEANS – U.S. Attorney Peter G. Strasser announced that JERRY PEA, age 42 of Ponchatoula, and JAMES JACKSON, age 35 of Hammond, pleaded guilty yesterday to narcotics trafficking and firearms offenses in Hammond, Louisiana.
PEA pleaded guilty to conspiring to distribute and to possess with intent to distribute over 28 grams of crack cocaine and quantities of heroin between March and May 2018, in violation of 21 U.S.C. § 841(a)(1), (b)(1)(B), (b)(1)(C), and 846. JACKSON pled guilty to distributing quantities of crack cocaine and heroin on March 26, 2018, in violation of 21 U.S.C. § 841(a)(1) and (b)(1)(C). Each defendant also pled guilty to possessing a firearm during a narcotics transaction, in violation of 18 U.S.C. § 924(c)(1)(A).
For the respective narcotics offenses, PEA faces a term of imprisonment of 5-40 years, a fine of up to $5 million, and at least four years of supervised release following any term of imprisonment, whereas JACKSON faces a term of imprisonment of up to 20 years, a fine of up to $1 million, and at least three years of supervised release. For the respective gun charges, PEA and JACKSON face terms of imprisonment of five years to life running consecutive to any other sentence, fines of up to $250,000, and up to five years of supervised release.
Sentencing is set before Judge Africk on March 14, 2019, at 9:00 a.m.
United States Attorney Strasser praised the work of the United States Drug Enforcement Administration, Tangipahoa Parish Sheriff's Office and the Hammond Police Department. Assistant U.S. Attorney Jeffrey Sandman is in charge of the prosecution.
St. Rose Man Sentenced After Trial for Narcotics Conspiracy and Firearms ViolationsRead the Press Release
NEW ORLEANS – U.S. Attorney Peter G. Strasser announced that COREY SESSION, age 44, of St. Rose, Louisiana, was sentenced yesterday after having been convicted after a five-day trial that was held in August 2018 before U.S. District Judge Mary Ann Vial Lemmon. SESSION was the last defendant to be sentenced in this case.
SESSION was convicted at trial of conspiracy to distribute one kilogram or more of heroin and five hundred grams or more of cocaine, along with firearms charges. Judge Lemmon sentenced SESSION to a term of life imprisonment plus five years. The additional five-year sentence was mandatory for his having been convicted of possession of a firearm in furtherance of drug trafficking.
According to evidence presented at trial, agents with the Drug Enforcement Administration conducted an investigation from January 2015 through February 2016, concerning distribution of cocaine and heroin in St. Charles and St. John the Baptist Parishes. The federal investigation, which was conducted in coordination with state and local law enforcement, resulted in the seizure of nearly one kilogram of heroin along with scales, money counters, firearms, and over $480,000.00 in cash.
SESSION was the last defendant to be sentenced of the four that were convicted after trial in August 2018. ANDRE STAGGERS, a/k/a “Dre,” of LaPlace, who was also convicted of heroin and cocaine distribution conspiracy and firearms violations, was sentenced to life imprisonment plus five years. GREGORY LONDON, a/k/a “Lil Gregg,” of LaPlace, was sentenced to ten years in prison for cocaine distribution conspiracy. LEONARD MORRISON, a/k/a “Leonard London,” of St. Rose, was sentenced to fifteen years in prison for possession of a firearm as an armed career criminal.
U.S. Attorney Strasser praised the conviction as the result of a coordinated effort of federal and state law enforcement authorities within the Drug Enforcement Administration’s Gulf Coast High Intensity Drug Trafficking Area (HIDTA) Program. The DEA’s HIDTA Group #11, operating out of the New Orleans Field Division, includes members from DEA, U.S. Border Patrol, Louisiana State Police, St. Charles Parish Sheriff’s Office, St. John the Baptist Parish Sheriff’s Office, Jefferson Parish Sheriff’s Office, Gretna Police Department, Kenner Police Department, and St. Bernard Parish Sheriff’s Office. U.S. Attorney Strasser extended his thanks to the Oklahoma Highway Patrol for their assistance in this investigation. Assistant United States Attorneys Matthew R. Payne, Brittany L. Reed, and David Howard Sinkman handled the prosecution and trial. Also assisting in the prosecution was Special Assistant United States Attorney Andre Gaudin, who is assigned from the Orleans Parish District Attorney’s Office to the DEA HIDTA Group.
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South Florida Securities Lawyer Convicted by Jury of Conspiracy, Securities Fraud, Wire Fraud, and Money Laundering in Connection with Shell Factory Stock SwindleRead the Press Release
A Boca Raton attorney was convicted by a federal jury this afternoon of 33 counts of conspiracy, securities fraud, wire fraud, and money laundering offenses in connection with a scheme to fraudulently register shell companies with the U.S. Securities and Exchange Commission (SEC), issue a class of free-trading shares in the companies that were secretly controlled, and sell these shares as part of pump-and-dump stock swindles.
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.
James M. Schneider, 77, a securities lawyer from Boca Raton, Florida, was convicted by a federal jury after a two-week trial before U.S. District Judge Federico A. Moreno in Miami (Case No. 17-20712-CR-FAM(s)). Schneider was convicted of conspiracy to commit securities and wire fraud, in violation of Title 18, United States Code, Section 1349; securities fraud, in violation of Title 18, United States Code, Section 1348; wire fraud, in violation of Title 18, United States Code, Section 1343; conspiracy to commit money laundering, in violation of Title 18, United States Code, Section 1956(h); and, money laundering, in violation of Title 18, United States Code, Section 1957. Schneider faces a maximum statutory sentence of twenty-five years for the securities fraud conspiracy count, twenty-five years each for the securities and wire fraud counts, and ten years each for the conspiracy to commit money laundering and money laundering counts, as well as a fine up to $250,000 or double the proceeds as to each. Schneider is scheduled to be sentenced by Judge Moreno on February 14, 2019.
According to evidence introduced at trial, from approximately March 2008 through at least May 2015, Schneider participated in a scheme to operate a fraudulent shell factory in which the conspirators created approximately 20 shell companies and filed numerous false documents with the SEC. The filings falsely stated that the companies were controlled by a nominee chief executive officer (CEO). The straw CEO would be listed as the owner of the control block of shares but in reality the companies were controlled by the undisclosed principals. The control block of shares listed in the name of the sole officer were deemed restricted and could not be sold to the public. The principals would also list in SEC filings the names of various shareholders for each company to make it appear that these shares were owned by persons unaffiliated with the company. These shares would later become “free trading” and secretly sold to shell buyers. Using false and fraudulent documentation describing the companies’ business purpose and share ownership, the principals would then obtain approval to sell the companies’ shares publicly in the open market. Thereafter, the principals would sell the companies to shell buyers who would secretly obtain both the control shares and the purported “free trading” shares without disclosure to the SEC or the investing public. These buyers would then use the shares to conduct pump-and-dump stock swindles and other securities manipulation schemes. Evidence at trial showed that the shares of the fake companies were then sold to investors for millions of dollars.
Schneider was an attorney licensed to practice in Florida who authored false and fraudulent legal opinion letters indicating that shares of the 20 companies were owned by persons who were not “affiliates,” when in truth and in fact the shares were owned and controlled by the conspirators. Schneider also created false billing records to make it appear that he was performing work for, and taking direction from, the straw CEOs. In reality, he took his direction from his co-conspirators, who would keep their names off of documents. Schneider also performed so-called escrow services for the sale of the shell entities, including the illegal sale of the purported free trading shares, and wired more than $5.6 million in proceeds to bank accounts controlled by the conspirators. Schneider did this, according to evidence introduced at trial, even though he had no authorization from the named shareholders or verification that the persons whose names were listed on escrow agreements authorized or approved these transfers.
Eleven other defendants have been convicted in the Southern District of Florida in connection with the Shell Factory Fraud investigation: John Ahearn and Andrew Wilson, Case No. 17-20883-CR-KMW; Yelena Furman, Case No. 17-20713-CR-CMA; David Lubin, Case No. 17-20508-CR-MGC; Sheldon Rose and Ian Kass, Case No. 16-20706-CR-JEM; Steven Sanders and Alvin S. Mirman, Case No. 16-20572-CR-CMA; Daniel McKelvey and Jeffrey Lamson, Case No. 16-20546-CR-RNS; and, Delaney Equity Group LLC, Case No. 18-20336-CR-CMA. Defendant Myron Gushlak has also been charged but his case was transferred to fugitive status in Case No. 17-20713-CR-CMA. These convicted defendants included two attorneys who practice securities law (Lubin and Wilson), a registered securities representative (Kass), a stock transfer agent (Ahearn), a securities broker-dealer (Delaney Equity Group LLC), an accountant (Lamson), and four stock promoters (Sanders, McKelvey, Mirman, Rose, and Furman).
Previously, the SEC filed parallel civil enforcement actions against Schneider and the other criminal defendants charged in the Shell Factory Fraud investigation.
U.S. Attorney Fajardo Orshan commended the investigative efforts of the FBI’s Miami Field Office, and also thanked the SEC’s Miami Regional Office for their assistance with the ongoing Shell Factory Fraud investigation. The United States was represented at trial by Assistant U.S. Attorneys Jerrob Duffy and Christopher B. Browne, and Special Assistant U.S. Attorney Jeffrey T. Cook.
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.
