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7 February 2019
Owner of Gire Roofing Sentenced to Three Years in Prison for Visa Fraud; Harboring, Employing Illegal AliensRead the Press Release
SPRINGFIELD, Ill. – U.S. District Judge Sue E. Myerscough today sentenced Edwin J. Gire, 47, owner of Gire Roofing, Inc., of Champaign, Ill., to three years in prison for visa fraud and for harboring and employing illegal aliens. In addition, Gire was ordered to pay a fine of $30,000, and to remain on supervised release for two years following his release from prison. The Bureau of Prisons will determine the date and facility where Gire is to self-report to begin serving his sentence.
Grayson Enterprises, Inc., Gire Roofing’s parent company, was sentenced to a three-year term of probation and ordered to pay a fine of $250,000.
In January 2018, Gire and Grayson Enterprises were convicted of visa fraud (four counts) and harboring illegal aliens (three counts) following a bench trial before Judge Myerscough. Gire had previously entered pleas of guilty to three misdemeanor counts of unlawful employment of aliens.
At today’s hearing, Judge Myerscough found that both Gire and Greyson Enterprises obstructed justice during the trial by committing perjury and providing false information to the court. The court found that as a result of the fraud, more than 100 fraudulent H-2B worker visas were issued to Gire Roofing from 2011 to 2014. To justify the number of H-2B worker visas requested, Gire provided multiple fraudulent roofing contracts, including contracts for work that customers never agreed to and contracts with forged signatures of the alleged customers or their representatives.
At trial, the court found that undisputed evidence proved that Gire knew or recklessly disregarded the fact that illegal aliens were allowed to live in a building owned by his company. Gire did this to make the aliens’ employment as roofers for Grayson Enterprises attractive despite the fact that Grayson Enterprises was paying them less than the applicable prevailing wage. By giving the aliens a place to live, the court found that Gire safeguarded the aliens from the authorities by making it more difficult for authorities to locate them.
The charges were investigated by the U.S. Department of State, Diplomatic Security Service; the U.S. Department of Labor, Office of Inspector General; and U.S. Immigration and Customs Enforcement Homeland Security Investigations. Assistant U.S. Attorneys Eugene L. Miller and Matthew Weir represented the government in the case prosecution.
Ohio Man Admits Armed Robbery of Mobile Communications Company Retail StoreRead the Press Release
NEWARK, N.J. – An Ohio man admitted today he robbed a mobile communications company retail store in Orange, New Jersey, at gunpoint in June 2016, U.S. Attorney Craig Carpenito announced.
Frederick A. White, 46, pleaded guilty to one count of Hobbs Act robbery and one count of brandishing a firearm during a crime of violence before U.S. District Judge Claire C. Cecchi in Newark federal court after opening statements in his trial had concluded.
According to documents filed in this case and statements made in court:
On the afternoon of June 11, 2016, White entered a mobile communications company retail store in Orange wearing a wig and brandishing a handgun. White stole cash from an employee of the store and fled. He was arrested a short while later after a foot pursuit by the Orange Police Department.
White previously was convicted of multiple counts of armed and attempted carjacking and discharging a firearm during a crime of violence in federal court in Newark in 1993.
Pursuant to the terms of the parties’ agreement, White will be sentenced to a term of imprisonment of 25 years and one day, followed by a term of supervised release of five years.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Special Agent in Charge Gregory W. Ehrie in Newark, and the Orange Police Department, under the direction of Director Todd Warren and Chief Law Enforcement Officer Vincent Vitiello, for their assistance with the investigation leading to today’s guilty plea. He also thanked the Essex County Prosecutor’s Office, under the direction of Acting Prosecutor Theodore N. Stephens 2nd, for its assistance.
The government is represented by Assistant U.S. Attorneys Elaine K. Lou and Desiree Grace Latzer of the U.S. Attorney’s Office Criminal Division in Newark.
Oglala Man Sentenced to 16 Years in Deaths of Three Family Members and Unborn ChildRead the Press Release
United States Attorney Ron Parsons announced that an Oglala, South Dakota, man convicted of three counts of Involuntary Manslaughter was sentenced by Chief Judge Jeffrey L. Viken, U.S. District Court.
Tyler Makes Him First, age 29, was sentenced on February 1, 2019, to 16 years in federal prison, followed by 3 years of supervised release, and ordered to pay a $300 special assessment to the Federal Crime Victims Fund and $9,300 in restitution.
Makes Him First was charged on May 22, 2018. The conviction stems from Makes Him First crossing into oncoming traffic on BIA 27 at a high rate of speed while intoxicated, hitting an oncoming car and killing all three occupants, including a one-year old child and a pregnant woman, in November 2017 near Porcupine.
This case was investigated by the Federal Bureau of Investigation and the Oglala Sioux Tribe Department of Public Safety. Assistant U.S. Attorney Benjamin Patterson prosecuted the case.
North Carolina Man Pleads Guilty to the Armed Robberies of Armored Vehicles in Maryland and North CarolinaRead the Press Release
Baltimore, Maryland – Orneth South, age 49, of Charlotte, North Carolina, pleaded guilty late on February 6, 2019, to robberies of two armored vehicles – one in Maryland on January 22, 2018, and one in North Carolina on February 9, 2015. South has a 2007 armed robbery conviction in the Eastern District of New York.
The guilty pleas were announced by United States Attorney for the District of Maryland Robert K. Hur; United States Attorney for the Western District of North Carolina R. Andrew Murray; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; and Salisbury Police Chief Barbara Duncan.
According to his guilty plea, on January 22, 2018, South and his co-defendants approached the driver of the armored vehicle as he was removing cash cassettes from an ATM machine at a credit union on Mt. Hebron Road in Salisbury, Maryland. Co-defendant Michael Watts placed a gun to the driver’s head, and disarmed him of his service weapon. Watts then grabbed the driver by the hair and order him to open the door of the armored vehicle. After the driver opened the door, South and another co-defendant removed several bags of money from the vehicle, as well as ATM cassettes filled with cash. Watts then forced the driver into the vehicle, where he used zip ties to secure the driver’s hands. The robbers then fled with the money, stealing a total of $1,324,288. The robbers went to the co-defendant’s residence in nearby Princess Anne and divided the stolen money.
On April 20, 1018, South was arrested in Charlotte, North Carolina, on a warrant issued as a result of the robbery. South agreed to talk to investigators and confessed to the robbery on January 22, 2018.
On January 31, 2019, co-defendant Michael Watts, a/k/a “Turtle,” age 42, of Brooklyn, New York, pleaded guilty to his role in the robbery. Watts was arrested on May 18, 2018, in Queens, New York on a warrant issued as a result of the robbery. At the time of his arrest, Watts was wearing approximately $70,000 in jewelry, including a custom turtle pendant, which was purchased with the proceeds of the armored vehicle robbery. Watts also admitted using his portion of the stolen money to purchase a Mercedes S430 automobile, clothes, two tombstones, and to pay off bills and rent.
At the time of his arrest, South also admitted his involvement in a separate armored vehicle robbery in North Carolina on February 9, 2015. In that robbery, South and two accomplices pointed a semi-automatic handgun at the guard, stole his handgun and $120,694.25 that had just been retrieved from a nearby restaurant and was in a bag slung over the guard’s shoulder.
As part of their plea agreements, the defendants will be required to pay restitution in the full amount of the loss, which is at least $1,324,288.
South and the government have agreed that if the Court accepts the plea agreement, South will be sentenced to 20 years in prison. U.S. District Judge Richard D. Bennett has scheduled sentencing for Watts on May 1, 2019 and for South on May 8, 2019, both at 3:00 p.m.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Project Safe Neighborhoods (PSN) is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
United States Attorneys Robert K. Hur and R. Andrew Murray commended the FBI’s field offices in Baltimore and Charlotte, the Salisbury Police Department, and the Charlotte-Mecklenburg Police Department for their work in the investigation. Mr. Hur and Mr. Murray thanked Assistant U.S. Attorneys P. Michael Cunningham and Paul A. Riley, who are prosecuting the Maryland case, and Assistant U.S. Attorney Lambert F. Guinn, who handled the North Carolina case.
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New York Man and Passaic County, New Jersey, Woman Charged with Fraud in Connection with Moving CompanyRead the Press Release
NEWARK, N.J. – A Hewlett, New York, man and a Haledon, New Jersey, woman appeared in federal court today on fraud charges for allegedly extorting customers of their moving company, U.S. Attorney Craig Carpenito announced.
Lior Atiyas, 42, a/k/a “David Cohen,” and Lola Larios 36, a/k/a “Michelle Jacobs,” are each charged by complaint with one count of conspiracy to commit wire fraud. They both made their initial appearance today before U.S. Magistrate Judge Michael A. Hammer in Newark federal court.
According to documents filed in this case and statements made in court:
From as early as January 2016 through January 2019, Atiyas and Larios conspired to extort customers of their moving company to pay drastically increased fees for moving services once the customers were in a vulnerable state and unable to refuse their demands. Atiyas and Larios carried out the conspiracy by using their moving company, Premier Relocations LLC, and other fraudulently created moving companies, to quote customers “low-ball” price estimates for moving household goods. Once the customers’ goods were loaded onto the moving trucks, Premier employees, at the direction of Atiyas and Larios, would drastically raise the price of the move (often two or three times that of the quoted estimate), and then refuse to deliver the goods until the customers paid the increased price. The aggregate difference between the initial estimates and the revised amounts charged to victims is estimated at more than $400,000.
The charge of conspiracy to commit wire fraud carries a maximum potential penalty of 20 years in prison, and a fine of $250,000, or twice the gross gain to the defendants or loss to the victims.U.S. Attorney Carpenito credited special agents with the Department of Transportation, Office of the Inspector General, under the direction of Special Agent in Charge Douglas Shoemaker, Northeast Region, with the investigation leading to these charges.
The government is represented by Assistant U.S. Attorney Christopher Amore of the U.S. Attorney’s Office Public Protection Unit in Newark.
The charges and allegations in the complaint are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Defense counsel: Atiyas: Lance Lazzaro Esq., Brooklyn, New York
Larios: Peter Carter Esq., Assistant Federal Public Defender, NewarkNew Jersey Man Sentenced to 155 Months on Kidnapping ChargesRead the Press Release
An Elizabeth, New Jersey man was sentenced today to 155 months in federal prison after having pleaded guilty in August, 2018, to a charge of kidnapping, announced United States Attorney Matthew Schneider.
Schneider was joined in the announcement by Special Agent in Charge Timothy R. Slater, Federal Bureau of Investigation.
Trace Rod Stewart, 50, was sentenced before United States District Judge Judith Levy. He was ordered to serve 155 months in prison, followed by five years of supervised release. He was also ordered to pay 6,000 dollars in restitution.
According to court records, during the middle of the night on October 20, 2017, the victim awoke to Stewart leaning over her with a gasoline can. Stewart punched her in the face and forced her into a vehicle using a knife, stealing her keys, cellular phone, and credit card. For the next nine hours, Stewart drove the victim to New Jersey without telling her where they were going or allowing her to use the restroom. He threatened to light the container of gasoline and blow them both up if the police got behind them and refused to take her home.
Stewart’s criminal activity spans a period of 26 years. Most of his prior offenses involve violence against women. Stewart has several prior convictions, one of them for kidnapping. That offense involved him pointing a gun at a female victim, threatening to kill her, and holding her against her will. Stewart received probationary sentences or a fine for the majority of his prior assaultive behavior.
This case was investigated by special agents of the Federal Bureau of Investigation and prosecuted by Assistant U.S. Attorney April Russo.
Nashua Resident Sentenced to Three Years of Probation for Defrauding Federal Employee Disability Benefit ProgramRead the Press Release
CONCORD – Kenneth Dunn, 60, of Nashua, was sentenced to 36 months of probation and 6 months of home confinement for making false statements to obtain federal employee disability benefits, announced United States Attorney Scott W. Murray.
The United States Department of Labor, Office of Workers’ Compensation Program (“OWCP”) provides workers’ compensation benefits to employees of the federal government, including the United States Postal Service (USPS), who are totally or partially disabled due to injuries sustained during the course of their employment. While receiving the benefits, a disabled employee is required to report all employment for which he or she received a salary, wage, or payment of any kind in annual reports submitted to the OWCP. A disabled employee is also required to provide documentation from a medical doctor to demonstrate his or her continued eligibility for the benefits and report any improvements to his or her physical condition.
According to documents and statements made in court, Dunn was hired as a Rural Letter Carrier in April 1985. In November 2010, Dunn began to receive OWCP disability benefits due to employment-related injuries to his neck, back, and arm. While receiving the disability benefits, Dunn repeatedly reported to the OWCP that was not able to work in any capacity and he was not engaged in any employment activity.
However, from 2010 through 2017, Dunn conducted thousands of transactions related to the purchase and sale of comic books on the internet, and failed to report the business activity to the OWCP. In addition, on several occasions from October of 2016 to February of 2018, a Special Agent from the Office of Inspector General for the USPS observed Dunn engaged in physical activities inconsistent with his reported symptoms and alleged total disability. The activities included: entering and exiting his car; clearing substantial amounts of snow off, and from around, his car; driving; walking up and down a flight of 30 stairs; conducting personal and business-related errands for several hours; and lifting and carrying items of various size, shape, and weight. Dunn was able to perform these tasks without any apparent physical limitation, pain, or discomfort and in conflict with medical documentation from Dunn’s treating physician.
At a Comicon event in Manchester on September 17 and 18, 2016, Dunn set up a vendor booth and repeatedly bent over to place or pick up large boxes filled with comic books. He set up and dismantled a comic book display, sold comic books for cash, and stood and sat for long periods without any apparent physical limitation or discomfort. Dunn repeated the same activities at the Comicon event in Manchester on September 16 and 17, 2017.
The court documents also reveal that Dunn provided false information about his physical condition to a doctor in February 2017 and March 2018, and false information about his physical condition and work-history to the OWCP in February 2017 and 2018 in order to receive the disability benefits. Because of this fraudulent conduct, Dunn received disability benefits totaling $87,736 from September of 2016 through July of 2018.
Dunn pleaded guilty on September 20, 2018.
“Workers’ compensation benefits are an important source of financial support for people who are truly unable to work due to their disabilities,” said U.S. Attorney Murray. “Those who seek to defraud the workers’ compensation system undermine the integrity of the program in an effort to obtain benefits they do not deserve. Federal law enforcement agencies will remain vigilant to detect and prosecute fraudsters, ensuring that benefits only go to those who deserve to receive them.”
