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18 December 2018
Lincoln Man Sentenced for Conspiracy to Distribute MethamphetamineRead the Press Release
United States Attorney Joe Kelly announced that on December 18, 2018, Robert Earl Rose, 35, of Lincoln, was sentenced to 15 years and eight months (188 months) in prison for conspiracy to distribute and possess with the intent to distribute 500 grams or more of a mixture or substance containing a detectable amount of methamphetamine. Following the prison term, Rose will serve five years on supervised release.
Information provided to law enforcement indicated that Rose was responsible for the distribution of at least five kilograms (11 pounds) of methamphetamine in the Lincoln area between November of 2016 and November of 2017. On November 21, 2017, Rose was stopped for driving on a suspended license and was found in possession of two baggies containing a total of more than six grams of methamphetamine.
This case was investigated by the Lincoln/Lancaster County Drug Task Force.
Lewis County man admits to drug distributionRead the Press Release
ELKINS, WEST VIRGINIA – Trenton Farnsworth, of Weston, West Virginia, has admitted to methamphetamine distribution, United States Attorney Bill Powell announced.
Farnsworth, age 30, pled guilty to one count of “Possession With the Intent to Distribute Methamphetamine.” Farnsworth admitted to possessing more than five grams of methamphetamine in Barbour County in April 2018.
Farnsworth faces up to 40 years incarceration and a fine of up to $5,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Traci M. Cook is prosecuting the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms and Explosives, the Drug Enforcement Administration; and the Barbour County Sheriff’s Office investigated.
U.S. Magistrate Judge Michael John Aloi presided.
Lackawanna County Man Sentenced to 21 Months’ Imprisonment for Possession of Stolen Mail and Bank FraudRead the Press Release
SCRANTON—The United States Attorney’s Office for the Middle District of Pennsylvania announced that Brandon L. Heaton, age 35, of Clarks Summit, Pennsylvania, was sentenced to 21 months’ imprisonment yesterday by U.S. District Court Judge A. Richard Caputo for possession of stolen mail and bank fraud.
According to United States Attorney David J. Freed, Heaton previously pleaded guilty to stealing mailed checks from mail boxes, forging and depositing the checks, and withdrawing money from his accounts between September 6-12, 2017.
Judge Caputo also ordered Heaton to pay $14,936.95 in restitution and to serve three years on supervised release following his prison sentence.
The case was investigated by the United States Postal Inspection Service. Assistant U.S. Attorney Todd K. Hinkley prosecuted the case.
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Kingman Man Sentenced to Prison for Threatening the President and OthersRead the Press Release
PHOENIX – On Dec. 17, 2018, Jerrod Hunter Schmidt, 39, of Kingman, Ariz. was sentenced by U.S. District Judge Steven P. Logan to 37 months in the Bureau of Prisons followed by three years of supervised release. On Sept. 28, 2018, Schmidt was found guilty by a federal jury of two counts of threatening the President of the United States and two counts of making interstate threatening communications.
After learning that his conviction for a prior felony was affirmed by the Nebraska Court of Appeals, Schmidt made a series of calls to the court clerk’s office. The calls took place on April 10 and April 11, 2018. Schmidt left voice messages wherein he threatened to shoot and kill President Donald Trump, one of the clerks of the Nebraska Court of Appeals, and other political figures.
The investigation in this case was conducted by the United States Secret Service with the assistance of the United States Postal Inspection Service and the Nebraska State Patrol. The prosecution was handled by David Pimsner, Assistant U.S. Attorney, District of Arizona, Phoenix.
CASE NUMBER: CR-18-8131-PCT-SPL
RELEASE NUMBER: 2018-169_Schmidt
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For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.
Keshena Man Sentenced for Aggravated Assault on Menominee Indian ReservationRead the Press Release
Matthew D. Krueger, United States Attorney for the Eastern District of Wisconsin, announced that on December 17, 2018, Shawn Sanapaw (age: 38), of Keshena, was sentenced to 18 months in prison and 36 months of supervised release by Chief United States District Judge William C. Griesbach after a conviction for Assault Resulting in Substantial Bodily Injury. The sentence was the result of a July 2, 2018, guilty plea entered before Chief Judge.
The investigation revealed that on September 29, 2017, Sanapaw caused injuries to another person when he struck that person with a floor lamp. Witnesses further indicated Sanapaw pointed a rifle at the person and unsuccessfully attempted to fire it. Sanapaw then left the residence, which was in a remote portion of the Menominee Indian Reservation. Officers with the Menominee Tribal Police Department later apprehended Sanapaw. Sanapaw pleaded guilty to assault in Menominee Tribal Court and served a tribal sentence for the offense, before going into federal custody in June 2018.
In sentencing Sanapaw, Chief Judge Griesbach noted the serious nature of the offense, and observed the need to deter others who might consider similar actions, stating “this type of behavior cannot be tolerated.”
The case was investigated by the Menominee Tribal Police Department and the Federal Bureau of Investigation. It was prosecuted by Assistant United States Attorney Andrew J. Maier.
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For additional information contact:
Public Information Officer Dean Puschnig 414 297-1700
Justice Department Files Federal Lawsuit Against Watermark Solutions to Enforce the Employment Rights of United States Air Force ReservistRead the Press Release
The Justice Department today announced the filing of a complaint in federal district court against Watermark Solutions (Watermark), a private corporation located in Phoenix, Arizona. The complaint alleges that Watermark violated the employment rights of Staff Sergeant Larry Green (SSG Green), a reservist in the United States Air Force, under the Uniformed Services Employment and Reemployment Rights Act of 1994 (USERRA).
According to the complaint, filed in United States District Court for the District of Arizona, SSG Green’s requirement to perform service in the Air Force Reserves was a motivating factor in Watermark’s decision to terminate his employment. At the time that SSG Green was hired by Watermark in July 2015, he informed Watermark of his military training obligations as an Air Force Reservist. Prior to his employment with Watermark, SSG Green served his country for six years on active duty and has been a member of the United States Air Force Reserves since 2015. Despite the fact SSG Green submitted notice of his Reserve training duties when he was hired, the complaint alleges that in June 2016, Watermark terminated SSG Green’s employment within days of being notified of the dates of his pending military training obligations.
“Our country depends on the men and women who faithfully carry out their military obligations and make personal sacrifices in order to protect our freedoms as Americans,” said Assistant Attorney General Eric Dreiband of the Civil Rights Division. “The Department of Justice is committed to ensuring that the rights of service members, including maintaining their jobs, will be protected when they return to civilian employment from military service or training.”
The lawsuit filed by the United States seeks damages equal to the amount of SSG Green’s lost wages and benefits, as well as liquidated damages resulting from Watermark’s willful failure to comply with USERRA. The lawsuit also seeks SSG Green’s reemployment with the company.
SSG Green initially filed a complaint with the United States Department of Labor’s Veterans’ Employment and Training Service (VETS). The Department of Labor investigated the complaint and attempted to reach resolution between the parties. After resolution failed, VETS referred the complaint to the Department of Justice’s Civil Rights Division, Employment Litigation Section.
The Justice Department gives high priority to the enforcement of servicemembers’ rights under USERRA. Additional information about USERRA can be found on the Justice Departments websites at www.usdoj.gov/crt/emp and www.servicemembers.gov, as well as on the Labor Department’s website at www.dol.gov/vets/programs/userra/main.htm.
Jim Thorpe Man Sentenced to over 8 Years’ Imprisonment for Drug Trafficking and Firearms OffensesRead the Press Release
SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Isaiah Moore-Brown, age 29, of Jim Thorpe, Pennsylvania, was sentenced to 101 months’ imprisonment and three years of supervised release on December 17, 2018, by United States District Court Judge James M. Munley, for possessing with the intent to distribute cocaine base, and for possessing firearms in furtherance of his narcotics trafficking.
According to United States Attorney David J. Freed, Moore-Brown pleaded guilty to distributing between 28 grams and 112 grams of crack cocaine in the Carbon County area in January 2017. Law enforcement officials recovered narcotics, three firearms, and ammunition during a search warrant execution at Moore-Brown’s Jim Thorpe residence.
The case was investigated by Homeland Security Investigations and the Pennsylvania Attorney General’s Office. Assistant U.S. Attorney Phillip J. Caraballo prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
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Jackson Man Sentenced Under Project EJECT to over Five Years in Prison for Illegally Possessing a FirearmRead the Press Release
Jackson, Miss. – Johnathan Lewis, 27, of Jackson, was sentenced today by Senior U.S. District Judge William H. Barbour, Jr. to 64-months in prison, followed by 3 years of supervised release, for illegal possession of a firearm by a convicted felon, announced U.S. Attorney Mike Hurst and Special Agent in Charge Dana Nichols with the Bureau of Alcohol, Tobacco, Firearms and Explosives.
On November 7, 2017, a Jackson Police officer was dispatched to the Studio 7 Hotel on Interstate 55 North for a report of shots fired. Once on the scene, the officer stopped a car driven by Johnathan Lewis. The officer found Lewis in possession of a 9 mm pistol and drugs.
Lewis was previously convicted in 2014 in the Fulton County Superior Court of Atlanta, Georgia, for the felony offenses of robbery, terroristic threats, obstruction and simple battery. He was also convicted in the Circuit Court of Hinds County for felony offenses of possession of counterfeit currency and grand larceny.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Jackson Police Department. It was prosecuted by Assistant United States Attorneys Abe McGlothin, Jr. and Keesha D. Middleton.
This case is part of Project EJECT, an initiative by the U.S. Attorney’s Office for the Southern District of Mississippi under the U.S. Department of Justice’s Project Safe Neighborhoods (PSN). EJECT is a holistic, multi-disciplinary approach to fighting and reducing violent crime in Jackson through prosecution, prevention, re-entry and awareness. EJECT stands for "Empower Jackson Expel Crime Together." PSN is 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. Former Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
IAV GmbH to Pay $35 Million Criminal Fine in Guilty Plea for Its Role in Volkswagen AG Emissions FraudRead the Press Release
IAV GmbH (IAV), a German company that engineers and designs automotive systems, has agreed to plead guilty to one criminal felony count and pay a $35 million criminal fine as a result of the company’s role in a long-running scheme for Volkswagen AG (VW) to sell diesel vehicles in the United States by using a defeat device to cheat on U.S. vehicle emissions tests required by federal law.
Principal Deputy Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division, U.S. Attorney Matthew J. Schneider of the Eastern District of Michigan, Deputy Assistant Attorney General Jean E. Williams of the Justice Department’s Environment and Natural Resources Division, Assistant Administrator Susan Bodine of the EPA’s Office of Enforcement and Compliance Assurance and Special Agent in Charge Timothy R. Slater of FBI’s Detroit Division made the announcement.
IAV is charged with and has agreed to plead guilty to one count of conspiracy to defraud the United States and VW’s U.S. customers and to violate the Clean Air Act by misleading the EPA and U.S. customers about whether certain VW- and Audi-branded diesel vehicles complied with U.S. vehicle emissions standards. IAV and its co-conspirators knew the vehicles did not meet U.S. emissions standards, worked collaboratively to design, test, and implement cheating software to cheat the U.S. testing process, and IAV was aware the VW concealed material facts about its cheating from federal and state regulators and U.S. customers. Under the terms of the plea agreement, which must be accepted by the court, IAV will plead guilty to this crime, will serve probation for two years, will be under an independent corporate compliance monitor who will oversee the company for two years, and will fully cooperate in the Justice Department’s ongoing investigation and prosecution of individuals responsible for these crimes. Pursuant to the U.S. Sentencing Guidelines, IAV’s $35 million fine was set according to the company’s inability to pay a higher fine amount without jeopardizing its continued viability. IAV is scheduled to appear for a change of plea hearing before the Honorable Sean F. Cox of the U.S. District Court for the Eastern District of Michigan on Jan. 18, 2019 at 9:30 a.m.
“Today’s guilty plea shows that this scheme to evade automotive emissions tests and cheat the American public and the U.S. government extended well beyond Volkswagen,” said Principal Deputy Assistant Attorney General Cronan. “Our investigation into emissions cheating is ongoing and we will follow the evidence wherever it leads.”
“By helping VW cheat on U.S. emissions tests in violation of the Clean Air Act, IAV put its corporate success over public health and unfairly disadvantaged its competitors,” said Deputy Assistant Attorney General Williams. “The Department of Justice will continue to work with its law enforcement partners to ensure that companies like IAV play fair and that all Americans can enjoy the protections of our nation’s environmental laws.”
“IAV participated in Volkswagen’s deception of American regulators and fraud on American consumers,” said U.S. Attorney Matthew Schneider. “As this guilty plea demonstrates, our office will continue to aggressively prosecute corporate criminals, even when they work at some of the world’s largest, most prominent companies.”
“IAV designed the software that allowed VW to cheat U.S. air emissions standards,” said EPA Office of Enforcement and Compliance Assurance Assistant Administrator Susan Bodine. “EPA and its law enforcement partners will not tolerate actions like this that put profit above public health and environmental protection.”
“Americans rightly expect corporations to operate honestly,” said FBI Special Agent in Charge Slater. “This case sends a clear message that the FBI and its partners will hold corporations accountable when they defraud consumers and violate federal laws.”
The guilty plea of IAV represents the most recent charges in an ongoing investigation by U.S. criminal authorities into unprecedented emissions cheating by VW. In March 2017, VW pleaded guilty to criminal charges that it deceived U.S. regulatory agencies, including the EPA and the California Air Resources Board, by installing defeat devices in diesel vehicles emissions control systems that were designed to cheat emissions tests. As part of its plea agreement with the Department, VW paid a criminal fine of $2.8 billion and agreed to an independent corporate compliance monitor for three years. Eight individuals were previously indicted in connection with this matter, two of whom have pleaded guilty and been sentenced. The other six charged defendants are believed to reside in Germany.
According to the statement of facts that will be filed with the court in IAV’s case, in 2006, VW engineers began to design a new diesel engine to meet stricter U.S. emissions standards that would take effect by model year 2007. This new engine would be the cornerstone of a new project to sell diesel vehicles in the United States that would be marketed to buyers as “clean diesel.” When the co-conspirators realized that they could not design a diesel engine that would both meet the stricter standards for nitrogen oxides (Nox) and attract sufficient customer demand in the U.S. market, they decided they would use a software function to cheat the U.S. emissions tests.
VW delegated certain tasks associated with designing its new “Gen 1” diesel engine to IAV, including parts of software development, diesel development and exhaust after-treatment. In November 2006, a VW employee requested that an IAV employee assist in the design of defeat device software for use in the diesel engine. The IAV employee agreed to do so and prepared documentation for a software design change to recognize whether a vehicle was undergoing standard U.S. emissions testing on a dynamometer or it was being driven on the road under normal driving conditions. If the software detected that the vehicle was not being tested, the vehicle’s emissions control systems were reduced substantially, causing the vehicle to emit substantially higher NOx, sometimes 35 times higher than U.S. standards.