South Florida Pharmacy Owner Sentenced to Almost Four Years in Prison for Role in $2.5 Million Medicare Fraud SchemeRead the Press Release
An owner of a now-defunct Miami pharmacy was sentenced today to 46 months in prison for his participation in a scheme that caused Medicare to pay $2.5 million in false and fraudulent claims for prescription drugs that were never purchased.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal 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 Special Agent in Charge Shimon R. Richmond of the U.S. Department of Health and Human Services Office of Inspector General’s (HHS-OIG) Miami Regional Office made the announcement.
Gregory Sanchez, 44, of Miami Lakes, Florida, was sentenced by U.S. District Judge Ursula Ungaro of the Southern District of Florida. Judge Ungaro also ordered Sanchez to pay $2,507,942 in restitution, jointly and severally with his co-conspirators, and to forfeit the same amount. Sanchez pleaded guilty in September 2018 to one count of conspiracy to commit health care fraud.
According to admissions made as part of his plea agreement, Sanchez was an undisclosed co-owner of Med Health Equipment, LLC (Med Health), which purported to operate as a pharmacy. Sanchez admitted that he and his co-conspirators used Med Health to fraudulently bill Medicare by submitting claims for prescription drugs that Med Health never purchased and never dispensed. To carry out the fraudulent scheme, Sanchez and his co-conspirators paid and caused the payment of kickbacks to patient recruiters in exchange for the referral of Medicare beneficiaries to Med Health. As a result of fraudulent claims submitted in connection with the scheme, Medicare paid Med Health approximately $2.5 million, Sanchez admitted.
Five co-conspirators were charged separately in this case. Lazaro Perez, 55, of Miramar, Florida, and Maria Estrada, 40, of Doral, Florida, both additional co-owners of Med Health, each pleaded guilty to conspiracy to commit health care fraud and were sentenced in April 2018 and August 2018 to serve 63 and 57 months in prison, respectively. Yulieth Dominguez Gonzalez, 40, of Miami, pleaded guilty to conspiracy to receive kickbacks and was sentenced in June 2018 to serve 21 months in prison. Rosa Menendez, 65, of Homestead, Florida, pleaded guilty to conspiracy to commit money laundering and was sentenced in October 2018 to serve 18 months in prison. Pablo Garcia Menendez, another co-owner of Med Health, was charged by indictment in February 2018 and remains a fugitive.
All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
The FBI and HHS-OIG investigated the case, which was brought as part of the Medicare Fraud Strike Force under the supervision of the Criminal Division’s Fraud Section and the U.S. Attorney’s Office for the Southern District of Florida. Trial Attorney David Snider of the Fraud Section is prosecuting the case.
The Criminal Division’s Fraud Section leads the Medicare Fraud Strike Force. Since its inception in March 2007, the Medicare Fraud Strike Force, which maintains 14 strike forces operating in 23 districts, has charged nearly 4,000 defendants who have collectively billed the Medicare program for more than $14 billion. In addition, the HHS Centers for Medicare & Medicaid Services, working in conjunction with the HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.
Social Services Worker Indicted on Charges of Defrauding A Client Out of A Car and Lying to the FBIRead 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 a federal grand jury has returned an indictment charging Rhonda Henderson, 47, of Cheektowaga, NY, with mail fraud and making false statements. The charges carry a maximum penalty of 20 years in prison and a $250,000 fine.
Assistant U.S. Attorney Joseph M. Tripi, who is handling the case, stated that according to the indictment, between September 2013 and January 3, 2014, the defendant devised a scheme to defraud Victim A of a 1999 Honda Accord, which belonged to the victim’s deceased mother. Henderson worked as a social services manager for a local social services agency. The defendant met Victim A, who suffered from a variety of mental health issues and only completed formal education through seventh grade, through her employment at the agency where Victim A received services.
As part of the scheme, Henderson reminded Victim A of the things that Henderson did for Victim A and Victim A's mother prior to her death, and advised Victim A that Victim A should do the defendant a favor as a result. Henderson asked Victim A to allow her son, D.H., to drive the 1999 Honda Accord for a temporary period of time because Henderson was having financial trouble and could not get her son a car. Victim A gave the defendant and her son physical possession of the vehicle.
Henderson deceived Victim A into signing Department of Motor Vehicle (DMV) documents that would allow the defendant to obtain a duplicate title for the 1999 Honda Accord. Henderson took Victim A to the DMV branch on Sheridan Drive in Amherst, NY, at which time Victim A filled out and signed an application for a duplicate title. The application was then processed by L.Y., an associate of Henderson. A duplicate title was issued in the name of Victim A's deceased mother, but with Henderson's home address in Cheektowaga listed on the title. Victim A did not fill out the address portion of the form and did not know that it included Henderson’s address.
Subsequently, the defendant forged Victim’s A’s signature on the duplicate title, listing Victim A as the “seller,” and listing herself as the “buyer.” Henderson then registered the 1999 Honda Accord in her name. The defendant’s actions resulted in the DMV mailing the defendant title to the vehicle and defrauding Victim A of the 1999 Honda Accord.
The indictment further alleges that in June 2014, the defendant made several false statements to the FBI when she was questioned pertaining to her actions related to the 1999 Honda Accord.
The indictment is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Gary Loeffert, and the New York State Department of Motor Vehicles, Division of Field Investigation, under the direction of Owen McShane, Director of Investigations.
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.
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Sentences Handed Down for Illegal Pill Mills Operating in Valdosta and ColumbusRead the Press Release
Macon – Seven defendants involved in two clinics which operated “pill mills”, where tens of thousands of prescriptions for highly addictive opioids were dispensed, were sentenced this week in federal court, said Charles “Charlie” Peeler, the United States Attorney for the Middle District of Georgia. On Wednesday, December 5, 2018, The Honorable Hugh Lawson sentenced Dr. William Bacon, 83, of St. Johns, FL to 72 months in prison and the forfeiture of over $95,000 and Dr. Donatus O. Mbanefo, 65, of Columbus, GA to 96 months in prison. A jury found both Dr. Bacon and Dr. Mbanefo guilty of conspiracy to dispense controlled substances outside the usual course of medical practice and a legitimate medical purpose at clinics in Valdosta, Georgia and Columbus, Georgia. Dr. Mbanefo was also convicted of two additional counts of unlawful dispensation of controlled substances during the jury trial from May 29 to June 13, 2018 in Valdosta federal court.
Five co-conspirators previously entered guilty pleas for their involvement in or knowledge and concealment of the conspiracy, and were sentenced in federal court Thursday, December 6, 2018.
On charges of Conspiracy:
1. Carol Neema Biggs a/k/a Carol Johnson, 33, of Hollywood, FL: 60 months imprisonment, plus 36 months consecutive in prison for a total of 96 months imprisonment
2. Junior Alexander Biggs, 40, of Hollywood, FL: 50 months imprisonment, plus 36 months consecutive in prison for a total of 86 months imprisonment
3. Nilaja C. Biggs, 36 of Hialeah, FL: 36 months imprisonment
On charges of Knowledge and Concealment of the Conspiracy:
4. Shavonta Devon Bright, 35 of Miami, FL: 3 years probation
5. Ionie Whorms, 55 of Goose Creek, SC: 3 years probation
Dr. Vinod Shah, 69 of Salisbury, NC previously entered a guilty plea to involvement in the pill mill conspiracy and will be sentenced at a later date. Dr. Shah saw patients at the Relief Institute of Columbus in 2012-2013 and issued prescriptions for more than 398,000 Oxycodone pills and more than 100,000 Xanax and Soma pills.
Evidence presented during the trial showed that co-conspirators Carol Biggs, Nilija Biggs and Junior Biggs formed the Wellness Center of Valdosta (WCV) in June 2011, located at 2016 E. Adair Street, to operate as a pain clinic. Dr. Bacon began working there in September 2011 and saw patients until the clinic closed. The clinic saw unrealistically large numbers of patients daily, including people from out of state, accepting no forms of insurance or government benefits but taking cash payments only. No diagnostic testing was offered, and no alternative treatments outside prescribing large quantities of a “cocktail” of pain medications and other controlled substances were offered to patients. The “cocktail” generally included such highly addictive controlled substances as Oxycodone and Xanax, but also included Hydromorphone, Hydrocodone, Soma, Valium and Ambien. During the approximately 27 months during which Dr. Bacon worked at the Wellness Center of Valdosta, he wrote more than 29,000 prescriptions for controlled substances.
In June 2012, Carol and Junior Biggs opened another pain clinic in Columbus known as the Relief Institute of Columbus. The Relief Institute of Columbus operated in the same fashion as the Wellness Center of Valdosta by unlawfully dispensing controlled substances. Dr. Mbanefo saw patients at the Relief Institute between mid-March 2013 and mid-June 2013. During that three month period of time, Dr. Mbanefo wrote more than 2,900 prescriptions for controlled substances, including prescribing large quantities of Oxycodone and Xanax to an undercover agent, who had no legitimate medical issues.
The doctors at both clinics were paid $1200 to $1400 per day to see patients, with a bonus for Dr. Bacon when he saw more than 40 in a single day. During the operation of the two clinics, patients made cash payments of more than $2 million to see the doctors for prescriptions.
