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18 December 2018
U.S. Army Veteran and Former Government Employee Indicted for Wire FraudRead the Press Release
SAN FRANCISCO - A federal grand jury indicted Malik Swinton for wire fraud and identity theft, announced United States Attorney Alex G. Tse; U.S. Department of Veterans Affairs Office of Inspector General, Criminal Investigations Division, Special Agent in Charge James Wahleithner; U.S. Department of Justice Office of the Inspector General, Los Angeles Field Division, Special Agent in Charge James K. Cheng; Social Security Administration Office of Inspector General Special Agent in Charge Robb Stickley; Office of Personnel Management Acting Inspector General Norbert Vint; and U.S. Department of Labor Office of Inspector General Special Agent in Charge Abel Salinas.
The indictment describes various claims that Swinton, 40, of Las Vegas, Nevada, made to the Department of Veterans Affairs, the Social Security Administration, and the Department of Labor. According to the indictment, Swinton was discharged from the U.S. Army in February 2001. That month, Swinton submitted a disability claim with the U.S. Department of Veterans Affairs. In the application, Swinton listed, among other physical ailments, degenerative joint disease of the left knee and right knee, and pain in both feet and both ankles. He continued to receive benefits even after he enrolled as an undergraduate at the University of Oklahoma in August 2002 and competed in the Big 12 Indoor Track and Field Championships.
According to the indictment, in July 2012 Swinton applied to the Department of Veterans Affairs for additional disability benefits, claiming that he was unable to work due service-connected post-traumatic stress disorder. Swinton claimed that he suffered from PTSD after his “squad leader pulled his weapon and shot [his] platoon sergeant” in front of him and then later threatened to “kill or hurt Swinton or [his] family if [he] told anyone.” According to the indictment, no such incident occurred.
Further, the indictment alleges that from April through October 2012, Swinton devised a plan to submit false information to the Social Security Administration when he applied for disability benefits from that agency. In April, Swinton submitted a letter in connection with a request for benefits that Swinton claimed was from a doctor. The letter stated Swinton suffered from a number of medical conditions including PTSD and depression. Later, in October 2012, Swinton submitted a second letter to bolster his claim. The second letter was supposedly written by a separate doctor. In reality, neither letter was written or authorized by the persons who supposedly wrote them and both letters contained false information.
Finally, in April 2012, Swinton submitted an application to the U.S. Department of Labor for workers’ compensation for injuries that he supposedly sustained while working for the U.S. Department of Justice’s Bureau of Prisons. Swinton claimed that he suffered from PTSD as a result of a “stressful, hostile, and harassing” work environment. According to the indictment, Swinton repeatedly submitted fraudulent forms and letters, purportedly written by various doctors, to support his workers’ compensation claim. Swinton also never disclosed to the Department of Labor that he was receiving disability benefits from the VA and the Social Security Administration.
In sum, Swinton was charged with seven counts of wire fraud, in violation of 18 U.S.C. § 1343 and one count of identity theft, in violation of 18 U.S.C. § 1028A(a)(1).
Defendant was arrested on December 14, 2018, and he made his initial appearance in federal court in Las Vegas before the Honorable George Foley, Jr. on December 17, 2018. Swinton was released on bond and ordered to appear for further proceedings in San Francisco on December 21, 2018 before the Honorable Sallie Kim.
An indictment merely alleges that crimes have been committed, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt. If convicted, the defendant faces a maximum sentence of 20 years’ imprisonment and a fine of $250,000, plus restitution. In addition, if convicted of the identity theft count, Swinton faces a mandatory two years in prison consecutive to any other sentence. However, any sentence following conviction would be imposed by the court after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Special Assistant U.S. Attorney Christopher Vieira is prosecuting the case with the assistance of Kimberly Richardson. The prosecution is a result of an investigation by the Offices of Inspectors General of the Department of Veterans Affairs, the Department of Justice, the Social Security Administration, the Office of Personnel Management, and the Department of Labor.
Two-Time Drug Felon Sentenced to 120 Months for Role in Gun Store BurglaryRead the Press Release
SYRACUSE, NEW YORK – Omar DeJesus, age 32, of Amsterdam, New York, was sentenced yesterday to 120 months in prison for transporting, storing, and possessing firearms stolen from Target Sports, Inc., a federally licensed firearms dealer in Schenectady County.
The announcement was made by United States Attorney Grant C. Jaquith and Ashan M. Benedict, Special Agent in Charge of the New York Field Division of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
Senior United States District Judge Norman A. Mordue also sentenced DeJesus to 3 years of supervised release and ordered that he pay restitution in the amount of $48,775.
DeJesus, who has previous state and federal felony drug convictions, pled guilty on May 17, 2018. As part of his plea, DeJesus admitted that he allowed Christian Roman and Jose Fontanez to store dozens of stolen firearms at his residence and later helped them hide some of those firearms in a remote location. DeJesus also admitted that he introduced Roman and Fontanez to another man, Onic Martinez, who retrieved the stolen firearms from a storage locker in Schenectady, New York, where Roman and Fontanez hid them shortly after the October 22, 2017 burglary. In exchange for his assistance, DeJesus received a stolen Sig Sauger 9mm pistol, which DeJesus subsequently sold to another individual in exchange for $700. DeJesus was prohibited from possessing firearms because of his criminal record.
Fontanez, age 36, of Schenectady, pled guilty earlier this year to stealing the firearms from Target Sports, and other, related charges. He is scheduled to be sentenced on April 22, 2019.
Roman, age 24, of Schenectady, pled guilty last month to stealing the firearms from Target Sports. He is scheduled to be sentenced on April 10, 2019.
Dalmary Morales, age 37, of Schenectady; and Juan Saez, age 35, of Rochester, New York pled guilty earlier this year for their respective roles in stealing, transporting, and possessing the firearms. Morales and Saez are scheduled to be sentenced on April 22, 2019.
This case was investigated by the ATF, New York State Police, and the Glenville and Amsterdam Police Departments, and is being prosecuted by Assistant U.S. Attorney Wayne A. Myers.
Two Men Sentenced to Prison Terms for Fatal Shooting in Northeast WashingtonRead the Press Release
WASHINGTON –Marco F. Williams, 25, and Barry J. Giles, 22, also known as “Juany,” both of Washington, D.C., were sentenced today to prison terms for the October 2016 shooting death of a man in the Fort Lincoln area of Northeast Washington, announced U.S. Attorney Jessie K. Liu and Peter Newsham, Chief of the Metropolitan Police Department (MPD).
Williams pled guilty in October 2018 to voluntary manslaughter while armed. Giles pled guilty at the same time to one count of voluntary manslaughter and one count of carrying a pistol without a license. Both pleas took place in the Superior Court of the District of Columbia. The pleas, which were contingent upon the Court’s approval, called for a prison sentence for Williams of 186 months, or 15 ½ years, and a prison sentence for Giles of 102 months, or 8 ½ years. The Honorable Judith Bartnoff accepted the pleas and sentenced the men accordingly. Following their prison terms, the men will be placed on five years of supervised release.
The evidence in support of the guilty pleas showed that on the night of Wednesday, Oct. 5, 2016, Williams and Giles were in the Fort Lincoln neighborhood, where each of them had ties. Specifically, they were in the area of the 3100 block of Berry Road NE, where they spent time and drank alcohol with the victim, Timothy Lassiter, and others.
Both Williams and Giles had pistols. In the course of the evening, Williams and Giles resolved to shoot and kill Mr. Lassiter, 36. At 11:42 p.m., Williams, armed with a 9mm semi-automatic pistol, fired four shots at Mr. Lassiter, striking him twice. Four 9mm cartridge cases fired from the same gun were recovered in the area where Mr. Lassiter’s body was found by responding medics and police officers.
The evidence established that after Mr. Lassiter was shot by Williams, Giles went through Mr. Lassiter’s pockets and removed items of personal property.
Mr. Lassiter was transported by ambulance to a hospital and was pronounced dead early on Oct. 6, 2016. Following Mr. Lassiter’s funeral on Saturday, Oct. 15, 2016, Giles went on social media and posted a video of himself talking about the shooting of Mr. Lassiter. In the video, which was soon thereafter deleted, Giles boasted and bragged about his role in the shooting.
Warrants for the arrest of the two defendants were issued on March 1, 2018. Giles was arrested on March 5, 2018, and Williams, who was otherwise serving a sentence, was arrested on March 29, 2018. Both have been held without bond since their arrests.
In accepting the plea agreements and the agreed-upon sentences, the Court stated it would sentence Williams – the admitted shooter of Mr. Lassiter – to 186 months, or 15 ½ years in prison, and would sentence Giles – who went through Lassiter’s pockets in the aftermath of the shooting and removed items of personal property – to 102 months, or 8 ½ years in prison. The Court did not issue a Judgment and Commitment Order today, as it wants time to consider and to be briefed on the ramifications of the recently enacted Youth Rehabilitation Amendment Act of 2018. Accordingly, the Court set a hearing for Jan. 15, 2019. It is expected that on that date the Court will formally impose sentences in accord with the plea agreements that were reached.
In announcing the sentences, U.S. Attorney Liu and Chief Newsham commended the work of detectives of the Criminal Investigations Division’s Homicide Branch, forensic scientists from the District of Columbia Department of Forensic Sciences, who processed the crime scene, and officers of MPD’s Fifth Police District, who responded to the shooting. They also expressed appreciation for those who worked on the case from the U.S. Attorney’s Office, including Assistant U.S. Attorneys David Misler and Michael D. Brittin; Criminal Investigators Durand Odom and Mark Crawford; Paralegal Specialist Debra Joyner, and Investigative Analysts Shannon Alexis and Zachary McMenamin.
Two Men Sentenced for Armed RobberyRead the Press Release
United States Attorney Ron Parsons announced that two men were sentenced for the November 2017 armed robbery of the Phillips 66 Speedy Mart in Spearfish, South Dakota, by Chief Judge Jeffrey L. Viken, U.S. District Court.
David Jackson Jr., age 25, of Sturgis, South Dakota, pleaded guilty to Use and Brandishing of a Firearm During the Commission of a Crime of Violence on August 9, 2018. He was sentenced on November 30, 2018, to 7 years in federal prison, followed by 3 years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Adam Peters, age 22, of Belle Fourche, South Dakota, pleaded guilty to Interference with Commerce by Robbery and Use and Brandishing of a Firearm During the Commission of a Crime of Violence. He was sentenced on December 17, 2018, to 10 years in federal prison, followed by 5 years of supervised release, and ordered to pay a $200 special assessment to the Federal Crime Victims Fund as well as restitution in an amount to be determined.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of its renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and local communities to develop effective, locally-based strategies to reduce violent crime.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Spearfish Police Department. Assistant U.S. Attorney Benjamin Patterson prosecuted the case.
Jackson and Peters were immediately turned over to the custody of the U.S. Marshals Service.
Two L.A. Fashion District Executives and Their Import-Export Company Sentenced in Scheme to Launder Money for Drug CartelsRead the Press Release
LOS ANGELES – Morad “Ben” Neman and Hersel Neman – the owners and top executives of Pacific Eurotex Corp., an import-export textile company based in the Los Angeles Fashion District – each received federal prison sentences today for their roles in a “Black Market Peso Exchange” scheme to launder money for international drug cartels.
Morad “Ben” Neman, 58 of Westwood, the chief executive officer of Pacific Eurotex, was sentenced to two years in federal prison, to be followed by six months of home confinement. In addition to the prison term, Neman is jointly liable with the company to forfeit $3,178,230 million to the government.
Morad Neman pleaded guilty to conspiring to structure monetary transactions with a domestic financial institution, conspiring to defraud the United States by obstructing the lawful functions of the Internal Revenue Service, subscribing to and filing a false 2013 tax return that understated income he received from Pacific Eurotex, and aiding and assisting in the filing of another false 2013 tax return. When he pleaded guilty in December 2017, Morad Neman admitted to structuring frequent deposits of the cash in amounts less than $10,000 to avoid a bank reporting requirement that would have triggered the attention of law enforcement.
Hersel Neman, 59 of Beverly Hills, the chief financial officer of Pacific Eurotex, was sentenced to 18 months in federal prison, to be followed by six months of home confinement. He pleaded guilty to conspiring to launder money, conspiring to defraud the United States by obstructing the lawful functions of the IRS, and subscribing to and filing a false tax return. Hersel Neman is liable to forfeit approximately $370,000.
Pacific Eurotex itself was sentenced to three years of probation and was ordered to pay a fine of $400,000 for its conviction on charges of conspiring to launder money and conspiring to structure monetary transactions with a domestic financial institution.
Hersel Neman and Pacific Eurotex pleaded guilty in December 2017 to using the company to launder large amounts of cash that they deliberately ignored were drug trafficking proceeds. Both defendants admitted in court papers that they did not report to federal officials the receipt of the bulk cash.
The Neman brothers and their company were sentenced by United States District Judge John A. Kronstadt, who will issue a final order related to criminal fines for the three defendants.
This case was the result of an investigation into Fashion District businesses using “Black Market Peso Exchange” schemes to launder narcotics proceeds for international drug cartels. The Nemans were arrested in September 2014 on the same day that approximately 1,000 law enforcement officials executed dozens of search warrants in the Fashion District and seized more than $100 million in laundered drug money.
The Black Market Peso Exchange is one of the largest mechanisms by which international drug cartels obtain the proceeds of illicit drug sales in the United States, according to court documents. This type of scheme allows drug traffickers who have their proceeds in U.S. currency to convert it to a different currency, such as Mexican pesos, via the sale of goods shipped across international borders.
In a typical Black Market Peso Exchange scheme, drug cartels sell their cash proceeds to a money broker who finds businesses in a foreign country that purchase goods from U.S. companies and who need dollars to pay for these goods. The money broker then arranges for delivery of the illegally-obtained dollars to U.S.-based vendors such as Pacific Eurotex. These dollars are then used to pay for the goods purchased by the foreign businesses. Once the goods are shipped to and sold by the foreign business, the money – now in the local, non-U.S. currency – is turned over to the money broker, who then pays the drug cartel in the foreign country’s local currency.