By at least 2008, an IAV manager knew the purpose of the defeat device software, instructed IAV employees to continue working on the project and directed IAV employees to route VW’s requests regarding the defeat device software through him; the manager was involved in coordinating IAV’s continued work on it.
Starting with the first model year (2009) of VW’s new “clean diesel” Gen 1 engine, through model year 2014, IAV and its co-conspirators caused defeat device software to be installed on all of the approximately 335,000 Gen 1 vehicles that VW sold in the United States.
This case was investigated by the FBI and EPA-Criminal Investigation Division. The prosecution and corporate investigation are being handled by Trial Attorneys Philip Trout, Mark Cipolletti and Gary Winters of the Criminal Division’s Fraud Section; Senior Trial Attorney Jennifer Blackwell of the Environment and Natural Resources Division’s Environmental Crimes Section; and White Collar Crime Unit Chief John K. Neal of the Eastern District of Michigan. The Criminal Division’s Office of International Affairs also assisted in the case. The Justice Department also extends its thanks to the Office of the Public Prosecutor in Braunschweig, Germany.
Houston Man Gets 30 Years for Trafficking Children for Commercial SexRead the Press Release
HOUSTON – A 41-year-old Houston man is headed to prison after for trafficking children for commercial sex and attempting to do so during the 2012 Olympics, announced U.S. Attorney Ryan K. Patrick.
A federal jury convicted Jason Daniel Gandy July 23, 2018, on four counts of sex trafficking of minors, one count of transportation of minors, one count of sexual exploitation of a child and one count of transportation of child pornography following a three-day trial and less than three hours of deliberations.
Today, Chief U.S. District Judge Lee H. Rosenthal ordered Gandy to serve a total of 360 months in prison. Following his incarceration, Gandy will be on supervised release for the rest of his life, during which time he will have to comply with numerous requirements designed to restrict his access to children and the internet. He will also be ordered to register as a sex offender.
At the hearing, three young men provided testimony about how Gandy victimized them and how it impacted, and continues to influence, their lives. They stated that Gandy had made them feel worthless and stole their innocence and that they have struggled with substance abuse and thoughts of suicide since their victimizations.
The court gave Gandy the opportunity to address the court, at which time he continued his attempts at manipulating the victims. He showed no remorse and attempted to cast himself in the role of victim.
In imposing the sentence, Judge Rosenthal called Gandy “an abuser of vulnerable human beings.” “You are evil,” she said, “and most evil are those who willingly exploit others for their own gratification.” The court noted the need for restitution for the victims outweighed the need for a fine and therefore waived it. That restitution will be addressed at a later date.
United Kingdom immigration officers stopped Gandy in July 2012 after he and a minor male child arrived in London on a flight which originated in Houston. The officials in London believed something was amiss about someone of his age traveling with a 15-year-old male who are not related. Both individuals were returned to Houston on separate airplanes.
Upon arrival in Houston, Immigration and Customs Enforcement’s Homeland Security Investigations (HSI) met them. Their investigation revealed Gandy ran a massage business out of his home and was using the young boy to give massages. During the massages, paying customers were allowed to fondle the child. He was also required to sexually gratify customers by masturbating them.
Gandy paid for the trip to London and the child’s passport fees. Gandy’s intent was for the child to perform massages in London during the 2012 Olympics. The investigation also revealed Gandy molested the child on more than one occasion and intended to continue to do so.
After authorities had detained Gandy on the original transportation of minor charge, further investigation revealed there were multiple young men who Gandy victimized, some as minors and some as adults. During trial, four of the identified victims - all minors at the time of the exploitation - testified as to how Gandy manipulated them into performing massages on men which culminated in the sexual gratification of the client.
Gandy has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
HSI conducted the investigation.
Assistant U.S. Attorneys Sherri L. Zack and Kimberly Ann Leo prosecuted the case, which was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to locate, apprehend and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Haverhill Man Pleads Guilty to Participating in Fentanyl Trafficking ConspiracyRead the Press Release
Concord – United States Attorney Scott W. Murray announced that Joshua Smith, 31, of Haverhill, Massachusetts, pleaded guilty to participating in a conspiracy to distribute over 400 grams of fentanyl and to possessing a firearm in furtherance of a drug trafficking crime.
According to court documents and statements made in court, a drug trafficking organization that authorities allege was led by Sergio Martinez, employed the defendant to sell fentanyl to customers from various New England States, including New Hampshire. On each day that the defendant worked, the Martinez organization provided him with at least one 200-gram bag of fentanyl and expected him to sell it and return approximately $6,000 in proceeds. The defendant worked for the Martinez organization on various days. On October 20, 2017, the defendant was arrested while selling drugs for the organization. At the time, he possessed a firearm that he admitted to carrying to avoid being robbed by drug customers.
Smith is scheduled to be sentenced on March 28, 2019. Smith faces a mandatory minimum sentence of fifteen years of imprisonment and a maximum sentence of life, a fine up to 10 million dollars and a term of supervised release of at least five years and as much as life.
Thirty-three additional defendants have been charged in the fentanyl trafficking conspiracy.
“Fentanyl trafficking makes a deadly substance available for purchase in this State,” said U.S. Attorney Murray. “It is imperative that we dismantle the criminal organizations that profit from the sale of illegal substances. In order to stop the devastation caused by their activities, we will continue to work closely with the entire law enforcement community to arrest and prosecute traffickers.”
This investigation was conducted by the Organized Crime Drug Enforcement Task Force (OCDETF). The OCDETF program is a federal multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations.
The case was a collaborative investigation that involved the DEA; the New Hampshire State Police; the Hillsborough County Sheriff’s Office; the Nashua Police Department; the Massachusetts State Police; the Massachusetts Attorney General’s Office; the New Hampshire Attorney General’s Office; the Essex County District Attorney’s Office; the Internal Revenue Service; Immigration and Customs Enforcement’s Homeland Security Investigations; United States Customs and Border Protection Boston Field Office; the United States Marshals Service; the United States Department of State’s Diplomatic Security Service; the Manchester Police Department; the Lisbon Police Department; the Littleton Police Department; the Seabrook Police Department; the Haverhill (MA) Police Department; the Methuen (MA) Police Department; the Lowell (MA) Police Department; and the Maine State Police.
The case is being prosecuted by Assistant United States Attorneys Georgiana L. Konesky and Seth R. Aframe.
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Hartford Man Sentenced to 5 Years in Prison for Distributing Cocaine and CrackRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that JOSE RODRIGUEZ, also known as “Juice,” 48, of Hartford, was sentenced today by U.S. District Judge Jeffrey A. Meyer in New Haven to 60 months of imprisonment, followed by four years of supervised release, for trafficking cocaine and crack cocaine.
According to court documents and statements made in court, this matter stems from a law enforcement investigation headed by the FBI’s Northern Connecticut Violent Crimes Task Force and the Hartford Police Department’s Vice and Narcotics Division targeting gang violence and narcotics trafficking in Hartford. In May 2018, Rodriguez and nine other alleged members and associates of the Almighty Latin Kings Nation were charged with offenses related to the distribution of heroin, fentanyl and crack cocaine in Hartford. Four of the defendants also were charged with firearm offenses.
The investigation, which included court-authorized wiretaps, revealed that Rodriguez distributed crack and powder cocaine that he purchased from an ALKN member.
Rodriguez’s criminal history includes more than 20 convictions. In September 2017, he was shot four times during an apparent drug robbery.
Rodriguez has been detained since his arrest on May 7, 2018. On September 25, 2018, he pleaded guilty to one count of conspiracy to possess with intent to distribute 28 grams or more of cocaine base (“crack”).
The FBI’s Northern Connecticut Violent Crimes Task Force includes members of the Hartford Police Department, East Hartford Police Department, Connecticut State Police and Connecticut Department of Correction.
This case is being prosecuted by Assistant U.S. Attorney Brian P. Leaming.
Hartford Man Sentenced to 46 Months for Distributing Drugs Involved in 2 Enfield Overdose DeathsRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that CHRISTOPHER BARRETO, 29, of Hartford, was sentenced today by U.S. District Judge Michael P. Shea in Hartford to 46 months of imprisonment, followed by five years of supervised release, for distributing drugs involved in two overdose deaths in Enfield in 2016.
This matter stems from an ongoing statewide initiative targeting narcotics dealers who distribute heroin, fentanyl or opioids that cause death or serious injury to users.
According to court documents and statements made in court, at approximately 9:52 a.m., on August 26, 2016, the Enfield Police Department and emergency medical personnel responded to a residence in Enfield and found an unresponsive 31-year-old male in the upstairs bedroom of the residence. The victim was pronounced deceased. Officers searched the immediate area and seized one empty white wax fold and six full white wax folds that contained suspected heroin. Officers also seized the victim’s iPhone. An analysis of text messages revealed that the victim had ordered heroin from an individual in the evening of August 25, 2016.
According to the State of Connecticut Chief Medical Examiner, the victim’s death was determined to be caused by “acute fentanyl and ethanol intoxication.”
At approximately 8:23 p.m., on October 27, 2016, the Enfield Police Department and emergency personnel responded to another residence in Enfield and found an unresponsive 36-year-old man outside the house. The victim was transported to the hospital for medical attention and pronounced deceased. Officers subsequently recovered the victim’s cell phone and 20 white wax folds that contained suspected heroin. Analysis of the victim’s cell phone revealed that the victim had purchased heroin from the same individual two days before his death.
Connecticut’s Chief Medical Examiner concluded the victim died as a result of the “combined effects of fentanyl, furanyl fentanyl and heroin.”
Analysis of text messages revealed that both victims purchased heroin from an individual who had purchased the heroin from Barreto. The text messages also revealed that Barreto was consistently dealing narcotics from April 2016 until he was arrested on August 10, 2017.
At the time of his arrest, investigators seized approximately 2,000 wax folds of heroin from Barreto’s residence.
On August 1, 2018, Barreto pleaded guilty to one count of possession with intent to distribution, and distribution of, controlled substances.
Barreto has been detained since October 22, 2018, when he bond was revoked.
This matter was investigated by the Drug Enforcement Administration and the Enfield Police Department. The case is being prosecuted by Assistant U.S. Attorney Jocelyn Courtney Kaoutzanis.
Hamburg Man Charged with Illegally Importing Heroin and CocaineRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Torin Finver, 54, of Hamburg, NY, was arrested and charged by criminal complaint with importation of a controlled substance. The charge carries a maximum penalty of 20 years in prison and a $1,000,000 fine.
Assistant U.S. Attorney Patricia Astorga, who is handling the case, stated that according to the complaint, on Wednesday, November 21, 2018, U.S. Customs and Border Protection Officers intercepted a padded mailer addressed to the defendant’s Hamburg residence. A CBP K-9 alerted officers to the package. The parcel was from Germany and a check of law enforcement databases revealed that the sender information was fictitious. The parcel contained three grams of a white powdery substance, which field tested positive for cocaine.
On December 10, 2018, during review of incoming mail in Rochester, NY, Postal Inspectors located a parcel, again addressed to Finver’s Hamburg residence. A K-9 sniff of the parcel resulted in a positive alert. On December 12, 2018, a search warrant was executed on the parcel. The parcel contained three small envelopes with a brown rock-like substance, which field tested positive for heroin.
On December 12 and December 15, 2018, two more similar parcels addressed to the defendant were located, one in Rochester, and one in Hamburg. A search warrant was executed on one of the parcels, which was found to contain suspected cocaine. The second parcel is in the custody of law enforcement.
On December 17, 2018, a controlled delivery was conducted at Finver’s residence. Law enforcement officers replaced the cocaine that was seized from the first parcel and replaced with sham. An officer knocked on the door and the defendant answered. Finver took the parcel into the residence. Officers then executed a federal search warrant of Finver’s residence. The defendant was subsequently taken into custody.
The defendant made an initial appearance before U.S Magistrate Judge Michael J. Roemer and was released on conditions.
The criminal complaint is the result of an investigation by Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly, and the U.S. Postal Inspection Service, under the direction of Boston Division Inspector-in-Charge Joseph W. Cronin.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Haitian Woman Sentenced for Illegal Re-entry into United StatesRead the Press Release
ALBANY, NEW YORK – Rose Mathe Jean Louis, age 50, and a citizen of Haiti, was sentenced today to time served (61 days in jail), for illegal re-entry into the United States.
The announcement was made by United States Attorney Grant C. Jaquith and Robert N. Garcia, Chief Patrol Agent, United States Border Patrol, Swanton Sector.
Jean Louise was ordered removed from the United States to Haiti by order of an Immigration Judge in Orlando, Florida, on February 10, 2014. Jean Louise was not removed and instead was released to reside in the United States. On August 21, 2017, Jean Louis departed the United States while the removal order was pending, and entered Canada. On October 18, 2018, she was arrested by a Border Patrol Agent just south of the international border between the United States and Canada after she entered the United States without inspection approximately three miles west of the Champlain Port of Entry, New York. Jean Louise admitted that she returned to the United States without permission.
Following the sentencing, Jean Louise was remanded to the custody of the Department of Homeland Security, for removal proceedings.
This case was investigated by Border Patrol and prosecuted by Assistant U.S. Attorney Edward P. Grogan.
Greenville Man Sentenced to 15 Years in Federal Prison for Being a Felon in Possession of a FirearmRead the Press Release
Anderson, South Carolina---- United States Attorney Sherri A. Lydon announced today that Dominick Larenzo Johnson, 33, of Greenville, South Carolina, was sentenced in federal court in Anderson for being a felon in possession of a firearm. United States District Court Judge Timothy Cain of Anderson accepted Johnson’s guilty plea and sentenced him to 15 years in federal prison. There is no parole in the federal system.
Evidence presented to the court showed that on September 8, 2016, a Greenville County Sheriff’s Deputy initiated a traffic stop on a vehicle driven by Johnson, but the vehicle fled. The vehicle was soon found abandoned, and deputies canvassed the area looking for Johnson. Witnesses informed deputies that Johnson had thrown an object into a dumpster as he ran by it. Deputies arrested Johnson as he ran from a nearby building and then recovered the object from the dumpster. The object, a backpack, contained a loaded 9mm pistol.
Federal law prohibits Johnson from possessing a firearm due to his prior convictions for possession with intent to distribute crack cocaine in 2005, and possession with intent to distribute crack cocaine twice in 2016.