“Opioid addiction is destroying lives in our communities at an ever-increasing rate,” said Charles “Charlie” Peeler, the United States Attorney for the Middle District. “Doctors and medical professionals who profit from these illegal pill mills are doing serious harm to our society, and we will continue to work with our law enforcement partners to stop these lethal operations.”
The case was investigated by the Drug Enforcement Administration, the Georgia Bureau of Investigation and Internal Revenue Service – Criminal Investigation. Assistant United States Attorneys Robert D. McCullers and K. Alan Dasher prosecuted the case for the United States.
Questions can be directed to Pamela Lightsey, Public Information Officer, United States Attorney’s Office, at (478) 621-2603 or Melissa Hodges, Public Affairs Director (Contractor), United States Attorney’s Office, at (478) 765-2362.
Seattle Man Sentenced to Prison for Cyberstalking Campaign Against a Former Friend and a Co-WorkerRead the Press Release
A former Seattle, Washington information technology professional was sentenced today in U.S. District Court in Seattle to 30 months in prison and three years of supervised release for conducting cyberstalking and threat campaigns against multiple victims, announced U.S. Attorney Annette L. Hayes. JOEL KURZYNSKI, 39, was also ordered to pay $37,682 in restitution to the victims. At the sentencing hearing U.S. District Judge Robert S. Lasnik noted that some strike terror with a gun or a bomb, but in this case KURZYNSKI “terrorized with a smart phone and a computer…. Cyberstalking and terrorizing people like this is a violent crime and there will be prison sentences.”
“This defendant tormented his victims through death threats, the creation of fake dating profiles, and waves of ceaseless harassment,” said U.S. Attorney Hayes. “He cruelly exploited his computer skills and his knowledge of these victims to make them fear for their lives and the lives of their loved ones. Such conduct cannot be tolerated and will be aggressively prosecuted by the Department of Justice.”
In September 2018, KURZYNSKI pleaded guilty to two counts of cyberstalking. According to records filed in the case, KURZYNSKI engaged in an extensive and rapidly escalating cyberstalking campaign that targeted two individuals known to him. The online campaign involved -- among other things -- death threats, body shaming, and hate speech. Beginning in March 2017, KURZYNSKI orchestrated numerous spam phone calls to Victim 1. The conduct soon escalated to fake dating profiles wherein KURZYNSKI portrayed Victim 1 as seeking sadomasochistic or underage relationships. These profiles contained photographs of Victim 1 and his contact information, resulting in solicitations and harassing messages directed toward Victim 1 from multiple strangers. KURZYNSKI then sent several anonymous death threats to Victim 1, including the threat, “faggot. Time to die.” At one point, KURZYNSKI impersonated a journalist and contacted Victim 1, claiming that an upcoming article would levy sexual misconduct allegations against Victim 1 related to Victim 1’s work with a non-profit youth organization.
KURZYSNKI also admitted that in November 2017, he began registering Victim 2 for numerous weight loss and suicide prevention programs, resulting in a wave of calls and emails from entities such as Overeaters Anonymous, Weight Watchers, Yellow Ribbon Suicide Prevention, and others. Within weeks, KURZYNSKI started sending anonymous death threats to Victim 2, many of which referenced Victim 2’s work address. One threat claimed that he was waiting for her in the lobby, and another that said, “Looking forward to seeing you today and how much you bleed. Don’t go to the bathroom alone.”
Speaking to the court today, the victims talked about how the harassment impacted them – forcing one to change jobs and move from the city. “Over a year I lived in extreme fear for my life and my character,” the victim said. The second victim told the court how her work performance suffered, because she knew her stalker was someone at her place of employment. She told the court that on her birthday she arrived at work to an email that read “Are you ready to die today?” The defendant targeted her simply because she had asked for help with her scanner and went to KURZYNSKI’s supervisor when he refused to assist her.
KURZYNSKI spoke to his victims saying, “for what I have put you through I cannot apologize enough. I have no excuse. There is no justification.”
Victims of cyberstalking campaigns such as this often may be hesitant to come forward. The Justice Department encourages individuals who may be the victims of similar schemes to contact their local law enforcement agencies to report this conduct.
The U.S. Secret Service’s Seattle Field Office investigated the case with substantial assistance from the Seattle Police Department and King County Prosecutor’s Office. Trial Attorney Frank Lin of the Criminal Division’s Computer Crime and Intellectual Property Section and Assistant U.S. Attorney Francis Franze-Nakamura of the Western District of Washington are prosecuting the case.
Seattle Man Sentenced to over Two Years in Prison for Cyberstalking CampaignRead the Press Release
A former Information Technology professional was sentenced to 30 months in prison and three years supervised release for conducting cyberstalking and threat campaigns against multiple Washington residents, announced Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division and U.S. Attorney Annette L. Hayes of the Western District of Washington. The victims’ names are being withheld to protect their privacy.
Joel Kurzynski, 39, of Seattle, Washington, was sentenced in the U.S. District Court for the Western District of Washington by U.S. District Judge Robert S. Lasnik.
According to admissions made in connection with his plea, Kurzynski engaged in an extensive and rapidly escalating cyberstalking campaign that targeted two individuals known to him. The online campaign involved -- among other things -- death threats, body shaming, and hate speech. Beginning in March 2017, Kurzynski orchestrated numerous spam phone calls to Victim 1. The conduct soon escalated to fake dating profiles wherein Kurzynski portrayed Victim 1 as seeking sadomasochistic or underage relationships. These profiles contained photographs of Victim 1 and his contact information, resulting in solicitations and harassing messages directed toward Victim 1 from multiple strangers. Kurzynski then sent several anonymous death threats to Victim 1, including the threat, “faggot. Time to die.” At one point, Kurzynski impersonated a journalist and contacted Victim 1, claiming that an upcoming article would levy sexual misconduct allegations against Victim 1 related to Victim 1’s work with a non-profit youth organization.
Kurzysnki also admitted that in November 2017, he began registering Victim 2 for numerous weight loss and suicide prevention programs, resulting in a wave of calls and emails from entities such as Overeaters Anonymous, Weight Watchers, Yellow Ribbon Suicide Prevention, and others. Within weeks, Kurzynski started sending anonymous death threats to Victim 2, many of which referenced Victim 2’s work address. One threat claimed that he was waiting for her in the lobby, and another that said, “Looking forward to seeing you today and how much you bleed. Don’t go to the bathroom alone.”
The U.S. Secret Service’s Seattle Field Office investigated the case with substantial assistance from the Seattle Police Department and King County Prosecutor’s Office. Senior Counsel Frank Lin of the Criminal Division’s Computer Crime and Intellectual Property Section and Assistant U.S. Attorney Francis Franze-Nakamura of the Western District of Washington prosecuted the case.
Victims of cyberstalking campaigns such as this often may be hesitant to come forward. The Justice Department encourages individuals who may be the victims of similar schemes to contact their local law enforcement agencies to report this conduct.
Schuylkill County Man Guilty of Methamphetamine Trafficking ConspiracyRead the Press Release
SCRANTON—The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Anibal Luis Rodriguez, age 27, of Pottsville, pleaded guilty yesterday to conspiracy to distribute more than 500 grams of methamphetamine, before U.S. District Court Judge Robert D. Mariani.
According to United States Attorney David J. Freed, Rodriguez, admitted to committing the offense between July 2016 and May 24, 2017, in Schuylkill County and elsewhere. The plea agreement notes that Rodriguez was the organizer and leader of the drug conspiracy and used violence or threats in connection with the drug conspiracy.
Rodriguez was indicted by a grand jury along with three other persons in August 2017. Two of those co-defendants, David Castro and Laverne Schaeffer, previously pleaded guilty to participating in the conspiracy and are awaiting sentencing. Another co-conspirator, Ernest Schaeffer, also previously pleaded guilty and is awaiting sentencing.
Judge Mariani ordered a presentence report to be completed. Sentencing will be scheduled at a later date.
The case was investigated by the Federal Bureau of Investigation, the Pennsylvania State Police, and local police from Schuylkill County. Assistant U.S. Attorney Francis P. Sempa is prosecuting the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of a renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
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 is life in prison, a term of supervised release following imprisonment, and a fine. The charge also carries a mandatory minimum penalty of ten years’ imprisonment. 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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Sacramento County Resident Sentenced to Seven Years in Prison for Drug Dealing and Illegally Selling FirearmsRead the Press Release
SAN FRANCISCO – Donnie Yingling was sentenced today in federal court to 84 months in prison for distributing crystal methamphetamine, conspiring to deal in firearms without a license, and related crimes, announced U.S. Attorney Alex G. Tse and Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) Special Agent in Charge Ray Roundtree. The sentence was handed down by the Honorable Susan Illston, Senior U.S. District Judge.
Yingling, 48, of Walnut Grove, Calif., pleaded guilty to the charges on August 23, 2018. According to his plea agreement, Yingling admitted that in March 2017, he knowingly conspired with codefendant Ronald Ahart to sell firearms without a license. Specifically, Yingling admitted that on March 21, 2017, he and Ahart talked by telephone with an undercover officer to arrange the sale of firearms. On March 22, 2017, the codefendants sold five firearms for $4,340 to undercover officers. Further, the defendants sold another six firearms to the undercover officers for $7,000 on March 23, 2017. Yingling admitted that he was not a licensed firearms dealer.
Yingling also admitted that on April 20, 2017 he sold 54.4 grams of actual methamphetamine to undercover officers for $600.