“The federal Workers’ Compensation program was created to help those who are recovering from injuries obtained on-the-job,” stated USPS-OIG Special Agent-in-Charge Matthew Modafferi. “When a former Postal Service employee defrauds the Workers' Compensation program, the Special Agents of the U.S. Postal Service Office of Inspector General will work tirelessly with the U.S. Attorney’s Office to protect the integrity of this federal benefit program.”
The case was investigated by the United States Postal Service, Office of Inspector General. The case is being prosecuted by Assistant U.S. Attorney Robert M. Kinsella.
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Mexican Man Sentenced for Immigration OffenseRead the Press Release
NEW ORLEANS, LOUISIANA – United States Attorney Peter G. Strasser announced that ISRRAEL ROCHA-BARRON, age 30, a native of Mexico, was sentenced yesterday after previously pleading guilty to a one-count indictment for illegal reentry of a removed alien.
United States District Court Judge Martin L.C. Feldman sentenced ROCHA-BARRON to time served (2 months of imprisonment), followed by 1 year of supervised release, and a $100 special assessment fee. The defendant will be surrendered to the custody of Immigration and Customs Enforcement for removal proceedings.
According to court documents, on November 29, 2018, ROCHA-BARRON was found in the United States after having been previously removed from the United States on November 14, 2016.
U.S. Attorney Strasser praised the work of Immigration and Customs Enforcement agents in investigating this matter. Assistant United States Attorney Jon Maestri is in charge of the prosecution.
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Metropolitan Transit Authority Employee Sentenced to 20 Months in Prison for Role in Compounding Pharmacy SchemeRead the Press Release
NEWARK, N.J. – An Old Bridge, New Jersey, man was sentenced today to 20 months in prison for his role in a large scheme to defraud the Metropolitan Transit Authority’s health benefits plan of more than $2.8 million for the billing of medically unnecessary compounded prescriptions, U.S. Attorney Craig Carpenito announced.
Enver Kalaba, 37, a bus driver with the MTA, previously pleaded guilty before U.S. District Judge John Michael Vazquez to an information charging him with conspiracy to commit health care fraud. Judge Vazquez imposed the sentence today in Newark federal court.
According to documents filed in this case and statements made in court: Kalaba admitted that as early as April 2016 through August 2017 he participated in a scheme to defraud the MTA’s health benefits plan, a privately funded health plan, by knowingly causing the billing of fraudulent claims for medically unnecessary prescription compounded medications, such as scar creams, pain creams, and metabolic supplements. Kalaba was recruited into the scheme by another former MTA bus driver, Christopher Frusci, 34, of Staten Island, New York. Both Frusci and Kalaba were “sales representatives” of Company A, a New Jersey marketing company of compounded prescriptions.
Kalaba and Frusci targeted MTA employees because the MTA’s health benefits’ plan covered compounded medications. To convince MTA beneficiaries to obtain medically unnecessary compounded prescriptions, Kalaba paid them monthly cash bribes of approximately $100 per prescription. To ensure physicians prescribed compounded medications regardless of medical necessity, Kalaba referred MTA beneficiaries to telemedicine physicians who were paid by Company A and its affiliates.
Kalaba was also sentenced to one year of supervised release, and must forfeit $138,630 in criminal proceeds he received for his role in the scheme and pay restitution of $2.9 million.
On March 2, 2018, Frusci pleaded guilty before Judge Vazquez for his role in the scheme and is scheduled for sentencing on March 27, 2019.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Special Agent in Charge Gregory W. Ehrie in Newark; the U.S. Department of Defense, Defense Criminal Investigative Service, under the direction of Special Agent in Charge Leigh-Alistair Barzey; and the Office of the Inspector General, Metropolitan Transportation Authority, under the direction of Inspector General Barry Kluger, with the ongoing investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Erica Liu of the United States Attorney’s Office.
Defense counsel: Robert G. Stahl Esq., Westfield, New Jersey
Metairie Man Pleads Guilty to Conspiracy to Commit Sex Trafficking of a 14-Year-Old FemaleRead the Press Release
NEW ORLEANS – U.S. Attorney Peter G. Strasser announced that PASCAL CALOGERO, III, age 59, a resident of Metairie, Louisiana, pleaded guilty yesterday before United States District Judge Sarah S. Vance to the one-count bill of information pending against CALOGERO, which charged him with conspiracy to commit sex trafficking of a minor, in violation of 18 U.S.C. ' 1594(c).
According to court documents, between at least May 9, 2017, and June 5, 2017, CALOGERO conspired with others to traffic a fourteen-year-old girl from Metairie, Louisiana. Specifically, J.B. met the victim on May 9, 2017 and recruited her to work for him as a prostitute. She worked for J.B. from about May 9 through about May 23. J.B. required her to turn over all, or most, of the money she earned from prostitution to him. J.B. then created advertisements on online classified advertisement services commonly used to advertise sexual services in exchange for money, through which J.B. received telephone calls and text messages inquiring about, scheduling, and arranging prostitution dates with the victim. J.B. scheduled the time, location, and other logistics of prostitution dates with the victim.
Between May 16, 2017 and May 22, 2017, J.B. transmitted sexually explicit photographs of the victim to CALOGERO via email and text message for the purpose of offering and encouraging CALOGERO to arrange a prostitution date with the victim. CALOGERO engaged in prostitution dates with the victim on at least four separate days, paying less than $120 per occasion. In addition to engaging in prostitution dates with the victim, CALOGERO occasionally drove her to prostitution dates with other individuals. On numerous occasions, CALOGERO also attempted to facilitate the prostitution of the victim to multiple adult men by, among other things, transmitting sexually explicit pictures of her to them negotiating prices and arranging the times and locations of the prostitution dates, and providing his personal residence as the location of a prostitution date he arranged for the victim with an adult male. CALOGERO successfully brokered prostitution dates with the victim on at least three occasions.
CALOGERO faces a maximum term of life imprisonment, a fine of up to $250,000.00, between 5 years and a lifetime of supervised release after imprisonment, and a mandatory $100 special assessment. Sentencing has been scheduled for June 5, 2019, at 9:30 am.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorney’s= Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
U.S. Attorney Strasser praised the work of the Federal Bureau of Investigation in investigating this matter, and specifically the FBI New Orleans Violent Crimes Against Children Task Force, which includes members of the Jefferson Parish Sheriff’s Office, the Kenner Police Department, and the Louisiana State Police, with the assistance of the City of New Orleans Office of Inspector General. Assistant United States Attorney Jordan Ginsberg is in charge of the prosecution.
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Member of Violent South King County Street Gang Sentenced to Prison for Dealing Heroin and Illegal Firearms PossessionRead the Press Release
A known member of the Callejones Escondidos Sureños (CES), a violent street gang based in King County’s South Park neighborhood, was sentenced today in U.S. District Court in Seattle to 66 months in prison, announced U.S. Attorney Brian T. Moran. MARIO PARRA-CETINO, 28, of Kent, Washington pleaded guilty to conspiracy to distribute heroin and being a felon in possession of a firearm. PARRA-CETINO dealt drugs while he was on state probation for domestic violence, including residential burglary, assault, and harassment. At the sentencing hearing U.S. District Judge James L. Robart said this defendant “seems to have no respect for the law... distributing heroin, with children in close proximity. When arrested he ran from police with a handgun in his pocket.”
“Under the guise of being a devoted father, this defendant pedaled heroin throughout south King County – putting a child at risk of exposure to heroin and the violence that comes with drug dealing,” said U.S. Attorney Brian T. Moran. “Federal and local law enforcement have joined forces in a concerted effort to target gang and gun violence in King County. These successful prosecutions are taking dangerous felons off the streets.”
According to records filed in the case, PARRA-CETINA was identified for federal prosecution after he was arrested for illegally possessing a firearm in June 2017, shortly after his release from prison. While that state charge was pending, PARRA-CETINA repeatedly sold heroin to a person working with law enforcement. On August 9, 2018, PARRA-CETINA was arrested while headed to a drug deal, with a 22-month old child riding in the car. In front of the child’s car seat was 65 grams of heroin. In the child’s diaper bag, adjacent to a sippy cup, officers found another 72 grams of heroin. A search of PARRA-CETINA’s residence turned up two firearms as well as additional heroin.
PARRA-CETINA was arrested in Operation East Watch. All eight defendants in Operation East Watch have pleaded guilty. Three of the eight await sentencing later this year.
- Anthony Ripley, 46, of Tacoma, was sentenced in November 2018, to ten years in prison for drug and gun possession crimes.
- Eddie Tarik Musa Bell, Jr was sentenced in November to four years in prison for distribution of methamphetamine and being a felon in possession of a firearm.
- Devon Parramore, 50 of Kent, was sentenced last month to 33 months in prison for distribution of methamphetamine.
- Allen Betts III, 40, of Kent, pleaded guilty of conspiracy to distribute methamphetamine and unlawful possession of a firearm and was sentenced last month to four years in prison.
- Anthony Colbert, 48, of Seattle, pleaded guilty to conspiracy to distribute methamphetamine and is scheduled for sentencing February 22, 2019.
- Neal Stringer, 46, of Kent and Des Moines, pleaded guilty to conspiracy to distribute methamphetamine and being a felon in possession of a firearm. He is scheduled for sentencing in April 2019.
- Kenyon Taylor, 39, of Federal Way, pleaded guilty in December 2018, to distribution of methamphetamine and possession of a firearm in furtherance of a drug trafficking crime. He is scheduled sentencing in March 2019.
This case was brought as part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice has made turning the tide of rising violent crime in America a top priority. In October 2017, as part of a series of actions to address this crime trend, DOJ leadership announced the reinvigoration of PSN and directed all U.S. Attorney’s Offices to develop a district crime reduction strategy that incorporates the lessons learned since PSN launched in 2001.
The operation was led by the Bureau of Alcohol, Tobacco, Firearms & Explosives’ (ATF) Puget Sound Regional Crime Gun Task Force and the Kent Police Department. The task force contains agents and officers from King County Sheriff’s Office, Washington State Department of Corrections, Washington State Patrol, Drug Enforcement Agency, U.S. Marshals Service, Seattle Police Department, and Valley Narcotics Enforcement Team.
The cases are being prosecuted by Assistant United States Attorney Amy Jaquette and Special Assistant United States Attorney Jessica Manca. Ms. Manca is a Senior Deputy King County Prosecutor specially designated to prosecute gun crimes in federal court.
Massachusetts and New York Men Sentenced on Credit Card Fraud ChargesRead the Press Release
Portland, Maine: United States Attorney Halsey B. Frank announced that Sean Trim, 33, of Stoughton, Massachusetts, and Tishon Singh, 28, of Queens, New York, were sentenced in U.S. District Court on credit card fraud charges. On January 25, 2019, Chief Judge Jon D. Levy sentenced Trim to 40 months in prison and 3 years of supervised release for using a counterfeit credit card, possessing 15 or more counterfeit credit cards and conspiracy to commit credit card fraud. Trim was also ordered to pay over $23,000 in restitution. Yesterday, Chief Judge Levy sentenced Singh to 11 months in prison and 3 years of supervised release for using a counterfeit credit card and possessing 15 or more counterfeit credit cards. The Court deferred for 90 days its determination about the amount of restitution Singh will be ordered to pay. Trim pled guilty on June 21, 2018. Singh pled guilty on May 11, 2018.
Court records reveal that between November 2016 and February 2017, Trim and Singh conspired to commit credit card fraud. On January 6, 2017, officers from the Windham Police Department conducted a traffic stop of a car occupied by Trim and Singh. Inside the car, the officers found a black toiletry bag containing over 160 credit cards, many of which were counterfeit. Subsequent investigation revealed that both men had used counterfeit credit cards to make purchases at a Hannaford Store in North Windham. On February 16, 2017, law enforcement executed a search warrant at a residence in Stoughton, Massachusetts, that was occupied by Trim and Singh. The police seized from the residence over 500 counterfeit credit cards, materials used for manufacturing counterfeit credit cards, nearly $7,000 in cash, and laptop computers and a thumb drive that contained credit card data.
This case was investigated by the U.S. Secret Service, the Windham and Biddeford, Maine Police Departments, and the Stoughton, Massachusetts Police Department.
Multi-Agency Investigation Dismantles Major Drug Trafficking Organization in Southeastern New MexicoRead the Press Release
ALBUQUERQUE – Ten people are facing federal drug trafficking charges in New Mexico following an 11-month investigation led by the Drug Enforcement Administration and the Lea County Drug Task Force.
Teams of federal, state, county, and local law enforcement officers conducted a major law enforcement operation on Thursday leading to the arrest of 5 defendants from New Mexico, Arizona, California, and Texas, and the execution of federal search warrants at residences in La Luz and Hobbs, New Mexico. Officers arrested another defendant on February 5, 2019, and two defendants on February 6, 2019. A grand jury previously indicted all of the defendants. During the course of the investigation, law enforcement authorities seized approximately 53 kilograms of methamphetamine, 354 grams of heroin, and 20 firearms.
“This investigation exemplifies the cooperation among law enforcement agencies necessary to combat large-scale drug traffickers in our state,” said U.S. Attorney John C. Anderson. “We are committed to dismantling these criminal organizations from the highest levels down.”
“The trafficking and abuse of methamphetamine destroys lives,” said Special Agent in Charge Kyle W. Williamson of DEA’s El Paso Division. “Through this investigation, DEA and our federal, state and local law enforcement partners have dismantled an organization responsible for trafficking significant quantities of methamphetamine, other dangerous drugs, and firearms in Hobbs and other communities. With these arrests and seizures, we are sending a strong, unified message that such criminal activity will not be tolerated, and that those who threaten the health and safety of our communities will be brought to justice.”
“All agencies involved worked well together and it is shown in the results of the investigation,” said Lea County Drug Task Force Commander Sean Roach. “This case will have a major impact on the methamphetamine trafficking in Lea County. This investigation took many man hours and effort but in the end it all pays off to see the impact made in our communities.”
“This operation is proof that when law enforcement agencies work together, anything can be accomplished,” said Lea County Sheriff Corey Helton. “The multiple agencies worked seamlessly to apprehend major players in methamphetamine trafficking in our state. I am proud of all the men and women who worked countless hours on this case.”