Pacific Eurotex received, laundered and structured approximately $370,000 in bulk cash delivered on four separate occasions over 2½ months in 2013 by an undercover agent posing as a money courier, according to court documents. The company laundered this money after being specifically advised by special agents with U.S. Immigration and Customs Enforcement’s Homeland Security Investigations that bulk cash payments were frequently derived from illegal activity and that it was required to report cash transactions involving more than $10,000 in currency.
The defendants admitted in court documents that they instructed other people to deposit the cash into the personal Wells Fargo bank account of Hersel Neman’s wife. In total, 384 deposits totaling nearly $3.18 million were divided into increments of less than $10,000 to prevent Wells Fargo from filing a currency transaction report with the U.S. Treasury Department, according to court documents.
In September 2018, Mehran Khalili, 50, of Beverly Hills, who is a brother-in-law of Hersel Neman, was found guilty by a federal judge of one count of conspiracy to structure financial transactions to avoid detection by law enforcement. He faces a statutory maximum sentence of 10 years in federal prison when he is sentenced by Judge Kronstadt on January 31.
Another defendant in the case, Alma Villalobos, 56, of Arleta, pleaded guilty in March 2018 to one felony count of conspiracy to cause Pacific Eurotex to fail to file reports of currency transactions over $10,000 in a non-financial trade or business. She also faces a statutory maximum sentence of 10 years in prison at her sentencing hearing, which is scheduled for January 24.
The investigation into Pacific Eurotex was conducted by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations and IRS Criminal Investigation.
This case is being prosecuted by Assistant United States Attorneys Julie J. Shemitz, Jamie A. Lang and Puneet V. Kakkar of the Organized Crime Drug Enforcement Task Force.
Two Glendale, Arizona Individuals Plead Guilty to Methamphetamine DistributionRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Kevin Ruany Grijalva-Soto, age 29, of Glendale, Arizona, and Leslie Azucena Rubio-Rodriguez, age 28, of Glendale, Arizona, entered guilty pleas to one count each of Possession With Intent To Distribute Methamphetamine, in violation of Title 21, United States Code, Sections 841(a)(1) and 841(b)(1)(A) and Title 18, United States Code, Section 2, punishable by not less than 10 years imprisonment and not more than life imprisonment, up to a $10,000,000.00 fine, or both.
The Indictment alleged that on or about September 18, 2018, within the Eastern District of Oklahoma, the defendants, did knowingly and intentionally possess with intent to distribute 500 grams or more of a mixture or substance containing a detectable amount of methamphetamine, a Schedule II controlled substance.
The charges arose from an investigation by the Oklahoma Highway Patrol and the Drug Enforcement Administration.
The Honorable Kimberly E. West, U.S. Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, accepted the pleas and ordered the completion of the presentence investigation reports.
Assistant United States Attorney Dean Burris represented the United States.
Tucker County residents indicted for methamphetamine distribution operationRead the Press Release
ELKINS, WEST VIRGINIA – Four Parsons, West Virginia residents are named in an indictment alleging a methamphetamine distribution operation, United States Attorney Bill Powell announced.
Three men and one woman were indicted by a federal grand jury sitting in Clarksburg on November 6, 2018. The three men are accused of selling methamphetamine from December 2017 to March 2018 in Tucker and Randolph Counties.
Dustin Bruce Moran, age 32, was indicted on one count of “Conspiracy to Distribute Methamphetamine,” two counts of “Aiding and Abetting Distribution of Methamphetamine,” one count of “Possession with Intent to Distribute Methamphetamine,” and one count of “Possession of a Firearm in Furtherance of a Drug Offense.”
John Luther Boyles, age 62, was indicted on one count of “Conspiracy to Distribute Methamphetamine,” one count of “Aiding and Abetting Distribution of Methamphetamine,” five counts of “Distribution of Methamphetamine,” one count of “Possession with Intent to Distribute Methamphetamine,” and one count of “Aiding and Abetting Maintaining Drug-Involved Premises.”
Phillip Grant Boyles, age 32, was indicted on one count of “Conspiracy to Distribute Methamphetamine,” one count of “Possession with Intent to Distribute Methamphetamine,” and one count of “Aiding and Abetting Distribution of Methamphetamine.”
Donna Alyce Boyles, age 51, was indicted on one count of “Aiding and Abetting Maintaining Drug-Involved Premises.” She and John Boyles are accused of maintain a residence located at 128 Main Street in Parsons, West Virginia, to manufacture, sell or use methamphetamine.
The government asking for forfeiture of $30,893 seized from Dustin Moran in April 2018, $598 seized from John and Donna Boyles in March 2018, and the property at 128 Main Street in Parsons.
Assistant U.S. Attorney Brandon S. Flower is prosecuting the case on behalf of the government. The Mountain Region Drug & Violent Crimes Task Force investigated.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
Trenton Man Pleads Guilty to Being a Felon in Possession of a FirearmRead the Press Release
Bangor, Maine: United States Attorney Halsey B. Frank announced that Timothy Levesque, 53, of Trenton, Maine, pleaded guilty today in U.S. District Court to being a felon in possession of a firearm.
According to court records, on the evening of May 12, 2018, the U.S. Coast Guard boarded the defendant’s boat off the coast of Lamoine, Maine while conducting a routine maritime safety and law enforcement patrol. The boat was registered to the defendant and he was the only person on board at the time. A search of the pilot house revealed four firearms within feet of where the defendant had been sitting. The defendant was aware that the firearms were on the boat and was prohibited from possessing firearms as the result of prior felony drug possession convictions.
The defendant faces up to 10 years in prison and a $250,000 fine. He will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office.
The case was investigated by the U.S. Coast Guard Investigative Service; the Bureau of Alcohol, Tobacco, Firearms and Explosives; and the Maine Marine Patrol.
Three Defendants Indicted for Conspiracy to Commit Murder, Drug Trafficking, and Related CrimesRead the Press Release
SAN FRANCISCO – A federal grand jury in San Francisco returned a superseding indictment charging Marcus Etienne, a.k.a. Hitler, Mario Robinson, and Burte Gucci Rhodes, a.k.a. Moeshawn, with murder-for-hire, a number of firearms and drug distribution offenses, and related crimes, announced United States Attorney Alex G. Tse, Federal Bureau of Investigation (FBI) Special Agent in Charge John F. Bennett and Special Agent in Charge of the Internal Revenue Service, Criminal Investigation (IRS-CI), Tara Sullivan. Etienne and Robinson also are charged with racketeering conspiracy. The superseding indictment, filed today, amends racketeering, murder, and conspiracy charges originally filed February 16, 2017, and updated August 3, 2017, against Etienne, Robinson, and other defendants.
The charges stem from a multi-state marijuana trafficking organization and the murder of Trince Thibodeaux on March 22, 2016, at 90th Ave. and International Boulevard in Oakland, Calif. The superseding indictment alleges that Etienne, 37, of Opelousas, La., ran an enterprise consisting of more than five members who conducted a continuing and extensive narcotics conspiracy and criminal organization. The criminal organization and conspiracy distributed marijuana from California to Louisiana and Texas.
The superseding indictment filed today makes clear that Etienne conspired with, Robinson, 35, of Oakland, and Rhodes, 37, of Oakland, to murder Thibodeaux on March 22, 2016, in Oakland. According to the indictment, Rhodes shot and killed Thibodeaux and $5000 was promised in exchange for the murder.
Etienne and Robinson also are charged with racketeering conspiracy and being part of an enterprise referred to in the indictment as the “Etienne Enterprise,” based in St. Martin Parish La. The Etienne Enterprise engaged in narcotics distribution, assault, robbery, extortion, extortionate collection of extensions of credit, murder for hire, murder, money laundering, illegal firearms possession, and obstruction of justice. Among the activities of the racketeering conspiracy was a gambling operation through a large-scale dogfighting ring. The racketeering conspiracy existed since January 7, 2013, and its members operated in Louisiana, in the Northern District of California, in Texas, and elsewhere.
The defendants are charged in the superseding indictment as follows:
DEFENDANT
CHARGES
STATUTE
MAXIMUM STATUTORY PENALTY
Marcus Etienne a/k/a Hitler
Conspiracy to Distribute and possess with intent to distribute 1,000 kilograms or more of marijuana
21 U.S.C. § 846, 841, and (b)(1)(A)
Not less than 10 years or more than life in prison
$10,000,000 fine
After filing of prior conviction, if applicable, not less than 20 years or more than life in prison and
$20,000,000 fine
Murder during a narcotics offense
21 U.S.C. § 848(e)(1)(A)
Not less than 20 years and not more than live in prison
$250,000 fine
Use or possession of a firearm in murder
18 U.S.C. § 924(j)
Not less than 10 years or more than life in prison.
$250,000 fine
Conspiracy to conduct the affairs of an enterprise through a pattern of racketeering activity
18 U.S.C. § 1962(d)
Life in prison
$250,000 fine
Murder in aid of racketeering
18 U.S.C. § 1959(a)(1)
Mandatory life in prison
$250,000 fine
Conspiracy to commit murder in aid or racketeering
18 U.S.C. § 1959(a)(5)
Ten years in prison
$250,000 fine
Murder for hire
18 U.S.C. § 1958
Mandatory life in prison
$250,000
Conspiracy
18 U.S.C. § 371
Five years in prison
$250,000 fine
Assault with a deadly weapon in aid of racketeering
18 U.S.C. § 1959(a)(3)
20 years in prison
$250,000 fine
Conspiracy to commit money laundering
18 U.S.C. § 1956(h)
20 years in prison
$250,000 fine
Money laundering
(2 counts)
18 U.S.C. § 1956(a)(1)(A)(i) and (a)(1)(B)(i)
(each count)
20 years in prison
$250,000 fine
Mario Robinson
Conspiracy to distribute and possess with intent to distribute 1,000 kilograms or more of marijuana
21 U.S.C. § 846, 841, and (b)(1)(A)
Not less than 10 years or more than life in prison
$10,000,000 fine
After filing of prior conviction, if applicable, not less than 20 years or more than life in prison and
$20,000,000 fine
Murder during a narcotics offense
21 U.S.C. § 848(e)(1)(A)
Not less than 20 years and not more than live in prison
$250,000 fine
Use or possession of firearm in murder
18 U.S.C. § 924(j)
Not less than 10 years or more than life in prison.
$250,000 fine
Conspiracy to conduct the affairs of an enterprise through a pattern of racketeering activity
18 U.S.C. § 1962(d)
Life in prison
$250,000 fine
Murder in aid of racketeering
18 U.S.C. § 1959(a)(1)
Mandatory life in prison
$250,000 fine
Murder for hire
18 U.S.C. § 1958
Mandatory life in prison
$250,000
Conspiracy
18 U.S.C. § 371
Five years in prison
$250,000 fine
Conspiracy to commit money laundering
18 U.S.C. § 1956(h)
20 years in prison
$250,000 fine
Money laundering
(3 counts)
18 U.S.C. § 1956(a)(1)(A)(i) and (a)(1)(B)(i)
(each count)
20 years in prison
$250,000 fine
Burte Gucci Rhodes
a/k/a Moeshawn
Murder for hire
18 U.S.C. § 1958
Mandatory life in prison
$250,000
Use or possession of a firearm to commit murder
18 U.S.C. § 924(j)
Not less than 10 years or more than life in prison.
$250,000 fine
Conspiracy
18 U.S.C. § 371
Five years in prison
$250,000 fine
Possession with intent to distribute heroin
21 U.S.C. § 841(a)(1) and (b)(1)(B)(i)
Not less than 5 years or more than 40 years in prison
$5,000,000 fine
Possession of firearms in connection with drug trafficking offenses
18 U.S.C. § 924(c)(1)(A) & (B)
Not less than 5 and 10 years consecutive in prison
$250,000 fine
Additional fines, forfeitures, restitution, and special assessments also may be imposed. However, any sentence after conviction would be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
An indictment merely alleges that crimes have been committed, and the defendants is presumed innocent until proven guilty beyond a reasonable doubt.
Etienne remains in custody based on the February 16, 2017, indictment. Robinson was arrested in Louisiana on August 4, 2017, and appeared on August 7, in federal court in the Western District of Louisiana. Rhodes was arrested December 5, 2018, on a federal arrest warrant. The case is assigned to the Honorable William Alsup, United States District Judge, for the Northern District of California.
The case is being prosecuted by Assistant United States Attorneys Meredith Osborn and William Frentzen with the assistance of Jessica Meegan and Bridget Kilkenny. This case is being investigated by the Federal Bureau of Investigation’s San Francisco, New Orleans, Houston Divisions; IRS-CI; Oakland Police Department; with the assistance from the St. Landry Parish, Louisiana, Sheriff’s Office, Opelousas, Louisiana Police Department.
Tahlequah Man Pleads Guilty to Ammunition PossessionRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Jeremiah Raye Post, age 33, of Tahlequah, Oklahoma, entered a guilty plea for Felon In Possession Of Ammunition, in violation of Title 18, United States Code, Sections 922(g)(1) and 924(a)(2), punishable by not more than 10 years imprisonment, up to a $250,000.00 fine, or both.
The Indictment alleged that on or about August 16, 2018, within the Eastern District of Oklahoma, the defendant, having been convicted of a crime punishable by imprisonment for a term exceeding one year, did knowingly possess in and affecting commerce ammunition which had been shipped and transported in interstate commerce.
The charges arose from an investigation by the Tahlequah Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
The Honorable Kimberly E. West, U.S. Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, accepted the pleas and ordered the completion of the presentence investigation reports.
Assistant United States Attorney John David Luton represented the United States.
Swink Woman Pleads Guilty to Theft of Federal Program FundsRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Lori Rae Baskin, age 50, of Swink, Oklahoma, entered a guilty plea to Theft from Organization Receiving Federal Program Funds, in violation of Title 18, United States Code, Section 666(a)(1)(A), punishable by not more than 10 years imprisonment, up to a $250,000.00 fine, or both.