On July 21, 2017, a federal grand jury indicted Yingling charging him with two counts of being a felon in possession of a firearm, in violation of 18 U.S.C. § 922(g)(1), as well as one count each of conspiracy to deal in firearms without a license, in violation of 18 U.S.C. § 371; dealing with firearms without a license, in violation of 18 U.S.C. § 922(a)(1)(A); and distribution and possession with intent to distribute methamphetamine, in violation of 21 U.S.C. §§ 841(a)(1) and 841(b)(1)(B)(viii). Yingling pleaded guilty to the conspiracy charge, the firearm dealing charge, and the drug distribution charge. Judge Illston dismissed the remaining charges at his sentencing.
In addition to the prison term, Judge Illston ordered Yingling to serve a five year period of supervised release to begin when the prison term has been completed. Yingling has been in custody since November 28, 2017.
On August 3, 2018, the co-conspirator Ahart pleaded guilty to his part in the gun distribution conspiracy and to being a felon in possession of firearms. On November 30, 2018, Judge Illston sentenced Ahart to 46 months in prison and three years of supervised release for his offenses.
Special Assistant U.S. Attorney Christopher Vieira is prosecuting the case with the assistance of Kimberly Richardson. These prosecutions are the result of an investigation by the ATF and are brought as part of “Operation Cold Day,” an effort spearheaded by the ATF to bring federal resources to bear in support of ongoing state and local efforts to combat gun and drug related crime.
Rochester Felon Pleads Guilty to Possessing A GunRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Marcus Lynch, 32, of Rochester, NY, pleaded guilty to possession of a firearm by a convicted felon, before U.S. District Judge Charles Siragusa. The charge carries a maximum penalty of 10 years in prison and a $250,000 fine.
Assistant U.S. Attorney Cassie Kocher, who is handling the case, stated that the defendant went to the Firing Pin Shooting Range in the Town of Bergen to target shoot a rifle. Lynch was previously convicted in January 2008 of Robbery in the Third Degree; in August 2007 of Burglary in the Second Degree and Grand Larceny in the Fourth Degree; and in May 2007 of Burglary in the Second Degree. As a result, the defendant is legally prohibited from possessing a firearm.
The plea is the result of an investigation by New York State Department of Corrections and Community Supervision, under the direction of Acting Commissioner Anthony J. Annucci, and the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Special Agent-in-Charge Ashan Benedict, New York Field Division.
Sentencing is scheduled for March 12, 2019, at 9:15 a.m. before Judge Siragusa.
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Providence Man Admits to Trafficking Cocaine via the U.S.MailRead the Press Release
PROVIDENCE, RI – A Providence man today admitted to trafficking cocaine through the U.S. Postal Service from Puerto Rico to Rhode Island, and to shipping packages containing cash to Puerto Rico.
Appearing before U.S. District Court Chief Judge William E. Smith, Eliot Figueroa-Rosario, 44, pled guilty to attempted possession with intent to distribute 500 grams or more of cocaine, announced United States Attorney Stephen G. Dambruch, Inspector in Charge of the U.S. Postal Inspection Service Boston Division Joseph W. Cronin, and Colonel Ann C. Assumpico, Superintendent of the Rhode Island State Police.
According to court documents, for more than a year, United States Postal Inspection Service inspectors conducted an investigation into Figueroa-Rosario’s drug trafficking activities and his involvement in a series of packages shipped to and from Puerto Rico.
In May 2017 and May 2018, Figueroa-Rosario was captured on video surveillance shipping parcels to Puerto Rico from the U.S. Postal Service Providence Processing and Distribution Center (P&DC). A court-authorized search of the packages found them to contain $16,000 and $26,000 respectively. The cash was seized by law enforcement.
On June 15, 2018, a Priority Mail package mailed three days earlier from Puerto Rico and addressed to Figueroa-Rosario’s Providence residence was intercepted from the mail stream at the P&DC. The package was examined by a Rhode Island State Police K-9, which detected the presence of a narcotic odor. A federal court-authorized inspection of the contents of the package revealed 1160 grams of cocaine.
Several days later a Postal Service Inspection undercover agent delivered the package to Figueroa-Rosario’s residence. Figueroa-Rosario accepted the package and was arrested. A court-authorized search of the residence by U.S. Postal Inspectors and members of the Rhode Island State Police High Intensity Drug Trafficking Area Task Force resulted in the seizure of, among other items, evidence of packages shipped from Puerto Rico to Figueroa-Rosario’s residence and $6,500 in cash found hidden in a floor vent.
Figueroa-Rosario is scheduled to be sentenced on March 15, 2019.
Attempted possession with attempt to distribute 500 grams or more of cocaine is punishable by statutory penalties of 5-40 years of imprisonment; a term of supervised release of at least 4 years and up to life; and a fine of $5,000,000.
The case is being prosecuted by Assistant U.S. Attorney Gerard B. Sullivan, with the assistance of Assistant U.S. Attorney Richard W. Rose.
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Pittsburgh Woman Sentenced to Probation for Painkiller Distribution SchemeRead the Press Release
PITTSBURGH - A resident of Pittsburgh has been sentenced in federal court to three years of probation on her conviction of healthcare fraud and possession with the intent to distribute and distribution of opiate painkiller, oxycodone, United States Attorney Scott W. Brady announced today.
United States District Judge Mark R. Hornak imposed the sentence on Marion Randolph, 64.
According to information presented to the court, Randolph participated in a criminal network of drug dealers who obtained opiate pain killers and then illegally distributed them to users in the Pittsburgh area. Randolph sold prescription pills that she obtained through a health benefit program to dealers in the criminal network and to other people. She obtained the pills under the false pretense that she intended to use the pills herself when, in fact, she intended to and did distribute some of the pills to others.
Assistant United States Attorney Brendan T. Conway prosecuted this case on behalf of the government.
United States Attorney Brady commended the Federal Bureau of Investigation, the Drug Enforcement Administration, the Pennsylvania Office of the Attorney General, the Pittsburgh Bureau of Police, and the Allegheny County Police Department for the investigation leading to the successful prosecution of Randolph.
Physicians Group Employee Admits to Attempted ExtortionRead the Press Release
PROVIDENCE – A former employee of a Providence not-for-profit physicians group today admitted that he attempted to extort $25,000 from the physicians group in exchange for the return of digital media devices onto which he downloaded and took home private patient data and employee data belonging to the physicians group.
Randy Lutz, 37, of Providence, admitted to making the demands in a series of emails, text messages and telephone calls to executives, board members and employees of the physicians group after his employment with the physicians group was terminated in May 2017.
On July 20, 2017, FBI agents and FBI task force officers executed a court-authorized search warrant at Lutz’s residence and seized several thumb drives, a laptop computer, and a cell phone. Some of the devices contained private patient and employee data belonging to the physicians group downloaded without permission.
Appearing before U.S. District Court Chief Judge William E. Smith, Lutz pled guilty to extortionate interstate communications. He is scheduled to be sentenced on March 7, 2019.
Lutz’s guilty plea is announced by United States Attorney Stephen G. Dambruch and Special Agent in Charge of the FBI’s Boston Division Harold H. Shaw.
The case is being prosecuted by Assistant U.S. Attorney Terrence P. Donnelly.
United States Attorney Stephen G. Dambruch acknowledges and thanks the Providence Police Department for their assistance in the investigation of this matter.
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Otsego County Man Arrested for Receipt and Distribution of Child PornographyRead the Press Release
SYRACUSE, NEW YORK – Justin Hobbie, age 41, of Springfield Center, New York, appeared today in federal court on charges that he received and distributed child pornography over the internet.
The announcement was made by United States Attorney Grant C. Jaquith and Kevin M. Kelly, Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI).
According to the federal criminal complaint, Hobbie received and distributed images of child pornography using a peer-to-peer file sharing program. An initial review of his desktop computer revealed that it contained numerous video files depicting child pornography. The charges in the complaint are merely accusations. The defendant is presumed innocent unless and until proven guilty.
If convicted, Hobbie faces at least 5 years and up to 20 years in prison, a term of post-release supervision of at least 5 years and up to life, and a fine of up to $250,000. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors. Additionally, if convicted, Hobbie would be required to register as a sex offender.
Hobbie appeared today before United States Magistrate Judge Thérèse Wiley Dancks, who ordered him detained pending a detention hearing scheduled for December 12, 2018.
Anyone with information relevant to this investigation may call HSI’s Albany office at (518) 220-2129.
This case is being investigated by HSI Albany with assistance from the New York State Police Computer Crimes Unit, the Internet Crimes Against Children Task Force and U.S. Customs and Border Protection Air and Marine Operations, and is being prosecuted by Assistant U.S. Attorney Geoffrey J. L. Brown.
This case is being 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), and is designed to marshal 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.
Oshkosh Man Indicted for Fentanyl Overdose DeathRead the Press Release
United States Attorney Matthew D. Krueger of the Eastern District of Wisconsin, announced that on December 4, 2018, a federal grand jury indictment was unsealed against Desmond T. Burns (age: 39) of Oshkosh, Wisconsin.
The indictment alleges Burns distributed Fentanyl in violation of Title 21 United States Code, Sections 841(a)(1) and (b)(1)(C). Further, it alleges the distribution resulted in the overdose death of a New London man in June of 2017. Other court filings identify Burns as the distributor of Fentanyl that resulted in the May 2017 overdose death of an Appleton woman. If convicted Burns will serve between 20 years and a lifetime in federal prison.