The defendants in the case are Luis Batista-Felix, 47, of Phoenix, Ariz., Edwin Cervantes, 27, of Los Angeles, Cal., Patricia Chihuahua, 37, of Hobbs, N.M., Maria Dominguez, 41, of Jal, N.M., Ricardo Hernandez, 44, of Hobbs, N.M., Diane Medrano, 43, of La Luz, N.M., Isaac Miranda, 22, of El Paso, Tex., Abraham Navarrette, 59, of Hobbs, N.M., Anita Rios, 45, of Lovington, N.M., and Beatrice Sandoval, 39, of Hobbs, N.M. All of these defendants have been arrested except for Hernandez and Rios.
All of these defendants face charges of conspiracy to distribute controlled substances, including methamphetamine. All defendants except Dominguez face a penalty of from 10 years to life in prison if convicted of this offense. Dominguez, if convicted, faces a penalty of from 5 years to 40 years in prison. Medrano also is charged with engaging in a conspiracy to export firearms to Mexico. Medrano faces a penalty of up to 5 years in prison if convicted of this offense. Some defendants also face additional charges. Charges in indictments are only accusations. Defendants are presumed innocent unless proven guilty beyond a reasonable doubt in a court of law.
This case was investigated by the DEA, Lea County Drug Task Force, Chaves County Metro Narcotics Task Force, Pecos Valley Drug Task Force, United States Marshals Service, U.S. Border Patrol, Homeland Security Investigations, Federal Bureau of Investigation, Bureau of Alcohol, Tobacco, and Firearms, Bureau of Indian Affairs, United States Postal Inspection Service, Internal Revenue Service, New Mexico State Police, Lea County Sherriff’s Office, and Hobbs Police Department. Other law enforcement agencies also provided assistance, including the Jal Police Department, Eunice Police Department, Lovington Police Department, Carlsbad Police Department, and the Eddy County Sheriff’s Office.
These agencies conducted this investigation as part of the Organized Crime Drug Enforcement Task Force (OCDETF) program, a nationwide Department of Justice program that combines the resources and unique expertise of federal agencies, along with their local counterparts, in a coordinated effort to disrupt and dismantle major drug trafficking organizations. The U.S. Attorney’s Las Cruces Branch Office is prosecuting the case.
Multi-Agency Investigation Dismantles Major Drug Trafficking Organization in Southeastern New MexicoRead the Press Release
ALBUQUERQUE – Ten people are facing federal drug trafficking charges in New Mexico following an 11-month investigation led by the Drug Enforcement Administration and the Lea County Drug Task Force.
Teams of federal, state, county, and local law enforcement officers conducted a major law enforcement operation on Thursday leading to the arrest of 5 defendants from New Mexico, Arizona, California, and Texas, and the execution of federal search warrants at residences in La Luz and Hobbs, New Mexico. Officers arrested another defendant on February 5, 2019, and two defendants on February 6, 2019. A grand jury previously indicted all of the defendants. During the course of the investigation, law enforcement authorities seized approximately 53 kilograms of methamphetamine, 354 grams of heroin, and 20 firearms.
“This investigation exemplifies the cooperation among law enforcement agencies necessary to combat large-scale drug traffickers in our state,” said U.S. Attorney John C. Anderson. “We are committed to dismantling these criminal organizations from the highest levels down.”
“The trafficking and abuse of methamphetamine destroys lives,” said Special Agent in Charge Kyle W. Williamson of DEA’s El Paso Division. “Through this investigation, DEA and our federal, state and local law enforcement partners have dismantled an organization responsible for trafficking significant quantities of methamphetamine, other dangerous drugs, and firearms in Hobbs and other communities. With these arrests and seizures, we are sending a strong, unified message that such criminal activity will not be tolerated, and that those who threaten the health and safety of our communities will be brought to justice.”
“All agencies involved worked well together and it is shown in the results of the investigation,” said Lea County Drug Task Force Commander Sean Roach. “This case will have a major impact on the methamphetamine trafficking in Lea County. This investigation took many man hours and effort but in the end it all pays off to see the impact made in our communities.”
“This operation is proof that when law enforcement agencies work together, anything can be accomplished,” said Lea County Sheriff Corey Helton. “The multiple agencies worked seamlessly to apprehend major players in methamphetamine trafficking in our state. I am proud of all the men and women who worked countless hours on this case.”
The defendants in the case are Luis Batista-Felix, 47, of Phoenix, Ariz., Edwin Cervantes, 27, of Los Angeles, Cal., Patricia Chihuahua, 37, of Hobbs, N.M., Maria Dominguez, 41, of Jal, N.M., Ricardo Hernandez, 44, of Hobbs, N.M., Diane Medrano, 43, of La Luz, N.M., Isaac Miranda, 22, of El Paso, Tex., Abraham Navarrette, 59, of Hobbs, N.M., Anita Rios, 45, of Lovington, N.M., and Beatrice Sandoval, 39, of Hobbs, N.M. All of these defendants have been arrested except for Hernandez and Rios.
All of these defendants face charges of conspiracy to distribute controlled substances, including methamphetamine. All defendants except Dominguez face a penalty of from 10 years to life in prison if convicted of this offense. Dominguez, if convicted, faces a penalty of from 5 years to 40 years in prison. Medrano also is charged with engaging in a conspiracy to export firearms to Mexico. Medrano faces a penalty of up to 5 years in prison if convicted of this offense. Some defendants also face additional charges. Charges in indictments are only accusations. Defendants are presumed innocent unless proven guilty beyond a reasonable doubt in a court of law.
This case was investigated by the DEA, Lea County Drug Task Force, Chaves County Metro Narcotics Task Force, Pecos Valley Drug Task Force, United States Marshals Service, U.S. Border Patrol, Homeland Security Investigations, Federal Bureau of Investigation, Bureau of Alcohol, Tobacco, and Firearms, Bureau of Indian Affairs, United States Postal Inspection Service, Internal Revenue Service, New Mexico State Police, Lea County Sherriff’s Office, and Hobbs Police Department. Other law enforcement agencies also provided assistance, including the Jal Police Department, Eunice Police Department, Lovington Police Department, Carlsbad Police Department, and the Eddy County Sheriff’s Office.
These agencies conducted this investigation as part of the Organized Crime Drug Enforcement Task Force (OCDETF) program, a nationwide Department of Justice program that combines the resources and unique expertise of federal agencies, along with their local counterparts, in a coordinated effort to disrupt and dismantle major drug trafficking organizations. The U.S. Attorney’s Las Cruces Branch Office is prosecuting the case.
Leland Man Sentenced Following Attempt to Illegally Obtain FirearmsRead the Press Release
NEW BERN — The United States Attorney for the Eastern District of North Carolina, Robert J. Higdon, Jr., announced that today, United States District Judge Louise W. Flanagan sentenced Howard Joseph Burchfield, 36, of Leland to 15 months’ imprisonment, followed by 3 years of supervised release. On October 18, 2018, Burchfield pled guilty to one count of making a false statement to a licensed firearm dealer.
The investigation revealed that on July 13, 2010, a judge for the Circuit Court of the First Judicial Circuit in and for Escambia County, Florida ordered that BURCHFIELD be involuntarily committed to a mental institution for a period of up to six months due to mental illness and threats of harm to others. In addition, on February 5, 2013, the 17th District Court in Brighton, Colorado, adjudicated BURCHFIELD as mentally defective. This mental health history rendered BURCHFIELD ineligible to possess firearms.
BURCHFIELD, nonetheless, tried to purchase at least five firearms from 2015 to 2018. In particular, on April 1, 2017, BURCHFIELD attempted to purchase a Remington 12-gauge shotgun at a Wal-Mart in Shallote, North Carolina. In doing so, he completed the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) Form 4473, the over the counter firearm transaction record. Question 11.f of the form asked, “Have you ever been adjudicated as a mental defective OR have you ever been committed to a mental institution?” Contrary to his history, BURCHFIELD checked the “No” box and signed the form, indicating that all his answers were true, correct, and complete.
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 case is being investigated by the Federal Bureau of Investigation. Assistant United States Attorney Jake D. Pugh is prosecuting the case for the government.
Lebanon Doctor Sentenced on Federal Drug Distribution ChargesRead the Press Release
Abingdon, VIRGINIA – A medical doctor who previously practiced in Lebanon, Va. was sentenced today to serve 151 months in federal prison following convictions on federal drug charges. First Assistant United States Attorney Daniel P. Bubar and the Office of the Virginia Attorney General made the announcement.
Dr. Dwight L. Bailey, 66, was convicted of 61 federal charges following a two-week jury trial in August of 2018. Evidence presented at trial proved that Bailey, who operated Family Healthcare Associates of Southwest VA and Ridgewood Health Care Clinic, illegally prescribed drugs to his patients.
“Dr. Bailey’s scheme to illegally prescribe opioids and other narcotics violated his patients’ trust and preyed on their addiction for his own financial gain.” First Assistant Bubar said today. “His lengthy sentence should send a strong message that our office and our federal and state partners will work tirelessly to prosecute those in healthcare who perpetuate the opioid epidemic by illegally diverting medication to harm their patients and damage the community.”
Additional evidence showed that Baily, and other providers in his office, continually wrote prescriptions for opiates, benzodiazepines, and sleeping pills to patients who were clearly misusing, abusing, and diverting those controlled substances. Most of the patients at Bailey’s clinic were receiving an opiate and/or a benzodiazepine. Bailey’s income from his clinic and work at local emergency room topped $750,000 in a single year.
Bailey was convicted of one count of conspiracy to distribute schedule II controlled substances without a legitimate medical purpose, one count of conspiracy to distribute schedule III controlled substances without a legitimate medical purpose, one count of conspiracy to distribute schedule IV controlled substances without a legitimate medical purpose, 24 counts of distribution of schedule II controlled substances without a legitimate medical purpose, three count of distribution of schedule III controlled substances without a legitimate medical purpose, 32 counts of distribution of a schedule IV controlled substances without a legitimate medical purpose, and one count of maintaining a place for the purpose of distributing controlled substances.
The investigation of the case was conducted by the Virginia Medicaid Fraud Control Unit and the Virginia State Police. The case was prosecuted by Special Assistant United States Attorneys/Virginia Attorneys General Janine Myatt and Nicole S. Terry and Assistant United States Attorney Randy Ramseyer prosecuted the case for the United States.
Las Vegas Man Sentenced to 18 Years in Prison for Distribution of Child PornographyRead the Press Release
LAS VEGAS, Nev. – A Las Vegas man who uploaded child pornography to an instant messaging site was sentenced yesterday to 18 years and one month in federal prison to be followed by a lifetime term of supervised release, announced U.S. Attorney Nicholas A. Trutanich for the District of Nevada and Special Agent in Charge Aaron C. Rouse for the FBI’s Las Vegas Division.
Steven Wilson, 35, of Las Vegas, previously pleaded guilty to distribution of child pornography and was sentenced by U.S. District Judge Kent J. Dawson.
In November 2016, Wilson uploaded seven images of child pornography to the Yahoo! messenger application. Law enforcement determined the images were uploaded at an apartment belonging to Wilson. A search warrant was executed at his residence. He admitted to law enforcement that he possessed and distributed child pornography in chat rooms, as well as through Yahoo! messenger. A forensic examination of devices belonging to Wilson revealed over 750 images and videos of child pornography, including 44 images and videos depicting infants and toddlers and numerous images depicting violence.
During the investigation, a minor victim reported that Wilson had sexually abused her. Wilson subsequently was charged with and pleaded guilty in Clark County District Court to one count of attempted sexual assault. On January 29, 2019, Wilson was sentenced in connection with that case to five to 15 years in prison.
The case was investigated by the FBI. Assistant U.S. Attorney Christopher Burton prosecuted the case.
If you have information regarding possible child sexual exploitation, make a report to the National Center for Missing and Exploited Children (NCMEC) by calling the 24-hour hotline at 1-800-THE-LOST (1-800-843-5678) or by making a report at www.cybertipline.com.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood and for information about internet safety education, please visit www.justice.gov/psc.
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Lafayette, Indiana Man Sentenced to 30 Years in PrisonRead the Press Release
SOUTH BEND – Shawn Michael DeWitt, age 34, of Lafayette, Indiana, was sentenced before United States District Court Judge Jon E. DeGuilio after a jury found him guilty in October 2018 of Distributing Child Pornography, Coercing a Minor to Engage in Sexually Explicit Conduct, and Possessing Child Pornography, announced U. S. Attorney Thomas L. Kirsch II.
DeWitt was sentenced to 360 months in prison followed by 5 years of supervised release.
U.S. Attorney Thomas Kirsch II says, “This case sends strong messages to child sexual predators. Federal, state and local agencies will work together quickly to find you when a child is at risk. Children are the most vulnerable victims and my Office will do everything in our power to prosecute you and seek appropriate sentences for your crimes.”
According to documents in this case, on November 26, 2017, Dewitt responded to an advertisement posted on an online social networking forum which was posted by an undercover FBI task force agent in Washington DC, who was familiar with child exploitation investigations. In chatting with the undercover agent, Dewitt expressed a sexual interest in children and also informed the agent that he had access to two children for sexual purposes. Dewitt sent the undercover agent videos and images of child pornography and also asked the undercover officer to send him videos of sexual acts with the undercover agent’s fictional 9 year old daughter. The undercover agent sent an emergency referral to the Lafayette FBI office on November 27, 2017. Officers from the Lafayette police department and FBI agents conducted a search the next day and arrested Dewitt.
The case was investigated by the FBI and the Lafayette Police Department and was prosecuted by Assistant United States Attorney John M. Maciejczyk.
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Justice Department Awards More Than $8.3 Million to Support California Victims of the Las Vegas Mass ShootingRead the Press Release
The Justice Department today announced that the Office of Justice Programs’ (OJP) Office for Victims of Crime (OVC) awarded more than $8.3 million in Antiterrorism and Emergency Assistance Program (AEAP) funding to aid Californians who are survivors of the Oct. 1, 2017, mass shooting in Las Vegas, Nevada. Deputy Attorney General Rod J. Rosenstein made the announcement in a speech today to law enforcement at the Los Angeles Crimefighters Leadership Conference.
Fifty-eight people were killed and more than 600 physically injured when a man opened fire on the Route 91 Harvest Festival, an open-air music venue, from a hotel room on the 32nd floor of the Mandalay Bay hotel and casino on the Las Vegas strip. When officers located the gunman and entered the room, he was found dead with self-inflicted wounds.
This new grant is being awarded to the California Victim Compensation and Government Claims Board, as 35 of the 58 murder victims and approximately 200 of those physically injured were from California. By some estimates, half of the concert attendees that evening were from the state of California. This incident of mass violence significantly impacted the state resources available to victims.