The Information alleged that from on or about February 3, 2012, until on or about June 30, 2015, in the Eastern District of Oklahoma, the defendant, being an agent, employee, and officer of Swink Dependent School District No. C-21, an agency of a State government, which received in excess of $10,000 in federal benefits in each one year period from 2012 through 2015, stole, obtained by fraud, and without authority knowingly converted to the use of a person not the rightful owner, property of a value of $5,000 or more, owned by, under the care of, and under the control of Swink Dependent School District No. C-21.
The charges arose from an investigation by the Department of Education Office of Inspector General (OIG) and the Federal Bureau of Investigation (FBI).
The Honorable Steven P. Shreder, U.S. Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, accepted the plea and ordered the completion of a presentence investigation report.
Assistant United States Attorney Rob Wallace represented the United States.
Stilwell Woman Pleads Guilty to Drug ConspiracyRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Chassidy Dawn Burke, age 37, of Stilwell, Oklahoma, entered a guilty plea to Drug Conspiracy, in violation of Title 21, United States Code, Sections 841(a)(1) and 841(b)(1)(D), punishable by not less than 10 years and not more than life imprisonment, up to a $10,000,000.00 fine, or both.
The Indictment alleged that on a date unknown to the Grand Jury in 2014, and continuing until on or about January 29, 2018, within the Eastern District of Oklahoma and elsewhere, the defendant, did knowingly and intentionally combine, conspire, confederate and agree, with others known and unknown to the Grand Jury, to commit offenses against the United States in violation of Title 21, United States Code, Section 846, as follows: possession with intent to distribute and distribution of 500 grams or more of a mixture or substance containing a detectable amount of methamphetamine, a Schedule II controlled substance, in violation of Title 21, United States Code, Sections 841(a)(1) and 841(b)(1)(A); and possession with intent to distribute less than 50 kilograms of a mixture or substance containing a detectable amount of Marijuana, a Schedule I Controlled Substance.
The charges arose as a result of an investigation by the Drug Enforcement Administration (“DEA”), the Oklahoma Bureau of Narcotics (“OBN”), the National Guard Counterdrug Task Force, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Bureau of Indian Affairs, the U.S. Marshals Service, the Cherokee Nation Marshal Service, the Oklahoma Highway Patrol, the District 27 District Attorney’s Drug Task Force, the Adair County Sheriff’s Office, the Tulsa County Sheriff’s Office, the Stilwell Police Department, the Broken Arrow Police Department, and the Tulsa Police Department.
The Honorable Kimberly E. West, U.S. Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, accepted the plea and ordered the completion of a presentence investigation report.
Assistant United States Attorney Rob Wallace represented the United States.
Stanislaus County Woman Arrested for Stealing Money from Social Security and Other Benefit RecipientsRead the Press Release
SACRAMENTO, Calif. — Lorene Deanda, 59, of Ceres, was arrested today on an indictment charging her with 10 counts of mail fraud and one count of conversion of Social Security benefit funds, U.S. Attorney McGregor W. Scott announced today. Deanda was charged by federal grand jury on December 6, 2018.
According to court documents, Deanda was employed by a charitable organization in Modesto. Deanda participated and ultimately managed the organization’s representative payee program. This program assisted recipients of Social Security and other federal and state benefits that could not physically manage their own financial affairs. Deanda, on behalf of the charitable organization, would set up bank accounts for the beneficiaries and receive benefit funds into those accounts. Deanda’s duties included paying beneficiaries’ bills and necessities from those accounts and benefit funds. However, from April 2009 to May 2015, Deanda stole benefit funds from the accounts and beneficiaries and spent the money for her personal expenses. The amount of stolen funds exceeded $516,000.
This case is the result of an investigation by the Social Security Administration, Office of Inspector General and the Federal Bureau of Investigation. Assistant U.S. Attorney Henry Z. Carbajal III is prosecuting the case.
If convicted, Deanda faces a maximum statutory penalty for mail fraud of 20 years in prison with a $250,000 fine and a maximum penalty of five years in prison for conversion of Social Security benefits. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Springdale Man Sentenced to over 21 Years in Federal Prison for Online Enticement of A MinorRead the Press Release
Fayetteville, Arkansas - Duane (DAK) Kees, United States Attorney for the Western District of Arkansas, announced that Eleuterio Flores, age 34, of Springdale, Arkansas was sentenced yesterday to 262 months in federal prison followed by twenty-five years of supervised release and ordered to pay a $10,000.00 fine on one count of Online Enticement of a Minor. The Honorable Timothy L. Brooks, United States District Judge, presided over the sentencing hearing in Fayetteville.
According to court records, in September of 2016, Springdale Police Department developed information that Flores used Facebook Messenger, pretending to be a female pimp named “Elyzabet Estrada” and made contact with a 14 year old female, and enticed a person the 14 year old female to engage in sexual intercourse with him at the Hilltop Inn in Springdale, Arkansas in exchange for $1,200. Flores admitted to making Facebook accounts for people he claimed were involved in prostitution and escort services.
A federal grand jury indicted Flores in March 2017, and he pled guilty in July 2018.
This case was investigated by the FBI and the Springdale Police Department. Assistant United States Attorney Denis Dean prosecuted the case for the United States.
South Carolina Man Sentenced to over 18 Years in Prison for Trafficking MethamphetamineRead the Press Release
Gulfport, Miss – Erick Alejandro Contreras, age 20, of Greenville, South Carolina, was sentenced today by U.S. District Judge Sul Ozerden to 223 months in federal prison followed by 5 years of supervised release, for conspiracy to possess with intent to distribute methamphetamine, announced U.S. Attorney Mike Hurst and Jere T. Miles, Special Agent in Charge of Immigration and Customs Enforcement’s Homeland Security Investigations in New Orleans.
Contreras pled guilty on August 17, 2018, to one count of conspiracy to possess with intent to distribute methamphetamine. On January 30, 2018, Contreras and three others were stopped in a vehicle in Hancock County traveling from Texas to South Carolina. They were transporting approximately 4 kilograms of 99% pure methamphetamine.
The case was investigated by Homeland Security Investigations and prosecuted by Assistant U.S. Attorney John Meynardie.
Sixty-Year-Old Lapwai Man Sentenced to 27 Months for AssaultRead the Press Release
COEUR D'ALENE – Jason Bryon Redheart, 60, of Lapwai, Idaho, was sentenced yesterday to 27 months in federal prison for a January 2018 assault with a dangerous weapon which happened in Lapwai, Idaho, U.S. Attorney Bart M. Davis announced. U.S. District Judge David C. Nye also ordered Redheart to serve three years supervised release after he is finished serving his prison term. Redheart was indicted by a federal grand jury on February 21, 2018.
According to court records, Redheart repeatedly hit the 64-year-old victim with a metal baseball bat after Redheart became convinced she had taken his apple cider vinegar. Redheart apologized in court and his attorney requested no jail time due to Redheart’s lack of criminal history. Judge Nye agreed with the U.S. Attorney’s Office that the violent attack deserved prison time.
This case was investigated by the Federal Bureau of Investigation and the Nez Perce Tribal Police.
Silverhill Man Sentenced to More Than Seven Years for Firearms CrimesRead the Press Release
United States Attorney Richard W. Moore of the Southern District of Alabama announced that Frank Lee McCall, III, 29, of Silverhill, Alabama, was sentenced today for stealing a firearm and for being a felon in possession of firearms. McCall pled guilty to the two charges in August of 2018.
United States District Court Judge William H. Steele imposed a sentence of 87 months imprisonment on each count, with the sentences to run concurrently. He ordered that McCall serve a three-year term of supervised release when he is released from custody, during which he will undergo mental health counseling and treatment as well as drug abuse counseling and treatment. No fine was imposed but McCall was ordered to pay $200 in special mandatory assessments.
The case was investigated by the Baldwin County Sheriff’s Office, the Loxley Police Department and the FBI Safe Streets Task Force. It was prosecuted in the United States Attorney’s Office by Assistant United States Attorney Gloria A. Bedwell.
Sentence: Prison for KCK Man in Barbershop-Based Drug RingRead the Press Release
KANSAS CITY, KAN. – A man who was part of a $4 million drug conspiracy operating out of a barbershop in Kansas City, Kan., was sentenced Tuesday to 52 months in federal prison, U.S. Attorney Stephen McAllister said.
Jason Bell, 38, Kansas City, Kan., pleaded guilty to one count of conspiracy to distribute methamphetamine. In his plea, Bell admitted he was part of a drug ring with co-defendant Edwin Pacheco. Pacheco owned Cocoliso’s Barbershop at 1201 Minnesota in Kansas City, Kan., where Bell was employed.
During the course of a federal investigation, Bell sold thousands of dollars’ worth of methamphetamine to undercover investigators. Bell was arrested when investigators served a search warrant at the barbershop. They found more than 12 pounds of methamphetamine in Pacheco’s Jeep Liberty and seized more than $15,000 from the barbershop’s closet. Investigators calculated that the conspirators sold approximately $4 million worth of illegal drugs.
McAllister commended the Drug Enforcement Administration and Assistant U.S. Attorney Trent Krug for their work on the case.
Rosebud Man Sentenced for Assault Resulting in Serious Bodily InjuryRead the Press Release
United States Attorney Ron Parsons announced that a Rosebud, South Dakota, man convicted of Assault Resulting in Serious Bodily Injury was sentenced on December 17, 2018, by U.S. District Judge Roberto A. Lange.
Cassius Farmer, age 25, was sentenced to 12 months and 1 day in federal prison, followed by 2 years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Farmer was indicted by a federal grand jury on February 14, 2018. He pled guilty on October 2, 2018.
The conviction stemmed from an incident that occurred on December 9, 2017, wherein Farmer got into a confrontation with another man at a convenience store in Rosebud. Farmer struck the man in the face and knocked him down, causing a laceration to the man’s face and a fractured cheekbone.
This case was investigated by the Rosebud Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Kirk Albertson prosecuted the case.
Farmer was immediately turned over to the custody of the U.S. Marshals Service.
Rockford Man Charged with Tax FraudRead the Press Release
ROCKFORD — A Rockford man was indicted today by a federal grand jury on charges of tax fraud and interfering with internal revenue laws.
MICHAEL MENDOZA, 31, was charged with sixteen counts of making false claims on Internal Revenue Service forms and one count of attempting to interfere with the administration of internal revenue laws.
The indictment was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois, and Gabriel L. Grchan, Special Agent-in-Charge of the Internal Revenue Service Criminal Investigation Division in Chicago. The government is represented by Assistant U.S. Attorney Michael D. Love.
As alleged in the indictment, Mendoza made false representations regarding wages, income tax amounts and withholding amounts, and claimed refunds he was not entitled to for the tax years 2014 through 2016, totaling $356,844. The indictment further alleges that Mendoza electronically filed federal income tax returns for himself and in the names of other persons, causing refunds to be deposited into bank accounts he owned or controlled. It is alleged that after the IRS began an examination of federal income tax returns filed by Mendoza from Sept. 23, 2015, through Dec. 5, 2016, Mendoza obstructed the examination when he submitted fictitious documents and made false statements to the IRS concerning his 2014 employment.
Each count of making a false claim to the IRS carries a maximum potential penalty of up to five years in prison, a fine of up to $250,000, and full restitution. Attempting to interfere with the administration of internal revenue laws carries a fine of up to $5,000 or up to three years in prison, or both. If convicted, the Court must impose a reasonable sentence under federal sentencing statutes and the advisory U.S. Sentencing Guidelines. Mendoza will be arraigned on a date yet to be determined in U.S. District Court in Rockford.
The public is reminded that an indictment contains only charges and is not evidence of guilt. The defendant is presumed innocent and is entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.
Rochester Man Sentenced on Child Pornography ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy Jr. announced today that Michael Krepp, 58, of Rochester, NY, who was convicted of possession of child pornography, was sentenced to serve 135 months in prison and 15 years supervised release by U.S. District Judge Charles J. Sirgusa.
Assistant U.S. Attorney John J. Field, who handled the case, stated that between September 9, 2017, and January 22, 2018, an FBI Special Agent, working undercover, discovered multiple files containing videos and images of child pornography. Some of the videos and images depicted prepubescent children in sexual situations. Investigators determined that the IP address connected to the files resolved to one utilized by the defendant. Digital media recovered from Krepp in February 2018 contained child pornography.
The defendant was previously convicted of Rape 3rd in State Court and is a registered sex offender.
Today’s sentencing is the result of an investigation by the Federal Bureau of Investigation, Buffalo Division, under the direction of Special Agent-in-Charge Gary Loeffert.# # # #
Roane County Man Sentenced to Federal Prison for Child Pornography CrimeRead the Press Release
CHARLESTON, W.Va. – A Roane County man was sentenced today to five years in federal prison for a child pornography crime, announced United States Attorney Mike Stuart. Devin Wolfe, 26, of Spencer, previously entered his guilty plea in July 2018 to one count of receipt of child pornography. Stuart commended the investigation conducted by the Federal Bureau of Investigation, the West Virginia State Police and the Parkersburg Police Department.
“Great work by all involved,” said United States Attorney Mike Stuart, “in putting another child predator behind bars. Project Safe Childhood is a top priority of mine that focuses on protecting our most vulnerable and holding those accountable that prey on our children.”
Wolfe admitted to possessing images and videos depicting child pornography on October 12, 2016. He received these images and videos from the internet, including from the website “4chan.” One of the images, which he downloaded on August 21, 2016 at his residence in Roane County, depicted an adult male engaged in sexual intercourse with a prepubescent female. Wolfe further admitted to possessing at least 6 videos and 730 images. Many of the minors depicted in the videos and images have been identified by the National Center for Missing and Exploited Children.
Following his release from prison, defendant will spend 35 years on federal supervised release. He will also be required to register as a sex offender.
Assistant United States Attorneys Jennifer Rada Herrald and Emily Wasserman and First Assistant United States Attorney Lisa G. Johnston handled the prosecution. United States District Judge John T. Copenhaver, Jr. handed down today’s sentence.
