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17 December 2018
Niagara Falls Man Arrested on Multiple Charges, Including Possession of an Explosive DeviceRead 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 Jeffrey Richards, 28, of Niagara Falls, NY, was arrested and charged by criminal complaint with possession with intent to distribute 100 grams or more of heroin; possession of firearms in furtherance of drug trafficking; maintaining a drug-involved premises; and making and possessing an unlawful destructive device. The charges carry a mandatory minimum penalty of five years in prison, a maximum of life, and fine of up to $5,000,000.
Assistant U.S. Attorneys Timothy C. Lynch and Brendan T. Cullinane, who are handling the case, stated that according to the complaint, an investigation by the FBI’s Joint Terrorism Task Force revealed that defendant was a significant narcotics trafficker who also manufactured improvised explosive devices. Through the investigation, agents learned that Richards obtains heroin and other narcotics from suppliers which he redistributed in the Niagara Falls area.
On December 14, 2018, law enforcement officers executed a search warrant at the defendant’s residence on Packard Court in Niagara Falls. Officers recovered amounts of suspected heroin, marijuana, and cocaine, approximately 10 firearms, various rounds of ammunition, drug trafficking paraphernalia, and an improvised explosive device. Officers also recovered various items used in the manufacturing of explosive devices.
The defendant made an initial appearance before U.S. Magistrate Judge Michael J. Roemer and is detained.
The criminal complaint is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Gary Loeffert, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge Ashan Benedict, New York Field Division, the Niagara Falls Police Department, under the direction of Chief Bryan DalPorto, and the Niagara County Sheriff's Department, under the direction of Sheriff James Voutour.
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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Nashville, Tennessee Man Pleads Guilty to Possession of Counterfeit ObligationRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Antwaun Anglin, age 39, of Nashville, Tennessee, entered a guilty plea to Possession Of Counterfeit Obligation Of The United States, in violation of Title 18, United States Code, Sections 474(a) and 2, punishable by not more than 25 years imprisonment, up to a $250,000.00 fine, or both.
The Indictment alleged that on or about September 13, 2018, in the Eastern District of Oklahoma, the Defendant, did knowingly have in his possession and custody, with intent to sell or otherwise use, approximately five hundred seventy-eight (578) falsely made and counterfeited twenty-dollar Federal Reserve Notes, Series 2013, Serial No. MK12783752B, Quadrant # 4, Face Plate 28, Back Plate 22, Federal Reserve Bank K11, made after the similitude of obligations issued under the authority of the United States.
The charges arose from an investigation by the Atoka Police Department, the Caney Police Department, and the United States Secret Service.
The Honorable Kimberly E. West, U.S. Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, accepted the plea and ordered the completion of a presentence investigation report.
Assistant United States Attorney Clay Compton represented the United States.
Multiple New Bern Defendants Sentenced in Multi-Year Heroin and Marijuana Conspiracy InvestigationRead the Press Release
NEW BERN – United States Attorney Robert J. Higdon, Jr. announced that over the course of the last week in federal court, before Chief United States District Judge Terrence W. Boyle, multiple defendants have been sentenced in a large-scale heroin and marijuana trafficking organization.
The investigation was part of OCDETF Operation 190, which was named in memory of New Bern Police Department Officer Alexander Thalmann. Officer Thalmann was shot and killed in the line of duty in March of 2014 by associates of the defendants in this case. An Organized Crime Drug Enforcement Task Force (OCDETF) is a joint federal, state, and local cooperative approach to combat drug trafficking and is the nation’s primary tool for disrupting and dismantling major drug trafficking organizations, targeting national and regional level drug trafficking organizations, and coordinating the necessary law enforcement entities and resources to disrupt or dismantle the targeted criminal organization and seize their assets.
The defendants’ convictions and sentencings were the culmination of a multi-year investigation into a heroin trafficking ring operating in and around New Bern, North Carolina, and led primarily by two men: DAMIEN LAMONTE BROWN and CALVIN MARK WILSON. Agents with the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) and members of the New Bern Police Department learned that BROWN, WILSON, and others had been involved in ordering heroin from New York City and arranging it to be brought down in multi-kilogram amounts over a period of several years. BROWN and WILSON then supplied various mid and lower-level dealers in and around New Bern with the heroin for sale.
As part of the investigation, law enforcement conducted over twenty controlled purchases of heroin from organization members between November 2016 and July 2017, along with traffic stops and other encounters in which they confirmed that members possessed drugs and guns. Based on that investigation, ATF then obtained authorization for a federal wiretap of cellular phones associated with WILSON and two co-defendants. As a result, agents intercepted calls and texts over a three-month period in late 2017 showing that WILSON was directing the supply and distribution of kilogram-levels of heroin from New York to New Bern, NC. Based on intercepted calls, agents were able to stop and arrest WILSON and two co-defendants traveling back from New York with 3lbs of marijuana and 7 bars of heroin cutting agent.
ATF made arrests of many of the defendants on October 24, 2017, along with searches of five residences associated with the organization. Through the life of the investigation, law enforcement has seized over a kilogram of heroin and twenty firearms.
The defendants include:
- DAMIEN LAMONTE BROWN, aka “Dame,” 36, of New Bern, NC. BROWN was convicted in August 2018 by a federal jury of conspiring to distribute and possess with the intent to distribute one hundred (100) grams or more of heroin, possession with intent to distribute one hundred (100) grams or more of heroin, and possession of a firearm by felon. BROWN was sentenced to 360 months’ imprisonment.
- DERRICK LAMONT DAVIS, aka “Gucci,” 35, of Kinston, NC. DAVIS was convicted of conspiring to distribute and possess with the intent to distribute one hundred (100) grams or more of heroin. DAVIS was sentenced to 48 months’ imprisonment.
- DWAYNE LEE STALLINGS, aka “Smiley,” 35, of Cove City, NC. STALLINGS was convicted of possession of a firearm by a felon and was sentenced to 108 months’ imprisonment.
- NASSAR TURE MACK, 37, of New Bern, NC. MACK was convicted of possession of a firearm by felon and was sentenced to 24 months’ imprisonment.
- MARIO CORRELLUS BARGNEARE, aka “Rio,” 39, of New Bern, NC. BARGNEARE was convicted of conspiring to distribute and possess with the intent to distribute one hundred (100) grams or more of heroin and discharging a firearm in furtherance of a drug trafficking crime. BARGNEARE was sentenced to 204 months’ imprisonment.
- DEREK JACQUAN WIGGINS, aka “DJ,” 38, of New Bern, NC. WIGGINS was convicted of conspiring to distribute and possess with the intent to distribute a quantity of heroin, several counts of distributing heroin, and possession of a firearm by a felon. He was sentenced to 120 months’ imprisonment.
- ROY JAMES NOLON, aka “Henny,” 21, of New Bern, NC. NOLON was convicted of conspiring to distribute and possess with the intent to distribute a quantity of heroin and possession of a firearm in furtherance of a drug trafficking crime. He was sentenced to 96 months’ imprisonment.
- MICHAEL QUALEEK VELASQUEZ, aka “Moo Moo,” 23, of New Bern, NC. VELASQUEZ was convicted of conspiring to distribute and possess with the intent to distribute a quantity of heroin and possession with intent to distribute a quantity of heroin. He was sentenced to 96 months’ imprisonment.
- LAMAR HOSEA WIGGINS, aka “LB,” 39, of New Bern, NC. WIGGINS was convicted of conspiring to possess with the intent to distribute a quantity of heroin and possession of a firearm by a felon. He was sentenced to 96 months’ imprisonment.
- LASHAWNNA JAQUETTE MCCOTTER, aka “Flossy,” 47, of New Bern, NC. McCOTTER was convicted of conspiring to possess with the intent to distribute a quantity of heroin and possession with intent to distribute a quantity of marijuana. She was sentenced to 30 months’ imprisonment.
- LATREKA DENISE HARDESTY, aka “T,” 27, of New Bern, NC. HARDESTY was convicted of conspiring to distribute and possess with the intent to distribute a quantity of heroin. She was sentenced to time served.
- ADRIENNE MICHELLE HALL, 35, of New Bern, NC. HALL was convicted of conspiring to distribute and possess with the intent to distribute a quantity of heroin. She was sentenced to time served.
- CAROLINE LOUISE HUGHES, 28, of Alliance, NC. HUGHES was convicted of conspiring to distribute and possess with the intent to distribute a quantity of heroin. She was sentenced to 5 years probation.
Three defendants are scheduled to be sentenced over the course of the next few months. They are:
- CALVIN MARK WILSON, aka “Bali,” 34, of New Bern, NC. WILSON was convicted of conspiracy to distribute and possess with the intent to distribute one thousand grams or more of heroin and a quantity of marijuana and possession with intent to distribute a quantity of marijuana. WILSON faces a sentence of not less than 20 years’ imprisonment.
- WILLIE FRANK JAMES AHERN, aka “White, White Bread, Dribs,” 39, of Bayboro, NC. AHERN was convicted of conspiring to distribute and possess with the intent to distribute a quantity of heroin and several instances of distributing quantities of heroin. AHERN faces up to life imprisonment.
- WALTER NAJEE GREEN, III, 21, of New Bern, NC. GREEN was convicted of distribution of a quantity of heroin and faces up to 30 years’ imprisonment.
The investigation also led to 8 individuals being charged by the state for drug offenses. Those charges remain pending.
The investigation of this case was conducted by the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF), New Bern Police Department, Jacksonville Police Department, Craven County Sheriff’s Office, Pamlico County Sheriff’s Office, the North Carolina State Bureau of Investigation, Onslow County Sheriff’s Office, Sampson County Sheriff’s Office, Trent Woods Police Department, Carteret County Sheriff’s Office, Morehead City Police Department, Beaufort County Sheriff’s Office, and with the assistance of the Federal Bureau of Investigation (FBI) and Drug Enforcement Administration (DEA). Assistant United States Attorney Laura S. Howard prosecuted this case on behalf of the government.
Mid-State Psychologist Facing Federal Healthcare Fraud ChargesRead the Press Release
NASHVILLE, Tenn. – December 17, 2018 – Donald M. McCoy, 52, of Murfreesboro, Tennessee, was arrested Friday by federal and state agents and charged with two counts of healthcare fraud, announced U.S. Attorney Don Cochran for the Middle District of Tennessee.
According to the criminal complaint, McCoy is a licensed psychologist by the State of Tennessee and is an authorized TennCare provider who provides individual psychotherapy and family psychotherapy services to patients—usually minors—in the care of the Department of Children’s Services (“DCS”). The complaint alleges that between January 2014 and December 7, 2018, McCoy billed for more hours of services than can physically be provided in any given day and received over $2.16 million from TennCare based on those claims.
The complaint alleges that an investigative analysis conducted by the Tennessee Bureau of Investigation determined that on multiple occasions, McCoy submitted claims for psychotherapy services that totaled more than 24 hours per day, some even exceeding 48 hours and 72 hours per day. The analysis also determined that McCoy billed for services purportedly rendered on more than 200 weekends and major federal holidays, including New Year’s Day, the Fourth of July, Thanksgiving and Christmas day, among others. The complaint further alleges numerous times McCoy billed for family psychotherapy sessions involving patients in DCS custody, which never occurred.
If convicted, McCoy faces up to 20 years in prison and up to a $250,000 fine on each count.
This case was investigated by the Tennessee Bureau of Investigation; the U.S. Postal Inspection Service; and the IRS Criminal Investigation. Assistant U.S. Attorneys Kathryn Booth and Sarah Bogni are prosecuting the case.
The charges are merely an accusation. The defendant is presumed innocent until proven guilty in a court of law.
Miami-Area Woman Sentenced to over Six Years in Prison for Role in $4.65 Million Medicare Fraud SchemeRead the Press Release
A Miami, Florida-area woman was sentenced to 78 months in prison to be followed by three years of supervised release today for her role in a $4.65 million health care fraud scheme involving three home health agencies that purported to provide home health services to Medicare patients.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney Ariana Fajardo Orshan of the Southern District of Florida, Special Agent in Charge George L. Piro of the FBI’s Miami Field Office and Special Agent in Charge Shimon R. Richmond of the U.S. Department of Health and Human Services Office of Inspector General’s (HHS-OIG) Miami Regional Office made the announcement.
Margarita Palomino, 54, of Homestead, Florida, was sentenced by U.S. District Judge Jose E. Martinez of the Southern District of Florida. Judge Martinez also ordered Palomino to pay $4,658,241.00 in restitution and to forfeit $186,650.50. Palomino pleaded guilty on Oct. 10, 2018 to one count of conspiracy to commit health care fraud and wire fraud.