"The Las Vegas mass shooting was the deadliest in American history, and it inflicted unfathomable damage to hundreds of people, many of whom were visiting from California,” Deputy Attorney General Rod J. Rosenstein said. "While we cannot undo the evil that was done that day, the Department of Justice is doing its part to support first responders and survivors. We have already provided more than $19 million in funds for law enforcement and victims' services. Today we provide an additional $8.3 million to services for victims from California. We support them and all crime victims --and we will continue to do our part to help them heal."
The $8,353,884 in funding will provide supplemental crisis response and consequence management support services to help victims as they continue to heal and cope with probable re-traumatization. These services include supplemental crime victim compensation expenses; victim assistance, such as mental health and peer support groups; outreach to identify and contact victims, including a virtual victim resiliency center; and related expenses for support staff to provide these activities. The peer support groups will occur in multiple locations to provide easier access for victims.
In addition to this grant, in November 2018, the Justice Department awarded $16,735,720 to the state of Nevada, primarily for those not residing in California, to assist victims of this terrorist attack, including ticket holders, concert staff, vendors, witnesses, law enforcement personnel, and other first responders. The grant helped to support close family members, medical personnel, coroner’s staff, taxi drivers, and others who helped the concert attendees. In addition, it defrayed the costs of counseling and therapy, vocational rehabilitation, and trauma recovery for victims and emergency responders. Funds also assisted with legal aid and supplemented the massive outlays incurred by the Nevada victim compensation program.
In June 2018, the Department awarded over $2 million to support first responders in the aftermath of the shooting. In addition, in November 2018, the Justice Department announced a new $8.7 million grant to provide multi-disciplinary, scenario-based active shooter training to first responders across the country.
“The scale of loss and suffering endured by these victims and survivors is enormous, and the trauma will follow them the rest of their lives,” said Principal Deputy Assistant Attorney General Matt M. Dummermuth. “We hope that these resources will help sustain them as they walk the path from pain and grief to healing.”
AEAP is a non-competitive solicitation specifically created to provide supplemental emergency and longer-term victim support to jurisdictions where a criminal mass violence or domestic terrorism incident occurred. OVC awards funding once local and state authorities have determined the costs associated with responding and have submitted a request for assistance.
For more information about AEAP, please visit: https://www.ovc.gov/AEAP/
The Office of Justice Programs, led by Principal Deputy Assistant Attorney General Matt M. Dummermuth, provides federal leadership in developing the nation’s capacity to prevent and control crime, administer justice and assist victims. OJP has six bureaus and offices: the Bureau of Justice Assistance; the Bureau of Justice Statistics; the National Institute of Justice; the Office of Juvenile Justice and Delinquency Prevention; the Office for Victims of Crime; and the Office of Sex Offender Sentencing, Monitoring, Apprehending, Registering and Tracking. More information about OJP and its components can be found at: www.ojp.gov.
Jury Convicts Former President of Oregon Foster Care Agency on Theft, Money Laundering and Tax Evasion ChargesRead the Press Release
Downloadable file: U.S. v. Ayala - Exhibit #311
PORTLAND, Ore.—A federal jury found Mary Holden Ayala, 59, of Portland, guilty today of stealing nearly $1 million from an Oregon foster care agency, money laundering and filing false personal income tax returns.
From at least 2008 to 2015, Ayala, a longtime Portland resident, served as the President, Executive Director and primary agent of Give Us This Day (GUTD), a private foster care agency and residential program for youth.
“Children in foster care rely heavily on the agency to which they are entrusted and these agencies are responsible for protecting and caring for them. Mary Holden Ayala grossly neglected her duties and selfishly stole from children in need,” said Billy J. Williams, U.S. Attorney for the District of Oregon. “This prosecution demonstrates our firm commitment to protecting the integrity of federally-funded social service programs.”
“Abuse, drug addiction and violent crime can force children into a foster care system that is supposed to give them a second chance at a better life. One person's greed can corrupt that system, though, leading to victimization of these vulnerable kids. Help stop such victimization and strengthen important institutions by reporting public corruption when you see it,” said Renn Cannon, Special Agent in Charge of the FBI in Oregon.
“Mary Ayala’s theft of nearly $1 million was nothing short of stealing food and shelter from the most vulnerable of our population,” said Acting Special Agent in Charge Troy Burrus, IRS-Criminal Investigation, Seattle Field Office. “Instead of ensuring the children entrusted to her care were properly clothed and fed, Ayala used the money for luxury home renovations, a pilot for a reality show, extensive travel to luxury resorts, music recording studio, luxury shoes and purses. Her final act of contempt was to attempt to hide the stolen money by filing federal tax returns without declaring the stolen funds.”
“Ms. Ayala’s crimes are disturbing: she embezzled money meant to assist foster care children and their families,” said Special Agent in Charge Steven J. Ryan of the Department of Health and Human Services Office of Inspector General. “We will continue to investigate such greed-fueled fraud schemes.”
According to court documents, since its inception in 1979, GUTD was primarily funded by the Oregon state and federal government for foster care services including hiring and screening foster parents for community placements, compensating foster parents for services and placing foster children in residential or group homes. GUTD federal funding originated from the Administration for Children and Families, a division of the U.S. Department of Health and Human Services, and was administrated by ODHS.
From 2009 through 2015, Ayala exercised sole and complete control over GUTD finances. No other GUTD employee or board member had access to the organization’s bank accounts or statements during this time. With no internal controls in place, Ayala wrote checks, used the GUTD debit card and withdrew cash at will, using the organization’s bank accounts as her own.
Ayala used the money stolen from GUTD to pay her mortgage, remodel her home and fund other retail, travel and transportation expenses. Additionally, she used the money to fund other, non-GUTD business ventures including a media company and Big Mary’s, a fish and ribs restaurant in Portland, and to purchase and flip a commercial property.
In total, Ayala stole nearly $1 million from GUTD. As a result, her employees, foster parents and foster children in GUTD’s care suffered tremendously. GUTD residential center and house managers complained about a lack of basic necessities, including but not limited to food, toiletries and cleaning supplies.
In 2015, the day after Ayala resigned her position at GUTD, she filed five false federal income tax returns for tax years 2009 through 2013. Shortly thereafter, she filed a sixth false return for tax year 2014. Ayala failed to file a tax return in 2015.
In a superseding indictment returned on May 3, 2017, a federal grand jury in Portland charged Ayala with five counts of theft concerning programs receiving federal funds, one count of concealment of money laundering, one count of failure to file a personal federal tax return and two counts each of engaging in monetary transactions with criminally derived property and filing a false personal federal tax return. The government dropped the concealment of money laundering charge prior to trial.
Ayala will be sentenced on May 29, 2019 by U.S. District Court Judge Marco A. Hernandez.
The government has seized more than $450,000 in criminally-derived proceeds from Ayala that it will seek to forfeit by court order post sentencing.
This case was investigated by the FBI, the Department of Health and Human Services Office of Inspector General and IRS-Criminal Investigation. It was prosecuted by Donna Maddux, Clemon Ashley and Julia Jarrett, Assistant U.S. Attorneys for the District of Oregon.
Jennifer Dwyer Indicted for Embezzling over $2 Million from EmployerRead the Press Release
The Office of the United States Attorney for the District of Vermont stated that Jennifer Dwyer, 48, of St. Johnsbury, Vermont, has been indicted on a charge that she embezzled more than $2 million over a ten-year period from her Lyndonville employer, Northeast Agriculture Sales, Inc. (“NEAG”). Dwyer was arraigned on the charge by U.S. Magistrate Judge John M. Conroy on January 24, 2019, where Dwyer pled not guilty and was ordered released pending trial. If convicted, Dwyer faces a maximum possible penalty of 20 years in prison.
According to the Indictment, NEAG, a family business, was established in 1987 and has locations in Lyndonville and Maine. Dwyer was NEAG’s bookkeeper from approximately 1998 to 2017. As bookkeeper, her responsibilities included customer billing, handling company accounts, and managing NEAG’s payroll system. The Indictment charges that between 2007 and 2017, Dwyer embezzled approximately $2,221,079.47 from her employer through unauthorized electronic transfers of funds from NEAG’s payroll account to her personal checking account. The government further alleges that Dwyer used the misappropriated funds to engage in on-line gambling and pay personal debts. The Indictment also contains a Forfeiture Notice notifying Dwyer that it intends to seek forfeiture of any property constituting, or derived from, the proceeds of the alleged fraudulent scheme.
Dwyer was arrested in Lyndonville by FBI Agents on January 17, 2019.
The United States Attorney’s Office noted that the Indictment is an accusation only and that the defendant is presumed innocent until and unless proven guilty. Any sentence in this case will be advised by the federal Sentencing Guidelines.
The Federal Bureau of Investigation is conducting the investigation in this matter.
This prosecution is being handled by First Assistant U.S. Attorney Kevin J. Doyle. Jennifer Dwyer is represented by John B. St. Francis, Esq. of Burlington.
Jacksonville Woman Sentenced to 40 Years for Producing Sexual Abuse Videos Involving A ChildRead the Press Release
Jacksonville, Florida – U.S. District Judge Timothy J. Corrigan has sentenced Christine Alyce Slayman (28, Jacksonville) to 40 years in federal prison for producing child pornography. Slayman was ordered to serve a life term of supervision, following her release from prison. She had pleaded guilty to two counts of producing child pornography on August 30, 2018.
According to court documents, over a several month period in 2015, Slayman sexually abused a 6-year-old child in King William, Virginia. She recorded the abuse using her cellphone. The Jacksonville Sheriff’s Office found the videos in Slayman’s Jacksonville home, after receiving a tip. Slayman had filmed herself engaged in sexual activity with the child, which included Slayman directing the child to engage in sex acts. Federal agents located 18 different video files of Slayman sexually abusing the child.
“While today’s sentencing marks an end to the investigation and prosecution of this criminal, it is important to remember that a child will carry the scars of this crime for their lifetime,” said HSI Tampa Special Agent in Charge James C. Spero.
This case was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations and the Jacksonville Sheriff’s Office. It was prosecuted by Assistant United States Attorneys Kelly S. Karase and Ashley Washington.
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 United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to 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.
Illinois Man Pleads Guilty to Meth and Heroin ChargesRead the Press Release
A man who possessed methamphetamine and heroin pled guilty February 7, 2019, in federal court in Sioux City.
Jerry Rhoades, 44, from Peoria, Illinois, was convicted of one count of possession with intent to distribute methamphetamine and one count of possession of heroin.
At the plea hearing, Rhoades admitted that on May 25, 2018, he was found asleep in his car at a local motel in Woodbury County, Iowa, in possession of heroin and methamphetamine. Rhoades admitted he went from Illinois to California with $6,000 to pick up 20 pounds of marijuana but the deal failed – so Rhoades bought heroin and methamphetamine instead, which Rhoades intended to sell. Rhoades further admitted to being a user of heroin and a seller (middle-man) of marijuana and methamphetamine.
Sentencing before United States District Court Chief Judge Leonard T. Strand will be set after a presentence report is prepared. Rhoades remains in custody of the United States Marshal and will remain in custody pending sentencing. On the methamphetamine conviction, Rhoades faces a possible maximum sentence of 20 years’ imprisonment, a $1,000,000 fine, and three years up to life of supervised release following any imprisonment. On the heroin conviction, Rhoades faces a likely possible maximum sentence of not more than one year imprisonment, a $1,000 fine and a term of supervised release of one year.
The case is being prosecuted by Assistant United States Attorney Shawn S. Wehde and was investigated by the Tri-State Drug Task Force based in Sioux City, Iowa, that consists of law enforcement personnel from the Drug Enforcement Administration; Sioux City, Iowa, Police Department; Homeland Security Investigations; Woodbury County Sheriff’s Office; South Sioux City, Nebraska, Police Department; Nebraska State Patrol; Iowa National Guard; Iowa Division of Narcotics Enforcement; United States Marshals Service; South Dakota Division of Criminal Investigation; and Woodbury County Attorney’s Office.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 18-4081. Follow us on Twitter @USAO_NDIA.
Honduran Man Sentenced to Federal Prison for Illegally Reentering the United States as a FelonRead the Press Release
A man entered the United States illegally from Honduras was sentenced on February 6, 2019, to five months’ in prison.
Walter Redondo-Amador, age 23, from Honduras, received the sentence after a November 13, 2018, guilty plea to one count of illegal re-entry after a felony conviction.
At the guilty plea, Redondo-Amador admitted he had illegally entered the United States from Honduras after being deported for a conviction of delivery of marijuana in 2014, in Wright County, Iowa. On July 13, 2018, Redondo-Amador was arrested for third degree sexual abuse in Humboldt County.
Redondo-Amador was sentenced in Sioux City by United States District Court Judge Leonard T. Strand. Redondo-Amador was sentenced to five months’ imprisonment. He must also serve a 2-year term of supervised release after the prison term.
Redondo-Amador is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Kevin C. Fletcher and investigated by Enforcement and Removal Office of the Immigration and Customs Enforcement Bureau.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 18-CR-03050.
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Honduran Man Sentenced to Federal Prison for Illegally Reentering the United StatesRead the Press Release
A man who entered the United States illegally from Honduras was sentenced on February 20, 2019, to six months’ in prison.
Enrique Garcia-Dormes, age 32, from Honduras, received the sentence after a December 12, 2018, guilty plea to one count of illegal re-entry.
At the guilty plea, Garcia-Dormes admitted he had illegally entered the United States from Honduras, on an unknown date, after previously being deported in June of 2013. On August 29, 2018, officers from the Enforcement and Removal Office from ICE, acting on information provided by the Sioux City Police Department, conducted surveillance in Spencer, Iowa, searching for ICE fugitive Garcia-Dormes. Officers witnessed Garcia-Dormes exit a hotel and enter a vehicle along with two other occupants. Officers stopped the vehicle, and arrested Garcia-Dormes.
Garcia-Dormes was sentenced in Sioux City by United States District Court Judge Leonard T. Strand. Garcia-Dormes was sentenced to six months’ imprisonment. He must also serve a 1-year term of supervised release after the prison term.
Garcia-Dormes is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Kevin C. Fletcher and investigated by Enforcement and Removal Office of the Immigration and Customs Enforcement Bureau.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 18-CR-04079.
Follow us on Twitter @USAO_NDIA.