This case was prosecuted as part of Project Safe Childhood, a nationwide initiative of the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
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Repeat Violent Felon with 31 Prior Arrests Sentenced to 22 Years on Meth, Gun ChargesRead the Press Release
COLUMBUS – A repeat felon with 31 prior arrests and three prior felony convictions was sentenced Tuesday in federal court on drug and gun charges, said Charles “Charlie” Peeler, the United States Attorney for the Middle District of Georgia. Clint Walker, 35 of Columbus, GA was sentenced to 264 months for Possession of Methamphetamine with Intent to Distribute and 120 months concurrent for Possession of a Firearm by a Convicted Felon by the Honorable Clay D. Land on December 18, 2018.
According to the plea agreement, Mr. Walker was stopped by the Columbus Police Department on December 19, 2017 for not wearing a seat belt. The vehicle Mr. Walker was driving also did not have proper tag lights. Mr. Walker exited the car, appeared agitated, and told the officer he had no license, was driving a relative’s car and was a convicted felon on probation. During an officer safety pat down, marijuana was found on Mr. Walker and he was placed under arrest. Inside the vehicle, 111 grams of 77% pure methamphetamine was found, along with a scale, baggies and small quantities of other drugs. Wedged between the driver’s seat and the center console was a Star 9mm semi-automatic pistol. The entire incident was captured by the officer’s body camera.
Mr. Walker has been convicted of the following felony crimes, all in Muscogee County (GA) Superior Court:
1. On or about 10/6/05, Robbery by Force
2. On or about 3/15/11, Possession of a Sawed Off Shotgun, Possession of a Firearm by a Convicted Felon
3. On or about 7/18/14, Possession of Methamphetamine with Intent to Distribute, Possession of Xanax with Intent to Distribute
“A career criminal with a violent history will spend the next two decades behind bars, no longer causing havoc and misery for Muscogee County citizens” said Charles Peeler, the U.S. Attorney for the Middle District of Georgia. “Violent, repeat offenders are not welcome in our communities, and keeping them off our streets will continue to be a primary focus of the U.S. Attorney’s Office. Thank you to the good work of the Columbus Police Department and our law enforcement partners for helping in this case.”
Mr. Walker’s case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
The case was investigated by the Columbus Police Department, with support from the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Georgia Bureau of Investigation. Assistant U.S. Attorney Crawford Seals is prosecuting the case for the Government.
Questions can be directed to Pamela Lightsey, Public Information Officer, United States Attorney’s Office, at (478) 621-2603 or Melissa Hodges, Public Affairs Director (Contractor), United States Attorney’s Office, at (478) 765-2362.
Recidivist Fraudster Douglas E. Castle Sentenced to More Than Four Years in Prison for Defrauding InvestorsRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced that DOUGLAS E. CASTLE, the owner of Global Edge Technologies Group LLC, a financial consulting firm located in Somers, New York (“Global Edge”), was sentenced yesterday to 50 months in prison for defrauding certain investors (the “Victims”) out of over $800,000 dollars. CASTLE pled guilty to one count of wire fraud on July 26, 2018. The sentence was imposed by United States District Judge Kenneth M. Karas.
U.S. Attorney Geoffrey S. Berman said: “Douglas E. Castle took money from investors under false pretenses, lied to the FBI, and then lied to victims by telling them he was working with the FBI. Now he has been sentenced to more than four years in prison for his litany of lies.”
According to the Complaint, Information, and other documents filed in the case, as well as statements made during court proceedings:
On June 25, 2003, CASTLE was sentenced in federal court to 34 months in prison and three years of supervised release for his conviction on an investment fraud scheme that caused investor losses of over $1.2 million. Approximately five years after completing supervised release on that offense, CASTLE perpetrated the investment fraud scheme for which he was sentenced yesterday.
From about 2014 through 2017, CASTLE defrauded at least three victims of over $800,000, including by encouraging an aging window (“Victim-1”) prematurely to withdraw funds from her tax-advantaged retirement savings account to invest with CASTLE. CASTLE misrepresented that he would invest Victim-1’s funds with a United Kingdom-based investment firm (“Firm-1”) that purportedly guaranteed the safety of the invested principal. CASTLE represented that he previously invested his own money with Firm-1, but that because Firm-1 had high minimum investment thresholds, Victim-1 could invest her funds only by adding her money on top of CASTLE’s investment. For that reason, CASTLE said the investment would be structured as a loan between CASTLE’s own financial consulting firm, Global Edge, and Victim-1. In truth, as CASTLE knew, Firm-1 did not exist, and CASTLE spent Victim-1’s money instead on his own personal expenses, cash withdrawals, and eventually, in overseas transfers to individuals in Ghana and elsewhere who perpetrated an advance fee scam on CASTLE himself. CASTLE also defrauded at least two other victims into investing funds with him under false pretenses.
On June 8, 2016, CASTLE participated in a voluntary interview with the FBI in which he lied about the source of a particular transfer of Victim-1’s money he made to a Ghana bank account. After this meeting with the FBI, CASTLE continued to lie to victims to raise more money. After CASTLE came to realize that he would not receive a multimillion-dollar windfall in exchange for transferring his and his victims’ money, CASTLE attempted to preclude his victims from reporting the fraud to law enforcement by falsely claiming that he was already working with the FBI and multiple other law enforcement agencies on their behalf to recover their funds.
* * *
In addition to his prison term, CASTLE, 64, of Somers, New York, was sentenced to three years of supervised release, a forfeiture money judgment in the amount of $825,000, and restitution in the amount of $849,800.
Mr. Berman praised the outstanding investigative work of the Federal Bureau Investigation and thanked the Department of Homeland Security, Homeland Security Investigations for their assistance.
The case is being prosecuted by the Office’s White Plains Division. Assistant U.S. Attorney Vladislav Vainberg is in charge of the prosecution.
Prospect Man Charged with Illegally Purchasing and Possessing 11 FirearmsRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, today announced that a federal grand jury in Hartford has returned a 15-count indictment charging FRANK MOSS, 31, of Prospect, with offenses related to the illegal purchase and possession of firearms.
The indictment was returned on December 4, 2018. Moss appeared today before U.S. Magistrate Judge Sarah A. L. Merriam in New Haven, entered a plea of not guilty to the charges and was released on a $50,000 bond.
As alleged in the indictment, on seven dates between June 14, 2017 and November 1, 2017, Moss, being an unlawful user of or addicted to controlled substances, made false statements in connection with the purchase of 11 firearms at gun stores in Wolcott, Seymour and Waterbury.
The indictment charges Moss with eight count of making a false statement during the purchase of a firearm by representing that he was not an unlawful user of, or addicted to, controlled substances. The indictment also charges Moss with seven counts of possession of a firearm by an individual who is an unlawful user of, or addicted to, any controlled substance.
If convicted, Moss faces a maximum term of imprisonment of 10 years on each count.
U.S. Attorney Durham stressed that an indictment is not evidence of guilt. Charges are only allegations, and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This matter is being investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, Federal Bureau of Investigation and Waterbury Police Department. The case is being prosecuted by Assistant U.S. Attorney Natasha Freismuth.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make neighborhoods safer for everyone.
Princeton Couple Pleads Guilty to Federal Robbery and Gun ChargesRead the Press Release
CHARLESTON, W.Va. – A Princeton couple who were arrested after an investigation of multiple robberies earlier this year pled guilty to multiple federal charges, announced United States Attorney Mike Stuart. Sarah K. Bailey, 39, and Michael Justin Bailey, 38, entered guilty pleas to conspiracy to commit Hobbs Act robberies and brandishing a firearm during and in relation to a crime of violence before Senior United States District Judge David A. Faber. Stuart commended the investigative efforts of the Alcohol, Tobacco, Firearms, and Explosives and the Southern Regional Drug and Violent Crime Task Force, with the assistance and cooperation of law enforcement personnel in the states of Virginia and North Carolina.
“The couple that thieves together, stays together -- in a federal pen. But they won’t be staying together,” said United States Attorney Mike Stuart. “Good job by law enforcement in solving this string of violent robberies and apprehending the Baileys.”
During their plea hearings, each defendant admitted to robbing two separate video poker parlors in the Southern District of West Virginia. The Baileys admitted that on October 26, 2017, they robbed a video poker parlor near Peterstown, West Virginia. The Baileys further admitted that during the robbery, a 76 year old employee was struck several times in the head with a club, causing injury to the employee. They admitted to then binding the employee with duct tape, and stealing money and personal items from this employee.
The Baileys also admitted to committing another robbery as part of the conspiracy. This robbery occurred near Bluefield, West Virginia on November 5, 2017. On November 5, the Baileys went to a video poker parlor where Sarah Bailey had previously worked near Bluefield. On this date, they used firearms that had previously been stolen to rob the video poker parlor. During the robbery, the Baileys admitted to threatening an employee and customers with the firearms and again binding an employee with duct tape. They further admitted to stealing nearly $5,000 and personal items and effects from the employee and customers. The Baileys then fled to North Carolina where they were arrested after being found in possession of the money and other stolen items from both of the robbery locations.
Both defendants face up to 20 years imprisonment for the conspiracy charge to be followed by a mandatory minimum consecutive term of not less than seven years and up to life in federal prison when they are sentenced on April 2, 2019.
Assistant United States Attorney Timothy D. Boggess is handling the prosecutions. The plea hearings were held before Senior United States District Judge David A. Faber.
Project Safe Neighborhoods (PSN) is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
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Portland Man Sentenced to 60 Months in Prison for Distributing Child Pornography via Bittorrent NetworkRead the Press Release
PORTLAND, Ore. – Jordan Thomas Prentice, 28, of Portland, was sentenced today to 60 months in federal prison for distributing child pornography using a BitTorrent peer-to-peer file-sharing network. Upon completion of his prison sentence, Prentice will be on supervised release for five years.
According to court documents, on July 3, 2015, an undercover agent with the Vancouver, Washington Police Department downloaded multiple files depicting infants, toddlers and other prepubescent children being sexually abused from a BitTorrent file-sharing network. Investigators traced the IP address associated with the files to Prentice’s residence in Portland. The National Center for Missing and Exploited Children (NCMEC) identified numerous files downloaded from Prentice’s IP address that depicted children identified in prior investigations and some of whom resided outside of Oregon.
On January 27, 2016, Homeland Security Investigations (HSI) agents executed a federal search warrant at Prentice’s Portland home. Prentice admitted to having viewed child pornography since he was 15 years old and having downloaded the illicit files for years using uTorrent software. Agents seized multiple devices from Prentice’s home and later located more than 600 images and 126 video files depicting child sexual abuse.
Prentice previously pleaded guilty to one count of distribution of child pornography on August 8, 2018. As part of his plea agreement, Prentice agreed to pay restitution to his victims and forfeit personal property used to facilitate his crimes.
This case was investigated by HSI and the Vancouver Police Department. It was prosecuted by Jane Shoemaker, Natalie Wight and Amy Potter, Assistant U.S. Attorneys for the District of Oregon.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
HSI encourages anyone with information about the physical or online exploitation of children to call its toll-free tip line at 1-866-DHS-2-ICE or submit an online tip form. Both reporting methods are staffed around the clock by investigators. From outside the U.S. and Canada, callers should dial 802-872-6199. Hearing impaired users can call TTY 802-872-6196.
Suspected child sexual exploitation may also be reported to the National Center for Missing & Exploited Children via its toll-free 24-hour hotline, 1-800-THE-LOST.
Plymouth Couple Pleads Guilty to Fentanyl Trafficking ConspiracyRead the Press Release
CONCORD – United States Attorney Scott W. Murray announced that Steven Moore, 36, and Samantha Merrifield, 35, both of Plymouth, New Hampshire, pleaded guilty to participating in a conspiracy to distribute fentanyl.
Court filings and statements made in court established that Moore and Merrifield arranged to sell approximately 50 grams of fentanyl to an undercover police officer on October 10, 2018.
Moore and Merrifield will be sentenced on March 27, 2019.
“Fentanyl distribution is a problem throughout the Granite State,” said U.S. Attorney Murray. “We will remain vigilant to ensure that law enforcement confronts drug dealers wherever they choose to engage in their illegal and dangerous trade.”
The case was investigated by the Drug Enforcement Administration and is being prosecuted by Assistant United States Attorney Georgiana L. Konesky.
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Pine Ridge Man Sentenced to 30 Years in Prison for Second Degree Murder and Gun CrimeRead the Press Release
United States Attorney Ron Parsons announced that a Pine Ridge, South Dakota, man convicted of Second Degree Murder and Discharge of a Firearm During the Commission of a Crime of Violence was sentenced by Chief Judge Jeffrey L. Viken, U.S. District Court.
James Robert Dowty, age 29, was sentenced to 30 years in federal prison on December 17, 2018. He was sentenced to 20 years in federal prison, 5 years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund for the Second Degree Murder charge. As to the Discharge of a Firearm During the Commission of a Crime of Violence charge, Dowty was sentenced to 10 years in federal prison to be served consecutively to the murder charge, 5 years of supervised release to be served concurrently, and a $100 special assessment to the Federal Crime Victims Fund.
Dowty was found guilty of the charges following a federal jury trial in Rapid City on May 5, 2018. The charges related to Dowty shooting a 13 year- old female on July 20, 2016, at Pine Ridge.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of its renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and local communities to develop effective, locally-based strategies to reduce violent crime.
This case was investigated by the Bureau of Indian Affairs, Office of Justice Services, the Oglala Sioux Tribe Department of Public Safety, and the Federal Bureau of Investigation. Assistant U.S. Attorneys Eric Kelderman and Sarah Collins prosecuted the case.
Dowty was immediately turned over to the custody of the U.S. Marshals Service.
Paterson Police Officer Admits Conspiring to Violate Civil Rights and ExtortionRead the Press Release
NEWARK, N.J. – A City of Paterson police officer today admitted conspiring with other officers to violate individuals’ civil rights and to personally accepting a firearm in exchange for reducing the charges on an arrestee, U.S. Attorney Craig Carpenito announced.