Palomino worked at Sunshine Home Health Services Inc., Empire Home Health Agency Inc. and Mildred & Marce Home Health Care Services Inc., all in the Miami area. As part of her guilty plea, Palomino admitted that from approximately January 2010 through approximately January 2014, she accepted kickbacks in return for the referral of Medicare beneficiaries, many of whom did not need or qualify for home health services, to act as patients at the three agencies. Palomino—who was a physician in Cuba but never licensed in the United States—further admitted that she performed home health care nursing visits and prepared related medical records as if she were a licensed medical professional. She also admittedly changed claims coding to increase reimbursement by Medicare.
Palomino admitted that, as a result of false and fraudulent claims submitted as part of this conspiracy, Medicare made payments of at least $4.65 million.
Palomino was charged along with Norma Zayas, 29, of Miami, in an indictment returned on June 7, 2018. Zayas pleaded guilty and is currently awaiting sentencing.
The FBI and HHS-OIG investigated the case, which was brought as part of the Medicare Fraud Strike Force under the supervision of the Criminal Division’s Fraud Section and the U.S. Attorney’s Office for the Southern District of Florida. Trial Attorney Emily Gurskis of the Fraud Section and Assistant U.S. Attorney Leslie Wright of the District of Massachusetts (previously a Fraud Section trial attorney) are prosecuting the case.
The Fraud Section leads the Medicare Fraud Strike Force. Since its inception in 2007, the Medicare Fraud Strike Force, which maintains 14 strike forces operating in 23 districts, has charged nearly 4,000 defendants who have collectively billed the Medicare program for more than $14 billion. In addition, the HHS Centers for Medicare & Medicaid Services, working in conjunction with the HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.
Mexican Man Charged with Illegal Re-EntryRead the Press Release
NEW ORLEANS, LOUISIANA – United States Attorney Peter G. Strasser announced that BENITO ORBE-SANTANA, age 43, a native of Mexico, was charged Friday, December 14, 2018 in a one-count indictment with illegal reentry of a removed alien, in violation of Title 18, United States Code, Section 1326(a).
According to the indictment, ORBE-SANTANA was previously removed from the United States on July 9, 2008. He was later found in the Eastern District of Louisiana on December 10, 2018 and had not received permission from the Attorney General of the United States or the Secretary of the Department of Homeland Security to reenter.
If convicted, ORBE-SANTANA faces a maximum term of imprisonment of 2 years, a fine of $250,000, one year of supervised release, and a $100 special assessment fee.
U.S. Attorney Strasser reiterated that an indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
U.S. Attorney Strasser praised the work of the United States Immigration and Customs Enforcement agency in investigating this matter. Assistant United States Attorney Carter K.D. Guice, Jr. is in charge of the prosecution.
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Man Sentenced to 120 Months in Prison for Attempted Enticement of a MinorRead the Press Release
PENSACOLA, FLORIDA – Glenn Varrin, 56, of Syracuse, New York, was sentenced to 120 months in prison today for attempted enticement of a minor after pleading guilty on August 15. The sentence was announced by Christopher P. Canova, United States Attorney for the Northern District of Florida.
In March 2018, an undercover investigator began chatting online to identify individuals interested in exploiting children. Varrin sent a message to the investigator, who was posing as a 14-year-old female. Over the next two months via e-mail and later by text message, Varrin discussed engaging in sexual intercourse with the investigator posing as the 14-year-old female. In May 2018, Varrin traveled to Fort Walton Beach for the purposes of engaging in sexual intercourse with an individual he believed was a 14-year-old child. Varrin arranged to meet the investigator posing as the 14-year-old female at a gas station, and he was arrested when he arrived there.
U.S. Attorney Canova said: “Protecting children from exploitation is a top priority of my office and the Department of Justice. I commend the hard work of our prosecutors and law enforcement professionals who protect our communities and bring child predators to justice.”
“The Okaloosa County Sheriff’s Office and HSI special agents, working together, were able to identify and arrest this predator who traveled to our local area from out of state in order to have sex with a female minor,” said HSI Tampa Special Agent in Charge James C. Spero. “This case is an example of the strong law enforcement partnerships HSI has in the Panhandle area and together, once again, we have stopped another criminal from sexually abusing a child.”
The case was investigated by the United States Immigration and Customs Enforcement Homeland Security Investigations, the Okaloosa County Sheriff’s Office, and the North Florida Internet Crimes Against Children Task Force. The case was prosecuted by Assistant United States Attorney Jeffrey M. Tharp.
The United States Attorney's Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
Man Indicted for Interference with Flight CrewRead the Press Release
NEW ORLEANS, LOUISIANA – United States Attorney Peter G. Strasser announced that RODNEY JAMES, age 47, a resident of Phoenix City, Alabama, was charged Friday, December 14, 2018 in a one-count indictment for interference with a flight crew, in violation of Title 49, United States Code, Section 46504.
According to the Indictment, on November 14, 2018, JAMES interfered with a flight crew, travelling from Fort Lauderdale, Florida to Los Angeles, California, by being disruptive, yelling loudly, refusing to sit down, aggressively pursuing a flight crew member across the cabin, and threatening the flight crew, all causing the aircraft to be diverted to New Orleans.
U.S. Attorney Strasser praised the work of the Federal Bureau of Investigation in investigating this matter. Assistant United States Attorney G. Dall Kammer, Supervisor of the General Crimes Unit, is in charge of the prosecution.
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Man Convicted of Robbing Local WhataburgerRead the Press Release
CORPUS CHRISTI, Texas – A 22-year-old Corpus Christi man has entered a guilty plea to robbery and brandishing a firearm in furtherance of a crime of violence, announced U.S. Attorney Ryan K. Patrick.
On March 14, 2018, the Corpus Christi Police Department (CCPD) responded to an aggravated robbery at the Whataburger located in the 4100 block of South Staples. Upon their arrival, officers discovered that a male – later identified as Dveaunta Montez Hall, 22 - had entered the business and pointed an assault rifle employees and customers while demanded money from the register. He then fled the location on foot.
A short while later, responding officers located Hall, who still had the assault rifle in his possession, near the location. During the investigation, officers discovered Hall had stolen the assault rifle from a nearby apartment shortly before committing the robbery.
Senior U.S. District Judge John D. Rainey accepted Hall’s plea today and set sentencing for March 17, 2019. At that time, he faces up to 20 years imprisonment and a maximum $250,000 fine for the robbery and a minimum and mandatory seven years for brandishing a firearm during a crime of violence, which must be served consecutively to any other prison term imposed.
He has been and will remain in custody pending that hearing.
CCPD and the Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation. Attorney Lance Watt is prosecuting the case.
Man Convicted of Hate Crime in Attack Outside Cincinnati RestaurantRead the Press Release
CINCINNATI – Izmir Koch, 33, of Huber Heights, Ohio, was convicted in U.S. District Court today for assaulting a man because he believed the man was Jewish in violation of the Matthew Shepard and James Byrd Jr. Hate Crimes Prevention Act, and of lying to the FBI about his role in the religiously motivated assault.
Assistant Attorney General Eric Dreiband for the Justice Department’s Civil Rights Division, Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, and Todd Wickerham, Special Agent in Charge, FBI Cincinnati Division, announced the verdict, which was reached today by U.S. District Judge Susan J. Dlott after a bench trial that occurred between Nov. 13 to 15.
According to court documents and testimony, the assault occurred on Feb. 4, 2017, outside a Cincinnati restaurant, when Koch yelled out asking if anyone outside the restaurant was Jewish. The victim responded that he was Jewish and Koch then ran to the victim and punched him in the head. When the victim fell to the ground, Koch and others continued hitting and kicking him, breaking a bone in his face and bruising his ribs. Approximately a half-dozen of Koch’s friends joined in the assault. Before and during the assault, the defendant and his associates were heard shouting, “I want to kill all of the Jews” and “I want to stab the Jews.”
After the incident occurred, Koch made a voluntary statement to the FBI, accompanied by his attorney. Koch falsely told the FBI he was not involved in the fight, the fight only consisted of two punches, and he had not said anything disparaging about Jews.
“This is the first conviction under the federal Hate Crimes Prevention Act in the Southern District of Ohio,” said U.S. Attorney Glassman. “We will not permit hate-fueled violence to gain a toehold here. Nor will we countenance lying to FBI agents. Today’s convictions reflect our resolve.”
In October, the Justice Department launched a new comprehensive hate crimes website designed to provide a centralized portal for the Department’s hate crimes resources for law enforcement, media, researchers, victims, advocacy groups and other related organizations and individuals. More information on the website and an update on Justice Department hate crimes prosecutions can be found here.
This case was investigated by the FBI. The case is being prosecuted by Assistant United States Attorney Megan Gaffney and Trial Attorney Dana Mulhauser of the Civil Rights Division of the Department of Justice.
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Lexington Man Indicted for Defrauding National Dumpster Company Based in ColumbiaRead the Press Release
Columbia, South Carolina ---- United States Attorney Sherri A. Lydon announced today that William Tye Grisel, 38, of Lexington, South Carolina, was charged in a 153-count Indictment by a federal grand jury for Wire Fraud and Fraud Involving a Computer.
According to the Indictment, Grisel is a former employee of and consultant for Big Red Box, a national dumpster brokerage firm based in Columbia. Over an almost three-year period, he defrauded the company of approximately $1.05 million by charging for marketing calls he did not make.
Grisel faces a maximum penalty of 20 years in federal prison for each Wire Fraud charge and five years in prison for each Fraud Involving a Computer charge.
The United States Secret Service investigated the case. Assistant United States Attorney Winston David Holliday, Jr., of the Columbia office is prosecuting the case.
The U.S. Attorney Lydon stated that all charges in the indictment are merely accusations and that all defendants are presumed innocent until and unless proven guilty.
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Leominster Woman Sentenced for Stealing Social Security and Veterans BenefitsRead the Press Release
BOSTON – A Leominster woman was sentenced on Friday, Dec. 14, 2018, in federal court in Worcester for stealing Social Security and Veterans Affairs benefits.
Joyce Progin, 71, was sentenced by U.S. District Court Judge Timothy S. Hillman to time served, three years of supervised release, and ordered to pay restitution of approximately $325,245. In August 2018, Progin pleaded guilty to two counts of theft of public funds. She was arrested and charged in January 2018.
In November 2009, Progin’s former father-in-law passed away. At the time of his death, the father-in-law was receiving monthly retirement benefits from Social Security and monthly benefits from the Department of Veterans Affairs. Neither agency was advised of his death and continued to deposit his benefit payments into a bank account he held jointly with Progin, who was his caregiver. Although she admitted knowing that she was not entitled to the money, from November 2009 through March 2017, Progin received approximately $55,267 in Social Security benefits, and from November 2009 through November 2017, she received approximately $269,978 in benefits from the Department of Veterans Affairs, in total, stealing over $300,000 in public funds.
United States Attorney Andrew E. Lelling; Scott Antolik, Special Agent in Charge of the Social Security Administration, Office of Inspector General, Office of Investigations, Boston Field Division; and Sean Smith, Special Agent in Charge of the Department of Veterans Affairs, Office of Inspector General, Northeast Field Office, made the announcement today. Special Assistant U.S. Attorney Karen Burzycki of Lelling’s Major Crimes Unit prosecuted the case.
Lancaster Resident Sentence to 10 Years in Federal Prison After Being Found in Possession of Firearms Stolen from National Guard ArmoryRead the Press Release
Columbia, South Carolina ---- United States Attorney Sherri A. Lydon announced today that Brandon Shane Polston, age 33, of Lancaster, South Carolina, was sentenced in federal court after pleading guilty in July to being a felon in possession of firearms and to possession of machineguns and destructive device not registered to him in the National Firearms Registration and Transfer Record. United States District Judge J. Michelle Childs of Columbia sentenced Polston to the statutory maximum sentence of 120 months (10 years) imprisonment with 3 years of supervised release to follow.
Polston’s co-defendants—Austin Lee Ritter, age 23, and Kimberly Denise Cannon, age 40, both of Lancaster—were sentenced in late November after pleading guilty in June. Both pled guilty to the same charges as Polston. Ritter was sentenced to 87 months imprisonment with 3 years of supervised release to follow. Cannon was sentenced to 24 months imprisonment with 3 years of supervised release to follow.