The Greenville County Sheriff’s Office along with agents from the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) investigated the case. It was prosecuted as part of the joint federal, state, and local Project CeaseFire initiative, which aggressively prosecutes firearm cases. Project CeaseFire is South Carolina’s implementation of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime. Assistant United States Attorney Max Cauthen in the Greenville U.S. Attorney’s Office prosecuted the case.
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Greene County Felon Pleads Guilty to Illegally Possessing FirearmRead the Press Release
ALBANY, NEW YORK – Michael Greenholtz, age 25, of Cairo, New York, pled guilty today to illegally possessing a .22 caliber revolver as a felon.
The announcement was made by United States Attorney Grant C. Jaquith and James N. Hendricks, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI).
As part of his plea, Greenholtz admitted that on July 31, 2018, he sold a .22 caliber revolver to another person in Albany. Two prior felony state convictions for burglary prevented Greenholtz from legally possessing the firearm in New York.
Greenholtz faces up to 10 years in prison, a fine of up to $250,000, and a term of post-imprisonment supervised release of up to 3 years when he is sentenced on April 16, 2019 by Senior United States District Judge Thomas J. McAvoy.
A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.
This case was investigated by the FBI and its Capital District Safe Streets Gang Task Force. This case is being prosecuted by Assistant U.S. Attorney Emmet O’Hanlon.
Grandview Man Sentenced to 25 Years for Armed Robbery ConspiracyRead the Press Release
KANSAS CITY, Mo. – A Grandview, Mo., man was sentenced in federal court today for his role in a three-months-long conspiracy that included at least 27 armed robberies, culminating in the armed robbery of a Walgreens in Blue Springs, Mo., in which a suspect was fatally shot by law enforcement officers.
Deonte J. Collins-Abbott, 24, was sentenced by U.S. Chief District Judge Greg Kays to 25 years in federal prison without parole.
On June 28, 2018, Collins-Abbott pleaded guilty to participating in a conspiracy to commit robbery and to possessing a firearm in furtherance of a crime of violence. Collins-Abbott admitted that he committed eight armed robberies between Feb. 3, 2016, and March 24, 2016. Collins-Abbott admitted that he and co-conspirators robbed businesses in Blue Springs, Independence, North Kansas City, Raytown, Kansas City, Mo., and Kansas City, Kan., at gunpoint.
Collins-Abbott admitted that he and two other men robbed the Walgreens at 9th and Duncan in Blue Springs on March 24, 2016. According to court documents, once inside, one of the robbers placed a firearm to the back of an employee’s head and took money from the front register. Collins-Abbott and Jermon Seals of Shawnee, Kan., went over the pharmacy counter and took prescription grade cough syrup at gunpoint from the pharmacist. They left the business but were confronted by law enforcement officers as they were walking back to the vehicle. They failed to comply with the officers’ commands, according to the court documents, and Seals turned towards the officers, pointing a gun in their direction. Officers returned fire and Seals was struck in the exchange. Collins-Abbott and another man were apprehended by officers after a short foot pursuit.
Co-defendants Demetrius Nelson, 25, of Kansas City, Mo., and Parrise K. Black, also known as “Kilo,” 26, and Frank A. Garner, Jr., 24, both of Grandview, have also pleaded guilty and await sentencing.
This case is being prosecuted by Assistant U.S. Attorneys Adam Caine and David Raskin. It was investigated by the FBI, the Kansas City, Mo., Police Department, the Independence, Mo., Police Department, the North Kansas City, Mo., Police Department, the Kansas City, Kan., Police Department, the Bureau of Alcohol, Tobacco, Firearms and Explosives and the U.S. Marshals Service.
Gardiner Man Sentenced to Three Years for Conspiring to Distribute Heroin and CrackRead the Press Release
Bangor, Maine: United States Attorney Halsey B. Frank announced that Jeffrey Johnson, 58, of Gardiner, Maine, was sentenced today in U.S. District Court by Judge John A. Woodcock, Jr. to three years in prison and three years of supervised release for conspiring to distribute heroin and cocaine base, commonly known as “crack.” He was also ordered to pay a $1,000 fine. The defendant pled guilty on May 24, 2018.
According to court records, between June 2015 and March 2017, Johnson conspired with others to acquire heroin, fentanyl and crack in Rochester, New York and transport it to Central Maine for distribution. The defendant allowed Rochester dealers to sell narcotics from his residence, then in Chelsea, Maine, set up drug deals and provided transportation for drug deals.
The case was investigated by the U.S. Drug Enforcement Administration, the Maine Drug Enforcement Agency, and the Kennebec County Sheriff’s Department, with assistance provided by the Augusta Police Department. This case was investigated and prosecuted as part of the Department of Justice’s Strategy to Combat the Opioid Epidemic.
Frisco City Man Sentenced for Firearm OffenseRead the Press Release
United States Attorney Richard W. Moore of the Southern District of Alabama announced that Jeremiah Rashaun Tolbert, 29, of Frisco City, Alabama, was sentenced in federal court to 61 months in prison for his illegal possession of a firearm after being convicted of a felony. Judge Kristi K. Dubose imposed the sentence, consisting of 37 months on the gun charge, to run consecutive to a separate term of 24 months. The second sentence was imposed because Tolbert was under federal supervision from a prior conviction for the identical offense, committed in 2015. The total prison sentence for this second conviction for being a felon in possession of a firearm was 61 months. The judge ordered another term of supervision to follow his latest conviction of three years, and did not impose a fine. She ordered that Tolbert pay $100 in special assessments.
The case was investigated by the Excel Police Department, the Frisco City Police Department, the Clarke County Sheriff’s Department, and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It was prosecuted in the United States Attorney’s Office by Assistant United States Attorney Gloria Bedwell.
Four Defendants Receive Significant Sentences for Child Exploitation CrimesRead the Press Release
NEWS RELEASE SUMMARY – December 18, 2018
SAN DIEGO - Federal judges sentenced four defendants -- Kenneth Bigler, Jospeh DeLeon, Denziel Buirke, and Karl Kenneth Abbott -- in separate Project Safe Childhood (PSC) criminal matters to significant time in custody yesterday, recognizing the gravity, irreparable harm and heinous nature of sexual offenses that victimize society’s most vulnerable citizens, our children.
“One of the Department’s most critical missions is protecting vulnerable children who cannot defend themselves,” said U.S. Attorney Adam L. Braverman. “These sentences send a strong message that dangerous sexual predators will be placed under lock and key for as long as necessary to protect our children.”
“With today's sentencings, a voice was given to the most defenseless members of our society. Protecting our children from sexual predators is a priority for the FBI,” said FBI Special Agent in Charge John Brown. “The FBI will continue to work with our law enforcement partners here and abroad, to protect our world's children from those who would seek to exploit their innocence.”
“Recent cases demonstrate there remains an urgent need to warn parents about the extraordinary risks that sexual predators pose to children. Especially on the Internet, children are most vulnerable to victimization by people they mistakenly trust,” said Dave Shaw, HSI Special Agent in Charge in San Diego. “Those who engage in this criminal behavior should be forewarned that HSI, along with our law enforcement partners, will use every tool at our disposal to end the sexual exploitation of children and keep our children safe, whether they are around the block or around the world."
DEFENDANT Criminal Case No. 17CR2509-JAH
Kenneth Bigler Age: 54 Walnut, CA
Kenneth Bigler was sentenced to 210 months in custody following his guilty plea to one count of Attempted Sexual Exploitation of a Child, in violation of 18 U.S.C § 2251(c) & (e). Bigler has been in federal custody since his arrest on August 14, 2017. Bigler’s term of custody will be followed by a 10-year term of supervised release.
According to public records, FBI agents conducting an investigation of Bigler discovered multiple electronic communications between Bigler and an individual in Mexico. Bigler and the individual were attempting to arrange meetings in Mexico, during which Bigler intended to engage in sexual activity with minors. In the communications, Bigler requested that the individual provide minors as young as eight years old to engage in sexual activity with Bigler in Mexico. When interviewed by the FBI, Bigler admitted to traveling to Mexico on multiple occasions, hoping to engage in sexually explicit conduct with minors. Bigler also admitted to agents that he engaged in sexual activity in Mexico with girls between 14 and 16 years old. Forensic analysis of digital and computer media possessed by Bigler revealed multiple videos, created by Bigler in Mexico, which depicted Bigler engaged in sexually explicit conduct with an apparent minor. Bigler then transported those videos through the Southern District of California to his residence in the Central District of California.
During the sentencing hearing, U.S. District Judge John A. Houston expressed concern about Bigler’s prior criminal history, which included multiple convictions for indecent exposure, and Bigler’s status as a registered sex offender at the time the current offense was committed. Judge Houston admonished Bigler that it seemed his prior convictions had not “tempered his treatment of young people” and emphasized his concern about the gravity of Bigler’s “extensive criminal conduct.”
This matter is being prosecuted by Special Assistant U.S. Attorney Renee Green.
DEFENDANT Criminal Case No. 17CR2509-JAH
Joseph DeLeon Cruz Age: 58 San Diego, CA
Joseph DeLeon Cruz was sentenced to 60 months in custody following his guilty plea to one count of Receipt of Images of Minors Engaged in Sexually Explicit Conduct, in violation of 18 U.S.C. § 2252(a)(2). Cruz has been in federal custody since his arrest on April 2, 2018. Cruz’s term of custody will be followed by a 7-year term of supervised release.
According to the public record, on or before June 2, 2016, Cruz used a publicly available peer-to-peer file-sharing torrent program to receive digital files of visual depictions of minors engaged in sexually explicit conduct via the internet. The peer-to-peer file-sharing torrent program made those same files available for download by other users of the program. On four occasions between May 24 and June 2, 2016, a FBI agent obtained multiple complete files directly and solely from Cruz’s computer within his residence and they depicted images of prepubescent females engaging in sexually explicit conduct. Agents seized multiple items of digital evidence from Cruz’s residence pursuant to a federal search warrant. Upon forensic analysis, thousands of images and videos of minors, including prepubescent minors, engaging in sexually explicit conduct were found on two different devices (a hard drive and a laptop computer) seized from Cruz’s bedroom. In addition, multiple files indicating use of file-sharing software, or torrents, were found on Cruz’s laptop computer.
This matter is being prosecuted by Special Assistant U.S. Attorney Renee Green.
DEFENDANT Criminal Case No. 17cr2678-BEN
Denziel S. Burke Age: 20 El Cajon, CA
U.S. District Court Judge Roger T. Benitez sentenced Denziel S. Burke to 112 months in custody and five years of supervised release for sex trafficking of a minor. Burke previously pled guilty to trafficking a fourteen year-old minor female, admitting that he arranged for her to have commercial sex ads placed on backpage.com, a site commonly used for advertising commercial sex. Over the course of two days, Burke drove his victim to multiple locations throughout the Southern District of California where he arranged for her to perform commercial sex acts on unknown males.
Burke directly arranged the commercial sex acts by text messaging with potential clients, determining the client’s address, and driving the minor female victim to the location of the client. Burke admitted that he knew the victim was 14 years-old at the time he was transporting, harboring, and maintaining her for the purpose of performing commercial sex acts. When the San Diego Human Trafficking Task Force attempted to arrest Burke on August 8, 2017, he struck an unmarked police vehicle and fled at a high rate of speed. The San Diego Police Department rescued the minor victim that day, and the United States Marshals Service assisted in locating and arresting Burke two days later.
In determining his sentence, Judge Benitez noted the irreparable harm caused to the victims of this heinous crime, and acknowledged the need for significant sentences to serve as a deterrent.
This case is being prosecuted by Assistant U.S. Attorney Eric Roscoe.
DEFENDANT Criminal Case No. 16cr2178-MMA
Karl Kenneth Abbott Age: 59 San Diego, CA
Karl Kenneth Abbott was sentenced by U.S. District Judge Michael M. Anello to 78 months in custody following his guilty plea to one count of Receipt of Images of Minors Engaged in Sexually Explicit Conduct, in violation of 18 U.S.C § 2252(a)(2). Abbott’s term of custody will be followed by a 7-year term of supervised release.
Abbott came to the attention of law enforcement due to his use of a publicly available peer-to-peer file-sharing program to receive images and videos of minors engaged in sexually explicit conduct via the internet. The peer-to-peer file-sharing program made those same files available for download by other users of the program, as well as law enforcement. A search warrant was executed at the defendant’s home, and upon forensic analysis of seized items, hundreds of images and videos of minors, including prepubescent minors, engaging in sexually explicit conduct were found on two different seized computer devices.
This matter is being prosecuted by Assistant U.S. Attorney Janet Cabral.
INVESTIGATIVE AGENCIES:
San Diego Internet Crimes Against Children Task Force
San Diego Human Trafficking Task Force
Federal Bureau of Investigation
Homeland Security Investigations
United States Marshals Service
San Diego Police Department
National City Police Department
The San Diego Internet Crimes Against Children Task Force is a national network representing over 4,500 federal, state, and local law enforcement and prosecutorial agencies, all working to combat the sexual exploitation of children through the internet.
The San Diego Human Trafficking Task Force combines the efforts of federal and local law enforcement to ensure that those who seek to do harm to the most vulnerable in our society are brought to justice.
Fort Wayne Man Sentenced to 108 Months in PrisonRead the Press Release
FORT WAYNE – Carlos Sanchez, 33 years old, of Fort Wayne, Indiana, was sentenced by U.S. District Court Judge Theresa L. Springmann, after pleading guilty to Conspiracy to Defraud the United States and Maintaining a Place for Distributing and Using Cocaine, announced U.S. Attorney Kirsch.
Sanchez was sentenced to 108 months in prison and 1 year of supervised release.
According to documents in the case, between February, 2016 and May, 2016, Sanchez and a co-defendant conspired to and did engage in the business of dealing in firearms without being licensed to do so.
Sanchez also used his house to distribute drugs.
This case was investigated by the ATF and the Indiana State Police. This case was handled by Assistant United States Attorney Lesley J. Miller Lowery.
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Fort Mill Felon Sentenced to Federal Prison on Firearm ChargeRead the Press Release
Columbia, South Carolina ---- United States Attorney Sherri A. Lydon announced today that Shiquisa Monique Watts, a/k/a “Quisha,” age 23, of Fort Mill, South Carolina, was sentenced to over two years in federal prison after pleading guilty in March 2018 to being a felon in possession of a firearm and ammunition.
Evidence presented in court established that on September 10, 2016, officers with the Fort Mill Police Department responded to a fight in the parking lot of a local shopping center. Officers gathered information that one of the individuals involved in the altercation was Watts and that she had been armed with a handgun. They made contact with Watts at her home as she was exiting a vehicle. Officers located a loaded Ruger .380 caliber handgun in the car and Watts admitted to possessing it in her pocket during the altercation. Further investigation revealed that the firearm had previously been reported stolen.