Police Officer Jonathan Bustios, 29, of Paterson, New Jersey, pleaded guilty before U.S. District Judge Katharine S. Hayden in Newark federal court to an information charging him with one count of conspiracy to violate individuals’ civil rights and one count of extortion under color of official right.
According to documents filed in this case and statements made in court:
Bustios and Eudy Ramos were police officers with the Paterson Police Department. From at least 2016 to April 2018, Bustios, Ramos and others participated in a conspiracy in which they targeted and stopped certain individuals who were driving motor vehicles that they believed carried sums of money. Bustios, Ramos and others stopped the vehicles, searched the vehicles, driver, and passengers, and seized cash from the driver and passengers of the vehicles, without legal basis. They then split the cash among themselves and submitted false reports to the Paterson Police Department omitting the illegal vehicle stops and their thefts or lying about them.
In one incident, on Feb. 20, 2018, while on duty and in uniform, Bustios pulled over and stopped behind a BMW, while Ramos stopped in front of the BMW. Bustios and Ramos exited their police cars and searched the front and back of the BMW and the trunk, and Bustios and Ramos detained and searched the two occupants of the BMW. They put each of the occupants into the backseat of Ramos’s police car. Bustios then stole a bag containing approximately $1,800 from the car and left the scene, and Ramos released the two detained occupants of the BMW. Ramos drove to meet Bustios, who passed a portion of the recovered cash to Ramos through the window of Bustios’ police car. Bustios and Ramos did not report to the Paterson Police Department the fact that they had stopped and searched the BMW, detained and searched its occupants, and taken cash, all without any warrants or legal justification.
Bustios also pleaded guilty to extortion under color of official right, arising out of an incident on March 14, 2018. Bustios arrested and detained an individual and placed the individual in the backseat of his police car. Bustios told the individual that he would not charge him with resisting arrest and would allow him to keep the cash that the he had on him, in exchange for which the individual would find Bustios a firearm. Bustios said, “I ain’t gonna charge you with resisting, and I’m letting you keep your money, bro.” Bustios then told the individual, “If you don’t wanna make the deal, you don’t have to make the deal.” The individual ultimately agreed to the deal and directed Bustios to the location of a firearm. Bustios recovered the firearm and kept it without turning it in to the Paterson Police Department. As promised, he did not charge the individual with resisting arrest. Bustios also submitted an arrest report in which he failed to mention any details about having a recovered a firearm.
The conspiracy to violate civil rights count carries a maximum penalty of 10 years in prison. The extortion under color of official right count carries a maximum penalty of 20 years in prison. The maximum fine for both charges is $250,000. Sentencing is scheduled for April 9, 2019.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Special Agent in Charge Gregory W. Ehrie in Newark, with the investigation leading to today’s guilty plea. He also thanked the Passaic County Prosecutor’s Office, under the direction of Passaic County Prosecutor Camelia M. Valdes, the Paterson Police Department, under the direction of Paterson Police Director Jerry Speziale and Police Chief Troy Oswald, and the Paterson Police Department Office of Internal Affairs, for their assistance in the investigation.
The government is represented by Assistant U.S. Attorney Rahul Agarwal, Deputy Chief of the Criminal Division.
Defense counsel: Michael Koribanics, Clifton, New Jersey
Passaic County, New Jersey, Man Admits Role in $6 Million Fraud SchemeRead the Press Release
NEWARK, N.J. – A Hawthorne, New Jersey, man today admitted his role in a scheme to defraud financial institutions and others of more than $6 million, U.S. Attorney Craig Carpenito announced.
Mehdi Kassai, also known as “Mike Kassai,” 36, pleaded guilty before U.S. District Judge William J. Martini in Newark federal court to an information charging him with two counts of bank fraud, one count of wire fraud, and one count of money laundering.
According to documents filed in this case and statements made in court:
From June 2013 to March 2017, Kassai and others fraudulently induced mortgage lenders to participate in “short sale” transactions. In the typical short sale transaction, a financial institution agrees to allow a house owner in financial distress to sell for less than they owe on the mortgage. Such transactions are called short sales because the market value of the house is less than the amount owed by the owner and the lender agrees to accept a payment “short” of the amount owed by the house owner.
Kassai admitted that he used false documents and straw buyers, caused cosmetic damage to properties to lower their apparent value, and restricted the ability of others to bid and buy those properties. This allowed Kassai to gain control of properties through the short sale process for substantially less than the properties were actually worth. Kassai then sold many of those properties to third parties at a substantial profit.
The bank fraud and wire fraud counts are punishable by up to 30 years in prison and a fine of $1 million, or twice the gross gain to the defendant or loss to the victim. The count of money laundering is punishable by up to 10 years in prison and a fine of $250,000, or twice the gross gain or loss. Kassai also agreed to forfeit the proceeds of the scheme. Sentencing is scheduled for April 18, 2019.
U.S. Attorney Carpenito credited officers of the Bergen County Prosecutor’s Office, under the direction of Acting Prosecutor Dennis Calo, and special agents of the Federal Housing Finance Agency, Office of Inspector General, under the direction of Acting Special Agent in Charge Robert Manchak, with the investigation leading to today’s guilty plea.
The government is represented by Senior Trial Counsel Andrew Leven of the Healthcare & Government Fraud Unit of the U.S. Attorney’s Office, District of New Jersey, and Special Assistant U.S. Attorneys Charlie Divine and Kevin DiGregory of the Federal Housing Finance Agency, Office of Inspector General.
Defense counsel: James M. Doyle Esq., Hackensack, New Jersey
Parker Nurse Pleads Guilty to Obtaining A Controlled Substance by DeceitRead the Press Release
DENVER – Parker nurse Mary Panza, aka Mary Bowers, pled guilty today to obtaining a controlled substance by deceit in front of U.S. District Court Judge Robert E. Blackburn, U.S. Attorney Jason Dunn and FDA Office of Criminal Investigations Special Agent in Charge Charles Grinstead announced. Panza worked at the Ridge View Endoscopy Center where she administered drugs, including fentanyl. The defendant will be sentenced on March 26, 2019. She is free on bond.
Panza was indicted by a federal grand jury in Denver on October 11, 2018. She pled guilty today, December 18, 2018. According to the stipulated facts contained in the plea agreement, on August 3, 2018, Panza was found by police and paramedics on the floor of her bathroom unconscious with a syringe in her right hand. Two doses of Narcan, a substance used to revive opioid overdose victims, were administered which resulted in Panza regaining consciousness. It was then determined by officers that she had taken fentanyl, a powerful painkiller. Officers found six vials of Benadryl and one vial of Promethazine in her purse, which she used to hide the fentanyl. Further, multiple syringes and a rubber tourniquet were found in her bathroom.
After being transported to Parker Adventist Hospital, officers found multiple vials of what turned out to be fentanyl in her bathrobe. She was not prescribed the drug, and it was determined that she removed the painkiller while working at the endoscopy center where she was in charge of tracking the pain killer. She would empty wasted medication into vials labeled Benadryl, Promethazine and Zofran. She would do this on average of once a week for approximately 10 months. She had done the same thing with her prior employer, Denver Endoscopy on a “handful of occasions,” according to the plea agreement.
This case was investigated by the FDA-Office of Criminal Investigation. The defendant is being prosecuted by Assistant U.S. Attorney Jaime Pena.
Oregon Restaurant Owner Sentenced to Prison in Connection with Immigration-Related Forced Labor SchemeRead the Press Release
PORTLAND, Ore. — Paul Jumroon, also known as Veraphon Phatanakitjumroon, 55, formerly of Beaverton and Depoe Bay, Oregon, and a naturalized citizen originally from Thailand, was sentenced today by U.S. District Judge Anna J. Brown to 37 months in prison and ordered to pay more than $131,000 in restitution to four victims and more than $120,000 to the IRS in taxes due. The defendant previously pleaded guilty to forced labor, visa fraud conspiracy, and filing false tax returns. Today’s sentence was announced by Assistant Attorney General Eric Dreiband of Justice Department’s Civil Rights Division, U.S. Attorney Billy J. Williams of the District of Oregon, Acting Special Agent in Charge Steve Palmer of the FBI’s Portland Field Office, and Acting Special Agent in Charge Troy Burrus of IRS Criminal Investigation’s Seattle Field Office.
According to documents filed in court, between 2011 and 2014, defendant Paul Jumroon and co-defendant Tanya Jumroon fraudulently obtained E-2 “investor” visas to bring Thai nationals into the United States to provide cheap labor at their restaurants in Lake Oswego, Oregon, and in Ridgefield, Washington. The defendants no longer own either restaurant. Paul Jumroon then lured four Thai chefs to the United States to work at the restaurants through the promise of a visa and false representations about their salaries and job responsibilities. Once the victims arrived, he confiscated their passports and documents and exploited and coerced their labor through debts, verbal abuse, and threats of financial and reputational harm, requiring them to work significant hours for minimal pay. Tanya Jumroon witnessed the mistreatment of the victims, and she benefited financially from their forced labor at the restaurants that she co-owned. Additionally, the defendants filed multiple false tax returns with the IRS by failing to report cash income earned from the restaurants between 2012 and 2015.
“Paul Jumroon’s violation of the law by obtaining fraudulent visas and exploiting vulnerable individuals for his own personal profit is disgraceful,” said Acting Assistant Attorney General Eric Dreiband. “The Department of Justice will continue to prosecute traffickers vigorously and secure justice for victims who have been mistreated and degraded by criminals.”
“Paul Jumroon has been brought to justice for preying on the hopes of vulnerable workers and using fear to compel work for little pay. He and his wife Tanya profited off of a degrading crime,” said U.S. Attorney Billy J. Williams. “This case demonstrates our firm commitment to holding traffickers accountable and restoring the rights, freedom and dignity of victims.”
“Life in America is built on the promise of freedom and choice. When these victims came to this country seeking a better life, Paul Jumroon instead cooked up a scheme of false promises, forced labor and abuse,” said FBI Acting Special Agent in Charge Steve Palmer. “Today’s sentence brings justice for them while also sending a strong message to those who think they can profit off others through coercion and intimidation.”
“Mr. and Mrs. Jumroon bullied and intimidated employees that trusted them in order to line their own pockets” said Troy Burrus, IRS Criminal Investigation Acting Special Agent in Charge. “The defendants thought they were above the law. They abused multiple victims and stole money from the American taxpayers. Today’s sentence demonstrates the government's determination to hold them accountable for their actions.”
Tanya Jumroon, also known as Thunyarax Phatanakit Jumroon, 59, of Beaverton, Oregon, will be sentenced tomorrow for conspiring with Paul Jumroon and others to commit visa fraud, for making and subscribing a false tax return, and benefitting financially from forced labor. Tanya Jumroon pleaded guilty to these charges in June 2018.
The District of Oregon is one of six districts designated through a competitive, nationwide selection process as a Phase II Anti-Trafficking Coordination Team (ACTeam), through the interagency ACTeam Initiative of the Departments of Justice, Homeland Security and Labor. ACTeams focus on developing high-impact human trafficking investigations and prosecutions involving forced labor, international sex trafficking and sex trafficking by force, fraud or coercion through interagency collaboration among federal prosecutors and federal investigative agencies.
This prosecution is the result of the joint investigation by the Oregon Foreign-Born Human Trafficking Taskforce, FBI, Homeland Security Investigations, IRS Criminal Investigation and Department of State’s Diplomatic Security Service, with assistance from the Department of Labor’s Wage and Hour Division and Portland Police Bureau. The case is being prosecuted by Assistant U.S. Attorneys Hannah Horsley, Scott Bradford and Steven Mygrant of the District of Oregon, and Lindsey Roberson of the Civil Rights Division’s Human Trafficking Prosecution Unit.
Oregon Restaurant Owner Sentenced to Prison in Connection with Immigration-Related Forced Labor SchemeRead the Press Release
Paul Jumroon, also known as Veraphon Phatanakitjumroon, 55, formerly of Beaverton and Depoe Bay, Oregon, and a naturalized citizen originally from Thailand, was sentenced today by U.S. District Judge Anna J. Brown to 37 months in prison with three years’ supervised release and was ordered to pay more than $131,000 in restitution to four victims and more than $120,000 to the IRS in taxes due. The defendant previously pleaded guilty to forced labor, visa fraud conspiracy, and filing false tax returns. Today’s sentence was announced by Assistant Attorney General Eric Dreiband of Justice Department’s Civil Rights Division, U.S. Attorney Billy J. Williams of the District of Oregon, Acting Special Agent in Charge Steve Palmer of the FBI’s Portland Field Office, and Acting Special Agent in Charge Troy Burrus of IRS Criminal Investigation’s Seattle Field Office.
According to documents filed in court, between 2011 and 2014, defendants Paul Jumroon and Tanya Jumroon fraudulently obtained E-2 “investor” visas to bring Thai nationals into the United States to provide cheap labor at their restaurants in Lake Oswego, Oregon, and in Ridgefield, Washington. The defendants no longer own either restaurant. Paul Jumroon then lured four Thai chefs to the United States to work at the restaurants through the promise of a visa and false representations about their salaries and job responsibilities. Once the victims arrived, he confiscated their passports and documents and exploited and coerced their labor through debts, verbal abuse, and threats of financial and reputational harm, requiring them to work significant hours for minimal pay. Tanya Jumroon witnessed the mistreatment of the victims, and she benefited financially from their forced labor at the restaurants that she co-owned. Additionally, the defendants filed multiple false tax returns with the IRS by failing to report cash income earned from the restaurants between 2012 and 2015.
“Paul Jumroon’s violation of the law by obtaining fraudulent visas and exploiting vulnerable individuals for his own personal profit is disgraceful,” said Acting Assistant Attorney General Eric Dreiband. “The Department of Justice will continue to prosecute traffickers vigorously and secure justice for victims who have been mistreated and degraded by criminals.”
“Paul Jumroon has been brought to justice for preying on the hopes of vulnerable workers and using fear to compel work for little pay. He and his wife Tanya profited off of a degrading crime,” said U.S. Attorney Billy J. Williams. “This case demonstrates our firm commitment to holding traffickers accountable and restoring the rights, freedom and dignity of victims.”