Evidence presented in court hearings established that during the early morning hours of November 26, 2017, an officer with the Lancaster Police Department conducted a traffic stop of a vehicle driven by Cannon after observing her littering. Further investigation during the traffic stop revealed the following inside the vehicle: a FNH, model M249, 5.56mm machinegun; two (2) Colt, model M-16, 5.56mm machineguns; two (2) Beretta, model M9, 9mm pistols; a Colt, model M203, 40mm grenade launcher (“destructive device”); night vision goggles; and various military items stolen from the Lancaster National Guard Armory.
After the traffic stop, Polston and Ritter were located at a Lancaster motel and found in possession of a small quantity of methamphetamine. A review of surveillance video from the motel showed Polston, Ritter, and Cannon bringing the bags containing the firearms back and forth between the vehicle and the motel room. Searches of their cell phones revealed various photos and text messages relating to the firearms and sale of the firearms.
During the investigation, Polston admitted that on Thanksgiving Day, he jumped the fence of the Armory, where he found the building unsecured and no one present. The investigation has not uncovered any plan by any other person to assist Polston in the theft. Polston stole the firearms and other items and hid them in nearby woods.
Thereafter, Polston traded one 9mm handgun to a male in exchange for heroin, which he provided to a friend. Polston also sold two of the M-16s to two males in Lancaster in exchange for money, cocaine, and marijuana. Thereafter, Polston had Cannon drive him and Ritter back to the wooded area to retrieve the remaining firearms and other items. The group also traveled to the Rock Hill area, where Polston gave an M-16 to a female and received methamphetamine from her. The investigation revealed that while some of the stolen firearms were later recovered in possession of other felons, other firearms remain missing.
Polston and his co-defendants Ritter and Cannon are all prohibited under federal law from possessing firearms and ammunition based upon their prior state convictions. Polston has prior state convictions for breaking into autos (2 counts), malicious injury to person property over $2,000, but less than $10,000, assault and battery 1st degree, burglary 2nd degree (2 counts), receiving stolen goods over $2,000 but less than $10,000, and property offense 3rd or subsequent. Polston was released from the South Carolina Department of Corrections in February 2017.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), the Lancaster Police Department, and the South Carolina Law Enforcement Division (SLED). Assistant United States Attorney Stacey D. Haynes 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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Lancaster Man Pleads Guilty to Federal Firearm ChargeRead the Press Release
Columbia, South Carolina ---- United States Attorney Sherri A. Lydon announced today that Quavis Jamar Rudisell, 29, of Lancaster, South Carolina, pled guilty in federal court to being a felon in possession of a firearm and ammunition.
Evidence presented in court established that during the early morning hours of September 6, 2018, deputies with the Lancaster County Sheriff’s Department responded to a residence on Providence Road after receiving a 911 call in regard to a theft of money. The residence advised that Rudisell had been a guest in the home, stolen approximately $1,300, and fled on a silver moped. Officers with the Lancaster Police Department located Rudisell on the moped and attempted to conduct a traffic stop. Rudisell jumped off the moped and fled into nearby woods, where he was later captured. Officers located the stolen money on Rudisell, along with a magazine loaded with rounds of 9mm ammunition. Rudisell admitted to throwing the firearm down. Officers did a search of the area and recovered a 9mm handgun with a large-capacity magazine loaded with 19 rounds of ammunition. He was arrested pursuant to a federal criminal complaint.
Rudisell is prohibited under federal law from possessing firearms and ammunition based upon a prior state conviction for breach of trust with fraudulent intent more than $2,000 but less than $10,000 (2016) and a prior federal conviction for conspiracy to possess with intent to distribute 5 kilograms or more of cocaine and 50 grams or more of crack cocaine (2011). Rudisell had been released from federal prison and was on federal supervised release at the time of the instant offense.
Rudisell faces a maximum of 10 years in federal prison, a fine of $250,000, and 3 years of supervised release on the felon in possession of a firearm and ammunition charge. He also faces a revocation of his federal supervised release.
Senior United States District Judge Joseph F. Anderson, Jr., of Columbia accepted the guilty plea and will impose sentence after he has received and reviewed the presentence report, which will be prepared by the United States Probation Office. Assistant United States Attorney Stacey D. Haynes of the Columbia office is prosecuting the case.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), the Lancaster County Sheriff’s Office, and the Lancaster Police Department. It is being 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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Lakewood Man Charged in $10 Million Health Care Fraud Against Blue Cross Blue ShieldRead the Press Release
NEWARK, N.J. – A Lakewood, New Jersey, insurance producer was charged today with conspiring to defraud several Blue Cross Blue Shield health care insurance affiliates of more than $10 million, U.S. Attorney Craig Carpenito announced today.
Jonas Knopf, 63, of Lakewood, was charged by complaint with one count of conspiring to defraud three health care Blue Cross Blue Shield (BCBS) affiliates in Pennsylvania and the Washington, D.C., area. He is scheduled to appear today before U.S. Magistrate Judge Steven C. Mannion in Newark federal court.
According to documents filed in this case and statements made in court:
From 2009 to 2017, Knopf was the chief executive officer of Madison Financial Services (MFS) and a licensed insurance producer – a person who is licensed to sell insurance products. MFS was the parent company of 11 sham companies created by Knopf and others solely for the purpose of marketing health insurance coverage to people who were not, in fact, his employees. These companies purported to be located and doing business in Pennsylvania and/or Virginia, and created the appearance of employment status for hundreds of individuals, largely Lakewood residents who were seeking health care coverage through BCBS benefit plans. The conspiracy began in Pennsylvania, and lasted until 2013, when an internal BCBS investigation uncovered irregularities in the information submitted by Knopf and others through his sham companies. Ultimately, the Pennsylvania Department of Insurance initiated an investigation and Knopf surrendered his Pennsylvania insurance producer’s license and ceased operation in the state. The conspiracy, however, continued in Virginia.
Knopf’s clients or purported employees paid him inflated insurance premiums as well as providing him with monies for payroll; Knopf, in turn, issued fake payroll checks, giving the false impression that they were actually employees being paid for services rendered. The conspiracy continued until January 2017. The conspiracy caused the health care insurers to pay out more than $10 million in fraudulent claims.
The count of conspiracy to commit health care fraud carries a maximum penalty of 10 years in prison and a $250,000 fine.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Special Agent In Charge Gregory W. Ehrie; special agents of the U.S. Department of Labor, Office of Inspector General, Office of Investigations, New York Region, under the direction of Special Agent in Charge Michael Mikulka; investigators of the U.S. Department of Labor, Employee Benefit Security Administration (EBSA), under the direction of Regional Director Darren Cohen, and the Ocean County Prosecutor's Office, under the direction of Bradley D. Bilhimer, with the investigation leading to today’s charge.
The government is represented by Senior Litigation Counsel V. Grady O’Malley of the U.S. Attorney’s Office’s Organized Crime/Gangs Unit and Assistant U.S. Attorney Tracey Agnew of the Violent Crime Unit.
The charge and allegations contained in the complaint, are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Defense counsel: Michael Gilbert Esq., New York
Kentucky Man Sentenced to Prison for Bank RobberyRead the Press Release
HUNTINGTON, W.Va. – A Kentucky man who robbed over $32,000 from a bank in Wayne County was sentenced to 63 months in prison, announced United States Attorney Mike Stuart. Steve Ray Meeks, 62, of Louisa, Kentucky, previously pled guilty to bank robbery. U.S. Attorney Stuart commended the investigative efforts of the FBI, the Wayne County Sheriff’s Office, the Louisa, Kentucky, Police Department, the Kentucky State Police, and the West Virginia State Police.
“Meeks’ actions put so many lives in danger,” said United States Attorney Mike Stuart. “My thanks to all of the law enforcement officers who worked together to apprehend Meeks without further incident.”
Meeks admitted that on January 12, 2018, he robbed the Community Trust Bank in Fort Gay. The day before, Meeks admitted that he had approached the bank with his hood over his head and a ski mask covering his face and tried to get in after the bank had closed. During the morning staff meeting at the bank prior to opening, the bank employees discussed the individual they saw who had tried to get in the day prior. After that meeting, the same individual with the exact same clothes on tried to get in the bank again before it opened. Meeks admitted that he left and returned to the bank after it opened, when he could get in the unlocked door. Meeks further admitted that upon entering the bank, he brandished a weapon that appeared to be a handgun, requested that the tellers put all the money in a bag he brought with him, and threatened to shoot or kill them all.
Following the robbery, Meeks admitted that he drove into Kentucky with a Wayne County Sheriff’s deputy pursuing him, who then shortly after entering Kentucky, turned over the pursuit to a Louisa Police Department officer. Meeks admitted that during the pursuit, he threw large sums of cash from the robbery out the window. Law enforcement deployed stop strips to flatten his tires and Meeks was apprehended. The weapon from the robbery was later found in Fort Gay along the path where Meeks initially fled on foot, and it was discovered to be a BB gun that resembled an actual handgun, without an orange cap on the barrel or any other safety markings to indicate otherwise. Investigators and bank employees determined that the amount Meeks robbed was approximately $32,372.00.
United States District Judge Robert C. Chambers imposed the sentence. Assistant United States Attorney Stephanie S. Taylor prosecuted the case.
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Judge Sends Johnstown Man to Prison for Distributing Heroin and FentanylRead the Press Release
JOHNSTOWN, Pa. – A resident of Johnstown, Pa. has been sentenced in federal court to 14 months in prison, with credit being given for time served, and three years’ supervised release on his conviction of violating federal narcotics laws, United States Attorney Scott W. Brady announced today.
United States District Judge Kim R. Gibson imposed the sentence on Darryle D. Ford, 58.
According to information presented to the court, on July 12, 2017, Ford distributed a quantity of heroin and fentanyl.
Assistant United States Attorney Stephanie L. Haines prosecuted this case on behalf of the government.
Mr. Brady commended the Laurel Highlands Resident Agency of the Federal Bureau of Investigation and the Cambria County Drug Task Force for the investigation that led to the successful prosecution of Ford.
Johnstown Cocaine Dealer Sentenced to 7 Years in PrisonRead the Press Release
JOHNSTOWN, Pa. – A resident of Johnstown, Pa., has been sentenced in federal court to 84 months in prison and three years’ supervised release on his conviction of violating federal narcotics laws, United States Attorney Scott W. Brady announced today.
United States District Judge Kim R. Gibson imposed the sentence on Moses Lee Cunningham, 52.
According to information presented to the court, on June 7, 2017, Cunningham distributed a quantity of cocaine.
Assistant United States Attorney Stephanie L. Haines prosecuted this case on behalf of the government.
Mr. Brady commended the Laurel Highlands Resident Agency of the Federal Bureau of Investigation and the Cambria County Drug Task Force for the investigation that led to the successful prosecution of Cunningham.
Jackson County Drug User Pleads Guilty to Possession of FirearmRead the Press Release
Gulfport, Miss – Carl Levon Haynes, 26, of Pascagoula, Mississippi, entered a guilty plea today before U.S. District Judge Sul Ozerden to possession of a firearm by an unlawful user of controlled substances, and to making a false statement on an ATF form to purchase a firearm, announced U.S. Attorney Mike Hurst and Special Agent in Charge Dana Nichols with the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Haynes will be sentenced by Judge Ozerden on March 18, 2019, at 9:00 a.m. He faces a maximum penalty of 10 years in prison on the possession charge and 5 years in prison for the false statement. He further faces a fine of $250,000 along with 3 years of supervised release.
In May 2018, Jackson County Sheriff’s Department and ATF were conducting undercover purchases of drugs and guns. On May 23, Haynes sold a shotgun that had been stolen from a Pascagoula police car. Haynes admitted to regular use of marijuana and the purchase of a handgun in 2017 at which time he answered "No" to a question about whether he used marijuana or other illegal substances.
The Jackson County Sheriff’s Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. It is being prosecuted by Assistant United States Attorney Annette Williams.
Inmates Sentenced for Weapon OffensesRead the Press Release
BLUEFIELD, W.Va. – United States Attorney Mike Stuart announced today that two men were sentenced for weapon offenses committed while they were inmates at the Federal Correctional Institution at McDowell.
“Two more inmates extend their prison stay,” said United States Attorney Mike Stuart. “The staff of the Bureau of Prisons must stay vigilant at all times.”
Tyler Romine, 27, was sentenced to 24 months in prison. He pled guilty in July, admitting that on April 18, 2018, he possessed a weapon consisting of two combination locks attached to a belt, and that he used the weapon to strike another inmate.
Ricardo Delgado-Vazquez, 37, was sentenced to 15 months in prison. He also pled guilty in July, and admitted that on April 20, 2018, he possessed a sharpened piece of metal, commonly called a “shank.” Prison officials found the weapon in the sleeve of his jacket.