Head of Deadly Elmira Opioid Trafficking Organization Sentenced to 23 Years in PrisonRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Robert Ian Thatcher, 31, of Elmira, NY, who was convicted of conspiracy to possess with intent to distribute, and to distribute, U-47700 and 100 grams or more of furanyl fentanyl, was sentenced to serve 23 years in prison by Chief U.S. District Judge Frank P. Geraci, Jr.
Assistant U.S. Attorney Brett A. Harvey, who handled the case, stated that the defendant, along with co-conspirator Maximillian Sams, ran a large-scale opioid manufacturing and trafficking organization in the Southern Tier of New York and northern Pennsylvania between 2015 and May 2017. As part of the conspiracy, Thatcher and Sams imported bulk quantities of furanyl fentanyl and U-47700 from overseas suppliers China. They ordered the furanyl fentanyl and U-47700 on what is known as “the dark web,” and used different people and addresses in New York and Pennsylvania to receive the shipments. The defendant and Sams purchased equipment and materials – including pill presses/mechanical tableting machines, microcrystalline cellulose, lactose magnesium stearate, and powdered food coloring – which they used to manufacture tens of thousands blue pills containing furanyl fentanyl and U-47700. The pills were made to look like legitimate 30 milligram Percocet pills.
At least two individuals – a 21 year old female, and a 25 male – died after ingesting the blue pills containing furanyl fentanyl and U-47700. In addition, at least one individual – identified as J.M. – overdosed on more than one occasion after using the blue pills manufactured, but survived after being treated by first responders with Narcan.
Thatcher and Sams used residences at 604 South Lehigh Avenue in Sayre, Pennsylvania, and 665 Sawdey Road in Catlin, NY, to manufacture and process the pills for distribution. During the execution of a search warrant at the Sayre location on May 16, 2017, law enforcement agents recovered, among other things, 244 blue pills containing furanyl fentanyl, four long guns and ammunition. In addition, during the execution of a search warrant at the Catlin location on May 18, 2017, law enforcement agents recovered, among other things, materials used by the defendant and Sams to manufacture the pills for distribution. During the conspiracy, Thatcher also possessed several firearms at the Pennsylvania location and his residence in Elmira.
After manufacturing the pills, the defendant and Sams would distribute them in large quantities to other co-conspirators – including Anthony Prettyman, Jesus Rivera, Terrance Washington, and Dwayne Banks, a/k/a Fizzle, a/k/a Fizz, who would then distribute the pills to various street-level customers in the Elmira area. Pills were also supplied to an individual in the Charlotte, North Carolina area. As part of the conspiracy, Sams used co-conspirator Anthony Prettyman to transport 5,330 blue pills containing furanyl fentanyl from Elmira to North Carolina in October 2016. On October 25, 2016, in North Carolina, deputies with the Iredell County (NC) Sheriff’s Office conducted a traffic stop of the vehicle in which Prettyman was traveling. During a subsequent search, the deputies recovered and seized a paint can with a false bottom containing the 5,330 blue pills from inside Prettyman’s vehicle.In early 2017, Thatcher arranged for a package of furanyl fentanyl, that he ordered over the dark web, to be sent to co-conspirator Carlito Rios, Jr. On March 13, 2017, Customs and Border Protection officers at the John F. Kennedy International Airport Mail Branch in Queens, NY, examined a United States Postal Service package addressed to co-conspirator Rios at 1015 Oak Street in Elmira. The sender was listed as an entity in China. Upon inspection, the package was found to contain approximately 249 grams of furanyl fentanyl. The defendant and Sams intended to use the seized furanyl fentanyl to manufacture and distribute additional quantities of the blue pills.
“That the members of this organization sought to profit by pushing poison on those struggling with adiction, is reprehensible,” stated U.S. Attorney Kennedy. “In my view, however, what is even more insidious about their behavior was their efforts to press this poison into counterfeit pills, thereby given their customers a false sense of security that there was some quality and dosage control associated with their manufacture.”
To date, 13 members and associates of the defendant’s opioid manufacturing and trafficking operation have been convicted of federal narcotics offenses. Each of those defendants is awaiting sentencing. Among them, Thatcher’s girlfriend, Amber Bates, who was convicted of money laundering conspiracy and sentenced to five years probation to include six months home detention. In addition, an Elmira resident, Isaiah McLaurin, was convicted in September 2017 of witness tampering, after he made threats on Facebook against an individual working with the Drug Enforcement Administration during the investigation. Chief Judge Geraci sentenced McLaurin to 57 months in federal prison.
The sentencing is the result of an investigation by the Drug Enforcement Administration, Rochester Resident Office and Scranton PA Resident Office, under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division; the New York State Police, Community Narcotics Enforcement Team Southern Tier, under the direction of Major Mary Clark and Lieutenant Kevin P. Sucher; the Elmira Police Department, under the direction of Chief Joseph Kane; Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly; the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Special Agent-in-Charge John B. Devito, New York Field Division; the Pennsylvania State Police, under the direction of Acting Commissioner Lieutenant Colonel Robert Evanchick; the Chemung County Sheriff’s Office, under the direction of Christopher J. Moss; the Iredell, NC County Sheriff’s Office, under the direction of Darren E. Campbell, and Customs and Border Protection Air and Marine Unit, under the direction of Director Brian Manaher. Additional assistance was provided by the Northeast Regional Laboratory.
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Grand Jury Brings New Charges Against Alleged Beaver County Cocaine DealerRead the Press Release
PITTSBURGH, PA – A Beaver County resident has been charged in a Superseding Indictment by a federal grand jury in Pittsburgh, Pennsylvania, with violating federal narcotics laws, United States Attorney Scott W. Brady announced today.
The eight-count Superseding Indictment, returned on Feb. 5, named Rickee Dawkins, 52, of Aliquippa, PA, as the sole defendant.
According to the Superseding Indictment, from July 2016 to July 2017, in the Western District of Pennsylvania, Dawkins conspired to distribute and possess with intent to distribute a quantity of cocaine. In addition, on various dates during the course of the conspiracy, Dawkins distributed and possessed with intent to distribute quantities of cocaine.
The law provides for a maximum total sentence of 20 years in prison, a fine of $1,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Robert C. Schupansky is prosecuting this case on behalf of the government.
This prosecution is part of a long-term investigation by the FBI Greater Pittsburgh Safe Streets Task Force (GPSSTF), which targeted a large scale Drug Trafficking Organization operating in Butler, Beaver and Allegheny Counties. The GPSSTF is comprised of dedicated law enforcement professionals from the Wilkinsburg Police Department, Pennsylvania Attorney General’s Bureau of Narcotics Investigations, Allegheny County Sheriff’s Office, Allegheny County Police Department, Pittsburgh Bureau of Police and the FBI. The GPSSTF and the United States Attorney’s Office, Western District of Pennsylvania, would like to recognize the significant contributions made to this investigation by the Pennsylvania State Police, United Sates Postal Inspection Service, Cranberry Township Police Department and the New Brighton Police Department. The Department of Homeland Security Investigators also assisted in the investigation leading to the Superseding Indictment in this case.
This investigation was funded by the federal Organized Crime Drug Enforcement Task Force Program (OCDETF). The OCDETF program supplies critical federal funding and coordination that allows federal and state agencies to work together to successfully identify, investigate, and prosecute major interstate and international drug trafficking organizations and other criminal enterprises.
A superseding indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Georgia Man Pleads Guilty to Conspiracy in Connection with A Bribery Scheme Involving Three Former Top Buncombe County OfficialsRead the Press Release
ASHEVILLE, N.C. – U.S. Attorney Andrew Murray announced that Joseph F. Wiseman, Jr., 58, of Roswell, Georgia, pleaded guilty to a conspiracy charge today, for his role in a bribery scheme involving three former top Buncombe County Officials.
John A. Strong, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division; Director Robert Schurmeier of the North Carolina State Bureau of Investigation (SBI); and Matthew D. Line, Acting Special Agent in Charge of the Internal Revenue Service, Criminal Investigation Division, Charlotte Field Office (IRS-CI), join U.S. Attorney Murray in making today’s announcement.
According to documents filed with the court, at various times from the mid-1980s through 2017, Wiseman was the agent and contractor on behalf of three businesses that collectively obtained more than $15 million in contracts with Buncombe County for consulting and engineering services. Court records show that from at least 2014 through June 30, 2018, Wiseman engaged in a bribery scheme involving three top Buncombe County Officials: former County Manager Wanda Skillington Greene; former Director of the Department of Planning and Development Jon Eugene Creighton; and former Director of the Department of Social Services, Assistant County Manager, and later Buncombe County Manager, Amanda Stone (collectively, “County Officials”).
According to court documents, the plea agreement, and statements made in court, Greene, Creighton, and Stone engaged in the bribery scheme with Wiseman and used their official positions to enrich and benefit themselves by soliciting and accepting gifts, payments, and other things of value from Wiseman, in exchange for awarding Wiseman and the companies he represented with lucrative county contracts and projects. Court records show that Wiseman understood and agreed that providing the trips, gifts, and other things of value to the three County Officials was a necessary condition for his companies to continue to obtain contracts with the County.
According to court records, prior to 2014, Greene, Creighton, and Stone went on trips that were connected in some way with legitimate county business, but during which Wiseman provided things of value such as meals, wine, tickets to sporting events, and other excursions. By 2014, the County Officials solicited and accepted valuable gifts from Wiseman that were entirely unrelated to any legitimate County business. For example, Wiseman paid for pleasure trips to various locations within the United States and abroad, including to Key West, Boston, Martha’s Vineyard, Napa Valley, San Diego, Vienna, Budapest, Cartagena, and Vancouver, among others. In addition to lodging and airfare, during those trips Wiseman also paid for sightseeing excursions, spa sessions, and gift shop purchases, such as cases of wine from the Napa Valley vineyards that the County Officials visited. To pay for the trips and other incidentals, Wiseman either provided the County Officials with his credit card number, or, as in Creighton’s case, the credit card itself.
As a result of receiving the above-cited things of value, Greene and Creighton awarded on behalf of Buncombe County multiple contracts worth over $2 million to Wiseman’s company, Environmental Infrastructure Consulting, LLC (EIC). According to the filed factual basis statement to which Wiseman agreed during the entry of his guilty plea, Wiseman contends that the expenses he incurred by providing these trips, gifts, and other things of value to the County Officials came out of what otherwise would have been part of the his own profit, rather than from any type of “padding” or inflating of the contract amounts. However, Wiseman did agree that he provided the valuable gifts for the purpose of influencing Greene, Creighton, and Stone’s decision to award the contracts, and, in doing so, Wiseman conspired with the County Officials to deprive the Government and the citizens of Buncombe County of their right to the honest services of those employees.
Wiseman pleaded guilty to conspiracy to commit honest services fraud before U.S. Magistrate Judge Carleton Metcalf. The maximum penalty for the charge is five years in prison and a fine of $250,000. A sentencing date has not been set.
In making today’s announcement, U.S. Attorney Murray thanked the FBI, IRS-CI and the SBI for their investigation of this case, and noted that the investigation into allegations of criminal activities within the Buncombe County Government is ongoing.
Assistant United States Attorney Richard Edwards of the U.S. Attorney’s Office in Asheville is prosecuting the case.
Gang Member with Gun Goes to Federal PrisonRead the Press Release
PITTSBURGH -A Pittsburgh-area gang member has been sentenced in federal court to two years of imprisonment on his conviction of violating federal firearms laws, United States Attorney Scott W. Brady announced today.
United States District Judge Cathy M. Bissoon imposed the sentence on Tre Goins, 24, of Pittsburgh, PA.
According to information presented to the court, Goins was a member of the "TRAPPLE" street gang in the East End area of the City of Pittsburgh. On June 23, 2017, a 17-year-old boy was shot to death near a residence on Apple Avenue, the headquarters of the gang. Goins was observed by police leaving the alley behind this residence with an object tucked to his waist. That item was discovered to be the murder weapon used by another gang member during the killing. Since the defendant had two prior convictions for gun offenses in state court, he was also prohibited from possessing a firearm or ammunition under federal law.
Prior to imposing sentence, Judge Bissoon heard testimony from the mother of the deceased victim as she described what his death meant to her and the family. Based in part upon a sentencing guideline range of 24 to 30 months, Judge Bissoon determined that 24 months of incarceration, a $10,000 fine, and supervision by the United States Probation Office for the maximum period of three years after his release from federal prison, was the sentence that was sufficient but not more than necessary in this matter. The Judge ordered that her sentence run concurrent with any future sentence imposed by the Pennsylvania Board of Probation and Parole as a result of committing the federal gun offense while on state parole for two prior gun convictions.
Assistant United States Attorney Ross E. Lenhardt, of the Major Crimes and Violent Crimes Sections of the United States Attorney’s Office, prosecuted this case on behalf of the government.
United States Attorney Brady commended the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Pittsburgh Bureau of Police for the investigation leading to the successful prosecution of Goins.
This case was prosecuted as part of Project Safe Neighborhoods, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Four people indicted for firearms violationsRead the Press Release
Four people were indicted in federal court for firearms crimes.
Indicted are: Jevonn Goolsby, 29, of Akron; Seirgio Kindell, 30, of Canton; Charles E. Goode Jr., 37, of Lakewood, and Dwayne J. Wilson, 34, of Euclid.
Goolsby is charged with being a felon in possession of ammunition. Goolsby possessed a Hi-Point C9 pistol and seven rounds of ammunition on August 3, 2018, despite previous convictions for aggravated robbery and robbery, according to the indictment.
Kindell is charged with being a felon in possession of a firearm and ammunition. Kindell possessed Walther .22-caliber pistol and ammunition on December 5, 2018, despite a previous conviction for felonious assault with a firearm specification, according to the indictment.
Goode is charged with being a felon in possession of a firearm and ammunition. Goode possessed Ruger 9 mm pistol and ammunition on December 2, 2018, despite a previous conviction for aggravated assault, attempted felonious assault and aggravated robbery with a firearms specification, according to the indictment.
Wilson is charged with being a felon in possession of a firearm and ammunition. Wilson possessed Smith & Wesson 9 mm pistol and ammunition on December 16, 2018, despite a previous conviction for domestic violence and burglary, according to the indictment
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal records, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases, the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
These cases were investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Akron Police Department (Goolsby).