“Life in America is built on the promise of freedom and choice. When these victims came to this country seeking a better life, Paul Jumroon instead cooked up a scheme of false promises, forced labor and abuse,” said FBI Acting Special Agent in Charge Steve Palmer. “Today’s sentence brings justice for them while also sending a strong message to those who think they can profit off others through coercion and intimidation.”
“Mr. and Mrs. Jumroon bullied and intimidated employees that trusted them in order to line their own pockets” said Troy Burrus, IRS Criminal Investigation Acting Special Agent in Charge. “The defendants thought they were above the law. They abused multiple victims and stole money from the American taxpayers. Today’s sentence demonstrates the government's determination to hold them accountable for their actions.”
Tanya Jumroon, also known as Thunyarax Phatanakit Jumroon, 59, of Beaverton, Oregon, will be sentenced tomorrow for conspiring with Paul Jumroon and others to commit visa fraud, for making and subscribing a false tax return, and benefitting financially from forced labor. Tanya Jumroon pleaded guilty to these charges in June 2018.
The District of Oregon is one of six districts designated through a competitive, nationwide selection process as a Phase II Anti-Trafficking Coordination Team (ACTeam), through the interagency ACTeam Initiative of the Departments of Justice, Homeland Security and Labor. ACTeams focus on developing high-impact human trafficking investigations and prosecutions involving forced labor, international sex trafficking and sex trafficking by force, fraud or coercion through interagency collaboration among federal prosecutors and federal investigative agencies.
This prosecution is the result of the joint investigation by the Oregon Foreign-Born Human Trafficking Taskforce, FBI, Homeland Security Investigations, IRS Criminal Investigation and Department of State’s Diplomatic Security Service, with assistance from the Department of Labor’s Wage and Hour Division and Portland Police Bureau. The case is being prosecuted by Assistant U.S. Attorneys Hannah Horsley, Scott Bradford and Steven Mygrant of the District of Oregon, and Lindsey Roberson of the Civil Rights Division’s Human Trafficking Prosecution Unit.
Ordering Drugs on the “Dark Web” for Resale Results in a Decade in PrisonRead the Press Release
A man who obtained drugs including methamphetamine and marijuana over the “dark web” was sentenced today to a decade in federal prison.
William Kirk Vanatti, age 36, from Vinton, Iowa, received the prison term after a June 25, 2018, guilty plea to conspiracy to distribute methamphetamine.
Information from the sentencing hearing showed that Vanatti, purchased numerous drugs over the “dark web,” an encrypted network that cannot be found using normal search engines or internet browsers. Vanatti purchased marijuana, methamphetamine, and MDMA at various times. Vanatti also began selling methamphetamine to other people. He eventually ordered more than a kilogram of nearly 100% pure methamphetamine from a source in California intending to sell it to others. Law enforcement intercepted the package and two other packages containing marijuana before they reached Vanatti. Law enforcement also conducted searches of Vanatti’s car and home, finding a handgun that Vanatti had carried with him during a drug deal as well as two homemade explosive devices, including one that had staples in it as potential shrapnel.
Vanatti was sentenced in Cedar Rapids by United States District Court Judge Linda R. Reade. He was sentenced to 120 months’ imprisonment. He must also serve a five-year term of supervised release after the prison term. There is no parole in the federal system. Vanatti is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was investigated by the Iowa Division of Narcotics Enforcement and Bureau of Alcohol, Tobacco, Firearms, and Explosives, and prosecuted by Special Assistant United States Attorney Drew Inman and Assistant United States Attorney Dan Chatham. Court file information at https://ecf.iand.uscourts.gov/. The case file number is 18-CR-27.
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O.C. Doctor Arrested on Federal Narcotics Charges that Allege Prescriptions to ‘Patients’ who Suffered Fatal OverdosesRead the Press Release
SANTA ANA, California – Special Agents with the Drug Enforcement Administration this morning arrested an Orange County doctor on federal charges that allege he illegally distributed opioid and other powerful narcotics by writing prescriptions for “patients” without medical examinations and to at least five individuals who suffered overdose deaths. One man who allegedly obtained prescriptions from the doctor was involved in a car accident last month that killed a bicyclist who was a captain with the Costa Mesa Fire & Rescue Department.
Dzung Ahn Pham, 57, of Tustin, who owns Irvine Village Urgent Care, was arrested pursuant to a criminal complaint that charges him with two counts of illegally distributing oxycodone. The complaint alleges that Pham issued prescriptions for the controlled substance outside the usual course of professional practice and without a legitimate medical purpose.
The affidavit in support of the criminal complaint alleges that Pham was selling prescriptions to “patients” who were drug addicts and/or who were selling the drugs on the black market. A review of a state-maintained database shows that Pham issued “an extremely high amount” of prescriptions over a three-year period, and the types of drugs prescribed to certain patients would lead to “higher risks for addiction, overdose and overdose death,” according to the affidavit. Investigators learned that a CVS pharmacy in Irvine stopped accepting prescriptions from Pham more than five years ago when the doctor could not justify the number of opioid pills he was prescribing to individual patients.
During two undercover operations this past summer that are discussed in the affidavit, a DEA agent quickly and easily obtained prescriptions for narcotics, including “a triple threat,” also referred to as a “Holy Trinity, [which] is the combined use of an opioid (such as hydrocodone), a benzodiazepine (such as Valium), and carisoprodol (a muscle relaxer like Soma).” Pham allegedly steered the undercover agent to an Irvine pharmacy that filled many of his prescriptions.
The affidavit contains text messages in which “patients” seek prescriptions, sometimes asking for specific quantities of particular narcotics in specific dosages. “[A]t least 84 of those patients had their prescriptions filled on the same day or within the next two days of their text messages,” according to the affidavit. “The drugs requested include, but are not limited to, adderall, oxycodone, tramadol, suboxone, norco, soma, alprazolam, and hydrocodone bitartrate-acetaminophen.”
From 2014 through 2017, at least five people who received and filled prescriptions from Pham died of drug overdoses. A Mission Viejo man, who is currently facing state murder charges in the November 3 death of Costa Mesa Fire & Rescue Captain Mike Kreza, was allegedly under the influence of Pham-prescribed drugs at the time of the incident. That man told investigators “that he was on medications prescribed by Pham,” and several prescription bottles with Pham’s name were found in the defendant’s vehicle after the incident, according to the affidavit.
The affidavit also details a text message sent by Pham, who expressed concern after receiving information that the individual who fatally shot 12 people last month at the Borderline Bar and Grill in Thousand Oaks had in his possession prescriptions for someone else, but which Pham had prescribed.
“This case clearly and tragically illustrates the dangers of drug dealers armed with prescription pads,” said United States Attorney Nick Hanna. “This doctor is accused of flooding Southern California with huge quantities of opioids and other dangerous narcotics by writing prescriptions for drugs he knew would be diverted to the street. Prosecutors in my office, working with their law enforcement partners, will tirelessly pursue everyone involved in the trafficking of opioids as part of our persistent and ongoing efforts to stop the trail of misery that follows these dangerous drugs.”
“Today’s arrest of Dr. Pham was accomplished through the tireless work of DEA agents and federal prosecutors,” said DEA Los Angeles Associate Special Agent in Charge William D. Bodner. “This arrest should serve as a warning to any physician who utilizes their position to traffic opioids. Dr. Pham’s arrest coincides with today’s press conference announcing DEA’s commitment to opioid and overdose prevention with its community and law enforcement partners.”
The specific narcotics charge in the complaint relates to oxycodone prescriptions Pham allegedly issued to a woman that Pham never saw as a patient. The affidavit, however, describes that Pham had regularly prescribed oxycodone to the woman’s husband, including within days of the prescriptions he allegedly wrote to the woman.
The criminal complaint alleges that Pham generated large amounts of cash from the operation of Irvine Village Urgent Care by charging between $100 and $150 per office visit. Between 2013 and September 2018, Pham deposited over $5 million, mostly in cash, into bank accounts held by Pham and his wife, according to the affidavit, which notes the he also deposited approximately $1.7 million, likely derived from insurance payments, into a business bank account.
Pham is expected to make his first court appearance this afternoon in United States District Court in Santa Ana.
A criminal complaint contains allegations that a defendant has committed a crime. Every defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
If he were to be convicted of the drug-trafficking charges alleged in the complaint, Pham would face a statutory maximum sentence of 40 years in federal prison.
The case against Pham is being investigated by the Drug Enforcement Administration’s Tactical Diversion Squad, the Irvine Police Department, and IRS Criminal Investigation.
This matter is being prosecuted by Assistant United States Attorney Brett Sagel of the Santa Ana Branch Office.
Nigerian Ringleader of International Investment Scam Charged with Fraud, Money Laundering and Identity TheftRead the Press Release
HOUSTON - A Nigerian national was charged in court documents unsealed today for his role as the alleged ringleader of an international advance-fee scheme.
The scam allegedly involved false promises of investment funding by individuals who impersonated U.S. bank officials in person and over the internet to victims around the world who were told they had to make certain payments before they could supposedly receive their funding. Proceeds of the scheme were allegedly laundered through U.S. bank accounts and diverted back to the scheme’s perpetrators in Nigeria.
U.S. Attorney Ryan Patrick, Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, Special Agent in Charge Perrye K. Turner of the FBI’s Houston Field Office and Special Agent in Charge Robert Smolich of the U.S. Department of State - Office of Inspector General (DOS-OIG) made the announcement.
Osondu Victor Igwilo, 49, of Lagos, Nigeria, was charged in a complaint filed in the Southern District of Texas in December 2016 and unsealed today. The complaint charges Igwilo with one count of wire fraud conspiracy, one count of money laundering conspiracy and one count of aggravated identity theft. Igwilo remains a fugitive.
As alleged in the complaint, Igwilo was the leader of a criminal network of “catchers,” who sent phishing emails to potential victims falsely offering investment funding on behalf of BB&T Corporation, a U.S. bank headquartered in North Carolina. When victims were interested in the supposed investment funding, Igwilo allegedly dispatched U.S. citizens whom he had recruited over the internet to pose as “representatives” of BB&T to meet in person with the victims and sign a supposed investment agreement on behalf of BB&T. When traveling to the countries where the victims resided, these representatives, at Igwilo’s direction, would visit the local U.S. embassy or consulate and employ fake documents with fraudulent seals of the U.S. government to deceive the victims into believing that the investment agreement was sponsored by the U.S. government, according to the complaint. Igwilo then allegedly used the representatives and catchers to convince victims to make wire payments to bank accounts in the United States on the false belief that such payments were necessary to effectuate the investment agreements. The complaint further alleges the holders of the U.S. bank accounts were “money movers” who disposed of the funds as directed by Igwilo, including by purchasing luxury vehicles from brands such as Mercedes Benz and Range Rover and shipping them to Nigeria.
Uche Diuno, 52, also of Lagos, was charged in a separate case in a second superseding indictment filed Oct. 3, 2018, with one count of wire fraud conspiracy, one count of money laundering conspiracy and one count of concealment money laundering. Diuno was arrested in Paris, France, on Sept. 29, 2018, and is awaiting extradition.
As alleged in the second superseding indictment, Diuno was a “chairman” or leader in the scheme who operated his own network of catchers and money movers alongside Igwilo’s which he used in furtherance of the same BB&T investment scam.
Seven other individuals have been charged to date as part of the same investigation including Uju Okigbo, 49, and Chioma Okafor, 29, both of Houston and alleged money movers; Tochukwu Nwosisi, 47, of Indianapolis, Indiana, also an alleged money mover; and Marita Ranalan Underwood, 62, of Manila, Philippines, John Christian Rutledge, 65, of Yaphank, New York, Osa May Martin, 69, of Carthage, Missouri, and Tiffany Sourjohn, 48, of Miami, Oklahoma, all alleged representatives.
Okigbo, Okafor, Rutledge and Sourjohn have pleaded guilty and are awaiting sentencing. Underwood remains a fugitive. Martin and Nwosisi are pending trial.
The FBI and DOS-OIG conducted the investigation. Assistant U.S. Attorney (AUSA) Suzanne Elmilady of the Southern District of Texas and Trial Attorney William E. Johnston of the Criminal Division’s Fraud Section are prosecuting the case. AUSA Kristine Rollinson is handling forfeiture aspects of the case.
The charges in the complaint and second superseding indictment are merely allegations.
Defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
New VIDEO: Trafficker with Massive Network Leads Law Enforcement on Wild Car ChaseRead the Press Release
Newly-released dash cam video shows the moment a drug trafficker with a distribution network worth hundreds of thousands of dollars fled the scene of an undercover drug buy.
At the wheel was Israel Vasquez, a 46 year-old-citizen of Mexico, who was sentenced last week to life in prison after pleading guilty to drug and money laundering charges earlier this year.
According to law enforcement, Mr. Vasquez’ methamphetamine distribution network stretched from Michoacán, Mexico, across the southern border, and into Texas and Louisiana. The drug ring netted hundreds of thousands of dollars in proceeds wired to his alias, “Adan Perez.”
Not long before the footage was recorded in March 2016, Grand Prairie Police officers initiated an undercover drug buy with a man later identified as Mr. Vasquez. He agreed to meet an undercover agent behind a retail store in Grand Prairie. Just before the meeting, however, Mr. Vasquez seemed to grow suspicious, pitching about half a kilogram of meth out his car window and speeding away. The subsequent footage shows he led Grand Prairie Police on a wild chase, zig zagging through heavy traffic on Interstate 20, blasting through stop lights, and driving the wrong way on residential streets.
After he ditched the vehicle, agents located a receipt inside that noted his alias, Adan Perez. They tracked Mr. Vasquez to Seattle, where he was arrested weeks later.
At sentencing, prosecutors revealed that at the time of the chase, Mr. Vasquez was a fugitive from justice, having fled to Mexico in 2010 after pleading guilty in another drug and money laundering case in 2009. While on the lam, Mr. Vasquez conspired with several co-defendants, including his wife and sister, to deal controlled substances, including meth and heroin, and move drug money into Mexico.