The sentences will run consecutively to the sentences the inmates were serving.
The Federal Bureau of Prisons investigated these cases. Assistant United States Attorney John File handled the prosecutions. Senior United States District Judge David A. Faber imposed the sentences.
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Individual Found Guilty of Hobbs Act Robbery That Resulted in MurderRead the Press Release
SAN JUAN, Puerto Rico – Today, after an eight-day jury trial, a jury found Cristian Serrano-Delgado guilty of Hobbs Act robbery and murder, announced U.S. Attorney Rosa Emilia Rodríguez-Vélez for the District of Puerto Rico. The FBI and the Puerto Rico Police Department (PRPD) were in charge of the investigation.
During trial, the government showed that on September 11, 2017, Cristian Serrano-Delgado, along with other two individuals, approached Herol Café, also known as “La Tumba” in Ponce, PR, and announced a robbery to four men sitting outside the establishment. The co-defendants brandished a knife and a gun and they took money and jewelry from the four individuals and from the business, while Serrano-Delgado waited outside by his BMW.
An off-duty Police of Puerto Rico officer, Roberto Medina Mariani, who was inside the establishment, discharged his firearm at one of the defendants who returned fire and mortally wounded him. After the shootout, Serrano-Delgado drove his co-defendants away from the scene.
The other defendants were Jonathan Valentin-Santiago and Rubén Miró-Cruz. Valentin-Santiago pleaded guilty on November 8, 2018, and his sentencing is scheduled for February 6, 2019. Miró-Cruz pleaded guilty on October 16, 2018, and his sentencing is scheduled for January 15, 2019.
“I hope that this conviction will help the victim’s family find some closure,” said Rosa Emilia Rodríguez-Vélez, U.S. Attorney for the District of Puerto Rico. “We will continue to work diligently to prosecute violent criminals to the fullest extent of the law. Senseless acts of violence which threaten our communities and innocent victims will not be tolerated.”
The defendant faces a minimum of ten years up to life imprisonment. The defendant will be sentenced on March 18, 2019, before the Honorable District Judge Francisco Besosa. Assistant U.S. Attorney Alexander Alum and Special Assistant U.S. Attorney Omar Barroso were in charge of the prosecution of this case.
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Individual Arrested for Threatening the Secretary of Public Safety of Puerto RicoRead the Press Release
SAN JUAN, Puerto Rico– A federal grand jury in the District of Puerto Rico returned an indictment against Ricardo González-Rodríguez, charging him for threatening to injure the Secretary of Public Safety Héctor Pesquera via Facebook, in violation of Title 18, United States Code, Section 844(e), announced United States Attorney Rosa Emilia Rodríguez-Vélez. The FBI is in charge of the investigation.
According to the information contained in the indictment, the threat was posted on Facebook, on May 2, 2018. The post contained the following text: “Ai (sic) que matarlo ahora mismo.” Translated to the English language, the post states: “He must be killed right now.” On December 14, 2018, FBI agents arrested the defendant without incident.
“Federal authorities will continue to prosecute those who use social media to threaten, promote violence, or incite violent acts,” said Rosa Emilia Rodríguez-Vélez, U.S. Attorney for the District of Puerto Rico.
“The FBI defends and protects the rights of all people to speak freely. But this does not include sending messages that threaten or encourage violence, which is a serious crime,” said Douglas A. Leff, Special Agent in Charge of the FBI, San Juan Division.
Assistant United States Attorney Alexander Alum is in charge of the prosecution of the case. If convicted, González-Rodríguez faces a maximum term of imprisonment of 10 years, a term of supervised release of up to three years, and a fine of up to $250,000.
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Huntington Man on Parole Pleads Guilty to Federal Drug ChargeRead the Press Release
HUNTINGTON, W.Va. – A Huntington man pled guilty today to a federal drug charge, announced United States Attorney Mike Stuart. Oshae Hamilton, 25, entered a guilty plea to an information charging him with possession with the intent to distribute heroin. The Huntington Police Department conducted the investigation.
“I commend the strategic efforts of the Huntington Police Department and West Virginia Parole Services,” said United States Attorney Mike Stuart. “There is no doubt the work of this partnership will stop a number of crimes before they happen.”
Hamilton admitted that on June 27, 2018, West Virginia Parole Services and members of the Huntington Police Department located approximately 60 grams of heroin in his residence. He admitted to officers that he intended to sell the heroin.
Hamilton faces up to twenty years in federal prison when he is sentenced on March 25, 2019.
The plea hearing was held before United States District Judge Robert C. Chambers. Assistant United States Attorney Stephanie S. Taylor handled the prosecution.
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Guilty Plea: Worker at Children’s Facility Distributed Child PornRead the Press Release
KANSAS CITY, KAN. – A staff member at a facility for children and adults with developmental disabilities pleaded guilty Monday to federal child pornography charges, U.S. Attorney Stephen McAllister said.
William Bresee, 31, Fontana, Kan., pleaded guilty to three counts of distributing child pornography and one count of possessing child pornography. At sentencing, the prosecutor told the court Bresee admitted that federal agents downloaded child pornography from his computer using an online file sharing program. Bresee was a staff member at Lakemary Center in Paola, Kan., working an overnight shift when investigators tracked child pornography to an IP address at the center.
Sentencing is set for March 4. He faces a penalty of not less than five years and not more than 20 years in federal prison and a fine up to $250,000 on the distribution charges, and not more than 10 years and a fine up to $250,000 on the possession count.
McAllister commended Homeland Security Investigations (HSI) and Assistant U.S. Attorney Kim Flannigan for their work on the case.
Fresno Residents Sentenced to Prison for Unlawfully Possessing FirearmsRead the Press Release
FRESNO, Calif. — Devone Johnson, 32, of Fresno, was sentenced today by U.S. District Judge Dale A. Drozd to three years in prison for unlawful possession of a firearm, U.S. Attorney McGregor W. Scott announced. Co-defendant Anthony Thomas, 26, also of Fresno, was sentenced last week to two years and nine months in prison for unlawful possession of a firearm.
According to court documents, on October 9, 2016, Johnson and Thomas possessed an Uzi Model A, 9 mm rifle. On October 30, 2016, Johnson told an associate he had a .45-caliber handgun for sale. When he was arrested at a Fresno residence on November 3, 2016, Johnson was found with three additional firearms and ammunition, including a shotgun and two handguns. Both Thomas and Johnson were prohibited from possessing firearms because of their prior felony convictions.
This case was the product of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Federal Bureau of Investigation, the Fresno Police Department, MAGEC, the California Department of Corrections and Rehabilitation, the Fresno County District Attorney’s Office, the California Department of Justice, and the California Highway Patrol (CHP) Special Operations Unit (SOU). The CHP SOU is a collaborative investigative effort between the California Department of Justice and the CHP that provides statewide enforcement for combating violent career criminals, gangs, and organized crime groups, along with intrastate drug traffickers. The Fresno County Sheriff’s Office, the Clovis Police Department, and Fresno County Probation also assisted in the investigation. Assistant U.S. Attorneys Kimberly A. Sanchez and Christopher D. Baker prosecuted the case.
Project Safe Neighborhoods (PSN) is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Fresno Gamecock Breeder Sentenced to 2 Years in PrisonRead the Press Release
FRESNO, Calif. — Thomas Lee Crow, 49, of Fresno, was sentenced today for aiding and abetting an unlawful animal fighting venture involving a large cockfighting enterprise to two years in prison and a 10-year ban on possessing or owning any animals, U.S. Attorney McGregor W. Scott announced.
After hearing from an animal cruelty expert from the Humane Society, U.S. District Judge Lawrence J. O’Neill stated: “This is nothing short of a case of animal torture. His animals were treated without compassion.” Crow was fined $5,500 in addition to agreeing to the forfeiture of $22,800. Fresno County Sheriff’s Office will receive $6,278 of the forfeited funds to pay for the cost of disposal of the fighting roosters.
Crow’s sentence follows his guilty plea earlier this year. According to court documents, law enforcement officers searched Crow’s rural Fresno residential property last year after he was found at a large cockfighting event in Kerman. Cockfighting is illegal under federal law and in all 50 states. At the cockfight, Fresno County Sheriff’s deputies and detectives recovered 129 fighting roosters, including 28 dead and nine injured roosters. Crow was in possession of $22,800 in cash, along with a scoresheet that tracked the winnings for 144 gamecocks expected to fight that evening. They also found cockfighting equipment, such as knives used for cockfighting called slashers, sheaths, mounting boots, and scales. During the search of Crow’s residence, officers found an additional 200 fighting roosters and items associated with cockfighting, including 293 slashers; injectable stimulants, such as “Pure Aggression,” and scoresheets used for cockfighting derbies. The officers also found personalized leg bands in Crow’s name for sponsoring his birds in cockfighting events.
This case was the product of an investigation by the U.S. Department of Agriculture Office of Inspector General, Fresno County Sheriff’s Office, the Humane Society of the United States, and the Central California SPCA. Assistant U.S. Attorney Karen A. Escobar prosecuted the case.
Former West Virginia Cabinet Secretary Sentenced to Federal Prison for Embezzling Fire Department FundsRead the Press Release
HUNTINGTON, W.Va. – A Hurricane man and former West Virginia Cabinet Secretary was sentenced today to 37 months in federal prison for embezzling $178,790 from the Teays Valley Volunteer Fire Department, as well as a related tax crime, announced United States Attorney Mike Stuart. Clifford Keith Gwinn, 64, formerly the Cabinet Secretary of the West Virginia Department of Veterans Assistance, previously pled guilty in June 2018 to theft from a program receiving federal funds and failure to report and pay over payroll taxes. As part of Gwinn’s sentence, he was also ordered to pay restitution to the Fire Department, and it’s insurer, in the amount of $178,790 and to the Internal Revenue Service in the amount of $68,281. Stuart commended the investigative efforts of the Federal Bureau of Investigation, the Internal Revenue Service Criminal Investigation Division, the Office of Inspector General for the U.S. Department of Homeland Security, and the West Virginia Commission on Special Investigations.
“Unimaginable that anyone, much less a former leader in state government, would steal from a Fire Department that is dependent upon funding to provide vital public safety services,” said United States Attorney Mike Stuart. “We will aggressively prosecute and seek restitution for victim organizations in cases like this one.”
Gwinn admitted that as Vice President and fiscal officer of the Fire Department, he was in charge of the financial affairs of the Fire Department and exercised significant control over the Fire Department’s finances. He admitted that his duties included reporting income and expenditures to the Fire Department, preparing and submitting taxes for the Fire Department, and assisting with applications and reimbursements for federal grants, among other duties. He further admitted that he, without authorization from the Fire Department, opened a Fire Department bank account where only he had signature authority, transferred funds into that account without the knowledge or authorization from the Fire Department, ensured certain health care insurance company reimbursements were deposited into that account, and wrote himself checks and checks to cash out of that account, which he then typically cashed. He admitted that he further instructed the Fire Department’s Treasurer to write him checks from other Fire Department bank accounts and further misrepresented the amount of bank account balances to the Fire Department officers and board members. He also admitted that he structured withdrawals out of the Fire Department’s accounts in a series of transactions below $10,000, to prevent the banks from filing Currency Transaction Reports. While he admitted that he systematically deposited cash into Fire Department bank accounts, his overall withdrawals and payments received significantly overwhelmed the amount of any deposits. He also admitted that he had no authorization to write himself checks or receive and cash checks from the Fire Department, and was not entitled to any compensation.
During the period from 2013 through 2016 that Gwinn embezzled $178,790 in Fire Department funds, the Teays Valley Volunteer Fire Department received grants from the Federal Emergency Management Agency (FEMA), an agency of the United States Department of Homeland Security. These grants allowed the Fire Department to pay firefighters and to purchase and maintain equipment.
Furthermore, Gwinn admitted that that while he was Vice President and fiscal officer for the Fire Department, the Fire Department withheld taxes from its employees’ paychecks, including federal income taxes, Medicare, and social security taxes, together known as payroll taxes. He admitted that he knew that he had the corporate responsibility to collect, truthfully account for, and pay over the Fire Department’s payroll taxes. Gwinn admitted that from October 31, 2015 through April 30, 2017, while Gwinn was a responsible person for payroll taxes, Fire Department failed to account for and pay over approximately $61,421.31 in payroll taxes.
Gwinn further admitted that when he filed his personal income tax returns with the IRS, those returns were false because they failed to account for the funds he had embezzled from the Fire Department. Assistant United States Attorney Meredith George Thomas handled the prosecution. United States District Judge Robert C. Chambers imposed the sentence.