They are being prosecuted by Assistant U.S. Attorneys Damoun Delaviz, Aaron P. Howell and Kelly L. Galvin.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Founder and President of Online Gaming Company Charged in Manhattan Federal Court for Participating in Multimillion-Dollar Fraud SchemeRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, and William F. Sweeney Jr., the Assistant Director-in-Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), announced today that ROBERT ALEXANDER was arrested this morning on securities fraud and wire fraud charges stemming from his participation in a scheme to defraud investors by soliciting investments in his online gaming company (the “Company”) through false representations and using investor funds for his own personal use.
ALEXANDER is expected to be presented today in Manhattan federal court before the U.S. Magistrate Judge Ona T. Wang.
U.S. Attorney Geoffrey S. Berman said: “As alleged, Robert Alexander lied to investors in his online gaming company, fabricating information about his professional background and promising to use investor money solely to further the aims of the business. Instead, Alexander allegedly used more than $1.3 million in investor funds on, among other things, gambling excursions, entertainment venues, and other personal expenses. As this arrest demonstrates, fraud on investors is no game, and we will continue to partner with the FBI to investigate and prosecute those who defraud investors.”
FBI Assistant Director-in-Charge William F. Sweeney, Jr. said: “Time and time again, we come across evidence of investment funds being misappropriated to pay off personal debts or fund extravagant lifestyles. As evidenced by today’s arrest, those who allegedly use these funds for other than their intended purpose are taking a gamble—the bigger the risk does not always mean the greater the reward.”
According to the Complaint[1]:
Beginning in at least 2013 and continuing through in or about 2017, ALEXANDER engaged in a scheme to defraud investors in the Company. Specifically, ALEXANDER solicited and maintained investments in the Company through numerous false representations, including concerning his own professional background, the Company’s financial condition, expected returns on investment, and assurances to investors that their investments would be used solely for the Company’s business purposes.
Also in furtherance of his scheme and contrary to representations made to investors, ALEXANDER used more than approximately $1.3 million of the funds he obtained from investors for his own personal expenses instead of for the Company’s business purposes. For example, ALEXANDER used investor funds to make payments toward his personal credit cards, to fund his gambling excursions to multiple casinos, to make rental payments for his personal residence, and to make car payments for a luxury car purchased for one of ALEXANDER’s family members.
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ALEXANDER, 49, of Las Vegas, Nevada, was arrested this morning. ALEXANDER is charged with one count of securities fraud and one count of wire fraud. The securities fraud count carries a maximum sentence of 20 years in prison and a maximum fine of $5 million or twice the gross gain or loss from the offense. The wire fraud count carries a maximum sentence of 20 years in prison and a maximum fine of $250,000 or twice the gross gain or loss from the offense. 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 work of the FBI. He also thanked the Securities and Exchange Commission.
This case is being handled by the Office’s Securities and Commodities Fraud Task Force. Assistant U.S. Attorneys Elisha J. Kobre and Margaret Graham are in charge of the prosecution.
The allegations 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 herein, constitute only allegations, and every fact described should be treated as an allegation.
Former Virginia Beach Probation Officer Sentenced to PrisonRead the Press Release
NORFOLK, Va. – A former Virginia Beach probation officer was sentenced today to eight years in prison for committing bank and wire fraud.
According to court documents, Kevin Darlene Edwards, 63, engaged in a four-year long scheme to defraud Beach Municipal Credit Union, two lenders, and other individuals of money and property. Starting in April 2015, Edwards falsified and forged numerous documents to support her application for a $650,000 loan. Through fraud and deceit, Edwards successfully obtained the loan and purchased a very large home in Chesapeake. Shortly thereafter, Edwards defaulted on the mortgage and filed a fraudulent bankruptcy to prevent the foreclosure sale, while also making numerous misrepresentations to the United States Bankruptcy Court.
In addition to committing bank fraud, Edwards also procured a fraudulent loan from another lender by falsely asserting that she needed funds to save her daughter-in-law’s home from foreclosure. To obtain this loan, Edwards created a fake attorney and forged the signatures of her children and the notary on numerous fraudulent documents. As a result, Edwards caused the lender to place a fraudulent lien on the home owned by her children.
To lull some of her victims, Edwards created fraudulent court orders involving fictitious cases and forged signatures of federal judges. After pleading guilty in this case, and while awaiting sentencing, Edwards filed another fraudulent lawsuit in Chesapeake Circuit Court to again prevent the foreclosure sale of her Chesapeake home. In that lawsuit, which the Chesapeake Circuit Court dismissed, Edwards made numerous misrepresentations and presented a letter claiming that she intended to pay off the mortgage on her home with the proceeds of a $3 trillion settlement fund that did not exist.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Martin Culbreth, Special Agent in Charge of the FBI’s Norfolk Field Office, made the announcement after sentencing by U.S. District Judge Arenda Wright Allen. Assistant U.S. Attorneys Melissa E. O’Boyle and Daniel Shean prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of theDistrict Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:18-cr-120.
Former Teemco President Sentenced to Prison for Tax FraudRead the Press Release
OKLAHOMA CITY – GREGORY DAMIEN LORSON, of Panama City Beach, Florida, was sentenced today to five years in prison for not paying federal payroll taxes withheld from wages of TEEMCO, LLC, employees, announced Robert J. Troester of the U.S. Attorney’s Office.
On April 3, 2018, Lorson was charged in a one-count Information with willful failure to collect and pay federal payroll taxes to the IRS. According to the Information, Lorson was President and Chief Executive Officer of TEEMCO, LLC, from 2010 until the business closed in mid-2015. TEEMCO was an environmental sales and consulting company in Oklahoma City. From 2010 to 2015, TEEMCO deducted and withheld federal income taxes, Social Security taxes, and Medicare taxes (commonly called "payroll taxes") from wages of TEEMCO employees. Under federal law, an employer must deduct and withhold payroll taxes from employees’ wages, and then pay those withheld taxes to the IRS at the end of each quarter. According to the Information, instead of forwarding the withheld payroll taxes to the IRS, Lorson used that money to fund TEEMCO’s extensive advertising campaign and to pay other creditors and expenses.
Lorson pleaded guilty on June 15, 2018. He admitted that TEEMCO withheld federal payroll taxes from employees’ wages and that he knew TEEMCO had a duty to pay those withheld taxes to the IRS. Lorson admitted that he directed TEEMCO employees not to forward the withheld payroll taxes to the IRS. He also admitted that he failed to file with the IRS quarterly federal tax returns for TEEMCO from 2010 to 2015. As part of his plea agreement, he agreed to pay $3,003,220.47 in restitution to the IRS for withheld payroll taxes and other federal taxes that TEEMCO never paid to the IRS for company employees. Lorson also agreed to pay an additional $542,162.53 in restitution to the Oklahoma Tax Commission for TEEMCO employees’ state taxes that were withheld but never paid to state tax authorities.
Today Chief U.S. District Judge Joe Heaton sentenced Lorson to five years in federal prison, followed by three years of supervised release. The court chose a sentence above the advisory sentencing guideline range and at the statutory maximum based on the circumstances of the offense and other factors. Lorson will also be required to pay restitution in the amount of $3,545,383.00.
This case was the result of an investigation conducted by IRS–Criminal Investigations and was prosecuted by Assistant U.S. Attorney Chris M. Stephens.
Reference is made to public filings for further information.
Former Postal Employee Pleads Guilty to Misappropriation of Postal FundsRead the Press Release
NEW ORLEANS – United States Attorney Peter G. Strasser announced yesterday that JACQUELINE M. BATISTE a/k/a Jacqueline Batiste Francois, age 48, of New Orleans, Louisiana, entered a plea of guilty to misappropriation of postal funds, in violation of Title 18, United States Code, Section 1711.
According to documents filed in federal court, BATISTE was employed by the United States Postal Service (“USPS”) as a City Letter Carrier/Supervisor working in the New Orleans Bywater Station (“Bywater”) Post Office. One of BATISTE’s responsibilities was to prepare and dispatch the Bywater Station’s daily remittances for deposit with the New Orleans Process and Delivery Center Registry Section (“PDCRS”).
The case against BATISTE began when the PDCRS contacted the USPS Office of Inspector General (“OIG”) because the Bywater Post Office failed to submit remittances. The USPS OIG’s investigation revealed that Bywater employees gave deposit money to BATISTE for remittance to the Registry Section.
On March 29, 2018, Batiste agreed to meet with special agents of the USPS OIG. BATISTE was advised of her Miranda rights and was told that the agents wanted to discuss financial issues in the Bywater Post Office. BATISTE told the agents that she had a gambling issue and liked to play the slot machines at Boomtown Casino. BATISTE said, on the date in question, she notified a fellow postal employee that she was going to place the deposit money in the safe. Special agents asked BATISTE if that happened and BATISTE replied, “No, I had the urge.” BATISTE admitted to taking the deposit money for March 10, 2018 and going to Boomtown. Special agents asked BATISTE if it was safe to say the missing $1,214.00 was now at Boomtown and she replied “Yes sir.” According to BATISTE, she had already lost her own money at Boomtown on Saturday before losing the rest of the money she had taken from the USPS.
BATISTE faces a maximum penalty of one year imprisonment followed by up to one year of supervised release, a $100,000.00 fine, and a mandatory $25.00 special assessment. Sentencing is scheduled for June 5, 2019.
U.S. Attorney Peter G. Strasser praised the work of the Office of Inspector General for the United States Postal Service. The prosecution of the case is being handled by Assistant U.S. Attorney Brian M. Klebba, Supervisor of the Financial Crimes Unit.
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Former Officer at Louisiana Correctional Center Pleads Guilty for Role in Conspiracy to Cover up Physical Assault of Five InmatesRead the Press Release
The Justice Department today announced that defendant Quintail Credit, a former officer at the Richwood Correctional Center, pleaded guilty in federal court yesterday for his role in a conspiracy to cover up the physical assault of five inmates by officers. Credit, 26, of Winsboro, Louisiana, pleaded guilty to conspiring with other officers to falsify documents with intent to obstruct and influence the investigation of a matter within federal jurisdiction. Assistant Attorney General Eric Dreiband for the Civil Rights Division and U.S. Attorney for the Western District of Louisiana David C. Joseph made the announcement.
“Any officer who conspires to cover up any crime or physical assault against an inmate violates federal law and will be held accountable under the law,” said Assistant Attorney General Eric Dreiband. “The Justice Department will continue to prosecute unlawful misconduct by correction officers.”
“Criminal conduct by correctional officers will not be tolerated in the Western District of Louisiana,” said U.S. Attorney David C. Joseph. “Correctional officers deserve our respect for the jobs they do, but we must also hold them accountable when they willfully break the law and cover up the abuse of inmates.”
According to his guilty plea, Credit worked as a correctional officer at the Richwood Correctional Center in Richwood, Louisiana, where on Oct. 30, 2016 he and other officers abused inmates and then conspired to cover it up. According to Mr. Credit, he and other officers sprayed a chemical agent directly in the faces and eyes of five inmates while the inmates were handcuffed, compliant, kneeling on the floor, and not posing a physical threat to anyone. Following that abuse, Mr. Credit and the other officers conspired to hide their conduct by submitting false reports.
Roderick Douglas, a former supervisor at the Richwood Correctional Center, pleaded guilty in federal court on Jan. 31 for his role in the conspiracy to violate the civil rights of five inmates. Sentencing for Douglas is scheduled for June 5, 2019.
The count of conviction carries a maximum penalty of five years in prison and a criminal fine of up to $250,000. Mr. Credit is scheduled to be sentenced on May 17, 2019 by U.S. District Judge Terry A. Doughty of the Western District of Louisiana, who accepted the plea.
This case is being prosecuted by Assistant U.S. Attorney Mary Mudrick of the U.S. Attorney’s Office of the Western District of Louisiana, and Trial Attorney Anita Channapati of the Civil Rights Division, Criminal Section. The case was investigated by the Monroe Division of the FBI.
Former Memphis Police Officer Sentenced to 96 Months in Federal PrisonRead the Press Release
Memphis, TN – Former Memphis Police Officer, Terrion Bryson, 26, has been sentenced to 96 months imprisonment for narcotics and weapons possession offenses committed while on duty. U.S. Attorney D. Michael Dunavant announced the sentence today.
In early 2018, the FBI and MPD began a joint investigation of officers Kevin Coleman and Terrion Bryson. In April of 2018, Coleman and Bryson agreed to escort approximately 2.5 kilograms of heroin to a storage facility in Memphis. Coleman was on duty, in his MPD squad car, at the time of the escort. Bryson, not on duty at the time, but armed with a handgun, accompanied the driver, an undercover MPD officer, in the car with the heroin. Both Coleman and Bryson were arrested shortly thereafter.
U.S. Attorney D. Michael Dunavant said, "A very low percentage of law enforcement officers engage in official misconduct and corruption, but when they do, it tarnishes the entire criminal justice system and damages the trust and confidence of citizens in proper police authority. When police officers use their badges to become drug dealers and highway robbers, it is our duty to expose their corruption, hold them accountable, and protect society from their dishonesty. This sentence will hopefully deter other corrupt police behavior, restore the public’s faith in honest officers, and send a message that nobody is above the law."
"No one is immune to consequences. If a law enforcement officer chooses to violate the law, swift action will be taken. It is our job to uphold the law, and that is what the officers of the Memphis Police Department will continue to do," said Michael Rallings, Director, Memphis Police Department.
"Law enforcement officers who use their position for private gain undermine the integrity of and erode the public’s trust in the very framework of our justice system," says M.A. Myers, Special Agent in Charge of the FBI Memphis Field Office. "The vast majority of law enforcement officers at the local, state and federal level are honest and dedicated professionals who strive every day to uphold the law and protect their communities. Unfortunately, there is a small percentage who violate the public trust, and the FBI will continue to target them as our top criminal investigative priority."
On February 7, 2019, U.S. District Court Judge John T. Fowlkes Jr., sentenced Bryson to 96 months imprisonment followed by 5 years of supervised release. Bryson entered a guilty plea on November 19, 2018. Co-defendant Kevin Coleman, also a former Memphis Police Officer, was previously sentenced to 120 months imprisonment.
This case was investigated by the Federal Bureau of Investigation Tarnished Badge Task Force and the Memphis Police Department Organized Crime Unit.
Assistant U.S. Attorney David Pritchard prosecuted this case on the government’s behalf.
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Former Correctional Officer Pleads Guilty to Assaulting Two Handcuffed Inmates at Elayn Hunt Correctional CenterRead the Press Release
WASHINGTON – Adrian Almodovar III, a former correctional officer at Elayn Hunt Correctional Center in St. Gabriel, Louisiana, pleaded guilty in federal court today to unlawfully assaulting two handcuffed inmates and to failing to stop other correctional officers from assaulting one of the inmates.