Federal law prohibits Watts from possessing firearms and ammunition based upon her prior state convictions for distribution of marijuana 2nd offense and distribution of marijuana within the proximity of a park.
United States District Judge J. Michelle Childs, of Columbia, accepted Watts’ guilty plea and sentenced her to 27 months in federal prison followed by 3 years of court-ordered supervision. The court allowed Watts to self-report to federal prison. Assistant United States Attorney Stacey D. Haynes of the Columbia office prosecuted the case.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) and the Fort Mill Police Department. This case was prosecuted as part of the joint federal, state, and local Project CeaseFire initiative, which aggressively prosecutes firearm cases. Project CeaseFire is South Carolina’s implementation of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
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Former Physician Assistant Convicted in Kickback SchemeRead the Press Release
Concord - United States Attorney Scott W. Murray announced that a federal jury found Christopher Clough, 44, of Dover, New Hampshire guilty of participating in a scheme in which he received kickbacks in exchange for prescribing a powerful fentanyl spray to patients in violation of federal law.
According to testimony during the trial, which began on December 11, 2018, Clough worked as a physician assistant in New Hampshire. After being approached by a representative of a drug manufacturer in June of 2013, he became a frequent prescriber of a fentanyl spray that had been approved by the Food and Drug Administration to treat breakthrough cancer pain. From approximately June of 2013 through the fall of 2014, Clough wrote more than 750 prescriptions for the fentanyl spray in New Hampshire, including more than 225 prescriptions for Medicare patients. The Medicare program paid over $2.1 million for these prescriptions.
Trial testimony demonstrated that during the time he was writing these prescriptions, the manufacturer of the drug paid Clough to serve as a speaker at more than 40 programs at a rate of approximately $1,000 per event. In many instances, the programs were merely sham events where Clough was paid to have dinner with employees or representatives of the pharmaceutical company. During most dinner programs, Clough did not give any kind of presentation about the drug. Clough and others often forged signatures of attendees on sign-in sheets in an effort to make the dinners appear to be legitimate. Evidence at trial demonstrated that Clough received over $49,000 in payments from the drug manufacturer.
Testimony at the trial also showed that Clough often prescribed the drug for patients who did not have breakthrough cancer pain. He often started patients on high doses of the addictive fentanyl spray and rebuffed patients and their family members who stated that they no longer wanted the drug.
Clough was convicted of one count of conspiracy and seven counts of receipt of kickbacks in relation to a federal healthcare program. He faces up to five years in prison on each count of conviction when he is sentenced on March 29, 2019.
“Health care providers should make their treatment decisions based upon the needs of their patients, not their desire to pad their wallets,” said U.S. Attorney Murray. “Corporate money should not be allowed to influence a patient’s medical decisions, especially when it comes to prescriptions for a powerful opioid drug like fentanyl. When providers are influenced by kickbacks, this can have tremendously bad consequences for patients. I thank the jury for thoughtfully reviewing the evidence and rendering this important verdict that shows that corruption in the health care field will not be tolerated.”
“Today’s verdict reinforces the FBI’s commitment to making sure that patients receive, and the government pays for, health care that is not compromised by kickbacks,” said Harold H. Shaw, Special Agent in Charge of the FBI Boston Division. “What Mr. Clough is accused of doing in this case—receiving kickbacks in exchange for prescribing a powerful fentanyl spray—not only violated federal law but put patients at risk and contributed to the opioid crisis. The FBI will continue to work with our law enforcement partners to do everything we can to root out those who place profit before patient safety.”
“New Hampshire is in the midst of a devastating opioid crisis, as deaths from fentanyl soar. Clough prescribed a highly addictive form of fentanyl based on kickback payments not on the needs of his patients,” said Phillip M. Coyne, Special Agent in Charge for the Office of Inspector General of the U.S. Department of Health and Human Services. “His conduct has played a significant role in damaging our community and he will now pay the price.”
“The reckless action by this former physician assistant was not only a crime but a betrayal of the public trust,” said DEA Special Agent in Charge Brian D. Boyle. “Today’s verdict not only holds Mr. Clough accountable for his crimes but serves as a warning to those individuals who are fueling the opioid crisis in order to profit and destroy people’s lives. DEA’s obligation is to improve public safety and public health, and we are committed to working with our law enforcement and regulatory partners to ensure that rules and regulations are followed.”
This matter was jointly investigated by the U.S. Department of Health and Human Services Office of the Inspector General, the Federal Bureau of Investigation, and the Drug Enforcement Administration’s Diversion Control Division. The case is being prosecuted by Assistant U.S. Attorneys Charles L. Rombeau and Seth R. Aframe.
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Former Lincoln University Student Pleads Guilty to Meth ConspiracyRead the Press Release
JEFFERSON CITY, Mo. – A former student at Lincoln University in Jefferson City, Mo., pleaded guilty in federal court today to her role in a conspiracy to distribute methamphetamine that was sent through the mail by a co-conspirator in California.
Bria Royale Lanier-Richie, 24, of St. Louis, Mo., pleaded guilty before U.S. Magistrate Judge Willie J. Epps, Jr., to participating in a conspiracy to distribute methamphetamine from March 30 to April 4, 2017.
Co-defendant Shadeed Seifullah Muhammad, 42, of Compton, Calif., mailed a package, which contained approximately one pound, nine ounces of methamphetamine, from California to an address at Lincoln University on March 30, 2017. By pleading guilty today, Lanier-Richie admitted that another co-defendant, Javier Rashad Rosser, 32, of Jefferson City, asked her to pick up the package and deliver it to him.
Lanier-Richie, who at the time was a student at Lincoln University, attempted to pick up the package but was unable to, because the package had been addressed to another student. On April 4, 2017, U.S. Postal Inspection agents set up a controlled delivery and surveillance at the Lincoln University mailroom. When the student arrived to pick up the package from the mailroom, he was arrested. He told investigators that Lanier-Richie had asked him to pick up the package and deliver it to her.
Muhammad and Rosser also have pleaded guilty to their roles in the drug-trafficking conspiracy, which lasted from April 4, 2016, to April 4, 2017, and await sentencing.
Muhammad admitted that he also had mailed a package that contained nearly two pounds of methamphetamine from California to an address in Columbia, Mo., on April 4, 2016. This package was tracked online by a computer IP address that traced to Rosser’s residence.
Muhammad also admitted that he had mailed a package that contained two pounds of methamphetamine to an address in Jefferson City nearly a year earlier. The package was seized by the U.S. Post Office on March 11, 2016. According to computer IP addresses, the package was being tracked online by Muhammad and Rosser.
Under federal statutes, Lanier-Richie is subject to a mandatory minimum sentence of ten years in federal prison without parole, up to a sentence of life in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Lawrence E. Miller. It was investigated by the Drug Enforcement Administration, the FBI and the U.S. Postal Inspection Service.
Former Employee Pleads Guilty to $150,000 Theft from Eldon Drug CompanyRead the Press Release
JEFFERSON CITY, Mo. – A former employee pleaded guilty in federal court today to embezzling nearly $150,000 from Eldon Drug Company in Eldon, Mo.
Katherine Elizabeth Cebuhar, 41, of Olean, Mo., waived her right to a grand jury and pleaded guilty before U.S. Magistrate Judge Willie J. Epps, Jr., to a federal information that charges her with four counts of wire fraud.
Cebuhar worked as the office manager for MLX-RX, LLC d/b/a Eldon Drug Company, a pharmacy in Eldon, from April 2014 until her termination on March 1, 2017. By pleading guilty today, Cebuhar admitted that she conducted four fraudulent embezzlement schemes while employed at Eldon Drug Company, resulting in a total loss to her employer of $148,782.
Cebuhar embezzled $125,444 of the cash receipts from Eldon Drug Company from September 2014 to June 2017. Cebuhar took cash from the company’s daily receipts before making the deposits into the company’s bank account. To conceal her fraud and embezzlement, Cebuhar modified and reduced QuickBooks entries to match the bank deposits.
In her second scheme to defraud Eldon Drug Company, Cebuhar falsely inflated her wages by awarding herself unauthorized hourly raises in January 2015 and January 2017. Through this fraud scheme, Cebuhar embezzled approximately $7,369.
In her third fraud scheme, Cebuhar misused two business credit cards by charging personal expenses to the cards beginning in 2016. Cebuhar then caused the payment of the company credit card bills without making any reimbursement for her use of the company’s cards for personal expenses, resulting in a total loss of approximately $6,646.
In her fourth fraud scheme, Cebuhar used the Eldon Drug Company’s bank account to electronically pay her personal credit card bill from January 2017 to June 2017. Through this fraud scheme, Cebuhar embezzled approximately $6,812 from Eldon Drug Company.
Under federal statutes, Cebuhar is subject to a sentence of up to 30 years in federal prison without parole on each of the four counts. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Lawrence E. Miller. It was investigated by the FBI and the Eldon, Mo., Police Department.
Former Costco Employee Sentenced to Prison for Embezzling Nearly $290,000 by Making False Entries in Customer AccountsRead the Press Release
A 20-year Costco employee was sentenced December 17, 2018, in U.S. District Court in Tacoma to one year in prison for wire fraud in connection with her five-year scheme to steal nearly $290,000 from her employer, announced U.S. Attorney Annette L. Hayes. ROBIN G. CLINE, 54, of Puyallup, Washington, was employed as an Accounts Receivable Clerk at Costco’s Fife, Washington facility from 1996 until she resigned in 2016. CLINE pleaded guilty in June 2018, admitting that between 2011 and 2016, she had manipulated entries in business customer accounts to steal from both Costco and its customers. At sentencing U.S. District Judge Benjamin H. Settle said the conduct was “outrageous,” and deserving of a significant sanction.
According to records filed in the case, as a Clerk in Accounts Receivables CLINE had authority to process payments, refunds and other credits for Costco business customers. Beginning in 2011, the investigation revealed that CLINE made false entries into customer accounts such as credits, refunds or charges. CLINE then used these false entries to funnel money from Costco and Costco business customers into her bank accounts and a bank account associated with her son. CLINE used false entries to steal money in multiple ways. She made false entries indicating a customer had returned an item or disputed a purchase resulting in a credit balance on the customer account. CLINE then funneled the credit balance to her bank account, not back to the business customer. Another way CLINE embezzled was to double bill customers for merchandise, and then ‘correct’ the double billing by refunding money to the customer – however, CLINE arranged for the refund to be funneled into her bank accounts or her son’s bank account.
The forensic examination revealed CLINE used the funds to buy a luxury car, and pay for personal expenses.
In all, CLINE posted more than 290 false entries involving more than 100 customer accounts. Costco refunded money to each customer who suffered a loss, and paid an extra 10 percent premium to each one. Writing to the court Costco executives noted that CLINE had betrayed the trust the company placed in her and damaged its reputation with the customers. Another executive noted that in order to hide her scheme CLINE made derogatory evaluations of co-workers indicating they could not learn the accounting systems – in that way she protected her theft by keeping their eyes off the books. It was not until CLINE was on an extended leave that the fraud was uncovered.
CLINE has agreed to pay restitution of $289,975.
The case was investigated by the FBI. The case is being prosecuted by Assistant United States Attorney Stephen P. Hobbs.
Former Carroll County Public School Teacher Pleads Guilty to Production of Child PornographyRead the Press Release
Baltimore, Maryland – Kenneth Brian Fischer, age 40, of Westminster, Maryland, pleaded guilty today to production of child pornography.
The guilty plea was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; Colonel William M. Pallozzi, Superintendent of the Maryland State Police; Sheriff James T. DeWees of the Carroll County Sheriff’s Office; Colonel Edwin C. Roessler Jr. of the Fairfax County, Virginia Police; Carroll County State’s Attorney Brian DeLeonardo, and Fairfax County Commonwealth's Attorney Raymond F. Morrogh.
According to his plea agreement, Fischer was a resident of Carroll County, Maryland and at the time of the conduct was employed as a teacher by the Carroll County School System. In August 2017, law enforcement identified Fischer after he communicated with an undercover agent posing as a minor male on a social networking application geared toward gay and bisexual men. In his chats with the undercover detective, Fischer attempted to arrange a meeting with the detective posing as a minor male, in order to engage in sexually explicit conduct. Law enforcement subsequently executed a search warrant at Fischer’s home in Westminster, Maryland and seized various electronic devices. A search on a cell phone revealed that Fischer had been communicating with five real minors beginning in November 2014 and continuing through his arrest in September 2017.
Fischer admitted that he enticed minor males to engage in sexually explicit conduct with him and took images and videos documenting that conduct. Fischer also attempted to entice two other minor males to engage in sexually explicit conduct with him. In addition, Fischer engaged in online chats with at least an additional nine minor males in which he either attempted to or did obtain sexually explicit photos of the minor males at his request. One minor male was 13 years old at the time the nude photos were exchanged.
Fischer was previously arrested in Westminster, Maryland on related charges and has been in custody since September 13, 2017.
As a consequence of Fischer’s guilty plea, he will be required to register as a sex offender in the places where resides, is an employee, and is a student, pursuant to the Sex Offender Registration and Notification Act (SORNA), and the laws of the state of his residence.
Fischer and the government have agreed that if the Court accepts the plea agreement, Fischer will be sentenced to a mandatory minimum of 15 years in prison and a maximum of 25 years in prison, and will be required to pay a special assessment of $5,000. U.S. District Judge Richard D. Bennett has scheduled sentencing for May 20, 2019, at 3:00 p.m.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about Internet safety education, please visit www.justice.gov/psc and click on the “resources” tab on the left of the page.
United States Attorney Robert K. Hur commended the FBI, the Maryland State Police, the Carroll County Sheriff’s Office, the Carroll County State’s Attorney’s Office, the Fairfax County Police, and the Fairfax County Commonwealth’s Attorney’s Office for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorney Ayn B. Ducao, who is prosecuting the case.
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Former Baltimore Police Commissioner Darryl De Sousa Pleads Guilty to Failing to File Tax ReturnsRead the Press Release
Baltimore, Maryland – Former Baltimore Police Commissioner Darryl De Sousa, age 54, of Baltimore, Maryland, pleaded guilty today to three counts of failing to file individual federal tax returns.
The guilty plea was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; and Special Agent in Charge Kelly R. Jackson of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office.