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Former Taft Inmate Found Guilty of Threatening to Assault a Federal JudgeRead the Press Release
FRESNO, Calif. — After a four-day trial, a federal jury found Craig Martin Shults, 48, of New York, guilty on Friday of retaliating against a federal official by threat, U.S. Attorney McGregor W. Scott announced.
According to evidence presented at trial, in 2016 at a federal prison in Taft, California, Shults, then an inmate, made threats to assault a federal judge with the intent to retaliate against the judge for presiding over a prior criminal case involving Shults. He made the threatening communications in retaliation for, among other reasons, being remanded to custody following a bond violation hearing, and being sentenced to a substantially longer prison sentence than Shults requested following Shults’ prior conviction.
This case is the product of an investigation by the Federal Bureau of Investigation with assistance from the U.S. Marshals Service. Assistant U.S. Attorneys Angela L. Scott and Henry Z. Carbajal III are prosecuting the case.
Shults is scheduled to be sentenced by U.S. District Judge Lawrence J. O'Neill on March 11, 2019. Shults faces a maximum statutory penalty of six years in prison and a $250,000 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Former Porter County Officer Sentenced for Wire FraudRead the Press Release
HAMMOND – Lawrence W. LaFlower, 43 years old, of Valparaiso, Indiana, was sentenced before U.S. District Court Judge Philip P. Simon on his plea of guilty to wire fraud, announced U.S. Attorney Kirsch.
US Attorney Kirsch said, "Mr. LaFlower’s immediate guilty plea and sentence reflect the zero tolerance this District has for public officials who abuse their positions for personal financial gain. My Office, with our law enforcement partners, will continue to pursue those who corrupt their office for self-serving motives."
LaFlower was sentenced to 15 months in prison and 2 years of supervised release. The Court also ordered a money judgment forfeiture in the amount of $187,698.52.
According to court documents, between April 2013 and April 2018, LaFlower used his position as the treasurer of the Fraternal Order of Police Ewalt Jahnz Lodge #165’s to embezzle over $180,000 from its investment and bank accounts. The FOP is a fraternal organization in Porter County, Indiana, whose mission is to improve working conditions for law enforcement officers and serve the public by raising money for scholarships and other programs.
This case was investigated by the FBI and Indiana State Police and was prosecuted by Assistant United States Attorney Abizer Zanzi.
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Former New York Bank Branch Manager Pleads Guilty to Multimillion-Dollar Bank Fraud SchemeRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced today that MOSHE BENENFELD, a/k/a “Michael Benenfeld,” pleaded guilty to bank fraud in connection with hundreds of unauthorized transactions that BENENFELD conducted in bank customer accounts while employed by two different New York-area banks. BENENFELD’s bank fraud scheme resulted in losses totaling more than $5 million. BENENFELD pleaded guilty before U.S. District Judge Loretta A. Preska. Sentencing is scheduled for April 17, 2019.
Manhattan U.S. Attorney Geoffrey Berman said: “Moshe Benenfeld, a branch manager for two separate New York banks, admitted today to abusing his position of trust by stealing from the banks’ customers. Benenfeld used his position of access to withdraw and transfer funds from victims’ accounts by falsely authorizing transactions and forging signatures. Today, he has admitted to his crime, which victimized more than 20 individuals and totaled more than five million dollars.”
According to the allegations in the Complaint and the Indictment, to which BENENFELD pleaded guilty:
From 2000 to 2016, BENENFELD was the branch manager at a branch of a New York-area bank (“Bank-1”). Beginning in or about 2004 and continuing into 2016, while employed at Bank-1, BENENFELD conducted hundreds of unauthorized transactions involving the accounts of over 20 bank customers, including the accounts of BENENFELD’s relatives. BENENFELD made unauthorized draws on, and payments to, the customers’ lines of credit; made unauthorized withdrawals from, and deposits to, the customers’ deposit accounts; and used the customers’ deposit accounts as collateral for other customers’ lines of credit without authorization. To effect the unauthorized transactions, BENENFELD, among other things, forged the signatures of bank customers and used a document previously signed by a bank customer to create paperwork that falsely purported to authorize a different transaction. In or about April 2016, after having discovered BENENFELD’s conduct, Bank-1 terminated BENENFELD’s employment. In or about June 2016, BENENFELD was hired by another New York-area bank (“Bank-2”). At Bank-2, BENENFELD continued to conduct unauthorized transactions involving customer accounts. As a result of the unauthorized transactions conducted by BENENFELD, Bank-1 sustained losses of over $5 million.
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BENENFELD, 49, of Brooklyn, New York, pleaded guilty to one count of bank fraud, which carries a maximum sentence of 30 years in prison. The maximum potential sentence is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Mr. Berman praised the investigative work of the U.S. Postal Inspection Service’s New York Division.
The case is being prosecuted by the Office’s Complex Frauds and Cybercrime Unit. Assistant United States Attorney Dina McLeod is in charge of the prosecution.
Former Bank President Sentenced to Prison and Ordered to Pay $137 MillionRead the Press Release
OKLAHOMA CITY – JOHN ARNOLD SHELLEY, 68, of Oklahoma City, has been sentenced to four years in federal prison for making a false statement to the Federal Deposit Insurance Corporation, announced Robert J. Troester of the U.S. Attorney’s Office. He has also been ordered to pay over $137 million in restitution.
Shelley was the President, Chief Executive Officer, Chairman of the Board, and a loan officer at The Bank of Union ("BOU") in El Reno, Oklahoma, from the late 1990s until his resignation on November 30, 2013. In January 2014, state banking regulators closed BOU because of the bank’s loan losses, and the FDIC was appointed as receiver.
On December 13, 2016, a federal grand jury returned a 23-count indictment against Shelley in connection with the failure of the Bank of Union. The counts included bank fraud, money laundering, making false statements to a bank, misapplication of bank funds, false bank entries, wire fraud, and making false statements to the FDIC. According to the indictment, Shelley defrauded BOU in several ways: (1) by issuing loans with insufficient collateral and falsifying financial statements for several high-dollar bank borrowers; (2) by originating nominee loans to circumvent the bank’s legal lending limit; (3) by concealing the bank’s true financial condition from the Board of Directors; (4) by soliciting a fraudulent investment; and (5) by falsely representing the bank’s true status to the FDIC.
According to the indictment, Shelley conspired with certain BOU borrowers from approximately 2009 through November 2013 to defraud BOU by issuing them millions of dollars in BOU loan proceeds secured by collateral that they did not have. Although these borrowers had already accumulated significant debt that they could not repay, Shelley continued to issue them new loans and capitalized accrued interest. At monthly BOU Board meetings, he failed to disclose the true status of these delinquent loan accounts; instead, he advised the Board that the borrowers were continuing to pay down their loans. Shelley also allegedly issued new loans to these borrowers in order to keep them off of BOU’s monthly overdraft reports.
Further, the indictment charged that Shelley executed a scheme to defraud a partial owner and investor in BOU in 2012. According to the indictment, Shelley persuaded the investor to wire $40 million by falsely representing that BOU was growing rapidly and performing well. The indictment alleged that, although Shelley knew that the bank was on the brink of failure and needed an immediate capital infusion to ensure its solvency, he advised the partial owner that his money would not be at risk.
Finally, Shelley was charged with falsely representing the bank’s loan status to the FDIC. Between September 2012 and September 2013, Shelley continued to renew certain unpaid borrower loans by capitalizing unpaid interest. Pursuant to an October 2013 FDIC safety and soundness examination, he allegedly falsely represented that he had not renewed or extended any loans without full collection of the interest due between September 2012 and September 2013.
On September 18, 2017, Shelley pleaded guilty to making a false statement to the FDIC on July 30, 2013, when he falsely represented in writing that the bank had total equity capital of $36,290,000, when he knew the bank’s equity capital was significantly less. This offense carries a penalty of up to 30 years in prison and a fine of up to $1,000,000.
On December 14, 2018, after two days of testimony about Shelley’s conduct, U.S. District Judge Timothy D. DeGiusti sentenced Shelley to four years in prison. He found that Shelley’s crime involved more than $85 million in losses for purposes of federal sentencing law. He imposed a sentence well below the advisory imprisonment range applicable under the U.S. Sentencing Guidelines because of Shelley’s health, personal history, and other factors. After release from prison, Shelley will serve two years on supervised release.
The sentence requires Shelley to pay $137,384,291 in restitution. The partial owner who wired money for the bank’s benefit in late 2012 is due $40 million of the restitution amount. Shelley owes the remaining $97,384,291 to the FDIC, which lost money when it assumed the bank’s liabilities in January 2014.
This case is the result of an investigation by the Federal Deposit Insurance Corporation–Office of Inspector General and the Federal Bureau of Investigation’s Oklahoma City Division. It was prosecuted by Assistant U.S. Attorneys Julia E. Barry, William E. Farrior, and Scott E. Williams.
Reference is made to public filings for further information.
Former Bank of America Employee Pleads Guilty for His Role in Drug Conspiracy Linked to A Mexican Drug CartelRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y.-U.S. Attorney James P. Kennedy, Jr. announced today that Presiliano Garcia, 33, pleaded guilty before U.S. District Judge Elizabeth A. Wolford to misprision of a felony. The charges carries a maximum penalty of three years in prison and a $250,000 fine.
Assistant U.S. Attorney Michael J. Adler, who is handling the case, stated between 2012 and March, 2016, the defendant, a personal banker at Bank of America, opened approximately 36 bank accounts that were utilized by co-defendants Jose Manuel Lua-Guizar, Gerardo Ballardo, Enrique Munoz, Max Riestra, Bryant Hudson, and others, to structure deposits to funnel money from places around the United States, including Buffalo, to accounts based in California. A total of $8,359,223, composed of approximately 1,092 cash-in deposits, mostly structured between $8,000 and $9,990 and made in 15 different states, were funneled into these accounts opened by Garcia.
Approximately 205 suspect customers were identified by Bank of America as potentially linked to the defendant. Many of the suspect customers had similar naming conventions or even the same name with slight variations in spelling, last name orientation, date of birth, social security number, or domicile. Garcia knew that a structuring felony was being committed by these individuals but did not file any suspicious activity reports relating to these transactions or notify federal law enforcement of the structuring activity in order to conceal the activities of the co-defendants.
Garcia is one of seven defendants allegedly involved in an illegal narcotics operation stretching from Sinaloa, Mexico to Western New York. Law enforcement officers began investigating a sophisticated drug trafficking organization with ties to a Mexican drug cartel operating out of Los Angeles, California area in 2014. The organization shipped drug packages to various states including New York, New Jersey, Illinois, and Colorado.
To date, five of the seven defendants have been convicted in this case. Defendants Max Riestra and Gerardo Ballardo are scheduled to go to trial on January 22, 2019. The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
Today’s plea is the culmination of an investigation on the part of the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Raymond P. Donovan, New York Field Division; Homeland Security Investigations, under the direction of Special Agent in Charge Kevin Kelly; and the Internal Revenue Service, Criminal Investigation Division, under the direction of James D. Robnett, Special Agent- in-Charge, New York Field Office. Additional assistance was provided by ICE-HSI in Los Angeles, California and Bank of America.
Sentencing is scheduled for April 3, 2019, before Judge Wolford.
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Florida Man Pleads Guilty in $28 Million Solar Farm Ponzi SchemeRead the Press Release
NASHVILLE, Tenn.- December 17, 2018 – Christopher B. Warren, 50, of Anthony, Florida pleaded guilty Friday to one count of mail fraud and one count of securities fraud for operating a $28 million Ponzi scheme, announced U.S. Attorney Don Cochran for the Middle District of Tennessee.
Warren was the founder and chief investment officer of Clean Energy Advisors (CEA), a company registered in Wyoming with offices in Nashville, Florida, and other locations.
Warren admitted Friday in U.S. District Court, that CEA recruited sixty investors for its private investment funds: Utility Solar IV and Utility Income Fund. To attract investors, Warren claimed that CEA owned working solar farms throughout the state of North Carolina. Warren further claimed that Duke Power agreed to purchase the energy produced by CEA’s farms and that he would use the revenue to pay dividends to investors. To hide the fraud, Warren created phone audited financial statements and made regular Ponzi payments to select investors. As the scheme was uncovered, Warren told investors he would repay the principal investments pending the imminent sale of the company to a foreign purchaser. Warren admitted that no sale ever occurred or would materialize. To date, at least $15 million is still owed to investors.
Warren faces a maximum sentence of 20 years in prison, a maximum fine of $5,000,000 and three years of supervised release, when he is sentenced on March 8, 2019.