This case was investigated by the Winnebago County Sheriff’s Office, the New London Police Department, and the Appleton Police Department. It will be prosecuted by Assistant United States Attorney Daniel R. Humble.
An indictment is only a charge and is not evidence of guilt. The defendant is presumed innocent and is entitled to a fair trial at which the government must prove him guilty beyond a reasonable doubt.
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Opiates & cash found in home of Fishers man facing felony chargesRead the Press Release
Indianapolis – United States Attorney Josh J. Minkler announced that JOACHIM VAN BUREN, 50, of Fishers, Indiana, was charged with two counts of Possession with Intent to Distribute Controlled Substances, and one count Prohibited Person (Felon) in Possession of a Firearm.
Van Buren has a prior second degree felony, in Hidalgo County, Texas, that occurred on or about May 5, 2010, for Possession of Marijuana of 2,000 pounds or less but more than 50 pounds. Among other items, law enforcement officers confiscated: 50 grams or more of methamphetamine, 100 grams or more of heroin, a Schedule I, narcotic controlled substance, and approximately $31,115.00 in cash from Van Buren’s home in Fishers along with one (1) Springfield Armory 45. Caliber semi-automatic handgun, one (1) Colt.25 caliber semi-automatic handgun, one (1) Ruger .45 Caliber semi-automatic handgun, and ammunition.
“The government is intentionally focusing its resources on the opioid epidemic and holding traffickers accountable,” said United States Attorney Josh J. Minkler. “This case represents collaborative enforcement efforts in this regard and sends an important message to the community that federal agents are working in partnership with local law enforcement to bring violators to justice.”
According to Assistant United States Attorney Lindsay Karwoski, who is prosecuting the case for the government, the defendant faces a possible sentence of 10 years to life imprisonment.
An indictment is only a charge and is not evidence of guilt. A defendant is presumed innocent and is entitled to a fair trial at which the government must prove guilt beyond a reasonable doubt.
This criminal charge reinforces the United States Department of Justice Strategic Goals Intended To Address Indiana’s Heroin and Opioid Crisis through Federal Prosecution of more Heroin and Opioid Traffickers. See USAO-SDIN Strategic Plan, Section 3.3.
Office manager of Billings business sentenced for embezzlementRead the Press Release
BILLINGS—Billings resident Jennifer Anne Thaw, who admitted embezzling approximately $390,680 from her employer where she worked as the office manager, was sentenced in federal court today to one year and one day in prison, three years supervised release and ordered to pay restitution, U.S. Attorney Kurt G. Alme said.
Presiding U.S. District Judge Susan P. Watters also ordered six months of house arrest after prison and set restitution at $392,930.71.
Thaw, 45, pleaded guilty in March to four counts of wire fraud.
Thaw, who worked as a controller and office manager for J & S Recovery, Inc., embezzled the money during a five-year period, from 2012 to August 2017. Through her job, Thaw had access to the company’s financial and banking information, including online access to the firm’s bank account.
As part of her scheme to defraud the company, Thaw used the online access to transfer money from the company’s bank account into her own personal checking account at a different bank. To conceal the missing money, Thaw did not record the transfers in the company’s financial accounting software program.
Assistant U.S. Attorney Colin Rubich prosecuted the case, which was investigated by the FBI.
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Northern District of Georgia recognized by Department of Justice for work with Project Safe NeighborhoodsRead the Press Release
ATLANTA - The U.S. Attorney’s Office for the Northern District of Georgia has been recognized by the Department of Justice (DOJ) for their work with the Project Safe Neighborhoods (PSN) program at the 2018 PSN National Conference’s Award Ceremony in Kansas City, Missouri. Law Enforcement Coordinator Didi Nelson was cited for her outstanding contribution to the PSN Program, and the Offender Alumni Association (OAA), which organizes support groups for high-risk adult felons being released from custody to provide peer-to-peer support, help them solve dilemmas, and connect them with resources, received the DOJ Innovative Prevention/Reentry Strategy award.
Project Safe Neighborhoods focuses on prosecuting those individuals who most significantly drive violence in our communities, and supports and fosters partnerships between law enforcement and schools, the faith community, and local community leaders to prevent and deter future criminal conduct.
“We are extremely proud to be recognized for the hard work being done in this district,” said U.S. Attorney Byung J. “BJay” Pak. “As part of our PSN Strategy, we have extended partnerships and collaborations beyond the metro Atlanta area, teaming with individual law enforcement agencies and prosecutor’s offices to eliminate havens for crime and removing those who drive that crime from the community. In addition, we continue our commitment to assisting those returning from incarceration, seeking successful reentry into the community, through partnerships with outstanding organizations like the OAA. Congratulations again to both Didi and the OAA.”
During her more than three-decade career with DOJ, Didi Nelson has been a mainstay of the PSN program who has implemented the program faithfully and consistently in the District since its inception. As a former police officer Nelson’s commitment, credibility, and extensive knowledge of the program served as the bridge between the Department and local and state law enforcement whose partnership is so crucial for PSN's success. Didi continually works to implement anti-violence initiatives in every corner (and county) of the Northern District of Georgia as she also impacts the national PSN program more broadly as an ongoing consulting expert to other Districts in the country that are seeking to develop effective PSN strategies of their own.
OAA organizes support groups for high-risk adult felons being released from custody to provide peer-to-peer support, help them solve dilemmas, and connect them with resources. The organization consists of former offenders who are uniquely motivated and committed to helping those about to pending release from prison. OAA’s model recognizes that continuous and consistent support is crucial to help prevent recidivism. Accordingly, they meet with offenders while they are incarcerated and maintains relationships with them and their families, connecting them with networks of support in their communities upon release. The organization has supported more than 650 offenders returning to the community. In 2018, OAA expanded in support of the Northern District of Georgia’s PSN strategy and partners with the U.S. Attorney’s Office, state and federal agencies, and other providers to support high-risk adult offenders being released from custody into PSN target enforcement areas.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
North Dakota U.S. Attorney’s Office Announces Recent Indictments and a Sentencing for Sexual Offenses on the Fort Berthold Indian ReservationRead the Press Release
BISMARCK – United States Attorney Christopher C. Myers announced the recent prosecution of three individuals for sexual offenses occurring on the Fort Berthold Indian Reservation.
INDICTMENTS:
Tyson Keith Eagleman, 30, from New Town, ND, was charged by an Indictment returned on September 5, 2018, on two counts of Aggravated Sexual Abuse by Force. The Indictment alleges that on or about May 27, 2017, Eagleman, an enrolled member of the Chippewa Cree Tribe, sexually assaulted a woman on the Fort Berthold Indian Reservation. On September 24, 2018, Eagleman had an Initial Appearance in the United States District Court for the District of Montana. On October 25, 2018, in Bismarck, ND, Eagleman had an Arraignment hearing before United States Magistrate Judge Alice Senechal. On October 29, 2018, United States Magistrate Judge Charles Miller, Jr. presided over Eagleman’s Detention hearing and detained Eagleman pending trial.
Chance Lone Bear, 21, from Mandaree, ND, was charged by an Indictment returned on October 3, 2018, for Sexual Abuse of a Minor. The Indictment alleges that on or about March 23, 2017, Lone Bear, an enrolled member of the Three Affiliated Tribes, knowingly engaged in a sexual act with a child aged between 12 and 16 years on the Fort Berthold Indian Reservation. On November 20, 2018, Lone Bear had an Initial Appearance and Arraignment before United States Magistrate Judge Charles Miller, Jr. Judge Miller released Lone Bear on several conditions pending trial.
These cases are being investigated by the Federal Bureau of Investigation and prosecuted by Assistant U.S. Attorney Jonathan J. O’Konek.
The Indictments in the above listed cases are not evidence of guilt. The defendants are presumed innocent unless or until proven guilty beyond a reasonable doubt at trial.
SENTENCING:
Nathan Leon Yellow Lodge, Jr., 26, from New Town, ND, was sentenced on October 15, 2018, by Chief United States District Judge Daniel L. Hovland on a charge of Sexual Abuse of a Minor. Judge Hovland sentenced Yellow Lodge to serve five years in prison, followed by ten years of supervised release. Yellow Lodge pleaded guilty to this offense on April 11, 2018.
On June 18, 2017, Yellow Lodge engaged in sexual intercourse with a 15-year-old minor when he was 25 years old.
This case was investigated by the Federal Bureau of Investigation and was prosecuted by Assistant U.S. Attorney Jonathan J. O’Konek.
North Carolina Man Sentenced to Nine Years in Federal Prison for Traveling to Maryland to Engage in Sexual Conduct with a 15-Year-Old GirlRead the Press Release
Baltimore, Maryland – U.S. District Judge George L. Russell, III sentenced Travis Wilmoth, age 31, of Fayetteville, North Carolina today to nine years in prison, followed by 25 years of supervised release, for traveling with intent to engage in illicit sexual conduct with a minor. Judge Russell also ordered that, upon his release from prison, Wilmoth must register as a sex offender in the places where he resides, where he is an employee, and where he is a student, under the Sex Offender Registration and Notification Act (SORNA).
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur and Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office.