According to his plea agreement, De Sousa was employed by the Baltimore Police Department beginning in 1998. De Sousa announced his resignation from BPD on May 15, 2018. On June 10, 1999, De Sousa submitted an Employee’s Withholding Exemption Certificate (W-4) to the City of Baltimore falsely claiming nine allowances for both federal and state tax purposes. By virtue of this claim, De Sousa substantially reduced the amount of taxes withheld from his salary each year. When he filed his federal and state income taxes for calendar years 2008 through 2012, he falsely claimed deductions to which he was not entitled, including for unreimbursed employee expenses when he had no such expenses, mortgage interest deductions and deductions for local property taxes when he did not have a mortgage or own any real property, and business losses when he did not operate any businesses. By virtue of these improper deductions, De Sousa fraudulently reduced the amount of taxes he owed to the Internal Revenue Service (IRS) and the State of Maryland.
De Sousa admitted that for calendar years 2011 and 2012, he did not file tax returns at all and did not do so until 2014. When he did file returns for those years he falsely claimed unreimbursed employee expenses and donations to charity. De Sousa also failed to pay penalties and interest on those late-filed returns despite having been told to do so by the IRS. In addition, as of May 5, 2018, De Sousa had not filed taxes for 2013, 2014 or 2015, despite knowing that he had a legal obligation to do so. By virtue of the nine allowances he falsely claimed, De Sousa also owed additional money to the United States and the State of Maryland in each of those years, as he also knew.
As a result of De Sousa’s actions, the total combined tax due to the United States and to the State of Maryland is $67,587.72.
As part of his plea agreement, De Sousa is required to pay restitution in that amount, although with payments already made, the amount still owed is $60,645.11.
De Sousa faces a maximum sentence of one year in prison, and a $100,000 fine for each count of failure to file a tax return. U.S. District Judge Catherine C. Blake has scheduled sentencing for March 29, 2019, at 9:15 a.m.
United States Attorney Robert K. Hur commended the FBI and IRS-CI for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorneys Leo J. Wise, Derek E. Hines, and Sean R. Delaney, who are prosecuting the case.
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Fifteen defendants sentenced in stolen U.S. Treasury check ringRead the Press Release
ATLANTA - Fifteen defendants have been sentenced for their part in a ring that stole over $10 million in U.S. Treasury checks from the mail and then cashed them at Walmart and Kroger stores around the country using fake identifications. The sentences ranged from two to ten years in prison for members of the ring.
“This sentencing marks a success for our multi-agency Stolen Treasury Check Task Force, which targets the widespread problem of U.S. Treasury check thefts in Georgia,” said U.S. Attorney Byung J. “BJay” Pak. “Criminals who steal Treasury checks victimize senior citizens, the disabled, veterans, and hard-working taxpayers who have earned these funds and depend on them. As this case shows, we will pursue these theft rings and hold them accountable regardless of how far away they go to cash the checks and avoid detection.”
“The success of this investigation can be directly attributed to the federal agencies that partnered with the Secret Service to bring this ring to justice,” said Special Agent in Charge Kimberly A. Cheatle, U.S. Secret Service, Atlanta Field Office. “It is immensely gratifying to see those who prey on the vulnerable prosecuted and sentenced for their crimes.”
“The collaborative investigative efforts by the Stolen Treasury Check Task Force resulted in the disruption of a criminal group engaged in an illegal financial scheme,” said David M. McGinnis, U.S. Postal Inspector in Charge of the Charlotte Division. “Criminals should take note that Postal Inspectors along with our law enforcement partners will vigorously pursue and bring to justice anyone who commits a crime against the U. S. mail system.”
“This check-theft scheme affected numerous innocent citizens, including Social Security beneficiaries, who have rightly earned government payments,” said SSA OIG Atlanta Field Division Acting Special Agent-in-Charge Gregory Wiggs. “We will continue to work with our law enforcement partners on similar investigations, and we thank the U.S. Attorney’s Office for prosecuting this significant case.”
“This case demonstrates our office’s commitment to protecting federal inmates, who were among the victims in this case, from fraudulent check schemes. We thank and commend our law enforcement partners who worked tirelessly with us to ensure a successful result for the Stolen Treasury Check Task Force,” said Robert A. Bourbon, Special Agent in Charge of the U.S. Department of Justice Office of the Inspector General’s Miami Field Office.
“The United States Postal Service Office of Inspector General takes allegations of mail theft seriously and vigorously investigates these matters to protect the overall integrity of the Postal Service,” said Special Agent in Charge Imari R. Niles.
According to U.S. Attorney Pak, the charges and other information presented in court: Maurice Shuler and Milton Minter received stolen U.S. Treasury checks that were taken from the U.S. Mail before reaching their intended recipients. The checks included tax refund, Social Security, and veterans checks. After receiving the checks, Shuler and Minter provided them to a network of check cashers who negotiated the stolen checks, mainly at Walmart and Kroger stores. The defendants used fake driver’s licenses to pose as the check payees and forged the payees’ names on the back of the checks. They also used other individuals’ Social Security numbers to cash the checks.
In an effort to avoid detection, the defendants traveled to different states, including Alabama, Mississippi, Illinois, Michigan, Minnesota, Kentucky, Iowa, Louisiana, and Tennessee, to cash the stolen checks. Over the span of four years, the ring was responsible for cashing over 6,000 stolen U.S. Treasury checks worth over $10 million.
Fifteen defendants have been sentenced as part of this case. U.S. District Judge Timothy C. Batten, Sr. sentenced the following individuals:
- Maurice Shuler, a/k/a Fred, 29, of Atlanta, Georgia, was sentenced to seven years in prison to be followed by three years of supervised release, and ordered to pay $9.5 million in restitution.
- Sepater Ransom, 31, of Atlanta, Georgia, was sentenced to five years and one month in prison to be followed by three years of supervised release, and ordered to pay $550,000 in restitution.
- Angela L. Williams, 43, of Lithonia, Georgia, was sentenced to time served (she has served four years and 20 days), three years of supervised release, and ordered to pay $116,053.58 in restitution. Williams has been in custody since November 28, 2014 on related charges in Mississippi.
Judge Batten previously sentenced the following 12 defendants:
- Milton Minter, a/k/a White Boi, 34, of Riverdale, Georgia, was sentenced to ten years in prison to be followed by three years of supervised release, and ordered to pay a $75,000 fine.
- Chucky Ransom, 45, of Blakely, Georgia, was sentenced to seven years in prison to be followed by three years of supervised release, and ordered to pay $550,000 in restitution.
- Damontdra Ransom, a/k/a Pop, 24, of Blakely, Georgia, was sentenced to two years and one day in prison to be followed by three years of supervised release, and ordered to pay $45,912.96 in restitution.
- Brian K. Hightower, a/k/a Big, 37, of Stockbridge, Georgia, was sentenced to two years and one day in prison to be followed by three years of supervised release, and ordered to pay $116,053.58 in restitution. Hightower was also sentenced to prison in Mississippi on related state charges.
- Charles E. Bolton, Jr., a/k/a Lightpole Jones, 29, of Atlanta, Georgia, was sentenced to two years and eighteen days in prison to be followed by three years of supervised release, and ordered to pay $212,683.51 in restitution. Bolton was also sentenced to prison in Mississippi on related state charges.
- Mariah C. Clark, 28, of Loganville, Georgia, was sentenced to two years and seven months in prison to be followed by three years of supervised release, and ordered to pay $208,423.51 in restitution.
- Lovely Richardson, 31, of Union City, Georgia, was sentenced to two years in prison to be followed by one year of supervised release, and ordered to pay $1,420 in restitution.
- Osiris O. Hernandez, 27, of Atlanta, Georgia, was sentenced to four years in prison to be followed by two years of supervised release, and ordered to pay $2,072 in restitution.
- Kimbela Jordan, 23, of Kankakee, Illinois, was sentenced to two years and six months in prison to be followed by three years of supervised release, and ordered to pay $35,040.15 in restitution.
- Raymon D. Gales, 29, of Atlanta, Georgia, was sentenced to four years in prison to be followed by three years of supervised release, and ordered to pay $207,392.36 in restitution.
- Jeremy Arnold, 32, of Riverdale, Georgia, was sentenced to two years and two months in prison to be followed by three years of supervised release, and ordered to pay $36,940.70 in restitution.
- Rodrekus R. Harris, 29, of Blakely, Georgia, was sentenced to two years and two months in prison to be followed by three years of supervised release, and ordered to pay $56,779.59 in restitution.
The remaining defendant, Gino Shuler, 31, of Atlanta, Georgia, is scheduled to be sentenced on January 9, 2018, before Judge Batten.
These sixteen defendants were previously charged in an 83-count indictment with conspiracy, theft of government money, and aggravated identity theft. All of the defendants were convicted after pleading guilty to one or more counts of the indictment.
This case was investigated by the U.S. Secret Service; U.S. Postal Inspection Service; Social Security Administration, Office of the Inspector General; Department of Justice, Office of the Inspector General; and United States Postal Service, Office of the Inspector General.
Assistant U.S. Attorney Stephen H. McClain, Chief of the Complex Frauds Section, and former Assistant U.S. Attorney Christopher C. Bly prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Essex County, New Jersey, Man Sentenced to 21 Years in Prison for Robbing 14 Hotels in New Jersey and New YorkRead the Press Release
NEWARK, N.J. – An Essex County, New Jersey, man was sentenced today to 252 months in prison for robbing 14 hotels in New Jersey and New York, U.S. Attorney Craig Carpenito announced today.
Tremone Burnett, 46, of Orange, New Jersey, pleaded guilty before U.S. District Court Judge Katharine S. Hayden in Newark federal court on Sept. 12, 2018, to two counts of an indictment charging him with one count of conspiracy to commit robbery and threaten physical violence, and one count of using a firearm during a crime of violence. Judge Hayden imposed the sentence today in Newark federal court.
According to documents filed in this case and statements made in court:
From April 24, 2014, through June 19, 2014, Burnett robbed 12 New Jersey hotels and two New York hotels at gunpoint. The New Jersey hotels were located in Carteret, Lebanon, Newark, Rockaway, Secaucus, Avenel, Parsippany, Paramus, Weehawken, and Edison; the New York hotels were located in Airmont and Nanuet. In each robbery, Burnett wielded a handgun and, in some instances, tied the victim’s hands and feet. During one of the robberies, Burnett discharged his firearm.
In addition to the prison term, Judge Hayden sentenced Burnett to five years of supervised release.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Special Agent in Charge Gregory W. Ehrie in Newark; the Essex County Prosecutor’s Office, under the direction of Acting Prosecutor Theodore N. Stephens II; and the Newark Department of Public Safety, under the direction of Public Safety Director Anthony F. Ambrose, with the investigation leading to today’s guilty plea. He also thanked the Carteret, Edison, Lebanon, Rockaway, Parsippany, Weehawken and Woodbridge Township police departments in New Jersey; the Clarkstown and Ramapo police departments in New York; the N.J. State Police; and the Bergen County, Hunterdon County, Middlesex County, and Morris County prosecutors’ offices for their work on this case.
The government is represented by Assistant U.S. Attorney Stephen Ferketic of the U.S. Attorney’s Office Public Protection Unit in Newark.
Defense counsel: Chester Keller Esq., Assistant Federal Public Defender, Newark
El Salvadoran National Pleads Guilty to Reentering the U.S. after Being DeportedRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that ALFREDO DAGOBERTO HERCULES-SANTOS, 40, pleaded guilty today before U.S. District Judge Victor A. Bolden in Bridgeport to one count of reentry of removed alien. Hercules-Santos is a citizen of El Salvador last residing in New Britain.
According to court documents and statements made in court, in July 2005, Hercules-Santos was removed from the U.S. to El Salvador. He illegally reentered the U.S., was found in the U.S. in November 2012, and was removed to El Salvador in January 2013. He again illegally reentered the U.S., was found in the U.S. in May 2014, and was removed to El Salvador in June 2014.
Hercules-Santos illegally reentered the U.S. a third time. On August 19, 2018, the Vernon Police Department arrested Hercules-Santos and charged him with driving under the influence after he crashed an SUV he was driving into an unmarked Vernon Police cruiser. At the time, he had a separate driving under the influence case pending in New Britain Superior Court. Both cases were resolved with guilty pleas.
Hercules-Santos has been detained since his arrest.
Judge Bolden scheduled sentencing for February 19, 2019, at which time Hercules-Santos faces a maximum term of imprisonment of two years.
This matter is being investigated by the U.S. Department of Homeland Security, Immigration and Customs Enforcement, with the assistance of the Vernon Police Department. The case is being prosecuted by Assistant U.S. Attorney Sarah P. Karwan.
Drunk Driver Sentenced to 70 Months in Federal Prison for Involuntary ManslaughterRead the Press Release
Greenbelt, Maryland – U.S. District Judge George J. Hazel sentenced Dontaze Purnell Drake, age 41, of Baltimore, Maryland today to 70 months in federal prison, followed by three years of supervised release, for involuntary manslaughter. Judge Hazel also ordered Drake to pay restitution of $12,570. Drake admitted that he caused a fatal collision on the Baltimore-Washington Parkway on September 24, 2017, at the time of which he was speeding, his blood-alcohol level was over the legal limit in Maryland, and he was driving on a suspended license.
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur and Chief Robert D. MacLean of the U.S. Park Police.
According to his plea agreement, at approximately 3:00 a.m. on September 24, 2017, Drake caused a fatal collision on the Baltimore-Washington Parkway. Drake was traveling southbound at approximately 33 miles per hour over the posted speed limit when he attempted to pass a vehicle traveling in the right lane. Drake struck the rear of an SUV traveling in the right lane. As a result of the collision, one of the four passengers in the SUV was ejected from the vehicle and was pronounced dead at the scene. An autopsy determined that the cause of death was multiple injuries sustained in the crash caused by Drake.
Drake’s blood-alcohol level was .12%, which is above the legal limit in Maryland, and he also had .03 mg/L of MDMA, also known as Ecstasy, in his system at the time. In addition, a search of the Maryland Motor Vehicle Administration database revealed that Drake’s license had been suspended.
United States Attorney Robert K. Hur praised U.S. Park Police for its work in the investigation. Mr. Hur thanked Assistant U.S. Attorney Hollis Raphael Weisman and Special Assistant U.S. Attorney Chimaobim Nwachukwu, who prosecuted the case.
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Drugs and Violence Result in 170 Month Federal Sentence for West Columbia ManRead the Press Release
Columbia, South Carolina ---- United States Attorney Sherri A. Lydon announced today that Bradley Apollos Thompson, a/k/a “Kuntry,” age 28, of West Columbia, South Carolina, was sentenced in federal court after pleading guilty to two counts of assaulting a federal law enforcement officer while resisting arrest and one count of aiding and abetting in a Hobbs Act robbery. Senior United States District Judge Joseph F. Anderson, of Columbia, sentenced Thompson to 170 months in federal prison, to be followed by 3 years of court-ordered supervision. There is no parole in the federal system.