This case was investigated by the Federal Bureau of Investigation. Assistant U.S. Attorney Stephanie N. Toussaint is prosecuting the case.
Florida Department of Corrections Officer Charged with Conspiring to Commit Civil Rights Violations and Making False StatementsRead the Press Release
The Justice Department today announced that a federal grand jury in Miami indicted Florida Department of Corrections officer, Terrance Reynolds, 28, for conspiring with former sergeant Brendan Butler to physically assault and intimidate youthful offenders for conduct perceived by the officers as disruptive or disrespectful. The announcement was made by U.S. Attorney Ariana Fajardo Orshan of the Southern District of Florida, Assistant Attorney General Eric Dreiband of the Justice Department’s Civil Rights Division, Special Agent in Charge George L. Piro of the FBI’s Miami Field Office, and Lester Fernandez, Inspector General - Florida Department of Correction (FDC).
According to the indictment, on March 27, 2017, Reynolds and Butler instructed three inmates to exit their housing unit and took them into a mop closet. Each of these inmates had been classified as youthful offenders requiring that they be separated from the general population for their own protection. Once inside the mop closet, it is alleged that Reynolds and Butler assaulted one of the inmates with a stick and their fists, causing him bodily injury, while the other two inmates stood nearby. The indictment states that the following day, Reynolds and Butler assaulted one of the other inmates to punish him for talking about the previous day’s assault and for being disrespectful. Both of these assaults caused bodily injury to the victims. Reynolds is also charged with making false statements to the FBI about his whereabouts on the dates of the assaults.
Inmates are classified as youthful offenders by a court or the Department of Corrections if they meet certain criteria and are 24 years old or younger.
Brendan Butler pleaded guilty on May 18 to conspiracy to commit civil rights violations. He was sentenced to 24 months in prison on Aug. 23. Reynolds faces five counts in the indictment with a statutory maximum sentence of 40 years in prison.
An indictment is merely an allegation and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
This case is being investigated by the FBI Miami Area Corruption Task Force and the FDC’s Office of the Inspector General. It is being prosecuted by Assistant U.S. Attorney Robert Senior of the Southern District of Florida and Trial Attorney Samantha Trepel of the Civil Rights Division.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov.
Florida Department of Corrections Officer Charged with Conspiring to Commit Civil Rights Violations and Making False StatementsRead the Press Release
The Justice Department today announced that a federal grand jury in Miami indicted Florida Department of Corrections officer, Terrance Reynolds, 28, for conspiring with former sergeant Brendan Butler to physically assault and intimidate youthful offenders for conduct perceived by the officers as disruptive or disrespectful. The announcement was made by Assistant Attorney General Eric Dreiband of the Justice Department’s Civil Rights Division, U.S. Attorney Ariana Fajardo Orshan of the Southern District of Florida, Special Agent in Charge George L. Piro of the FBI’s Miami Field Office, and Lester Fernandez, Inspector General - Florida Department of Correction (FDC).
According to the indictment, on March 27, 2017, Reynolds and Butler instructed three inmates to exit their housing unit and took them into a mop closet. Each of these inmates had been classified as youthful offenders requiring that they be separated from the general population for their own protection. Once inside the mop closet, it is alleged that Reynolds and Butler assaulted one of the inmates with a stick and their fists, causing him bodily injury, while the other two inmates stood nearby. The indictment states that the following day, Reynolds and Butler assaulted one of the other inmates to punish him for talking about the previous day’s assault and for being disrespectful. Both of these assaults caused bodily injury to the victims. Reynolds is also charged with making false statements to the FBI about his whereabouts on the dates of the assaults.
Inmates are classified as youthful offenders by a court or the Department of Corrections if they meet certain criteria and are 24 years old or younger.
Brendan Butler pleaded guilty on May 18 to conspiracy to commit civil rights violations. He was sentenced to 24 months in prison on Aug. 23. Reynolds faces five counts in the indictment with a statutory maximum sentence of 40 years in prison.
An indictment is merely an allegation and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
This case is being investigated by the FBI Miami Area Corruption Task Force and the FDC’s Office of the Inspector General. It is being prosecuted by Assistant U.S. Attorney Robert Senior of the Southern District of Florida and Trial Attorney Samantha Trepel of the Civil Rights Division.
Five Defendants Plead Guilty in Connection with Cocaine and Heroin Ring in BuffaloRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y.-U.S. Attorney James P. Kennedy, Jr. announced today that five defendants pleaded guilty before U.S. District Judge Elizabeth A. Wolford in connection with a cocaine and heroin trafficking ring on the West Side of Buffalo. Entering guilty pleas:
• Defendants Gonzalo Velazquez Cabrera and Orlando Lanzo-Manso both pleaded guilty to discharge of a firearm in furtherance of drug trafficking. Cabrera also pleaded guilty to conspiracy to possess with intent to distribute 500 grams or more of cocaine. The charges carry a mandatory minimum penalty of 10 years in prison, a maximum of life, and a $250,000 fine.
• Raul Ortiz and Josue Diaz Rodriguez pleaded guilty to possession with intent to distribute heroin, which carries a maximum penalty of 20 years in prison and a $1,000,000 fine.
• Eunhe Choi pleaded guilty to possession of marijuana, which carries a maximum penalty of one year in prison and a $100,000 fine.Assistant U.S. Attorney Seth T. Molisani, who is handling the case, stated that between March 2015 and December 2015, defendant Gonzalo Velazquez Cabrera was the leader and conspired with Orlando Lanzo-Manso, Raul Ortiz, and Josue Diaz Rodriguez, to sell cocaine in Buffalo, mainly on the west side. Velazquez Cabrera purchased and distributed approximately 125 grams of cocaine every week, beginning in the summer of 2015 and continuing until December of 2015. The defendant obtained, stored, and distributed cocaine at his residence on West Delavan Avenue in Buffalo. The defendant supplied co-defendants Lanzo-Manso, Diaz Rodriguez, and Raul Ortiz with cocaine so they could conduct street-level narcotics sales. The defendant also personally engaged in the daily sale of varying quantities of cocaine both at his residence and on the streets.
In August of 2015, Velazquez Cabrera became embroiled in a feud with a rival drug dealer who also operated on the west side of Buffalo. Following verbal arguments that centered on the defendant’s encroachment into the drug dealing territory of his rival, Velazquez Cabrera escalated the conflict to violence. On August 27, 2015, the defendant, accompanied in his vehicle by co-defendant Lanzo-Manso, pulled up alongside a vehicle occupied by the rival drug dealer at which time Lanzo-Manso fired the gun at the rival drug dealer. The rival drug dealer fired back. Velazquez Cabrera and the rival drug dealer sped off in their vehicles. In a text message exchange that followed between the defendant and the rival drug dealer, Velazquez Cabrera declared the rival drug dealer was a dead man.
Defendant Choi was the girlfriend of Velazquez Cabrera and resided with him on West Delavan Avenue in Buffalo. Choi knew that Velazquez Cabrera was engaged in trafficking narcotics. She also possessed marijuana.
Today’s plea is the culmination of an investigation by the Federal Bureau of Investigation, Safe Streets Task Force, under the direction of Special Agent-in-Charge Gary Loeffert.
Josue Diaz Rodriguez is scheduled to be sentenced on March 29, 2019; Eunhe Choi on April 4, 2019, Orlando Lanzo-Manso and Raul Ortiz on April 5, 2019, and sentencing for Gonzalo Velazquez Cabrera will be scheduled at a later date.
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First GBK Gang Member Pleads Guilty to Conspiring to Distribute Crack CocaineRead the Press Release
PITTSBURGH - A resident of Pittsburgh, PA, pleaded guilty in federal court to a charge of conspiracy to distribute a quantity of crack cocaine, United States Attorney Scott W. Brady announced today.
Bryan Smith, age 24, pleaded guilty to one count before Senior United States District Judge Arthur J. Schwab.
In connection with the guilty plea, the court was advised that in 2017, the Federal Bureau of Investigation and the Drug Enforcement Administration initiated a wiretap investigation, primarily targeting the GBK street gang and drug trafficking in and around the Mountainview and Crafton Heights apartment complexes, known as the Greenway Projects, located in the West End of the City of Pittsburgh. The wiretap investigation revealed that from in and around November 2017 through in and around June 2018, Bryan Smith and his co-conspirators distributed crack cocaine in and around the area of the Greenway Projects. Smith is the first GBK gang member to plead guilty in Operation Gang Green.
Judge Schwab scheduled sentencing for May 28, 2019 at 9 a.m. The law provides for a total sentence of 30 years in prison, a fine of $2,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history of the defendant.
Pending sentencing, the court continued the defendant’s detention.
Assistant United States Attorneys Tonya Sulia Goodman and Rachael Dizard are prosecuting this case on behalf of the government.
The Federal Bureau of Investigation and the Drug Enforcement Administration jointly led the multi-agency investigation, which also included the Pittsburgh Bureau of Police, Allegheny County Sheriff’s Office, Pennsylvania State Police, Robinson Township Police Department, Stowe Township Police Department, Pennsylvania Attorney General’s Office, Wilkinsburg Borough Police Department, and the McKees Rocks Police Department, that led to the prosecution of Bryan Smith.
The investigation was funded by the federal Organized Crime Drug Enforcement Task Force Program (OCDETF). The OCDETF program supplies critical federal funding and coordination that allows federal and state agencies to work together to successfully identify, investigate, and prosecute major interstate and international drug trafficking organizations and other criminal enterprises.
Felon Sentenced to 40 Months for Possessing FirearmRead the Press Release
MADISON, WIS. – Scott C. Blader, United States Attorney for the Western District of Wisconsin, announced that Demarko D. Richmond, 21, Madison, Wisconsin, was sentenced today by U.S. District Judge William M. Conley to 40 months in federal prison for possessing a firearm as a convicted felon. Richmond pleaded guilty to this charge on September 7, 2018. His prison term will be followed by a three-year period of supervised release.
On July 23, 2018, the Dane County Narcotics Task Force and the Madison Police Department were attempting to locate individuals believed to be involved in recent shootings in the area. Officers observed Richmond exiting an apartment building with a person of interest. When officers approached, Richmond and his friend fled from the officers. Richmond was eventually arrested and was found to have possessed and discarded a stolen, loaded firearm, with a high capacity magazine.
Richmond is prohibited from possessing firearms because of a 2017 felony conviction for fleeing/eluding an officer. In choosing a 40-month sentence, Judge Conley noted that Richmond is an angry individual, with a history of domestic violence.
This case has been brought as part of Project Safe Neighborhoods (PSN), the U.S. Justice Department’s program to reduce violent crime. The PSN approach involves collaboration by federal, state and local law enforcement agencies, prosecutors and communities to prevent and deter gun violence.
The charge against Richmond was the result of an investigation conducted by the Dane County Narcotics Task Force and the Madison Police Department, Violent Crime Unit. The prosecution of the case has been handled by Assistant U.S. Attorney Rita M. Rumbelow.
Federal Grand Jury IndictmentsRead the Press Release
Columbia, South Carolina----United States Attorney Sherri A. Lydon announced today that Federal Grand Juries have returned Indictments against the following:
Charleston Area Men Face Federal Charges for Armored Car Robbery. Rashad Dingle of North Charleston, South Carolina, and Robert Lee Brown, II, of West Ashley, South Carolina, were charged in a 5-count indictment arising out of the April 10, 2018, robbery of an armored car driver. Among other charges, the indictment alleges a robbery affecting interstate commerce and possession of a firearm in furtherance of a crime of violence. Dingle is also charged with being a felon in possession of ammunition. Both men face a maximum penalty of up to life in federal prison. The case was investigated by the Federal Bureau of Investigation and Dorchester County Sheriff's Office and is assigned to Assistant United States Attorney Chris Schoen of the Charleston office for prosecution.
Seabrook Island Man Indicted in $2M Fraud. Todd Vannatta, 42, of Seabrook Island, South Carolina, was charged in a 10-count superseding indictment. The indictment charges nine counts of wire fraud, with each count punishable by up to 20 years in federal prison. Count Ten charges False Statement and is punishable by up to five years in federal prison. The indictment alleges that Vannatta used several businesses to steal approximately $2,000,000.00 from multiple investors. The charges are the result of an investigation conducted by the Federal Bureau of Investigations. Assistant United States Attorneys Nathan Williams and Rhett DeHart of the Charleston office are prosecuting the case.