According to his plea agreement, on March 2, 2018, the FBI received a telephone call from the mother of a 15-year-old minor female. She had recently discovered that Wilmoth had been using social media to chat online with her daughter since November 2017, and those conversations had become sexual in February 2018. With the permission of the girl and her mother, FBI agents took control of the girl’s account and communicated with Wilmoth posing as the minor female. During the ensuing chats, Wilmoth repeatedly asked the girl to take “naughty” pictures and send them to him. On March 14, 2108, Wilmoth discussed traveling to Maryland to visit the girl and engaging in sexual acts with her. Between March 7 and April 11, 2018, Wilmoth sent the girl sexually explicit images and videos of himself. On May 11, 2018, Wilmoth drove from North Carolina to Maryland to meet with the girl with the intent to engage in sexual activity. The FBI agent posing as the girl had provided Wilmoth with an address in Baltimore County, Maryland. Wilmoth arrived at that location with condoms he had previously purchased and was arrested as he approached the front door.
Wilmoth served in the United States Air Force from 2007 to 2016, and at the time of his arrest was serving in the National Guard.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about internet safety education, please visit www.justice.gov/psc and click on the "Resources" tab on the left of the page.
United States Attorney Robert K. Hur commended the FBI for its work in the investigation. Mr. Hur thanked Assistant U.S. Attorney Sandra Wilkinson, who prosecuted the federal case.
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Nine Indicted for Violent Grocery Store Robbery SpreeRead the Press Release
NORFOLK, Va. – A federal grand jury has returned an indictment charging nine individuals for their respective roles in a series of violent grocery store robberies in Chesapeake and Virginia Beach.
According to allegations in the indictment, the individuals worked in at least six-member teams, and conducted armed robberies of a Food Lion in Chesapeake on September 25, a Food Lion in Virginia Beach on September 29, and a Harris Teeter in Virginia Beach on October 3. The teams included inside and outside look-outs, getaway drivers, and two gunmen. The teams used police scanners to monitor law enforcement activity, encrypted applications, and earpieces to communicate with one another. The inside look-out would find and identify the grocery store manager, initiate the robbery, and communicate the position of the manager to masked members of the conspiracy who entered the stores with firearms. At each robbery the gunmen demanded the managers open the grocery store safe. In the final robbery at a Harris Teeter in Virginia Beach, one of the gunmen shot the store manager.
All nine defendants were charged with Conspiracy to Interfere with Commerce by Means of Robbery. They were also named in the indictment with the following charges:
Name, Age
Hometown
Charges
Devonta Doyle, aka “Vontay”, 22
Virginia Beach
3 Counts of Robbery; 3 Counts of Using a Firearm During a Crime of Violence; 1 Count of Felon in Possession of a Firearm
Cato M. Battle, 18
Virginia Beach
2 Counts of Robbery; 2 Counts of Using a Firearm During a Crime of Violence
Willey E. Brooks, Jr., aka “Wally”, 26
Chesapeake
2 Counts of Robbery; 2 Counts of Using a Firearm During a Crime of Violence
Darrius A. Heuser-Whitaker, 19
Virginia Beach
2 Counts of Robbery; 2 Counts of Using a Firearm During a Crime of Violence
Monica Perkins, 29
Norfolk
1 Count of Robbery
Brennan K. Smith, aka “Dub”, 22
Virginia Beach
1 Count of Robbery; 1 Count of Using a Firearm During a Crime of Violence
Brandon C. Tisdale, aka “Dot, GM”, 20
Virginia Beach
3 Counts of Robbery; 3 Counts of Using a Firearm During a Crime of Violence
Trevor L. Tisdale, aka “T”, 24
Virginia Beach
2 Counts of Robbery; 2 Counts of Using a Firearm During a Crime of Violence
Keonte K. Yorkshire, aka “Tae”, 21
Virginia Beach
3 Counts of Robbery; 3 Counts of Using a Firearm During a Crime of Violence
Several of those indicted face a mandatory minimum penalty of 60 years in prison, and a maximum penalty of life in prison, if convicted on all counts. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of each defendant who is convicted will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Martin Culbreth, Special Agent in Charge of the FBI’s Norfolk Division, James A. Cervera, Chief of Virginia Beach Police, and Kelvin L. Wright, Chief of Chesapeake Police, made the announcement.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of a renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
This case was investigated by the FBI’s Tidewater Violent Crime Task Force, in partnership with the Virginia Beach and Chesapeake Police Departments. Assistant U.S. Attorneys John F. Butler and Andrew C. Bosse are prosecuting the case.
A copy of this press release may be found on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:18-cr-177.
Mt. Vernon Man Charged with Four Armed Cab CarjackingsRead the Press Release
Geoffrey S. Berman, United States Attorney for the Southern District of New York, announced the unsealing of a Complaint on Tuesday in White Plains federal court[1] charging SAMIR SULLIVAN, a/k/a “S,” with committing four armed carjackings of cabs in Mt. Vernon and the Bronx in the early morning hours of November 25 and November 29. SULLIVAN was arrested on Tuesday, December 4 and presented in White Plains federal court before United States Magistrate Judge Paul E. Davison.
U.S. Attorney Geoffrey S. Berman stated: “As alleged, four cab drivers in Mt. Vernon and the Bronx were doing their jobs transporting passengers when Samir Sullivan used a gun to take their cabs and, in three cases, their hard-earned money. No driver should fear a gun being pointed at him when he simply picks up a passenger on the job.”
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SULLIVAN, 32, of Mt. Vernon, New York, is charged with four counts of carjacking, which carry a maximum sentence of 15 years in prison. The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Mr. Berman praised the outstanding investigative work of the FBI and the MVPD.
This case is being handled by the Office’s White Plains Division. Assistant United States Attorney David Felton is in charge of the prosecution.
The charges contained in the Complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth below constitute only allegations, and every fact described should be treated as an allegation.
Monroe County Man Sentenced to 30 Years’ Imprisonment for Sex Trafficking of A MinorRead the Press Release
SCRANTON – The United States Attorney’s Office for the Middle District of Pennsylvania announced today that David R. Parker, age 39, of Saylorsburg, Pennsylvania, was sentenced on December 6, 2018, to 30 years’ imprisonment by United States District Court Judge James M. Munley for sex trafficking involving a minor.
According to United States Attorney David J. Freed, from June 1, 2010 to August 31, 2010, Parker engaged in sex trafficking involving a minor. Parker was charged by way of criminal information on August 3, 2017. When he entered his guilty plea on August 7, 2017, Parker admitted that he transported and provided a minor male, approximately 9 years-old, to an adult male knowing that the minor male would be caused to engage in a commercial sexual act with the adult male. Parker admitted that his own sexual gratification was but one benefit he received in exchange for trafficking the minor.
In addition to the term of imprisonment, Judge Munley ordered that Parker be placed under supervision by a probation officer for the rest of his life. He will also be required to comply with the registration requirements of the Sexual Offender Registration and Notification Act (Adam Walsh Act) upon release from prison.
“We will never stray from the duty to protect our most vulnerable citizens,” said U.S. Attorney David J. Freed. “Instead of enjoying the care and comfort of his family, the minor victim in this case was abused and sold by the very man who should have protected him. Judge Munley clearly recognized that a lengthy prison term is the only appropriate response to such conduct. I thank our dedicated partners at the FBI, and Attorney General Josh Shapiro and his team, for their unceasing efforts to bring this pedophile to justice.”
“David Parker admitted to sexually exploiting an innocent child for the purposes of his own gratification,” said Michael T. Harpster, Special Agent in Charge of the FBI's Philadelphia Division. “Plainly stated, he's a predator. Cases like this are among the most disturbing worked by the FBI and our partners. We can only hope that Parker's lengthy prison sentence brings the child he so badly harmed some peace.”
“This is a horrendous case. Thanks to the courage of this brave survivor, we were able to hold this man accountable for his crimes,” Attorney General Josh Shapiro said. “I am pleased that today’s sentence secured by U.S. Attorney David J. Freed’s Office will keep this child predator behind bars for years to come.”
The investigation was conducted by the Federal Bureau of Investigation and the Pennsylvania Office of Attorney General. Assistant United States Attorney Michelle Olshefski prosecuted the 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.usdoj.gov/psc For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
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Midland Man Sentenced to 30 Years in Federal Prison for Attempting to Entice a Child, Distribution of Child Pornography and Attempted Cocaine DistributionRead the Press Release
In Midland, 44-year-old Jose Alonso Zubia was sentenced to 30 years imprisonment followed by five years of supervised release for attempting to entice a minor into engaging in sexual activity, announced U.S. Attorney John F. Bash; F.B.I. Special Agent in Charge Emmerson Buie, Jr., and Interim Midland Police Chief Seth Herman.
At sentencing yesterday afternoon, U.S. District Judge David Counts also ordered that the Midland resident pay a $10,000 special assessment to the Crime Victims Fund.
On July 23, 2018, Zubia pleaded guilty to one count of attempted enticement of a minor, one count of distribution of child pornography and one count of possession with intent to distribute cocaine.
According to court records, on May 1, 2018, federal and local law enforcement authorities arrested Zubia when he arrived at a location to have a sexual encounter with a 14 year old he met online and the minor’s 12-year-old friend. At the time, Zubia was in possession of cocaine, which he admitted he intended to provide to the minors. Zubia also admitted that he had previously sent videos depicting child pornography to the 14 year old.