Evidence presented at the change of plea hearing established that on February 5, 2017, Thompson, Tiffany Metze, and Noah Billie conspired to rob a local methamphetamine dealer named Bruce Hudson, a/k/a “Zues.” The three conspirators met at a hotel near the Columbia Metropolitan Airport and discussed driving to Hudson’s home in Gaston, South Carolina, to commit the robbery. After they discussed the details of the planned robbery, Thompson drove Metze and Thompson to Hudson’s home. Metze lured Hudson to the front yard and after a brief discussion with him, Billie shot Thompson in the torso. Thompson drove the conspirators away from the crime. Deputies with the Lexington County Sheriff’s Department responded to Hudson’s home and found him shot in the front yard. Hudson was hospitalized for his injuries.
State warrants were obtained for Metze, Billie, and Thompson as a result of the above-referenced robbery. On February 22, 2017, members of the United States Marshals Service Operation Intercept Fugitive Task Force located Thompson’s truck at a residence near Boiling Springs Road in Lexington. Members of the task force positioned their vehicles in an attempt to prevent Thompson from leaving the residence. When officers observed Thompson exit the residence with a female and get into the truck, they identified themselves and ordered Thompson to get out of the vehicle. Thompson pushed the female out of the driver’s seat and attempted to escape. During his escape attempt, he drove his vehicle in reverse and struck a vehicle driven by one of the Deputy Sheriffs assigned to the fugitive task force. Thompson then placed his vehicle into drive and rammed a vehicle driven by a Deputy United States Marshal, who had taken up a blocking position in front of Thompson. The Deputy was positioned in the apex of the driver’s door when Thompson rammed his vehicle. The Deputy’s hands and feet were slammed in the doorframe when Thompson rammed his truck into the Deputy’s vehicle. Thompson reversed and struck the Deputy’s vehicle a second time, again pinning the Deputy’s hands and feet. Task Force members then fired on Thompson, striking him multiple times. Both the Deputy and Thompson were transported to the Lexington Medical Center for injuries sustained during the arrest. Both have recovered from their injuries.
The Court sentenced Thompson to 170 months in federal prison, followed by 3 years of supervised release. Noah Billie was sentenced to 120 months in federal prison, followed by a term of supervised release of 5 years. Finally, Metze was sentenced to 57 months, followed by a term of supervised release of 3 years.
The case was investigated by the Lexington County Sheriff’s Department, the Columbia Police Department, the South Carolina Law Enforcement Division, the United States Marshals Service, and the Federal Bureau of Investigation. Assistant United States Attorney JD Rowell of the Columbia office prosecuted the case.
This case was prosecuted as part of the joint federal, state, and local Project CeaseFire initiative, which aggressively prosecutes firearm cases. Project CeaseFire is South Carolina’s implementation of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
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Drug Distribution Conspirator Sentenced to Federal PrisonRead the Press Release
United States Attorney Brandon J. Fremin announced today that U.S. District Judge Brian A. Jackson sentenced KENNETH TERRELL ROBERTSON, a/k/a “Terrell” and “K-Lo,” age 40, of Hattiesburg, Mississippi, to 108 months in federal prison following his conviction for conspiracy to distribute and possess with intent to distribute cocaine and cocaine base. The Court further sentenced ROBERTSON to three years of supervised release following his term of imprisonment. Also, as a result of his conviction, ROBERTSON must forfeit to the United States all proceeds obtained as a result of his criminal conduct.
ROBERTSON was charged as a result of an extensive federal, state, and local investigation aimed at a drug trafficking network based in Ascension Parish and covering Louisiana, Texas, and Mississippi. The drug trafficking organization, led by Arthur Johnson (“Johnson”), distributed multi-kilogram quantities of cocaine, crack cocaine, and heroin in and around Hattiesburg, Mississippi and Ascension Parish Louisiana. Under the direction of Johnson, members of his criminal organization used public and private places as well as cellular telephones listed in the names of others to arrange and carry out the purchase and sale of cocaine, crack cocaine, and heroin. ROBERTSON served as Johnson’s point of sales in Hattiesburg, Mississippi. Johnson arranged for cocaine to be shipped from Ascension Parish to ROBERTSON in Hattiesburg. After receiving the cocaine, ROBERTSON would store the cocaine and distribute it to other members of the organization for resale in and around Hattiesburg.
U.S. Attorney Fremin stated, “This conviction is another step in dismantling a multi-state criminal organization that brings dangerous drugs to our neighborhoods. This sentence should send a message to those who choose to profit from the dangerous drugs they peddle. Our office will use all federal, state, and local resources available to remove such criminals from our streets.”
FBI Special Agent in Charge Eric Rommal stated, "Our main focus throughout this joint investigation was to identify, disrupt, and dismantle all echelons within Arthur Johnson’s drug enterprise. This was a shining example of great teamwork and precision between our federal, state, and local partners, as well as our federal prosecutors in the U.S. Attorney’s Office. The residents of Ascension Parish can rest assured their community is safer today now that Arthur Johnson and his lieutenant Kenneth Robertson are in prison."
The investigation is another effort by the Organized Crime Drug Enforcement Task Force (OCDETF) Program which was established in 1982 to mount a comprehensive attack against organized drug traffickers. Today, the OCDETF Program is the centerpiece of the United States Attorney General’s drug strategy to reduce the availability of drugs by disrupting and dismantling major drug trafficking organizations and money laundering organizations and related criminal enterprises. The OCDETF Program operates nationwide and combines the resources and unique expertise of numerous federal, state, and local agencies in a coordinated attack against major drug trafficking and money laundering organizations.
This OCDETF operation was investigated by the FBI Baton Rouge Capitol Area Gang Task Force, which is an FBI Safe Street Task Force that includes the East Baton Rouge Sheriff’s Office and Baton Rouge Police Department, with assistance from the Ascension Parish Sheriff’s Office, the FBI Hattiesburg, Mississippi, Resident Agency, and Hattiesburg, Mississippi Police Department. This matter is being prosecuted by Assistant United States Attorneys Jamie A. Flowers, Jr., J. Brad Casey, and Demetrius Sumner.
Department of Justice and U.S. Attorney Announce Bump-Stock-Type Devices Final RuleRead the Press Release
Today, Acting Attorney General Matthew Whitaker and U.S. Attorney Trent Shores announced that the Department of Justice has amended the regulations of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), clarifying that bump stocks fall within the definition of “machinegun” under federal law, as such devices allow a shooter of a semiautomatic firearm to initiate a continuous firing cycle with a single pull of the trigger.
U.S. Attorney Trent Shores stated, “Ensuring the safety of all Americans is a priority of the Department of Justice. This rule makes bump stocks illegal. Once the rule is published in the Federal Register this week, individuals owning bump stock devices must turn them in to an ATF field office or destroy them within 90 days. The United States Attorney’s Office in the Northern District of Oklahoma continues to work closely with the Bureau of Alcohol, Tobacco, Firearms and Explosives, to enforce federal firearms laws in an effort to help keep Oklahomans safe.”Acting Attorney General Whitaker made the following statement:
“President Donald Trump is a law and order president, who has signed into law millions of dollars in funding for law enforcement officers in our schools, and under his strong leadership, the Department of Justice has prosecuted more gun criminals than ever before as we target violent criminals. We are faithfully following President Trump’s leadership by making clear that bump stocks, which turn semiautomatics into machine guns, are illegal, and we will continue to take illegal guns off of our streets.”
On February 20, 2018, President Trump issued a memorandum instructing the Attorney General “to dedicate all available resources to… propose for notice and comment a rule banning all devices that turn legal weapons into machineguns.” In response to that direction the Department reviewed more than 186,000 public comments and made the decision to make clear that the term “machinegun” as used in the National Firearms Act (NFA), as amended, and Gun Control Act (GCA), as amended, includes all bump-stock-type devices that harness recoil energy to facilitate the continuous operation of a semiautomatic firearm after a single pull of the trigger.
This final rule amends the regulatory definition of “machinegun” in Title 27, Code of Federal Regulations (CFR), sections 447.11, 478.11, and 479.11. The final rule amends the regulatory text by adding the following language: “The term ‘machine gun’ includes bump-stock devices, i.e., devices that allow a semiautomatic firearm to shoot more than one shot with a single pull of the trigger by harnessing the recoil energy of the semi-automatic firearm to which it is affixed so that the trigger resets and continues firing without additional physical manipulation of the trigger by the shooter.” Furthermore, the final rule defines “automatically” and “single function of the trigger” as those terms are used in the statutory definition of machinegun. Specifically,- “automatically” as it modifies “shoots, is designed to shoot, or can be readily restored to shoot,” means functioning as a result of a self-acting or self-regulating mechanism that allows the firing of multiple rounds through the single function of the trigger;
- “single function of the trigger” means single pull of the trigger and analogous motions.
Because the final rule clarifies that bump-stock-type devices are machineguns, the devices fall within the purview of the NFA and are subject to the restrictions of 18 U.S.C. 922(o). As a result, persons in possession of bump-stock-type devices must divest themselves of the devices before the effective date of the final rule. A current possessor may destroy the device or abandon it at the nearest ATF office, but no compensation will be provided for the device. Any method of destruction must render the device incapable of being readily restored to its intended function.
The final rule may be found here.
Information and instructions for destruction of the devices will be posted on ATF's website later today.
Please note: This is the text of the final rule as signed by the Acting Attorney General, but the official version of the final rule will be as it is published in the Federal Register.Department of Justice Announces Bump-Stock-Type Devices Final RuleRead the Press Release
Today, Acting Attorney General Matthew Whitaker announced that the Department of Justice has amended the regulations of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), clarifying that bump stocks fall within the definition of “machinegun” under federal law, as such devices allow a shooter of a semiautomatic firearm to initiate a continuous firing cycle with a single pull of the trigger.
Acting Attorney General Whitaker made the following statement: “President Donald Trump is a law and order president, who has signed into law millions of dollars in funding for law enforcement officers in our schools, and under his strong leadership, the Department of Justice has prosecuted more gun criminals than ever before as we target violent criminals. We are faithfully following President Trump’s leadership by making clear that bump stocks, which turn semiautomatics into machine guns, are illegal, and we will continue to take illegal guns off of our streets.”
On February 20, 2018, President Trump issued a memorandum instructing the Attorney General “to dedicate all available resources to… propose for notice and comment a rule banning all devices that turn legal weapons into machineguns.” In response to that direction the Department reviewed more than 186,000 public comments and made the decision to make clear that the term “machinegun” as used in the National Firearms Act (NFA), as amended, and Gun Control Act (GCA), as amended, includes all bump-stock-type devices that harness recoil energy to facilitate the continuous operation of a semiautomatic firearm after a single pull of the trigger.
This final rule amends the regulatory definition of “machinegun” in Title 27, Code of Federal Regulations (CFR), sections 447.11, 478.11, and 479.11. The final rule amends the regulatory text by adding the following language: “The term ‘machine gun’ includes bump-stock devices, i.e., devices that allow a semiautomatic firearm to shoot more than one shot with a single pull of the trigger by harnessing the recoil energy of the semi-automatic firearm to which it is affixed so that the trigger resets and continues firing without additional physical manipulation of the trigger by the shooter.” Furthermore, the final rule defines “automatically” and “single function of the trigger” as those terms are used in the statutory definition of machinegun. Specifically,- “automatically” as it modifies “shoots, is designed to shoot, or can be readily restored to shoot,” means functioning as a result of a self-acting or self-regulating mechanism that allows the firing of multiple rounds through the single function of the trigger;
- “single function of the trigger” means single pull of the trigger and analogous motions.
Because the final rule clarifies that bump-stock-type devices are machineguns, the devices fall within the purview of the NFA and are subject to the restrictions of 18 U.S.C. 922(o). As a result, persons in possession of bump-stock-type devices must divest themselves of the devices before the effective date of the final rule. A current possessor may destroy the device or abandon it at the nearest ATF office, but no compensation will be provided for the device. Any method of destruction must render the device incapable of being readily restored to its intended function.
The final rule may be found here.
Information and instructions for destruction of the devices will be posted on ATF's website later today.
Please note: This is the text of the final rule as signed by the Acting Attorney General, but the official version of the final rule will be as it is published in the Federal Register.Credit Union Employee Found Guilty of Fraudulently Obtaining Lines of Credit Worth over $2.7 Million for Her Online BoyfriendRead the Press Release
LOS ANGELES – An Orange County woman who used her position at a Hawthorne-based credit union to secretly open more than 25 fraudulent lines of credit for her online boyfriend, extending more than $2.7 million in credit to him, has been found guilty of 15 federal charges, including fraud and conspiracy.
Indira Mohabir, 42, of La Palma, was found guilty on Monday after a three-day jury trial. The jury found Mohabir guilty on all 15 counts in a grand jury indictment, which charged her with one count of conspiracy to commit insider fraud and financial institution fraud, eight counts of insider fraud on a federally-insured financial institution and six counts of financial institution fraud.
Mohabir is scheduled to be sentenced by United States District Judge André Birotte Jr. on April 5. Mohabir faces a statutory maximum penalty of five years in federal prison on the conspiracy count and a maximum of 30 years in prison for each of the fraud charges.
Criminal charges are still pending against Phillip Cook, 51, who currently resides in Las Vegas, and who was able to withdraw approximately $1 million of the illicitly obtained funds before the scheme was discovered.
Mohabir, who worked as a business loan processor at Western Federal Credit Union, now doing business as Unify Financial Credit Union, began a romantic online relationship with Cook in approximately November 2014, according to text messages and emails that were introduced at trial. Although the two did not meet in person during the relevant time period, they quickly began daily correspondence by text, email and phone, exchanging messages and talking multiple times a day.
Their romantic discussions were interwoven with discussions of how to open credit lines at the credit union, and Mohabir agreed to use her position to help Cook open these credit lines. According to testimony from Mohabir’s supervisors and a fraud investigator at the credit union, which was corroborated by bank records, Mohabir opened lines of credit outside of her authority and without the necessary approvals from the credit union, and she overrode and bypassed the credit union’s internal controls to get the credit lines opened.
In exchange for Mohabir’s agreement to open the lines of credit and her assistance in keeping the credit lines hidden, Cook promised to take Mohabir on exotic trips, and he sent her flowers and money, including a $50,000 check drawn on the credit lines that she opened for him – a check that was intercepted at the credit union, according to evidence introduced at trial and court documents.
The scheme started in late November 2014 and lasted about two months, but most of the credit lines were established – or were doubled – over a few days in January 2015.