“The Justice Department will hold correctional officers accountable to the public by investigating and prosecuting officers who inflict cruel and unusual punishment on inmates,” said Assistant Attorney General Eric Dreiband. “The Civil Rights Division is committed to protecting victims of these abuses and upholding the Constitution and laws that protect us all.”
“This officer chose to engage in criminal activity and by doing so dishonored himself and the countless honorable corrections officers who undertake difficult and dangerous work in our penal institutions every day - for that, he was held accountable,” said U.S. Attorney Fremin. “We will remain steadfast in upholding our obligation to protect the civil rights of others and will hold accountable those, like Mr. Almodovar, who abuse their authority. I want to thank the Civil Rights Division of the Department of Justice, the FBI, and the Office of the Louisiana Inspector General for their efforts in bringing this offender to justice.”
“The integrity of the entire system is threatened when those entrusted with power and authority choose to violate that trust. It is especially egregious when it happens in the corrections system,” said Louisiana Inspector General Stephen Street. “All who engage in this criminal behavior should know that significant criminal consequences will result. The Louisiana OIG remains committed to working with our law enforcement partners to ensure this.”
"Placed in a position of public trust at the Elayn Hunt Correctional Facility, Adrian Almodovar III abused defenseless inmates, discredited our justice system, and tarnished the image of countless good officers. The FBI remains committed to upholding the Constitution and protecting the civil rights of all persons," said Eric J. Rommal, FBI New Orleans Special Agent in Charge.
Almodovar, 39, pleaded guilty to one count of willfully depriving the inmates of their right to be free from cruel and unusual punishment. Information presented during the plea hearing established that Almodovar assaulted inmate J.H. multiple times on Jan. 9, 2017, by punching him in the face. During all of these assaults, inmate J.H. was restrained in handcuffs and was not offering any resistance. Later that day, Almodovar also punched inmate L.B. in the head. During this assault, inmate L.B. was also restrained in handcuffs and was not offering any resistance.
During the plea hearing, Almodovar admitted he was aware at the time of these assaults that he did not have any legal justification for using force on the inmates but did so anyway. Almodovar also admitted that he witnessed other correctional officers assaulting inmate J.H. on two separate occasions and failed to intervene to stop them, despite knowing he had a duty to protect inmates from unlawful assaults. Two other correctional officers have previously pleaded guilty for their roles in the assaults on inmate J.H.
Almodovar faces a maximum statutory penalty of ten years in prison and a $250,000 fine.
This case is being investigated by the FBI’s Baton Rouge Resident Agency Office and the Louisiana Office of the State Inspector General. The case is being prosecuted by Trial Attorney Zachary Dembo of the Civil Rights Division’s Criminal Section.
Florida Man Sentenced in Cocaine CaseRead 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 Josue Vega, 37, of Kissimmee, Florida, who was convicted of possession of cocaine with intent to distribute, was sentenced to serve 18 months in prison by U.S. District Judge Elizabeth A. Wolford.
Assistant U.S. Attorney Katelyn Hartford, who is handling the case, stated that on June 2, 2017, and June 15, 2017, the defendant sold 93 grams of cocaine in Rochester. Subsequently, on August 2, 2017, Vega was observed obtaining 31 grams of cocaine with the intent to distribute it to others.
The sentencing is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division.
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Federal Inmates Indicted for Escaping from PrisonRead the Press Release
BEAUMONT, Texas – Three federal prison inmates have been indicted for escaping from prison announced U.S. Attorney Joseph D. Brown today.
The three federal inmates were charged with escape in three separate indictments returned by a federal grand jury today.
According to the indictments on Jan. 12, 2019, the Jefferson County Sheriff’s Office received a call from a citizen near the Bureau of Prison Camp Facility in west Jefferson County reporting they had witnessed inmates crossing a pasture and getting picked by a vehicle on Hillebrandt Road. A Jefferson County Sheriff’s Deputy pulled over the vehicle shortly afterwards and found two of the escapees inside. The inmates were transported back to the prison facility by law enforcement officers. A third inmate returned to the facility on foot several hours later. Charged in the indictments are:
- Juan Carlos Acuna, 37, of Marietta, Georgia. Acuna was sentenced to 22 years in federal prison in 2006 for possession with intent to distribute over 150 kilos of cocaine.
- Clemente Valdez, Jr., 36, of Dallas. Valdez was sentenced to over 17 years in federal prison in 2012 for conspiracy to commit money laundering and conspiracy to distribute cocaine. Valdez was also convicted of marijuana trafficking in 2003 and served state prison time in North Carolina for that offense.
- Arnold Troy Crayton, 37, of Fort Worth. Crayton was sentenced to 5 years in federal prison in 2014 for possession with intent to distribute marijuana. He has prior felony convictions for conspiracy to distribute cocaine and has been in a federal prison facility since 2002.
If convicted, the defendants each face up to five years in federal prison.
This case is being investigated by the U.S. Bureau of Prisons and Jefferson County Sheriff’s Office and prosecuted by Executive Assistant U.S. Attorney Brit Featherston.
A grand jury indictment is not evidence of guilt. A defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Federal Grand Jury Criminal Indictments AnnouncedRead the Press Release
TULSA, Okla. – United States Attorney Trent Shores announced today the results of the February 2019 Federal Grand Jury. An additional seven sealed indictments were also returned.
The following individuals have been charged with violations of United States law in an indictment returned by the Grand Jury. The return of an indictment is a method of informing a defendant of alleged violations of federal law, which must be proven in a court of law beyond a reasonable doubt to overcome a defendant’s presumption of innocence.
Benito Alba-Figueroa. Unlawful Reentry of a Removed Alien. Benito Alba-Figueroa, 23, is charged with reentry of a removed alien, having returned to the United States unlawfully after being deported Aug. 8, 2015, at or near Nogales, Arizona. Immigration and Customs Enforcement’s Homeland Security Investigations is the investigative agency.
Martin Castillo-Vasquez. Unlawful Reentry of a Removed Alien. Martin Castillo-Vasquez, 24, is charged with reentry of a removed alien, having returned to the United States unlawfully after being deported Jun. 25, 2015, at or near El Paso, Texas. Immigration and Customs Enforcement’s Homeland Security Investigations is the investigative agency.
Jesus Ponce Dominguez. Possession of Methamphetamine With Intent to Distribute; Possession of Heroin With Intent to Distribute; Maintaining a Drug-Involved Premises; Possession of Firearms While Present in United States Under Nonimmigrant Visa; and Possession of Firearms in Furtherance of Drug Trafficking Crimes. Dominguez, 29, of Tulsa, is charged with possession with intent to distribute 500 grams or more of a mixture and substance containing methamphetamine; possession with intent to distribute 100 grams or more of a mixture and substance containing heroin; maintaining a place to manufacture and distribute methamphetamine and heroin; possessing firearms while present in the United States while under a nonimmigrant visa; and possessing firearms in furtherance of drug trafficking crimes. Dominguez possessed a combination of seven pistols, one shotgun, and four rifles. The Tulsa Police Department, Drug Enforcement Administration, and Bureau of Alcohol, Tobacco, Firearms and Explosives are the investigative agencies.
Adrian Ponce Dominguez. Possession of Methamphetamine With Intent to Distribute; Maintaining a Drug-Involved Premises; and Possession of Firearms in Furtherance of Drug Trafficking Crimes. Dominguez, age unknown, of Tulsa, is charged with possession with intent to distribute 500 grams or more of a mixture and substance containing methamphetamine; maintaining a place to manufacture and distribute methamphetamine; and possessing firearms in furtherance of drug trafficking crimes, including Beretta Nano 9 mm pistol and a Masterpiece Arms Defender 9 mm pistol. The Tulsa Police Department and Drug Enforcement Administration are the investigative agencies.
Christopher Jacob Froehlich. Aggravated Identity Theft and Wire Fraud. Froehlich, 33, of Salisaw, is charged with knowingly possessing and using, without lawful authority, identification belonging to another individual while committing wire fraud, which is a felony. Froehlich used a stolen credit card to make fraudulent purchases at a Walmart, causing a loss of $1,058.29. The U.S. Secret Service and Broken Arrow Police Department are the investigative agencies.
Gustavo Adrian Lopez-Soria. Unlawful Reentry of a Removed Alien. Lopez-Soria, 26, of Amarillo, Texas, is charged with reentry of a removed alien, having returned to the United States unlawfully after being deported March 12, 2018, at Laredo, Texas. Immigration and Customs Enforcement’s Homeland Security Investigations is the investigative agency.
Efrain Munguia-Alverez. Unlawful Reentry of a Removed Alien. Munguia-Alverez, 32, of Tulsa, is charged with reentry of a removed alien, having returned to the United States unlawfully after being deported Nov. 28, 2016, at Del Rio, Texas. Immigration and Customs Enforcement’s Homeland Security Investigations is the investigative agency.
Kenneth James Thunderburk. Possession of Methamphetamine with Intent to Distribute. Thunderburk, 37, of Bernice, is charged with possessing with intent to distribute methamphetamine. The Catoosa Police Department, Bureau of Indian Affairs and Drug Enforcement Administration are the investigative agencies.
Fayetteville Man Sentenced on Drug and Gun Charges Following Search WarrantRead the Press Release
NEW BERN — The United States Attorney for the Eastern District of North Carolina, Robert J. Higdon, Jr., announced that today, United States District Judge Louise W. Flanagan sentenced Travis Ladon Fulton, 42, of Fayetteville to 117 months’ imprisonment, followed by 5 years of supervised release. On October 17, 2018, FULTON pled guilty to three counts: possession with intent to distribute quantities of heroin, cocaine, and marijuana; possession of a firearm in furtherance of a drug trafficking crime; and possession of a firearm by a convicted felon.
In August 2017, the Fayetteville Police Department learned through a confidential informant that FULTON was selling controlled substances out of a house in Fayetteville. Over the course of the next few weeks, law enforcement successfully directed the informant to make three controlled buys of drugs from FULTON at the residence – the first two of heroin and the third of cocaine.
On October 5, 2017, members of the Fayetteville Police Department executed a search warrant at the residence. Hidden in a small popcorn machine, officers found quantities of cocaine, crack cocaine, heroin, and marijuana. Officers found several other drug-related items throughout the kitchen: a digital scale with cocaine residue, Suboxone and Fentanyl patches, a razor blade knife with cocaine residue, and both unused and torn plastic sandwich bags. In a tool bag by the front door, officers found a loaded Glock .40 caliber handgun. The confidential informant had described seeing FULTON with the gun during one of the controlled buys. It had previously been reported to law enforcement as having been stolen.
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 Fayetteville Police Department, and the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF). Assistant United States Attorneys Jake D. Pugh represented the government.
Engineering Contractor Sentenced to Prison for Bribery in Macomb County Corruption ProbeRead the Press Release
A former civil engineering contractor in Macomb County, Paulin Modi, 50, of Troy, Michigan, was sentenced today to twelve months in prison followed by two years of supervised release based on his conviction for conspiracy to commit bribery, United States Attorney Matthew Schneider announced.
Schneider was joined in the announcement by Timothy R. Slater, Special Agent in Charge of the Detroit Field Office of the Federal Bureau of Investigation and Manny Muriel, Special Agent in Charge of the Detroit Field Office of the Internal Revenue Service.
In September 2017, Modi pleaded guilty to conspiring to bribe Steven Hohensee, who was then the Superintendent of the Department of Public Works for Washington Township, Michigan. Modi paid multiple cash bribes amounting to $5,000 to Hohensee in 2013 and 2014 in an effort to secure a $1 million per year engineering contract between Modi’s company and Washington Township. In addition, Modi assisted two executives from another engineering firm to pay a $2,000 bribe to Hohensee with the hope of securing more business for this other engineering firm. Unbeknownst to Modi, Hohensee was cooperating with the FBI at the time, and Hohensee recorded the bribe payment and related discussions. Modi also provided a $25,000 “loan” to another Washington Township official in order to protect his firm’s contract with the township.
After being confronted by the FBI back in 2015, Modi has worked diligently to cooperate with the government’s investigation into cooperation in Macomb County. His sentence was reduced based on that cooperation, including his June 2018 testimony at the trial of Clinton Township Trustee Dean Reynolds. Reynolds, who failed to take responsibility for his actions and did not cooperate in the investigation, was sentenced to 17 years in prison on February 6, 2019, based on his convictions for multiple conspiracies to commit bribery.
This case is part of the government’s wide-ranging corruption investigation centered in Macomb County, Michigan. The investigation of this case was conducted by the Federal Bureau of Investigation and the Internal Revenue Service. The case is being prosecuted by Assistant U.S. Attorneys David A. Gardey and R. Michael Bullotta.
Elyria man who stabbed a woman indicted in federal court for carjackingRead the Press Release
An Elyria man who stabbed a woman was indicted in federal court for carjacking.
Johnny G. Mack III, 39, was indicted on one count of carjacking after he used force to steal a 2016 Nissan Altima on December 12, 2018, according to the indictment.
Mack pulled a knife and threated to stab the driver of the Altima as he pushed her into her car. Mack stabbed the victim, causing small puncture wounds to her legs, stomach and hands, according to court documents.
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violations. In all cases, the sentence will not exceed the statutory maximum and, in most cases, it will be less than the maximum.
This case is being investigated by the FBI and Elyria Police Department. It is being prosecuted by Assistant U.S. Attorney Scott Zarzycki.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Eastern District of Tennessee U.S. Attorney’s Office Backs the BlueRead the Press Release
Although we are only a little more than a month into 2019, statistics from the Officer Down Memorial Page indicate that across the nation 15 police officers have already been killed in the line of duty. One officer death is too many. Fifteen is an outrage!
These same statistics indicate that in 2018 a total of 150 police officers lost their lives in the line of duty. The number reaches a staggering total of 811 for the past five years. Few words are more heart wrenching than “officer down.” This violence against police officers must stop.
Brave members of the law enforcement community put their lives on the line every day to make our neighborhoods safer. They do this selflessly, not for the money, fanfare, or recognition, but because of a desire and commitment to serve their communities. They are the foundation of our cities and towns, making sacrifices 24 hours a day, seven days a week, to ensure the safety of their families, friends and complete strangers. They should never have to sacrifice their lives. They are our first call when we need help…and, that call should never be their last.