According to law enforcement agents, in 2013, Vasquez was kidnapped by a cartel and tortured due to a drug debt; as soon as his family raised money to release him, he returned to dealing, and eventually traveled to the Dallas area, where he continued to deal meth and heroin.
Testimony revealed that his drug cell included his wife, Amber Vasquez, sentenced to 115 months on drug and money laundering charges; his sister, Mia Vasquez, sentenced to 38 months custody on drug charges; David De Los Santos, sentenced to 151 months custody on drug and money laundering charges; and Melvin Williams, sentenced to 121 months custody on drug charges. He also had ties to notorious dealer Javier Guerra, a.k.a. Chop, who was sentenced to a term of 480 months on drug charges and 240 months on money laundering charges in August, testimony showed.
The FBI, Dallas Police Department and Internal Revenue Service Criminal Investigation led the investigation with assistance from the Grand Prairie Police Department; the Texas Department of Public Safety; the DFW Department of Public Safety; the U.S. Department of State; the Drug Enforcement Administration; the Bureau of Alcohol, Tobacco, Firearms & Explosives; the Transportation Security Administration; the U.S. Secret Service; U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations; and the Fort Worth, McKinney, Mesquite, and Plano Police Departments. Assistant U.S. Attorneys George Leal, John Kull, and John De La Garza prosecuted the case for the government.The FBI, Dallas Police Department and Internal Revenue Service Criminal Investigation led the investigation with assistance from the Grand Prairie Police Department; the Texas Department of Public Safety; the DFW Department of Public Safety; the U.S. Department of State; the Drug Enforcement Administration; the Bureau of Alcohol, Tobacco, Firearms & Explosives; the Transportation Security Administration; the U.S. Secret Service; U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations; and the Fort Worth, McKinney, Mesquite, and Plano Police Departments. Assistant U.S. Attorneys George Leal, John Kull, and John De La Garza prosecuted the case for the government.
Monroe County Man Sentenced to Five Years’ Imprisonment for Heroin TraffickingRead the Press Release
WILKES-BARRE - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Myles Davis, age 30, of Tobyhanna, Pennsylvania, was sentenced yesterday by Senior U.S. District Court Judge A. Richard Caputo to five years’ imprisonment and four years on supervised release for his role in a Monroe County-based heroin and cocaine trafficking conspiracy.
According to United States Attorney David J. Freed, Davis previously pleaded guilty to conspiring with others to distribute between 100 and 400 grams of heroin in the Monroe County area between May and July 2015. The amount of heroin for which Davis was responsible for distributing was equivalent to approximately 4,000 – 16,000 retail bags of heroin.
Davis was one of eleven individuals indicted by a grand jury in July 2015 and charged with conspiring to distribute heroin and cocaine in the Monroe County area. To date, nine defendants have entered guilty pleas.
The case was investigated by the Drug Enforcement Administration (DEA) and the Pocono Mountain Regional Police Department. Assistant United States Attorney Robert J. O’Hara is prosecuting the case.
This case is part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local and tribal enforcement and the local community to develop effective, locally-based strategies to reduce crime.
This case was also brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin. Led by the United States Attorney’s Office, the Heroin Initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.
This prosecution is also part of an extensive investigation by the Organized Crime Drug Enforcement Task Force (OCDETF). OCDETF is a joint federal, state, and local cooperative approach to combat drug trafficking and is the nation’s primary tool for disrupting and dismantling major drug trafficking organizations, targeting national and regional level drug trafficking organizations and coordinating the necessary law enforcement entities and resources to disrupt or dismantle the targeted criminal organization and seize their assets.
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Monroe County Man Pleads Guilty to Drug TraffickingRead the Press Release
WILKES-BARRE - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Steven Silva-Lugo, age 32, of Henryville, Monroe County, pleaded guilty yesterday before U.S. District Court Senior Judge A. Richard Caputo to the charge of conspiracy to distribute crack cocaine and powder cocaine.
According to United States Attorney David J. Freed, Silva-Lugo admitted to participating in a conspiracy to distribute between 280 grams and 840 grams of crack cocaine, as well as between 3.5 kilograms and 5 kilograms of powder cocaine, in the Monroe County area between May and July 2015. Silva-Lugo was one of eleven individuals indicted by a grand jury in July 2015 and charged with conspiring to distribute heroin, powder cocaine and crack cocaine in the Monroe County area. To date, eight defendants have entered guilty pleas and one defendant, Myles Davis, was sentenced to five years’ imprisonment.
Judge Caputo ordered a presentence report to be completed. Sentencing will be scheduled at a later date.
The investigation was conducted by the Drug Enforcement Administration (DEA) and the Pocono Mountain Regional Police Department. Assistant United States Attorney Robert J. O’Hara is prosecuting the case.
This case is part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local and tribal enforcement and the local community to develop effective, locally-based strategies to reduce crime.
This prosecution is also part of an extensive investigation by the Organized Crime Drug Enforcement Task Force (OCDETF). OCDETF is a joint federal, state, and local cooperative approach to combat drug trafficking and is the nation’s primary tool for disrupting and dismantling major drug trafficking organizations, targeting national and regional level drug trafficking organizations and coordinating the necessary law enforcement entities and resources to disrupt or dismantle the targeted criminal organization and seize their assets.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
The charge carries a mandatory minimum sentence of ten years in prison. The maximum penalty under federal law is up to life in prison, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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Miami-Area Pharmacy Owner Sentenced to over Seven Years in Prison for Role in $8.4 Million Medicare Fraud SchemeRead the Press Release
The owner of a Miami, Florida-area pharmacy who caused Medicare to pay more than $8.4 million over a six-year period for prescription drugs that were never provided to beneficiaries was sentenced today to 87 months in prison.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney Ariana Fajardo Orshan of the Southern District of Florida, Special Agent in Charge George L. Piro of the FBI’s Miami Field Office and Special Agent in Charge Shimon R. Richmond of the U.S. Department of Health and Human Services Office of Inspector General’s (HHS-OIG) Miami Regional Office made the announcement.
Antonio Perez Jr., 48, of Miami Beach, Florida, was sentenced by U.S. District Judge Federico A. Moreno of the Southern District of Florida, who also ordered Perez to pay $8,415,824 in restitution and to forfeit the same amount. Perez was ordered to forfeit four Miami-area properties worth approximately $700,000 and multiple bank accounts totaling over $250,000. Perez previously pleaded guilty to one count of conspiracy to commit health care fraud.
According to admissions made as part of his plea agreement, Perez was the owner of A.R.A. Medical Services Inc., which did business under the name Valles Pharmacy Discount. Perez admitted to agreeing to pay illegal health care kickbacks to Medicare beneficiaries in exchange for a promise from the beneficiaries to fill their prescriptions at Valles Pharmacy Discount, and to allow Valles Pharmacy Discount to submit claims to Medicare for prescription drugs that were not provided to the beneficiaries. Perez also admitted that he submitted claims to Medicare for expensive prescription medications that Valles Pharmacy never purchased, and were never provided to Medicare beneficiaries.
During the course of the scheme, Medicare paid Valles Pharmacy Discount over $32 million, of which at least $8.4 million was for prescription drugs that Valles Pharmacy never purchased and never provided to Medicare beneficiaries, Perez admitted.
The case was investigated by the FBI and HHS-OIG, and was brought as part of the Medicare Fraud Strike Force, under the supervision of the Criminal Division’s Fraud Section and the U.S. Attorney’s Office for the Southern District of Florida. The case was prosecuted by Trial Attorney Timothy P. Loper of the Fraud Section.
The Fraud Section leads the Medicare Fraud Strike Force, which is part of a joint initiative between the Department of Justice and the U.S. Department of Health and Human Services (HHS) to focus their efforts to prevent and deter fraud and enforce current anti-fraud laws around the country. Since its inception in March 2007, the Medicare Fraud Strike Force, which maintains 14 strike forces operating in 23 districts, has charged nearly 4,000 defendants who have collectively billed the Medicare program for more than $14 billion.
Methamphetamine Drug Trafficking Organization DismantledRead the Press Release
Jacksonville, Florida – U.S. Attorney Maria Chapa Lopez, along with other federal, state, and local law enforcement officials announce the results of a long-term investigation involving the organized trafficking of methamphetamine.
James Lester Calloway, Jr. (49, Jacksonville) has pleaded guilty to conspiracy to distribute 50 grams or more of methamphetamine. He faces a mandatory minimum penalty of 20 years, up to life, in federal prison. According to the plea agreement, Calloway was a source of supply for methamphetamine. During the execution of a search warrant on Calloway’s home, the Drug Enforcement Administration seized approximately 112 grams of crystal methamphetamine, a firearm, and $70,960 in cash.
Jason Jed Morris (51, Palatka), another member of the drug trafficking organization, previously pleaded guilty to possessing with the intent to distribute methamphetamine and possessing a firearm in furtherance of a drug trafficking crime. He was sentenced to three years in federal prison. According to the plea agreement, Morris traveled to Jacksonville to meet with Calloway, his source of supply, and purchased 28.25 grams of (99% pure) methamphetamine in order to distribute it to his customers in the Palatka area.
Two other members of the drug trafficking organization have also been charged. On July 12, 2018, Samuel Trevor Martin (36, Jacksonville) was indicted for possessing with the intent to distribute 50 grams or more of methamphetamine. He faces a mandatory minimum penalty of 10 years, and up to life, in federal prison. On August 15, 2018, Anthony Donta Jones was indicted for possessing with the intent to distribute 500 grams or more of methamphetamine. He also faces a mandatory minimum penalty of 10 years, and up to life, in federal prison.
This case was investigated by the Drug Enforcement Administration along with the Putnam County Sheriff’s Office, the Nassau County Sheriff’s Office, and the Jacksonville Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Beatriz Gonzalez.
Metairie Man Indicted for Capital One Bank RobberyRead the Press Release
NEW ORLEANS – U.S. Attorney Peter Strasser announced today that KEITH ANTHONY RAMIREZ (RAMIREZ), age 33, was charged Friday, December 14, 2018 in a one-count Indictment for bank robbery in violation of Title 18, United States Code, Section 2113(a).
According to the Indictment, RAMIREZ robbed the Capital One Bank located in Covington, Louisiana on December 4, 2018.
If convicted, RAMIREZ faces a maximum term of imprisonment of twenty years, a maximum fine of $250,000, a maximum term of supervised release of three years, and a mandatory $100 special assessment.
U. S. Attorney Strasser reiterated that an Indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
U.S. Attorney Strasser praised the work of the Federal Bureau of Investigation, St, Tammany Parish Sheriff’s Office and the Covington Police department in investigating this matter. Assistant U. S. Attorney Spiro G. Latsis is in charge of the prosecution.
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Medical Practice Manager Sentenced for Fraud and Tax ChargesRead the Press Release
NEWPORT NEWS, Va. – A former resident of Williamsburg was sentenced today to over 5 years in prison for stealing approximately $514,000 from a Williamsburg ophthalmologist and filing false tax returns that concealed the stolen funds.
According to court documents, Sherea Darnell, 35, worked as the practice manager for the Cullom Eye and Laser Center, located in Williamsburg, from 2012 to 2016. Both Darnell and Dr. Robert Cullom were actually W-2 employees of Riverside Medical Group. Over a four-year period, Darnell used three of Dr. Cullom’s credit cards to conduct personal transactions for her own benefit totaling approximately $514,000. She also obtained access to Dr. Cullom’s Wells Fargo Advisors accounts, which she used to pay the balances of the credit cards without his authority, including an account that had been established to pay for medical equipment, but which Darnell diverted into making payments on the credit cards. Darnell used the victim’s credit cards to pay for her son’s pre-school tuition which she deducted on her 2016 tax return. She also took over $90,000 in cash advances, transferred funds into her personal USAA accounts, hired a maid service, purchased high-end clothing and airline tickets for herself and her family and made a deposits and payments on luxury vehicles. Darnell failed to report any of these funds obtained via the credit cards on her tax returns for the years 2013-2015. Following her resignation in August 2016, Darnell continued to use the victim’s credit cards to pay her moving expenses, obtain additional cash advances and make other purchases until Dr. Cullom discovered the fraud and shut down the accounts.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Kelly R. Jackson, Special Agent in Charge, Washington, D.C. Field Office, IRS-Criminal Investigation (IRS-CI), made the announcement after sentencing by Senior U.S. District Judge Henry Coke Morgan, Jr. Assistant U.S. Attorneys Howard J. Zlotnick and Brian J. Samuels prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:17-cr-92.
Maryland Woman Charged with Health Care FraudRead the Press Release
WASHINGTON – A Maryland woman who was employed as a personal care aide has been charged with scheming to submit false claims to the District of Columbia’s Medicaid program.
The announcement was made by U.S. Attorney Jessie K. Liu, Assistant Director in Charge Nancy McNamara of the FBI’s Washington Field Office, District of Columbia Inspector General Daniel W. Lucas, and Special Agent in Charge Maureen R. Dixon of the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG), for the region that includes Washington, D.C.
Mobolaji Tina Stewart, 57, of Laurel, Md., was arrested on Dec. 13, 2018 on a criminal complaint charging her with health care fraud and making health care false statements. She made her first appearance later that day in the U.S. District Court for the District of Columbia and was ordered held pending a detention hearing today. At that hearing, she was ordered released on personal recognizance pending further court proceedings.
According to the complaint, Stewart was employed as a personal care aide from January 2014 through her arrest. Under the Medicaid program, personal care aides perform services intended to assist Medicaid beneficiaries in carrying out the activities of daily living. These can include helping beneficiaries get in and out of bed, bathe, dress, take medication, and engage in toileting. To receive personal care services under Medicaid, a beneficiary must obtain a prescription from a doctor.
Stewart’s billing practices drew the attention of the District of Columbia Department of Health Care Finance after she was identified as the second-highest paid personal care aide in 2014 and 2015.