This case is the result of an ongoing investigation being conducted by the FBI and the Federal Deposit Insurance Corporation, Office of Inspector General. The Hawthorne Police Department provided substantial assistance.
The case against Cook and Mohabir is being prosecuted by Assistant U.S. Attorneys Kerry L. Quinn and Scott Paetty of the Major Frauds Section.
Convicted Felon Waving a Firearm in Pinehill Apartment Complex Sentenced in Federal CourtRead the Press Release
United States Attorney Richard W. Moore of the Southern District of Alabama announced that United States District Court Chief Judge Kristi K. DuBose sentenced Octavius Tyrone Peace on December 14, 2018 to serve a term of imprisonment of 24 months followed by 3 years of supervised release for the for the illegal possession of a firearm in violation of 18 USC § 922(g)(1). The defendant was under federal supervision for a prior conviction for bank fraud when he committed the instant offense. Accordingly, the Court sentenced the defendant to serve a concurrent 8 month term of imprisonment for violating the conditions of his supervised release. The defendant’s guilty plea was accepted by the Court on September 17, 2018.
The facts presented in court set forth that on May 20, 2018, the Pine Hill Police Department responded to the Peachtree Apartments in Pine Hill, Alabama after several witnesses reported that a man was threatening people with a firearm. The witnesses informed the police that the male had exited his vehicle and was waving a gun around saying, “You want some of this.” Subsequently, the male attempted to leave the scene in his vehicle, but was apprehended by the police. The male was identified as Octavius Tyrone Peace. The police located a Taurus model 85, .38 caliber revolver, serial number, TC20242, with the hammer pulled back and ready to fire in the inside well of the door of the vehicle. During the investigation, the police would later discover that the firearm recovered from the defendant’s vehicle was stolen.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), the State of Alabama Office of Inspector General, and the Pine Hill Police Department. The case was prosecuted by Assistant United States Attorneys Alex F. Lankford, IV and Lawrence J. Bullard for the United States Attorney’s Office for the Southern District of Alabama.
Convicted Felon Sentenced to 188 Months in Federal Prison for Illegally Possessing Firearms in the Furtherance of Drug Trafficking CrimesRead the Press Release
Memphis, TN – A local man has been sentenced to 188 months in federal prison for being a convicted felon illegally possessing firearms in the furtherance of drug trafficking crimes. U.S. Attorney D. Michael Dunavant announced the sentence today.
According to information presented in court, on May 19, 2016, MPD officers responded to a shooting at 1082 Palmetto. When officers entered the residence they saw Tony King a/k/a Tony Suggs, 40, on a bed with the victim, Christina Allen, who was unresponsive. Officers also found approximately 8 grams of heroin in the defendant's possession. At approximately 8:50 p.m., paramedics with the Memphis Fire Department pronounced the victim dead on the scene.
The defendant admitted to shooting and killing Ms. Allen. According to testimony presented in court, he threatened to kill her approximately one week prior to shooting her.
A firearm was not recovered at the scene, but officers located a 9mm shell casing. Agents with the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) ran the shell casing through the National Integrated Ballistic Information Network (NIBIN), which identified the firearm used in the shooting as a Sig Sauer 9mm pistol which had already been tagged as evidence in another felony MPD investigation.
In September 2016, MPD received a Crime Stoppers tip that heroin was being sold at 3677 Gillie in Memphis. Officers collected information and performed surveillance on the home, which they used to obtain a search warrant. On September 30, 2016, officers executed the search warrant and found the defendant Tony King, a/k/a Tony Suggs on a mattress in a bedroom of the home with three loaded firearms, one of which was reported stolen. In another bedroom, officers found over 70 grams of heroin, 37 alprazolam pills, 43 oxycodone pills and over 10 grams of methamphetamine.
The defendant was a convicted felon during all times relevant to this investigation.
U.S. Attorney D. Michael Dunavant said, "We know that drugs and crime go hand-in-hand, and that drug trafficking is an inherently violent business. If you want to collect a drug debt, you can’t file a lawsuit in court; you collect it by the barrel of a gun. If you are a drug trafficker with a gun, we will not look the other way and be willfully blind to your conduct. To turn back the rising tide of violent crime and confront the opioid crisis in West Tennessee, this office will continue to aggressively pursue the guilty and protect the innocent. This significant sentence demonstrates that resolve, and we commend our federal and local law enforcement partners for their outstanding work in removing a violent drug dealer from our streets."
Tony King a/k/a/ Tony Suggs pleaded guilty to illegally possessing firearms in furtherance of drug trafficking. On December 12, 2018, U.S. District Court Judge Sheryl H. Lipman sentenced Tony King a/k/a/ Tony Suggs to 188 months imprisonment and 2 years supervised release.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (AFT) and the Memphis Police Department Organized Crime Unit (OCU).
Assistant U.S. Attorney J. WilliamCrow prosecuted this case on behalf of the government.
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Colorado Man Found Guilty of Attempting to Entice a Minor Using the InternetRead the Press Release
United States Attorney Ron Parsons announced that Joel Zupnik, 53, of Fort Collins, Colorado, was convicted of Attempted Enticement of a Minor Using the Internet following a three-day federal jury trial held in U.S. District Court in Rapid City. The guilty verdict was returned on December 12, 2018.
Zupnik was one of ten men who were arrested and federally indicted as a result of an undercover sex trafficking operation conducted during the 2016 Sturgis Motorcycle Rally, targeting internet predators. Following multiple chats and text messages with a person Zupnik believed to be a 15 year-old girl, but who was in fact an undercover agent, he proceeded to negotiate the time and place he would meet the minor to engage in unlawful sex acts. When Zupnik went to the pre-determined location to meet the minor, he was instead met by law enforcement agents and placed under arrest.
The undercover operation and arrests were a joint effort between the South Dakota Division of Criminal Investigation, the Department of Homeland Security, the Federal Bureau of Investigation, the Rapid City Police Department, and the Pennington County Sheriff’s office. Assistant U.S. Attorney Sarah Collins prosecuted the case.
Coeur d’Alene Tribal Member Sentenced to 27 Months in Prison for StrangulationRead the Press Release
COEUR D’ALENE – Raymond Lee Baheza, 56, of Spokane, Washington, was sentenced yesterday in federal court to 27 months in prison for strangulation, U.S. Attorney Bart M. Davis announced. U.S. District Judge David C. Nye also ordered Baheza to pay $2,500 in restitution to the victim and to serve three years of supervised release following prison.
According to the plea agreement, on October 19, 2017, Baheza, a Coeur d’Alene Tribal Member, strangled and suffocated his wife while she was lying in bed. He also struck her multiple times causing bruising to her face, eyes, neck, arm and hip. The assault occurred on the Coeur d’Alene Indian Reservation.
The federal crime of strangulation, codified at 18 U.S.C. § 113(a)(8), became effective in March 2013. As in this case, the crime is most often used by federal prosecutors to charge defendants who commit non-fatal strangulation offenses against a spouse, intimate partner or dating partner. The statute defines "strangling" as "intentionally, knowingly, or recklessly impeding the normal breathing or circulation of the blood of a person by applying pressure to the throat or neck, regardless of whether that conduct results in any visible injury or whether there is any intent to kill or protractedly injure the victim." The statute also covers suffocation and attempted strangulation or suffocation.
This case was investigated by the Coeur d’Alene Tribal Police Department and the Federal Bureau of Investigation.
Co-Founder and Former CEO of Foreign Oil Company Charged in Manhattan Federal Court with FraudRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, and James D. Robnett, the Special Agent-in-Charge of the New York Field Office of the Internal Revenue Service, Criminal Investigation (“IRS-CI”), announced today the unsealing of a criminal complaint charging TODD KOZEL with wire fraud conspiracy, wire fraud, and money laundering conspiracy in connection with a scheme to defraud his ex-wife by hiding tens of millions of dollars’ worth of assets in a foreign trust and using a portion of those assets secretly to purchase a $12.75 million condominium in Manhattan. KOZEL was arrested this afternoon at John F. Kennedy airport and will be presented before U.S. Magistrate Judge Debra Freeman in Manhattan federal court later today.
Manhattan U.S. Attorney Geoffrey S. Berman said: “As alleged, Todd Kozel defrauded his ex-wife by hiding millions of dollars in assets in an offshore trust, and purchasing expensive Manhattan real estate and masking his ownership. Kozel is now in custody facing these serious charges.”
IRS-CI Special Agent-in-Charge James D. Robnett said: “Those who create elaborate schemes that have no purpose other than to mislead run a very high risk of prosecution. IRS-CI, and our partners at the Large Business and International Division, have made it a priority to investigate abusive trusts that are setup offshore to hide the true beneficial owner of income and assets.”
According to the Complaint unsealed today in Manhattan federal court:[1]
Between 2010 and 2014, KOZEL, a United States citizen, earned an average of approximately $10 million in income per year as the chief executive officer of a foreign oil company. KOZEL did not, however, file U.S. tax returns for tax years 2011 through 2014. In August 2010, KOZEL and his ex-wife filed for divorce in Florida state court. From February 2012 through the present, KOZEL engaged in a fraudulent scheme with others to hide assets from his ex-wife during their divorce proceedings and in violation of orders entered by the Florida court, which required KOZEL fully to disclose and not dissipate his assets and to make certain payments to his ex-wife.
In furtherance of the scheme to defraud his ex-wife, KOZEL, among other things, transferred valuable assets, including approximately 29 million shares of his foreign oil company, into a foreign trust organized under the laws of the Isle of Jersey, and repeatedly lied under oath about his control and ownership of the foreign trust. KOZEL also used approximately $12.75 million of his assets from the foreign trust to purchase a condominium in Manhattan. Further, KOZEL fraudulently concealed his ownership interest in the Manhattan condominium by creating a New York limited liability company that was secretly controlled by the foreign trust to pose as the paper “owner” of the condominium; entering into a sham lease transaction to make it appear as though KOZEL were leasing the condominium and did not own it; and entering into a backdated sham sale transaction to prevent his ex-wife from seizing the condominium after the Florida state court ordered KOZEL to pay his ex-wife an additional $34 million in September 2015. As a result of this fraudulent scheme, KOZEL caused his ex-wife to suffer tens of millions of dollars in financial harm.
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KOZEL, 51, of New York, New York, is charged with wire fraud conspiracy, wire fraud, and money laundering conspiracy, each of which carries a maximum sentence of 20 years in prison. The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Mr. Berman praised the IRS-CI for their outstanding investigative work on this case, and thanked the Large Business and International Division of the IRS for its assistance.
This case is being handled by the Office’s Complex Frauds and Cybercrime Unit. Assistant United States Attorneys Jennifer L. Beidel and Sarah E. Paul are in charge of the prosecution.
The charges contained in the Complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth herein constitute only allegations, and every fact described should be treated as an allegation.
City of Seattle Files Audit of Crisis Intervention Efforts that Demonstrate Sustained Compliance with Consent DecreeRead the Press Release
SEATTLE – On Monday, in accordance with the Court-approved plan for demonstrating sustained compliance for two years, the City of Seattle filed an audit of crisis intervention reforms required by the consent decree it entered into with the Department of Justice (DOJ). The filing in U.S. District Court demonstrated that Seattle Police Department (SPD) has sustained compliance with its ongoing crisis intervention requirements, including continuing crisis training, engagement with the Crisis Intervention Committee, and by engaging with individuals in crisis consistent with its crisis intervention and force policies.
Both the DOJ and the Court’s independent monitor, Merrick Bobb, concluded that the City has sustained compliance with the consent decree and demonstrated a willingness and ability to critically self-assess their own progress in these areas.
“This audit demonstrates that SPD continues to be in compliance with one of the most important aspects of the consent decree – how officers approach incidents involving people in crisis and the internal reporting and accountability of those efforts,” said Annette L. Hayes, U.S. Attorney for the Western District of Washington. “Getting this right is critical to effective and constitutional policing, and it is encouraging that encounters with people experiencing crisis are resulting in very low uses of force and high rates of diversion to services. SPD continues to critically self-analyze and evaluate reform efforts with continued oversight from its accountability system, the Court, Monitor, and DOJ.”
The audit relies in part on data and information from the 18-month period between January 1, 2017 and June 30, 2018, when SPD made 15,995 contacts with persons believed to be experiencing a behavioral crisis. Use of force against persons in behavioral crisis remains low and resolutions that result in a connection to services remains high. Of the 15,995 crisis contacts reported, 277 – or 1.74 percent – involved any use of reportable force and in three-quarters of cases no greater than the lowest level of force (Type I) was used and just five (0.9%) were Type III uses of force. Referrals to designated crisis service providers increased by 103% during 2017.
The audit also demonstrates that there are high rates of CIT certification among patrol officers (73%), rendering the vast majority of patrol officers well-equipped for encounters with people in crisis. SPD officers have kept up with demand despite a 12% increase in dispatched crisis contacts. Approximately 80% of crisis contacts involved a CIT certified officer. The high number of CIT-certified officers responding to crisis incidents may also, in turn, account for some of the outcomes Seattle has experienced with respect to people in crisis.
Further, the audit and review by the DOJ and the Monitoring Team found that when issues related to the use of force against a person in crisis did exist, the chain of command made appropriate referrals. For example, in a matter involving an officer’s failure to de-escalate and potential use of excessive force, the chain referred the matter to the Office of Police Accountability, ultimately resulting in a referral for criminal prosecution (the officer was charged with assault). Likewise, where a supervisor identified that an officer’s statements could have contributed to the eventual need to use force in an incident, the supervisor referred the officer for additional training.
The audit also highlights that SPD must focus more of its training in crisis, de-escalation, and team tactics on the designation of a tactical leader and the formation of a contact team and its positioning. Further, this training should specify that when an incident involves a person in crisis and one or more CIT-certified officers on scene, a CIT-certified officer should be designated as the tactical leader.
Background
In January 2018, the Court found the City of Seattle in “full and effective compliance” with reforms required by the consent decree signed in 2012. This finding triggered Phase II of police reform in Seattle – a two-year “sustainment period” during which the City and SPD must maintain compliance with the consent decree.
During the Phase II sustainment period, the City must demonstrate its ongoing compliance through seven quarterly reports and three types of self-assessments: audits of its practices, reviews of SPD’s policies, and outcome reports that summarize policing data for the public. Quarterly reports must include recent data on use-of-force and crisis intervention practices, an update on the activities of SPD’s Force Review Board and Unit, and a discussion of relevant activities of the accountability organizations — the Office of Police Accountability (OPA), the Office of the Inspector General (OIG), and the Community Police Commission (CPC).