“The sentencing of Zubia is an affirmation of the dedication, commitment, and hard work of the F.B.I. and the Midland Police Department to work diligently in keeping the Midland Community safe. The F.B.I. will continue to seek out, investigate and prosecute those individuals that target children for sexual enticement,” stated F.B.I. Special Agent in Charge Buie.
The F.B.I. and the Midland Police Department investigated this case. Assistant U.S. Attorney Glenn Harwood prosecuted this case on behalf of the Government.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Mexican National Sentenced with Illegal ReentryRead the Press Release
NEW ORLEANS – U.S. Attorney Peter G. Strasser announced yesterday that ELVA RAMIREZ-LAMBERTO age 35, a citizen of Honduras, was sentenced after previously pleading guilty to a one-count Bill of Information for illegally re-entering the United States in violation of Title 8, United States Code, Section 1326(a).
According to the Bill of Information, ELVA RAMIREZ-LAMBERTO was found in the United States on or about September 18, 2018, after having been previously removed therefrom on or about August 31, 2018.
ELVA RAMIREZ-LAMBERTO was sentenced to time served. Additionally, ELVA RAMIREZ-LAMBERTO was turned over to Immigration and Customs Enforcement for deportation.
U.S. Attorney Strasser praised the work of the United States Department of Homeland Security, Immigration and Customs Enforcement in investigating this matter. Assistant United States Attorney Irene González is in charge of the prosecution.
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Mexican National Pleads Guilty to Illegal ReentryRead the Press Release
NEW ORLEANS – U.S. Attorney Peter G. Strasser announced yesterday that ELVA RAMIREZ-LAMBERTO, age 35, a citizen of Honduras, pleaded guilty to a one-count Bill of Information alleging illegal reentry of a removed alien, in violation of Title 8, United States Code, Section 1326(a).
According to the Bill of Information, ELVA RAMIREZ-LAMBERTO reentered the United States on or about September 18, 2018, after having been previously removed therefrom on or about August 31, 2018.
ELVA RAMIREZ-LAMBERTO faces a maximum term of imprisonment of two years, a fine of up to $250,000.00, one year of supervised release after imprisonment, and a $100 special assessment. U.S. District Judge Nannette Jolivette Brown set sentencing for December 6, 2018.
U.S. Attorney Strasser praised the work of the United States Department of Homeland Security, Immigration and Customs Enforcement in investigating this matter. Assistant United States Attorney Irene González is in charge of the prosecution.
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Mexican Citizen Sentenced to 11 ¼ Years in Federal Prison for Transporting FentanylRead the Press Release
A 26-year-old citizen of Mexico was sentenced today to 135 months in federal prison after authorities caught him transporting fentanyl, a powerful narcotic 50 times more potent than heroin, announced U.S. Attorney for the Northern District of Texas Erin Nealy Cox.
Jesus Florencio Chaparro-Sanchez pleaded guilty to possession with intent to distribute in August.
In late May, a Texas Department of Public Safety trooper stopped Mr. Chaparro-Sanchez, who was driving a black Pontiac G6, for traffic violations. Near the vehicle’s rear axle, the officer located an after-market compartment. Inside, investigators discovered nine bundles of a white powdery substance.Mr. Chaparro-Sanchez later admitted that a man in Mexico had offered him a job transporting the drugs. He said he knew the vehicle contained drugs, and claimed he thought he was transporting cocaine. DEA testing revealed that the substance was actually about four kilograms of Tramadol plus about five kilograms of fentanyl.
“This deadly drug is wreaking havoc across the country. Many users don’t realize traffickers are cutting other, less potent drugs with cheap fentanyl,” said Nealy Cox. “We have zero tolerance for those that support the distribution of dangerous drugs in America and we will do everything in our power to stop fentanyl’s spread across North Texas.”
“The country is battling an opioid epidemic that is taking lives by the minute. Fentanyl is fueling this deadly epidemic,” said DEA Special Agent in Charge of the Dallas Division Clyde E. Shelley, Jr. “DEA Dallas will aggressively investigate and prosecute any and all persons involved in the illegal distribution of fentanyl throughout North Texas and Oklahoma.”
Fentanyl, which results in frequent overdoses, is responsible for the sharp increase in opioid deaths across the U.S. In just three years, the fentanyl death toll has risen more than 5,000 percent, from around 5,500 death in 2014 to almost 30,000 last year, according to the National Institute of Health. Because it can be ingested, inhaled, or absorbed through the skin, fentanyl poses a high risk of death not only to users, but to law enforcement. Just a few milligrams, equivalent to a few grains of table salt, may be deadly.
The Drug Enforcement Administration and the Texas Department of Public Safety conducted the investigation. Assistant U.S. Attorney Juanita Fielden is prosecuting the case.
Memphis Man Pleads Guilty to being a Felon in Possession of Ammunition and a Firearm After National Integrated Ballistic Information Network (NIBIN) Links His Separate Gun CrimesRead the Press Release
Memphis, TN – Joe Arnold, 21, pled guilty to being a felon in possession of ammunition and a firearm. U.S. Attorney D. Michael Dunavant announced the guilty plea today.
According to information presented in court, on February 8, 2018, Memphis Police responded to a shooting near the 6700 block of Summer Trace in Memphis, TN. Joe Arnold fired shots at his girlfriend after an argument. Officers recovered several .40 caliber cartridge casings on the scene.
On March 12, 2018, officers responded to an aggravated assault at the Woodchase Apartment Complex in Cordova, TN where Joe Arnold was responsible for shooting at an occupied vehicle multiple times. Arnold then led police on a brief vehicle pursuit before being apprehended and placed into custody. Officers were able to retrace the path of the pursuit and located a .40 caliber Glock handgun.
On March 19, 2018, the Multi-Agency Gang Unit (MGU) NIBIN Investigative Teamlinked both gun crimes through ballistic evidence.
Subsequently, a federal grand jury indicted Arnold and charged him with one-count of being a felon in possession of ammunition and one-count of being felon in possession of a firearm.
U.S. Attorney D. Michael Dunavant said, "We are using all available resources and techniques to combat violent and gun crime. In this notable case, the use of NIBIN technology and the outstanding investigative work of the MGU NIT has allowed us to hold an offender accountable for two separate shooting incidents. The message is clear: we have the ability and resolve to remove the trigger-pullers from our streets and clear unsolved shootings with swiftness and certainty."
On November 27, 2018, Arnold pleaded guilty to both counts before U.S. District Court Judge Sheryl H. Lipman. He is set to be sentenced on March 1, 2019. He faces up to 10 years on each count.
This case was investigated by the MGU NIBIN Investigative Team (NIT).
Assistant U.S. Attorney Elizabeth Rogers is prosecuting this case on the government’s behalf.
Lumberton Man Sentenced on Drug and Firearm ChargesRead the Press Release
GREENVILLE — The United States Attorney for the Eastern District of North Carolina, Robert J. Higdon, Jr., announced that United States District Judge Malcolm J. Howard sentenced JAMES SPENCER BELL, 29, of Lumberton to 241 months’ imprisonment, followed by 5 years of supervised release. BELL, was charged in a seven count indictment filed in the Eastern District of North Carolina on August 16, 2017. On December 7, 2017 BELL pleaded guilty to possession with intent to distribute a quantity of cocaine base and discharging a firearm in furtherance of a drug-trafficking crime.
On May 20, 2016, BELL was engaged in a sale of a quarter ounce of cocaine base (crack) when a violent altercation ensued with the purchaser. BELL admitted to shooting the man twice in self-defense, before fleeing the crime scene. The victim subsequently succumbed to his wounds. BELL provided law enforcement investigators with detailed confessions of the shooting and of his dealings in selling cocaine base (crack). BELL was found to be accountable for selling 552.63 grams of cocaine base (crack) from sometime in 2013 to February 10, 2017.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Since 2017 the United States Department of Justice has reinvigorated the PSN program and has targeted violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
That effort has been implemented through the Take Back North Carolina Initiative of The United States Attorney’s Office for the Eastern District of North Carolina. This initiative emphasizes the regional assignment of federal prosecutors to work with law enforcement and District Attorney’s Offices on a sustained basis in those communities to reduce the violent crime rate, drug trafficking, and crimes against law enforcement.
The investigation of this case was conducted by the Robeson County Sheriff’s Office, and the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF). Assistant United States Attorney Daniel William Smith prosecuted the case on behalf of the United States.
Licking Man Sentenced to 12 Years for Child PornographyRead the Press Release
SPRINGFIELD, Mo. – A Licking, Mo., man was sentenced in federal court today for receiving and distributing child pornography.
Wesley Warren Norris, 40, was sentenced by U.S. District Judge Roseann Ketchmark to 12 years and seven months in federal prison without parole.
According to court documents, Norris used a peer-to-peer file-sharing network to receive and distribute images and videos of child pornography over the internet. Norris admitted that he had downloaded hundreds of files containing child pornography. Investigators located 145 images and 1,325 videos of child pornography on Norris’s electronic devices. Norris pleaded guilty on June 25, 2018, to receiving and distributing child pornography.
Norris, according to court documents, was previously convicted of endangering the welfare of a child for providing K2 to a minor female who overdosed. Norris also told investigators that two minor females had accused him of molesting them.
This case was prosecuted by Assistant U.S. Attorney Ami Harshad Miller. It was investigated by Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI), the Southwest Missouri Cyber Crimes Task Force and the Texas County, Mo., Sheriff’s 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."