Illegal Aliens Indicted for Illegal Re-Entry. Marcelo Diaz-Cordero, 34; Melchor Gonzalez-Gutierrez, 33; Juan Carlos Hernandez-Renteria, 34; Jorge Ramos-Luna, 31; and Sofronio Cruz-Aragon, 35, are each charged in separate Indictments with illegal re-entry to the United States. Each faces a maximum penalty of up to 20 years in federal prison, depending on his record. The cases were investigated by agents of the ICE-Enforcement and Removal Operations and are being prosecuted by Assistant United States Attorney Max Cauthen of the Greenville Office.
Three Spartanburg Residents Indicted on Conspiracy to Rip Off Housing Programs Designed to Help the Poor and Underprivileged. Tommy E. Quick, 69; Isaac T. Quick, 29; and John E. Bagwell, Jr., 78, all of Spartanburg, South Carolina, were charged in a one-count Indictment with conspiracy. The defendants face a maximum penalty of up to five years in federal prison. The case was investigated by agents of the Federal Housing Finance Agency, Office of the Inspector General, and is assigned to Assistant United States Attorney William J. Watkins, Jr., of the Greenville office for prosecution.
Operators of Balanced Solutions Indicted for Scamming Patients Involving Scar Cream. Kristopher M. Oakes, 46, of Greenville, South Carolina; Christy L. Oakes, 47, of Greenville, South Carolina; Gerald S. Lemarr, 72, of Dandridge, Tennessee; Melissa G. Barbour, 57, of Travelers Rest, South Carolina; Erskine C. Carpenter, 21, of Taylors, South Carolina; Austin B. Cathcart, 28, of Greenville, South Carolina; and Deborah R. Cathcart, 58, of Greer, South Carolina, were charged in a one-count Indictment with attempt and conspiracy. The defendants face a maximum penalty of 20 years in federal prison. The case was investigated by agents of the Federal Bureau of Investigation and is assigned to Assistant United States Attorney William J. Watkins, Jr., of the Greenville office for prosecution.
Enoree Resident Indicted for Child Pornography Possession and Sexually Explicit Conduct. Jeremey A. Bennett, 27, of Enoree, South Carolina, was charged in a two-count Indictment with possession of child pornography and sexual exploitation of children. Bennett faces of maximum penalty of 30 years in federal prison. The case was investigated by U.S. Immigration and Customs Enforcement (ICE) Homeland Security Investigations (HSI) agents and is assigned to Assistant United States Attorney William J. Watkins, Jr., of the Greenville office for prosecution.
This case is being brought as part of Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorney’s Offices, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as identify and rescue victims. For more information, please visit www.projectsafechildhood.gov.
Simpsonville Resident Indicted on Embezzlement from Social Security Administration. Melissa Thames, 48, of Simpsonville, South Carolina, was charged in a one-count indictment with embezzlement. The maximum penalty Thames could receive is 10 years in federal prison. The case was investigated by agents of the Social Security Administration, Office of the Inspector General and is assigned to Assistant United States Attorney William J. Watkins, Jr., of the Greenville office for prosecution.
The United States Attorney stated that all charges in these indictments are merely accusations and that all defendants are presumed innocent until and unless proven guilty.
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Dunbar Man with Two Prior Domestic Violence Convictions Pleads Guilty to Federal Firearms ChargeRead the Press Release
CHARLESTON, W.Va. -- A Dunbar, West Virginia man pled guilty to a federal firearms charge, announced United States Attorney Mike Stuart. Brian M. Oliver, 22, entered a guilty plea today to being a prohibited person in possession of a firearm. Mr. Oliver faces up to 10 years in prison when he is sentenced on March 13, 2019. Stuart praised the work of the Dunbar Police Department and the Bureau of Alcohol, Tobacco, and Firearms Enforcement (ATF).
“Persons with domestic violence convictions are prohibited from possessing firearms,” said United States Attorney Mike Stuart. “Why? Because they have proven to be violent. We are laser focused on removing violent offenders from our communities, and prosecuting prohibited persons in possession of guns is a key part of our crime reduction strategy.”
On April 29, 2018, officers with the Dunbar Police Department stopped a truck for an infraction. Oliver was a passenger in the truck. During the course of the traffic stop, Oliver admitted that he had a firearm on his person. Dunbar officers subsequently patted down Oliver and recovered an Iver Johnson .22 caliber pistol in his front pants pocket. Record checks revealed Oliver had been convicted of the misdemeanor offense of Domestic Battery in Kanawha County Magistrate Court in January 2017, and also of Second Offense Domestic Battery in March 2017. These domestic violence convictions resulted in Oliver being prohibited from carrying a firearm. Oliver admitted to the police officers that he possessed the firearm and was not supposed to do so. The ATF traced the gun, revealing that it had traveled in interstate commerce.
Assistant United States Attorney Erik S. Goes is handling the prosecution. The hearing was held before United States District Judge Joseph R. Goodwin.
Project Safe Neighborhoods (PSN) is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
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District Man Sentenced to Seven-Year Prison Term for 2003 Sexual Assault of Woman in Southwest WashingtonRead the Press Release
WASHINGTON – James Richardson, 38, of Washington, D.C., was sentenced today to seven years in prison for sexually assaulting a 22-year-old woman in September 2003, announced U.S. Attorney Jessie K. Liu and Peter Newsham, Chief of the Metropolitan Police Department (MPD).
Richardson pled guilty in October 2018, in the Superior Court of the District of Columbia, to one count of attempted first-degree sexual abuse. The plea, which was contingent upon the Court’s approval, called for an agreed-upon seven-year prison term. Richardson also will be required to register as a sex offender for life and serve a 10-year term of supervised release. The Honorable Milton C. Lee accepted the plea and sentenced Richardson accordingly.
According to the government’s evidence, on Sept. 21, 2003, at approximately 8:20 p.m., Richardson engaged the victim in conversation, offered to walk her home, and then walked her down the 4600 block of Blue Plains Drive SW. He then pulled her into a wooded area, brandished a knife, and raped her at knifepoint. The victim screamed for help and tried to run, but was unsuccessful. When the assault was over, Richardson threatened to kill the victim if she reported the assault. He again offered to walk the victim home, but she told him to leave her alone and ran back to her residence.
The victim made an immediate report to police, and was transported to an area hospital, where she received a Sexual Assault Nurse Examination.
Richardson was developed as a suspect in this offense by MPD’s Cold Case Sexual Assault Unit in September 2018. On Sept. 18, 2018, a D.C. Superior Court judge signed a complaint and warrant authorizing Richardson’s arrest. The warrant was executed on Sept. 19, 2018, two days before the statute of limitations would have run on this case. Richardson has been in custody ever since.
When detectives discovered this case in September 2018, the investigation revealed that Richardson had been convicted of two prior sexual assaults, one that occurred in 2000 in Baltimore, and one that occurred in 2003 in the District of Columbia.
In announcing the sentence, U.S. Attorney Liu and Chief Newsham commended the work of the detectives of the Metropolitan Police Department’s Cold Case Sexual Assault Unit and officers from the Seventh District, as well as the Deputy Marshals from the U.S. Marshals Service. They also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Victim/Witness Advocate Tracey Hawkins, and Paralegal Specialist Tameka Garcia.
Finally, they expressed appreciation for the work of Assistant U.S. Attorneys Amy Zubrensky and Jennifer Loeb, who investigated and prosecuted the case.
Detroit Man Pleads Guilty to Distribution of FentanylRead the Press Release
HUNTINGTON, W.Va. -- A Detroit, Michigan man pled guilty today to a federal drug charge, announced United States Attorney Mike Stuart. Joshua McCarver, 20, entered a guilty plea today to knowingly and intentionally distributing fentanyl in federal court in Huntington.
“Our partnership with the Huntington Police Department is critical to our efforts in Operation Synthetic Opioid Surge (S.O.S.),” said United States Attorney Mike Stuart. “We anticipate prosecuting a significant number of fentanyl dealers over the next several months. Perhaps these out-of-state fentanyl dealers will take notice and curtail their travel into West Virginia.”
On February 19, 2018, officers with the Huntington Police Department’s Special Emphasis Unit utilized a confidential informant to arrange a controlled buy of heroin from McCarver. McCarver arrived at the buy location in the West End of Huntington and provided the confidential informant with a substance he represented to be heroin in exchange for $70. Testing by the West Virginia State Police Lab confirmed the substance to actually be fentanyl.
McCarver faces up to 20 years when he is sentenced on March 25, 2019.
Assistant United States Attorney Monica D. Coleman is handling the prosecution. The plea hearing was held before United States District Judge Robert C. Chambers.
Fentanyl is a powerful, synthetic narcotic that works on the brain like other opioids, such as morphine or heroin, but is 50 to 100 times more potent, and can easily cause an overdose. In 2016, the latest year for which numbers are available, fentanyl surpassed heroin as the deadliest drug in the United States, taking more than 18,000, according to the National Center for Health Statistics, part of the U.S. Centers for Disease Control and Prevention.
This case is being prosecuted as part of Operation Synthetic Opioid Surge (S.O.S.), an enforcement surge that seeks to reduce the supply of deadly synthetic opioids in high impact areas.
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Columbia Man Pleads Guilty to Federal Drug and Firearm ChargesRead the Press Release
Columbia, South Carolina ---- United States Attorney Sherri A. Lydon announced today that Reggie Denard Goodwin, age 47, of Columbia, South Carolina, pled guilty in federal court to possession with intent to distribute cocaine and crack cocaine and to being a felon in possession of a firearm and ammunition.
Evidence presented in court established that on March 13, 2018, deputies with the Richland County Sheriff’s Department stopped Goodwin’s vehicle after observing a traffic violation. When deputies approached the vehicle, they observed Goodwin, a female, and a small child in the vehicle. Deputies smelled marijuana and asked Goodwin, the driver, to exit the vehicle. Goodwin actively resisted arrest, struck the officer’s arm, and tried to flee.
A loaded .380 caliber handgun, which was later determined to be stolen, was found in Goodwin’s pocket. Inside the car, deputies located a digital scale and baggies of cocaine, crack cocaine, and marijuana. After waiving his rights, Goodwin admitted that he tried to run because he had drugs and a gun. Goodwin was arrested on state charges and released on state bond.
While out on state bond from the March 2018 drug and gun offenses, Goodwin was involved in a high-speed chase on June 1, 2018, after Richland County Sheriff’s Department deputies attempted to stop his truck for a traffic violation. The chase ensued through highly-populated areas of Columbia, including Devine Street and Garners Ferry Road. During the chase, a deputy observed Goodwin throwing baggies out of his truck. Goodwin lost control and wrecked his truck as he crossed into on-coming traffic over a raised median at the on-ramp to I-77. Goodwin exited the truck with a handgun in his hands, which he tossed into the brush when he attempted to flee. Goodwin resisted arrest and struggled with deputies, breaking one deputy’s eyeglasses. Deputies were able to locate the loaded .38 caliber firearm in the brush where Goodwin tossed it. Goodwin was arrested on state charges and released on state bond. Thereafter, a federal complaint and arrest warrant were issued. Goodwin was arrested on federal drug and gun charges and remains in custody.
Goodwin is prohibited under federal law from possessing firearms and ammunition based upon prior state convictions for possession of cocaine and possession of crack cocaine (1990); burglary 2nd degree (1990); grand larceny (1991); receiving stolen goods (1994); forgery (1996); burglary 2nd degree/strong arm robbery, possession of crack cocaine, and grand larceny (1996); burglary 2nd degree and grand larceny (1996); possession with intent to distribute marijuana (2006); and possession of crack cocaine (2006).
Goodwin faces a maximum penalty of 30 years in federal prison, a fine of $2,000,000, and 6 years of court-ordered supervision on the drug charge. On the firearm charge, Goodwin faces a maximum of 10 years imprisonment, a fine of $250,000, and 3 years of court-ordered supervision.
Senior United States District Judge Joseph F. Anderson, Jr., of Columbia accepted the guilty plea and will impose sentence after he has received and reviewed the presentence report, which will be prepared by the United States Probation Office. Assistant United States Attorney Stacey D. Haynes of the Columbia office is prosecuting the case.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) and the Richland County Sheriff’s Department. It was prosecuted as part of the joint federal, state, and local Project CeaseFire initiative, which aggressively prosecutes firearm cases. Project CeaseFire is South Carolina’s implementation of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
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Colonia, New Jersey, Man Charged with Distributing Images of Child Sexual AbuseRead the Press Release
NEWARK, N.J. – A Colonia, New Jersey, man was arrested in his home today on charges that he distributed images of child sexual abuse, U.S. Attorney Craig Carpenito announced.