The first quarterly report was filed on July 31, 2018. A quarterly report on data and activities during the months of August-October, two audits relating to use of force investigations and internal supervision, an outcome report on its crisis intervention activities, and a review of the Seattle Police Department’s (SPD’s) stops and detentions policy were filed on October 31, 2018.
Citizen of Honduras Sentenced to Prison for Illegally Reentering U.S. after Being DeportedRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that ERICK SANABRIA-HERNANDES, 34, a citizen of Honduras last residing in Stamford, was sentenced today by U.S. District Judge Michael P. Shea in Hartford to 15 months of imprisonment for illegally reentering the U.S. after being deported.
According to court documents and statements made in court, Sanabria-Hernandes was encountered by U.S. Border Patrol in May 2004 after he illegally crossed the border from Mexico. On August 23, 2005, he failed to appear at a scheduled immigration hearing in San Antonio, Texas, and was ordered removed in absentia by an immigration judge.
In December 2005, Sanabria-Hernandes was arrested by the Stamford Police Department on charges of carrying/selling a dangerous weapon and threatening second degree. He was subsequently convicted and sentenced to 18 months of incarceration. In August 2007, he was removed to Honduras.
On July 10, 2017, Sanabria-Hernandes, using the alias Mery Sanabra-Hernandez, was arrested by Stamford Police after a domestic incident and charged with assault third degree, disorderly conduct, unlawful restraint second degree, strangulation second degree, and interfering with an emergency call. He was convicted of strangulation second degree and risk of injury and sentenced to nine months of incarceration.
Sanabria-Hernandes was charged with one count of illegal reentry and was transferred into federal custody on April 30, 2018. He pleaded guilty to the offense on September 19, 2018.
This matter was investigated by the U.S. Department of Homeland Security, Immigration and Customs Enforcement. The case was prosecuted by Assistant U.S. Attorney Jacabed Rodriguez-Coss.
California Man Sentenced to Ten Years in PrisonRead the Press Release
A Palmdale, California man was sentenced today in U.S. District Court in Tacoma to ten years in prison and five years of supervised release for possession of controlled substances with intent to distribute, announced U.S. Attorney Annette L. Hayes. DANIEL GUERRERO, 28, of Palmdale, California, was identified as a source for Mexican cartel connected fentanyl, heroin and methamphetamine in late July 2017. GUERRERO entered into a drug deal with a person working with law enforcement that resulted in the seizure in August 2017 of 11 kilos of fentanyl, one kilo of heroin, and 12 pounds of methamphetamine. The drugs were seized from a mini-van parked at an apartment complex in Puyallup, Washington. At the sentencing hearing U.S. District Judge Benjamin H. Settle said “I cannot emphasize how serious fentanyl distribution is; to call it ‘trafficking in death’ is not hyperbole.”
“More than 29,000 people died in 2017 from overdoses involving illegal fentanyl – more than five times as many deaths as occurred in 2014,” said U.S. Attorney Annette L. Hayes. “The seizure of more than 11 kilos of fentanyl took millions of doses of a very dangerous drug off the streets of western Washington communities. We will continue to use all tools available to stop the trafficking of fentanyl and save lives wherever we can.”
According to records filed in the case, GUERRERO was planning on selling the seized drugs for $350,000. GUERRERO left the California licensed mini-van at a Puyallup apartment and used a rental car to take his family to eastern Washington. Law enforcement seized the drugs and mini-van. GUERRERO quickly left Washington State for California and then traveled on to Mexico. Law enforcement officers in full haz-mat suits were called in to search the mini van. Because even a minimal amount of fentanyl can be fatal, the drugs were immediately transferred to the DEA Western Regional Laboratory in California.
GUERRERO was charged by criminal complaint and when he attempted to return to the United States at Nogales, he was arrested on the warrant. GUERRERO pleaded guilty in October 2018.
The case was investigated by the U.S. Drug Enforcement Administration (DEA) Tacoma Resident Office, along with the Tahoma Narcotics Enforcement Team (TNET), which consists of the Washington Department of Corrections, Auburn Police Department, Bonney Lake Police Department Lakewood Police Department, Tacoma Police Department, Puyallup Police Department, and the Pierce County Sheriff's Office. The case was supported by the Northwest High Intensity Drug Trafficking Area (HIDTA) and National Guard.
The case is being prosecuted by Assistant United States Attorney Marci L. Ellsworth.
Burgaw Man Sentenced to More Than Eight Years on Drug ChargeRead the Press Release
RALEIGH — The United States Attorney for the Eastern District of North Carolina, Robert J. Higdon, Jr., announces that, United States District Judge Louise W. Flanagan sentenced SHARON DARMINA RESPUS, 31, of Burgaw to 100 months’ imprisonment, followed by 3 years of supervised release.
On July 25, 2018, RESPUS pled guilty to distribution of a quantity of cocaine.
On September 20, 2017 law enforcement officials conducted a controlled purchase of a quantity of cocaine from RESPUS in the area of West Satchwell Street in Pender County North Carolina. According to law enforcement, the investigation found that RESPUS was involved with the distribution of approximately one kilogram of cocaine between September 2017 and December 2017.
This case is part of the Take Back North Carolina Initiative of The United States Attorney’s Office for the Eastern District of North Carolina. This initiative emphasizes the regional assignment of federal prosecutors to work with law enforcement and District Attorney’s Offices on a sustained basis in those communities to reduce the violent crime rate, drug trafficking, and crimes against law enforcement.
The investigation of this case was conducted by the Federal Bureau of Investigation, Pender County Sheriff’s Office, the Onslow County Sheriff’s Office, Pender County Probation Office and the Burgaw Police Department. Assistant United States Attorney Timothy Severo prosecuted the case on behalf of the United States.
Brooklyn Man Sentenced for Scaming Lowe's Out of Millions of Dollars and Failing to File Income Tax ReturnsRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. – U.S. Attorney James P. Kennedy, Jr. announced today that Kenneth Cassidy, 52, of Brooklyn, NY, who was convicted of conspiracy to commit wire fraud and willful failure to file an income tax return, was sentenced to serve 60 months in prison by Senior U.S. District Judge William M. Skretny. The defendant was also ordered to pay restitution totaling $2,649,169.17.
Assistant U.S. Attorney Aaron J. Mango, who handled the case, stated that between June 12, 2012, and December 20, 2016, the defendant opened approximately 173 fraudulent Lowe's Accounts Receivable (LAR) accounts throughout the United States using counterfeit checks. Once an account was opened, Cassidy made fraudulent purchases of goods at Lowe’s until the funds were depleted or Lowe’s closed the account. Of the 173 accounts, four were opened at stores in the Western District of New York and purchases were made at stores throughout the Buffalo and Rochester areas. In total, the defendant and others used the fraudulent accounts to make approximately $2,652,391.17 in purchases from Lowe’s.
Additionally, for the tax years 2012 to 2015, Cassidy received gross income in excess of $10,000 from criminal activity, but willfully failed to file federal income tax returns for those years.
“The substantial fraud perpetrated by defendant was tantamount to him stealing over $2.5 million,” stated U.S. Attorney Kennedy. “Today’s sentence should serve as a reminder to any thief that if you steal lots of money then you should expect to spend lots of time in jail.”
“IRS Criminal Investigation is committed to aggressively pursuing those taxpayers who willfully fail to file their tax returns and report income,” said IRS-Criminal Investigation Special Agent-in-Charge James D. Robnett, “and no exception is granted for income derived from illegal activity.”
Today’s sentencing is the result of an investigation by the Internal Revenue Service, Criminal Investigation Division, under the direction of James Robnett, Special Agent-in- Charge, New York Field Office; the New York State Police, Special Investigations Unit, under the direction of Major Gregory S. Thomas; the U.S. Marshals Service, under the direction of Marshal Charles Salina; and Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly.
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Billings coal mining official admits to wire fraud, money laundering, false statement chargesRead the Press Release
BILLINGS – A Billings man who worked for Signal Peak Energy, a Montana coal mining company, admitted in federal court today to an embezzlement scheme that defrauded companies of more than $20 million and to lying to investigators about a false abduction, U.S. Attorney Kurt G. Alme said.
Larry Wayne Price, Jr., 38, pleaded guilty to three counts of wire fraud, conspiracy to commit money laundering and false official statement.
U.S. Magistrate Judge Timothy J. Cavan presided at the hearing and recommended Price’s pleas be accepted by U.S. District Judge Dana L. Christensen, who is assigned to the case. A sentencing date will be set. Price was released pending sentencing.
Price faces a maximum 20 years in prison, a $250,000 fine and three years of supervised release on the wire fraud and conspiracy counts. He faces a maximum five years in prison, a $250,000 fine and three years of supervised release on the official false statement count.
Price also faces the forfeiture of real and personal property derived from the crimes, including a $20,321,134 monetary judgment, two Billings residences located at 5650 Canyonwoods Drive and at 5875 Whispering Woods Drive, three properties in Virginia, a motorhome, boat trailers, watercrafts and jewelry.
The government agrees that forfeited property will be used for restitution for victims until all eligible victims have been made whole. Remaining property will be forfeited under the normal forfeiture procedures and will not exceed the money judgment of $20,321,134.
If the case had proceeded to trial, the government would have provided the following information as evidence:
From about October 2016 until April 2018, Price embezzled about $20,321,134 from three coal-related companies. During that time, Price was vice president of surface activities at Signal Peak Energy and also operated a private business called 3 Solutions, LLC, which was involved in coal mining but its primary purpose was to supply chemicals to Signal Peak Energy.
The three companies Price defrauded were Ninety M, LLC, a Wyoming company of investors looking to invest large sums in coal mining projects; Three Blind Mice, LLC, another Wyoming company with investors seeking to invest in mining; and Signal Peak Energy.
Price had developed a reputation in Billings and elsewhere as a coal mining expert. Based on his reputation, he convinced Three Blind Mice to lend him $7.5 million, which he stole. Price maintained that 3 Solutions had secured a contract with a Pennsylvania coal company to install coal mining equipment. To complete the project, Price claimed he needed $7.5 million for expenses.
Price proposed that Three Blind Mice lend him the $7.5 million, and he would repay it $11 million on Jan. 31, 2018. Three Blind Mice agreed, signed an unsecured promissory note and wired 3 Solutions the funds. Price defaulted on the loan on Jan. 31, 2018.
An investigation found there was no contract between 3 Solutions and a Pennsylvania coal mine. Instead, Price spent the $7.5 million on unrelated expenses.
In another scheme, Price convinced Ninety M’s investors to appoint him as a representative of the company to help it buy and develop a coal mining property in Tazewell, VA, and to help develop other coal-related ventures. Price engaged in a series of five business deals with other companies on behalf of Ninety M in which he solicited about $13.5 million from the firm, of which $10,475,000 was fraudulently obtained.
Meanwhile, Price, while still employed by Signal Peak Energy, fraudulently induced Signal Peak Energy to buy coal-related equipment from a firm knowing that the firm would not actually provide the equipment. The firm funneled the money to Price through a bank account registered to 3 Solutions. The scheme defrauded Signal Peak Energy of about $2,396,134.
In April 2018, the Ninety M investors began to question some of the transactions involving Price and had confronted him on the phone. By April, Price was living in Virginia, where he was originally from.
On April 18, 2018, Price learned Ninety M was sending representatives to confront him about the fraudulent transactions and he decided to hide. Price contacted a woman he knew and agreed to hide at a house the woman had rented.
The same day, Price’s wife reported him missing to Virginia authorities and local law enforcement responded. Late that night, a driver spotted Price standing on the side of the road in Gratton, Va. Price was taken to a hospital for treatment and released.
Price was subsequently questioned by several law enforcement agencies. In those statements, Price falsely claimed he had been kidnapped by men who may have been associated with an outlaw motorcycle gang.
In statements to the FBI and IRS on April 20, 2018, Price said he had been approached by an unknown man who discussed possibly selling a motorcycle to Price. Price agreed to meet this man at a park and ride. When Price went to the meeting location, the unknown man arrived with a windowless van and was accompanied by another unknown man who pointed a gun at him. Price claimed the second man applied a rag with chemical on it to his face and that made him disoriented. Price said the men took him to an unknown location where he sat in a dark room on the floor for a period of time. The men applied the chemical rag to his face again. He then remembered the men threatening him and throwing him out of the moving van onto the side of the road.
Price knew that none of these statements to the FBI and IRS or to other law enforcement about his supposed abduction was true. Price was not kidnapped by anyone. The false statements cost the government significant investigative resources and hampered the investigation into Price’s own wrongdoing.
Assistant U.S. Attorneys Colin Rubich and Zeno Baucus are prosecuting the case, along with Assistant U.S. Attorney Randy Ramseyer, of the Western District of Virginia. The case was investigated by the FBI, IRS and the Montana State Auditor.
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Baton Rouge Bookkeeper Sentenced to Federal Prison for Defrauding Baton Rouge Construction CompanyRead the Press Release
United States Attorney Brandon J. Fremin announced that U.S. District Judge Brian A. Jackson sentenced DIANNA CARRINGTON, a.k.a. Deanna Collier, Dianna Collier, and Dee Blackburn, age 41, of Baton Rouge, Louisiana, to 22 months in federal prison following her conviction for wire fraud. The Court further sentenced CARRINGTON to two years of supervised release following her term of imprisonment and ordered $235,869.52 in restitution to J.W. Grand Construction, Inc. (“J.W. Grand”).
In connection with her guilty plea, CARRINGTON, a former bookkeeper and office manager for J.W. Grand admitted to fraudulently diverting at least $235,869.52 from J.W. Grand’s business accounts to her personal checking and credit card account for her own personal use. For example, CARRINGTON admitted to issuing a payment to a hardware and cabinets distributor located in Prairieville, Louisiana, which she falsely represented to be a payment for finish hardware that she, in fact, had not provided and for which said distributor had not submitted an invoice. In fact, CARRINGTON diverted the fraudulent $13,187.48 payment to her personal credit card account.
U.S. Attorney Fremin stated, “Internal theft at any business is a serious problem that threatens the economic security of honest employees and business owners. We take seriously the threat this poses to our business community and the economic impact it has on hardworking families. It took hard work on the part of our prosecutors and the Secret Service to bring this fraudster to justice and I am very proud of their efforts.”
Tara McLeese, Resident Agent in Charge of the Secret Service Office in Baton Rouge stated, “The U.S. Secret Service plays a pivotal role in securing the nation’s critical financial infrastructure. Today’s sentencing is one of many examples of the high priority our office places on protecting the financial security of businesses in our community.”
This matter is being investigated by the Baton Rouge Office of the U.S. Secret Service, and is being prosecuted by Assistant United States Attorney Demetrius Sumner.