Leader of Fentanyl Trafficking Conspiracy Pleads Guilty to Drug and Money Laundering ChargesRead the Press Release
CONCORD – United States Attorney Scott W. Murray announced that Raulin Martinez, 27, of Lawrence, Massachusetts, pleaded guilty to participating in a conspiracy to distribute over 400 grams of fentanyl and in a conspiracy to launder money.
According to court documents and statements made in court, the defendant helped lead a drug trafficking organization that sold fentanyl to customers from various New England states, including New Hampshire, from 2015 to April of 2018. The organization, which authorities allege was also led by the defendant’s brother, Sergio Martinez, used the name “Brian” to represent the drug business and sold well in excess of 36 kilograms of fentanyl from January through April of 2018. The defendant helped run the business and supervised fentanyl distributors. The defendant also assisted in collecting and counting drug proceeds, laundering that money, and sending it to relatives in the Dominican Republic. The defendant has agreed to forfeit over $81,000 and to pay a money judgment of $165,500.
Martinez is scheduled to be sentenced on March 20, 2019. He faces a mandatory minimum sentence of ten years of imprisonment and a maximum sentence of life, a fine up to 10 million dollars and a term of supervised release of at least five years and as much as life.
Thirty-three additional defendants have been charged in the fentanyl trafficking conspiracy. Five have pled guilty and one, Jepherson Cabrera, has been sentenced to 156 months in prison.
“Fentanyl trafficking has caused tremendous damage in New Hampshire,” said U.S. Attorney Murray. “In order to protect the citizens of the Granite State, we are working closely with the entire law enforcement community to stop the flow of this deadly drug into our state. It is imperative that we dismantle the criminal organizations that have been profiting from the sale of fentanyl and other deadly drugs in New Hampshire.”
This investigation was conducted by the Organized Crime Drug Enforcement Task Force (OCDETF). The OCDETF program is a federal multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations.
The case was a collaborative investigation that involved the DEA; the New Hampshire State Police; the Hillsborough County Sheriff’s Office; the Nashua Police Department; the Massachusetts State Police; the Massachusetts Attorney General’s Office; the New Hampshire Attorney General’s Office; the Essex County District Attorney’s Office; the Internal Revenue Service; Immigration and Customs Enforcement’s Homeland Security Investigations; United States Customs and Border Protection Boston Field Office; the United States Marshals Service; the United States Department of State’s Diplomatic Security Service; the Manchester Police Department; the Lisbon Police Department; the Littleton Police Department; the Seabrook Police Department; the Haverhill (MA) Police Department; the Methuen (MA) Police Department; the Lowell (MA) Police Department; and the Maine State Police.
The case is being prosecuted by Assistant United States Attorneys Georgiana L. Konesky and Seth R. Aframe.
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Lawrence Woman Sentenced to 30 Months in Prison for Conspiracy to Distribute FentanylRead the Press Release
CONCORD – Migdalia Cintron-Morales, 38, of Lawrence, Massachusetts was sentenced on Thursday to serve 30 months in prison for participating in a conspiracy to distribute fentanyl, announced United States Attorney Scott W. Murray.
According to court documents and statements made in court, the defendant participated with three co-defendants in a conspiracy to distribute fentanyl into New Hampshire. On several occasions, the defendant and a co-defendant traveled into New Hampshire to meet a New Hampshire distributor to provide that individual with fentanyl to redistribute in and around the Manchester, New Hampshire area. The conspiracy involved in excess of 1.2 kilograms of fentanyl.
Co-defendant David Alexander Arias was sentenced to 41 months. Other co-defendants, Alvaro Garcia and Ramon Paniagua Perez, have pleaded guilty and are awaiting sentencing.
Cintron-Morales previously pleaded guilty on August 27, 2018.
“Fentanyl trafficking has made a lethal substance available in the Granite State” said U.S. Attorney Murray. “Overall, the results have been catastrophic for drug users and their families. In order to curtail trafficking, we are working closely with our law enforcement partners to identify and prosecute the drug dealers who are bringing fentanyl and other deadly drugs into New Hampshire.”
“The state of New Hampshire is faced with a fentanyl crisis unlike ever before,” said DEA Special Agent in Charge Brian D. Boyle. “Drug Trafficking Organizations and individuals coming from out of state who are responsible for distributing lethal drugs like fentanyl to the citizens of the Granite State need to be held accountable for their actions. This investigation demonstrates the strength and continued commitment of our local, state and federal law enforcement partners.”
This matter was investigated by the Drug Enforcement Administration. The case is being prosecuted by Assistant U.S. Attorney Seth Aframe.
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Lassen County Residents Face Federal Drug and Gun ChargesRead the Press Release
SACRAMENTO, Calif. — A federal grand jury in Sacramento returned two indictments yesterday against two Lassen County residents, and three others were arrested on drug and firearms charges, U.S. Attorney McGregor W. Scott announced.
Joseph Preston Vanmear, 33, of Susanville, was charged by indictment with distribution of methamphetamine, possession with intent to distribute methamphetamine, and being a felon in possession of a firearm. He was arrested during a traffic stop, and officers found a .22 caliber revolver under his seat, which matched the .22 caliber ammunition that officers found in the pocket of the jacket that Vanmear was wearing. Vanmear has a prior felony conviction and is prohibited from possessing firearms. If convicted of the methamphetamine offenses, Vanmear faces a mandatory minimum statutory penalty of 10 years and a maximum penalty of up to life in prison, and a $10,000,000 fine. He faces a maximum of 10 years in prison on the firearms charge.
Erika Louise Schmid, 44, of Ravendale, was charged by indictment with being a felon in possession of a firearm. According to court documents, officers executed a search warrant on Schmid’s home in October 2018. Officers found multiple firearms as well as body armor in and around the home. Schmid has a prior felony conviction and is prohibited from possessing firearms. If convicted, Schmid faces a maximum statutory penalty of 10 years in prison and a $250,000 fine.
In three unrelated cases, three other Lassen County residents were arrested this week and appeared in federal court yesterday on criminal complaints.
Darrel Kratzberg, 42, is charged with five counts of distributing methamphetamine and three counts of distributing heroin. According to court documents, federal and local law enforcement agencies identified Kratzberg as a long-time source of supply for both methamphetamine and heroin in and around Susanville. If convicted of the current charges, Kratzberg faces a statutory maximum sentence of 20 years in prison and a fine of up to $1 million for each of the eight counts with which he is charged.
Michael Brandon Spillers, 30, is also charged with being a felon in possession of a firearm. Court documents describe two purchases of handguns by a law enforcement informant from Spillers and others. Spillers has a prior felony conviction and is prohibited from possessing firearms. If convicted, he faces a statutory maximum sentence of 10 years in prison, and a fine of up to $250,000.
Any sentence for each of these defendants would 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. The charges are only allegations; the defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt.
These cases are products of coordinated investigations by the Susanville Police Department, the Lassen County Sheriff’s Office, the California Department of Corrections, and the Federal Bureau of Investigation. Assistant U.S. Attorney James R. Conolly is prosecuting the cases.
These cases were brought as a part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. PSN was reinvigorated in 2017 as part of the Department of Justice’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime.
Kirkland, Washington Business Owner Sentenced to 5 Years in Prison for Two Decade Scheme to Avoid Paying Income TaxesRead the Press Release
The owner of a Kirkland, Washington interior design business was sentenced today in U.S. District Court in Seattle to five years in prison for 25 federal felonies related to a twenty-two-year scheme to avoid paying more than $560,000 in income taxes, announced U.S. Attorney Annette L. Hayes. DANIEL NIX, 58, was convicted following a four-day jury trial of 13 counts of tax evasion, 11 counts of providing fictitious financial obligations, and one count of corrupt interference with the administration of the Internal Revenue Code. At sentencing U.S. District Judge Robert S. Lasnik ordered NIX to pay restitution of $851,904 representing back taxes and interest.
According to the indictment and testimony at trial, NIX operates Dannix Design, an interior design firm for medical offices. As early as 1998 and from 2000 to 2013, NIX refused to pay his taxes on $3.9 million in gross income, and $1.9 million in net profit. NIX sought to evade more than $560,000 in federal income and self-employment taxes. For tax years 2010-2013, for example, NIX continued to use a variety of strategies to hide his income and evade his tax obligations. He set up sham religious entities and transferred assets into the names of those sham religious entities, in order to frustrate IRS efforts to put liens on his assets.
NIX enjoyed a lavish lifestyle with the proceeds of his crime. He owns a Kirkland home assessed for more than $1 million. He bought and owned at least 16 luxury vehicles over the years, including a Porsche, a Jaguar, a BMW, a Ford F-150, multiple Mercedes-Benz, Harley Davidsons, and imported motorcycles.
In February 2013, NIX paid an Arizona man to send eleven fake money orders to the IRS to make it appear he was paying his tax obligations. The total face value of the eleven fake money orders exceeded a million dollars. On several occasions, NIX harassed IRS and Department of Revenue agents, filing fraudulent liens against them. He also called other unrelated individuals who were subject to IRS liens and falsely claimed the liens filed by the government were invalid.
The case was investigated by the Internal Revenue Service Criminal Investigation (IRS-CI). The case is being prosecuted by Assistant United States Attorneys Seungjae Lee and Mark Parrent.