James A. Gabany, 36, is charged by complaint with one count of distributing child pornography. He made his initial appearance today before U.S. Magistrate Court Judge Steven C. Mannion in Newark federal court. He was released to a third-party custodian with home detention and electronic monitoring.
According to documents filed in this case and statements made in court:
Gabany used peer-to-peer file sharing on his computer to distribute files containing images and videos of child sexual abuse, including images of prepubescent children.
The charge of distributing child pornography carries a mandatory minimum sentence of five years in prison, a maximum potential penalty of 20 years in prison, and a $250,000 fine.
U.S. Attorney Craig Carpenito credited special agents of Department of Homeland Security, Homeland Security Investigations, under the direction of Special Agent in Charge Brian Michael, with the investigation leading to today’s charges and arrest.
The government is represented by Assistant U.S. Attorney Sophie Reiter of the U.S. Attorney’s Office Criminal Division in Newark.
The charge and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Chicago Man Sentenced to Six and a Half Years for Illegally Selling More Than a Dozen FirearmsRead the Press Release
CHICAGO — A convicted felon from Chicago has been sentenced to six and a half years in federal prison for illegally selling more than a dozen handguns and rifles.
JYMIL CAMPBELL, 31, sold ten handguns, three rifles, and four large-capacity magazines during a nine-month period that ended with his arrest in the summer of 2016. The sales netted Campbell a total of $8,700 in cash. Unbeknownst to Campbell, the two buyers were confidential informants working on behalf of law enforcement. They provided the guns to law enforcement after each sale.
Campbell pleaded guilty earlier this year to one count of willfully dealing firearms without a license and one count of illegal possession of a firearm by a convicted felon. U.S. District Judge Robert W. Gettleman imposed the 78-month sentence on Dec. 12, 2018, in federal court in Chicago.
The sentence was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; and Celinez Nunez, Special Agent-in-Charge of the Chicago Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives.
“No illegal sales of any firearms – especially in this time and place – should be accepted, let alone 13,” Assistant U.S. Attorney Devlin N. Su argued in the government’s sentencing memorandum. “Chicagoans are extremely fortunate that the buyers of the weapons turned out to be working for law enforcement, because any willingness to inject guns onto the streets fuels the violence.”
Campbell acknowledged in a plea agreement that he could not legally possess or deal firearms because he had previously been convicted of two felonies – home invasion and armed robbery – and he lacked a federal firearms license.
Most of the gun sales occurred in Campbell’s residence in the North Lawndale neighborhood of Chicago. According to the plea agreement, one of the buyers put Campbell on notice that the firearms would be used in illegal gun violence. Campbell nonetheless made the sale. Campbell also admitted telling the buyer that although Campbell had personally fired one of the rifles, the firearm was essentially “brand new” and had not yet been “shot shot, like in a war.”
Broward County Resident Convicted by Trial Jury of Participating in a Two Million Dollar Securities Fraud Conspiracy Scheme that Targeted the ElderlyRead the Press Release
On December 13, 2018, a Broward County resident was convicted by a federal jury of one count of conspiracy to commit mail and wire fraud and four counts of mail fraud, in connection with a scheme to fraudulently raise $2 million from over a dozen elderly victims throughout the United States.
Ariana Fajardo Orshan, U.S. Attorney for the Southern District of Florida, George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, and Pamela Epting, Interim Commissioner, Florida Office of Financial Regulation (OFR), made the announcement.
Thomas Michael White, 60, of Parkland, Florida, was convicted by a federal jury after a two week trial before U.S. District Judge Beth Bloom in Miami (Case No. 18-60174-CR-Bloom). White faces a maximum statutory sentence of twenty years in prison for the mail and wire fraud conspiracy count, twenty years in prison for each mail fraud count, and a fine up to $250,000 or double the proceeds as to each count of conviction. White is scheduled to be sentenced by Judge Bloom on February 26, 2019.
According to the court record, including evidence introduced at trial, White was President and CEO of First Call Ventures, LLC, the parent company of First Call Movers & Transport of Florida, LLC, a moving company that also brokered customer moves for other companies. From November 2011 through mid-2014, White ran the Broward-based moving business’ call center that booked moves throughout the Southeast. He also oversaw a "phone room" out of his corporate offices to raise money from investors. During telephone calls, White and his co-conspirators used false statements, manipulation, and high-pressure tactics to target elderly investors (victims) and their retirement money. The victims included retired teachers, farmers, small business owners, and homemakers, from across the United States. When his targets did not have available funds to invest, White tricked them into converting their Individual Retirement Account ("IRA") money and transferring the funds to his corporate bank account. White promised his investors that their money was safe and secure, would be returned after a year, and yield high-value interest payments to be paid on a monthly basis. White and his co-conspirators provided written and oral "Investor Reports" that falsely conveyed security and profitability of the First Call Ventures moving business. As a result, White and his conspirators were given a total of more than $2 million from over a dozen senior citizens.
In truth and fact, White and his partners used the investors’ money for themselves, including millions in cash and bank check payments. Bank records also demonstrated that over the course of the fraud scheme, White withdrew over $130,000 in investor proceeds at the Seminole Coconut Creek casino. White and his partners siphoned all profits and victim money to their own personal accounts, declared a $1.8 million "loss," and shuttered the business. As a result of the fraudulent scheme, some of the senior citizens are now living on food stamps, lost their homes, or were forced to take on odd jobs for income.
Four other individuals tied to this case and a related indictment previously pled guilty. White's co-defendants, John Kevin Reech, 56, of Delray Beach, Florida, and Joseph Mario Genzone, 53, of Boca Raton, Florida, previously pled guilty. Genzone and Reech were also recently charged by Information for operating a separate offering fraud (Case No. 18-80193-CR-Bloom). Reech pled guilty in both matters and was sentenced to a concurrent term of 51 months in prison. Genzone also pled guilty and is scheduled to be sentenced by Judge Bloom on December 21, 2018, in both cases. Daniel Joseph Touizer, 44, of Aventura, Florida was sentenced to 68 month in prison for leading a similar fraud scheme linked to White and Reech’s criminal conduct (Case No. 17-60286-CR-Bloom). Saul Daniel Suster, 66, of Sunny Isles Beach, Florida, a phone room worker of Touizer's, was sentenced to 30 months in prison.
U.S. Attorney Fajardo Orshan commended the investigative efforts of the FBI and Florida Office of Financial Regulation in this matter. This case is being prosecuted by Assistant U.S. Attorney Roger Cruz.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov.
Broward County Resident Charged with Distributing Information Pertaining to Explosives OnlineRead the Press Release
A Broward County resident was arrested and charged with distributing information pertaining to explosives over the internet.
Ariana Fajardo Orshan, U.S. Attorney for the Southern District of Florida and George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office made the announcement.
Tayyab Tahir Ismail, 33, of Pembroke Pines, Florida, was charged by criminal complaint with distributing information pertaining to explosives, destructive devices, and weapons of mass destruction, in violation of Title 18, United States Code, Section 842(p)(2) (Case No. 18-mj-06588). He had his initial appearance in front of U.S. Magistrate Judge Barry S. Seltzer this morning. A detention hearing is scheduled before U.S. Magistrate Judge Seltzer, in Fort Lauderdale, on Wednesday, December 26, 2018 at 10:00 a.m.
According to allegations contained within the criminal complaint, on or about July 15, 2018, through on or about September 17, 2018, Ismail posted and distributed online documents including, but not limited to, documents containing step-by-step instructions on how to construct a bomb and other explosives, with the intent that the information be used for and in furtherance of an activity that constitutes a Federal crime of violence.
If convicted, Ismail faces a maximum statutory sentence of twenty years in prison on each count of unlawfully distributing information. In addition, Ismail faces up to three years of supervised release and up to a $250,000 fine on each count of conviction.
A criminal complaint is merely an accusation. A defendant is presumed innocent unless and until proven guilty in a court of law.
U.S. Attorney Fajardo Orshan commended the investigative efforts of the FBI’s Miami Field Office and South Florida’s Joint Terrorism Task Force (JTTF) in this matter. The case is being jointly prosecuted by Assistant U.S. Attorney Karen E. Gilbert of the Southern District of Florida and Trial Attorney Troy Edwards of the National Security Division’s Counterterrorism Section.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Bookkeeper Sentenced in Manhattan Federal Court to 2 Years in Prison for Embezzling over $3.3 Million from Literary Agency and Its ClientsRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced today that DARIN WEBB was sentenced in Manhattan federal court to two years in prison for defrauding Donadio & Olson, a Manhattan-based literary agency (the “Agency”), and its clients of over $3.3 million. WEBB provided bookkeeping services for the Agency and carried out his scheme by making unauthorized transfers from the Agency’s bank accounts, and then making changes to the Agency’s accounting system to evade detection. WEBB pled guilty on July 25, 2018, to one count of wire fraud before U.S. District Judge Edgardo Ramos, who also imposed today’s sentence.
U.S. Attorney Geoffrey S. Berman said: “Darin Webb, a bookkeeper for a literary agency, admitted to embezzling more than $3.3 million from the agency, and then changing their accounting system to evade detection. Webb’s theft was eventually uncovered, and he is now sentenced to two years in federal prison.”
According to allegations contained in the Information filed against Webb and statements made in related court filings and proceedings:
From 2001 through March 2018, WEBB was engaged as a bookkeeper for the Agency. From January 2011 through March 2018, WEBB used his position as the Agency’s bookkeeper to transfer more than $3.3 million of funds, belonging to the Agency and its clients, from the Agency’s bank accounts to bank accounts that WEBB controlled. In order to evade detection of his criminal conduct and carry out his scheme, WEBB made changes to the Agency’s accounting records to disguise the nature of the transfers.
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In addition to his prison term, WEBB, 48, of Manhattan, New York, was sentenced to three years of supervised release, a forfeiture money judgment in the amount of $3,300,000, and restitution in an amount to be determined.
Mr. Berman praised the work of the FBI.
This case is being handled by the Office’s Securities and Commodities Fraud Task Force. Assistant U.S. Attorney Christine I. Magdo is in charge of the prosecution.
Ballston Spa Man Sentenced to 120 Months for Child Pornography OffensesRead the Press Release
ALBANY, NEW YORK – Jason Novoa, age 38, of Ballston Spa, New York, was sentenced today to 120 months in prison for receipt and possession of child pornography.
The announcement was made by United States Attorney Grant C. Jaquith and James N. Hendricks, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI).
Senior United States District Judge Gary L. Sharpe also sentenced Novoa to 20 years of supervised release, to begin following his term of imprisonment. Novoa was also ordered to pay $5,000 in restitution to one of the victims portrayed in the child pornography he possessed. He will be required to register as a sex offender upon his release from prison.
Novoa pled guilty on July 17, 2018. Novoa admitted that, over a period of at least 5 years, he used a laptop computer equipped with peer-to-peer file-sharing software to search for and download videos and images depicting child pornography. Novoa further admitted that between June 9 and June 13, 2017, he made available for download over 800 images of child pornography. Novoa additionally possessed approximately 30 video files and 310 image files depicting child pornography on June 29, 2017, when the laptop was seized by investigators.
This case was investigated by the FBI and the New York State Police, and was prosecuted by Assistant U.S. Attorney Emmet O’Hanlon.
This case was prosecuted as part of Project Safe Childhood. Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS). Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc
Arkansas Man Admits Coercing a Minor to Engage in Illegally Sexual ActivityRead the Press Release
PITTSBURGH, PA- A former resident of Van Buren, Arkansas, pleaded guilty in federal court to a charge of coercion and enticement of a minor to engage in illegal sexual activity, United States Attorney Scott W. Brady announced today.
Alastair Lee Stewart, 27, pleaded guilty to one count before Chief United States District Judge Mark R. Hornak.
In connection with the guilty plea, the court was advised that from November 15, 2016 to March 27, 2017, Stewart engaged in internet conversations with a 12 year-old female over a chatting application called "Live Me," and later communicated with the victim over Skype, Snapchat, and text message. Stewart then traveled from Van Buren, Arkansas to Pennsylvania and arranged to meet the victim at her grandfather’s residence, where he sexually assaulted her in a motor home on the property on March 24 and March 25, 2017. Stewart fled the area on March 26, 2017.
Chief Judge Hornak scheduled sentencing for April 26, 2019. The law provides for a total sentence of not less than 10 years and up to life in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant. Stewart remains incarcerated pending the sentencing hearing.
Assistant United States Attorneys Jessica L. Smolar and Christy C. Wiegand are prosecuting this case on behalf of the government.
The Federal Bureau of Investigation (FBI) and Pennsylvania State Police conducted the investigation leading to the Indictment in this case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals, who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.