In February 2017, just weeks after taking office, President Trump issued an executive order calling on the Department of Justice to back our men and women in blue. This is exactly what our office has done and will continue to do. As United States Attorney in the Eastern District of Tennessee, I am personally committed to working in partnership with state and local law enforcement to develop strategies that work in our communities and make the streets safer for everyone, including law enforcement. Our office will continue to ensure that our laws are enforced and the public is safe.
The considerable number of law enforcement officers injured or killed across the nation in the line of duty over these past few weeks should be a reminder to us all of the hundreds of thousands of men and women in this country who put themselves in harm’s way each day. They, as well as their families, deserve our heartfelt thanks for a job well done.
While we should always surround our law enforcement community with respect and appreciation, this is especially important during the time of these senseless deaths. I challenge each of you in the coming days to make a point simply to stop and say “thank you” to an officer for doing his or her job to keep us, our families and our communities a safer place to live.
J. Douglas Overbey, United States Attorney, Eastern District of Tennessee
Dominican Republic Man Who Mailed Narcotics from St. John Sentenced to 46 Months in Prison for Possession of 2 Kilograms of Cocaine with the Intent to DistributeRead the Press Release
St. Thomas, USVI – Braulio Martinez, 33, of the Dominican Republic, was sentenced today in District Court before District Court Judge Curtis V. Gomez, to possession with the intent to distribute cocaine, United States Attorney Gretchen C.F. Shappert announced. District Court Judge Curtis V. Gomez sentenced Martinez to 46 months followed by four years supervised release. Judge Gomez additionally ordered that Martinez pay a $100 special assessment.
According to court documents, on or about July 25th, 2017, Martinez is seen on video mailing a package from St. John, Virgin Islands, to the U.S. mainland. The package was inspected by U.S. Customs and Border Protection and found to contain electronic equipment with two black plastic-like wrapped packages secreted inside the equipment. The packages were brick-like in shape and each contained a white powdery substance that field-tested positive for cocaine. The packages were sent to the DEA laboratory for testing and confirmed to be approximately two kilograms of cocaine.
The case was investigated by the Drug Enforcement Administration (DEA) and the United States Postal Inspection Services (USPIS) and prosecuted by Assistant U.S. Attorney Sigrid M. Tejo-Sprotte.
Dominican Man Pleads Guilty to Possession of Cocaine with the Intent to Distribute as a Result of His Involvement in the Mailing of Four Kilograms of Cocaine from St. ThomasRead the Press Release
St. Thomas, USVI – Domingo Diaz Diaz, 40, of the Dominican Republic, pleaded guilty today to possession of cocaine with the intent to distribute, United States Attorney Gretchen C.F. Shappert announced. Diaz was remanded pending a sentencing hearing set for June 13, 2019.
According to court records, in February of 2016, Diaz was involved in the mailing of a package through the Ottley Post Office in Sugar Estate, St. Thomas that contained approximately four kilograms of cocaine, a controlled substance. Court records indicate that Diaz’ latent prints were subsequently recovered from inside of the package.
The case was investigated by the United States Postal Inspection Service (USPIS), the Drug Enforcement Administration (DEA), Homeland Security Investigations (HSI) and U.S. Customs and Border Protection (CBP) and prosecuted by Assistant United States Attorney Sigrid M. Tejo-Sprotte.
District Court Enters Permanent Injunction Against Pennsylvania Compounding Pharmacy and its Owner to Prevent Adulteration of DrugsRead the Press Release
The U.S. District Court for the Western District of Pennsylvania entered a consent decree of permanent injunction against defendants Ranier’s Rx Laboratory Inc., doing business as Ranier’s Compounding Laboratory, and Francis H. Ranier, its owner. The injunction permanently enjoins the defendants from doing any act that causes a drug to become adulterated based on insanitary conditions while such drug is held for sale after shipment of one or more of its components in interstate commerce, the Department of Justice announced today.
The entered permanent injunction stems from a complaint the Department filed in the U.S. District Court for the District of Western Pennsylvania on Feb. 1, 2019, at the request of the U.S. Food and Drug Administration (FDA). The complaint alleged that defendants violated the Federal Food, Drug, and Cosmetic Act by causing articles of drug to become adulterated. The complaint alleged that defendants’ drugs were adulterated because they were prepared, packed, or held under insanitary conditions whereby they may have been contaminated with filth or may have been rendered injurious to health.
“The Department of Justice aggressively pursues legal measures to help ensure that compounded drugs intended to be sterile are made under appropriate conditions and thereby to minimize risk to consumers,” said Assistant Attorney General Jody Hunt of the Department of Justice’s Civil Division. “The Department of Justice will continue to work with the FDA to make sure that consumers can rely on the protections in the Federal Food, Drug, and Cosmetic Act.”
Defendants agreed to settle the complaint and be bound by a consent decree for permanent injunction. As part of the settlement, defendants represented that they are not engaged in manufacturing, holding, and/or distributing any sterile drugs manufactured at their facility. As part of the permanent injunction, if defendants intend to resume manufacturing, holding, and/or distributing any sterile drugs manufactured at their facility, they must comply with specific remedial measures set forth in the injunction. The measures include, among other things, retaining an independent person to assist with remedial efforts, submitting a work plan to FDA, and providing a certification from the independent expert that defendants have undertaken corrective actions to ensure that defendants’ facility, equipment, processes, and procedures are adequate to prevent defendants’ drugs from becoming adulterated based on insanitary conditions.
FDA conducted an inspection of defendants’ facility in May 2018. According to the complaint, FDA observed numerous insanitary conditions, including insanitary employee practices, poor aseptic technique, failure to ensure adequate air quality in the cleanroom, and inadequate environmental and personnel monitoring. Following the May 2018 inspection, defendants conducted a recall of all sterile drugs within expiry.
“We continue to see concerning activity when it comes to some compounded drugs, including problems related to the conditions under which compounded sterile medicines are made, which can raise significant risks to patients. This is an area of intense focus for the FDA. We’re committed to making sure that compounded drugs are made under appropriate production standards and, when necessary, taking enforcement actions against compounders who fail to produce sterile drugs in compliance with the law,” said FDA Commissioner Scott Gottlieb, M.D. “Despite our warning, Ranier’s and its owner placed patients at risk by compounding purportedly sterile drug products under insanitary conditions. The FDA will continue to pursue enforcement action against companies and owners who place American consumers at risk.”
Trial Attorney Jocelyn Hines of the Civil Division’s Consumer Protection Branch and Assistant U.S. Attorney Rachael Mamula of the United States Attorney’s Office for the Western District of Pennsylvania represented the United States, along with the assistance of Senior Counsel Julie Lovas of the Department of Health and Human Services’ Office of General Counsel’s Food and Drug Division.
Additional information about the Consumer Protection Branch and its enforcement efforts may be found at http://www.justice.gov/civil/consumer-protection-branch. For more information about the U.S. Attorney’s Office for the Western District of Pennsylvania, visit its website at https://www.justice.gov/usao-wdpa.
Department of Justice announces update on combating human trafficking; Montana task force aiding in investigations, prosecutionsRead the Press Release
BILLINGS -- Montana, through a multi-agency task force on human trafficking, supports Department of Justice efforts to raise awareness about the activity and to fight this violent crime, U.S. Attorney Kurt Alme said today.
The Department of Justice dedicated January as National Slavery and Human Trafficking Prevention Month, as proclaimed by President Trump in December 2018.
In 2018, the Department of Justice fought human trafficking by investigating and prosecuting traffickers, dismantling transnational human trafficking networks, enhancing victim identification and protection of victims of trafficking and funding and providing domestic and international anti-trafficking programs.
“Human trafficking is a horrible crime against the human dignity of the victims, and it can have no place in our society,” Acting Attorney General Matthew G. Whitaker said. “But the Department of Justice is taking action against the traffickers. In fiscal year 2018, the Department of Justice secured over 500 human trafficking convictions—an increase from the previous year,” Whitaker said.
“Human trafficking, which exploits and enslaves both adults and juvenile victims, is happening in Montana,” U.S. Attorney Alme said. “However, the collaborative work of the Montana task force in sharing and discussing leads, trends and operations is key to bringing human traffickers to justice and to aiding victims. If anyone in Montana sees any evidence of human trafficking they should bring it to the attention of law enforcement right away,” he said.
In 2018, the Montana Human Trafficking Task Force assisted in the prosecution and convictions of four human trafficking related cases. The cases included Terrance Edwards, who was sentenced to 30 years in federal prison for convictions on sex trafficking and other charges; co-defendant Francine Granados, who was sentenced to two years in federal prison for witness tampering in the Edwards case; and Christina Jackson, who was sentenced to five years of federal probation for conviction of transportation of adults. In Missoula County, Walter Hill is awaiting trial in state district court on charges of promoting prostitution. In 2015, Hill was revoked on violations for a previous conviction for promoting prostitution.
The Montana Human Trafficking Task Force is composed of federal, state and other law enforcement agencies that meet quarterly to discuss trends in human trafficking in the state, operations, tactics and active cases. There are about 20 members, representing the US Attorney’s Office, FBI, Drug Enforcement Administration, Homeland Security Investigations, Bureau of Indian Affairs, IRS, the Montana Department of Justice, representatives from the Fort Peck, Ft. Belknap and Blackfeet tribes and the Missoula Police Department. The task force works in collaboration with numerous private-public task forces throughout the state. The task force was created in 2012 and its membership has evolved.
Montana communities with regional task forces include Yellowstone, Missoula, Flathead, Gallatin and Cascade counties. Anyone interested in working on community strategies or assisting victims of human trafficking should reach out to their regional task force, U.S. Attorney Alme said.
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Cuban Citizen Arrested on Charge of Making False Statements on an Application for Lawful Permanent ResidenceRead the Press Release
Indictment allege series of lies, including failure to disclose membership in the Cuban government’s Department of State Security
A Cuban citizen residing in Miami, Florida, was arrested on Feb. 5, by federal agents after being indicted on one count of making false statements in an immigration document.
U.S. Attorney Ariana Fajardo Orshan of the Southern District of Florida, Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, Special Agent in Charge George L. Piro of the FBI’s Miami Field Office and Special Agent in Charge Anthony Salisbury of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI) Miami Field Office made the announcement.
Saul Santos Ferro, 73, was charged in an indictment alleging that Santos made a number of lies and misrepresentations in his application to register as a permanent resident which he knowingly presented to U.S. immigration authorities, ultimately obtaining lawful permanent resident status. Specifically, the indictment asserts that, when he applied to register as a permanent resident, Santos failed to disclose his membership or affiliation with any organization, falsely stated that he never served in or been a member of a police unit, and falsely stated that he never served in any situation that involved detaining persons. In fact, Santos served as a high-ranking officer in the Cuban government’s Department of State Security or Departamento de Seguridad del Estado (DSE) for decades. Additionally, Santos falsely stated that he never by fraud or willful misrepresentation of a material fact, ever sought to procure, or procured, a visa, other documentation, entry into the United States, or any other immigration benefit.
“Individuals who make false statements in immigration documents expose themselves to the serious threat of federal prosecution,” said U.S. Attorney Fajardo Orshan. “Law enforcement in South Florida will continue to work together to prosecute those individuals who knowingly deceive the authorities about their criminal past or foreign ties, in order to fraudulently obtain immigration benefits.”
“Saul Santos Ferro allegedly lied to immigration authorities about his membership in the Cuban government’s internal security force to obtain lawful permanent residence status,” said Assistant Attorney General Benczkowski. “The Justice Department will continue to aggressively prosecute those who seek to exploit our immigration system through fraud and deceit.”
“The United States has a lawful system of immigration that is necessary for our country to be a prosperous and orderly nation,” said Special Agent in Charge Piro. “When the system is circumvented, the FBI and our law enforcement partners have a duty to investigate in order to protect our citizens from lawbreakers who may be hiding amongst us.”
“The arrest of Saul Santos Ferro should send a clear message that we will not tolerate individuals who purposely deceive the government and violate our immigration laws,” said HSI Special Agent in Charge Salisbury. “HSI is committed to working with our federal law enforcement partners to ensure that these crimes are properly investigated and prosecuted to the fullest extent of the law.”
Santos Ferro had his initial court appearance today before U.S. Magistrate Judge Edwin G. Torres for the Southern District of Florida, who ordered him released to home confinement with GPS monitoring and a $100,000 bond.
The charges contained in the indictment are merely allegations and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
The case is being investigated by the FBI and HSI. The case is being jointly prosecuted by Assistant U.S. Attorney Daniel Cervantes of the Southern District of Florida and Trial Attorney Rami S. Badawy of the Criminal Division’s Human Rights and Special Prosecutions Section.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov.
Correctional officer and nurse indicted for scheme involving sex with federal inmateRead the Press Release
WAYCROSS, GA – A correctional officer with the rank of captain has been indicted on federal charges for having sex with an inmate, and a nurse is charged with facilitating the illicit trysts.
A federal grand jury indicted Rebecca Fussell, 48, of Waycross, for Conspiracy and Sexual Abuse of a Ward, and Melissa Batten, 47, of Waycross, for Conspiracy and False Statement, announced Bobby L. Christine, U.S. Attorney for the Southern District of Georgia, and Robert A. Bourbon, Special Agent in Charge of the U.S. Department of Justice Office of the Inspector General (DOJ-OIG), Miami Field Division.
According to the indictment, Fussell was a correctional officer and Batten was a registered nurse employed by the GEO Group, a private contractor that operates the D. Ray James Correctional Institution, in Folkston, Ga., under contract with the federal Bureau of Prisons. An investigation began after another employee saw Fussell engaging in sex with a male inmate in a medical treatment room at the prison, leading to the discovery that Batten facilitated and helped cover up repeated sexual activity between Fussell and the prisoner.
Under federal law, any sexual activity between an inmate and prison employee constitutes sexual abuse of a person in custody, and carries a penalty of up to 15 years in prison.
“Employees at prison facilities are expected to oversee safe and humane incarceration of the inmates, not prey upon them,” said Bobby L. Christine, U.S. Attorney for the Southern District of Georgia.
“The DOJ-OIG takes allegations of sexual abuse by federal correctional officers and employees very seriously, and is committed to investigating such allegations,” stated Special Agent in Charge Bourbon.
The case was investigated by the Department of Justice Office of the Inspector General. Assistant United States Attorney Marcela C. Mateo is prosecuting the case for the United States.
An indictment contains only charges. Defendants are presumed innocent unless and until proven guilty.