According to the complaint, Stewart caused Medicaid to be billed for more than 24 hours in a given day, for services that she allegedly provided while she was out of the country, and for services that she allegedly provided to a beneficiary who was hospitalized at the time. Based on a review of Medicaid billing claims data, between January 2014 and January 2017, Stewart caused Medicaid to issue payments totaling approximately $434,000, including payments based on fraudulent timesheets.
The charges in a criminal complaint are merely allegations, and every defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
The investigation into this matter is being conducted by the FBI’s Washington Field Office, the District of Columbia Office of the Inspector General’s Medicaid Fraud Control Unit, and the Office of Inspector General for the U.S. Department of Health and Human Services.
The case is being prosecuted by Assistant U.S. Attorney Kondi Kleinman, with assistance from Trial Attorney Amy Markopoulos of the Justice Department’s Criminal Division and Paralegal Specialist Robert Fishman of the U.S. Attorney’s Office for the District of Columbia.
Man who Held ATF Undercover Agent and Confidential Informant at Gunpoint Pleads GuiltyRead the Press Release
One of two men who attempted to rob a federal agent working on an illegal firearms investigation, pleaded guilty today to three federal felonies, announced U.S. Attorney Annette L. Hayes. ABDIRASHID HARET, 20, of Des Moines, Washington, pleaded guilty today to assault on a federal officer and person assisting a federal officer, using a firearm in a crime of violence and robbery of funds belonging to the United States. When sentenced by U.S. District Judge James L. Robart on March 25, 2019, prosecutors will recommend up to 15 years in prison. The ultimate sentence will be determined by Judge Robart and the statutory maximum is life in prison.
According to the facts in the plea agreement, HARET and co-defendant OMAR ABDULLAH, 23, of Seattle, Washington, had made arrangements to sell two firearms to a man who, unknown to them, was a confidential informant (CI) working with ATF. The CI and an undercover ATF agent met with HARET and ABDULLAH in a vehicle in the parking lot of the Kent Lowe’s store. After the agent and CI got in the car, HARET and ABDULLAH used the two loaded the firearms they brought to the meeting to rob the undercover agent and the CI. The undercover agent told HARET and ABDULLAH he would get additional money out of his car. HARET followed the agent out of the car, still armed with a firearm. The undercover agent was able to pull his own gun and fired at ABDULLAH who still held the CI at gunpoint in the car. HARET dropped his gun and attempted to flee. He was struck and injured running across Pacific Highway. Both ABDULLAH and HARET were taken to medical facilities. ABDULLAH continues to get specialized treatment for his gunshot wounds.
Assault on a federal officer and person assisting a federal officer is punishable by up to twenty years in prison. Using a firearm during a crime of violence is punishable by a mandatory minimum seven years in prison and up to life in prison. Robbery of money of the United States is punishable by up to twenty years in prison.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF).
The case is being prosecuted by Assistant United States Attorney Todd Greenberg.
Man Sentenced to 25 Years for Sexually Exploiting a ChildRead the Press Release
MADISON, WIS. – Scott C. Blader, United States Attorney for the Western District of Wisconsin, announced that Matthew R. Howard, 23, Madison, Wisconsin, was sentenced today by U.S. District Judge William M. Conley to 25 years in federal prison for sexually exploiting a child. The prison term will be followed by 25 years of supervised release.
On October 1, 2018, Howard was convicted of two counts of using a minor to produce sexually explicit videos, following a one-day trial in U.S. District Court in Madison. Prior to the trial, Howard pleaded guilty to federal charges of possessing, distributing, and receiving child pornography.
In August 2017, the Madison Police Department received information from the National Center for Missing and Exploited Children about a tip from an online service provider that an IP address registered to an address in Madison was used to upload and share images of child pornography. A search warrant was executed and an external hard drive was seized. The forensic analysis of that hard drive showed that Howard had recorded himself engaging in sexually explicit conduct with a minor, once in 2014 when the victim was nine years old, and once in 2017 when the victim was eleven years old.
In imposing sentence, Judge Conley noted that Howard’s conduct involved repeated abuse over several years and said, “It is essential to protect others from the defendant.”
The charges against Howard are the result of an investigation by the Madison Police Department, Wisconsin Department of Justice Division of Criminal Investigation, and Wisconsin Internet Crimes Against Children Task Force. The prosecution of this case is being handled by Assistant U.S. Attorneys Julie Pfluger and Diane Schlipper.
MS-13 Member Sentenced to 35 Years in Prison for RICO Conspiracy Involving MurderRead the Press Release
BOSTON – A member of MS-13’s Eastside Locos Salvatrucha (ESLS) clique was sentenced yesterday in federal court in Boson for his role in a 2014 murder.
Luis Solis Vasquez, a/k/a “Brujo,” 27, a Salvadoran national, was sentenced by U.S. District Court Judge F. Dennis Saylor IV to 35 years in prison and five years of supervised release. In April 2018, Solis Vasquez and co-defendants Noe Salvador Perez Vasquez, a/k/a “Crazy,” 27, a Salvadoran national, and Hector Enamorado, a/k/a “Vida Loca,” 39, a Honduran national, were convicted by a federal jury of conspiracy to conduct enterprise affairs through a pattern of racketeering activity, more commonly referred to as RICO conspiracy, and of committing or knowingly participating in murder as part of the racketeering conspiracy. Perez Vasquez was also found guilty of conspiracy to possess with intent to distribute and to distribute five kilograms or more of cocaine and conspiracy to possess with intent to distribute and to distribute marijuana. Perez Vasquez and Enamorado were both previously sentenced to life in prison.
On Dec. 14, 2014, Solis Vasquez, Perez Vasquez and Enamorado conspired to murder a 29-year-old man in Chelsea, Mass. Enamorado and the victim had engaged in a gang-related fight the night before the murder, and when Enamorado encountered the victim again the following night, Enamorado called Perez Vasquez and asked him for a gun. Perez Vasquez delivered the murder weapon, a .380 caliber pistol, to Enamorado in Chelsea. Solis Vasquez also armed himself with a gun and went with Enamorado into the victim’s apartment to provide backup and necessary support for the attack. Enamorado used Perez Vasquez’s gun to fatally shoot the victim three times. Enamorado also shot and wounded a second victim who was inside the apartment at the time of the murder.
Solis Vasquez was one of 49 defendants convicted as part of this case. All nine defendants who went to trial were convicted and 40 others pleaded guilty. In all, 16 defendants, including Solis Vasquez, were found to have committed or knowingly participated in murders.
United States Attorney Andrew E. Lelling; Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Peter C. Fitzhugh, Special Agent in Charge of Homeland Security Investigations in Boston; Colonel Kerry A. Gilpin, Superintendent of the Massachusetts State Police; Commissioner Thomas Turco of the Massachusetts Department of Corrections; Essex County Sheriff Kevin F. Coppinger; Suffolk County Sheriff Steven W. Thompkins; Suffolk County District Attorney John P. Pappas; Middlesex County District Attorney Marian T. Ryan; Essex County District Attorney Jonathan Blodgett; Boston Police Commissioner William Gross; Chelsea Police Chief Brian A. Kyes; Everett Police Chief Steven A. Mazzie; Lynn Police Chief Michael Mageary; Revere Police Chief James Guido; and Somerville Police Chief David Fallon made the announcement today. The U.S. Marshals Service has provided crucial assistance with the case.
MS-13 Gang Member Sentenced to 25 Years’ Imprisonment for Murder and Attempted Murder on Long IslandRead the Press Release
Earlier today, at the federal courthouse in Central Islip, Elmer Alexander Lopez, a member of the Centrales Locos Salvatruchas clique of La Mara Salvatrucha, also known as the MS-13, a transnational criminal organization, was sentenced by United States District Judge Joseph F. Bianco to 25 years’ imprisonment. The sentencing follows Lopez’s guilty plea to racketeering charges relating to his participation in the June 3, 2016 murder of Jose Pena and the July 3, 2016 attempted murder of a suspected rival gang member. Upon completion of his sentence, Lopez, an illegal alien from El Salvador, faces deportation from the United States.
Richard P. Donoghue, United States Attorney for the Eastern District of New York, William F. Sweeney, Jr., Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), Geraldine Hart, Commissioner, Suffolk County Police Department (SCPD), and Patrick J. Ryder, Commissioner, Nassau County Police Department (NCPD), announced the sentence.
“With today’s sentence, Elmer Lopez has been held responsible for the brutal acts of violence he committed on behalf of MS-13 to enforce its vicious rules,” stated United States Attorney Donoghue. “The defendant’s conviction, and the ongoing prosecutions of dozens of other MS-13 members by our Office working with the FBI’s Long Island Gang Task Force, reflects the ongoing commitment to eliminate this lawless criminal organization.”
“At just 21 years old, Elmer Lopez is already responsible for the vicious murder of a fellow MS-13 member and the attempted murder of a rival. Our communities are safer when criminals like Lopez are behind bars,” stated FBI Assistant Director-in-Charge Sweeney. “As today’s sentence demonstrates, the FBI Long Island Gang Task Force and our law enforcement partners will continue to put pressure on MS-13 until we reach our ultimate goal of eradicating this deadly gang from our community.”
“This sentencing will ensure that yet another violent member of MS-13 will be imprisoned for his part in a vicious murder and an attempted murder,” stated SCPD Commissioner Hart. “This case highlights the malicious nature of MS-13 and the department’s dedication to ridding our communities of their violence. I would like to thank the Eastern District and the Long Island Gang Task Force for their partnership and perseverance in holding gang members accountable for their incomprehensible crimes.”
“The sentencing of defendant Lopez on murder and attempted murder charges speaks volumes regarding the Long Island Gang Task Force, its affiliated law enforcement agencies and its dedicated investigators,” stated NCPD Commissioner Ryder. “All too often this gang violence spills into our neighborhoods and places our families and communities at risk. MS-13 and their criminal tactics can never be tolerated as law enforcement is working tirelessly to keep our communities safe and free from their violence.”
Lopez and several MS-13 co-conspirators who have been charged in this district decided to kill Pena, also a member of the MS-13, because he was suspected of violating gang rules by cooperating with law enforcement after his arrest and because he might be homosexual. On June 3, 2016, after consulting with MS-13 leadership in El Salvador, Lopez and his co-conspirators lured Pena into a car and drove to a secluded wooded area in Brentwood where they attacked him, taking turns stabbing and slashing him with knives until he was dead. Pena’s body was discovered on October 17, 2016, more than four months after his murder.
At his guilty plea proceeding, Lopez admitted that approximately one month after murdering Pena, he and other MS-13 members attempted to kill a suspected member of the Goon Squad, rival gang in Brentwood. On July 3, 2016, a man identified as John Doe #4 in the indictment was playing basketball with others on Lukens Avenue. Lopez and two MS-13 co-conspirators saw the group and suspected they were members of the Goon Squad. One of the MS-13 co-conspirators shot at the group, striking John Doe #4 in the shoulder. Wounded, John Doe #4 received medical treatment and survived.
Today’s sentencing is the latest in a series of federal prosecutions by the United States Attorney’s Office for the Eastern District of New York targeting members of the MS-13, a violent transnational criminal organization. MS-13’s leadership is based in El Salvador and Honduras, but the gang has thousands of members across the United States, comprised primarily of immigrants from Central America. With numerous branches, or “cliques,” MS-13 is the largest and most violent street gang on Long Island. Since 2003, hundreds of MS-13 members, including dozens of clique leaders, have been convicted on federal felony charges in the Eastern District. A majority of those MS-13 members have been convicted on federal racketeering charges for participating in murders, attempted murders and assaults. Since 2010, this Office has obtained indictments charging MS-13 members with carrying out more than 45 murders in the Eastern District of New York, and has convicted dozens of MS-13 leaders and members in connection with those murders. These prosecutions are the product of investigations led by the FBI’s Long Island Gang Task Force, comprising agents and officers of the FBI, SCPD, NCPD, Nassau County Sheriff’s Department, Suffolk County Probation, Suffolk County Sheriff’s Department, Rockville Centre Police Department, the New York State Police and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
The government’s case is being handled by the Office’s Long Island Criminal Division. Assistant United States Attorneys John J. Durham, Paul G. Scotti, Michael T. Keilty, Raymond A. Tierney and Justina L. Geraci are in charge of the prosecution.
The Defendant:
ELMER ALEXANDER LOPEZ (also known as “Smiley”)
Age: 21
Central Islip, New YorkE.D.N.Y. Docket No. 16-CR-403 (S-4) (JFB)
Local Nurse Heads to Prison for Healthcare Fraud and Kickback ConvictionsRead the Press Release
HOUSTON – A 51-year old nurse from Sugar Land is headed to federal prison following his convictions of conspiracy to commit health care fraud, six counts of health care fraud and conspiracy to violate the anti-kickback statute, announced U.S. Attorney Ryan K. Patrick. A federal jury returned the guilty verdicts against John Dubor May 17, 2018, after deliberating less than six hours following a three-day trial.
Today, U.S. District Judge Andrew Hanen handed Dubor a 109-month sentence to be immediately followed by three years of supervised release. At the hearing, the court heard arguments regarding the loss to the Medicare program and ordered Dubor to pay $3,534,972 in restitution.
Dubor owned and operated Care Committers Health Services home health agency in Richmond. During the trial, the jury heard evidence that Dubor paid marketers and group home owners for Medicare beneficiary information and subsequently billed Medicare and Medicaid for home health services for which the beneficiaries did not qualify and/or did not receive.
Additionally, Dubor personally falsified home health patient assessment forms to make the beneficiaries appear sicker on paper to receive higher reimbursement rates from Medicare. Dubor also instructed his employees to falsify home health certifications and forge physician signatures. The beneficiaries, some of whom, resided in Nacogdoches, had no recollection of ever being treated by the Houston physicians listed on their home health orders. Medicare paid Dubor approximately $3.5 million.
Dubor was taken into custody following the jury trial where he will remain pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The Department of Health and Human Services – Office of Inspector General and the Texas Attorney General’s Medicaid Fraud Control Unit conducted the investigation. Special Assistant U.S. Attorney (AUSA) Justin Blan and AUSA Tina Ansari are prosecuting the case.